Columbia Asia is a chain of hospitals in Asia, with 16 medical facilities across India, Malaysia, Vietnam and Indonesia

PROJECT REPORT

ON

ATTRITION ANALYSIS&

RETENTION STRATEGY AT MAX HEALTHCARE LTD.SUBMITTED TO: SUBMITTED BY:PREFACE

Theory without practice has no fruit

Practice without theory has no root.

As a management student, we must have some practical knowledge regarding research and research methodology.

The education institutions offering management programs play a significant part in uncalculating the much needed managerial skills in their students, the aspiring managers. The real success of management lies in applying the professional management techniques in all managerial activities. Practical study is eminent, and plays vital role for the students of management, because classroom coaching and theoretical study alone are not enough. To survive in this highly competitive world, practicality outweighs theoretic. Students are supposed to learn the various principles of business administration conceptually but accuracy and efficiency in their implementation is possible only through exposure to practical environment.

Through this project report work we can better understood the different aspects like research design, measurement and scaling techniques, questionnaire and form design, data collection, analysis and interpretation. Through this report we can understood business research methodology in practical term.

Hence, to attain this objective and to have the outlook of all intricacies of corporate world I have undertaken the research project about "Attrition analysis and Retention strategy at Max Healthcare Ltd." I have tried my best and have applied all my efforts, knowledge and sources available, in this project.ACKNOWLEDGEMENT

A large number of individuals have contributed to project. This project is a humble attempt to sketch down the contribution of all those persons who have directly or indirectly given their precious time and help along with proper guidance for making this report in the following shape.

I am grateful to Miss. Shavinder Kaur, Manager, HR Max Healthcare LTd. forgranting mepermission to do theproject work. I extend my sincere thanks to all employees of Max Healthcare Ltd. I am very thankful to Mr. ____________________________, my project guide without whose guidance and support without which it would have been a castle in the air.

And also I would like to extend my sincere thanks to all those who have supported to me including my project guide for their constant encouragement and support.

Last but not the least, I pay my gratitude to my parents, family members, friends, for their moral support and whole hearted co-operation in bringing-out this report. TABLE OF CONTENTChapter No.ContentPage No.

Executive Summary

1Design of the study

Introduction of the study

Need for the study

Objectives of the study

Research Methodology

Sampling Design

Sources of data collection

Data Analysis

Limitations

Scope for further study

2Company Profile

Profile of group company Max India

Max India group mission

Subsidiaries

Max Healthcare Ltd.

Vision

Mission

Salient features

Services

Super specialties

Awards, accreditation and distinction

Max care programs

3Theoretical framework of attrition and retention

Introduction to attrition

Attrition rate

Main causes of attrition

Cost involved with the term attrition

Benefits of attrition

Meaning of retention

Managing employee retention

Retention success mantras

Importance of retention

Attrition in hospitals

4Data Analysis and interpretation

5Findings

6Suggestions

7Annexure

8Bibliography

EXECUTIVE SUMMARY

In todays fast paced business environments where employees are constantly striving to achieve business goals under time restrictions; open minded and transparent work culture plays a vital role in employee retention. Companies invest very many hours and monies in training and educating employees. These companies are severely affected when employees check out, especially in the middle of some big company project or venture. Although employees most often prefer to stay with the same company and use their time and experience for personal growth and development, they leave mainly because of work related stress and dissatisfactions .More and more companies have now realized the importance of a healthy work culture and have a gamut of people management good practices for employees to have that ideal fresh work-life.Employee turnover is one of the largest though widely unknown costs an organization faces. While companies routinely keep track of various costs such as supplies and payroll, few take into consideration how much employee turnover will cost them.Most employees feel that they are worth more than they are actually paid. There is a natural disparity between what people think they should be paid and what organizations spend in compensation. When the difference becomes too great and another opportunity occurs, turnover can result. Employees comprise the most vital assets of the company. In a work place where employees are not able to use their full potential and not heard and valued, they are likely to leave because of stress and frustration. In a transparent environment while employees get a sense of achievement and belongingness from a healthy work environment, the company is benefited with a stronger, reliable work-force harboring bright new ideas for its growth.

The study was conducted with a few objectives in mind which were to study the HR practices in the organization, to find out the problems faced by employees of the organization, to find out certain factors responsible for high attrition rate in the organization and to suggest some ways by which the company can retain its employees.The aim of this study is to investigate and determine the current human resource practices on retention of core employees in hospital. It will examine the relation between HR practices and retention further identifies the elements of HR practices, which strongly influence the core employees to stay. Results from this study will assist in the development of an effective HRM retention program for hospitals. Chapter 1 contains the objective of the study along with the sources of data collection, sampling design, data analysis and limitations of the project. Chapter 2 contains company profile, its products, vision and mission, awards and achievements etc.Chapter 3 tells about conceptual framework of attrition, its costs, its effect, strategy for retention etc.

Chapter 4 presents data analysis and interpretation of 100 employees about the present attrition and retention strategy.

Chapter 5 is about findings of the survey done.

Chapter 6 suggests ways to reduce attrition in Max Healthcare Ltd.I have used both primary and secondary data for the survey and kept the language as simple as possible.

CHAPTER -1DESIGN OF THE STUDY

INTRODUCTION OF THE STUDY

Retention is one of the challenges facing many business organizations today. For many organizations, strategic staffing has become a concern because the ability to hold on to highly talented core employees can be crucial to future survival.

Employee attrition, a big cause for concern for firms, ranges between 15 per cent and 20 per cent. A company is not hurt because a certain person has left. The company is hurt because he/she takes away certain knowledge, and there is no ready replacement in the market.

Attrition, as such, is not a bad phenomenon. It has been known to exist all along. However, when jobs were scarce, the technology change was less rapid, voluntary attrition was small and companies managed it. However, with technology changing rapidly and manpower costs increasing, attrition is high and hurts badly.

Large players often use money power to lure talent from smaller players. Companies also use the `location' bait to attract employees. While a certain percentage of manpower turnover is desirable to keep fresh blood coming in, and removing dead wood, higher percentages are definitely not good indicators of an organization's culture and people practices.

Retaining the key talent is essential for an organizations sustainable growth and hence, countering & controlling attrition has become one of the major concerns in the business world. Employee retention is a process in which the employees are encouraged to remain with the organization for the maximum period of time or until the completion of the project. Employee retention is beneficial for the organization as well as the employee. Employees today are different. They are not the ones who dont have good opportunities in hand. As soon as they feel dissatisfied with the current employer or the job, they switch over to the next job. It is the responsibility of the employer to retain their best employees. If they dont, they would be left with no good employees. A good employer should know how to attract and retain its employees.Need for the Study:

The development of any economy depends upon its industrial development. Even in Agriculture based Country like India, now Industrial development plays vital role. The Changes introduced in EXIM policy leads to LPG and had accelerated development of Industries. The Industries consist of small scale, medium scale and large-scale industries. In these three types of industries, large-scale industries play a crucial role in economic development of the country. Among such industries hospital industry.

Attrition is a major setback in a companys progress. The expenditure on recruitment & training in case of filling up for an employee who has resigned adds up as extra costs for the organization. Moreover, the productivity loss for the period when the position was vacant is also considerable. After recruitment also it takes time for the new employee to get oriented and hence, the productivity is less. Lastly, constant manpower loss also reduces the credibility of the organization as a good work place.

Recognizing & dealing with the reasons for attrition is the primary concern for Max Healthcare Ltd. in order to get a more firm grip over the market which it leads today edge over its competitors and to ensure its expansion and fast growth. Therefore, considering the importance of attrition level in the organization, I choose the Attrition Analysis and retention strategy at MAX HEALTHCARE LTD. as a topic to fulfill my dissertation work.As the Indian healthcare industry experiences the exponential growth , hospital organizations are shifting their focus from 'survival' to excellence. Especially, in the metropolitans one can see that hospitals are striving to be leaders in the market rather than just survivors. As a result, need for excellent manpower is now indispensable. Hence, with lucrative offers at each employee's disposal, attrition is bound to happen. In addition to this, there is a big demand and supply gap in the healthcare manpower available. No wonder that the cost of manpower resources is increasing by each day. Companies are literally bidding for good talent and attracting them with tempting salaries and designations.OBJECTIVES OF THE STUDY

Following were the objectives of the study:-

1. To study the current trend and ratio of attrition in the Max Healthcare.

2. To identify the factors that influences the employee to change the job.

3. To understand the present exit system of the company.

4. To study the problems faced by employee in Max Healthcare.

5. To study whether employees are satisfied with the HR policies.

6. To study present retention strategy of the Co.

7. To evaluate whether retention practices influence the behavior of the existing employees.

8. To suggest changes in present retention strategy if any.

RESEARCH METHODOLOGY

RESEARCH DESIGN

A research design is a framework to prepare plan or study. It is useful as a guide to collect the data and analyzing it. It is a blue print that is followed in completing the study. Research design is the conceptual structure within which the research will be conduct.

Type of Research : The study is descriptive in nature.

SAMPLING DESIGN:

Sample size: 50

Sample Unit: Employees

Sampling Technique: Random Sampling.

SOURCES OF DATA COLLECTION:

Primary data was collected through interview and questionnaire. Structured questionnaire for employees are also filled up.

Secondary data was collected through books, magazines and journals, newspapers, annual reports and websites of the company.

DATA ANALYSIS

Appropriate but simple analytical methods like cross tabulation, Simple Percentage, pie-charts, bar charts etc was employed to analyze and interpret the data collected.

LIMITATION

1) This project is restricted to study purpose only and can be used keeping in view the object that is made for.

2) The sample is very small. 3) The respondent in the project may not reveal important / confidential information pertaining to the company policy and for this the project should be used keeping in view the said limitation.

4) Finding of the study was based on the assumptions that respondents have given correct information.

5) The study is not necessarily the solution to the problem that exists.

6) The study is focused on a very general level rather than a full scale detailed report.

SCOPE FOR THE FURTHER STUDY

The scope of this study is confined to Max Healthcare Ltd. with respect to the employees at all the levels of management.

This study can help the management to know where the company is lagging behind and helps to improve its internal and external environment.

The project throws light through valuable suggestion to decrease attrition level in the organization.

This study can help the management to find the weaker parts of the employee feels towards the organization and also helps in converting those weaker part in to stronger by providing the optimum suggestions or solutions.

This study has a wider for scope in any kind of organization since attrition is general one and makes the employees to put forth their practical difficulties and need factors in the organization.

This study can help the management to know for which the reason employees tend to change their job, through dissatisfaction factors faced in the organization and also helps to recover by providing the optimum suggestions or solutions.

This project can be base for the students who are doing the project in the related area.

CHAPTER -2

COMPANY PROFILE

PROFILE OF GROUP COMPANY - MAX INDIA Founded in 1985, Max India Ltd. is a Public Limited company listed on the NSE and BSE of India with over 30,000 shareholders. Max India Limited is a multi-business corporate entity driven by the spirit of enterprise with a focus on people and service oriented businesses.

The companys vision is "to be one of Indias most admired corporates for Service Excellence." Towards this end, it has established businesses that are today recognized as being at the fore front of service excellence, in each of the industry sectors where it operates. Group Protect Life through its life insurance subsidiary Max New York Life, a joint venture between Max India and New York Life, a Fortune 100 company, Caring for Life through its healthcare company, Max Healthcare Institute Limited, a subsidiary of Max India Limited, Enhancing Life through its health insurance company, Max Bupa Health Insurance, a joint venture between Max India and Bupa Finance Plc., UK which is set to launch after statutory approvals, Improving Life through its clinical research business, Max Neeman, a fully owned subsidiary of Max India.

Max India Group Mission:

1. Establish niche service businesses in Life Insurance,

2. Healthcare and clinical research

3. Life Insurance and Healthcare convergence

4. Rank amongst top three players in each niche

5. Partner with best-in-class world leaders

6. Create trust and service excellence in all Business

In addition to these "life-centred" businesses, Max India manufactures speciality products for the packaging industry through its division - Max Speciality Products. MSP too, has a strong service excellence orientation that strives on building long lasting partnerships with marquee customers.

SUBSIDIARIES:

Max New York Life Insurance Company

MNYL is a joint venture between Max India Ltd. and New York Life Fortune 100 Company. MNYL, incorporated in 2000, is one of Indias leading private life insurance companies. The Company offers both individual and group life insurance solutions. It has established a wide distribution network across India. Through its wide network of highly competent life insurance agent advisors and flexible product solutions, MNYL is creating a partnership for life with its customers in India to help them meet their life stage needs.

Max Neeman

MNMI is a Clinical Research services provider offering services across the value chain of new drug development to a growing list of Pharmaceutical, Biotech and Clinical Research clients, in India and abroad. MNMI continues to focus on developing alliances with midsized pharma and biotech companies to transition their drug development work to India. It has an employee base of 200 and five Regional offices in India & one business development office in USA.

Max Speciality Products

MSP specializes in manufacturing of wide range of sophisticated barrier and packaging films. The BOPP division of MSP has an installed capacity of 29,000 tons per annum. MSPs leather finishing foil business division manufactures a range of leather finishing and laminating foils

Max Bupa Health Insurance Limited (MBHI),

Max Bupa Health Insurance Limited (MBHI),a joint venture between Max India and UK-based Bupa Group. Max Healthcare Ltd.Max Healthcare is the countrys leading comprehensive provider of standardized, seamless and international class healthcare services. It is committed to the highest standards of medical and service excellence, patient care, scientific and medical education. Max Healthcare operates eight facilities in Delhi & NCR, offering services in over 30 medical disciplines. Max Healthcare has an out-patient facility, Max Medcentre and a Speciality centre focused on Eye and Dental care at Panchsheel Park, secondary care hospitals at Pitampura, Noida and Gurgaon and state of the art tertiary care facilities at Saket, Patparganj in South & East Delhi respectively. The tertiary care hospitals at Saket include Max Super Speciality Hospital (East Block), which is a centre of excellence for Cardiac Care, Minimal Access, Metabolic & Bariatric Surgery and Cancer Care and Max Super Speciality Hospital (West Block), a super speciality facility in Orthopaedics & Joint Replacement, Neurosciences, Paediatrics, Obstetrics & Gynaecology, Aesthetic & Reconstructive Plastic Surgery and Internal Medicine. In addition, it offers services in the disciplines of Urology, ENT, Gastroenterelogy, Nephrology, Dermatology, Mental Health & Behavioural Sciences amongst others.

Max Healthcare has consolidated its position in Delhi & NCR with the launch of its 9th Facility - Max Super Speciality Hospital in Shalimar Bagh - in November 2011. Max Healthcare extended its footprint in North India by inaugurating 2 new Super-Speciality Facilities in Mohali & Bathinda (in PPP with Govt. of Punjab) in September 2011. Another Facility at Dehradun is on the anvil. Max Healthcare has a base of over 1600 leading doctors, 4300 employees and 13,00,000 patients with number of beds growing to over 1900 in the next two years.Vision:

To deliver International Class healthcare with a total service focus, by creating an institution committed to the highest standards of medical & service excellence, patient care, scientific knowledge and medical education.

Mission: Create unparalleled standards of medical and service excellence Create exceptional standards of medical and service excellence Care provider of FIRST Choice Principal choice of physicians Ethical Practices

Salient Features:

1. A team of highly qualified and trained doctors, nurses and patient care personnel to provide the highest standards of care

2. Latest medical equipment and hospital information system

3. Over 1500 leading doctors, 280 corporate clients and a patient base in excess of 8,00,000

4. Clean and comfortable facilities at all locations

5. Fully computerised health records

6. 24 hour - Chemist, Ambulance, Patient Diagnostic and Emergency Services

7. Regular educational and health camps to help educate patients on various health issues, so that they make informed choices

8. A complete preventive healthcare programme - MAX 360 and one of its kind 'Platinum preventive health programme'

9. Comprehensive Healthcare System

10. Max Healthcare model visualizes setting up of a world-class healthcare model offering the best medical assistance delivered seamlessly through state-of-the-art medical facilities.

SERVICES

DIAGNOSTIC SERVICES

a)Cardiology:

Cath Lab

Angiography

Angioplasty

Echo, colour Doppler, CTMT, ECG.

b)Endoscopy:-

Gastro-duodenoscopy and Sclerotherapy Varicial ligation Sigmoidoscopy Coconoscopy ERCP Bronchoscopy and alveolarlavage Cystoscopy

c)Radiology:-

CT Scan Digital X-ray Barium studies Intravenous pyelography Ultrasound, HSGa) Cytology and Histopathology:-

Analysis of all types of body fluids Histological assessment of various biopsy specimens FNAC Tru cut Biopsy & Laparoscopic Biopsy

Others:-

A)Endocrinology:-

Thyroid function test

Growth hormone

Prolactin

ACTH, Cortisol assay

B)Ophthalmology:-

Complete evaluation with Slit lamp

Bimicroseopy

Automated refraction

Ultrasound scan, Contact lens

C)Neurology:-

EEG

EMG

Nerve Conduction Studies

D)Biochemistry:-

Blood Sugar, GTT, Blood urea, Creatinine, SGOT/PT, Bilirubin

Total protein AG ratio

Alkaline Phosphatase Acid Phosphatase,Calcium and Phosphate

Electrolyte, Total Lipids Profile

Amylase and Lipase, Cardiac enzymes(PK, MB, TropT, LDH, etc)

E)Microbiology:-

Cultures

GRAM's Stain

Infection Control

F)Pulmonary Medicine:-

Lung function tests ABG

SUPER SPECIALTIES

1. Cardiac care & CathLaboratory

Max Hospital has started a dedicated Cardiac care set-up the Max Cardiac Care Center& Cath Lab. The cath lab is equipped with latest equipments including Siemens Artis Zee, advanced 3D imaging and stent boost. The Cardiac center of Max Hospital has one of the most ergonomic CCU's.2. Renal Science Department

The Center of Excellence for Nephrology and Urology, specializes in all aspects of Nephrology such as renal biopsies, critical care nephrology, hemodialysis and peritoneal dialysis. Hospital also offers comprehensive Urological care for congenital disorders, stone disease, urological cancers, incontinence, infertility, erectile dysfunction etc. Comprehensive Urological services in the form of Lithotripsy, Endo-urology, TURP and laparoscopic urological surgeries are routinely performed3. Gastroenterology Department

The department of Digestive Diseases at Max, is equipped with Modular OT and endowed with latest equipment and back of the ICU, CCU and Dialysis unit.

4. Obesity Surgery

Max Hospital is an OSSI (Obesity Surgery Society of India) recognized surgery center in India.5. Hernia Clinic

Max hospital has a full fledged Hernia Clinic. Max day care hernia clinic benefits: No admission No overnight stay Hernia under Local Anesthesia. Safe for elderly patients and high risk patients (such as cancer, diabetes ,heart disease etc)

6.Joint Replacement

Max provides the most comprehensive orthopedic care. Hospitals board-certified and fellowship trained physicians and staff specialized in the surgical and non-surgical treatment of the spine, hand, shoulder & upper extremity, hip & knee, including reconstruction in total joint replacement, foot & ankle, trauma & fracture care.

Joint Replacement Surgery: Hip, Shoulder, Knee and specially Uni-compartment knee replacement. Unit is performing replacement surgeries with MIS (Minimal Invasive Surgery) technique.

Awards, Accreditations and Distinctions:Max Healthcare has achieved several distinctions and awards

ISO: Five of the Max hospitals have received the ISO certification.

National Accreditation Board for Hospitals and Health Care Organizations (NABH): NABH is an autonomous body established in 2005 under the Quality Council of India for setting benchmarks in Indian healthcare industry. In 2006-07, the tertiary care hospitals of Max Healthcare, Max Devki Devi Heart and Vascular Institute (MDDHVI) and Max Super-Specialty Hospital (MSSH) became the first two hospitals of North India to receive the prestigious NABH accreditation.

National Accreditation Board for Laboratories (NABL): In 2006-07, Max Healthcare acquired the NABL accreditation for its laboratory at MSSH.

NABH standards for Blood Bank Accreditation: Maxs Blood Bank in Saket is among the first few in the country to receive this Accreditation in Feb 2009, which is aimed specifically to accredit excellence and safety in management of Blood Banks.

Maxs Blood Bank at Max Balaji Hospital PPG also received NABH accreditation recently.

MAX CARE PROGRAMMES:

Max Care Programmes are developed to ensure complete relaxation when it comes to health. Programmes include,

a. Healthy Neighbourhood Programme - Max Healthy Neighbourhood Programme is here to create a healthy environment through regular health check-up, camps, special offers and health related talks in different colonies.

b. Max Happy Family - Max Happy Family (MHF) plan allows to choose an Out Patient (OP) plan based on the needs and size of family.

c. Home Care Programme - Max Home Care Programme is an integrated, best-in-class medical services programme delivered at home

d. NURTURE - Max Antenatal Programme is a beautifully designed programme to make the expectant moms feel confident about pregnancy, childbirth and early parenthood. The programme will help them to effectively cope with the changes in their personal, professional, social life and make the everyday life activities easy during pregnancy and postpartum. The programme focuses at making pregnancy a fun filled and a memorable journey. Expect Life, Life Expect.

e. School Programme - Recognising that children's thoughts, behaviours and needs are different from those of adults Max organizes different comprehensive programmes specifically meant for school children.

f. Corporate Programme - Max Healthcare Corporate Programmes help and support professional individuals to improve their performance and problem solving abilities leading to a better relationship with their organisation.CHAPTER 3THEORETICAL FRAMEWORK OF ATTRITION AND RETENTION

INTRODUCTION TO ATTRITION

"A reduction in the number of employees through retirement, resignation or death"In the best of worlds, employees would love their jobs, like their coworkers, work hard for their employers, get paid well for their work, have ample chances for advancement, and flexible schedules so they could attend to personal or family needs when necessary. And never leave. But then there's the real world. And in the real world, employees, do leave, either because they want more money, hate the working conditions, hate their coworkers, want a change, or because their spouse gets a dream job in another state. So, what does that entire turnover cost? And what employees are likely to have the highest turnover? Who is likely to stay the longest? ATTRITION RATE

Attrition rate can be defined as the rate of shrinkage in size or number of the workforce of an organization. A formula had to be devised keeping in view the nature of the business and different job functions. Attrition rates can be calculated using a simple formula:

Attrition = (No. of employees who left in the year / average employees in the year) x 100

Besides this, there are various other types of attrition that should be taken into account. These are:

Fresher attrition that tells the number of freshers who left the organization within one year.

Critical resource attrition which tell the attrition in terms of key personnel like senior executives leaving the organization.

Low performance attrition: It tells the attrition of those who left due to poor performance.

MAIN CAUSES OF ATTRITION1. Job Satisfaction

Employees seek a job, which offers them stratosphere level of responsibility and high growth of trajectory. If the organizations do not deliver on these expectations, employ exodus cannot be contained.2. Salary And Perks

There may be any number of reasons as to why an employee leaves and one of the major fact is the money. Nowadays companies have started wooing the best of the talents with mind boggling salary levels and attractive designations.

3. Work Environment

An employee may leave an organization if the fairness of the system does not inspire his/her confidence. Organizations, which pay scant regards towards employee safety and care, will also have to face the mounting attrition levels.

4. Pressure Of Work

Companies in their zeal to squeeze out every little ounce of productivity from their employees and further increase profitability may opt for less number of employees. In such situation employees will be constrained to rethink their priorities and join an organization that promises a relaxed piece of work.

5. Relationship With Supervisors And Co-Workers

If the supervisor lacks confidence, empathy and trust in employees, they will fail to command the respect of the sub-ordinates. Similarly lack of cordial relationship with co-workers will also cause high rate of attrition.

6. Miscellaneous

In addition to all the above factors some of the other causes of attrition can be health condition of the person, geographical location and competency in the working environment. COSTS INVOLVED WITH THE TERM ATTRITION

A. Recruitment cost

Time spent on sourcing replacement

Time spent on recruitment and selection

Travel expenses, if any

Re-location costs, if any n Training/ramp-up time

Background/reference screening

B. Training and development cost

Training materials

Technology

Employee benefits

Trainers Time

C. Administration cost

Set up communication systems

Add employees to the HR system

Set up the new hires workspace

Set up ID-cards, access cards, etc.

BENEFITS OF ATTRITION

Attrition rates are considered to be beneficial in some ways: If all employees stay in the same organization for a very long time, most of them will be at the top of their pay scale which will result in excessive manpower costs.

When certain employees leave, whose continuation of service would have negatively impacted productivity and profitability of the company, the company is benefited.

New employees bring new ideas, approaches, abilities & attitudes which can keep the organization from becoming stagnant.

There are also some people in the organization who have a negative and demoralizing influence on the work culture and team spirit. This, in the long-term, is detrimental to organizational health.

Desirable attrition also includes termination of employees with whom the organization does not want to continue a relationship. It benefits the organization in the following ways:

1. It removes bottleneck in the progress of the company

2. It creates space for the entry of new talents

3. It assists in evolving high performance teams

There are people who are not able to balance their performance as per expectations, lack potential for future or need disciplinary action. Furthermore, as the rewards are limited, business pressures do not allow the management to over-reward the performers.

Some companies believe attrition in any form is bad for an organization for it means that a wrong choice was made at the beginning while recruiting. Even good attrition indicates loss as recruitment is a time consuming and costly affair. The only positive point is that the realization has initiated action that will lead to cutting loss.

MEANING OF RETENTION

Employee retention is a process in which the employees are encouraged to remain with the organization for the maximum period of time or until the completion of the project.

Employee retention is beneficial for the organization as well as the employee. Employees today are different. They are not the ones who dont have good opportunities in hand. As soon as they feel dissatisfied with the current employer or the job, they switch over to the next job. It is the responsibility of the employer to retain their best employees. If they dont, they would be left with no good employees. A good employer should know how to attract and retain its employees. Retention involves five major things:

Compensation

Environment

Growth

Relationship

Support

Employee retention would require a lot of efforts, energy, and resources but the results are worth it.1) Compensation

Compensation constitutes the largest part of the employee retention process. The employees always have high expectations regarding their compensation packages. Compensation packages in L&T vary from designation to designation between the employees within the organization. So an attractive compensation package plays a critical role in retaining the employees. Compensation includes salary and wages, bonuses, benefits, prerequisites, stock options, bonuses, vacations, etc. While setting up the packages, the above components should be kept in mind.

2) Organization Environment

People want to work for an organization which provides Appreciation for the work done, ample opportunities to grow, a friendly and cooperative environment, a feeling that the organization is second home to the employee

Types of environment the employee needs in an organization

Learning environment

Support environment

Work environment

Lack or absence of such environment pushes employees to look for new opportunities. The environment should be such that the employee feels connected to the organization in every respect.3) Growth and Career

Growth and development are the integral part of every individuals career. If an employee can not foresee his path of career development in his current organization, there are chances that hell leave the organization as soon as he gets an opportunity.

The important factors in employee growth that an employee looks for himself are:

Work profile

Personal growth and dreams

Training and development4) Importance of Relationship in Employee Retention Program

Sometimes the relationship with the management and the peers becomes the reason for an employee to leave the organization. There are times when an employee starts feeling bitterness towards the management or peers. A supportive work culture helps grow employee professionally and boosts employee satisfaction. To enhance good professional relationships at work, L&T focuses more on the following points:

Respect for the individual

Relationship with the immediate manager

Relationship with colleagues

Recruit whole heartedly

Promote an employee based culture

Individual development

Induce loyalty5) Support

Thus employers can support their employees in a number of ways as follows:

By providing feedback

By giving recognition and rewards

By counseling them

By providing emotional support Managing Employee RetentionThe task of managing employees can be understood as a three stage process:

Identify the cost of employee turnover

Understand why employee leave

Implement retention strategies RETENTION SUCCESS MANTRASA) Transparent Work Culture

In todays fast paced insurance industry where employees are constantly striving to achieve business goals under time restrictions; open minded and transparent work culture plays a vital role in employee retention. Co. invests many hours and monies in training and educating employees. More and more companies have now realized the importance of a healthy work culture and have a gamut of people management good practices for employees to have that ideal fresh work-life. Employees comprise the most vital assets of the company and company provides a work place where employees are able to use their full potential. B) Quality Of WorkThe success of any organization depends on how it attracts recruits, motivates, and retains its workforce. Organizations need to be more flexible so that they develop their talented workforce and gain their commitment. Thus, organizations are required to retain employees by addressing their work life issues. The elements that are relevant to an individuals quality of work life include the task, the physical work environment, social environment within the organization, administrative system and relationship between life on and off the job.

C) Supporting Employees

Employers can support their employees by creating an environment of trust and inculcating the organizational values into employees.

The management can support employees directly or indirectly. Directly, they provide support in terms of personal crises, managing stress and personal development. Management can support employees, indirectly, in a number of ways as follows: Manage employee turnoverEmployee turnover affects the whole organization in terms of productivity. Managing the turnover, hence, becomes an important task. A proactive approach can be adopted to reduce attrition. Strategies should be framed in advance and implemented when the times arrives. Turnover costs should also be taken into consideration while framing these strategies.

Feedback

Feedback acts as a channel of communication between the employee and his manager. The amount of information employees receive about how well or how poorly they have performed is what we call feedback. It is a dialog between a manager and an employee which acts as a way of sharing information about the performance. It suggests where the employee performance is effective and where performance has to improve.

Managers can provide either positive feedback or negative feedback to employees. This feedback helps the employee assess his performance and identify the improvement areas. Communication Between Employee and Employer

Communication is the solution to almost everything in this world. Same applies to employee retention also.

Straight-from-the-shoulder communication is what the employees need from their employers. Employees look for organizations where communication and process are transparent. Nothing is hidden and shared with the employees.

So there should be effective communication across the organization and this communication should be two-way. Communication alone can lead to unimaginable heights of employee retention.

These practices can be categorized in 3 levels: Low, medium and high level.

Importance of Employee Retention

The Cost of Turnover will be reduced.

Company Knowledge can be secured more efficiently.

Customer Service can be improved.

Goodwill of the company will spread.

Efficiency can be regained.

ATTRITION IN HOSPITALS:

As the Indian healthcare industry experiences the exponential growth ,hospital organizations are shifting their focus from 'survival' to excellence. Especially, in the metropolitans one can see that hospitals are striving to be leaders in the market rather than just survivors. As a result, need for excellent manpower is now indispensable. Hence, with lucrative offers at each employee's disposal, attrition is bound to happen. In addition to this, there is a big demand and supply gap in the healthcare manpower available. In its 2013-14 report, a leading business magazine mentioned that by 2015 there will be shortage of 5,00,000 doctors and 10,00,000 nurses alone in India, whereas Indian medical education capacity is 31,000 per year.

No wonder that the cost of manpower resources is increasing by each day. Companies are literally bidding for good talent and attracting them with tempting salaries and designations. Undoubtedly, for any HR in the healthcare industry, retaining its employees is the need of the hour.

A Matter of Concern:

Healthcare is witnessing the same exponential growth that IT and BPO industry faced some years back. Needless to say, the sector has also inherited the problem of attrition that still plagues the IT and BPO industry. "Attrition is pretty high in the industry these days. For instance, the attrition rate in Max Healthcare is 34-36 per cent. I would not call it critical but definitely important enough to be addressed," shares Surajit Banerjee, Director HR, Max Healthcare, Delhi.

With attrition, the organisation loses key skills, knowledge and business relationships. Shares Somnath Chakravorty, CEO, GM Modi Hospital, Delhi, "Whenever a well-trained and well-adapted employee leaves any organisation, it creates a void that is tough to fill."

To find a substitute is always a key challenge in this case. He adds that recruiting and training programmes for employees is an expensive affair. The company has to invest a lot while recruiting an employee. But the situation gets worse when attrition happens at a key skill position, as there is already a scarcity of such resources in the market. So how does one deal with such a situation? "Though it is a challenging phase, one has to be prepared well in advance. Either one hires a well-trained person on a higher salary or hire someone at the lower salary," Banerjee suggests.

Attrition amongst Nurses:

Attrition rates among nurses were the highest because of their high demand in foreign countries. There has been a faster rate of nurses leaving the country, over the last couple of years, for jobs in the UK or the US. India churns out the highest number of trained nurses in the world and mature nursing professionals are opting out of the system and following growth opportunities. According to the healthcare industry analysts, the list of countries choosing from India's pool of trained nurses is growing from the traditional 'Gulf Region' or West Asia, to the UK, the US and even Africa.

Ankush Gupta, Senior Manager-HR, Hinduja Hospital, says, "The attrition rates have increased in the last decade. We have always been the exporter of medical and nursing talent worldwide and now the extra thrust on healthcare development in Middle East and African region will further fuel it." There is definitely a shortage of nurses in the country, particularly 'specialised nurses'. The demand from other countries is recognition of the skills of Indian nurses. However, there are not too many courses for specialised training to deal with emergency situations.

According to industry estimates, the current day requirement is for about 10.3 lakh nurses. At present, there are roughly nine lakh nurses registered with various nursing councils in India. Thousands have already migrated to greener pastures overseas. There are thousands more waiting in the pipeline, signed up with commercial chains that facilitate migration of nurses. In fact, there is a boom in the number of agencies helping nurses find jobs overseas. An Indian nurse can expect to earn anything between $40,000 and $60,000 for a staff job in these countries. A nursing supervisor can earn around $80,000. And with overtime, they can add another 20,000 to 30,000 dollars to their salary. Not surprisingly, nurses are flocking to foreign countries.

The high attrition levels are also because there is limited upside to nursing as a career. While doctors are paid well in private hospitals, than in a Government institution, the case is reversed for nurses, who are better looked after in public hospitals. The present shortage may not yet be crippling large hospitals in big cities, but is mainly felt in small towns or rural areas. Because of the acute shortage, many hospitals are today hiring unregistered nurses to cope with their basic needs. Also, poaching of staff from other hospitals has become rampant. The constant churn in nursing staff inevitably means a huge monetary drain for hospitals which have to constantly plough in more funds for training.

Multiple Reasons:Though many HR experts believe that people leave mostly for money; a significant factor is that most people leave because of their bosses. To put it simply, they do not gel well with their bosses. "Time and again most studies have proved that employees never leave the company, they leave their bosses. An inefficient boss creates poor work culture, which is one of the frequent reasons for quitting," shares Banerjee. In addition, attrition also happens when people hate their working conditions, do not like their team-mates or perhaps do not like what they are doing. There are also cases when people leave their job for family reasons or when they wish to migrate. For example, girls often leave their jobs when they get married and shift to another city. It is common to hear 'the organisational work culture is not good so, I can't work.' Well, it is the organisational culture which determines who stays and who goes. The culture of an organisation is determined by the quality of the relationship between bosses and their sub-ordinates.

Employers often fail to understand the importance of providing opportunities for development of their employees or their career growth. "Hospitals have limitations in providing a robust career progression plan. Also, salaries peak out within the system because various reasons like collaterals at the same level of hierarchy etc," opines Gupta. The cumulative average growth rate that an employee gets does not help him/her to meet the ends and then they start looking out.

A conducive working atmosphere, good culture, training and career growth with adequate salary are some provisions that control attrition. Banerjee asserts that communication is given a lot of importance at Max Healthcare. Moreover a lot of medical services-mainly OPD-is provided to employees (to an extent, free). He adds that people who leave Max Healthcare want to join back. Banerjee points that she has also seen a trend of employees leaving for other organisation just to experience another work place.

Also, many people leave because they come with certain aspirations to a hospital and when these aspirations fail, employees quit.

The maximum attrition takes place at middle level management as these are the people who hit the growth ceiling in a very short span of time and find that further growth in the system would be very slow. Also, when the new facilities find it difficult to get talent who has exposure to hospital industry, they attract them with better offers.

For an organisation, the key lies in understanding and fulfilling those aspirations. Chakravorty adds that the organisation is viewed as a place where employees meet their aspirations of growth and development, values of trust, teamwork and transparency. If a company respects them and their skills, realise their potential and provide them with a healthy environment to learn and grow with flexible compensation, employees take that as a strong reason to stay on. To tackle the problem of growth, Chokravorty points out that the growth career path should also be spelt out clearly and employees must be made aware of those processes and growth path that they can expect. He adds that processes should be clearly defined. If there is a discrepancy, then the individual should be able to question it. He opines that there should be a focus on areas like training, career development and believes in equipping workforce better on the professional front.

CHAPTER 4DATA ANALYSIS AND INTERPRETATION1. Do you enjoy healthy and progressive environment at work place.

Sr. no.ResponsePercentage

1Yes100%

2No0

Interpretation: 100% respondents believe that they enjoy healthy and progressive environment at work place.We can see from the data that all the employees enjoy healthy and progressive environment at work place.2. Are you satisfied with your management?

Sr. no.ResponsePercentage

1Yes94%

2No6%

Interpretation: Maximum percentage i.e 94% respondents are satisfied with the management and rest are not satisfied with the management.Majority of the respondents are satisfied with management.3. Are you satisfied with the management policy of your hospital?

Sr. no.ResponsePercentage

1Yes96%

2No4%

Interpretation: 96% respondents are satisfied with the management policy of hospital and rest 4% are not satisfied.Majority of the respondents are satisfied with HR policy and management policy of the hospital.4. Is there an absence of coordinal relationship between employees?

Sr. no.responsePercentage

1Yes66%

2No34%

Interpretation: 64% of the respondents believe that there is lack of coordinal relationship between employees, whereas 36% believe that there is a good relation between employees.Majority of the respondents said there is absence of cordial relationship between employees.

5. Are you surely satisfied with your pay?

Sr. no.responsePercentage

1Yes56%

2No44%

Interpretation: 56% respondents are satisfied with their pay and rests are not satisfied. But the percentage of dissatisfaction level is also high. So we can say that half of the respondents are dissatisfied with their salary.We can say that satisfaction level with the salary is less among the employees.

6. Is your job tough?

Sr. no.Responsepercentage

1Yes86%

2No14%

Interpretation: 84% respondents consider their job as tough, whereas14% consider it easy.Majority of the respondents consider their job as tough.

7. Is there a good relation between you and your leader?

Sr. no.ResponsePercentage

1Yes72%

2No28%

Interpretation: 72% respondents is having a good relation between them and their leaders whereas 28% respondents said there is not very good relationship between them and their superior. Majority of the respondents said there is good relation between employee and superior.

8. Are you provided with extra facilities(hostel,medical,leaves etc)?

Sr. no. ResponsePercentage

1Yes68%

2No32%

Interpretation:68% (maximum) said that are provided with extra facilities(hostel, medical, leaves etc), while 32% respondents said that they are not provided any extra facilities.Majority of the respondents are satisfied with extra facilities provided like hostel, medical benefits, leaves etc.

9. Are you satisfied with the training facilities?

Sr. no.ResponsePercentage

1Yes84%

2No16%

Interpretation: 84% respondents are satisfied with the training facilities and rests are not satisfied with training facilities.Majority of the respondents are satisfied with training facilities.

10. Do you see high career growth and development in your hospital?

Sr. no.ResponsePercentage

1Yes64%

2No36%

Interpretation: 64% respondents said they see high career growth and development in their hospital. 36% respondents said there is not high career growth and development in hospital.Majority of the respondents said there is high career growth and development in their hospital.

11. Attrition rate is high because of their high demand in other hospitals?

Sr. no.ResponsePercentage

1Yes98%

2No2%

Interpretation: 98% respondents agree with the statement that Attrition rate among nurses is high because of their high demand in other hospitals while 2% disagree with the statement giving cause of attrition other than high demand outside.

Majority of the respondents said attrition is high because of high demand and good salary offered by other hospital. 12. Do you get recognized by your efforts in the organization?

Sr. no.ResponsePercentage

1Yes56%

2No44%

Interpretation: 56% respondents said that they get recognized by their efforts in the organization while 44% respondents said that they are not recognized for their effort in the organization.Majority of the respondents get recognition for the effort they do. But the percentage of employees who dont get recognition is also very high.

13. Does the management motivate you by co-operation & trust?

Sr. noResponseRespondent

1Yes74%

2No26%

Interpretation: 74% respondents believes that the management motivates them by co-operation & trust and 26% respondents said that management doesnt motivate them by cooperation and trust.Majority of the respondents said management motivates them by cooperation and trust.

14. Are you provided with external rewards?

Sr. noResponsePercentage

1Yes58%

2No42%

Interpretation: 58% respondents said that they are provided with external rewards other than salary for their performance. Rest 42% said that they are not provided with the external rewards.Majority of the respondents said they get external reward other than salary for their performance.

15. Is there any unique retention strategy which is followed in your hospital?

Sr. no.ResponsePercentage

1Yes6%

2No94%

Interpretation: 94% respondents said that there is not any unique retention strategy which is followed in their hospital while 6% respondents said there is unique retention strategy followed in hospital.Majority of the respondents said there is no unique strategy followed in the organization.

CHAPTER 5

FINDINGS

Following are Findings: 100% respondents believe that they enjoy healthy and progressive environment at work place.

100% respondents believe that they enjoy healthy and progressive environment at work place.

96% respondents are satisfied with the management policy of hospital and rest 4% are not satisfied.

64% of the respondents believe that there is lack of coordinal relationship between employees, whereas 36% believe that there is a good relation between employees.

56% respondents are satisfied with their pay and rests are not satisfied.

84% respondents consider their job as tough, whereas14% consider it easy.

72% respondents is having a good relation between them and their leaders whereas 28% respondents said there is not very good relationship between them and their superior.

68% (maximum) said that are provided with extra facilities (hostel, medical, leaves etc), while 32% respondents said that they are not provided any extra facilities. 84% respondents are satisfied with the training facilities and rests are not satisfied with training facilities.

64% respondents said they see high career growth and development in their hospital. 36% respondents said there is not high career growth and development in hospital.

98% respondents agree with the statement that Attrition rate among nurses is high because of their high demand in other hospitals.

56% respondents said that they get recognized by their efforts in the organization.

74% respondents believe that the management motivates them by co-operation & trust.

58% respondents said that they are provided with external rewards other than salary for their performance. Rest 42% said that they are not provided with the external rewards. 94% respondents said that there is not any unique retention strategy which is followed in their hospital while 6% respondents said there is unique retention strategy followed in hospital.

CHAPTER 6SUGGESTIONS

Following are the suggestions:

Salaries, health benefits, working environment and development opportunities should be more competitive based on the organizational financial position.

Very few employees are comfortable with their present salary. Majority of them has the opinion that low salary is their problem in their organization. So the company is suggested to provide salary, which satisfies its employees at least to some extent. Even though the employees are satisfied with their job nature, it is identified in the study that many employees prefer to change their job due to lack in their growth opportunities in their job. So the company can look for some Innovative technologies to decrease their attrition level by providing growth opportunities. Hiring candidates with the right job qualifications and behavioral competencies will improve the chances for a better job fit and thus enhance productivity..

Establish a Human Resource Interaction Feedback system for regular interaction and honest feedback from the employees.

Each employee must be made aware about career planning and development so that they aim to achieve greater heights.

Provide recognition to employees by congratulating them for doing their job well. This will lead to a better job satisfaction and to increase their confidence.

There should be ample emphasis on training, induction, career development, counseling mentoring and coaching.

CHAPTER 7BIBLOGRAPHY BOOKS

Human Resource Management. The ICFAI Center of Management Research, Banjara Hills, Hyderabad.

Kothari, C.R., Research Methodology - Methods & Techniques , New Delhi, New Age international (P) Ltd., Publishers, Second Edition,2004.

Gupta, S.P., Statistical Methods, New Delhi, Sultan Chand & Sons Publishers, Thirty Fourth Edition, 2005. WEBSITES www.attrition.org/attrition/about.html www.answers/topic/attriton.com www.geocites.com/tutor19US/attrition.html www.mangamentorg.comCHAPTER 8ANNEXURE

RESEARCH QUESTIONNAIRE

Name :

Year of experience : Department :

1. Do you enjoy healthy and progressive environment at work place :

Yes / No 2. Are you satisfied with your management :

Yes / No3. Are you satisfied with the assessment policy of your hospital:

Yes /No4. Is there an Absence of cordial relationship between employees:

Yes /No5. Are you surely satisfied with your pay :

Yes / No6. Is your job is tough:

Yes / No7. is there a good relation between you and your supervisor:

Yes / No8. Are you provided with the extra facilities (hostel, medical, leaves etc ;) :

Yes / No9. Are you satisfied with the training facilities :

Yes / No

10. Do you see high career growth and development in your hospital :

Yes / No

11. Attrition rate among nurses is high because of their high demand in other hospitals. Yes / No

12. Do you get recognized your efforts in the organization :

Yes / No13. Do the management motivates you by co-operation & trust :

Yes / No

14. Are you provided with external rewards :

Yes / No

15. Is there any unique retention strategy which is followed in your hospital :

Yes / No16.If yes, do specify-----------------------------------------------------

8