CONTENTS

Students Declaration Acknowledgement Preface

Chapter-1
Company Profile Vision & Mission

Chapter-2
Research Methodology Objectives of the study

Chapter-3
Employee Retention

Introduction Benefits of Attrition Employee Turnover

Chapter-4
Analysis and Interpretation of the data

Chapter-5

Findings Conclusions Suggestions

Annexure Bibliography

Student declaration

This project has been undertaken as a partial fulfillment of the requirement for the award of the degree of MASTER BUSINESS ADMINISTRATION OF KUMAUN UNIVERSITY NANITAL.

The project was executed during 4th semester of MBA programme under the guidance of Dr. L.K. Singh I declare that this project is my original work and the analysis and findings are for academic purpose only. This study has not been presented in any seminar or submitted elsewhere for the award of any degree or diploma.

Counter signed by: -

Megha Bharti

L.K. Singh (Faculty of DMS)

Roll No. - 101641 Enrolment No.- 075101

ACKNOWLEDGEMENT
Apart from the efforts of me, the success of any project depends largely on the encouragement and guidelines of many others. I take this opportunity to express my gratitude to the people who have been instrumental in the succession completion of this project. I would like to show my greatest appreciation to the Dr. L.K. Singh (Faculty of Department of management studies) for providing me the opportunity to do the project. I would also like to thank Miss Honey Gupta who has been of a great support to me by providing me with required guidance and direction to carry on with the project. I would like to express my gratefulness in particular Mr.R.P.Singh (HR Manager of FLEXITUFF INTERNATIONAL LTD Kashipur) and for accepting me as a summer trainee in his highly esteemed organization. His help, guidance and keen interest in the project are a source of inspiration for me to ameliorate the research. In spite of the busy schedules, his deep involvement in the project directs me to proceed in the right direction with enhanced enthusiasm and zeal. I humbly acknowledge the help and support rendered by in FLEXITUFF INTERNATIONAL LTD (Kashipur); in the preparation of this winter project report. His outstanding co-operation was instrument in the smooth completion of this report

Preface
Theory and practice are the two aspects of management education. In order to produce a dynamic and promising executive, the two have to be blended together. In India, the industrial training in the domain of management courses has received pivotal importance. It exposes the potential manager to the actual work environment and provides them a rich insight into what actually goes on in the industrial climate of India. In fact it is the implementation of theory in practice is the life force of management.

A fifteen days vocational training is a requirement for the award of the Master Degree in Business Administration. I had the privilege of doing my winter project report in FLEXITUFF INTERNATIONAL LTD (Kashipur) I must say that the management provided me with an excellent work atmosphere for learning.

The project I worked on during my training at flexi tuff international limited was

EMPLOYEE RETENTION

Mr. R.P Singh (HR Manager Flexi tuff International Ltd. Kashipur) helps me to complete this project report.

Company Profile

Flexi tuff International Ltd, a company promoted by the renowned Kalani group from Indore. Flexi tuff has the largest capacity in India (2nd largest in the World) to produce PP woven based products. It has the most modern Plant & Equipments under one roof to convert PP granules to tapes, fabric, printing, extrusion, lamination & bag making. Flexi tuff is the first company to start BOPP printed & laminated pp woven bags in India about seven years back. It is the leader in Jumbo bags, big bags and container liners. Due to continuous support and strength derived from its own R& D and the international quality set & maintained by its team of scientists, engineers & professionals, today, Flexi tuff is exporting to more than 40 countries in the world and has been receiving Best export awards year after year We are also glad to mention here that Flexi tuff is the first and only Asian company now successfully audited and certified by AIB (American Institute of Food Bakers, USA) and BRC (British Retailers Consortium UK) to make direct food contact bags for supplies to American and European companies. We are also certified for ISO 9001: 2000 and HACCP. In addition to three Units at Pithampur near Indore, we are coming up with another most modern Unit at Kashipur at Uttarakhand, where the commercial production is expected within three months from now. . This Unit will have excise duty exemption for next 10 years and partial exemption for CST.

Responsible corporate People Focus

Dreams are what drive us. We respect people and value their individual differences and this has led to a free, vital corporate culture that encourages creativity. We are fortunate to have so many talented people with different backgrounds, interests and skills who come together to create offerings for the future. Flexi tuff is a place where teamwork is essential. Yet our employees also maintain the freedom to work on their own, be creative and make their own decisions. And most of all grow both personally and professionally. Equal Opportunity & Meritocracy: Recruitment and promotions in Flexi tuff are all based strictly on merit. Equal opportunities are provided to all without regard to race, caste, religion, colour, ancestry, marital status, gender, age or nationality.

Environment, Health and Safety

Since its inception, the Flexi tuff core values of commitment to safety, health and the environment, high ethical standards and respect for people have been the cornerstone of who we are and what we stand for. Well communicated EHS policies ensure that production targets never override the safety of a person and that as a responsible corporate, we remain an environmentally responsible neighbor in the communities where we operate, acting promptly and surely to correct incidents or conditions that endanger health, safety or the environment.

CORPORATE GOVERNANCE
At Flexituff, our pursuit to achieve good governance is an ongoing process, thereby ensuring truth, transparency, accountability and responsibility in all our dealings with our employees, shareholders, consumers and communities. We aim to develop capabilities and identify opportunities that best serve the goal of value generation, thereby creating an outstanding organization.

Aim / Vision / Mission

Flexi tuff International Limited Is one of the very few fully integrated plants is the world. Its 100% integration permits there to deliver their products in multiple options while retaining 100% control over the manufacturing process. Needless to say, Flexi tuff is fully independent from the vagaries of outsourced material or workmanship.

Organization Structure of the Company

Managing director Manish Kalani

CFO Ajay Mundra

CEO Mahesh Sharma

COO Saurabh Kalani

VP (HR & Productivity

CS & Compiancence Officer

AVP (Finance &Accounts)

President Technical Coordination Rahul Bisarina

VP KASHIPUR

VP (SEZ)

VP (DAT)

Product of the company

OPP BAGS, FIBC BAGS, Disposal Glasses, , Trampoline Fabric Thermoformed Wares Leno Bag, PP Fabric,

Some of the standard designs at Flexi tuff are as under

Sift -proof Bags Baffle Bags Form-fitted Liner Bags Builder Bag / Tunnel-lift Single-loop Bags Sling Bags

New products of flexi tuff

BOPP Bags, PP Fabric, Trampoline Fabric, Leno Bags, Disposal Glasses

MANAGEMENT OF THE COMPANY

Board of Directors The Board of Directors of our Company comprises of the following persons:

Name of Directors
1. Mr. Anirudh Sonpal 2. Mr. Manish Kalani

Designation
Chairman and Independent Director Managing Director

3. Mr. Pawan Kumar Jain

Non-Executive Director

4. Mr. Ravindra Chourasiya

Non-Executive Director

5. Mr. Aswini Sahoo

~

Non Executive Director

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6. Mr. Kevan John Upperdine

7. Mr. Sharat Anand

Independent Director Independent Director

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RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem. It includes not only

the research methods, but also the logic behind using the methods. Its shows the type of sample design used, its size and the procedure used to draw the sample

Research Process

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DEFINE RESEARCH PROBLEM

REVIEW CONCEPTS AND THEORIES REVIEW OF LITERATURE REVIEW PREVIOUS RESEARCH FINDINGS

FORMULATE HYPOTHESIS DESIGN RESEARCH FF FF

F F

COLLECT DATA (EXECUTION) F ANALYSE DATA

F INTERPRET AND REPORT

SUGGESTIONS AND CONCLUSION

Classification of Research Design

There are three type of research design Exploratory research design Descriptive research design Causal research design

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Exploratory research design:-Exploratory designs, as stated earlier, are the simplest and
most loosely structured designs. As the name suggests, the basic objective of the study is to explore and obtain clarity about the problem situation. It is flexible in its approach and mostly involves a qualitative investigation. The sample size is strictly representative and at times it might only involve unstructured interview with a couple of subject experts

Descriptive research design:-As the name implies the objective of those studies is to
provide a compressive and detailed explanation of the phenomena under study. The intended objective might be to give a detailed sketch or profile of the respond population being studied

Causal research design: - Casual research is used to obtain because an effective relationship.
Casual research is appropriate for determining the nature of the relationship between casual variable and effective tool predictive. The study falls under the category of Descriptive Research. It is the description of the state of affair as it exists at the present. Descriptive study is a fact finding investigation with adequate interpretation. It is the simplest type of research. It is more specific than an exploratory study, as it has focus on particular aspects or dimensions of the problem studied. It is designed to gather descriptive information and provides information for formulating more sophisticated studies. Data is collected by using one or more appropriate method: Interview method and by filling questionnaires.

OBJECTIVES OF THE STUDY:1) To study retention strategies implemented in the company.

2) To analyze employee perception on retention strategies. 3) To study factors which help in employee retention. Sampling Design and Sample Size: Once the researcher has formulated and developed a research design including the questionnaire, the researcher has to decide the amount of people comprising the population from whom the information is to be collected. A sample design is a definite plan for obtaining a sample from a given population. All items in this field of inquiry constitute a Universe or Population. There are two types of survey: Sample Survey

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Census Survey

In this project, I have used sample survey where the universe is small one as only Executive members and Departmental Heads were survey to formulate a new system. Since the time period was limited and the company personnel were busy, the sample survey was limited to the Executive Staff Members and the Departmental Heads. The selected respondents are technically called sample.
POPULATION:

The first step in developing any sample design is to clearly define the set of objects, technically called the Universe. In this research, the population under observation is finite, consisting of 50 employees. SAMPLE SIZE RESEARCH DESIGN SAMPLING METHOD There are two methods of sampling:1. Probability Sampling: It is based on the concept of random selection of a controlled procedure that assures that each Population element is gives a non-zero chance of selection. Probability Sampling is of following types: 1. Simple Random Sampling 2. Systematic Sampling 3. Cluster Sampling 4. Stratified Sampling 2. Non-Probability Sampling: Non probability sampling is non-random and subjective. That is each member does not have a known non zero chance of being included. Types of Non-Probability Sampling 1. Convenience Sampling 2. Judgment Sampling 3. Quota Sampling : 50 respondents : Descriptive research

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Researcher selects the sample as per their convenience For this research work I have chosen NonProbability Convenience Sampling because time limit for the completion of the work is limited and also managers and employees are not available all the time. DATA COLLECTION: Data are facts, and other relevant materials, past and present, serving a basis for the study and analysis. The data serve as a base or raw material or analysis. Without an analysis of factual data, no specific inferences can be drawn on the questions under the study. The relevance, adequacy and reliability of data determine the quality of the findings of a study. DATA COLLECTION METHOD: Data for the present study is collected from two sources:
a). Primary: - The first hand information is collected with the responses of questionnaire. For this

purpose a questionnaire is given to the employees of Century Paper mill lalkaun. They were interviewed so as to get the information about the functions that are performed by them, as well as what the employers expect out of them, as per their knowledge, experience and observation. Primary data collection method

Interview Method:-The biggest benefit of face-to-face interviews is the human interaction that occurs. This method was purposefully selected so that the researcher could interact on a personal level with the departmental heads. Through Questionnaires: - Identical questionnaires were used to assess the training needs of the staff. A questionnaire was developed using some, but not all, of the face-to-face interview questions. Some of the questions provided data that I needed, and since all the information is not relevant to the outcome of the assessment, it will not be made a part of the report. The open-ended questions required respondents to answer in their own words. This elicited in-depth responses, as opposed to limited responses. Questions were framed so that they could be answered easily. The number of questions was limited so that it could be completed in twenty minutes. b). secondary: - These are sources containing data which have been collected and complied for another purpose. The secondary sources consists of readily available compendia and already compiled statistical statements and reports whose data may be used by researchers for their studies. Secondary sources consist of not only published records and reports, but also unpublished records. It is collected with the help of following sources: Internet Company magazines

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Company website

Data Analysis:
Once the raw data is collected from both primary and secondary sources, the next step is to analyze the same so as to draw logical interfaces from them. The data collected in a size of sample. In a typical research study there may be a large number that the researcher needs to analyze. There are three types of data analysis Univariate, Bivariate and Multivariate. In Univariate analysis, one variable is analysed at a time. In Bivariate analysis two variables are analyzed together and examined for any possible association between them. In Multivariate analysis, the concerned is to analyze more than two variables at a time. The following methods are used for the purpose of the Data interpretation and analysis: Correlation & Regression analysis, Factor Analysis, Discriminant analysis, Cluster analysis, and Multidimensional scaling.

Interpret and Report :- basic report are written for the purpose of collecting the process carried out in terms of scope and framework, the methodology followed and instrument . the results and findings would also be recorded here.

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Literature Review

INTRODUCTION
Human resource management (HRM) is the strategic and coherent approach to the of management an organization's most valued assets - the people working there who individually and collectively contribute to the achievement of the objectives of the business. The terms "human resource management" and "human resources" (HR) have largely replaced the term "personnel

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management" as a description of the processes involved in managing people in organizations. Human Resource management is evolving rapidly. Human resource management is both an academic theory and a business practice that addresses the theoretical and practical techniques of managing a workforce. The Human Resources Management (HRM) function includes a variety of activities, and key among them is deciding what staffing needs you have and whether to use independent contractors or hire employees to fill these needs, recruiting and training the best employees, ensuring they are high performers, dealing with performance issues, and ensuring your personnel and management practices conform to various regulations. Activities also include managing your approach to employee benefits and compensation, employee records and personnel policies. Usually small businesses (for-profit or nonprofit) have to carry out these activities themselves because they can't yet afford part or full-time help. However, they should always ensure that employees have -- and are aware of -- personnel policies which conform to current regulations. These policies are often in the form of employee manuals, which all employees have

Employee retention
Employee retention involves taking measures to encourage employee to remain in the organization for the maximum period of time. Today corporate faces many problems in employee retention .Hiring acknowledge people for the job is essential for an employee but now a days retention is become more important than hiring. There is no dearth of new opportunities for a talented person .there is many organizations which are looking for such employees. The top organizations are on the top because they value their employees and they know how to keep them glued to the organization .Employee stay and leave the organizations for some reason.

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Employee retention is processes in which the employees are encouraged remaining with the organization for maximum period time .Employee retention is beneficial for the organization as well as the employee. The picture states the latest statement that corporate believes to love them and loose them

The reason may be personal and professional . These reason should be understood by the employers and should be takaen care of .The organisation become aware of these reason and adopting many stratgyies for employee retention. Employee today are different. They are not ones who dont have the good opportunities in hand. As soon as they fell dissatisfied with current employee or the job, they switchover they next job. It is the responsibility of the employer to remain their best employees. A good employer knows how to attract and retain its employees. Employee retention would require a lot of efforts, engergy andresourceses but the result are worth it.

Retention involves five major things:-

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Compensation

support

Growth

Relationship

Environment

Importance of Employee Retention

Now that so much being done by organization to retain its employee, is why is retention so important? Is just to reduce to the turnover costs? Well the answer is defined no. Its not only the costs incurred by the company that emphasizes the need of retaining employees but also the need to retain talented employee from getting poached. The process of employee retention will be benefit for the organization in the following ways.

a)

The cost of turn over -: The cost of employee turnover adds hundred of thousand of

money to company expenses While it is fully difficult to calculate the cost of turnover (including

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hiring costs, training costs, & productivity loss) industry experts often quoted 25% of the average employee as comparative estimate .
b) Loss of company knowledge -: When an employee leaves, he takes with him valuable

knowledge about the company, customer current projects & the past history (sometimes to be competitors). Often much time and money has been spent on the employee expectation for the future return. When the employee leaves, the investment is not realized.
c) Interruption of customer services -: Customer and client do business with a company in part

because of the people. Relationships are developed that encourage continued sponsorship of the business. When an employee leaves, the relationships that employee build for the company are served, which could leave to potential customer loss?
d) Turnover leads to more turnovers -:

When an employee terminates, the effect is felt throughout the organization. Co-workers are often to pick up the slack. The unspoken negativity often intensifies for the remaining staff.
Goodwill of the company -: The goodwill of the company is maintained when the attrition

e)

rates are low. Hiring retention rates motivate potential employee to join the organization.
f) Regaining efficiency-: If an employee resigns, then good time to lost in hiring new employee

and then training him/her and this goes to the loss of the company directly which many a times goes unnoticed .And even after this you cannot assure us of the same efficiency from the new employee.

What makes employee leaves?

Employee does not leave an organization without any significant reason .There are certain circumstances that leave to their leaving the organization the most common reason can be : job is not what employee expected to be: Sometimes the job responsibilities dont co me out to be same expected by the candidates. Unexpected job responsibilities lead to job dissatisfaction

a)

Job and person mismatched-: A candidate may be fit to do certain type job which matches personality. If he is given a job mismatches his personality, then he wont be able to perform it well and will try to find out reasons to leave the job

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b)

No growth opportunities no or less learning and growth opportunities in the current job will make candidates job and career job stagnant.

c)

Lack of application-: If the work is not appreciated by the supervisor, the employees feel motivated and lose interest in job.

d)

Lack trust and support in co-worker seniors and management-: Trust is the most important factor that is required for an individual to stay in the job .Non supportive coworker, seniors and management can make office environment unfriendly and difficult to work in.

e)

Stress from overwork and work life imbalance-: Job stress to lead work life imbalance which ultimately many times lead to employee leaving the organization

f)

Compensation-: Better compensation packages being offered by other companies may attract the employee towards themselves.

g)

New job offer-: An attractive job offer which an employee thinks is good for him with the respect to job responsibility, compensation, growth & learning etc. can lead an employee leave the organization

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The basic prentices which should be kept mind employee retention strategies are. Hiring the right employee at the workplace.
Empower the employees: Give the employee the opportunity gets things done.

Make employee realize that they are the most valuable asset of the organization. Have faith in them, trust them and respect them. Provide them information and knowledge. Keep provide them feedback on their performance. Recognize and appreciate their achievement. Keep their moral high. Create an environment where the employee wants to work and have fun. These practices can be categorized in 3 levels low, medium and high level.

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Retention Determinants
It has been recognized by both employee and employer that some common areas effect employee retention .if certain organization components are being provided, then other factors may affect retention. Survey of employees consistently show that better compensation package an better career opportunity are the two most important determinants of retention .Finally job design and fair and supportive relationship with other inside the organization contribute to employee retention. Following are the component is that effect employee retention -:
Career Opportunities Training continuity Development Rewards Competitive pay &benefit Performance rewards differentiation Recognition Organizational component Value & culture Strategy & Opportunity Well managed & result oriented Job community & security Job design & work Job responsibility & autonomy Work flexibility Work conditionWork/life balancing Employee Relationship Fair nondiscriminatory Special benefit & perks

Supervisory management

The approach to the task of formulation of strategies employee retention should be comprehensive and the honest intention of employer to implement every stipulation in the package of appointment should be evident However there would, in ach employing corporate, be section so

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called good employees whom it would be unwise to loose. Special strategies and special kind efforts are required in the retaining them

Manager role in retention

When asked about why employs leave, low salary comes out to be common excuse. However research has shown that people peoples that join the companies, but leave because of what their manager s do or dont .It is seen that manager who respect and competency, pay attention to their aspiration, assure challenging work values the quality of work life and provided chances for learning have loyal and engaged employees. Therefore the manager and leaders play an active and vital role in employee retention by creating a motivating team culture and improving the relationship with team members. This can be done in a following way
Creating a motivating environment-:

The team leader who creates motivating environment is likely to keep their team members together for longer period of time. Motivation does not necessary have to come through fun events such as parties, calibrations team outings etc. They can also come out through serious events e.g. arranging talk by the V P of quality on career opportunities in the field quality .Employee who look forward to these events are like to engaged more engaged. they need to ensure smooth functioning of their teams by implementing management decisions, they also need to education their manager about the realities on the ground. When agents see the team leader standing up for them, they will one more reason to stay in the team.

Standing up for the team-: The team leaders are closest to their team members. While

Delegation-: Many team leaders and managers feel that they are the only people who can

do a particular task and job. Therefore they delegate their job as much as should. Delegation is the great way to develop the competency.
Providing coaching-: Every wants to successful in his or her current job. However, not

everyone knows how .Therefore one of the key responsibly will be providing coaching that is intended to improve the performance of the employee. However coaching is the following by a monitoring performance and providing feedback on them.
Extra responsibility-: Giving extra responsibility to the employees is another way to get

the team engaged with the company. However giving the extra responsibility does not help. The manager must spend good time teaching the employees of how to manage the responsibilities given to them so that they dont feel over burdened.
Focus on future career-: Employees are always concerned about their future career. A

manager should focus on showing employees his career ladder. If an employee see that his

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current job offers a path towards their future aspirations, then they are likely to stay longer in the company .Therefore manager should play the role of career counselor as well.

Retention Myths
The process of retention is not as easy as it seems. There are so many tactics and strategies used in retention of employees by the organizations. The basic purpose of these strategies should be to increase employee satisfaction, boost employee morale hence achieve retention. But sometimes these strategies are not used properly or even worse, wrong strategies are used. Because of which these strategies fail to achieve the desired results. There are many myths related to the employee retention process. These myths exist because the strategies being used are either wrong or are being used from a long time. These myths. Employees leave an organization for more pay: Money may be the motivating factor for some but for many people it is not the most important factor. Money matters more to the low-incomeemployees for whom its a survival issue. Money can make an employee stay in an organization but not for long. The factors more important than money are job satisfaction, job responsibilities, and individuals skill development. The employers should understand this and work out some other ways to make employees feel satisfied. When employees leave, management tries to retain them by offering more money. But instead they should try to figure out the main reason behind it. Issues that are mainly the cause of dissatisfaction are organizations policies and procedures, working conditions, relationship with the supervisor and salary, etc. For such employees, achievement, growth, respect, recognition, is the main concern. Incentives can increase productivity: Incentives can surely increase productivity but not for long term. Cash incentives, volume work targets and speed awards are old management beliefs. They can generate work speedily and in volumes but cant boost employee commitment. Rather speed can hamper the quality of work produced. What really glues employees to their work and organization is quality work, meaningful responsibilities, recognition, respect, growth opportunities and friendly supervisors. Employees run away from responsibilities: It is a myth that employees run from responsibilities. In-fact employees feel more responsible if they are given extra responsibilities apart from their regular job. Employees look for variety, greater control on the processes and authority to take decisions in their present job. They want opportunities to learn and grow. Management can assign extra responsibilities to their employees and appreciate them on the completion of these tasks. This will induce a sense of pride in the employee and will improve the relationship between the management and the employee.

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Loyalty is a thing of the past: Employees can be loyal but what they need is an employer for whom they can be loyal. There is no reason for the employee to hop jobs if he is satisfied with the employer. Taking measures to increase employee satisfaction will be expensive for the organizations: The things actually required improving employee satisfaction like respect, career growth and development, appreciation, etc. cant be bought. They are free of cost. An employer or management that reacts well to the basic practices which should be kept in mind in the employee retention strategies are. Hire the right people in the first place. Empower the employees: Give the employees the authority to get things done. Make employees realize that they are the most valuable asset of the organization.

Have faith in them, trust them and respect them. Keep providing them feedback on their performance. Recognize and appreciate their achievements.

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Retention Success Mantra

Transparent work culture
In todays fast paced business environments where employees are constantly striving to achieve business goals

under time restrictions open minded and transparent work culture plays a vital role in employee retention. Company invests many hours and monies in training and education of employees. These are severely affected when employees check out, especially in the middle of some big company project or venture. Although employees most often prefer to stay with the same company and use their time and experience for personal growth and development, they leave mainly because work related stress and dissatisfactions. More and more companies have now realized the importance of a healthy work culture and have a gamut of people management good practices for employees to have that ideal fresh work-life. Closed doors work culture can serve as a deterrent to communication and trust within employees which are potential causes for work-related apathy and frenzy.

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A transparent work environment can serve a one of the primary triggers facilitate accountability, trust, communication, responsibility, pride and so on. It is believed that in transparent work culture employees rigorously communicate with their peers and exchange ideas and thoughts before they are finally matured in to full-blown concepts. It induces and responsibility among employees and accountability towards other peers, gradually builds up trust and pride. More importantly, transparency in work environment discourages work politics which often hinders company goals as employees start to advance their personal objectives at the expense of development of the company as a single entity. Quality of work:The success of any organization depend on how it attract recruits, motivate, retains its work force .Organization need to be more flexible so that they develop their talented work force and get their commitment .thus organization are required to retain employees by address their work life issue. The element that are relevant to an individuals quality of work life include the task, physical work environment, social work environment within the organization, administrative system and relationship between life on and off the job. Providing quality of work life taking care of the following aspects;

Occupational health care-: The safe work environment provides the basis for persons to enjoy working. The work should not pose a health hazards for the person. The employer and employer, aware of their risk and right, could achieve a lot in their mutual beneficial dialogue. Suitable working time-: Organizations are offering flexible work options to employees wherein employee enjoys flexi timing for dedicating their efforts at work. their

Appropriate salary -: The attractive salary has always been an important factor in retaining employees. Providing employees salary at par with the other counterpart of above that what competitors are paying motivates them to stick with the company for long.

Supporting employees -:
Organization these days want to protect their biggest and most valuable assets and they want to do this in a way that best suits their organizational culture. Retaining employees are the difficult task. Providing support to the employee act as a mantra for retaining them.Employers can also support their employees by creating an environment of trust inculcating the organization values into employees.

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Manage employee turnover-: Employee turnover affect the whole organization in terms of productivity, managing the turnover, hence become an important task. Proactive approach can be reduced attrition. Strategy should be framed in advance and implemented when the times arrives. Turnover cost should also be taken into consideration while framing these strategies Become employer choice-: what makes a company an employer of choice? Is the benefit it offers or the compensation packages it gives a way to its employees? Or is it measured in terms of the valued their employee or in terms of customer satisfaction? Becoming an employer choice following road map which tells where to go as a brand Engaged new recruits:- The new hired employees are said to be least engaged talent should be utilizing in the organization. Keeping them engaged is an important task. The fresh maximum before they start feeling boarded in the organization Optimize employee engagement: - An organizations productivity is measured not in terms of employee satisfaction but by employee engagement. Employees are said to be engaged when they show a positive attitude towards the organization and express a commitment to remain the organization. Employee satisfaction also comes with the high engagement levels. So organization should aim to maximize the engagement among employees. Coaching and mentoring:- Employees whose work performance suffers due to poor interpersonal relationship or because of back of interpersonal skills should be provided proper coaching by their superiors. Planed coaching sessions help an individual to work through issues, maximize his potential and return to pea k performance.

Feedback:Feedback act as channel of communication between employee and manager .The amount of information employees receive about how well or how poorly they have performed is what is what we call feedback. It is a dialog between a manager and employee which acts as a way of sharing information about the performance. It suggest where the employee perform is effective and where performance has to improve Manager can provide either positive feedback or negative feedback to employees. This feedback helps the employee assess his performance and identify the improvement areas Positive feedback communicates managerial satisfaction. Positive recognition for good performance boots up moral of employee and result in performance improvement to a higher productivity level.

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Negative feedback obviously communicates managers dissatisfaction .However negative feedback make some time employee to put more efforts to improve his performance. But such times are very rare. Moreover this improvement is short term. Some managers do not provide any kind of feedback to their employees. Due to no feedback, employees may assume that they are performing productively or they may feel that the manager satisfied with their performance. Studies reveal the performance tends be same or even decreases if no feedback is provided. Thus the feedback is necessary because: o It builds trust and enhances communication between manager and employees o It gives a manger and employees a way to identify discuss skills and strength. o Positive feedback leads to employee retention and motivation. o It helps to identify in performance area that need improvement. Communication between the employee and employer -: Communication is the solution to almost everything in the world. Same applies employee retain also. Straight form the shoulder communication is what employee need from their employee. Employees look for the organization where communication process is transparent. Nothing is hidden and shared with the employees. Communication is also the way to win the trust of the employees in the organization. Employee trusts the employer who is friendly and open to them. Trust leads employee loyalty and finally retention. Communication medium: Open door policy: Organizations should support open door policies so that employees feel comfortable and are able to express their doubts and feeling to their employer. Frequent meeting and social gathering

Benefit of attrition
Attrition is not always bad if it is happen in controlled manner .Some attrition is always desirable an necessary for organizational growth and development the only concern is how organization different good attrition and bad attrition .The term healthy attrition or good attrition signifies the importance of less productive employees voluntary leaving the organization .This means who have left fall in the category of low performance, the attrition is considered being healthy. Attrition rates are considered to be beneficial in some ways:-

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 If all employees stay in same organization for a very long time most of the will be at of their which will result in excessive manpower costs. When certain employees leave whose communicate of service would have negatively impacted productivity and profitability of the company, the company s benefited New employee brings new ideas approaches, abilities and attitude which can keep the organization form become stagnant. There are also some people in the organization who have negative and demoralizing influence on the work culture and the team spirit. This is in the long term determinants to the organizational health.

RETENIONAL DEFINATION OF CONCEPTS Compensation:Compensation constitutes the largest part of the employee retention process. The employees always have high expectations regarding their compensation packages. Compensation packages vary from industry to industry. So an attractive compensation package plays a critical role in retaining the employees.

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Attrition rate: - Attrition rate/ churn rate is a measure of the number of individuals or items moving into or out of a collection over a specific period. It is a reduction in the number of employees through retirement, resignation or death. Thus, we can see that attrition rate and retention rate are very closely related and loosely speaking attrition rate is inverse of retention rate.

Employee Turnover
Employee Turnover has always been a sensitive for the organizations. Calculating employee turnover rate is not simple as it seems to be to be no common formula can be used for the entire organization. A formula had to be devised keeping in view the nature of the business and different job functions. Moreover attrition rate is not only about devising a mathematical formula. It has to be take into account the root of problem by going back to the hiring rate Employee turnover rate and Attrition rate means:In terms of numbers: Total number of resigns per month (Whatever voluntary or forced) divided by total no. of employees at the beginning or month plus total no. of new joiners mines total no. of resignations) multiplied by 100 Calculate the cost of the person(s) who fills in while the position is vacant. Calculate the cost of loss of productivity at a minimum of 50% of the persons of compensation and benefits cost for each week the position is vacant ,even if there are people are the performing the work . Calculate the lost productivity 100% if the position is completely for any period. Calculate the cost of conducting the existing interview ii include the time of conducting the interview, the time of the person leaving, the administrative costs of stopping payroll, benefit deductions, benefit enrollment. Calculating the cost of who has to understand what work remains and how to cover that work until replacement is found. Calculate the cost of training your company has invested in this employee who is leaving Calculate the cost impact of departmental productivity because the parson is leaving, who will, pick up the work, whose work suffer, what departmental deadlines will not be met or delivered later.

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Recruitment costs:The cost of the advertisement agency company cost, internet posting cost.

Calculate the cost of the various candidate pre-employee tests to help assess candidates skills, ability, attitude, value and behavior.

Training cost Calculate the cost of orientation in terms of the new person and the costs of the person who conduct the orientation. Also include the cost of oriental material. Conduct the cost of person who conducts the cost of the person. Calculate the various costs of training material needed including company or product manual, computer and other technical equipment used in the training delivery

Low productivity costs:Calculate the cost of revenue per employee by dividing total company revenue by the average no. of the employees in the given year. Whether an employee contributes directly or indirectly in the generation of the revenue. There purpose is to provide some defines set of responsibilities that are necessary to the revenue generation. Calculate the cost of revenue by number of the weeks the position is vacant by the average weekly revenue per employee.

Ways of improving turnover

Include the appropriate skills and competencies in the job description 1. Use behavioral-based interviews to ensure candidates possess the attitudes, personality traits, and behaviors that ensure fit and promote commitment

2. Create a compensation policy (including pay tied to performance and variable pay) that supports the mission and culture of the organization

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3. Market the call center internally to the rest of the organization

4. Implement career planning and development efforts that are tied to the organization's business objectives

5. Demonstrate commitment to the employee's long-term development (job skills training and retraining - learning new skills for the present job and for redeployment); help employees take advantage of learning opportunities

6. Ensure that managers are skilled and effective coaches and facilitators

7.

Provide a work environment that is productive and respectful, with a feeling of inclusiveness; offer a friendly, appealing, welcoming setting

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Analysis and Interpretation of the data:Q.1) For how long have you been working in FLEXITUFF INTERNATIONAL LTD?
NUMBER OF YEARS 3-or more 2-3 Years 1-2 Years Upto 1 Years NUMBER OF RESPONDENTS 30 10 5 5

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INTERPRETATION:Well from above data ,it find out that 60% of respondent have been working 3-or more years,20% respondent working 2-3 years and 10% respond upto1 year or 1 yr.

Analysis: - The graph shows that 30 employees have more than 3 years experience in the
organization and only 5 employees have experience less up to 1 year experience
Q.2) Are you satisfied with your current job?

OPTIONS NUMBER OF RESPONDENTS

YES NO

40 10

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Interpretation:From above data it find out that 80% respondent are satisfied with their job and 20%respondent are not satisfied.

Analysis: - This graph shows maximum employees are satisfied with the job. The company
gives lots of opportunity to retain their employees. The main issues of the employees in all jobs are the growth career with the help of training needs.

Q.3) Do you think FLEXITUFF INTERNATIONAL LTD does consider retention issues
seriously? OPTIONS NUMBER OF RESPONDENTS YES 40 NO 10

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Interpretation:From above data, it is find out that 80%respondent responded that company seriously considered the retention issue and 20%responded that company are not taking this issue seriously.

Analysis: This graph shows that maximum employees think that company take seriously retention issues. The Managers give much opportunity to safe the interest of the employees in the organization. It makes happy and satisfied to work in the organization.

Q.4) Is Company flexible when it comes to modifying its strategies?

RESPONSE FLEXIBLE NOT VERY FLEXIBLE RIGID NUMBER RESPONDENTS 30 15 5 OF

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Interpretation:Well, from above data it is find out that, 60%respondent response that company is flexible in modification of strategy and 30% response that company is not very flexible and only 10% response of respondent that company rigid in modification of strategy.

Analysis: This graph shows that maximum employees think that the retention strategies are more flexible in nature and only five employees are not to the modification of the strategies

Q. 5: Do you have the authority to take part in the formulation of retention strategies?

OPTIONS NUMBER OF RESPONDENTS YES NO 35 15

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Interpretation:From above data it is find out that 70% respondent think that they have authority to take part in formulation of strategies. And 30% respondent doesnt agree.

Analysis:This graph shows that the most of the employees take part in the formulation of the strategies. This also helps to make healthy environment in the organization. The good relation b\w mgmt and the employees are one of the factors to reduce the turnover of the employees in the organization. Q.6): Rate the factors in a scale of (1-4) for you to retain in FLEXITUFF INTERNATIONAL LTD. (Lowest to highest) OPTIONS FLEXIBILITY PAY PACKAGE GROWTH OPPURTUNITY NUMBER RESPONDENTS 5 25 10 OF

RELATIONSHIP WITH 10 PEER AND MANAGER

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Interpretation:From above data it is find out that 50%respondent rating pay package in highest level for the retention purpose, 20% respondent rating growth opportunity, 20% says relationship and 10% rating flexibility.

Analysis: This graph shows that maximum employees are satisfied with the Pay Package and the growth opportunity .these factors give maximum satisfaction to the employees. Money is the important factor to retain employees in the organization.

Q.7): Do you think the current strategies used with respect to Retention are motivating the
employees to staory in the organization? OPTIONS NUMBER OF RESPONDENTS YES NO 35 15

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Interpretation:70% respondent response that current strategies keep them motivating to stay in company and 30% respondent response that current strategy are not motivating.

Analysis:In this number of respondents are motivating to the retention strategies. That is the main factor the turnover rate is too low in the organization.

Q.8): Do you feel there needs to be a change in the retention Policies undertaken?
OPTIONS NUMBER OF RESPONDENTS YES NO 15 35

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Interpretation:70% respondent response that there is no need to change retention policy and 30% respondent response there is need to change to be that policy.

Analysis:During the survey we find that maximum employees think that the retention policy should change in the organization for the betterment of the employees. As they are able to make balance in their personal and professional life

Findings
1) The company takes ample measure to retain their employees in the organization for the company to grow in all ways. The major issue faced by all employees in all jobs is the growth career and it is resolved only through identification of proper adequate training needs and implementing it

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2) FLEXITUFF INTERNATIONAL LTD. is an organization that endeavors in equal

participation of employees as well as the employers in the functioning of the company for its future existence and for the goodwill of the company.

3) The most important factor the employees are the pay package and the growth career in their

lives. These two factors gives them satisfaction and personal growth and development to climb the ladder in the corporate world.

4) The employees are satisfied with the current strategies used in the organization and that is the reason the attrition rate is too low.

5) The employees in FLEXITUFF INTERNATIONAL LTD. feel that the strategies used are

quite acceptable to them with only the rigidness of timings and the implementation of shift timings would be an alterations in the policies.

6) High salaries and incentives is the primary tool for employee retention. Most of the companies attract the employees by paying them high salaries and other incentives time to time.

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CONCLUSIONS
As employees are the bases for company so retention of employees is a major focus for HR department. The management should identify the important factors that affect retention and should take necessary measures to improve these. Also, the management should take appropriate measure to identify the reasons of employee voluntarily leave. It is only the employees that implement and give tangibility to the corporate mission. In other words if it is the highest rung in the corporate hierarchy that has ideas, it is the employees rung that has the chisel to bring the vision to life. In the best of worlds, employees would love their jobs. Like their co-workers, work hard for their employers, get paid well for their work, have ample chances of advancement and flexible schedules so they could attend to personal or family needs when necessary. And never leave. But then theres the real world. And in the real world, employees, do, leave, either because they want more money, hate the working conditions, hate their co-workers, want a change, or because their spouse gets a dream job in another state. Unlike inanimate products and systems that subject themselves to fine tuning without any reaction, employees would not subject themselves to any measure taken without reaction and analysis. Hence managing human resources, particularly retaining them, is an art that calls for special skills and strategies. Employee survey and exit interviews can be used for assessing the reasons of employee voluntarily leave. HR interventions such as improving selection process, effective orientation and training, better employee relation, better career development programs and planning etc should be used to improve employee retention.

SUGGESTIONS
~
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Following steps should organization take to retain its employees?

1. Need to restructure companys policy and follow certain process to overcome problems.

2. Should make a hierarchy for various positions.

3. Reward system should be focused and made transparent.

4. Focus on making a collaborative and supportive environment.

5. Management must work on stress management techniques and take initiative measures in career development programme to build a sense of motivation. ~
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6. Work toward the improvement in the retention policy

Annexure
Questionnaire:
Name Designation : :

Q.1) for how long have you been working in Flexituff International Ltd.? a) 3 or more years b) 2-3 years c)1-2 years d) upto1 year

Q.2) Are you satisfied with your current job? a) Yes b) No

Q.3) Do you think Flexituff International ltd. does consider retention issues seriously? a) Yes b) No

Q.4) Is Company flexible when it comes to modifying its strategies? a) Flexible b) Not very flexible c) Rigid strategies?

Q.5) Do you have the authority to take part in the formulation of retention a) Yes b) No

Q.6) Rate the factors in a scale of (1-4) for you to retain in Company (lowest to highest)

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a) Flexibility in joining c) Growth opportunities

b) Pay package d) Relationship with the peers and the managers motivating the

Q.7) Do you think the current strategies used with respect to Retention are employees to stay in the organization? a) Yes b) No

If No, specify which strategy..................................................................... Q.8) Do you feel there needs to be a change in the retention Policies undertaken a) Yes b) No

BIBLIOGRAPHY

A) BOOKS: KOTHARI C.R., Research methodology, New Age Publishing House, Second Edition.

Gupta Shashi K. & Joshi Rosy, Human Resource Management.

(B) WEBSITES

www.google.com

www.scribd.com www.Flexituff.com

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