guma mba dissertation 2011 final

7/18/2019 Guma Mba Dissertation 2011 Final

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ORGANISATIONAL FACTORS IMPACTING ON EMPLOYEE RETENTION

BY

PENDULWA VUYOKAZI GUMA

SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE

DEGREE OF MASTERS IN BUSINESS ADMINISTRATION AT THE

NELSON MANDELA METROPOLITAN UNIVERSITY

PROMOTER : PROFESSOR DM BERRY

DATE SUBMITTED : JANUARY 2011

i


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DECLARATION

This wo! h"s #o$ %&'io(s)* +& ",,&%$&- i# s(+s$"#,& .o "#* -&/&& "#- is #o$

+&i#/ ,o#,($)* s(+i$$&- i# ,"#-i-"$(& .o "#* -&/&&

Si/#&-

D"$&

STATEMENT 1

This -iss&$"$io# is +&i#/ s(+i$$&- i# %"$i") .().i)$ o. $h& &(i&$s .o $h&

-&/&& o. M"s$&s i# B(si#&ss A-i#is$"$io#

Si/#&-

D"$&

STATEMENT 2

Th& -iss&$"$io# is $h& &s()$ o. * ow# i#-&%-$ wo!3i#'&s$i/"$io#4 &5,&%$ wh&&

o$h&wis& s$"$&-

Si/#&-

D"$&

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ACKNOWLEDGEMENTS

Th& %o,&ss I h"'& $"! $o ,o%)&$& $his -iss&$"$io# h"s %o'i-&- & wi$h " %)"$.o

$o +&$$& (#-&s$"#- * ,"%"+i)i$i&s "#- s!i))s +o$h %&so#"))* "#- ","-&i,"))* This

6o(#&* o. s&). ",$(")is"$io# wo()- #o$ h"'& +& .().i))&- wi$ho($ $h& /(i-"#,&4 s(%%o$

"#- ,oo%&"$io# o. o$h& %&o%)&

I wish $o &5%&ss * si#,&& /"$i$(-& $o $h& .o))owi#/ %&o%)& .o $h&i ,o#$i+($io#s i#

$h& s(,,&ss.() ,o%)&$io# o. $his s$(-* 7i$ho($ $h&i /(i-"#,&4 ,o("/&$4 s(%%o$

"#- o$i'"$io#4 I wo()- #o$ h"'& +& "+)& $o ,o%)&$& $his s$(-*

Po.&sso D"'& B&*4 .o his /(i-"#,&4 %"$i,& "#- o$i'"$io#

Ms F"i$h Gow"#" "#- Ms N/&)i .o "ssis$i#/ i# &-i$i#/ $h& &s&",h

Th& DEDEA &%)o*&&s4 .o $h& ,oo%&"$io#4 si#,&i$* "#- wi))i#/#&ss $o

&s%o#- $o $h& (&s$io##"i&

M* ."i)* .o $h&i )o'&4 s(%%o$ "#- ,o("/&$

M* h(s+"#- .o his s(%%o$4 (#-&s$"#-i#/ "#- +&)i&'i#/ i# &

M* !i-s .o $h&i (#-&s$"#-i#/ wh I w"s +(s* wi$h * s,hoo) wo!

L"s$)*4 +($ #o$ )&"s$4 A(#$* No/,i#i)& 8* !i-s #"##*9 .o +&i#/ $h&& .o *

."i)*4 .o h& (#-&s$"#-i#/4 s(%%o$ "#- ,"i#/ "$$i$(-&

P-()w" V(*o!"i G("

E"s$ Lo#-o#


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J"#("* 2011

iii


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ABSTRACT

O/"#is"$io#s (s$ h"'& " ,o#s$"#$ i#.)(5 o. ,"#-i-"$&s .o %o$$i") &%)o*$ N&w

&%)o*&& %osi$io#s "& &(i&- "s "!&$ "&"s "& &5%"#-&- R&,(i$$ o,,(s &'

i# $h& .",& o. )ii$&- /ow$h o -&,)i#& i# s&'i,& ,"%",i$*4 +&,"(s& i#-i'i-(")s wi$h

s%&,i")is&- s!i))s o $"i#i#/ who )&"'& $h& o/"#is"$io# (s$ +& &%)",&-4 "#- +&,"(s&

s&'i,&s o $&,h#o)o/i&s $h"$ h"'& +& &'is&- o o-i.i&- (s$ +& s$"..&- Th&

&,(i$$ o. %&so##&) %)"*s "# i%o$"#$ o)& i# "ssis$i#/ $h& o/"#is"$io# $o "-"%$

"#- &"i# ,o%&$i$i'&

Th& E"s$ ;"%& D&%"$$ o. E,o#oi, D&'&)o%$ "#- E#'io#$") A.."is

8DEDEA9 &%)o*s " wi-& '"i&$* o. wo!&s Th(s4 $h& so(,&s o. "%%)i,"#$s "#- $*%&s

o. &$ho-s (s&- $o &5%"#- $h& "%%)i,"#$ %oo) '"* -&%-i#/ o# $h& o,,(%"$io#")

,)"ssi.i,"$io# +&i#/ ,o#si-&&-

I$4 $h&&.o&4 +&,o&s s&).


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&%)o*&& &$$io#4 #"&)*: ,"&& -&'&)o%$ ,o%s"$io# %osi$i'& &,o/#i$io#

s$".. /"/&$ "#- "#"/&$

I# o-& $o ",hi&'& $h& %(%os& o. $his s$(-*4 $h& .o))owi#/ &s&",h -&si/# w"s "-o%$&-:

S$&% 1 A )i$&"$(& &'i&w w"s ,o#-(,$&- $o -&$&i#& $h& '"io(s

o/"#i"$io#") .",$os i%",$i#/ o# &%)o*&& &$$io#

S$&% 2 Fo $h& )i$&"$(& &'i&w4 " %o,&ss o-&) w"s "-o%$&- $o "ssis$

$h& &s&",h& i# s$(,$(i#/ $h& &s&",h (&s$io##"i&

S$&% C A (&s$io##"i& w"s ,o#s$(,$&- ",,o-i#/ $o $h& %i#,i%)&s "#-

/(i-&)i#&s i# s$&%s 2 "#- s$&% C

S$&% @ E%ii,") -"$" w"s o+$"i#&- +* &"#s o. "# &"i) s('&*

S$&% ? Th& &s()$s o. $h& s('&* w&& "#")*s&- "#- i#$&%&$&-

S$&% Th& &%ii,") &s()$s w&& i#$&/"$&- wi$h S$&% C

S$&% = ;o#,)(sio#s "#- &,o-"$io#s w&& -o#&

Th& "i# .i#-i#/s .o $h& s$(-* w&&:

1 Th& s$(-* &'&")&- " si/#i.i,"#$ &)"$io#shi% +&$w& $h& s&)&,$&-

o/"#is"$io#") .",$os "#- &%)o*&& &$$io#

2 Th& s$(-* ")so %o-(,&- " o-&) s(i$"+)& .o (s& +* DEDEA "s " /(i-&

i# -&$&i#i#/ wh"$ i#i$i"$i'&s $h& o/"#is"$io# sho()- &+"! o# $o i%o'&

&%)o*&& &$$io#

v


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Table of Co!e!"P"/&

DE;LARATION .......................................................................................................................... ii

A;NO7LEDGEMENTS ......................................................................................................... iii

ABSTRA;T ................................................................................................................................. iv

;HAPTER 1..........................................................................................................................

....... 11 PROBLEM STATEMENT AND OUTLINE OF THE STUDY

.............................................. 1

11BA;GROUND AND MAIN PROBLEM

................................................................. 1

12SUB


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2C?Th& .($(& wo!.o,&

........................................................................................... 10

2@THE VALUE OF RETAINING THE BEST EMPLOYEES

...................................... 10

2?

THE IMPORTAN;E OF EMPLOYEE RETENTION

.............................................. 12

2DUNDERSTANDING THE REASONS FOR EMPLOYEE TURNOVER

................. 13

2=THE NEGATIVE IMPA;T OF TURNOVER ON THE ORGANISATION

........... 152=1E5$") -i'&s o. $h& &$$io# ,isis

................................................................ 18

vi
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2=2 I#$") -i'&s o. $h& &$$io# ,isis 20

2> FA;TORS IMPA;TING ON EMPLOYEE RETENTION 25

2.9 THE IMPA;T OF ;AREER DEVELOPMENT ON EMPLOYEE RETENTION . 26

21Th& s$"$&/i, i%o$"#,& o. ,"&& -&'&)o%$

27

22 ;"&& -&'&)o%$ s(%%o$ &$ho-s 28

2C S$"/&s o. ,"&& -&'&)o%$ 30

2@ ;"&& -&'&)o%$ ,*,)& 35

2.10 THE IMPA;T OF REMUNERATION3;OMPENSATION ON EMPLOYEE

RETENTION .................................................................................................

.........................

37

2101

;o%s"$io#o+6&,$i'&s.............................................................................

.......

38

2102Th& s$"$&/i, i%o$"#,& o. ,o%s"$io# ..........................................................40

211 THE IMPA;T OF POSITIVE RE;OGNITION ON EMPLOYEERETENTION ....

.42

2111How $o %o'i-& &..&,$i'& &%)o*&& &,o/#i$io# .................................................42

2112I%",$ o. Posi$i'& R&,o/#i$io# ...........................................................................43

211CG(i-&)i#&s .o &..&,$i'& &%)o*&& &,o/#i$io# ...................................................45

212 THE IMPA;T OF STAFF ENGAGEMENT ON EMPLOYEE

RETENTION .....

..

4

9

2121Th& i%o$"#,& o. &%)o*&& /"/&$ ..........................................................50

2122F",$os i#.)(,i#/ &%)o*&& /"/&$ .........................................................50

212CAs%&,$s o. &%)o*&& /"/&$ .......................................................................51

212@;"$&/oi&s o. &%)o*&& /"/&$ ...................................................................51

212?Th& i%o$"#,& o. &%)o*&& /"/&$ ..........................................................52

212A-'"#$"/&s o. h"'i#/ /"/&- &%)o*&&s ......................................................... 53

212=F",$os )&"-i#/ $o &%)o*&& /"/&$ ...........................................................54

21CTHE IMPA;T OF MANAGEMENT ON EMPLOYEE RETENTION

....................58

21C1D&.i#i#/M"#"/&$......................................................................................

...

58

21C2A %&s%&,$i'& o# "#"/&$ i# " So($h A.i,"# o/"#is"$io# .........................59

21CCQ(")i$i&s o. " /oo- "#"/& ...............................................................................60

21C@Th& o)& o. "#"/&$ i# &%)o*&& &$$io# ..................................................61
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C2RESEAR;H METHODOLOGY

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.................78
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11/187

C?SAMPLE AND VALIDITY

.......................................................................................79

C?1S"%)& ..............................................................................................

...................79

C?2

V")i-i$* "#- &)i"+i)i$*

........................................................................................

7

9

CSTATISTI;AL ANALYSIS

.......................................................................................80

C=ANALYSIS AND INTERPRETATION OF BIOGRAPHI;AL

DATA....................80

C=1To$") Po%()"$io# &s%o#s& "$&

.........................................................................80

C=2B"#,h o..i,& &s%o#s& "$&

..............................................................................83

C=CPosi$io# i# $h& o/"#is"$io# &s%o#s& "$&

........................................................84

C=@ A/& &s%o#s& "$& 8G&"$io# S(+s&$s9........................................................... 8

5

C=?G-& &s%o#s& "$&

........................................................................................87

C=DN"$io#")i$* &s%o#s& "$&

..................................................................................88

C==L"#/("/& &s%o#s& "$&

....................................................................................89

C=>S")"* )&'&) &s%o#s& "$&

.................................................................................90

C=FQ(")i.i,"$io# &s%o#s& "$&

...............................................................................92

C=10Y&"s o. s&'i,& &s%o#s& "$&..........................................................................

93

C>ANONYMITY ......................................................................................

......................94

C;ON;LUDING REMARS

......................................................................................95

;HAPTER @........................................................................................................................

.......96

@ ANALYSIS AND INTERPRETATION OF RESEAR;H RESULTS..................................

96

@1INTRODU;TION ..................................................................................

....................96

@2ORDINAL DATA SURVEY

......................................................................................96

@CHO7 DOES DEDEA MEASURE UP

.......................................................................97

viii
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12/187

@C1 ;"&& -&'&)o%$ 99

@C2 R&(#&"$io# 101

@CC Posi$i'& R&,o/#i$io# 103

@C@ S$".. /"/&$ 104

@C? M"#"/&$ 106

@C R&"so#s .o )&"'i#/ $h& o/"#is"$io# 108

@C= ;o#si-&"$io# o. )&"'i#/ DEDEA 109

@C> R"$i#/ o. o/"#is"$io#") .",$os 110

@@ ;LOSING REMARS 113

;HAPTER ? 114

? SUMMARY4 ;ON;LUSIONS AND RE;OMMENDATIONS 114

?1 INTRODU;TION 114

?2 LITERATURE REVIE7 114

?C EMPIRI;AL STUDY 114

?C1 S('&* .i#-i#/s 115

?@ RE;OMMENDATIONS 115

?? PROBLEM AREAS AND LIMITATIONS 118

? RE;OMMENDATIONS FOR FURTHER RESEAR;HER 119

?= ;ON;LUSION 119

REFEREN;E LIST 120

ANNEURE A < M&o"#-( "--&ss&- $o (&s$io##"i& &s%o#-$s 126

ANNEURE B QUESTIONNAIRE 127

ix
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13/187

F#$%&e"

Pa$e

Fi/(& 21 ;"(s&s o. 'o)(#$"* &%)o*&& $(#o'& 1@

Fi/(& 22 U#&%)o*$ "$& i# So($h A.i," 1

Fi/(& 2C A o-&) .o (#-&s$"#-i#/ &%)o*&& "$$",$io# "#- &$$io# 2?

Fi/(& 2@ S$"/&s o. ,"&& -&'&)o%$ C1

Fi/(& 2? ;"&& -&'&)o%$ ,*,)& C?

Fi/(& 2 Th& )i#! +&$w& &,o/#i$io# "#- &%)o*&& &$$io# @@

Fi/(& 2= F",$os )&"-i#/ $o &%)o*&& /"/&$ ?@

Fi/(& C1 Th& &s&",h ,*,)& =1

Fi/(& C2 To$") %o%()"$io# &s%o#s& "$& >1

Fi/(& CC B"#,h o..i,& &s%o#s& "$& >@

Fi/(& C@ Posi$io# i# $h& o/"#is"$io# &s%o#s& "$& >?

Fi/(& C? A/& 8G&"$io# S(+s&$s9 &s%o#s& "$& >

Fi/(& C G-& &s%o#s& "$& >=

Fi/(& C= N"$io#")i$* &s%o#s& "$& >

Fi/(& C> Ho& )"#/("/& &s%o#s& "$& 0

Fi/(& C S")"* )&'&) &s%o#s& "$& 1

Fi/(& C10 Q(")i.i,"$io# &s%o#s& "$& C

Fi/(& C11 Y&"s o. s&'i,& &s%o#s& "$& @

Fi/(& @1 R&$$io# s$"$&/i&s >

Fi/(& @2 ;"&& -&'&)o%$ 100

Fi/(& @C R&(#&"$io# 102

x

Fi/(& @@ Posi$i'& &,o/#i$io# 10C


14/187

Fi/(& @? S$".. /"/&$ 10?

Fi/(& @ M"#"/&$ 10=

Fi/(& @= Possi+)& &"so#s .o )&"'i#/ $h& o/"#is"$io# 10>

Fi/(& @> ;o#si-&"$io# o. )&"'i#/ DEDEA 10

Fi/(& @1 Lii$&- ,"&& -&'&)o%$ 111

Fi/(& @2 I#s(..i,i$ &(#&"$io# 111

Fi/(& @C No %osi$i'& &,o/#i$io# 112

Fi/(& @@ L",! o. s$".. /"/&$ 112

Fi/(& @? I#&..i,i$ "#"/&$ 112

Fi/(& ?1 S$"$&/i, o-&) .o &%)o*&& &$$io# 11

xi

Table"


15/187

Pa$e

T"+)& 21 ;h"",$&is$i,s o. "# i#$&/&"$io#") wo!.o,& >

T"+)& 22 U#&%)o*$ "$& i# So($h A.i," 1

T"+)& 2C A%%o",h&s $o $h& %o'isio# o. &%)o*&& &,o/#i$io# @=

T"+)& 2@ A-'"#$"/&s o. h"'i#/ /"/&- &%)o*&&s ?C

T"+)& 2? D&s,i%$io# o. /&"$ "#"/&s +* &%)o*&&s 1

T"+)& 2 Ro)&s "#- &s%o#si+i)i$i&s .o &,(i$i#/ &$"i#i#/ &%)o*&&s =

T"+)& C1 To$") %o%()"$io# &s%o#s& "$& >1

T"+)& C2 B"#,h o..i,& &s%o#s& "$& >C

T"+)& CC Posi$io# i# $h& o/"#is"$io# &s%o#s& "$& >?

T"+)& C@ A/& 8G&"$io# S(+s&$s9 &s%o#s& "$& >

T"+)& C? G-& &s%o#s& "$& >=

T"+)& C N"$io#")i$* &s%o#s& "$& >>

T"+)& C= Ho& )"#/("/& &s%o#s& "$& 0

T"+)& C> S")"* )&'&) &s%o#s& "$& 1

T"+)& C Q(")i.i,"$io# &s%o#s& "$& 2

T"+)& C10 Y&"s o. s&'i,& &s%o#s& "$& C

T"+)& @1 R&$$io# s$"$&/i&s =

T"+)& @2 ;"&& -&'&)o%$

T"+)& @C R&(#&"$io# 101

T"+)& @@ Posi$i'& &,o/#i$io# 10C

T"+)& @? S$".. /"/&$ 10@

xii

T"+)& @ M"#"/&$ 10


16/187

T"+)& @= Possi+)& &"so#s .o )&"'i#/ $h& o/"#is"$io# 10>

T"+)& @> ;o#si-&"$io# o. )&"'i#/ DEDEA 10

T"+)& @ R"$i#/ o. o/"#is"$io#") .",$os 110

xiii


17/187

C'APTER 1

1( PROBLEM STATEMENT AND OUTLINE OF T'E STUDY

1(1 BACKGROUND AND MAIN PROBLEM

KTh& &,o#oi, -ow#$(# is "..&,$i#/ wo!.o,&s "o(#- $h& /)o+&4 "#- &/"-)&ss o.

&/io#4 &,(i$$ "#- &$$io# s&& $o $"!& $h& +i//&s$ hi$ 8Fo/",s4 200:@09

A,,o-i#/ $o H&+s$&i$ 8200>:@9 &%)o*&& &$$io# is " si/#i.i,"#$ ,o#, "#-

&5%s& .o &'&* o/"#i"$io#4 wi$h $h& &5%s& o. &,(i$i#/ "#- &$"i#i#/ " #&w

wo!& ,os$i#/ "#*wh&& .o h"). $o 200 o. $h& -&%"$i#/ &%)o*&& s "##(") s")"*

D&%-i#/ o# $h& &%)o*$ )&'&)4 $h& "#* ,os$s "sso,i"$&- wi$h &%)o*&& $(#o'&

"& ,o:?9 &%h"si& $h"$ i$ is &ss$i") $o ,&"$& " '"i&$* o. o%$io#s "#-

")$"$i'&s .o " $o$") &%)o*&& &$$io# %o/"& $o "--&ss "&"s $h"$ "$$& $o $h&

&%)o*&&s "s w&)) "s .o,(si#/ o# ,&$"i# o$h&s $h"$ "* +& i/#o&-4 (#,o#si-&&- o

(#-&($i)i&-

7i$h&s 82001:@9 "/(&s $h"$ .i#-i#/ "#- !&&%i#/ /&"$ &%)o*&&s h"s #&'& +& so

,i$i,")4 +($ $h& w"* $o /&$ $h& 6o+ -o#& h"s ")so ,h"#/&- -""$i,"))* This is +&,"(s&

&%)o*&&s 'i&w $h&i wo! -i..&$)* $h"# $h&* (s&- $o %&'io(s)*4 " .",$ $h"$ h"s

1


18/187

/i' is& $o "# i#,&"s&- -&"#- o# o/"#i"$io#s $o i#'&s$ i# &%)o*&& &$$io#

%o/"&s O/"#is"$io#s #&&- "%%o",h&s $o ",(i&4 o$i'"$&4 "#- &$"i# '")("+)&

&%)o*&&s

Th& D&%"$$ o. E,o#oi, D&'&)o%$ "#- E#'io#$") A.."is h"s +& .",&-

wi$h hi/h &%)o*&& $(#o'& ",oss ")) )&'&)s o. &%)o*$ This h"s ,"(s&- $h&

-&%"$$ #o$ $o +& "+)& $o ",,o%)ish i$s s&$ /o")s "s &%)o*&&s )&"'& "#- #&w o#&s

h"'& $o +& &,(i$&-4 i#-(,$&- "#- $"i#&-

Th& "+o'& o%i#io#s $h(s -i&,$&- $h& &s&",h& $o $h& "i# %o+)& o. $his s$(-*4

#"&)*:

O&$a#"a!#oal fa)!o&" #*+a)!#$ o e*+lo,ee &e!e!#o(

1.2 SUB-PROBLEMS

I# o-& $o ,o(#$& $h& -&%"$(& o. &%)o*&&s "s -&s,i+&- i# $h& "i# %o+)&4 $h&

.o))owi#/ s(+


19/187

1 S%b-P&oble* .

How ,"# $h& &s()$s o+$"i#&- .o $h& &so)($io# o. s(+0 wi$h =>1 .i))&- %os$s

1(.(. S)o+e of "!%,

Th& &s&",h w"s )ii$&- $o &5"i#i#/ $h& .i'& o/"#is"$io#") .",$os i%",$i#/ o#

&%)o*&& &$$io#4 #"&)*: ,"&& -&'&)o%$4 &(#&"$io#4 %osi$i'& &,o/#i$io#4

3


20/187

s$".. /"/&$ "#- "#"/&$ s$*)& This s$(-* &5,)(-&- ")) o$h& .",$os $h"$ h"'&

"# i%",$ o# &%)o*&& &$$io#

1(.( Ba"#" fo& !0e e3al%a!#o

Th& &s&",h& i#$-&- $o -&'&)o% " o-&) o. o/"#is"$io#") .",$os i%",$i#/ o#

&%)o*&& &$$io# +"s&- o# $h& i#.o"$io# .o $h& ,($ )i$&"$(& "#- i#$&/"$i#/

i$ wi$h $h& &s&",h .i#-i#/s

1.4 OB4ECTIVES OF T'E RESEARC'

Th& %i"* o+6&,$i'& o. $his s$(-* w"s $o i#'&s$i/"$& $h& o/"#i"$io#") .",$os "#-

how $h&* i%",$ o# &%)o*&& &$$io# "$ DEDEA Mo& s%&,i.i,"))*4 $h& o+6&,$i'&s

w&& $o:

1 D&$&i#& .o $h& )i$&"$(&4 $h& i%",$ o. o/"#i"$io#") .",$os o# &%)o*&&

&$$io#

2 D&$&i#& $h& &"so#s .o $h& &5o-(s o. &%)o*&&s .o $h& o/"#i"$io#

8DEDEA9

3 Fo()"$& "# &%)o*&& &$$io# s$"$&/* o-&) .o i%)&$"$io# "$ DEDEA

1.5 RESEARC' DESIGN

I# $his s&,$io# $h& +o"- &s&",h &$ho-o)o/* is -&s,i+&- Th& .o))owi#/ %o,&ss w"s

"-o%$&- $o so)'& $h& "# "#- s(+


21/187

S$&% ? Th& &s()$s o. $h& s('&* w&& "#")*s&- "#- i#$&%&$&-

S$&% Th& &%ii,") &s()$s w&& i#$&/"$&- wi$h S$&% C

S$&% = ;o#,)(sio#s "#- &,o-"$io#s w&& -o#&

1.6 STRUCTURE OF T'E REMAINDER OF T'E STUDY

Th& &"i#-& o. $h& &s&",h %o6&,$ i#,)(-&- $h& .o))owi#/ ,h"%$&s:

1 ;h"%$& 2 O/"#is"$io#") .",$os i%",$i#/ o# &%)o*&& &$$io#

2 ;h"%$& C R&s&",h &$ho-o)o/* "#- +io/"%hi,") "#")*sis o. &s%o#-$s

3 ;h"%$& @ A#")*sis "#- i#$&%&$"$io# o. &s&",h &s()$s

4 ;h"%$& ? S("*4 ,o#,)(sio#s "#- &,o-"$io#s

5


22/187

C'APTER 2

2. ORGANISATIONAL FACTORS IMPACTING ON

EMPLOYEE RETENTION2.1 INTRODUCTION

Th& s$(-* +&/i#s wi$h " &'i&w o. $h& #&&- .o &%)o*&& &$$io# i# " %(+)i, s&,$o

o/"#is"$io# 8DEDEA94 "#- ,o#,)(-&s $h"$ $h&& "& o/"#is"$io#") .",$os $h"$ i%",$

o# &%)o*&& &$$io# G&i#/ "#- ;o##& 82002:@09 s$"$& $h"$ &$"i#i#/ /oo- wo!&s

is ,i$i,") $o "#* o/"#is"$io# Li$&"$(& "#- +&s$ %",$i,&s i#-i,"$& $h"$4 $o so& &5$$4

i. &%)o*&s $&"$ $h&i &%)o*&&s "s '")(&- ,o#$i+($os4 $h&* $- $o &"i# i# $h&

o/"#is"$io#

To $his -4 o/"#is"$io#s $"i#4 o..& ,o%&$i$i'& ,o%s"$io# %)"#s "#- i#,&"s&

+&.i$s $o s&,(& $h&i &%)o*&&s )o*")$* D&s%i$& $h&s& &..o$s4 "#* o/"#is"$io#s

&5%&i,& " sho$"/& o. &%)o*&&s "#- hi/h $(#o'& "$&s

I# "# &" o. &%)o*&& sho$"/&s "#- i#,&"s&- s&'i,& -&)i'&* -&"#-s4 i$ is i%o$"#$

$o &5%)o& .",$os whi,h ,o#$i+($& $o $h& &$$io# o. &%)o*&&s who ,o#$i+($& "

w&")$h o. !#ow)&-/& "#- &5%&i,& $o $h&i o/"#is"$io#s

Th& ,h"%$& wi)) &5%)o& $h& o/"#is"$io#") .",$os i%",$i#/ o# &%)o*&& &$$io#

Th&s& i#,)(-& ,"&& -&'&)o%$4 &(#&"$io#3,o%s"$io#4 %osi$i'& &,o/#i$io#4

s$".. /"/&$ "#- "#"/&$ Fo $his &'i&w "#- .o $h& s('&* "#")*sis4 "

'"i&$* o. &,o-"$io#s wi)) +& /&"$&-4 whi,h4 i$ is ho%&- wi)) "ssis$ $o i#.o

$h& ,&"$io# o. %o)i,i&s "#- %",$i,&s $h"$ s%&,i.i,"))* "--&ss iss(&s o. &%)o*&&

&$$io#

6


23/187

2.2 DEFINING EMPLOYEE RETENTION

S,h()& "#- J",!so# 8200:219 -&.i#& &$$io# "s &'&*$hi#/ "# &%)o*& -o&s $o

,o("/& (")i.i&- "#- %o-(,$i'& &%)o*&&s $o ,o#$i#(& wo!i#/ .o $h& o/"#is"$io#

Th& "i# o+6&,$i'& o. &$$io# is $o &-(,& (#w"#$&- 'o)(#$"* $(#o'& +* '")("+)&

%&o%)& i# $h& o/"#is"$io# To/&$h&4 &..&,$i'& &,(i$$ "#- &$$io# &..o$s "$$",$

i#-i'i-(")s $o $h& o/"#is"$io# "#- ")so i#,&"s& $h& ,h"#,& o. &$"i#i#/ $h& i#-i'i-(")s

o#,& $h&* "& hi&-

2.3 DEVELOPING TRENDS IMPACTING ON EMPLOYEE RETENTION

Di..&$ /&"$io#s "& ,($)* i# $h& wo!%)",& wi$h $h&i -i..&,&s "/#i.i&- "s

" &s()$ o. $h& ,($ ."/$&-4 /)o+")4 "#- hi/h)* $&,h#o)o/i,") wo)- Th& ,h"#/&s

i# $h& wo!%)",&4 i# so,i&$*4 "#- i# o/"#is"$io#s o'& $h& *&"s h"'& +& "ssi'&

Th&s& ,h"#/&s4 ",,o-i#/ $o Fi&)-s 82001:19 h"'&4 $o " /&"$ &5$$4 ,"(s&- $h& ()&s o.

$h& wo!%)",& $o ,h"#/&

2(.(1 Gee&a!#oal !&a"#!#o

To-"* s wo!.o,& is " +)- o. (% $o .o( /&"$io#s whi,

guma mba dissertation 2011 final

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