Employee Motivation and Effect the Organization's Turnover Rate
Using feedback from the assignments in Topics 5-7, create your final business proposal document. Evidence of revision from instructor feedback will be assessed on the final business proposal, which should include each of the sections listed below.
Executive Summary (250 words) provides a short summary of the entire proposal so key stakeholders can see an overview of the proposal and understand it without reading the entire document.
Purpose Statement (100-250 words) provides clear statement of why the business proposal is being made.
Problem Statement (revised as needed from Topic 1 assignment feedback) including specific data (statistics and numbers) related to how the problem impacts the business. This part of the proposal should include the graph/chart/data you collected in Part 1 of the Topic 2 assignment.
Data and Research Findings (250-500 words) should include a summary of what you learned from conducting research related to what has already been done to address the organizational problem. This part of the proposal should include the graph/chart/data you collected in Part 2 of the Topic 2 assignment.
Proposed Solution (250-500 words) should include a summary of the top three problem solutions you considered to address the problem. In addition to including the graph/chart/data you collected in Part 3 of the Topic 2 assignment, this section should provide a succinct discussion of the pros and cons of implementing each of the top three solutions being considered to address the problem.
Stakeholder Analysis and Benefits (500 words, revised as needed from Topic 3 assignment feedback) summarizes all data and information related to the key stakeholders affected by the proposed problem solution along with a summary of benefits to be gained by stakeholders if the problem solution is implemented.
Change Management Plan (250-500 words) clearly articulates specific methods and strategies to be utilized to manage organizational changes associated with the selected solution implementation.
Implementation Methods (250-500 words) summarize specific strategies that will used to implement the problem solution, including time and costs associated with implementation of the solution.
Evaluating Success (250 words) summarize specific measures you will use to evaluate the success of the problem solution.
Conclusion/Call to Action (100 words) provides specific steps you would like key stakeholders and sponsors to take in the implementation of the proposed solution.
It is important to include specific data throughout the business proposal. Include statistics that support the problem statement that can be used to establish and track goals; relate to specifics of implementation, timing, and cost; and illustrate stakeholder benefits. The proposal is an internal document that will be read by stakeholders within the organization where the problem exists, so keep this in mind and focus on this audience as you write. Within the Word document, include subsection titles to organize content according to the categories listed above to provide easy reference points for the reader.
Business Proposal Project: Employee motivation/morale has the capacity to affect the organization's turnover rate.
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Executive Summary
Any organization should realize that every time it fires an employee, it costs money, and the cost of hiring a new replacement is equally incurred. It is worth noting that some factors such as low motivation or low morale impact organizational turnover rate significantly. Companies that manage to keep employees motivated throughout the year have the capacity to avoid high turnover rate-related costs. According to Bartlett (2001), low morale increases the turnover rate in the organization by building an atmosphere where employees find the excuse to leave the company. In contrast, employees with high morale will least likely leave an organization. Managers have a critical role in both morale and employee turnover. Companies that make employees feel undervalued, ignored, or helpless tend to record a high demotivation rate, hence triggering a high turnover ratio. Improving workplace morale is the critical role of managers in order to decrease turnover rate and, subsequently, high employee retention rate. Accordingly, some of the most important ways to reduce the turnover rate in an organization include adequate compensation plans, creating opportunities for employee advancements, increased communication, validating good work, developing mentorship programs, and creating open-door policies. Low motivation and low morale increase turnover rate, and companies that desire turnover rate issues must always address issues pertaining to morale and motivation. Benefits such as performance-based incentives, work and family balance, sick holidays, and others allow the company to increase motivation and manage employee turnover rates.
Purpose Statement
This paper aims to determine how motivation and morale contribute to company turnover rates. The paper seeks to create a connection on how many things significantly bring about low motivation and low morale in an organization, including underpayment of salaries, lack of job security, or constant criticism by managers. The paper further explores what happens when low morale and low motivation are not addressed. According to Pongoh (2014), when issues related to morale and motivation are not addressed with the necessary urgency many employees are forced to seek alternative organizations perceived to offer the right rewards, the right culture, or the right work and family balance working. This means that companies that record-high turnover rates as a result of low motivation and low morale are exposed to extra costs. The high turnover rate in a company causes negative effects such as depleted team morale from additional workload left by departing colleagues, damaged company brand, decline in productivity, and possibly high employee tardiness. Therefore, it is important to understand the connection between morale/motivation and turnover rate in a company.
Problem Statement
Our key problem issue is to explore how employee motivation/morale can affect the organization's turnover rate. Our research hypothesis is:
* Poor morale and poor motivation are the major cause of the high employee turnover rate in today's organizations.
* Increased employee turnover causes increased customer dissatisfaction and overall disruption of service delivery
The turnover rate in any organization is influenced by low motivation and low morale, which are attributed to the poor physical infrastructure of the company and poor leadership of the company. As seen in this chart, a high turnover rate arises from one or more of the following factors.
153035231774 The infrastructures in business The infrastructures in business2228586236220Employees/workforceEmployees/workforce3216011227330The training processesThe training processes1215127231907The leadership processesThe leadership processes
152400215900Issues with ITIssues with IT1219200215900Leaders overworkingLeaders overworking2222500241300The entitlement of employeesThe entitlement of employees3225800228600Poor trainingPoor training
13970076200Poor structurePoor structure119380076200Leaders being disengaged Leaders being disengaged 222250088900Laziness in the workforceLaziness in the workforce323850076200Not having emotional intelligenceNot having emotional intelligence
2246103301206Disengaged workforceDisengaged workforce1200150215900Poor entitlement of leaders Poor entitlement of leaders 152400201295Poor communicationPoor communication3225800266700Poor performance qualities Poor performance qualities
16192546355Standards that are not consistentStandards that are not consistent118935593980Laziness among leadersLaziness among leaders
Technically, poor leadership infrastructure means that the communication level and conflict management issues are least addressed as expected. All these issues left unaddressed impact employee motivation/morale negatively and potentially affected the organization's turnover rate. As such, the problem is to understand in detail how employee motivation/morale has the capacity to affect the organization's turnover rate. Arguably, most employees feel that there is a lack of job security when there is a limited connection between them and the company leadership. Also, poor employee motivation in an organization is attributed to the lack of strong management and training. Clearly, companies have a major duty to understand all factors that cause employees to get demotivated and implement changes as early as possible. Limited interest in factors affecting employee welfare and well-being in the company is a major cause of the high turnover rate. Today's workplaces are significantly changing, and companies must focus on building reputations and protecting them. Protecting organizational reputations starts with enhancing workplace motivation/morale and making it impossible for employees to quit for other companies.
Losing valuable employees is costly, and it is important that any company finds ways to prevent a high turnover rate. Employers must explore the reasons behind the employees' decline in desire, high absenteeism rate, and the overall decline in performance. Understanding these reasons sets the basis for improving morale and motivation even through new strategies such as increased monetary compensations, increased performance recognitions, job security guarantees, improvement in work-family balance, and improving workplace culture.
Data and Research Findings
Our study sought to explore the rate of employee turnover in an organization and determine, where necessary, the causes of the employee turnover rate. In the figure below, the response rate from selected employees indicates that 59% of them agree that the company has a very high rate of turnover. Seventeen percent of them argued that the turnover rate was high, and the rest stated that the turnover rate was average and low.
Some of the reasons causing the high turnover rate in the company, according to respondents, are tabulated as follows:
Reasons for turnover rate
Mean
Standard deviation
Poor employee retention strategies
4.3
0.57
Low employee motivation
4.07
0.74
No career development opportunities
4.11
0.63
Poor working environment
3.78
0.81
16287754261485Figure SEQ Figure \* ARABIC 1Figure 11628775228028500As observed in the above table, the majority of respondents agree that poor retention strategies, including good pay, are the main causes of employee turnover in the company. The second highest mean indicate that low employee motivation strategies are the sole cause of the high turnover rate in the company. Other respondents agree that lack of career development and a poor work environment cause a high turnover rate. Arguably, all these factors impact employees in many ways. Any company that fails to address these factors gives employees reasons to quit the company for better opportunities outside the company. The research further explored the impacts of turnover rate on an organization's productivity. According to respondent high turnover rate affect the company significantly. In the figure below, it is clear that 82% of employees agree that a high turnover rate negatively impacts the organization. Only 13% of the respondents state that a high turnover rate does not affect performance. When respondents were asked what they felt when the organization turnover rate was high, the majority agreed that productivity was high. In the table below, data on the extent to which the cause of high employee turnover affected employee productivity is tabulated.
Causes of employee turnover
Mean
Std. dev
Variance
Poor retention strategies
4.6