Staff turnover As HRM issues Prepared By Ashma Upadhyay Md Ifthakharul Alam Nagendra Koirala Praveen...
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Transcript of Staff turnover As HRM issues Prepared By Ashma Upadhyay Md Ifthakharul Alam Nagendra Koirala Praveen...
![Page 1: Staff turnover As HRM issues Prepared By Ashma Upadhyay Md Ifthakharul Alam Nagendra Koirala Praveen Bisht Rohith Reddy McDonalds Wentworthville.](https://reader033.fdocuments.us/reader033/viewer/2022051417/56649e595503460f94b52e20/html5/thumbnails/1.jpg)
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Staff turnover
As HRM issues Prepared By
Ashma UpadhyayMd Ifthakharul Alam Nagendra Koirala Praveen Bisht Rohith Reddy
McDonalds Wentworthville
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McDonalds Australia
• In 1971, 1st Mcdonald’s restaurant in a Sydney suburb called Yagoona
• over 780 McDonald's across Australia, • 85,000 people employed in restaurants and
management offices • 2/3 restaurant businesses owned and operated by
franchisees.
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Franchisees
An individual who purchases the rights to use a company’s trademarked name and business model to do business
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Goal
• good food friendly and fun environ. • socially responsible company • good returns to its shareholders
provide customers
>food of a high standard,
>quick service
>value for money
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McDonald’s Wenworthville
• Great Western Highway, western suburb of Wentworthville
• Established in the year 1992• Franchise restaurant of McDonalds' Australia • The restaurant is open 24/7
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Work station in Mc wenworthville
Front Area• walk in and buy food. • open from morning 5am to 11pm. • facilities of eat-in/take away
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Work station in Mc wenworthville
Drive through• It is open 24/7.• People drive through the lane. Their orders are taken,
processed and handed to them within a designated period of time (2:45 seconds)
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Work station in Mc wenworthville
Mc Café
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Work station in Mc wenworthville
This section of the restaurant, the food is made.
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Employees structure in Wentworthville MacDonald’s
• 14 managers and 160 staffs. • All the managers are full time employees • The staffs are hired as full time, part time and casual
employees• Majority of the staffs’ i.e. 85% of them are casuals.
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Organizational structure of Wenworthviille MacDonald’s
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Problem Identified
• One of the main problem faced by the McDonalds at Wentworthville is High Employee Turnover Rate.
• What is Employee Turnover rate ?
– Employee turnover is a ratio comparison of the number of employees a company must replace in a given time period to the average number of total employees.
• It’s a huge concern to most companies as employee turnover rate is a costly expense.
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Employee Turnover
• Financial performance as well as the morale of the employees is affected.
• High employee turnover rates cannot be solved easily or swiftly.
• Turnover rates have an impact on profitability, and even survival.
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Employee Turnover Rate in Australia
• Cost Australian organizations more than $100 billion in 2008 (Source: Unisys)
• According to Mercer Human Resource Consulting in Australia 25% employees were planning on looking for a new job
• Rise in staff turnover is hitting business hard
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Factors
• Demographics• The person • Unrealistic expectations • The characteristics of the job • The organizational culture • The performance of the organization • The economy
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Reasons For McDonald’s High Turnover Rate
• Poor Recruitment Process
• Lack of motivation/
• High workload
• Job instability
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“Evaluate what you want – because what gets measured, gets
produced”
Performance Appraisal
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Aims of Performance Appraisal
• Motivate employees• Feedback on performance• Identify employee training needs• Provide the opportunity for organizational
diagnosis and development• Facilitate communication between employee and
administration
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Raters and Method
Raters
• Shift Managers and Assistant managers
Method
• Balanced Score card Performance management technique which evaluates organisational performance in
areas including people, internal operations, customer satisfaction and finance.
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Existing Performance Appraisal
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Proposed Performance Appraisal
• Discriminating on the basis of performance
“Employee of the Month”• Rewarding performance
“Bonus”• Developing employees
“Training”• Giving feedback to employees
“Individual Feedback Session”
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Recruitment
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Solutions
• Changing Recruitment policy
• Enlightening Interviewing questionnaires
• Practical and open internal recruiting process.
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Recruitment policy
Current Framework• Saving money by recruiting more under18 staff• Giving casual positions instead of giving part-time or full-
time positions
Suggested Framework• Recruit more matured and motivated staff regardless of
their age.• Evenly distribute part-time and full-time positions as
required.• Sufficient staffs should be available to avoid worklo0ad
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Interview Questionnaires
• What was your previous job and why did you leave it? • Where do you see yourself in 3 years of time in the
organization? • Are you interested in the management department of
the organization?
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Recruitment Methods
• This helps to promote the motivation and security in staff
• Internal recruitment should be made more practical and open.
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Exit interview
Exit Interview ?
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Purpose of Exit interview• Innovative way to reduce high staff turnover in Mc
Donald.• Sample Questions
– What is your primary reason for leaving?– Were you happy with your pay, benefits and other
incentives? – What did you like most about this company? – What did you like least about this company?– What does your new company offer that this company doesn't?
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Recruitment policy• Age independent, motivated staffs should be recruited• Job security should be enhanced.
Performance Appraisal • Employee growth and development• Performance feedback• Rewarding performance
Conclusion
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References
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