TABLE OF CONTENTS

Chapter No. I II III 1 LIST OF TABLES LIST OF CHARTS EXECUTIVE SUMMARY Introduction 1.1. To the Industry 1.2. To the Company 1.3. Need for the Study 1.4. Objectives of the Study 1.5. Scope of the Study 1.6. Limitations 2. 2.1. Review of Literature 2.2. Theoretical Background 3. Research Methodology 3.1 Hypotheses 3.2 Research Design 3.3 Census Study 3.4 Data Collection Method 3.5 Time frame 3.5 Tools & techniques for Data Analysis 4. 5. Analysis and Interpretation 5.1 Findings 5.2 Suggestions 5.3 Conclusion BIBLIOGRAPHY ANNEXURE Chapter Page No.

VI VII VIII

9 8 6 7 8 9 21 24

33 33 34 34 34 35 36 64 66 67 68 69 1

I. LIST OF TABLES

Chart No.

Title Attrition Rate For One Year(MARCH2009 JUNE2010)

Page No. 33 34 35 36 37 38 39 41 42 43 44 45 46 47 49 50 53 54 57

4.1.1 4.2.1 4.2.1.1 4.2.1.2 4.2.1.3 4.2.1.4 4.3.1 4.4.1 4.5.1 4.6.1 4.7.1 4.8.1 4.9.1 4.10.1 4.11.1 4.12.1 4.13.1 4.14.1 4.15.1

Weighted mean score of individual factors Job Related Factors Weighted mean score of nature of job Weighted mean score of supervisor Weighted mean score of department Weighted mean score of Technical Training Weighted mean score of organization factors Weighted mean score of economic factors Overall Weighted mean score of factors Age Wise Distribution of Respondents Educational Level of Respondents Department of the Employee Reason for employee leaving Reason for employee joining ANOVA - Education Vs Individual factors ANOVA- Education Vs Job Related Factors ANOVA- Department Vs Individual Factors ANOVA-Department Vs Job Related Factors ANOVA- Department Vs Organization Factors

II.LIST OF CHARTS
Chart No. 4.1.1 4.2.1 4.2.1.1 4.2.1.2 4.2.1.3 4.2.1.4 4.3.1 4.4.1 4.5.1 4.6.1 4.7.1 4.8.1 4.9.1 4.10.1 Job Related Factors Weighted mean score of nature of job Weighted mean score of supervisor Weighted mean score of department Weighted mean score of Technical Training Weighted mean score of organization factors Weighted mean score of economic factors Overall Weighted mean score of factors Age Wise Distribution of Respondents Educational Level of Respondents Department of the Employee Reason for employee leaving Reason for employee joining 35 36 37 38 40 41 42 43 44 45 46 47 Title Weighted mean score of individual factors Page No. 34

EXECUTIVE SUMMARY In the current scenario of high economic growth and rapid globalization, the fight for talent is becoming increasingly intense. Talent or human resource is a major asset for any company. Company Invest high amount of money for their recruitment, selection & training and what happens to company if these Talents or Employees leave the organization in short while seeking new opportunities. Organizations have now started realizing that the systematic attention to human resources is the only way to increase organizational efficiency in terms productivity, quality, profits and better customer orientation. The study has been accomplished in QUANTUM KNITS Pvt ltd, Arasur, Coimbatore. Attrition is the realistic problem faced by the company .In Quantum Knits employee is selected for work in contract basis of two years. The problems faced by the company are The company quit the employees those who are not returning to the job even after the vacation leave (i.e after six months) which has been permitted and also find difficult in engaging new employee in place of left employees. So used my efforts in reducing attrition rate of the company. The study has been divided into 3 stages, The first stage of the project deals with collection of information from the contract employee who left during the of my study with the help of a questionnaire. In the second stage, analysis of the data has been done using percentage analysis, weighted mean score, & anova. The analysis reveals the factors which influence employee attrition.secondary data is analyzed to find out the attrition rate of company. In the final stage, certain suggestions on controlling employee leaving are put forward. Some possible ways for reducing attrition and improving the relationship between the employees and managers are also discussed.

INTRODUCTION

1.1 INTRODUCTION TO ATTRITION Defining Attrition: A reduction in the number of employees through retirement, resignation or death is called Attrition. Attrition is also called total turn over or wastage rate. Defining Attrition Rate:

In December 2006, a consortium of private equity funds including Ares

Investments, Brandot Investments and Argonaut invested about Rs 1.05bn acquiring 11% combined stake in the company.

The rate of shrinkage in size or number of employees is known as Attrition rate. It is usually expressed in percentage. Concept of Attrition: Turnover means a change. A change in financial status of organization is called the financial turnover. Change in the number of employees of an organization is called attrition. It is a major problem of economics across globe. Any kind of increase & decrease in human resources is known as employee turnover/attrition. Good organization prepare a regular report of employees joining or leaving the organization in a month over a period of time Attrition refers to the movement of employees in and out of a business. However, the term is commonly used to refar only to wastage or the number of employees leaving. In every organization, some employees quit employment, causing vacancies new persons are recruited to fill such vacancies. Such separatism & additions to labour forces are refered to as attrition. High attrition rate causes problems for business. It is costly , lowers productivity & morale & tends to get worse if not deal with. Reason for Leaving: The reason are various behind leaving an organization & any attempt to find one comprehensive explanation for this phenomenon would be futile. Though the rising attrition within industries is a well-discussed topic but very few HR executives have been able to pinpoint the 'exact' reason for this growing trend. A recent Hewitt 'Attrition & Retention' survey shows one of the top reasons for talent attrition to be "external inequity in compensation". They also show that 27% of the employees in their EXIT interview mentioned compensation as the primary reason. It comes no surprise to many that money is an important factor but what besides this, there are several factors that influence an employee's decision to leave. Those days are gone when salary was the sole motivator for an employee to leave an organization. According to a survey there are three main reasons that are followed by other common reason: * In equity in compensation 6 OTHERS

* Limited career opportunities INDIVIDUAL RoleAFFECTING ATTRITION Related FACTORSORGANIZATIONAL

To support expansion, KPR raised Rs 1.33bn through an IPO of 5.91mn equity shares of Rs 10 each in August 2007. The issue was priced at Rs 225 per share and was oversubscribed by 1.19 times, receiving good response from the investors. Mr. K.P. Ramasamy, the chairman of the company, brings with him rich experience of 38 years in textile industry particularly in the production and marketing of woven fabric, knitted apparel and cotton yarn along with experience in yarn and fabric dyeing industry.

KPR's Journey into textiles began in the year 1984, in 1989, the group ventured its unit Quantum Knits into garment exports. Today Quantum Knits is a leading garment exporter as well as a largest vertically integrated apparel company, engaged in manufacturing and marketing readymade knitted garments, knitted fabrics and cotton yarn. KPR Cotton Mills Private Limited, now known as KPR Mill Limited, was originally incorporated on March 19, 2003.
Management

Quantum Knits is managed by a qualified team with many years of relevant experience in the textile-and-apparel industry. Key people of note: Mr.K.P.Ramasamy, Whole-time Chairman and Non-independent and Executive DirectorBusiness. Mr.K.P.D.Sigamani, Managing Director and Non-independent and Executive DirectorBusiness. Mr.K.P.Nataraj, Managing Director and Non-independent and Executive DirectorBusiness. Mr.K.P.Ramasamy, Mr.K. P. D. Sigamani and Mr.Nataraj are brothers.

Accreditations

Quantum Knits is one of the few companies in India, to have received international accreditations in respect of production activities like ISO: 9001:2000 for guaranteeing quality norms, ISO 14001: 2004 for the environmental standards and SA 8000: 2001 for the social accountability management.

KeyStrengths

Quantum Knits

has significant operational experience in the apparel business

thereby providing it considerable expertise and industry knowledge. Some of the strengths that aid Quantum Knits to compete successfully in the market are; A vertically integrated producer of readymade knitted apparel, knitted fabrics and carded & combed cotton yarn with the benefit of economies of scale and quality control at each stage of manufacturing process.

The ability to procure substantially all of its raw materials at the lowest price of the season when quality is at the best, facilitates the company to produce homogeneous, high quality yarn and fabrics throughout the year KPR operates at high productivity and efficiency levels with highly automated production facility . Substantially self sufficient in generating power through windmills which lowers the energy cost. KPRs power cost per unit is just 2.7% as compared to industry average of 8.1% Has a distinctive model of attracting, training and retaining the workforce. KPRs employee cost is just 3.3% as compared to industry average of 8.3% Strategically located operations help to reduce material handling cost and facilitate immediate feedback on the quality of the product. An enterprising management team with rich experience in textile and apparel industry. Ever increasing and diversified customer base, a testimony to the quality and customer service practices followed. Strong financial position helping to expand and explore the possibilities. Cutting edge technology, prudent inventory management, motivated workforce and stringent quality assurance norms.

Synopsis

 Large scale of operations catering to a wide range of customer contracts Orders range from batches of 10,000 to 2 million garments Fully equipped modern manufacturing facilities based in Coimbatore Capacity to produce 2.5 million garments per month Achieved recognition through extensive quality certifications which includes , ISO 9001, ISO 14001, SA 8000, WRAP, ETI, GOTS & OE and OEKO TEX. Specialized in the manufacture of T-shirts, outer wear,active wear & childerns garments for the customers like Tesco, Decathlon, Wal-mart, Carrefour, Southpole, among others 3500+ dedicated and strong workforce across various functions
CLIENTELE

USA

EUROPE M & S-UK DECATHLON FRANCE TESCO UK CAREFOUR - FRANCE KIABI FRANCE TEMA- TURKEY AUCHAN FRANCE

AUSTRALIA K-MART

WALMART

SOUTHPOLE SEANJOHN

LEVIS STRAUS

10

VERTICALLY INTEGRATED PRODUCTION FACILITIES Garmenting Printing Embroidery 1Lakh Pcs/Day - 1000 Pcs/Day - 3000 Pcs/Day

PRODUCT RANGES GARMENTS T-shirt Polos Tank tops Vests Cardigans Active wear Body suits SPECIALITY 450 ton Fabric ware house

QUANTUM Specialities Prints (plastisol, pigment, Glitter, Foil) Embroideries (Applik ,Die cut) Sequence, Studds& Bead work Garment Tie & Die and Dip Die Garment Die

Imported cutting machine , Sewing machines, Embroidery & Printing

machine.

11

1.3. NEED FOR THE STUDY

The success of any manufacturing organization depends largely on the workers, the employees are considered as the backbone of Quantum Knits Private Ltd. This study is focused in finding out the reason that influence employee quitting their job and thereby reducing attrition rate of the company. This study helps in finding the interest and the feelings of the employees towards the nature of job and their working in organization. This study can be helpful to the management to improve its core weaknesses by the suggestions and recommendations prescribed in the project. This study can serve as a basis for measuring the organization overall performance in terms of employee satisfaction. Since they are considered as backbone of the Company, their progression will lead to the success of the Company.

12

1.4. OBJECTIVES OF THE STUDY To calculate the attrition rate of the contract employees in the Quantum Knits. To identify the reason for contract employee leaving the company. To offer suggestions to reduce attrition.

13

1.5. SCOPE OF THE STUDY Human resources form an integral component in any business. In fact there is nothing wrong in saying that the human resources form the backbone of any organization. Nothing can really match the strength of highly motivated and enlightened workforce. Human resources are the repository of knowledge and they provide competitive advantage to any organization. At this juncture of rapid changes it is very necessary that the organization retain their manpower for quite a long period. Attrition is a serious problem that the organizations face today. This study deals into the key aspects by which this serious problem can reduced to certain extend. This study can help the management to know where the company is lagging behind and helps to improve its internal and external environment. The project throws light through valuable suggestion to decrease attrition rate in the organization. This study can help the management to find the weaker parts of the employee feels towards the organization and also helps in converting those weaker part in to stronger by providing the optimum suggestions or solutions. This study has a wide scope in any kind of organization since attrition is general one and makes the employees to put forth their practical difficulties and need factors in the organization.

14

1.5 TIME FRAME The period of the study was for two months from May- July 2009 (12.05.09 12.07.09).

1.6 AREA OF STUDY The study is carried out in Quantum Knits of Arasur Coimbatore

1.7. LIMITATIONS Despite my best efforts, I feel that the study has a few limitations which are Listed below: The suggestion in this study for the company improvement is based on the views given by leaving employees it may vary when the sane questionnaire with active employees. Employee hesitation in filling the Questionnaire and they are panic in giving their views about the company. The data collected in the study will be valid for few months. Hence the result obtained might not be helpful for the management after a period of months. The survey was conducted only in Quantum Knits. Hence the result arrived from the study may or may not be applied to other area.

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CHAPTER 2 2.1 REVIEW OF LITERATURE

Review of related concept and past studies will give a holistic picture that in turn will help the researcher in analyzing and understanding the current problem in proper perspective.An attempt is made in this chapter to review the concept of study. March & Simon (1958) had conducted a study on attrition (LabouTurnover). This study is based on indication in their model of determinates of LABOUR TURNOVER THAT job satisfaction is the principle ever affecting employee perception of the desirability of movement .We can judge the extent to which their model has been influenced by the frequency with which it is cited by contemporary theorists (Hum &Griffeth 1995; Krishchenlaum and Mano Negris 1999).Indeed, Lee & Michel (1994) indicated that the success of this model may have hampered research. March & Simons (1958) landmark chapter on the decision to participate may have overly influenced the subsequent conceptual model of employee turnover. Weitz (1952) had conducted a study on LABOUR TURNOVER. This study is based on argument that job dissatisfaction would be more predictive of turnover if it was considered in the light of an individuals predisposition to be satisfied with everyday life event. In the present study it was hypothesized that affective disposition moderates the relationship between job satisfaction and voluntary turnover. Using data collected from a small sample of Nurses, support was indicated for the hypothesis individual dissatisfied with their job but positively disposed to their life in general were the most likely individuals to quit. Furthermore, the relationship between job dissatisfaction & turnover was moderately strong for those with positive dispositions but negligible for those with empirical work over the years has clearly established that the role of job satisfaction in predicting turnover is significant

16

DESIKAMANI.G(2004) says in her article that Lack of good leaders who can motivate andguide their teams well is a significant reason for the high rate of attrition in the industry.Employees dont leave organizations but their managers. There has been a phenomenal change in employee perception of loyalty over the last decade and is especially true of knowledge workers. What the organization can expect from an employee has dramatically changed from loyalty tocommitment-to-cause and so has the factors causing them.Deficiencies like inability to influence employee perception of growth; not aligning employees to roles based on their individual talent, inflexibility in leadership styles, are causing conflicts at a very intrinsic level, resulting in employees choosing the proverbial easy way out.They attempt to change the manager or work environment and hope for the best to happen. ABRAHAM.T(2006)Attrition is a phenomenon affecting any business organization in the industry. Over thepast few years, organizations have taken an increased interest in aligning their HR practices totheir business goals. Where as the deficiencies like inability to influence employee perception of growth; not aligning employees to roles based on their individual talent, inflexibility in leadership styles, are causing conflicts at a very intrinsic level, resulting in knowledge employees choosing the proverbial easy way out. Employees thus attempt to change the manager or the work environment, resulting in employee attrition. CONCLUSION: In Organization, the reason for employee quitting their job is due to lack of job satisfaction and manager handling.

17

CHAPTER 3 RESEARCH METHODOLOGY

RESEARCH: Research can be defined as an organized, systematic, data-based, critical, objective, scientific inquiry or investigation into a specific problem, undertaken with purpose of finding answers or solution to it 3.1. HYPOTHESES FRAMED: 1. There is significant difference in level of response between education in respect of individual factors influencing decision to leave 2. There is significant difference in level of response between education in respect of job related factors influencing decision to leave. 3. There is significant difference in level of response between Department in respect of individual factors influencing decision to leave. 4. There is significant difference in level of response between Department in respect of job related factors influencing decision to leave. 5. There is significant difference in level of response between Department in respect of organisational factors influencing decision to leave. 3.2 RESEARCH DESIGN: Having identified the variable in a problem situation and developed the theoretical framework, the next step is to design the research in a way that the required data can be gathered and analyzed to arrive at a solution. A Descriptive study is undertaken for this study in order to ascertain and be able to describe the characteristic associated with subject employee attrition.

18

Census Study: The total number of employees resigned over the period of my study from MayJune was 102 and this fully was taken for the survey. 3.3. METHOD OF DATA COLLECTION: Data source: Data can be obtained from primary or secondary data. In this study, primary data is collected from the leaving employee by conducting EXIT INTERVIEW in the form of questionnaire. Secondary data is taken from company record, website for this study. Further the data were also collected from journals, magazine, relevant articles and news paper. Data collection tool: Questionnaire is an efficient data collection mechanism for getting views from the respondents.In this study, questions are framed by using Likert Scale. Pilot Study: The questionnaire meant for the respondents was pre tested with 30 respondents, who are working in the company. After pre testing necessary modification were made in the questionnaire to fit in on tract of the present study. 3.4. TOOLS AND TECHNIQUES USED FOR ANALYSIS: The data has been analyzed both descriptively as well as using the statistical software- SPSS. Following statistical tools are used for analyzing the collected data.

19

Percentage Analysis: This analysis was made to determine the percentage of respondents fall under each category of personal details, this helps to standardize the respondents on various aspects. Weighted Mean Score: This analysis uses to know the satisfactory level of the respondents and the rank is given to variables based on the mean score. Anova: This technique is used in examining the difference in mean values of dependent variable for several categories of a single independent variable (or) factor.

20

CHAPTER 4 4.1 ANALYSIS AND INTERPRETATION

Researchers often find data analysis the most enjoyable part of carrying out a study, since after all the hard work and waiting they get the chance to find out the answers. If the data does not provide answers, that presents yet another opportunity for creativity! So analyzing the data and interpreting the results are the reward for the work of collecting the data. The usual analysis approach is to begin with descriptive analysis, to explore and gain a feel for the data. The analyst then turns to address specific questions from the study aims or hypotheses, from findings and questions from studies reported in the literature, and from patterns suggested by the descriptive analysis. Before analysis begins in earnest, though, a considerable amount of preparatory work must usually be carried out.

ANALYSIS - MAJOR OBJECTIVES

Evaluate and enhance data quality Describe the study population and its relationship to some presumed source. Assess potential for bias (e.g., non response, refusal, and attrition, comparison groups) Estimate measures of frequency and extent (prevalence, incidence, means, and medians) Estimate measures of strength of association or effect Assess the degree of uncertainty from random noise (chance) Control and examine effects of other relevant factors Seek further insight into the relationships observed or not observed Evaluate impact or importance

21

ATTRITION RATE FOR ONE YEAR (MAR 09-JUNE 10):

ATTRITION RATE =

Number of Left In a Month * 100

Strength + New Join

S.NO 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 MONTH MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER JANUARY FEBURARY MARCH APRIL MAY JUNE LEFT 105 141 141 245 272 232 196 125 178 78 95 69 97 129 110 256 JOIN 90 448 334 457 146 152 145 98 164 82 91 159 130 362 163 457 STRENTH 2653 2957 3157 3378 3230 3151 3041 3076 3059 3054 3049 3119 3177 3405 3352 3430 ATTRITION% 3.83 4.14 4.04 6.39 8.06 7.02 6.15 3.94 5.53 2.49 3.02 2.10 2.93 3.42 3.13 6.59

The above graph shows the trends in number of resignations per month for one year from Mar 09-jun10..It can be observed that attrition is high from month june to august when compared to other months.It is observed that the trend line is highly fluctuating.

22

SOURCE: Secondary Data 4.1. INDIVIDUAL FACTORS: Table 4.1.1 ITEM DESCRIPTION CAREER DEVELOPMENT OPPORTUNITIES TEAMWORK MOTIVATION WORK RESPONSIBILITIES FREEDOM IN WORK WEIGHTED MEAN SCORE 4.68 4.62 4.42 4.67 4.67 Chart 4.1.2 RANK STANDARD DEVIATION 0.69 0.73 0.86 0.55 0.76

1 4 5 2 2

From the table it can be seen that, the calculated weighted mean score for all the five items in the individual factors of employee attrition are given higher and closer ratings with mean scores ranging from 4.42 to 4.68 on a five point scale by the respondents. Further career development opportunities are rated to be the highly important individual factors influencing employee attrition.

23

4.2. JOB RELATED FACTORS: 4.2.1 The Nature of Job Table 4.2.1.1 ITEM DESCRIPTION JOB REQUIREMENTS JOB BOARING JOB SATISFACTION RE-EMPLOYMENT INDEPENDENT THOUHT & ACTION WEIGHTED MEAN SCORE 4.75 3.24 4.49 3.57 4.35 Chart 4.2.1.2 RANK 1 5 2 4 3 STANDARD DEVIATION 0.57 1.59 0.74 1.17 0.83

From the table it can be seen that, the calculated weighted mean score for all the five items in the nature of job under job related factors of employee attrition are given higher and closer ratings with mean scores ranging from 3.24 to 4.75 on a five point scale by the respondents.

24

Further job requirements are rated to be the highly important in the nature of job under job related factors influencing employee attrition.

4.2.2. Supervisor Table 4.2.2.1 ITEM DESCRIPTION SUPERVISOR TREATING LINE TECHNICIAN FEEDBACK FOR PERFORMANCE WEIGHTED MEAN SCORE 4.42 4.35 4.54 RANK 3 2 1 STANDARD DEVIATION 0.84 0.85 0.67

Chart 4.2.2.2

From the table it can be seen that, the calculated weighted mean score for all the five items in the supervisor under job related factors of employee attrition are given

25

higher and closer ratings with mean scores ranging from 4.35 to 4.54 on a five point scale by the respondents. Further supervisor treating are rated to be the highly important in the supervisor under job related factors influencing employee attrition.

4.2.3. Department Table 4.2.3.1 ITEM DESCRIPTION WORKING CONDITION WORK LOAD WORKING HOURS RESOURCES WEIGHTED MEAN SCORE 4.28 3.92 4.30 4.00 Chart 4.2.3.2 RANK STANDARD DEVIATION

2 4 1 3

0.79 0.92 0.82 0.99

From the table it can be seen that, the calculated weighted mean score for all the five items in the department under job related factors of employee attrition are given

26

higher and closer ratings with mean scores ranging from 3.92 to 4.30 on a five point scale by the respondents. Further working hours is rated to be the highly important in the department under job related factors influencing employee attrition.

4.2.4. Technical Training Table 4.2.4.1 ITEM DESCRIPTION WEIGHTED MEAN SCORE TECHNICAL TRAINING 4.17 TIME SETTLEMENT 4.49

RANK 2 1

STANDARD DEVIATION 0.85 0.88

Chart 4.2.4.2

From the table it can be seen that, the calculated weighted mean score for all the five items in the technical training under job related factors of employee attrition are

27

given higher and closer ratings with mean scores ranging from 4.17 to 4.49 on a five point scale by the respondents. Further time given to get settled with work environment is rated to be the highly important in the technical training under job related factors influencing employee attrition.

4.3. ORGANIZATION FACTORS: Table 4.3.1 WEIGHTED MEAN SCORE 4.35 4.25 PROBLEM SOLVING EMPLOYEE BENEFITS HOSTEL BENEFITS DISPLINARY PROCEDURE INCENTIVE HR 4.00 JOB SECURITY 4.68 COMPANY AS A PLACE TO WORK REFERING FRIEND 4.66 4.40 2 3 6 0.59 0.54 0.88 9 1.14 3.89 4.22 4.22 4.57 4.70

ITEM DESCRIPTION COMMUNICATION RELATIONSHIP

RANK

STANDARD DEVIATION 0.80 0.88 1.04 2.65 2.65 0.83 0.93

5 7 10 8 8 4 1

28

Chart 4.3.2

From the table it can be seen that, the calculated weighted mean score for all the five items in organizational factors of employee attrition are given higher and closer

29

ratings with mean scores ranging from 3.89 to 470 on a five point scale by the respondents. Further incentive is rated to be the highly important in the organizational factors influencing employee attrition.

30

4.4. ECONOMIC FACTORS: Table 4.4.1 WEIGHTED MEAN SCORE 4.38

ITEM DESCRIPTION COMPANY ENVIRONMENT

RANK

STANDARD DEVIATION 0.75

Chart 4.4.2

From th the table it can be seen that, the calculated weighted mean score for item in or economic factors of employee attrition are given higher ratings with mean scores ranging f 4.38 on a five point scale by the respondents. Further economic factors influencing employee attrition.

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4.5. OVERALL WEIGHTEDMEAN SCORE FOR THE FACTORS: Table 4.5.1 WEIGHTED MEAN STANDARD SCORE RANK DEVIATION
4.63 4.22 4.31 4.39 1 4 3 2 0.44 0.48 0.73 0.74

ITEM DESCRIPTION
INDIVIDUAL FACTOR JOB RELATED FACTOR ORGANIZATION FACTOR ECONOMIC FACTOR

Chart 4.5.2

From the table it can be seen that, the calculated weighted mean score for all the five factors of employee attrition in which individual factors scores higher rating with mean scores of 4.63 on a five point scale by the respondents. Further individual factor rated to be the highly important among all factors influencing employee attrition. 32

4.6. AGE Table 4.6.1 Levels 16-20 20-25 >25 Total Frequency 74 28 0 102 Percentage 72.55 27.45 0 100

Chart 4.6.2

Of the 102 employees participated in the survey More than 70% of the employees are in the age group of 16-20yrs. Only 25% of the employees are in 20-25

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4.7. EDUCATION Table 4.7.1

Levels BELOW 10 10th H.S.C U.G
TH

Frequency 10 64 15 13 102

Percentage 9.80 62.75 14.71 12.74 100

TOTAL

Chart 4.7.2

The above table indicates education level of employee, 10% of employee are Below 10, 60% are std 10,15% are H.SC,13% are U.G.

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4.8. DEPARTMENT Table 4.8.1

Levels SEWING QUALITY CUTTING FINISHING Total Frequency 60 13 9 20 102 Percentage 58.82 12.75 8.82 19.61 100.00

Chart4.8.2

The above table shows that nearly 60% of respondents belong to sewing department, 12% of Quality department , 10% of cutting department , 20% of finishing department.

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4.9 REASON FOR LEAVING: Table 4.9.1

Levels MARRIAGE HIGHER STUDIES CONFLICT WITH MANAGER HEALTH PROBLEM NOT INTEREST Total Frequency 34 51 6 5 6 102 Percentage 33.33 50.00 5.88 4.91 5.88 100.00

Chart 4.9.2

From the above table nearly 50% of employee says that they leave for doing higher studies,35% says for marriage,6% due to conflict with managers and of their not interest,5% due to health problem.

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4.10 REASON FOR JOINING: Table 4.10.1

Levels UNEMPLOYED & NEEDED JOB REFERRED BY FRIEND QUANTUM IS GOOD& SAFE PLACE TO WORK SALARY ADVANCEMENT FAMILY PROBLEM Total Frequency 4 15 50 2 31 102 Percentage 3.92 14.71 49.02 1.96 30.39 100.00

Chart 4.10.2

The above table shows 50% of employee join because Quantum is good & safe place to work,30% due to family problem,15% referred by friend,2% for salary advancement and 4% says for unemployed and needed job

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ANOVA 4.11. INDIVIDUAL FACTOR INFLUENCING THE DECISION TO LEAVE: Education Null Hypothesis (H0): There is no significant difference in level of response between education in respect of individual factors influencing decision to leave. Alternate Hypothesis (H1): There is significant difference in level of response between education in respect of individual factors influencing decision to leave . Table 4.11.1 Education Vs Individual factors Significant (p value <= 0.05)
Sum of Squares CARREAR DEVELOPMENT Between Groups Within Groups Total TEAMWORK Between Groups Within Groups Total MOTIVATION Between GroupsS Within Groups Total WORK RESPONSIBILITIES Between Groups Within Groups Total FREE WORKING Between Groups Within Groups Total 8.784 39.539 48.324 .983 53.105 54.088 6.621 68.251 74.873 1.316 29.350 30.667 1.353 57.314 58.667 df 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 .338 .591 .572 .683 .329 .303 1.088 .367 1.655 .704 2.353 .059 .246 .547 .449 .773 Mean Square 2.196 .408 F 5.388 Sig. .001

Significant (p value <= 0.05) Inference: It is found from the table the hypothesis is rejected (significant).It is known that career development opportunities in individual factor is not greater than the level of significance. It is concluded that there is Significant difference in level of response between educations in respect of individual factors Influencing decision to leave .

38

39

4.12. JOB RELTED FACTOR INFLUENCING THE DECISION TO LEAVE: Education Null Hypothesis (H0): There is no significant difference in level of response between education in respect of job related factors influencing decision to leave. Alternate Hypothesis (H1): There is significant difference in level of response between education in respect of job related factors influencing decision to leave.

40

Table 4.12.1 Education Vs Job Related Factors

41

Sum of Squares JOB REQUIREMENTS Between Groups Within Groups Total JOB BOARING Between Groups Within Groups Total JOB SSATISFACTION Between Groups Within Groups Total RE EMPOLMENT Between Groups Within Groups Total INDEPENDENT ACTION Between Groups Within Groups Total SUPERVISOR Between Groups Within Groups Total LINE TECNICIAN Between Groups Within Groups Total FEEDBACK Between Groups Within Groups Total WORKING CONDITION Between Groups Within Groups Total WORK LOAD Between Groups Within Groups Total WORKING HOURS Between Groups Within Groups 3.459 29.914 33.373 3.492 251.381 254.873 1.683 53.807 55.490 7.969 131.050 139.020 3.611 65.684 69.294 6.859 64.014 70.873 3.659 69.635 73.294 2.000 43.343 45.343 3.019 59.736 62.755 6.495 78.878 85.373 2.060 65.518

df 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97

Mean Square .865 .308

F 2.804

Sig. .030

.873 2.592

.337

.853

.421 .555

.759

.555

1.992 1.351

1.475

.216

.903 .677

1.333

.263

1.715 .660

2.598

.041

.915 .718

1.274

.285

.500 .447

1.119

.352

.755 .616

1.225

.305

1.624 .813

1.997

.101

.515 .675

.763

.552

42

Significant (p value <= 0.05) Inference: It is found from the table the hypothesis is rejected (significant).It is known that job requirements, Supervisor treating, Time settlement in work of job related factor is not greater than the level of significance. It is concluded that there is significant difference in level of response between educations in respect of job related factor Influencing decision to leave.

4.13. INDIVIDUAL FACTOR INFLUENCING THE DECISION TO LEAVE: Department Null Hypothesis (H0): There is no significant difference in level of response between department in respect of individual factors influencing decision to leave. Alternate Hypothesis (H1): There is significant difference in level of response between Department in respect of individual factors influencing decision to leave. Table 4.13.Department Vs Individual Factors

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Sum of Squares CARREAR DEVELOPMENT Between Groups Within Groups Total TEAMWORK Between Groups Within Groups Total MOTIVATION Between Groups Within Groups Total WORK RESPONSIBILITIES Between Groups Within Groups Total FREE WORKING Between Groups Within Groups Total 4.899 43.424 48.324 .686 53.403 54.088 1.151 73.721 74.873 .281 30.386 30.667 2.795 55.872 58.667

df 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101

Mean Square 1.225 .448

F 2.736

Sig. .033

.171 .551

.311

.870

.288 .760

.379

.823

.070 .313

.224

.924

.699 .576

1.213

.310

Significant (p value <= 0.05) Inference: It is found from the table the hypothesis is rejected (significant).It is known that career development opportunities in individual factor is not greater than the level of significance.It is concluded that there is Significant difference in level of response between department in respect of individual factors Influencing decision to leave .

4.14. JOB RELTED FACTOR INFLUENCING THE DECISION TO LEAVE: Department Null Hypothesis (H0): There is no significant difference in level of response between department in respect of job related factors influencing decision to leave. Alternate Hypothesis (H1): There is significant difference in level of response between Department in respect of job related factors influencing decision to leave .

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Table 4.14.1 Department Vs Job Related Factors

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Sum of Squares JOB REQUIREMENTS Between Groups Within Groups Total JOB BOARING Between Groups Within Groups Total JOB SSATISFACTION Between Groups Within Groups Total RE EMPOLMENT Between Groups Within Groups Total INDEPENDENT ACTION Between Groups Within Groups Total SUPERVISOR Between Groups Within Groups Total LINE TECNICIAN Between Groups Within Groups Total FEEDBACK Between Groups Within Groups Total WORKING CONDITION Between Groups Within Groups Total WORK LOAD Between Groups Within Groups Total WORKING HOURS Between Groups Within Groups 4.178 29.195 33.373 15.775 239.097 254.873 2.110 53.380 55.490 6.365 132.654 139.020 2.964 66.331 69.294 3.780 67.092 70.873 2.647 70.647 73.294 .230 45.113 45.343 1.057 61.698 62.755 .955 84.417 85.373 1.683 65.895

df 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97

Mean Square 1.044 .301

F 3.470

Sig. .011

3.944 2.465

1.600

.180

.528 .550

.959

.434

1.591 1.368

1.164

.332

.741 .684

1.083

.369

.945 .692

1.366

.251

.662 .728

.909

.462

.058 .465

.124

.974

.264 .636

.415

.797

.239 .870

.274

.894

.421 .679

.620

.650

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Significant (p value <= 0.05) Inference: It is found from the table the hypothesis is rejected (significant).It is known that job requirements, of job related factor is not greater than the level of significance. It is concluded that there is significant difference in level of response between educations in respect of job related factor Influencing decision to leave. .

4.15. ORGANISATIONAL FACTOR INFLUENCING THE DECISION TO LEAVE: Department Null Hypothesis (H0): There is no significant difference in level of response between department in respect of organizational factors influencing decision to leave. Alternate Hypothesis (H1): There is significant difference in level of response between Department in respect of organizational factors influencing decision to leave .

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Table 4.15.1Department Vs Organizational Factors

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Sum of Squares COMMUNICATION Between Groups Within Groups Total RELATIONSHIP Between Groups Within Groups Total PROBLEM Between Groups Within Groups Total PAID HOLIDAYS Between Groups Within Groups Total SICK LEAVE Between Groups Within Groups Total EDUACTION Between Groups Within Groups Total RECREATION Between Groups Within Groups Total FOOD Between Groups Within Groups Total CLEANLINESS Between Groups Within Groups Total WARDEN TREATING Between Groups Within Groups Total NURSE HANDLING Between Groups Within Groups .380 64.914 65.294 1.413 77.460 78.873 2.728 107.085 109.814 5.508 87.080 92.588 5.166 126.677 131.843 .780 54.798 55.578 4.395 65.105 69.500 5.088 103.903 108.990 1.617 95.207 96.824 138.917 2510.338 2649.255 2.499 84.256

df 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97 101 4 97

Mean Square .095 .669

F .142

Sig. .966

.353 .799

.442

.778

.682 1.104

.618

.651

1.377 .898

1.534

.198

1.292 1.306

.989

.417

.195 .565

.345

.847

1.099 .671

1.637

.171

1.272 1.071

1.187

.321

.404 .982

.412

.800

34.729 25.880

1.342

.260

.625 .869

.719

.581

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Significant (p value <= 0.05) Inference: It is found from the table the hypothesis is rejected (significant).It is known that Hr activities, of organization factor is not greater than the level of significance. It is concluded that there is significant difference in level of response between educations in respect of job related factor Influencing decision to leave. .

CHAPTER 5 5.1 FINDINGS

Based on analysis of collected data from the Quantum Knits employees, findings are drawn as follows: It is found that, the career development opportunities with weighted mean score (4.68) is given more important in individual factors may have influence on employee attrition. It is found that , the nasture of job under job related factors given more importance to job requirements with weighted mean score (4.75) may be the reason for employee leaving. It is found that, Supervisor under job related factors given more importance to feedback for the performance with weighted mean score (4.75) may be the reason for employee leaving. It is found that , working hours in department of job related factors is ranked number one with weighted mean score ( 4.30) may lead to employee attrition. It is found that, time settlement in work of technical training of job related factors With weighted mean score (4.49) may have impact on employee leaving. It is found that, in organizational factors incentive with weighted mean score (4.30) serves as first in employee leaving.

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It is found that, the environment of company in economic factor with weighted mean score (4.38) will also influence employee leaving. It is found that, among four factors individual factor ranked as one with weighted mean score (4.63) in employee leaving. Most of the employees (72.5%) belong to the age group between 16-20 where as (27.45%) belong to 20-25 years. Regarding education level, nearly (62.75%) employee studied standard tenth, (14.71%) employees studied standard twelth. Mostly (58.8%) employees belong to sewing department,(19.6%) belong to finishing department. 50% of employees leaves for doing higher studies, (5.8%) employees quits as they are not interested in continuing the job. 49% employee joins company as Quantum is safe place to work, only (3%) joins as need of job.

FINDINGS OF THE HYPOTHESES TEST There is a significant relationship between education and career development opportunities in individual factor influencing decision to leave. Hence Hypothesis is rejected. There is a significant relationship between education and job requirements, Supervisor treating, Time settlement in job related factors influencing decision to leave. Hence Hypothesis is rejected. There is a significant relationship between department and career development opportunities in individual factor influencing decision to leave. Hence Hypothesis is rejected. There is a significant relationship between department and job requirements in job related factors influencing decision to leave. Hence Hypothesis is rejected.

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There is a significant relationship between department and Human Resource department activities in organization factors influencing decision to leave. Hence Hypothesis is rejected.

5.2. CONCLUSION
The main aim of any organization is to earn profit. But to attain the maximum profit, the organization should concentrate more on employees and the ways to retain them . To control attrition level in the Quantum Knits Private Ltd., the company should regularly conduct meetings for employees to know about their satifaction of the company culture and the dislike in works. From the study it is identified that, the Lack of growth opportunities and the Family issues are the major problem which makes employees to change their job from this organization. This study concludes that to reduce attrition, Quantum Knits Private Ltd shouldcreate some opportunities for the growth of their employees through adopting new InnovativeTechnologies, Effective training programs and the company can recruit

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peoples who are around ,so the family issue factor will not lead to attrition in future and the company can curb attrition.

5.3. SUGGESTION
From the findings of study it reveals that the following recommendation can help the company in reducing the attrition. Managers can help the organization in reducing attrition by They needs to constantly communicate with their employees in a transparent manner, develop trust and confidence through the framing of fair and friendly policies and more importantly in their honest practice without compromising company productivity and performance expectations. The company has to create growth opportunities for employees to enhance their capability and learning ability. Selections & recruitment policies must be reviewed to suit the growing need of an organization and career path should be explained to recruited employees. Motivation is important for making employee efficient in their work. The company can appoint counselor in resolving employee personal and job related problems. 53

 Feedback & suggestion from employee need to be acknowledged & acted upon in a honest manner.

BIBLIOGRAPHY

BOOKS
Aswathappa,(1995),Human Resource and Personnel Management, New Delhi Donald Cooper and schindler, Pamela,Business research methods 8th edition, McGraw-Hill Companies, 2003. S.P.Gupta,Statistical Methods, 2005. Uma SekaranResearch methods for business, Wiley India edition, 2006. T.V Rao- Article- Factors affecting attrition Reference - Ph.d thesis titled A study job attrition in ITES Sector by centre for research in social science, technology and culture (affiliated to Bharathiar University Aug 2009) by K.K Karthick .. 54

WEBSITES
www.citehr.com www.google.com www.attrition.org/attrition/about.html www.kprmill.com

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A STUDY ON EMPLOYEE ATTRITION QUESTIONNAIRE (EMPLOYEE) Age a) 16-20 b) 20-25 c)>25 Educational Qualification a) SSLC b) HSC c) Undergraduate d) Post graduate What is the reason for joining company? a) Unemployed and needed job b) Referred by friend c) Quantum is good &safety place to work d) Salary advancement e) Family problem What is the reason for leaving company? a) Marriage b) Higher studies c) Conflict with Managers d) Health or Family problem e) Not Interest The department you worked a) Sewing b) Quality c) Cutting d) Finishing f) Others

EXIT INTERVIEW SURVEY

This survey is designed to obtain an indication of your feelings about your job &working condition. Please complete the questions by marking appropriate answers 1. INDIVIDUAL FACTORS: 1. Career development opportunities existed for me in my organization a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 2. Teamwork is essential for the job to be effective a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 3. Employee are constantly motivated by company in providing excellent service a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 4. My work responsibilities are clearly defined. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree

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5. I feel free while working a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 2. JOB RELATED FACTORS: 2.1THE NATURE OF JOB: 6. My job requirements are clear. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 7. My job was boring (or) unchallenging. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 8. How satisfied are you with your Job. a) Strongly satisfied b) Satisfied c) Neutral d) Strongly Dissatisfied e) Dissatisfied 9. I would consider Re-employment. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 10. Do your job has enough opportunities for independent thought &action. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 2.2 SUPERVISOR: 11. My Supervisor treats all employees with respect. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 12 .My Line Technician deals with all employee fairly. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 13. My Supervisor gives me feedback that helps me in improving performance. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 2.3 DEPARTMENT: 14. How do you rate the following things of Department? Excellent Working Condition Work Load Working Hours Resources Very Good Good Fair Poor

57

58

2.4. TECHNICAL TRAINING: 15. The Technical Training given for my current job. a) Excellent b) Very Good c) Good d) Fair e) Poor 16. Do you think the company has given enough time to get settled with work environment? a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 3. ORGANISATION FACTORS: 17. How do you rate the amount of communication you receive from the company? a) Excellent b) Very Good c) Good d) Fair e) Poor 18. How do you rate relationship with company and employee? a) Excellent b) Very Good c) Good d) Fair e) Poor 19. How do you rate company on treating employee problem fairly a) Excellent b) Very Good c) Good d) Fair e) Poor 20. Employee benefits Excellent Paid Holidays Sick Leave Education Recreation Very Good Good Fair Poor

21. Hostel benefits Excellent Very Good Good Fair Poor

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Food Cleanliness Warden Treating Nurse Handling

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22. Disciplinary Procedures are Strongly Enforced. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 23. The incentive you receive for production. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 24. How Human Resource Department is helpful towards your activities? a) Excellent b) Very Good c) Good d) Fair e) Poor 25. Employees feel secure about their job at this company. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 26. How would you rate this company as place to work? a) Excellent b) Very Good c) Good d) Fair e) Poor 27. I would refer a friend to apply for job in this company. a) Strongly Agree b) Agree c) No opinion d) Disagree e) strongly Disagree 4. ECONOMIC FACTORS: 28. How would you rate the Environment in company? a) Excellent b) Very Good c) Good d) Fair e) Poor

SUGGESTIONS:

61