A Study of Employee Attrition and Retention at Fenesta Building Systems (DCM Shriram

Ltd.), Gurgaon

Presented By:

Tripti Singh

MBA 4th Sem.

Fenesta Building SystemsWindows, doors and conservatories

Introduction : Fenesta Building Systems • In 2002, DCM Shriram Ltd. signed a Technology Co-operation Agreement with Spectus

Window Systems (UK), to receive technological know-how from the latter.

• In 2003, Fenesta was officially launched.

• Fenesta is India's largest windows and doors company. It has installed more than a  Million windows doors across nearly 150,000 homes.

• Fenesta Building Systems is India's largest UPVC windows solutions provider, specializing in the design, manufacture, installation and service of precision-engineered made-to-order UPVC window and door systems. 

• Fenesta is an end to end service provider right from extrusion of UPVC profiles to installation of windows.

• Fenesta has an all India set up with 14 sales and service offices and 4 factories. Besides, the company has nearly 100 marketing associates spread all across the country

Parameter UnitHeadcount 590

Average Age 29Average Experience 5 years

People Profile

Who’s Who????

Fenesta- Leadership

TeamSaket Jain

Business Head

Y.P SinghHead-

Installation

Paul ManisonHead –

Production

Satish GhildiyalHead – S.C.M

G D BhatnagarHead - IT

Anand Shriram Special Projects

Sakshi AnandHead - HR

Sushmita NagHead- Marketing

Vice President Sales & Mktng

- West

Vice President Sales & Mktng

- NCR

Vice President Sales & Mktng

- East

President

Fenesta- Sales & Marketing Team

G Nagaverma

Ram Kumar

Kullai

Probir Podder

Vice President Sales & Mktng- Up Country

Arnev Goel

PV

Ravi Kumar

Vice President Sales & Mktng

- South

Pan India Presence• New Delhi

• Bangalore

• Chennai

• Coimbatore

• Cochin

• Hyderabad

• Mumbai

• Pune

• Ahmadabad

• Kolkata

• Chandigarh

• Jaipur

• Patna

• Bhubneshwar

• Dehradun

• Jaipur

• More…..

Attrition

• “Attrition is said to be the gradual reduction in the number of employees through retirement, resignation or death. It can also be said as Employee Turnover or Employee Defection”• Whenever a well-trained and well-adapted employee leaves the

organization, it creates a vacuum. So, the organization loses key skills, knowledge and business relationships. Modern managers and personnel administrators are greatly interested in reducing Attrition in the organization, in such a way that it will contribute to the maximum effectiveness, growth, and progress of the organization.

• Attrition Rate:• Employee attrition is a very big problem in India and outside India.

"The rate of shrinkage in size or number"

So a Question arises ???“ Why an Employee leaves a company?”.• To Fig this out every Company calculates Employee attrition rate and

takes measures to reduce it.

Review of Literature

• Bob Russell and Mohan Tithe, “Work organization, HR practices and employee retention in Indian call centers” laid emphasis on specific aspects of HR practice for their effect on retention in the very different context of Indian labor market. The findings suggest that the contribution of HR to employee retention is a necessary but not sufficient condition for retention in the context to Indian call centers. (Written in 2010)(1)• Choi Sang Long and Panniruky Perumal, “ The Impact of HR practices on

employee’s turnover intention” researched discusses extensively on the impact of human resource practices that can alter the negative effect on the organization due to high employees’ turnover. Issues encountered may be in the areas of shrinking pool of entry-level workers, individual differences, use of temporary workers, productivity and competitiveness, retirement benefits and skills development. (Written in June 2012)(2)

• A Relationship between Organizational climate, Employee personality and intention to Leave. Written by Liew Chai Hong and Sharan Kaur found that organizational climate has a significant association with employees’ intention to leave. The entire four organizational climate dimensions had significant negative correlations with employees’ intention to leave. (Published in International Review of Business Research Papers in June, 2008).(4)• Employee attrition and Retention: Exploring the dimensions in the urban centric

BPO industry researched by Santoshi Sen Gupta aims to produce a model for employee retention conjoining it with other aspects of perceived attitudes viz. employee motivation, employee satisfaction, employee involvement and life interest and work compatibility etc. Researcher tried to study the variables with the help of few management theories. (Written in 2010). (5)

• Attrition and Retention of employees at Greenville Fire Rescue written by Eric T Griffin deals with a problem of employees leaving the organization after receiving training and job preparation. conjoining it with other aspects of perceived attitudes viz. employee motivation, employee satisfaction, employee involvement and life interest and work compatibility etc. (written in October 2006). (6)• The Effects of Employee Development Programs on Job Satisfaction and Employee

Retention written by L. Karen Shelton analyzes the significance of employee development on job satisfaction and retention; it also takes account into business success. The study determined that training and development increase employee satisfaction and are significant in an employee’s decision to stay with a company. It also indicated that the impact of training decreases without the organizational culture to support employees in the development process. (Written in may 2001). (7)

• Ravi Bapna, Alok Gupta, Amit Mehra and V. Sambamurthy in their research paper Attrition of IT workers in the context of offshore outsourcing: the Economic impact of training explains that IS professionals working within business firms primarily seek to contribute to their firm’s effective leverage of IT. They are motivated to make strong internal contributions, but do not typically contribute directly to revenue and are often considered to be cost centers. In contrast IS professionals working in an offshore outsourcing context, such as in the Indian IT/ITeS industry, are evaluated primary y on their ability to generate revenue. (Written in 2008). (8)

Need of the Study:

• The success of any organization depends largely on the workers, the employees are considered as the backbone of any company. The study is mainly undertaken to identify the level of employee’s attitude, the dissatisfaction factors they face in the organization and for what reason they prefer to change their job. Once the levels of employee’s attitude are identified, it would be possible for the management to take necessary action to reduce attrition level. • This study can be helpful to the management to improve its core

weaknesses by the suggestions and recommendations. This study can serve as a basis for measuring the organization’s overall performance in terms of employee satisfaction.

Objectives of the Study

• To know the satisfaction level of employees towards their job and working conditions at Fenesta. • To identify the causes for the attrition. • To suggest measures to control Attrition to the management.

Hypotheses

• Ho1: There is no significant relation between employee satisfaction and attrition in Fenesta.• Ha1: There is significant relation between employee satisfaction and attrition

in Fenesta.• Ho2: There is no significant relation between HR practices and attrition in

Fenesta.• Ha2: There is significant relation between HR practices and attrition. • Ho3: There is no significant relation between Growth opportunities and

Attrition at Fenesta.• Ha3: There is significant relation between Growth opportunities and Attrition

at Fenesta.

Research Methodology

• Sources of Data Collection: • Primary data: In this study primary data is to be collected through:Interviewing the ex-employees (within past one year) Surveying the existing Employees .• Questionnaire survey: In this study a questionnaire shall be prepared. The

questionnaire shall consist of a set of questions that shall be circulated among the employees. • Secondary data: Previous records containing information regarding employees.Other relevant study materials and websites.

• Sampling Design: Population: Employees of Fenesta Building Systems (Gurgaon, HO).Sample Size: 50 employees from different departments/functions,

roles/positions (Gurgaon, HO). Sampling Technique: Stratified Random Sampling.Sales Department : 10 Employees Installation Department : 10 EmployeesCosting Cell: 10 EmployeesProduction Department : 10 Employees Finance and Marketing Department: 5 Employees each.

• Research Design: Descriptive and Analytical Research. • Tool and Techniques for Data Analysis : Chi Square Test and Weighted

average Method.

• The factors that are taken into consideration for the attrition analysis are as follows;

Employee moraleCompensation PackageCareer growthWork EnvironmentCommunicationCompany PoliciesTrainingJob Satisfaction

Proposed Chapterization

• Chapter 1 : Introduction Need of the Study Objectives of the Study Hypotheses of the Study • Chapter 2 : Literature Review • Chapter 3 : Company Overview• Chapter 4 : Research Methodology • Chapter 5 : Data Analyses • Chapter 6 : Findings of the Study • Chapter 7 : Conclusion • Chapter 8 : Suggestions • References