SUMMER INTERNSHIP PROJECT RETENTION OF IT EMPLOYEES: INDENTIFYING MOTIVATION, LOYALTY AND SATISFACTION FACTORS IN THE EMPLOYEES

BY: Harkiranjit Kaur 104762283652 MBA

About the company

Labs N Racks is a IT company which offers a wide spectrum of technical and applications courses designed to suit every skill level, as well as the ability to consult directly with organizations. VISION : Is to enable young people to learn early on in life. One of the most effective ways to bring change in society is to work on the flag bearers of future and empower them to realize their own ability. TURNOVER : 1 crore 30 lakh annually EMPLOYEES WORKING : 75

Need of the Study

1. To study the retention strategies adopted by the companies to retain their best employees.

2. The relation between retention strategies and its effect on motivation of employees and also the satisfaction factors of the employees. 3. How do these companies actually make their employees stay and motivate them to work better even at such hour of competitive market.

Objectives of the Study

1. To study the retention strategies adopted by the companies to retain their best employees.

2. To study the various factors relating to employee loyalty that serves as an effect on Employee loyalty, the effect of basic motivation factors and how do they help in retaining the employees and the satisfaction factors contributing to the employees satisfaction. 3. To understand what actually makes the employee stay in an organization what binds him to his work place.

Research Methodology
Descriptive research procedure is used for describing the present situations in the organization and analytical research to analyze the results by using research tools.
Research questionnaire was generated by carefully examining the retention factors and strategies adopted and on the factors based on personal interviews. Employees of the company, Labs N Racks were taken as participants.

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Both, primary and secondary data was taken into consideration with help of a survey through questionnaires and the subjects were approached according to the convenience by simple random method .

The sample size taken was 50.

Pilot Study : It is a small scale preliminary study conducted before the main research, in order to check the feasibility or to improve the design of the research. So I took a personal interview with each employee and took certain variables or factors for each major attribute that I had chalked out from the study I was about to conduct .

What is Employee Retention?

Keeping the right employees Loyal in the most appropriate Satisfied amount AND moving them up the retention curve Empowered
Engaged Motivated

Productivity
Morale Customer Satisfaction Customer Retention

Retention

Key Areas in Employee Retention

Compensation Environment

Support Relationship

Retention Strategies

Data Analysis and Interpretation

1. Loyal towards company on the basis of :

(a) Salary

(b) Market value of the company

54% of the employees agrees to regard salary as the basic factor to make them more loyal towards company.

56% of the employees thinks that market value of the company plays a vital role in making them loyal towards company.

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(c) Dedication and amount of work you have to put in till

date.

Most of the people i.e 42 % are not sure whether their hard work or dedication till date is making them more loyal to the company.

2. Motivation through New responsibilities, New perks, Support from Superiors.

(a) New responsibilities

(b) New Perks

40% of the employees think that the new responsibilities motivate them to work harder.

58% of the employees feel highly motivated with the new perks.

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( c) Support from superiors

66% of the employees seek support from their superiors and that really motivate them to work better.

3. Are you satisfied with the current job ?

Satisfaction from job

52% are satisfied in their present jobs in the company which as a overall effect is not such a god percentage of people satisfied in their jobs , 40% of the employees totally disagree when it comes to being happy with their jobs , 8% are still not clear about their job related status.

4. Not satisfied : Low salary, No work life balance, No growth opportunity, Policies and procedures not conducive, Uneasy relationship with peers or superiors ( only asked to those who were not satisfied with the job i.e 32 employees ) (a) Low salary (b) No work life balance

95% employees feel inadequate salary makes them unsatisfied. Which was a shocking result as the company as such holds record for good packages.

75% employees thought there is no work life balance when they work they have no time left for family.

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( c) No growth opportunity

(d) Policies and procedure not conducive

52% employees thought that there is no growth in the company.

People are not really sure about the policies and procedures as there not much difference between the people who agree and disagree

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(e) Uneasy relationship with peers or superiors

The employees feel that there is a very uneasy relationship with their colleagues and boss and there was too much power and politics prevalent in the company.

5. Current state of retention strategies

Satisfied with retention strategies

Maximum people are happy with the retention strategies that are there in the company at present and while only 16% disagreed with that.

6. Factors that make you happy : Offer salary hike, Offer training and development programs, Offer a promotion, Provides flexible hour work, Opportunities for international travel, Provide assistance for personal problems.

(a) Offer salary hike

(b) Offer T&D programs

81% of the employees said that they are happy with the salary hike as it helps them to retain in the company.

44% of the employees said that they were given good type of T&D when they started working here.

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(c) Offer a promotion

(d) Provides flexible work hours

87% employees felt that offering them a promotion as a advancement in their designation and salary together gave them a reason to stay back in the company and continue their services.

57% of the employees believed that they were given the facility to work from home and had a flexible work culture which reduces stress.

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(e) Opportunities for international level (f) Provide assistance for personal problems

Most of employees felt this as an unsure answer, as majority of them left this option as unsure thing.

None of them agreed for solving their personal problem as to retain in the company.

7. Rewarded/ Praised/appraised by your boss : Once a month, Once in 2-3 months, More than 3 months , Never/ very rare, On achieving targets.

34% of the employees receive appreciation from their superiors when they complete their targets 22% said that once in 3 months, 16% said once in 2-3 months, 10% felt they were hardly appreciated.

8. Training Programs provided :

44% of the employees disagree with the fact that adequate training is provided.

9. Transparency of communication :

Employees find that there is no direct communication with the management and there are many hierarchal block to cross. 58 % agree with this factor , 40% believe that there is transparent communication with the superiors.

10. Career development programs :

78% of the employees feel that the company provides them with adequate career development programs and other 22% feels they dont provide career programs.

11. Importance to physical fitness :

72% of the employees feel that the company pays no heed to their physical fitness. This question was put to understand the overall care that the company takes to make sure that the employees are healthy and in proper condition to work..

12. Work standards VS Satisfaction of employees :

(a) Work standards

(b) Satisfaction of employees

50% of the employees believes that the company has higher work standards.

52% of the employees rule out of the role Of the organisation in their satisfaction.

So, more emphasis is laid on the working standards than the Satisfaction of employees.

13. Comfortable with organization structure :

52% of the employees are comfortable with the organizational structure but there is not much difference between the people who says that they are not comfortable with the same.

14. Attributes of the organization: Openness,Confrontation, Trust/ dependability, Autonomy, Pro-activeness, Authentication Collaboration, Experimentation/innovativeness. (a) Openness (b) Confrontation

Employees think that the organization does not hold a culture of openness and they hold back their views.

Majority of employees do feel that the organization does confront them on various issues and consider them an integral part.

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(c) Trust (d) Autonomy

38% of the employees thinks that trust binds them with the organization. Rest are not able to associate themselves with the organization.

Only 26% employees agree with this factor, Conservative approach of the company is taken into consideration.

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(e) Pro-activeness (f) Authentication

46% of the employees feel that the organisation is not that proactive whereas 34% of the employees there are some that support this approach.

54% of the employees agree with the organisation trusting them and giving them authentication power.

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(g) Collaboration (h) Experimentation

A consensus could not be formed for this factor as same percentage of people agree on the companys initiative to collaborate while the same percentage of the people disagree on it.

64% of employees agree on the organizational efforts of bringing up something new with a tint of innovation here.

15. Future with the company

60% of the employees want to stay in the company and see their future with it. But one thing to be noted here is that there is not much difference between the people who do not see their future here which is again a very serious matter and the company should look into it.

Findings
The employees are happy working in the company and are satisfied with the work pressure. The employees are happy with the market value that the company hold presently. The salary hike needs to be revised. The power politics needs to be reduced a little there is a need of clear communication within the company. There is no work life balance so that needs to be kept in check too. The company should initiate the career development path of its employees along with the development of the organization. The company should pay more attention to the fitness regime of the employees. There is some kind of an uneasy relationship with their superiors so the environment of the work place is not so conducive.

Recommendations
Compensation and salary should be matching with the employees contribution to the organization. Periodic reviews of the employees satisfaction level should be done regarding to issues like salary, work position and environment etc. The company should initiate the career development path of its employees along with the development of the organization. People do not get motivated when they are burdened with additional responsibilities. So to retain them the company should better concentrate on rewarding the employees when they meet their targets as that are the best way they feel motivated to work.

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For the employees who are not satisfied, the company should pay more attention to the work life balance of the employees apart from salary hikes as those are the major reason for their dissatisfaction. The organization provides training to the employees but that is not very periodic the employees would want more clarity and defining of boundaries of their work. The company should pay more attention to the fitness regime of the employees may be give them free gym passes when they complete their targets or on weekends the employees can be given a lecture on healthy diets that help them in the long working hours of daily life. The company gives more importance to the work standards and very less to the satisfaction of the employees so it should keep in mind the dedication and hardwork that the employee puts in.

Limitations

The employees were not ready to fill the questionnaire either they were too busy or preoccupied to pay full attention to it. There was not enough time for proper personal one to one interview process. The employees were not giving honest feedbacks. The questionnaire could not be discussed at length with them to make them understand the point of view. Due to certain stumbling block as being an intern and temporary visiting person people were not ready to confide in. The results did come up a little unexpected due to time constraints and lots of probabilities.

The picture states the latest statement that corporate believes in Love them or Lose them