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Absenteeism and Turnover:

A Comparative Study Report on


Agora, Meena Bazar and Nandon

Prepared For
Prof. Md. Nizamuddin
Course Teacher: Research Methods
Dept. of Business Administration
Prepared By
Name

ID No.

Sardar Md. Salahuddin Bijoy

3157

Airin Jannat

3214

Moni Rani Saha

3216

Nafeul Hafij

3160

IBAIS University
Date of submission: 5/01/2013

ACKNOWLEDGEMENT
Firstly we would to thank Allah (swt) for everything and
for giving us the wisdom and opportunity to compile this
research report.
We would like to extend grateful thanks firstly to our
teacher Prof. Md. Nizam uddin for his continuous effort
secondly, HR manager of Meena Bazar, Mr. Rakibul
Hasan, Supervisor of Meena Bazar, Mr. Ali Haider without
their help it would not be possible for us to complete this
report.
We would also like to thanks to the salesperson of Meena
Bazar, Agora and Nandom who have shared their working
knowledge with us and thus contribute to the completion
of the report.

iCARUS Group

Executive summary
The employee absenteeism and turnover has always been
a critical problem. It has a great number of negative
effects in the organization particularly where the whole
business depends on the salesmen.
Purpose:
The report has been prepared to identify the present
condition of employee turnover and absenteeism rate of
three well renewed superstores named as Agora,
Meena Bazar and Nandon. The study focused on the
demographical analysis of the superstores salesperson,
the individual superstores absenteeism and turnover rate,
the comparative analysis of absenteeism and turnover of
three superstores.
Research Methods
We have conducted survey method. Here we have
selected a single branch of each superstore as a sample
for our survey to get the characteristic of the population
or to get a general idea. We also have selected the
salesperson of those branches for our absenteeism and
turnover rate.

Introduction
Superstores in our country are now expanding rapidly at
the same time creating employment for a number of
people. Since the whole business entirely depends on
sales it has also become necessary to train the
salesperson, motivate them and retain them to avoid
absenteeism and turnover.
Among all the other superstores a significant proportion
of employees are working on Meena Bazar, Agora and
Nandon. Due to the expansion of business starting with a
very few employees now they have a large number of
people, working in the superstores as a salesperson.
Approximately 150 salespersons are presently working in
three superstores on Dhanmondi 27. Basically students or
low skilled people are encouraged to work as a
salesperson in those superstores.
The study has been focused on the absenteeism and
turnover rate on three specified superstores.
Absenteeism means Employees missing part or whole
days of work due to personal illness, personal business or
other reasons excluding paid vacation. These absences
may be avoidable or unavoidable and Turnover means
replacement of employees who have left the workplace
due to either voluntary or involuntary reasons.

Literature Review
Turnover:
The rate of turnover varies from company to company.
The highest level of turnover normally found in private
sectors than public sectors. The levels of turnover also
vary from region to region. The highest rates are found
where unemployment rate is lower and where it is easy
for people to get alternative employment. Sometimes
employee turnover benefits organizations positively. This
might happen when a poor performer is replaced by a
more skilled employee and when a retired employee
replaced by a younger one. Employee turnover may be
also costly as it requires different cost to take account
such as administrative costs of recruitment, cost of
covering during the period in which there is a vacancy,
training cost for the new employee etc. Turnover occurs
for many different reasons. Sometimes new job attracts
employees and pull them to leave the old one. In contrary
employee also pushed to leave job due to the
dissatisfaction in their present workplace or by domestic
circumstances when someone reallocates with their spouse
or partner. A poor relationship with the management can
be an important reason for the employees to leave their
jobs. It is relatively rare for people to leave jobs in which
they are happy even offered by higher salary elsewhere. A
lack of proper training and development is also major

Methodology:
The research study will look at the possible causes of
absenteeism and turnover specifically three superstoresMeena Bazar, Agora and Nandon.
Sampling Plan
Population: All employees of Meena Bazar, Agora and
Nandon.
Sample Unit: Employees of Meena Bazar, Agora and
Nandon of a single branch situated on Dhanmondi-27.
Sampling unit: Non-Probabilistic Sampling.

Methods of data collection


Primary Data

Primary data has been collected by the following two


tools:

a)

Questionnaire Method
Here closed end questionnaire method has been
used where the participants were asked to
answer questions based on absenteeism and
employee turnover.

b)

Direct interview Method.

Findings:

Discussion
From the overall findings, the data gives us some clues on
the absenteeism and turnover rate. The data shows the
absenteeism and turnover rate is higher in Nandon and
Agora compares to Meena Bazar due to the employment
of a proportion number of male and female workers,
lower absenteeism rate, use of lower sick leave, fewer
turnover. All this positive sides makes the shares higher
compares to other two superstores-Agora and Nandon.

Recommendation
Recommendation for Meena Bazar
1)
2)
3)
4)

More male salesperson should be employed.


Other facilities like transportation should be provided.
Training should be provided.
The organzation give extra incentive based on sales to motivate
the employees.
5) The organization should provide some entertainment for the
employees like television in the workplace during offpeak hour to
reduce their stress or to reduce their bore feeling.
6) Some light food can be provided at a minimum or free of cost e.g.
Tea.
7) Regular survey should be conducted to undertstand their present
condition of individual sales and their satisafaction level.

Recommendation for Nandon


1) More salesperson should be employed as we have seen few
salesperson are looking after the whole superstores which can
reduce pressure.
2) Rumeneration should be increased.
3) Transporation facility should be provided.
4) The supervisor should train the emplyees more to motivate them
in selling.
5) The environment of the workplace should be friendly which might
help the employees work like home.

Conclusion
Undoubtedly, we can say the superstores have a very
bright future. At the same time it is also import to ensure
that the human resources are managed properly. It is not
only raising cost but also ruining the image of the
organization. So such sensitive issues like absenteeism
and turnover should be handled properly not only for
reducing cost but also for holding their reputation in the
market.

Executive summary
The employee absenteeism and turnover has always been a critical problem. It has a great
number of negative effects in the organization particularly where the whole business depends
on the salesmen.
Purpose:
The report has been prepared to identify the present condition of employee turnover and
absenteeism rate of three well renewed superstores named as Agora, Meena Bazar and
Nandon. The study focused on the demographical analysis of the superstores salesperson,
the individual superstores absenteeism and turnover rate, the comparative analysis of
absenteeism and turnover of three superstores.
Research Methods
We have conducted survey method. Here we have selected a single branch of each superstore
as a sample for our survey to get the characteristic of the population or to get a general idea.
We also have selected the salesperson of those branches for our absenteeism and turnover
rate.

Findings:
Though we have seen a little bit similar result of employee turnover and absenteeism rate on
those three superstores yet the market share of Meena Bazar is much more promising

according to the report relative to Agora and Nandon. The absenteeism and turnover rate is
significantly lower than Agora and Nandon.
Main Conclusion:
Undoubtedly, we can say the superstores have a bright future in our country. But the report
tells us that among three superstores only the Meena Bazar is at the top with lower
absenteeism rate and turnover.

Introduction
Superstores in our country are now expanding rapidly at the same time creating employment
for a number of people. Since the whole business entirely depends on sales it has also become
necessary to train the salesperson, motivate them and retain them to avoid absenteeism and
turnover.
Among all the other superstores a significant proportion of employees are working on Meena
Bazar, Agora and Nandon. Due to the expansion of business starting with a very few
employees now they have a large number of people, working in the superstores as a
salesperson. Approximately 150 salespersons are presently working in three superstores on
Dhanmondi 27. Basically students or low skilled people are encouraged to work as a
salesperson in those superstores.
The study has been focused on the absenteeism and turnover rate on three specified
superstores.
Absenteeism means Employees missing part or whole days of work due to personal illness,
personal business or other reasons excluding paid vacation. These absences may be avoidable
or unavoidable and Turnover means replacement of employees who have left the workplace
due to either voluntary or involuntary reasons.
The absenteeism and turnover rate is influencing the overall productivity specially, on
superstores which require continuous support while buying by the customer products and
managing each department as well.
The absenteeism and employee turnover has always been playing a vital role in productivity.
It has found that the absenteeism and turnover rate tremendously affect the company
inventory turnover on superstores. This is not only reduces productivity but it also incur cost
to the company as it requires extra cost to the employer, putting pressure on other
salespersons while other salesperson is not present and also adding cost for hiring and
provide training to the new salesperson and wasting of valuable time as well. Sometimes it
also creates dissatisfaction to regular consumers as well.
The report will help the management to understand the relative condition of the existing
leading superstores. Their comparative condition, salesperson demographic analysis, turnover
and absenteeism rate.

Literature Review
Turnover:
The rate of turnover varies from company to company. The highest level of turnover
normally found in private sectors than public sectors. The levels of turnover also vary from
region to region. The highest rates are found where unemployment rate is lower and where it
is easy for people to get alternative employment. Sometimes employee turnover benefits
organizations positively. This might happen when a poor performer is replaced by a more
skilled employee and when a retired employee replaced by a younger one. Employee turnover
may be also costly as it requires different cost to take account such as administrative costs of
recruitment, cost of covering during the period in which there is a vacancy, training cost for
the new employee etc. Turnover occurs for many different reasons. Sometimes new job
attracts employees and pull them to leave the old one. In contrary employee also pushed to
leave job due to the dissatisfaction in their present workplace or by domestic circumstances
when someone reallocates with their spouse or partner. A poor relationship with the
management can be an important reason for the employees to leave their jobs. It is relatively
rare for people to leave jobs in which they are happy even offered by higher salary elsewhere.
A lack of proper training and development is also major cause for voluntary turnover.
Employees have a preference for security of their jobs.
Absenteeism:
At first we will discuss the different determinants which were found to have a relevant impact
on employee absenteeism by previous research The four categories used throughout the study
are: demographics, health characteristics, household characteristics and job characteristics.
Demographics
Employee absence behaviour is expected to vary with socio-demographic characteristics.
This section will discuss the influence of gender, age and educational attainment on employee
absenteeism.
Gender
Women are expected to be absent more often since they are, traditionally seen, more inclined
with taking care of the household (Barmby, Ercolani and Treble, 2002), but also other
explanations were found in the literature.
Age
Despite much previous research, many contradictory evidence is found regarding the
relationship between age and absenteeism. On one hand it is often argued that older
employees will be absent more since older people are expected to be sick more.
Education
A far less often tested factor in relation to absenteeism is level of education. It is expected
that employees have finished their education before they started working. As such this factor
will merely focus on whether significant differences can be found between absenteeism and
highest finished level of education.

Health characteristics
Probably the most important indicators of absenteeism are related to the health of employees.
While other factors have their impact on influencing the absence rate, health itself, for
example general illness, is the most occurring reason for an employee to be absent
Health status
Self-assessed health status is an increasingly common measure of health in empirical research
and has shown to provide a trustworthy view of a persons health (Linn and Linn, 1980;
Crossley and Kennedy, 2002). It could be understood that people who assess their health
better, thus rate their own health at a higher degree, are likely to be absent less often.
Lifestyles
In this paper lifestyles resemble a persons BMI and smoking habits. A BMI informs whether
a person has underweight, overweight or even obesity. A person, who is fitter, at good weight
or physical condition, will be better able to fight illnesses or injuries. Smoking is well known
to negatively influence health and is shown to have a negative relation with absenteeism
Relationship status
The relationship status of a respondent seems to have an influence on absenteeism. Important
to notice is that the distinction in relationship status will be made between married and single.
Children
Besides the relationship status the formation of the household, such as presence of dependent
children and household size in general, has an influence on the absence behaviour of an
employee. Dependent or young children cannot take care of themselves and depend on the
care of their parents or others. Employees with such children will be absent more often due to
caring responsibilities. This behaviour is also inclined to grow stronger as the total household
size grows due to more children per household, which will cost more time and involvement
Taking care of others
This determinant has not been tested much. As such little theoretical support or results can be
found in previous research concerning a link between taking care of others, besides only an
employees own children, and absenteeism.
Other household income
As mentioned, income or economic support from other household members could influence
attendance behaviour. This additional household income could stem from income received by
others in the household, capital or other non-labour income.
Job characteristics
Besides individual characteristics, the working conditions or characteristics also has influence
on the rate of absence. A basic psychological support for significance of such factors can be
found in the aspect that when people enjoy what they are doing or if it matches their needs,
they will exert more effort in order to meet the commitments, in this case attendance at work.
Job satisfaction
Price and Mueller (1981) describe job satisfaction as the overall degree to which employees
like their jobs. As mentioned earlier, when somebody is satisfied with what he is doing he
will exert more effort in keeping his promises, which here means showing up at work.
Satisfied people are also less inclined to focus on the negative aspects which could result in a
(more) negative attitude 16
which correlates with absence positively. Steers and Rhodes (1978) summarize this effect
clearly; highly satisfied employees would probably want to attend strongly, while highly
dissatisfied employees would probably want not to attend strongly.
Personal labour income

When an employee earns a higher labour income, according to the labour-leisure framework,
his time being absent will have higher opportunity costs. An employee is thus expected to
exert more effort to attend at work and choose less for leisure. This is in line with the
efficiency wage theory which explains that employees earning higher wages will exert more
effort and be less absent.
Job status
Employees working at higher functions behave differently with respect to the rate of absence.
Employees with a higher job status are assumed to be absent less than employees with a
lower status. Reasons for this relationship are that employees with a higher status often have
more responsibilities and work in less hazardous conditions.
Methodology:
The research study will look at the possible causes of absenteeism and turnover specifically
three superstores-Meena Bazar, Agora and Nandon.
Sampling Plan
Population: All employees of Meena Bazar, Agora and Nandon.
Sample Unit: Employees of Meena Bazar, Agora and Nandon of a single branch situated on
Dhanmondi-27.
Sampling unit: Non-Probabilistic Sampling.

Methods of data collection


Primary Data

Primary data has been collected by the following two tools:


a)

b)

Questionnaire Method
Here closed end questionnaire method has been used where the participants were
asked to answer questions based on absenteeism and employee turnover.
Direct interview Method.
Here the HR managers of respective superstores, has been interviewed to answer
certain questions.

Methods of analysis
In order to analyze and interpret data some tools of statistical analysis has been used. The
statistical tools to be followed are.
1)

Mean

2)

Percentage

3)

Cross tabulation

Scope:
The scope of the report is limited to all the salesperson of Meena Bazar, Agora and Nandon at
Dhanmondi#27 Branch. The report will explore the reasons of employee absenteeism and
turnover.
Limitation
Some limitation and inconvenience had appeared as barriers in accomplishing the report.
These are as follows:
1) The study only covers single branch of three specified superstores.
2) The information that collected through questionnaire and survey and direct interviews
could be imprecise inorder to keep internal information secret.
3) Insufficient time period.
4) Due to limitation some assumptions were made. So there may be some mistakes in the
report.

Findings:

Number of
salespersons
MALE

Female

49

21

Meena Bazar

Number of sales
persons
Female

Male

28

Agora

Number of salespersons
Female

Male

20

Nandon

Termination of Employees:

Percentage of men
terminated for
voluntary reason
Meena Bazar

Agora

Nandon
90

85
80

Percentage of men
terminated for
involuntary reason
Meena Bazar

Agora

Nandon

20
15
10

Avarage number of days taken for leave


reasons per employee
Meena Bazar

Agora

Nandon

Employees Hired by the Superstores

Pencentage of Men
Hired
Meena Bazar

Agora

Nandon

Percentage of Women
Hired
Meena Bazar

80

Agora

Nandon

80
70

30
20

20

Percentage of sick leave usage


Meena Bazar

Nandon

Agora
98

97

95

Average number of sick


days taken per
employee
Meena Bazar

Agora

Nandon
20

15
10

Avarage number of
days taken for leave
reasons per employee
Meena Bazar

Agora

6
5

Nandon

Avarage number of
days taken for leave
reasons per employee
Meena Bazar

Agora

Nandon

Percentage of men
terminated for
voluntary reason
Meena Bazar

Agora

Nandon
90

85
80

Percentage of sick leave usage


Meena Bazar

Nandon

Agora
98

97

95

Discussion
From the overall findings, the data gives us some clues on the absenteeism and turnover rate.
The data shows the absenteeism and turnover rate is higher in Nandon and Agora compares
to Meena Bazar due to the employment of a proportion number of male and female workers,
lower absenteeism rate, use of lower sick leave, fewer turnover. All this positive sides makes
the shares higher compares to other two superstores-Agora and Nandon.

Recommendation

Recommendation for Meena Bazar


1)
2)
3)
4)
5)

More male salesperson should be employed.


Other facilities like transportation should be provided.
Training should be provided.
The organzation give extra incentive based on sales to motivate the employees.
The organization should provide some entertainment for the employees like television
in the workplace during offpeak hour to reduce their stress or to reduce their bore
feeling.
6) Some light food can be provided at a minimum or free of cost e.g. Tea.
7) Regular survey should be conducted to undertstand their present condition of
individual sales and their satisafaction level.

Recommendation for Nandon


1) More salesperson should be employed as we have seen few salesperson are looking
after the whole superstores which can reduce pressure.
2) Rumeneration should be increased.
3) Transporation facility should be provided.
4) The supervisor should train the emplyees more to motivate them in selling.
5) The environment of the workplace should be friendly which might help the employees
work like home.
6) Some extra facilities should be provded in the workplace, like television or music to
refresh their mind.
7) Regular survey should be conducted to undertstand their present condition of sales
and their satisafaction level.

Recommendation for Agora


1)
2)
3)
4)
5)

Rumuneration should be increased.


Transportation facility should be provided.
More employee should be employed to reduce pressure.
Proper training should be provided to motivate employees.
Regular survey should be conducted to undertstand their present condition of sales
and their satisafaction level.
6) Extra facilities can be given like watching Television or listening to music.
7) Friendly environment should be created in the workplace.
8) Supervisor should be more friendly and critical in thinking while dealing with
employees.

Conclusion
Undoubtedly, we can say the superstores have a very bright future. At the same time it is also
import to ensure that the human resources are managed properly. It is not only raising cost
but also ruining the image of the organization. So such sensitive issues like absenteeism and
turnover should be handled properly not only for reducing cost but also for holding their
reputation in the market.

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