Annals of Contemporary Developments in Management & HR (ACDMHR)

 
Paper #3                                                                             

Impact of Turnover on Organizational Efficiency: A Case Study of Dawlance Company

Maria Shaikh, Sumra Shaikh, Ghazala Benghal, Haseeb Haleem shaikh and Nadeem Juman Shah


Abstract: The research is conducted to investigate and analyse the impact of employee turnover on organizational effectiveness and employee performance, this study also highlights those factors which makes the employees less comfortable in DS Motors (Unique) Hyderabad Pakistan and provide possible solutions to reduce employee turnover. In this study we examine the increasing ratio of employee’s turnover in DS Motors (Unique) that observed in the last couple of years. High rate of employee turnover negatively affects the organizational efficiency and decreases the productivity of the organization. The cooperative sampling strategy was used to select the participants/respondents. Self-administered survey questionnaires were distributed among 166 employees of DS Motors from which 135 were returned in a useful condition. SPSS (version 20.0) was utilized for statistical data analysis. The study findings suggest that salary is one of the reasons of employee turnover in DS Motors. The results of the study highlight that increasing rate of employee turnover increased workload to present employees of the organization. The evidences found in this study also highlights that high employee turnover reduce the productivity and quality of the product produced in the organization. The findings also highlight that employee turnover may cause customer dissatisfaction and disrupts the delivery of the products and reduce service provisions. Other findings suggested that poor and unhealthy working conditions and lack of advancement opportunities increase employee turnover in the organization. The recommendations highlighted in this study that top management must provide competitive remuneration to the employees of the organization and need to create career development opportunities and develop a communication network between employees and management of the organization. This study concludes with the future direction of the research.


Keywords: Employee Turnover; Organizational Effectiveness; Turnover cost; Employee Performance; Competitive Remuneration.

This work is licensed under a Creative Commons Attribution 4.0 International License. Creative Commons License


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