Attretion Rate in Bpo

8/16/2019 Attretion Rate in Bpo

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“ CRITICAL ANALYSIS OF VARIOUS FACTORSRESPONSIBLE FOR ATTRITION RATE IN BPO WITH

REFERENCE TO Spanco”

1

Title


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The satisfaction that accompanies the successful completion of any task would beincomplete without mention of the people who made it possible, whose constantguidance and encouragement crowns all the efforts with success.

At the outset, I would like to acknowledge my immense gratitude and heartiestthanks to almighty without whose support I would have not been able to make thisreport.

I also want to thank Mr. Amit Joshi my faculty guide for his constant support and

motivation.I would also like to thanks my parents for their moral support and motivation which

kept me motivated at every point of time.

2CRITICAL ANALYSIS OF VARIOUS FACTORS RESPONSIBLE FOR ATTRITION RATE IN BPO

ACKNOWLEDGEMENT

CERTIFICATION


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This is to certify that the Management Thesis titled “ritical analysis of various factorsresponsible for attrition rate with reference to !"A#$% submitted by &olly 'umari,

enrollment no. ()(**+((- during !emesterI/ of the M0A "rogram 1+(() +(**2embodies original work done by her.

!ignature of the 3aculty !upervisor#ame4 Mr. Amit Joshienter4 I5& &ehradun

BPO: Business process outsourcing


ABBREVIATION


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KPO: Knowledge process outsourcing

HR: Human resource

H0: Null hypothesis

H1: Alternative hypothesis

1. ABSTRACT SUMMARY…………………………………….62. RESEARCH OBJECTIVE…………………………………...73. PURPOSE OF STUDY……………………………………….84. LITRATURE REVIEW……………………………………..…9. HYPOTHESIS FOR STUDY………………………………...13


TABLE OF CONTENTS


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6. METHODOLO!Y…………………………………………….14

7. LIMITATIO"S OF STUDY…………………………………..1

8. I"TRODUCTIO" TO ATTRITIO"………………………….169. COMPA"Y PROFILE………………………………………..191#.PRO!RESS OF STUDY…………………………………....211. HYPOTHESIS TESTI"! ……………………………….….3#12.CO"CLUSIO"………………………………………………..3713.SU!!ESTIO" A"D RECOMME"DATIO"….…………..3814.!LOSSARY………………………………………………….391.A""E$TURE……………………………………………….4#16.BIBLIO!RAPHY……………………………………………43

This report covers all the factors responsible for Attrition rate in 0"$ sector. !"A#$ isalso suffering from the disease of attrition rate. There are many barriers whichcontributed to the high attrition rate in this company.

These barriers are within the control of the employees such as lack of timemanagement, lack of a clear goal and attitude towards work, personal problems.

As !panco 0"$ offers worldclass endtoend business process outsourcing servicesthat can help companies achieve improved business performance. 0ut !panco is not

able to remove the attrition of the employee. Attrition can be seen due to variousreasons like odd shift timing, long working hours, other growth opportunities etc.

6hile using the secondary data I came to know that most of the employees are leavingthe company due to odd shift timing, long working hours and other growth opportunitieswhich in turn lead to attrition. !o overall with the secondary data I came to know that


ABSTRACT SUMMARY


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odd shift timing and other growth opportunities are reason for almost every employeelead to attrition in the company.

0ut some more reasons for attrition came into light when the primary data was usedas after interviewing the employees the reason for attrition rate in the organi7ation was

due to some employees personal problems, some health problem, working environmentand reallocation .

In a nutshell employees8 personal problems, odd shift timing, other growthopportunities, etc. are the various reasons for attrition rate in !"A#$.

SPECIFIC OBJECTIVE:

• To provide the reasons for attrition rate in 0"$ sector with specialreference to !"A#$.

• To study the attrition rate.• To study the ways by which attrition rate can be reduce in any

organi7ation.• To study the various reasons and effects of attrition rate for the attrition

rate.

GENERAL OBJECTIVES:


RESEARCH OBJECTIVES


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• To know the proportion of factors, contributing in the attrition rate in thecompany.

• To see the factor this is mainly responsible for the attrition rate.• To know how working environment contributes to high attrition rate.

The purpose of this study is to provide the reasons for attrition rate in 0"$ sector. Itis also providing the factor which is mainly responsible for the attrition rate. Thisstudy will help the company to know proportion of factors, contributing in the attritionrate in the company. It will help the company to know the steps which will help it toreduce the attrition rate. It will also help the company to know how attrition rateaffects the profitability of the company. This study will help to know how workingenvironment contributes to high attrition rate. 0y this study we will also know theways by which it can reduce the high attrition rate.

ACHIEVEMENT PLANNED:


PURPOSE OF STUDY


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This study is done by me to achieve the ob9ective of the study i.e. to analy7e theattrition rate at !"A#$ and to find out the reasons for attrition rate. The effects ofattrition rate in the company can also determined by this study. This study also helpsme to find out the ways through which the attrition rate of the company can be reduced.

RESEARCH PLANNED:

The research done by me in this study is through primary and secondary data. Theresearch for knowing the employees response about their working in the company andtheir views about the company is collected through interview and :uestionnairemethod.

The data about the attrition rate and the types of attrition rate and causes and effectsof attrition rate is collected through secondary data i.e. internet.

$utsourcing has increasingly become a vital tool for the implementation of business!trategy in many organi7ations. ompetition continues to increase and organi7ationsare being continuously forced to find ways to improve business performance andto obtain competitive advantage. Increasingly, organi7ations are looking beyond thetraditional boundaries of the firm to obtain performance improvement. The growingprevalence of outsourcing service providers is shaping the development of competitivestrategies as well. The 0"$ phenomenon has grown as organi7ations havebeen transferring responsibility for entire functions such as human resourcemanagement,3inance and information services to service providers ; sometimes referredto as


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The outcome of increased outsourcing has been the restructuring of organi7ationsfrom hierarchies performing the ma9ority of business processes to more networkoriented!tructures working with specialist suppliers 1McIvor, +((C2. Eottfredsonet al. 1+((C2 suggested that competitive advantage from a capability perspective is

no longer concerned with a company8s ownership of capabilities but more eDactlyabout its ability to control critical capabilities, whether owned or outsourced.$utsourcing has become increasingly compleD with both strategic and operationalImplications. In addition, there are many possible types of outsourcing arrangements,all of which redefine the boundaries of the firm, are dynamic in nature andsub9ect to change over time. Therefore, performance measurement within theoutsourcing process has become increasingly compleD. "erhaps unsurprisingly, manyfirms lack a detailed understanding of outsourcing, particularly with regard to thepotential benefits and risks. $utsourcing involves the sourcing of goods and services

previously produced internally within an organi7ation from eDternal suppliers. Theterm outsourcing can cover many areas, including the outsourcing of manufacturingas well as services. $utsourcing can involve the transfer of an entire business processto a supplier. Alternatively, outsourcing may lead to the transfer of some activitiesassociated with the process whilst some are kept inhouse. $utsourcing can alsoinvolve the transfer of both people and physical assets to the supplier. $rgani7ationshave always employed eDternal product and service providers to carry out a rangeof business activities such as security, distribution, accounting and informationtechnology.=owever, many organi7ations are increasingly outsourcing a wider range of

activities and a greater level of the value associated with these activities. In effect,organi7ations are no longer outsourcing peripheral activities alone but eDtending thescope of outsourcing to encompass more critical activities that impact upon competitiveposition. Also, the recent movement of many servicerelated activities suchas aftersales support and direct marketing offshore to developing economies hasbecome increasingly prevalent. $utsourcing is not 9ust a straightforward financialor purchasing decision. In many cases, outsourcing is a ma9or strategic decision as$rgani7ations increasingly focus on a limited number of core competencies. Indeed,there is evidence to suggest that welldefined outsourcing strategies can enhance theoverall strategy of the organi7ation 1Eottfredson et al., +((C2.The evaluation and management of the outsourcing process involves a number of important elements. A starting point in the evaluation process involves analy7ingwhether outsourcing a process is appropriate for the organi7ation.

In emergency services, team stability and reliability in responders is essential to safelyand efficiently mitigate the variety of dangerous situations faced daily. Turnover of



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personnel can definitely affect this although the effect may not be easily measurable.Many other conse:uences are tangible as noted by "eter 6. =am and Fodger 6.Eriffith it Employee Turnover .

The authors list separation costs, replacement costs and training costs that result when

"ersonnel separate. The first include eDit interviews, administrative costs in recordsad9ustments, disbursement of unused vacations and more. The second item listedspecifies advertisements, personnel recruitment, application processes, entranceeDaminations, interviews and so on. #umber three above refers, among others, toconcerns such as formal orientation, formal occupational training and on the 9ob trainingto develop proficiency.

In the book Recruitment, Retention and Employee Relations, &. 'eith &entoncontends that the problem of turnover should be addressed proactively. $ne of the

most effective ways of both recruiting and retaining employees is to be the employer of choice. &enton adds that employees can be attracted and retained by offering themcareer opportunities, 9ob variety, responsibility, training and *( giving them a sense of ownership.

&avid G. !tum writing for the maga7ine =uman Fesource 3ocus eDpounds on the senseof ownership when he speaks of a fearless culture and an organi7ational directionwhere employees can comment openly about the status :uo, even challenge it withoutfear of retribution because they know where the organi7ation is headed and how theemployee fits in and contributes to the chosen strategy.

!ome in personnel management resort to reward plans to promote retention of employees. The article, “!even &imensions of !uccessful Feward "lans,% authorsJamie =ale and Eeorge 0ailey 1*))@2 eDplains that workers are willing to invest their intelligence, talent and creativity in support of the company strategy if they can eDpect afair return. Many such programs are used throughout the nation by departments.Theses include “3irefighter of the year,% “$utstanding firefighter award% and more. =aleand 0ailey authors of the abovementioned piece in ompensation and 0enefits Feviewadd that the greatest reward is the work itself. =ale and 0ailey add, “At times a heartfelt


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)(( large and midsi7ed companies surveyed used surveillance and monitoringprocedures with and without the knowledge of the employees. 1!elnow, *))-2 This didnot sit well with the higher caliber, productive worker who simply seeks to be the best heor she can be,** nor did it inspire the mediocre one to eDcel as this worker feared erringwhile under observation and avoided trying any innovative approaches. In the fire

service one must ask, “In the use of the Incident ommand !ystem, how many chiefsconstantly monitor incidents by radio in order to maintain control at the highest level

And, how does this affect the field commanders8 performance and morale%

Ideal for improving retention and reducing attrition is the aligning of the goals of theindividual to those of the employer. 0arbara M. McEuiness eDplains, in “the hange inHmployee Goyalty,% that today8s younger generation places a higher value on personalachievement over corporate goals . . . they divert their loyalties inward. As alreadydiscussed, the important values do not, necessarily include pay as a high priority. !till,

Aon onsulting Goyalty Institute8s study on employee loyalty revealed that while @(B of the workers surveyed would recommend theirs as the best place to work, ?(B of thissame group would go elsewhere for a slight pay increase 1Mc!hulski, *))+2.

Fepeated throughout the literature review was the importance to the employee of familyissues and how their employment allows them the deal with these. In a recent survey5! 6est indicated that @(B of their employees dealt with family issues while on duty,-(B said that balancing home and work was stressful and onethird of all employeeshad taken a day off in the prior year due to some family concern. 1Mcormmick, *))+2The answer to employee retention is simple, hire wisely, train well and, what is most

important, value the employee and let them know it 13ranklin, *))-2. The eDecutiveleadership can demonstrate the value of the employee to the organi7ation by settinghigh eDpectations, communicating constantly, empowering, investing in employees8financial security, giving recognition as often as possible, *+ counseling people in their careers and educating them 10rewer, *))C2.



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HYPOTHESIS TESTI"!%

Two types of hypothesis null and alternate hypothesis is used .

LEVEL OF SI!"IFICA"CE% It shows the probability of re9ection of hypothesis when itshould be accepted. 6hen we choose CB level of significance in a test procedure, thereare about C cases in *(( that we would re9ect hypothesis when it should be acceptedand we are )CB confident that we have made the right decision.

=ypothesis for study is following.

"ULL HYPOTHESIS &H#'% There is no significant impact of working environment on theattrition rate of the company.

ALTER"ATE HYPOTHESIS &H1'% There is significant impact of working environment onthe attrition rate of the company.

LEVEL OF SI!"IFICA"CE% CB Gevel of significance has been taken for the study.


HYPOTHESIS FOR STUDY


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DATA COLLECTIO"%(

PRIMARY DATA% "rimary data is collected through the interview of employees of !panco. uestionnaire filled by them is used.

SECO"DARY DATA% !econdary data is collected through internet and articles relatedto the study are also referred for the study.

After collecting the data through various sources, analysis is done.

SAMPLI"!

In sampling employees of !panco and o will be targeted. This sampling will be donefrom the employees in &ehradun region only.

SAMPLI"! TECH"I)UE% Fandom sampling.

SAMPLE SI*E4 !ample si7e is fifty.


METHODOLOGY


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TIME CO"STRAI"T4 Time constraint is there because we have limited time. In

between we have to manage other things also like our studies, assignments andeDaminations etc.

POSSIBILITY OF SAMPLI"! ERROR4 !ample selected for study may givewrong information or sample selected may not be right for study.

MA"A!EME"T BIAS"ESS4 Management can give incorrect information about

the employee.

DEPE"DE"CY O" )UESTIO"AIRE% The study is dependent on employee8s

responses through :uestionnaire. It may be that employees are not interested infilling them or they want to tell that is not there in :uestionnaire so informationcollected may not be absolutely correct.


LIMITATIONS OF STUDY


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LIMITED SAMPLE SI*E% !ample si7e is limited and it further it is limited to

&ehradun only. !o conclusion may be different from real scenario.

HIDI"! I"FORMATIO"% The data is collected from the company8s employees sosome kind of biasness may occur. They try to hide the information as some ofthem are also working the company.

ATTRITION

Attrition is a reduction in the number of employees through retirement, resignation or

death. The rate of shrinkage in si7e or number is called the Attrition rate. The attrition

rate has always been a sensitive issue for all organi7ations. Attrition is the action or

process of gradually reducing the strength or effectiveness of someone through

sustained attack or pressure.

TYPES OF ATTRITIO"%(

F+,-,+ /00+0% It tells the number of fresher8s who left the organi7ation withinone year. It tells how many are using the company as a springboard or a launchpad.

I/0 5+0/0% It is the percentage of people who left the organi7ation withinone year. This indicates the ease with which people adapt to the company.

C+0/ +,-+, /00+0% It tells the attrition in terms of key personnel likesenior eDecutives leaving the organi7ation.

L: ;,++5/, /00+0% It tells the attrition of those who left due to poorperformance.


INTRODUCTION


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!OOD EFFECTS OF ATTRITIO"(

Hmployees who are not performing well for a long time can be altered with the

working employees who are beneficial for the growth of the organi7ation.

Hmployees will try to work hard so that the company cannot ask them to leave.

ompany will know the loop holes of itself.

ompany will understand the importance of employee and provide them better

facilities.

BAD EFFECTS OF ATTRITIO"(

As more and more attrition in the organi7ation will affect the working of the

organi7ation.

Fevenue and the profits can get decreased due to increase in the number of

employees leaving the organi7ation.

Attrition due to poor working condition or work pressure could lead demotivation

of employees due to which their performance gets affected.

Attrition rates can be calculated using a simple formula4

ATTRITIO" COST%(

$ne of the best methods for calculating the cost of turnover takes into accounteDpenses involved to replace an employee leaving an organi7ation. These eDpenses


A00+0 < &". ,5;,,- : ,0 0, ,/+ = />,+/?, ,5;,,- 0,

,/+' @ 1##


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are4

A. R,+05,0 -0 The cost to the business when hiring new employees includes the following siDfactors4

• Time spent on sourcing replacement

• Time spent on recruitment and selection

• Travel eDpenses, if any

• Felocation costs, if any n TrainingKrampup time

•

0ackgroundKreference screening

B. T+/? / ,>,;5,0 -0

To estimate the cost of training and developing new employees, cost of newhires must be taken into consideration. This will mean direct and indirect costs, and canbe largely classified under the following heads4

• Training materials

• Technology

• Hmployee benefits

• Trainers8 Time

C. A5-0+/0 -0 They include4

• !et up communication systems

• Add employees to the =F system

• !et up the new hire8s workspace

• !et up I&cards, access cards, etc.



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COMPANY PROFILE

/isionTo attain a position of leadership in providing innovativebusiness and technically competent solutions to our clients. !triving to achieve enhancedbusiness competence for the clients, through a team of highly proficient and motivatedpersonnel for overall profitability of the company and the satisfaction of all key

stakeholders. Mission To partner with clients worldwide in migrating and managingtheir 0usiness "rocesses effectively. 6e are committed to customer delight through ourdedicated resources, organi7ational values, :uality, innovative technology and highestsecurity standards.


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WHO!S WHO:

H$ 4 Mr."ravin 'umar

hief =F officer 4 Mr.&ebasish &as

!r. vice precedent !LM4 Mr.Jitendra #ath

!panco 0"$ !ervices Gimited, India8s leading 0"$ services provider, !panco 0"$offers worldclass endtoend business process outsourcing services that can helpcompanies achieve improved business performance. 6e bring together stateofthe artinfrastructure, advanced technology, best people, and process eDcellence, to deliver

services that create a real value impact on our clients business.Its service portfolio includes inbound and outbound call management and back officeoperations support. 0y customi7ing our services to best suit our clients8 businessre:uirements we help our clients achieve maDimi7ed process productivity andprofitability.

!panco 0"$ is committed towards maDimi7ing the value creation for its clients. Toachieve this, we are constantly identifying solutions and strategies that can help useDtempori7e on our service deliverance towards our clients.

=ead:uartered in Mumbai, India, !panco 0"$ is the domestic 0"$ business of !panco0"$ /entures Gtd.

S;,/0,-ustomer !ervice, ollection, ustomer Ac:uisition, Technical !upport and 0ack $ffice!upport

Announced a ma9or eDpansion of its outsourcing services for subscribers of Ideaellular from its centre in &ehradun today. In response to market demand, !panco haseDtended its business process outsourcing 10"$2 services to offer customer relationsoperations for Idea ellular8s subscribers across circles in &elhi, =aryana andFa9asthan. !panco has been associated with Idea in &ehradun for over a year now. Theassociation which began with *(( employees for operations from &ehradun haswitnessed a phenomenal success and has now grown to *+(( strong employee baseand is eDpected to reach +((( by the year end.



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N3or years, IndiaOs outsourcing services have been centered in a few metro hubs. Thespread of IT and ITenabled services to smaller towns has changed that, as thisrevolution reaches out to the(( millionstrong middle class, one of the worldOs mostattractive emerging markets. This will create thousands of new 9obs, new educationopportunities and make local governments more technologysavvy,N says Mr. "ravin

'umar, H$, !panco 0"$.6ith the increasing business volume and growing need ofmanpower !panco has been setting up call centers in nonmetro locations like&ehradun L oimbatore to get closer to the relevant workforce and contain operationcosts with increased efficiency.Mr. 'umar further added “This eDpansion furtherconsolidates our position in the domestic market as a focused Tier* 0"$ serviceprovider to Telecom companies. &elivering services from &ehradun has been a winwinsituation for both Idea ellular and our employees as it generates :uality service forIdea subscribers and also provides great eDposure and employment $pportunities forthe talented graduate and undergraduate students in the region.%

Typically, tier + L cities currently provide definite cost advantages of *C( per centover tier * cities through optimi7ed labor and real estate costs and reduced staff attritionrates and this gap is eDpected to widen further over the neDt few years.

!peaking about the partnership, Mr. #avanit #arayan, hief !ervice &elivery $fficer,Idea ellular, said, “ustomer satisfaction and convenience is critical to businessgrowth. 3or our customers in such high potential circles, we needed a partner who couldoffer high :uality service delivery, and consolidate operations for the region, from alocation that offers abundant talent pool with cost effective and scalable operations. 6eare happy to eDtend our partnership with !panco, which has been successfully

managing our operations and providing :uality customer services for our subscribersacross circles through the &ehradun centre.%

!panco manages call centre work for leading telecom firms. It was the *st 0"$ to setup call center operations for India8s largest telecom company in +((*. !ince then it hasgrown significantly and now services ? of India8s top C telecom companies.

About !panco 0"$ !panco 0"$ offers worldclass endtoend business processoutsourcing services that can help companies achieve improved business performance.!panco brings together stateofthe art Infrastructure, advanced technology, best

people, and process eDcellence, to deliver services that create a real value impact on itsclients business. The company8s service portfolio includes inbound and outbound callmanagement and back office operations support.

!panco 0"$ is committed towards maDimi7ing the value creation for its clients. Toachieve this, we are constantly identifying solutions and strategies that can help useDtempori7e on our service deliverance towards our clients.



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!panco has a formidable presence in the 0"$ space spread over four continentscatering to India, 5!KHurope, Middle Hast and African Markets. It is a fully ownedsubsidiary of !panco Gtd., a public listed company certified to I!$ )((*4+((@ and MMIlevel .


PRODUCTS OFFERED BY THE COMPANY


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SWOT ANALYSIS:



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STRENGTH WEAKNESS

Large no. of talented graduates.

Affordable and quality education as

compared to developed countries.

English language benefit.

ell!developed "# industry.

$trong customer base of well %nown

companies.

&owerful venture capital interest in

investing in growth opportunity.

$carce foreign language s%ills otherthan English.

Lac% of customer service culture.

E'pensive and poor quality telecom

infrastructure.

&oor electricity supply.

(ultural differences.

High attrition rates) therefore less no.

of people with e'tensive call centre

e'perience.

OPPOROTUNITIES THREATS

Hori*ontal and vertical e'pansion of

e'isting customer base into new

mar%ets.

#ime *one difference between "ndia

and target mar%ets.

"ncreasing awareness of outsourcing

services.

High Billing rates.

&olitical instability.

"ndia+s competitors in Eastern

Europe) Latin America and the Asia

&acific regions offering cheap B&,

services.

"ncreasing technology automation.



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E"#l$#ti%& OF BPO I&'$(t)*:

Ye#)( P)%+e((

-/0s #ime sharing

-10s 2ata processing

-30s Entire "# operations

-0s $hared business services

4000s B4B partnerships via "nternet

4000s &rocess outsourcing via

"nternet

4000s "#!enabled offshore services



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FINDINGS

This study is done by primary data as well as secondary data. "rimary data collectedby me is through interview and uestionnaire method. The interview through:uestionnaire method is done. Hmployees were interviewed in which it was found thatthe main reasons for an employee leaving the 9ob in !"A#$ &ehradun is due topersonal problems, salary, work timings, other career options, adding that there isalways the danger of costs increasing while billing rates decline. !ome employees also

leave the 9ob for growth, or when they get fed up of the monotonous 9ob, and some ofthe employees leave the 9ob when they do not get the 9ob according to their capabilities.

6hile talking to employees of !"A#$ &ehradun I came to know about some ofthe reasons for attrition in the company. The following are the names of some of theemployees with whom the interview were done and their responses4

1.' M-.R ,? =er main reasons for attrition in the company is due to odd shifttiming and personal problems.

2.' M-. S+// /?+/:/( According to her “When I worke !n SPANCO" I wa# $%#&&oo &!re o' &he o &!(!n)# an &he *on) work!n) ho%r#" %#%a**+ I wen& &o work

a& , !n &he (orn!n) an ca(e -ack a& . an wo%* -e #o &!re &ha& a'&er (ak!n)

(+ !nner I wo%* $%#& )o &o #*eep an no& &a*k &o an+one a& ho(e an wake %p

an a)a!n o''!ce/ I wa# #ooo o%& o' #oc!e&+ an e#pec!a**+ (+ 'a(!*+ &ha& I ha

ec!e0 I wo%* -e *ea1!n) &h!# work”/

E(p*o+ee# $%(p!n) #h!p !# one o' &he ca%#e# o' a&&r!&!on !n &h!# work area/

3.' M-. R/ A??/+:/( As she was D employee her reason for attrition in thecompany is due to personal problems of employee i.e. the lady employee leaves thecompany due to her marriage or some employees can leave the 9ob due to somefamily problems.


PROGRESS OF STUDY


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4.' M+. "/>,, B-0( As he was also an D employee his reason for attrition in thecompany is due to growth some people leave the 9ob for growth. !ome employeesleave the 9ob and switch over to other companies for better growth opportunities and

full utili7ation of their capabilities.

.' M+. A+> S? =e is an eDisting employee of the company and according to himthe main reason for attrition in !"A#$ is work timings and other career optionsgrowth option is very less in 0"$ sector which leads to attrition.

6.' M-.P+// R/0,/( According to her the reason for attrition in the company isdue to work environment some of the employees are not able to perform for a longperiod due to this.

7.' M+. S D/-5//( According to him the basic reason for attrition in the companyis odd work timings.

8.' M+.S// S?( =is reason for attrition in the company is due to odd shift andpersonal problems.

9.' M+. A+;0 R/:/0(=is reasons were the employees8 personal problem and growth.

1#.' M-.R/ -?( =er reasons for attrition in the company are due toreallocation.

ANALYSIS

The above are the eDample of some of the employees who were interviewed and their responses, like this others were interviewed and by their responses some commonreasons for attrition in the company came into light. 0y grading the reasons of the



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employees we can easily find out how much percentage of which reason effects thecompany the most.

After collecting the data analysis was done the ma9or reasons for attrition in !"A#$&ehradun are discovered. The reasons are further eDplained below which really effectsthe working of the organi7ation and attrition in the company. The study reflects theattrition in !"A#$ &ehradun. The basic reasons which are responsible for the attritionrate in !"A#$ &ehradun are as follows4

1.' W+ T5?( Most of the employees leave the organi7ation due the odd

working timing. According to some employee they had no social life due totiming of the 9ob even they had no time for themselves.



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2.' P,+-/ +,/--( Hmployees due to their personal problems also leave theorgani7ation. May be any lady employee getting married or some locationproblem to any employee also leads to attrition in !panco.

3.' !+:0( !ome employees also leaves the company for their growth purpose.Many of the places the eDperience of bpo sector are not count as a workeDperience This also leads to attrition.

4.' H,/0 ;+,5( !ome employees also leave the organi7ation due to the healthproblem .they are facing health problem because of long working shift as well as

odd timing. 6hen the employees are not able to keep themselves healthy withthe work culture of the organi7ation they leave the organi7ation. This is also abig factor for attrition rate.

.' W+ E>+5,0(this is also one of the reason of attrition in bpo sector like!panco some people 9oin the bpo sector but after some time when they are notable to do work with the work culture of the organi7ation then they left theorgani7ation .

28CRITICAL ANALYSIS OF VARIOUS FACTORS RESPONSIBLE FOR ATTRITION RATE IN BPOMETHODOLOGY


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DATA COLLECTION

&ata collection is the most important part of every study. It is the soul of the study. Thereare two types of data collection which are used in this study.

They are as follows4

PRIMARY DATA% "rimary data is the data which is first time collected by theresearcher. The primary data in this study will be collected by "ersonal interviews anduestionnaires filling by employee of !panco.

SECO"DARY DATA% !econdary data is a data which is already collected by otherresearchers for some research work. The secondary data is be collected by internet,

9ournals, and reference books etc.

/arious methods such as :uantitative method can be used for analyses of the data.

SAMPLING

In sampling employees of !"A#$ will be targeted. This sampling will be done from theemployees in &ehradun region only.

R/5 -/5;? techni:ue will be used for the study and theS/5;, S, will be 0.


HYPOTHESIS TESTING


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"ULL HYPOTHESIS &H#'% There is no significant impact of working environment on the

attrition rate of the company.

ALTER"ATE HYPOTHESIS &H1'% There is significant impact of working environment onthe attrition rate of the company.

L,>, S?/,% CB

SI!" TEST

P !ign is for employees who are favoring the impact of working environment on

attrition rate in the company.

!ign is for employees who are not favoring the impact of working environment on

attrition rate in the company.



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pQ @RC(


"O. OF

EMPLOYEE

SUCCESS

RATIO &P'

FAILURE

RATIO &G'

* ,

+ ,

,

? - C -

-

- -

@ ,

) ,*( ,

** ,

*+ ,

* ,

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Q .-

:Q *+RC(

Q.+?

=ypothesis p=oQ.C

p=*Q.C

n Q C(

pQ.-

:Q.+?

!dpQSp:Kn 1where !dpQ stand. Hrror2

S.C.CKC(

Q .(-*

* T,-0

!dpQ.(-*

5pper limit

p=(P*.)1!dp2

Q.CP 1*.)2.(-*

5pper limit Q .-

Gower limit

"=(*.).(-*



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Q .C*.).(-

Gower limit Q .

Accep&ance re)!on

Re$ec&!on re)!on

O 2/343 2/43,5 6

Lower *!(!& %pper *!(!&

T- ?+/; -:- 0/0 ;0,-- - +,,0, ,/-, + ;+;+0 >/, -#.76 / 0 - 0-, 0, +0/ >/, +,?. S 0,+, - / -?/0 5;/0 :+? ,>+5,0 0, /00+0 +/0, 0, 5;/.

RESULT



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This graph shows that hypothesis is re9ected because our proportion value is(.- and it is outside of the critical value region.

!o there is a significant impact of working environment on the attrition rate of thecompany.

This shows that attrition rate is dependent on the working environment of thecompany if the working environment is good attrition rate will reduce and if working environment in the company is not good the attrition rate will increase.

This result shows that more and more employee are accepting that they theorgani7ation due to poor working environment.

0y analy7ing the data it is known that !panco does have some attrition rate. Theabove graph shows that hypothesis is re9ected because our proportion value is(.- and it is outside of the critical value region.


CONCLUSION


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!o there is a significant impact of working environment on the attrition rate of thecompany.

If we look at the primary data it shows that attrition in the company is mainly due

the employee8s personal problems and working hours company which leads toattrition.

6hile the secondary data shows some other picture, According to secondary

data the attrition in the company is due to odd shift timings personal problems ofthe employees is not shown in the secondary data.

=ence, we can conclude that working environment plays a vital role in the

attrition rate.


SUGGESSTIONS AND RECOMMENDATION


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There are some suggestions which can be used by the company for the

reduction of attrition rate in the company. The suggestions are as follows4

The top management of the company should try to involve in solving the problem

of the employees by this the employees will feel that the company is concerned

about them and so they will try to retain in the company.

Eood motivational techni:ues should be adopted by the company to retain the

employee in the company and make them feel concerned. ompany should try toadopt some techni:ues like games, parties8 etc.to reduces the work pressure ofthe employees and this will also lead to retention in the company.

Job rotation, Job enrichment etc. should be adopted so the work should not be

monotonous for the employees.

ompany should also check its attrition rate every month to know the reduction

or increment in the attrition rate.

#ot only monetary but nonmonetary appraisal should also be done because

different people have different meaning of motivation.

ompany should know the importance of retaining the employee in the company

and try to provide all the re:uirements to the employees so the employees couldretain in the company.

The company should provide good working environment in the company so that

the employees don8t feel like leaving the company.

The company should provide some value added services to the employee so that

they cannot leave the company due to any reasons.

The company should organi7e a family meeting every month to know the

personal problem of the employees.


GLOSSARY


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Employee relocation% Hmployee relocation includes a range of internal businessprocesses to transfer employees, their families, andKor entire departments of a businessto a new location.

E5;,, 0+>,+% Hmployee turnover is a ratio comparison of the number ofemployees a company must replace in a given time period to the average number oftotal employees.

E5;,, +,0,0% Hmployee retention is a process in which the employees areencouraged to remain with the organi7ation for the maDimum period of time or until thecompletion of the pro9ect.

S0/,,+% !takeholder a person, group, organi7ation, or system who affects or canbe affected by an organi7ationOs actions.

R/5 -/5;?% Fandom sampling refers to taking a number of independentobservations from the same probability distribution, without involving any realpopulation.

S/5;, -,4 The sample si7e of a statistical sample is the number of observations thatconstitute it.

" ;0,--% The null hypothesis typically proposes a general or default position,such as that there is no relationship between two measured phenomena

A0,+/0>, ;0,--% Alternative hypothesis, which asserts a particular relationshipbetween the phenomena.


ANNE.URE

http://en.wikipedia.org/wiki/Statistical_samplehttp://en.wikipedia.org/wiki/Alternative_hypothesishttp://en.wikipedia.org/wiki/Alternative_hypothesishttp://en.wikipedia.org/wiki/Statistical_samplehttp://en.wikipedia.org/wiki/Alternative_hypothesishttp://en.wikipedia.org/wiki/Alternative_hypothesis


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/UESTIONNAIRE

NA7E 8 A99RESS8

:EN9ER 8OCCUPATION 8

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a) UH! b2 #$ c2 5#HFTAI#

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a2 UH! b2 #$ c2 5#HFTAI#

),-3' A+, /:/+, 0, +,:/+- / ;+50 +0,+/ 0, 5;/


),-4' A+, ?,00? / 0;, :+ ;+,--+, 0, 5;/

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),-' A+, ?,00? ? :+? ,>+5,0 0, 5;/


),-6' D />, / ;+;,+ !+,>/, R,+,--/ --0,5 0, 5;/


b2



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),-7' A+, -/0-, :0 0, !+,>/, R,+,--/ --0,5 SPA"CO


b2

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SPA"CO


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a) $&& 6$F'I#E !=I3T b2 EF$6T= c2 "HF!$#AG "F$0GHM!

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REFERENCES

http://www.spanco.com.my/http://www.spanco.com.my/http://www.spanco.com.my/http://www.wikipedia.com/http://www.google.com/http://www.go4bpo.com/http://www.spanco.com.my/http://www.wikipedia.com/http://www.google.com/http://www.go4bpo.com/


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Attretion Rate in Bpo

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