A STUDY ON EMPLOYEE TURNOVER WITH SPECIAL

PERFORMANCE
 CHAPTER-I
INTRODUCTION
Employee turnover is technically and mathematically defined as the ratio of
the number of workers that had to be replaced in a given time period to the average
number of workers. Put simply, it is an instance when an employee leaves their
position at their workplace and needs to be replaced.
Types of Employees Turnover: There are 3 types of turnover:
Internal vs. external turnover
Skilled vs. unskilled employees
Voluntary vs. involuntary turnover

Causes of Employees Turnover:

Employees voluntarily quit for several reasons, specifically:
Pay is too low
Lack of benefits
Tasks are too repetitive
Circumstances listed above such as family, school, or moving
Poor management
Lack of advancement
Burnout

Measures to reduce turnover:

Offering employees an affordable medical, dental, and vision package in this
day and age is a great way to keep employees happy
Giving employees regular raises and paying well over minimum wage would
be an incentive for them to stay.
 All businesses, large and small, have some way of keeping track of their
finances. Businesses are constantly looking for more ways to keep expenses low.
One factor that is often overlooked, however, is the cost of employee turnover.
High employee turnover can cost a company more than they might realize in the
long run.

This report explains some causes of high employee turnover, who it affects
the most, and ways companies can decrease employee turnover in order to cut
hidden costs.

Employee turnover occurs when employees voluntarily leave their jobs and
must be replaced. Turnover is expressed as an annual percentage of the total
workforce. For example, 25 percent employee turnover would mean that one-
quarter of a company's workforce at the beginning of the year has left by the end of
the year. Turnover should not to be confused with layoffs, which involve the
termination of employees at the employer's discretion in response to business
conditions such as reduced sales or a merger with another company.

The severity of turnover varies widely by type of business and the economic
health of the region where companies are located. Innovative high-tech companies
and the most successful manufacturers frequently experience low turnover rates
while fast-food restaurant managers expect turnover to be as high as 50 to 75
percent. As another example, coal mining companies in sparsely populated regions
experience lower rates of turnover because there are few other job opportunities.
TURNOVER

Turnover refers to retirement, resignation and redundancy. Employee

turnover is considered to be one of the persisting problems in organizations
(Armstrong, 2009 cited in Hana and Lucie, 2011). The turnover means that another
organization may gain a new knowledge employee who can become its
competitive advantage. The loss of knowledge thus is a threat for the former
organization, which increases the significance of knowledge continuity (Hana and
Lucie, 2011).

Internal factors such as facilities in the organization and external factors

(attractive factors such as salary and other benefit packages in external market)
should be taken in account to reduce the turnover rate. More specifically, the
following points stated as causes of turnover.

Ineffective communication about job expectations, inability to listen well

and ask the right questions respectfully, wage problems, under-utilization of skills,
adverse working conditions, and lack of opportunity for advancement through
seniority, lack of well-organized training program (Pertrillose, 1998). Surline adds
other factors such as corporate culture and workers involvement in the decision
making process.

He argues that as the labor market gets smaller, companies become more
competitive in their compensation structure making corporate culture more
important than ever. Employees are less loyal to their organizations, they want
more involvement in decision making and they see in their work a realization of
themselves and this is a fundamental reason for their leave in case their job doesnt
satisfy them (Surline, 1999).

EMPLOYEE TURNOVER

Employee turnover is the replacement cycle each time a position is vacated

either voluntarily or involuntarily (Woods, 2006). The term turnover is defined
by Price (1977) as: the ratio of the number of organizational members who have
left during the period being considered divided by the average number of people in
that organization during the period. Voluntary turnover is when an employee
chooses to quit their job.

When the company ends the working relationship through either layoff or
discharge, this is an involuntary turnover. Not all employee turnovers can be
controlled by the company but the rate of voluntary turnover can and should be a
priority for managers. Griffeth and Hom (2001) offer to focus on the part of
turnover that is of real concern to an organization by differentiating between
voluntary and involuntary turnover.

In other words, did the employee choose to leave the job or was it a decision
made by the employer? Then, voluntary resignations are further distinguished
between functional (exit of substandard performers) and dysfunctional (exit of
effective performers). Finally, unavoidable resignations over which the employer
has no influence are also left aside (family move, childbirth, serious illness or
death). This leaves the group of avoidable resignations as the key focus.

It also implies that to allow an informed decision, turnover rates have to be

calculated down to department level, to identify which areas are most problematic.
Based on this issues employee turnover may be classified into five categories:
A. Functional Vs Dysfunctional Turnover:

Functional turnover can be defined as A turnover in which poor performers

leave while Dysfunctional turnover can be defined as A turnover in which
good performers leave.
B. Avoidable Vs Unavoidable Turnover:
A turnover that happens in avoidable circumstances is called Avoidable
Turnover, where as A turnover that happens in unavoidable circumstances is
called Unavoidable Turnover.
C. Voluntary v/s Involuntary Turnover:
Voluntary turnover can be defined as The turnover in which employee has
own choice to quit or instances of turnover initiated at the choice of
employees where involuntary turnover can be defined as The turnover in
which employees have no choice in their termination e.g. sickness, death,
moving abroad or employers initiated termination.
D. Internal Vs External Turnover:
Turnover can be classified as internal turnover or external turnover (cited
in Wikipedia). Internal turnover happens when employees send-off their
current position and getting a new position within the same organization. It is
related with the internal recruitment where organizations filling the vacant
position by their employee or recruiting within the organization.
E. Skilled Vs Unskilled Turnover
Untrained, uneducated and unskilled positions often face high turnover rate.
Without the organization or business incurring any loss of performance,
employees can generally be replaced. On the other hand skilled and educated
positions may create a risk to the organization while leaving. Therefore
 turnover for skilled and educated professionals incur replacement costs as well
as competitive disadvantage of the business.

Why people leave an organization

Many reasons describe why employees withdraw from an organization

especially in an economy where skills are relatively scarce and recruitment is
costly, or where it takes several months to fill vacant positions as the present
situation in the Ethiopian public sector. Employees voluntarily resign their
appointments in organizations for various reasons which can be divided into two:
pull and push factors.

Causes and Influencing Factors for Turnover:

Turnover arises from the unhappiness from job place for individual
employee. But being unhappy in a job is not the only reason why people leave one
company for another. If the skills that they possess are in demand, they may be
lured away by higher pay, better benefits or better job growth potential. That's why
it is important to know and recognize the difference between employees who leave
the job because they are unhappy and those who leave for other reasons. There are
number of factors that contribute to employee turnover. We explore some of these
factors in more detail below:

i. The economy- One of the most common reasons given for leaving the job
is the availability of higher paying jobs. Some minimum wage workers reported for
leaving one job to another that pays only 50 cents an hour more. Obviously, in a
better economy the availability of alternative jobs plays a role in turnover, but this
tends to be overstated in exit interviews.
 ii. The characteristics of the job- some jobs are intrinsically more attractive
than others. A job's attractiveness will be affected by many characteristics,
including its repetitiveness, challenges, danger, perceived importance and capacity
to elicit a sense of accomplishment.

iii. Demographics -empirical studies have demonstrated that turnover is

associated in particular situations with demographic and biographical
characteristics of workers.

iv. The person- In addition to the factors listed above; there are also factors
specific to the individual that can influence turnover rates. These include both
personal and trait-based factors. Personal factors include things such as changes in
family situation, a desire to learn a new skill or trade or an unsolicited job offer. In
addition to these personal factors, there are also trait-based or personality features
that are associated with turnover.

v. A bad match between the employee's skills and the job Employees who
are placed in jobs that are too difficult for them or whose skills are under-utilized
may become discouraged and quit the job.

vi. Substandard equipment, tools or facilities If working conditions are

substandard or the workplace lacks important facilities such as proper lighting,
furniture, restrooms and other health and safety provisions, employees will not be
willing to put up with the inconvenience for long time. vii. Lack of opportunity for
advancement or growth If the job is basically a deadend proposition, this should
be explained before hiring so as not to mislead the employee. The job should be
described precisely, without raising false hopes for growth and advancement in the
position.
 viii. Feelings of not being appreciated since employees generally want to
do a good job, it follows that they also want to be appreciated and recognized for
their works. Even the most seasoned employee needs to be told what he or she is
doing right once in a while.

ix. Inadequate or lackluster supervision and training Employees need

guidance and direction. New employees may need extra help in learning an
unfamiliar job. Similarly, the absence of a training program may cause workers to
fall behind in their level of performance and feel that their abilities are lacking.

x. Unequal or substandard wage structures Inequity in pay structures or

low pay is great causes of dissatisfaction and can drive some employees to quit.
Again, a new worker may wonder why the person next to him is receiving a higher
wage for what is perceived to be the same work.
BACKGROUND OF THE STUDY

Employee turnover is one of the most study important issues to

organizations, and one that needs special attention. It has some significant effects
on organizations; new employees must be hired and trained, it is also needed to
consider the time required for a new employee to be effectively productive. Staffs
turnover is a warning sign of low morale and it is the amount of movement in and
out of employees in an organization. In general, employees either leave their jobs
voluntarily by their own decision or forced to leave by the decision of the
employer. Employees turnover is one of the factors which affects the
organizations productivity; which is considered to be one of the challenging issues
in business nowadays. The impact of turnover has received considerable attention
by senior management, human resources professionals and industrial
psychologists. It has proven to be one of the most costly and seemingly intractable
human resource challenges confronting by several organizations globally. Turnover
of employees consists of both voluntary and in voluntary. Voluntary turnover is a
major problem for organizations in many countries (Syrett, 1994).

Porter and Steers (1973) suggested that the issue of met expectations was central to
the individuals decisions to leave an organization. Each employee has his or her
own set of expectations upon entering an organization. Should these expectations
not be met, the individual will become dissatisfied and leave. Mobley (1977)
suggested that a negative evaluation of the present job leads to job dissatisfaction,
thoughts of quitting, and an evaluation of job seeking expectation utility and cost
of quitting.

In Ethiopia, even though few studies like: study conducted on ERA and IRC shows
about turnover of employees, there is no empirical studies conducted on public
organizations employees turnover which were supported by formal and published
research. Therefore, the present study is done on Oromia Water Works Design and
Supervision Enterprise because of employees turnover is a big issue in the
organization. Currently, most young employees are leaving the organization due to
unknown reasons. Hence, this study clearly identified the causes of employees
turnover and its management or retention mechanism will help in developing
appropriate policy and training program at country level in general and at public
organizational level in particular.
OBJECTIVE OF THE STUDY

a) To identify the rate of turnover of employees

b) To identify the causes of employees turnover

c) To suggest measures to reduce the rate of turnover

d) To identify the actual reasons of turnover

e) To analyze how turnover affects productivity on organizations.

f) To find out the possible solutions of reducing turnover.

g) To help business organizations by identifying their problems, analyzing the

informations and recommending for possible solutions
SCOPE OF THE STUDY

The scope of the study was limited to the participants who left the
department. Due to the restricted research timeframes and resource, the researcher
did not focus on the involuntary turnover causes including those employees who
were employed on a contractual basis. Though there could have been many
motives behind staff turnover at various levels that could have provided a more
balanced finding, but the researcher focused on voluntary turnover.
LIMITATIONS OF THE STUDY:

The following limitations were identified by the researcher:

The results and findings were limited to a single organization the Gauteng
Department of Finance;
Employees may not be willing to share their experiences and therefore not
willing to participate;
Employees may have changed their telephone numbers and numbers on the
CSS records no longer applicable, thus limiting necessary data outcomes;
The study was limited to English and this was not the preferred means of
communication for various participants;
Due to budgetary, access and time constraints, the study focused on the
questionnaires as means of gathering data, hence limiting usage of other
research methods that could have added value to the study

CHAPTER SCHEME:
CHAPTER 1: Introduction and background to the study.

CHAPTER 2: Problem analysis / theoretical consideration.

CHAPTER 3: Literature review.

CHAPTER 4: Research design methods.

CHAPTER 5: Presentation and analysis of research findings.

CHAPTER 6: Discussion, conclusion and recommendations.

SIGNIFICANCE OF THE STUDY

Governmental and public sector organizations success can be measured

mainly through delivery of quality service to their beneficiaries. This can be
achieved through well formulated plans and programs, allocation of resources,
assignment and retention of committed and competent employees.

However, since skilled work force turnover can affect the organization has to
achieve the intended objectives and expected results will not be achieved.
Therefore, the study insight the issue in context public enterprise experience. It
also might serve as literature for future studies on the topic.

In addition it might also use as input for policy makers and implementers
though the study is academic and has no guarantee of implementation.

Causes of Employee Turnover in IIR

Most environmental contributors to turnover can be directly traced to

management practices. Turnover tends to be higher in environments where
employees feel they are taken advantage of, where they feel undervalued or
ignored, and where they feel helpless or unimportant. Clearly, if managers are
impersonal, arbitrary, and demanding, there is greater risk of alienation and
turnover. Management policies can also affect the environment in basic ways such
as whether employee benefits and incentives appear generous or stingy, or whether
the company is responsive to employees' needs and wants.

Management's handling of major corporate events such as mergers or layoffs

is also an important influence on the work environment afterwards. Some turnover
is demographically specific, particularly for women who are balancing significant
work and family duties at the same time. Such women (or men) may choose to
leave a company instead of sacrificing their other interests and responsibilities in
order to make the job work out. Some women elect to quit their jobs at childbirth,
rather than simply taking a maternity leave.

Women's perceptions of their career paths might also be tinted by their

awareness of the glass ceiling, which may lower their level of commitment to any
particular firm, since they believe they're not in contention for top-level jobs.
These factors translate into higher turnover rates for women in many companies.

Retirement of experienced employees can cause high rates of turnover and

extreme loss in productivity There are certain Reasons for switching over to other
companies. According to various surveys conducted among IT employees, the
following are the reasons for attrition.

Fairness of their compensation

No proper career objectives

Dissatisfaction with superiors

Work pressure and exhaustion

Organization climate

Emotional turmoil

Personal reasons Ways to reduce attrition

Pay attention to develop people management skills of Managers because

employees are leaving their managers instead of Organization.

Keep employees happy and productive.

 Setting the right compensation and benefits is important too. Work with
human resources to get current data on industry pay packages, and get creative
when necessary with benefits, flexible work schedules and bonus structures.

Focus on Capability and creating an eco system where people development

is at the fore front of leadership mindset.

Engage employees over and beyond their day to day job and ensure that
their insecurities and vulnerabilities are addressed appropriately.

Provide growth opportunities and communicate it to the employees.

Managing expectation of employees is a key. It is essential to align

employees and emphasize on the inevitability of building competencies /
capabilities rather than having a single minded focus on vertical growth.

Provide opportunities for skill up-gradation through training intervention

or internal job assignment / movement. Career Pathing plays a key role. It would
serve the purpose if all employees who have spent 18- 24 months in the system are
pro-actively spoken and asked for their career preferences to bring about a spark
and end Monotony of work.

Effectiveness of Reward & Recognition - work hard and party harder is the
mantra in IT/ITES industry. Celebrating success is a key.

Hiring the right kinds of people can reduce attrition.

Effective training techniques can help reduce attrition rates.

Provide some hike for employees who are working in Onsite

 CHAPTER-II

INDUSTRY PROFILE

Indian software industry has been witnessing a phenomenal growth for the
last three decades. The software industry is expected to play a vital role in the
growth of Indian Economy. However the ability of the software industry to sustain
its growth will depend upon its ability to integrate needs of its international
customers and aspirations of Indian software professionals. Software professionals
from India aspire for and are capable of being global citizens. Based on in-depth
analysis, this Research explores the human issues being experienced by Indian
software organizations. It also suggests to overcome some of the human challenges
to make this field the safest field.

But at the same time, this field is having much more problems which make
the IT as an unstable one. This is because of lack of planning and not able to fulfil
the expectations and requirements of Human Resource Management.

GROWTH OF INDIA'S IT INDUSTRY

India's IT industry has recorded phenomenal growth over the last decade.
During the period from 1992-2001, the compounded annual growth rate of the
Indian IT services industry has been over 50%. The software sector in India has
grown at almost double the rate of the US software sector.

The statistics of the India's IT industry substantiates the huge momentum

acquired by the IT sector in the recent past. During the financial year 2000-2001,
the software industry in India accounted for $8.26 billion. The corresponding
figure was $100 million 10 years back. The year 2008 was marked by
unprecedented global economic crisis.

The Global economy slipped into severe recession in 2008 inflicted by a

massive financial crisis and acute loss of confidence. This has cast its shadow on
the Indian economy, which is estimated to grow at 6.7 per cent in 2008-09 as
compared to 9.0 per cent in the fiscal year 2007-08. In spite of this uncertain global
outlook, the Indian Information Technology Business Process Outsourcing (IT-
BPO) industry was able to achieve sustainable growth in the fiscal year 2008-09.
The revenue IIR TECHgregate of IT-BPO industry is expected to grow by over 12
per cent and reach US $ 71.7 billion in 2008-09 as compared to US $ 64 billion in
2007-08.

Industry performance was marked by sustained double-digit revenue growth,

steady expansion into newer service lines and increased geographic penetration.
The Indian software and services exports including ITES-BPO exports is estimated
at US $ 47 billion in 2008- 09, as compared to US $ 40.4 billion in 2007-08, an
increase of 16.3 per cent. The IT services exports is estimated to be US $ 26.9
billion in 2008- 09 as compared to US $ 23.1 billion in 2007-08, showing a growth
of 16.5 per cent 21 in 2008-09. ITES-BPO exports is estimated to grow from US $
10.9 billion in 2007-08 to US $ 12.8 billion in 2008-09, a year-on-year (Y-o-Y)
growth of over 17.4 per cent.

It has created immense opportunities for employment and has contributed to

the growth of National Income. It has also spawned the mushrooming of several
ancillary industries such as transportation, real estate, catering and has created a
rising class of young consumers with high disposable incomes, triggered a rise in
direct-tax collections and propelled an increase in consumer spending.
 This represents a net addition of 226,000 professionals to the industry
employee base in 2008-09. The indirect employment attributed to the sector is
estimated to be about 8.0 million.

The industry has also set a precedent for talent practices in India. It has
created career opportunities for the youth, provided global exposure and offered
extensive training and development. Furthermore, the industry has been a
frontrunner in diversity at the workplace (over 30 per cent of employees are
women; over 60 per cent of industry players employ differently abled people).

The IT- industrys contribution to the national GDP is estimated to increase

from 5.5 per cent in 2007-08 to 5.8 per cent in 2008-09. The growth of India's IT
sector has brought about many other positive changes in the Indian economy.

HUMAN RESOURCES IN THE SOFTWARE INDUSTRY:

The following statements characterize the Human Resources in the Software

Industry:

The Human Resource function plays a key and very important role, as it is a
People Centered organization.

Employees are knowledge workers. Majority of them are qualified

professionals and then were toppers in colleges and are very ambitious and so, they
seek a fast track career.

They expect challenges from the start, highly creative, highly sensitive,
motivation is the key for performance.

Prefer informal environment, openness /trust.

 About 25 to 30% proceed to United States at the earliest; hence all actions
aimed towards this move. All this is driven by peer pressure, life style, savings and
improvement in their profile.

Basically performance driven organization.

ISSUES IN THE SOFTWARE INDUSTRY

The Indian software industry is currently in a situation where most

companies have more projects than they can handle i.e. they do not have the
necessary human resources to satisfy the potential demand for their services. At the
same time, in most companies it is observed that the capacity utilization of the
manpower is not satisfactory high i.e. there is significant bench-time for a resource.

This paradox has persisted because of lopsided manpower planning, hiring

and staffing practices. Seen in the frame work of 28 the newsboy problem, the cost
of overstocking of human resources is not high enough compared to the cost of
under stocking, which leads to the phenomenon of companies recruiting people for
a project much before they have contracted that project.

This is further compounded by the severe attrition problem that piIIR

TECHues the Indian software industry it is not possible to predict the attrition
levels and at the same time there is a shortIIR TECHe of high-skilled professionals
in the competitive labour market, so this causes a problem with the both the
efficiency (high bench-time) as well as the effectiveness (low acceptance to offer
ratios) of recruiting and staffing activities.

Moreover if the software industry is to be successful in the longer term, it is

imperative that companies move up to IT value chain from activities such as
maintenance, offshore development and sub-contracting to systems integration,
process improvement and strategic IT consulting.

In order to accomplish this, they need access to a manpower base, which is

skilled not only in technology but also has thorough knowledge of business and
Management processes and practices.

This manpower base is still underdeveloped in India and unless there are
initiatives taken by all the major players, including the Government, the industry
will fail to exploit the growth potential.

Within the HR planning function, there is the issue of classifying resources

in order to enable efficient project staffing. Due to the explosion of technologies in
the information space, it has become increasingly difficult for companies to
translate project requirements into manpower requirements and consequently skill
requirements and at the same time organize complementary skills into sets, which
can then be treated as resource competencies.
SOFTWARE PROFESSIONALS:

SOME COMMON CHARACTERISTICS

Based on the survey conducted with software professionals and the way
they were described by senior manager IIR TECH, project manager IIR TECH and
HR professionals in software organizations, other employees of the different I.T.
workers and some common characteristics of Indian software professions have
emerged and these characteristics are: o Software professionals invest substantial
time, efforts and resources to acquire relevant and valid knowledge. Over time the
knowledge acquired by them becomes their self-concept.

Software professionals look forward to use their knowledge and acquire new
knowledge on a continuous basis. This is significant for software professions to
experience a sense of growth and nurture their concept of growth.

Software Professionals tend to be highly analytical and hence they expect

rationale for every activity. They expect that they should be involved in defining
and planning every organizational change affecting them.

Software professionals tend to be high achievers and hence they expect

periodical and tangible feedback and recognition for performance. Since reward
system is perceived, as a part of the feedback system, linking performance with
reward and experiencing equity in reward becomes very important issues with
them.

Software professionals want to work on new technologies, new platforms

and with new organizations to improve their learning and curriculum vitae. o
Software professionals are more committed to their profession than the
organization they work for.
 Due to existing demand on supply situation, software professionals are able
to move from their existing organizations to new organizations in India or abroad
rather fast.

Software professionals value autonomy, professionalism and

innovativeness.
HISTORY OF THE IIR TECHNOLOGIES

On May 13 at the annual meeting, new representatives of the shareholders

were elected to the Supervisory Board. Previously on May 7, employee
representatives were decided by the employees of Software IIR TECH.

In April, Software IIR TECH was able to welcome Evalueserve in its partner
ecosystem. In this context Evalueserve is acting as a consultant and value-added
reseller for advice and solutions around the analysis of large data streams.

In March, Software IIR TECH announced its initiative "Transformation to

the Cloud", which helps companies determine optimal strategies for cloud adoption
and implementation.

In January, Software IIR TECH and AG Ltd. established a common

streaming analytics solution platform that provides real-time information for the
market of the Internet of Things (IoT).

2014

In October at the annual international customer conference Innovation

World, Software IIR TECH presented the advancement of its BPE product
portfolio and introduced the first Digital Business Platform.

In August, Software IIR TECH announced the expansion of the Management

Board by a new member with global responsibility for sales, marketing and
services.
 In the first quarter Software IIR TECH announced the sale of its SAP
consulting business to the Scheer Group GmbH and completed the transaction on
May 31.

At the end of May, Software IIR TECH celebrated its 45th anniversary.
Software IIR TECH is the oldest global software company in Europe.

In April, Software IIR TECH announced that JackBe, a real-time visual

analytics and intelligence software provider acquired by Software IIR TECH, was
recognized by the Association for Corporate Growth as the Strategic M&A deal of
the Year within the $100M category.

In March at CeBIT, Hanover, Germany, Software IIR TECH unveiled its

Intelligent Business Operations Platform to address the business challenges posed
by the explosive growth in the number of interconnected personal devices and
digital sensors.

In February, Software IIR TECH announced the publication of The Digital

Enterprise: The Moves and Motives of the Digital Leaders, a tour-de-force
introduction to CEO Karl-Heinz Streibich's vision of the impact digital
transformation is having across all industries, supported by more than 20 examples
from companies around the globe.

2013

On August 22, Software IIR TECH announced the acquisition of JackBe

Corporation, a privately-held company with headquarters in Chevy Chase,
Maryland (USA) and a provider of real-time visual analytics and intelligence
software.
 On June 13, Software IIR TECH announced that it has purchased the Apama
Complex Event Processing Platform of Progress Software. The platform provides
an environment for the design and operation of CEP applications providing tools
and graphical analysis and test capabilities for analysts, developers and
administrators.

On June 3 2013, Software IIR TECH acquired alfabet IIR TECH. Alfabet is
a leading software provider in the areas of "Enterprise Architecture" and "IT
Portfolio Management" focusing on the planning and optimization of IT
landscapes.

In April 2013, Software IIR TECH bought the US cloud platform provider
Long Jump. The Platform as a Service offers a range of ready-made modules and
templates for building and running business applications in the public or private
cloud settings.

In March 2013, Software IIR TECH invested in Berlin-based company meta

quark, which is specialized in mobile solutions. The aim is to jointly develop the
web Methods Mobile Suite of Software IIR TECH. This allowed the company to
access especially to the innovative know-how of meta quark.

2012

In October, Software IIR TECH unveils a major update to its web Methods
product suite. Extending its fully independent integration layer, web Methods 9.0
focuses on uniting the management of Big Data from any source with automated
business processes and applications deployed in the cloud, on mobile devices or in-
house.
 Also in October, Software IIR TECH launches a major update to its ARIS
product suite, combining new Cloud, Mobile, Social and Analytic technologies, at
its Process World event in the USA today. ARIS 9.0 focuses on accelerating
process improvement by allowing a significantly broader set of corporate skills and
experiences to contribute to process design and testing.

In April, Software IIR TECH acquires the company my-Channels for

Universal Messaging Technology. With it, Software IIR TECH customers have a
single, universal messaging middleware platform across the enterprise, across the
cloud and to mobile apps.

In early March at CeBIT, Software IIR TECH announces its strategy for the
in-memory management of Big Data, up to 1,000 times faster than current
technologies.

2011

At the end of the year, Software IIR TECH wins the European Business
Award for its international growth strategy.

In November, Software IIR TECH presents Software IIR TECH Cloud

Ready, the latest solution in the companys cloud strategy.

In late May, Software IIR TECH acquires UK-based Metismo Ltd.,

Hampshire. Metismo provides an extremely flexible and multi-functional platform
for the development of applications and automatic transformation into different
mobile device formats.
 In early May, Software IIR TECH acquires Terracotta Inc., the US based
leader in in-memory and cloud enabling technology. This acquisition allows
Software IIR TECH to provide innovative cloud solutions and dramatically
increase the performance and scalability of its Business Process Excellence
platform. Terracottas in-memory processing will provide the foundation
technology for Software IIR TECHs cloud and Big Data offerings.

In March at CeBIT, Software IIR TECH presents its new positioning, which
will focus on software and solutions for enterprise business process management.
This cutting-edge concept, based on independent process and integration platforms,
enables businesses to overcome the limitations of conventional software
applications. Software IIR TECH is also demonstrating its fully integrated product
portfolio, for the first time since its acquisition of IDS Scheer, under the name
Enterprise BPM and is establishing itself as the world's largest provider of this
innovative platform technology. In addition, new products for master data
management (web Methods One Data) and complex event processing (web
Methods Business Events) are being presented at CeBIT.

In February, Software IIR TECH announces its Cloud strategy Software

IIR TECH Cloud Ready. Software IIR TECH fully supports the vision of extreme
collaboration with cloud enabling technology to facilitate faster change and
process improvement with greater participation from all key stakeholders.
Software IIR TECH Cloud Ready includes modeling, process management,
Service-Oriented Architecture (SOA) and cloud integration offerings. It is designed
to bring business and technical stakeholders together to collaborate on process
transformation quickly, and at a lower cost.
 In February, Software IIR TECH ranked # 7 in Bloomberg Businessweek's
Hot Tech 50, making us one of the worlds fastest growing technology companies.

In January Software IIR TECH reported that Group revenues in fiscal year
2010 hit a record high of 1.12 billion (2009: 847.4 million), exceeding the target
set in 2007 and a year earlier than originally planned.

In January Software IIR TECH introduces Process Intelligence for

webMethods BPMS customers. The process intelligence product adds strategic and
tactical capabilities to webMethods BPMS. It includes business dashboards,
historical process discovery, interactive analytics, process benchmarking, and
organizational analysis.

2010

In December the legal integration of Software IIR TECH and IDS Scheer
IIR TECH has been completed with the registration of the merger in Germany. The
fusion of both companies into one legal entity has established a new global player
offering software and services for Business Process Excellence.

In October Software IIR TECH acquires New Jersey-based Data

Foundations, a leading provider of Master Data Management (MDM) software.
Linking Business Process Management and MDM will reduce complexity, deliver
accurate data and maximize process quality

In September Software IIR TECH delivers a new generation of Business

Mashups with ARIS MashZone 2.0. With the Enterprise Edition, the product
addresses large companies as well.

In August Software IIR TECH is named a Leader in Business Process

Management Suites by the independent research form Forrester Research, Inc.
Software IIR TECH receives its top scores in services as well as process modeling
and collaborative design

In August the Software IIR TECH Supervisory Board establishes a new

company governing body: the Group Executive Board (GEB). The GEB consists of
four members from the current Management board plus four divisional directors
representing the operational Management areas.

In July IDS Scheer IIR TECHs annual general meeting approved the merger
Agreement with Software IIR TECH by a majority of 92,03 % of the share capital
on July 8, 2010. This is another important step in the integration of Software IIR
TECH and IDS Scheer IIR TECH.

In June Software IIR TECH and IDS Scheer demonstrate how business
process excellence technology helps organizations to return to economic growth at
Process World in Berlin. Over 800 participants from around the globe attend.

In May Software IIR TECH is ranked as leader in delivering service-

oriented architecture (SOA) Governance technologies to the marketplace by
Gartner, Inc., a leading industry analyst firm. The ranking, based on total software
revenue in 2009, represents the second consecutive year in which Software IIR
TECH is listed as the global market leader in SOA Governance.

In March ARI Salign, the first joint product of Software IIR TECH and IDS
Scheer, is presented at CeBIT 2010.

In February Software IIR TECH announces that it has registered the

domination and profit transfer Agreement between SIIR TECH Beteiligungs
GmbH and IDS Scheer on the commercial register at the Saarbrucken District
Court. As a result of the registration, the integration of the operational processes of
both begins. The two companies are under common leadership.

In February Software IIR TECH announces general availability of

webMethods 8, the latest release of Software IIR TECHs flagship webMethods
platform.

In January Europe's largest software cluster, Software Innovation for the

Digital Enterprise, is among the winners of the Excellence Cluster Competition of
the Federal Ministry of Education and Research. This cluster is considered the
Silicon Valley of Europe, spanning centers located in Darmstadt, Kaiserslautern,
Karlsruhe, Saarbrcken and Walldorf. Software IIR TECH is part of it.

2009

The document for a voluntary public tender offer made to shareholders of

IDS Scheer IIR TECH is published on August 17th. Software IIR TECH tenders
15 per share in cash.

Software IIR TECH announces its takeover offer for IDS Scheer IIR TECH
on July 13th. The strengths of Software IIR TECH: technology leadership in
middleware software, financial strength and a global presence will complement
IDS Scheers strengths: the modelling, implementation and controlling of business
processes, a strong partner network and a large service presence in their approx.
7,500 customer base.

At the beginning of July, Software IIR TECH acquires Teconomic IIR

TECH in an all cash deal. Based in Freienbach, near Zrich, Switzerland,
Teconomic provides comprehensive IT consulting services and solutions to the
European financial sector focusing on SWIFT Services.
 In June, Software IIR TECH announces the latest release of its flagship
webMethods platform, webMethods 8.0. The release enhances the ability of
companies to capitalize on both open architecture and existing infrastructure
investments, reduces the time and cost to improve processes and integrate systems,
and enables dramatic end-user productivity through tighter collaboration between
IT and the business.

Software IIR TECH celebrates its 40th anniversary on May 30th. The
company was founded in 1969 in Darmstadt as Europes first software company.
The company is entering its fifth decade of developing innovative technology as
independent market leader in business process software.

With its new product, AlignSpace, Software IIR TECH creates the largest
social network of BPM professionals. The new product is a platform that offers
collaboration between all project participants in a Business Process environment.
Data, documents and services produced within this environment are made available
and reusable within or across company borders. Leading social networks can also
be easily plugged-in.

Software IIR TECH takes a 51 percent shareholding in Leipzig-based

software company it Campus, as of April 1, 2009. By joining forces with it
Campus, Software IIR TECH expands its German research and development
capacity in the realm of process automation.

Software IIR TECH appoints to the Executive Board with responsibility for
Professional Services worldwide.

2008
 Various independent market research firms have designated Software IIR
TECH a leader in the SOA and BPM sectors, demonstrating the successful
integration of the webMethods product line into the overall product portfolio.

The acquisition of Jacada (Israel) strengthens Software IIR TECHs position

in the application modernization market: Jacada counts more than 200 customers in
the integration business. Furthermore, the acquisition expands Software IIR
TECHs product portfolio with additional products for modernizing the user
interfaces of applications that run on mainframes and medium-sized computers.

Software IIR TECH is strengthening its Professional Services in response to

an increased demand for consulting services relating to strategic SOA and BPM
projectscreating a new position for professional services on the board, occupied
by the distinguished Holger Friedrich.

In April, Software IIR TECH pays shareholders dividends of 1.00 per

share.

2007

Software IIR TECH successfully acquires webMethods, Inc. (NASDAQ:

WEBM) a leading business integration and optimization software company. With a
deal value of $546 million, this merger was one of the largest pure software deals
in the history of the European IT industry. The combination creates a new global
leader in business infrastructure software with over 4,000 enterprise customers
worldwide and is one of the largest independent vendors in the rapidly growing
Service-Oriented Architecture (SOA) and Business Process Management (BPM)
markets.
 Again Software IIR TECH achieves best financial results in the companys
history: Operating revenues improve by 36% (at constant currency rates),
Licensing revenues grow by 53% (at constant currency rates), EBIT rises by 23%,
Free cash flow increases by 46%, EBIT margin guidance for 2008 revised upward
to 24%.

2006

Software IIR TECH announces Adabas 2006 and Natural 2006. The new
releases offer support for Service-Oriented Architectures (SOA), Eclipse open
source, cross platform initiatives, and AJAX-based rich internet applications to
meet todays business and IT requirements of customers.

Launch of crossvision the new suite for SOA in February 2006.

In May Software IIR TECH pays a dividend of 0.80 per share.

Expansion in high-growth Latin America with a new office in Sao Paulo,

major projects in Brazil, Chile and Panama, and an IT Training Center Chile.

Software IIR TECH and Fujitsu earn Intelligent Enterprise Magazines

Editors' Choice Award for SOA and BPM Solutions - SOA, ESB, BPM products
and expertise makes the Software IIR TECH and Fujitsu partnership a "Global
Force in BPM".

Launch of the CentraSite Community: the first standards-based SOA

Forum Partner Alliance and interactive forum unite independent software vendors
and system integrators to deliver interoperable SOA solutions to customers.
 Expansion in Japan: in December Software IIR TECH officially opens its
office in Tokyo. The new office will directly serve the companys well established
Japanese customer base of over two hundred enterprises.

The best financial results in company history: for fiscal 2006, Software IIR
TECH reports revenue growth of 10% to 483.0 million. At constant currency
rates, this represents an 11% rise and exceeds the companys target. In the same
period, EBIT increased by 15% to 111.2 million.

2005

With total revenues of 438 million and an operating income of 96.4

million Software IIR TECH reported record operating results for fiscal 2005.

Driven by the positive earnings trend Software IIR TECH paid a dividend of
0.75 Euro for the business year 2004 - the first dividend since 2002.

Software IIR TECH formed strategic alliances with Fujitsu as well as IDS
Scheer. Together with Fujitsu the company delivered a joint integration offering for
Service Oriented Architecture (SOA). With IDS Scheer Software IIR TECH
widened their SOA product portfolio to include the design and monitoring of
business processes.

Software IIR TECH released certified adapters for the integration of

mainframes into the SAP R3 and Netweaver landscape. The company became a
service partner of SAP Germany.

By acquiring the software specialists Sabratec (modernisation of

mainframes) and Casabac (development software for enterprise wide web
applications) Software IIR TECH further enhanced its XMLi-portfolio. The
organic growth of Software IIR TECH is strengthened by the acquisitions of
technology and sales competence: through the acquisition of APS Venezuela and
five sister companies in Panama, Costa Rica and Puerto Rico the company further
expanded its market presence in Central America and the Caribbean.

2004

Software IIR TECH celebrates two anniversaries in 2004: the 35th year
since its foundation and the 5th year since its stock market quotation.

2003

In a strategic realignment implemented in 2003, Software IIR TECH focuses

its development work and offering on the ETS and XML Business Integration
business lines.

In conjunction with iGATE, Software IIR TECH establishes Software IIR

TECH India in the Indian city of Pune. Software IIR TECH has a majority share in
the new company.

In October Karl-Heinz Streibich becomes the new CEO.

The executive board is given an international focus in spring 2003 with three
new regional board members.

Software IIR TECH is listed on the TecDAX index at the beginning of the
year.

2002

Dr. Erwin Knigs steps down from the executive board. Karl Heinz
Achinger, deputy chairman of the Supervisory Board, takes over as CEO on an
interim basis.
 German President Johannes Rau presents Peter Schnell with the Gold Medal
of the Federal Association of Foundations in Germany for his foundation work.
The Software IIR TECH Foundation is one of Germanys ten largest foundations
and disburses financial support amounting to around 25 million euro annually.

Software IIR TECH announces record sales of over 588 million euro for
2001.

2001

Software IIR TECH continues to develop its products: Natural 5 for

Windows can process XML documents and access the Web directly via HTTP;
development of EntireX results in a complete solution for integration of platforms
and applications within and between organizations, and enhancements to Tamino
XML Server makes it easier for users to handle XML data. Tamino XML Servers
open architecture guarantees customers smooth linkage to and communication with
existing IT infrastructure.

Takeover of SIIR TECHA Systems, Inc., USA. After the takeover, around
35% of Software IIR TECH sales are accounted for by the American market.

2000

At the end of the year, Software IIR TECH introduces the Tamino XML
Platform the worlds first product platform entirely based on XML.

The arrival of the new millennium presents no problems for Software IIR
TECH or its customers.

1999
 Software IIR TECH is listed on the Frankfurt stock exchange on April 26 in
what was at the time the worlds biggest ever software industry IPO. The total
issue volume is over DM 850 million. After only 6 months, Software IIR TECHs
shares are included in the MDAX stock index.

At CeBIT, Software IIR TECH unveils its Tamino Information Server to the
general public for the first time. Tamino is a completely new information server for
the Internet comprising a database system based on the new Web standard XML
(eXtensible Markup Language). Tamino is especially designed for the storage,
Management and transfer of structured and unstructured data.

1998

Software IIR TECH introduces Bolero, a software platform based on Java

technology.

1997

The investment firm Thayers Capital acquires all the shares of Software IIR
TECH North America, which subsequently trades under the name IIR TECH
Americas (IIR TECH).

Software IIR TECH and SAP IIR TECH jointly establish the subsidiary SAP
Systems Integration GmbH in Alsbach-Hhnlein near Darmstadt, in which
Software IIR TECH has a 40% interest. SAP SI focuses on introducing the SAP
R/3 application system in selected market segments.

EntireX is introduced. With the extension of Entire to include DCOM,

EntireX provides a basis for distributing and integrating applications over complex
and heterogeneous IT structures and allows the applications to communicate with
each other either locally or via networks.

In a technology partnership with Microsoft, Software IIR TECH ports

DCOM (Distributed Component Object Model) to the main computer platforms
available on the commercial market. Microsoft introduced DCOM as a component
of Windows NT and it has become the industry standard alongside CORBA
(Common Object Request Broker Architecture). Since Windows NT is being
installed on more and more computers, the integration of the Microsoft technology
with existing applications on mainframes and UNIX systems becomes ever more
important.

1996

Company founder Peter Schnell hands over company Management to Dr.

Erwin Knigs in order to devote himself fully to Foundation development work.

1994

After negotiations with Siemens Nixdorf IIR TECH, Software IIR TECH
takes over SQL-Datenbanksysteme GmbH in Berlin, so gaining full access to the
Adabas D technology.

Software IIR TECH opens an office in Moscow and establishes a subsidiary

in Taipei, Taiwan.

1992

First Eastern Europe subsidiary is founded in Prague.

 Announcement of cooperation with SAP IIR TECH. This collaboration
opens up new opportunities for solutions: the SQL-DB database system gives users
of SAPs R/3 application system a more efficient and cost-effective solution.

Launch of Entire integration tools. Entire lets users safeguard existing

investments as they gradually build up a client-server environment in which
systems from different manufacturers are integrated.

COMPANY PROFILE

COMPANY INFORMATION:

Integrated Intelligent Research (IIR) is center for research empowerment to

disseminate and innovative research activities in the field of Computer Science
Application and engineering. The research activities attempts to integrate the
applied domain Knowledge of next generation computing through sustain research
identification, execution of project and share the knowledge via publications with
the peer and targeted group which has similar interest. As part of the research
work we are interested to publish the journals for knowledge sharing process.

The technology leads the world today to provide the entire environment
for human lifestyle. All applications and the devices are invented by the research
community. India is one among the major contributors to the science and
technology. The research works are mostly initiated at the academic institution
such as universities, colleges and few private sector institutions. As per the
government initiatives and 12th five year plan, it invites private and interested
groups to involve in contribution of technology innovation through scientific
research activities. Inline to the government vision and need of social and regional
demand, Integrated Intelligent Research was established in the year 2006 and
registered with State Government of Tamilnadu on Feb 2012.
With organizations going digital today, there is a strong need to develop
and maintain a feature rich website which provides users with a gratifying
experience. A good website enhances an organizations web presence and helps in
effective communication with users.

DRC Systems offers complete web technology services to clients for all
their portal needs our team comprises of Internet marketing specialists, content
developers, graphic designers and coders. Our web developers bring several
years of experience in creating web applications that fulfill customers technical
and business requirements. Our creative team builds tailored web solutions that
accomplish customers business objectives and goals.

We at DRC Systems can help you building a new website from scratch or
 help you improve your existing one in order to increase user traffic and
conversion. Whether you want to develop a successful e-commerce site or
establish an online presence, DRC Systems can assist you in achieving your
goals by developing simple static sites to top-notch interactive sites. We use
latest technologies to design and deliver cutting edge web solutions that help
increase sales and maximize revenue.

History of IT sector in India before 1991

In 1965, immigration laws in USA were modified and the restrictions

on immigrants were reduced considerably. As a result a lot of Indian professionals
migrated for research opportunities in USA. The IT revolution in USA and the
much fancied Silicon Valley in the US during the 80s and 90s could not have been
possible without the work of these migrated Indians. What this migration did for
the Indian IT industry was creating innumerable opportunities in the USA in the IT
sector. Due to the fast growing IT sector in USA, there was a need for IT
professionals outside USA. India had a huge number of educated people and the
education in India being in English, there was a large population of English
speaking technically strong people in India. Hence outsourcing of work started
gaining momentum and this led to the huge boom in the IT sector in India, whose
most of the work is exporting software and software services to the US and other
overseas clients.

Integrated Intelligent Research (IIR) was started by the IIR group for software
development services in India in 1968. IIR started the software services by
developing punched card facilities for IIR employees. The first overseas client for
IIR was Burroughs Corporation, United States. The job of IIR was to write
software code for the Burroughs machines in 1974. With word of mouth, IIR
grabbed a number of projects, small and big during the following years and today
IIR is India's top IT company with a turnover of more than $10 billion. In 1966,
Azim Premji became the chairmen of the large company WIPRO and the focus of
WIPRO was concentrated on the IT services sector. IIR Computer Systems started
developing software and providing services since the beginning of the company in
1972 (At that time it was named Data Conversion Inc). In 1981, Infosys was
founded by Narayan Murthy and his colleagues. Infosys was completely
committed towards providing quality software services and also developed an IT
business model which was later followed by most of the IT companies in India.

The Indian economy during this period was completely controlled by the Indian
Government and there were strict restrictions and regulations for private business
entities in India. Hence there was no major growth in the IT sector in India till
1991.

Economic reforms in 1991 and development of IT sector in India

The Indian government had strict control over the private business entities
in India before liberalisation of economy in 1991. Moreover, the wide area
networks and internet lines were completely controlled by the central government.
As a result, the Indian IT sector was totally held back due to these restraints on the
functioning of the software services providers.
The first major IT reform by the Indian Government was the creation of
corporation called Software Technology Parks of India (STPI). This corporation
provided satellite links to major IT developers enabling them to transmit the work
done in India directly abroad. This reduced the costs incurred to the Indian IT
companies as well as helped the clients in US trust Indian industries and go for
outsourcing. Finance minister, Dr. Manmohan Singh, introduced the major
economic reforms in 1991 to solve the debt problem created during that time. As
per these economic reforms the internation integration became possible. The huge
restrictions on overseas business were lifted and foreign investments were
welcomed.
As a result, the IT industry in India became free and the business of
outsourcing would finally gain momentum with more and more clients and
enterprises going for outsourcing of IT. Also, the inception of Windows and other
user friendly operating services made the PC experience even more simple and less
time consuming. Coupled with development of high level programming languages
like Basic, C and others, the Indian IT brains had the perfect platform to rise in the
global arena. The Indian IT sector boomed and growed at gain of nearly 50% every
year.

Another major event for Indian IT industry post the 1991 reforms was the Y2K
bug. Fear of a complete breakdown of computer services, the US corporations
outsourced all the equipment and upgrading work to Indians.
The task of rectifying the Y2K bug was thrown to the Indians and as a result
the modification of all the codes and softwares, which were initially designed till a
date of 1999 was to be edited and huge work was outsourced to the Indian IT
industries.
The Indian IT industry has helped provide a national GDP of more than 6%
since these economic reforms took place 20 years ago and today, India is known as
the IT hub of the world.
National Task Force, NTP and IT Act, 2000 helped IT sector grow in India

The NDA(National Democratic Alliance) government, under the leadership

of prime minister Atal Bihari Vajpayee, included the development of IT as the top
priority in their long term agenda. Indian National Task Force was formed for this
purpose which overtook the development of IT services in large and small IT
enterprises in India.
The National Task Force, within 3 months, provided a detailed report on the
Indian IT and technological industries with more than 100 recommendations which
would help improve the IT services in India. A swift action plan by the Central
Government towards IT services growth was executed and all the
recommendations were acted upon sooner than later.
The result of these efforts from the Indian Government bore fruit with the IT
exports touching more than $50 billion. Indian economy was no longer that of a
developing nation, but at par with those of the developed nations in the world.
The New Telecommunications Policy, 1999 (NTP 1999) helped free the
telecommunications sector in India. This helped availability of the infrastructure
for the telecommunication. The satellites, towers and other telecom related
businesses were no longer owned by the Central Government.
The entry of private sector in these departments helped the telecom sector
grow rapidly resulting the boom in IT sector in India eventually.
The growth of IT is totally dependent on the innovation and development of
telecom industry. The Information Technology Act 2000 provided legal recognition
of the electronic documents, digital signatures, offences and contraventions.
 This helped a long way in striking deals with US clients as no longer the
person to person meeting was required for finalisation of business deals.

Salary details of professionals in IT industries in India

There is a huge hype regarding the salaries of IT professionals in India.

One may hear a salary as low as Rs. 2500 per month to a salary as high as Rs. 1
lakh per month for software professionals. Hence there is no way there can be a
generalisation of the salaries of the IT professionals. The salaries are dependent
on the skills of the professionals, qualification of the employees and the experience
of the employees. I have enlisted average salaries of IT professionals based on the
experience and designation. This list cannot be taken as the standard salary
packages for IT professionals an the information cannot be used to demand
equivalent salaries from IT employers. It is just an average estimate of the salaries
only for comparison purpose.

Information Technology (IT) industry in India is one of the fastest growing

industries. Indian IT industry has built up valuable brand equity for itself in the
global markets. IT industry in India comprises of software industry and
information technology enabled services (ITES), which also includes business
process outsourcing (BPO) industry. India is considered as a pioneer in software
development and a favorite destination for IT-enabled services.

The origin of IT industry in India can be traced to 1974, when the mainframe
manufacturer, Burroughs, asked its India sales agent, Tata Consultancy Services
(IIR), to export programmers for installing system software for a U.S. client. The
IT industry originated under unfavorable conditions.
Local markets were absent and government policy toward private enterprise
was hostile. The industry was begun by Bombay-based conglomerates which
entered the business by supplying programmers to global IT firms located
overseas.

During that time Indian economy was state-controlled and the state
remained hostile to the software industry through the 1970s. Import tariffs were
high (135% on hardware and 100% on software) and software was not considered
an "industry", so that exporters were ineligible for bank finance. Government
policy towards IT sector changed when Rajiv Gandhi became Prime Minister in
1984. His New Computer Policy (NCP-1984) consisted of a package of reduced
import tariffs on hardware and software (reduced to 60%), recognition of software
exports as a "delicensed industry", i.e., henceforth eligible for bank finance and
freed from license-permit raj, permission for foreign firms to set up wholly-owned,
export-dedicated units and a project to set up a chain of software parks that would
offer infrastructure at below-market costs. These policies laid the foundation for
the development of a world-class IT industry in India.
Today, Indian IT companies such as Tata Consultancy Services (IIR), Wipro,
Infosys, HCL et al are renowned in the global market for their IT prowess.
Some of the major factors which played a key role in India's emergence as
key global IT player are:

Indian Education System

The Indian education system places strong emphasis on mathematics and

science, resulting in a large number of science and engineering graduates. Mastery
over quantitative concepts coupled with English proficiency has resulted in a skill
set that has enabled India to reap the benefits of the current international demand
for IT.

High Quality Human Resource

Indian programmers are known for their strong technical and analytical skills
and their willingness to accommodate clients. India also has one of the largest
pools of English-speaking professionals.

Competitive Costs
The cost of software development and other services in India is very
competitive as compared to the West.

Infrastructure Scenario
Indian IT industry has also gained immensely from the availability of a
robust infrastructure (telecom, power and roads) in the country.
In the last few years Indian IT industry has seen tremendous growth.
Destinations such as Bangalore, Hyderabad and Gurgaon have evolved into global
IT hubs. Several IT parks have come up at Bangalore, Hyderabad, Chennai, Pune,
Gurgaon etc.
These parks offer Silicon Valley type infrastructure. In the light of all the
factors that have added to the strength of Indian IT industry, it seems that Indian
success story is all set to continue.
 CHAPTER-II

REVIEW OF LITERATURE

Researchers have comprehensively studied on employee turnover attitudes.

They give their efforts to develop and understanding of employee attitudes.
Employee leave organization with specific reason. In an attempt to clarify the
relationships among various attitudinal antecedents of turnover, Tett and Meyer
(1993) they perform meta-analysis on 178 samples from 138 studies. They work on
the relationships between job satisfaction, turnover intention, organizational
commitment and actual turnover (Tett and Meyer, 1993).

In their research they state that organizational commitment and employee

job satisfaction both objects are perform independently in employee turnover. In
this both object employee job satisfaction is more effective then organizational
commitment. Means as per Tett and Meyer research employees job satisfaction is a
major part in their job.

Lee, Holtom, Mc Daniel, Hill and Mitchell (1999), also done a research on
this topic. They strongly argue that only attitudinal findings are not sufficient to
explain this issue. They do a more then 17 years research on this topic and suggests
that many employee left current organisation without any specific reason.

Hom, Caranikas-Walker, Prussi and Griffeth (1992) start a meta-analysis on

employee turnover. As per them opinion only employee job satisfaction is not
important but sometimes external economic issues or employment rate are also
play important role in employee turnover. Generally as per current theory
employee low job satisfaction is a major reason for leave organisation. But as per
Lee et al (1999) there are new theories are needed to explain the different situation
and reason. Some need to find out possible reason for which & why people leave
the organisations. The psychological viewpoint and goal is showing different
object such as job dissatisfaction, employee demography and organisation not full
fill their commitment are the main issue in employee turnover (e.g. Discenza &
Gardner, 1992;

1. William H. Price & Richard Kiekbusch & John The is in his study on causes of
employees turnover have talked about the causes and the implementation.
Further he highlighted that providing a challenging job, and offering realistic
 promotion opportunities. Other variables that have less impact are schedule
input, insurance and family income. Good communication and job satisfaction.

2. Beri G.C., Human Resource Tata McGraw New Delhi, in his study on the cause
of factor influencing turnover and retention of staff and retention problems for
professional have talked about the Working hours, workload and work
schedules which are also common concerns to both groups. In addition, career
development, promotion and appreciation of contribution were important
retention factors, while a supportive professional environment, reduction in
workload and working hours and more flexible work patterns were important
to consultants.

3. Cari McLean, Labour Management in Agriculture, in her study knowing the

reason why workers leave or edge in improving working condition and have
talked about dissatisfaction with work or working condition, select and train
new personnel, conducting workers satisfaction survey, find specific problem
area to watch and improve .
Joseph & Ang, 2003). This research show important and insight reason for
why IT employee leave their job and change organisation frequently. Recent
organizational behaviour and psychological result show that actual reason behind
employees turnover are salary package levels, Promotion, mobility, and skill
demands and jobs availability (Hom & Kinicki, 2001; Trevor, 2001).

Psychological research's show that employee turnover is individual factors.

It is show that employee leave their job due to job dissatisfaction or employee
work place or organisational commitment. This research has show why IT
employees leave their current organisation.

Jing and Klein (1999), they reported that In fortune 500 firms IT employees
job turnover ratio is 25 To 35%. Moreover, Human resource management have a
facing a key issue of IT employee job change ratio (e.g. Niederman, Brancheau and
Wetherbe, 1991). This research is same focus on attitudes leading to purpose to
employee turnover finding as reported by Tett and Meyer (1993).

The study of "IT Retention: The social context of turnover among

information technology professional Lee (2002)". This study was focus on social
support from employee's colleagues and company's management. If they give a
support each other then company minimize employee turnover. That means social
supports are also play a important role in employee turnover.

If employee got this support then they neglect other object like job
satisfaction, wedges or organisation commitment.

So as per Lee, social support is a most important part in employee turnover.

William H. Price & Richard Kiekbusch & John Theis in his study on causes of
employees turnover have talked about the causes and the implementation. Further
he highlighted that providing a challenging job, and offering realistic promotion
opportunities. Other variables that have less impact are schedule input, insurance
and family income. Good communication and job satisfaction.

Beri G.C., Human Resource Tata McGraw New Delhi, in his study on the
cause of factor influencing turnover and retention of staff and retention problems
for professional have talked about the Working hours, workload and work
schedules which are also common concerns to both groups. In addition, career
development, promotion and 4appreciation of contribution were important
retention factors, while a supportive professional environment, reduction in
workload and working hours and more flexible work patterns were important to
consultants.

Cari McLean, Labour Management in Agriculture, in her study knowing the

reason why workers leave or edge in improving working condition and have talked
about dissatisfaction with work or working condition, select and train new
personnel, conducting workers satisfaction survey, find specific problem area to
watch and improve Cosenza, Robert M.in his study on the causes of the cost of
employees turnover due solely to unfairness in the workplace and have talked
about the effect of unfairness upon an employees decision to leave their employer
and the financial to employer due to voluntary turnover.

Further he highlighted Recruiting and retaining the best and the brightest
Remove the barriers and biases which create unfair workplace.

Moore, in her study on the cause of an informative report regarding

employees turnover and retention on the causes of high employee turnover which
affect the most, and the companies can decrease employees turnover in order to cut
the hidden cost.

CHAPTER III
RESEARCH METHODLOGY
RESEARCH DESIGN

A research design is the arrangement of conditions for collection and

analysis data in a manner that aims to combine relevance to the researcher purpose
with economy in procedure.
 It constitutes the blueprint for the collection, measurement and analysis of
data. As such the design includes an outline of what the researcher will do form
writing the hypothesis and its operational implication to the final analysis of data.

More explicitly, the design decisions happen to be in respect of;

What is the study about?

Why is the study being made?
Where will the study be carried out?
What type of data is required?
Where can the data are found?
What periods of time will the study include?
What will be the sample design?
How will the data be analyzed?
In what style will the report be prepared?
What techniques of data collection will be used?
The Research Design undertaken for the study is Descriptive one. A
study, which wants to portray the characteristics of a group or individuals or
situation, is known as Descriptive study. It is mostly qualitative in nature.

TYPES OF DATA COLLECTED

Primary Data

Questionnaires are prepared and personal interview was conducted. Most

of the questions are consist of multiple choices. The structured interview method
was undertaken. The interview was conducted in English as well as in Telugu.
Proper care was taken to frame the interview schedule in such a manner it should
be easily understood in view of educational level of the employees. Generally 25
questions are prepared and asked to the employees.

Secondary Data

Secondary data was collected from Internets, various books, Journals,

and Company Records.

QUESTIONNAIRE CONSTRUCTION

Questionnaires were constructed based on the following types

Open ended questions

Close ended questions
Multiple choice questions

SAMPLING PLAN

A sampling plan is a definite design for obtaining a sample from the

sampling frame. It refers to the technique or the procedure the researcher would
adopt in selecting some sampling units from which inferences about the population
is drawn. Sampling design is determined before any data are collected.

Selective Sampling technique was adopted. In this method the researcher

select those units of the population in the sample, which appear convenient to him
or the management of the organization where he is conducting research.

SAMPLE SIZE

Nearly 150 samples are taken in IIR TECHNOLOGIES

DESCRIPTION OF STATISTICAL TOOLS USED

Percentage method

Chi-square test

PERCENTAGE METHOD

In this project Percentage method test was used. The percentage method is
used to know the accurate percentages of the data we took, it is easy to graph out
through the percentages. The following are the formula
 No of Respondent

Percentage of Respondent = x 100

Total no. of Respondents

From the above formula, we can get percentages of the data given by the
respondents.

CHI-SQUARE TEST

In this project chi-square test was used. This is an analysis of technique

which analyzed the stated data in the project. It analysis the assumed data and
calculated in the study. The Chi-square test is an important test amongst the several
tests of significant developed by statistical. Chi-square, symbolically written as x 2
(Pronounce as Ki-Spare), is a statistical measure used in the context of sampling
analysis for comparing a variance to a theoretical variance.

Formula

(O-E) 2

2 =

O = Observed frequency

E = Expected frequency

NEED FOR THE STUDY

 The success of any manufacturing organization depends largely on the
workers, the employees are considered as the backbone of IIR
TECHNOLOGIES.

The attrition rate of the company is 11.4%. So this study focused on why the
Attrition occurs and the possible ways to reduce it.

The study was mainly undertaken to identify the level of employees

attitude, the dissatisfaction factors they face in the organization and for what
reason they prefer to change their job. Once the levels of Employees
attitude are identified, it would be possible for the management to take
necessary action to reduce attrition level. Since they are considered as
backbone of the Company, their progression will lead to the success of the
Company for the long run.

This study can be helpful in knowing, why the employees prefer to change
their job and which factors make employee dissatisfy.

Since the study is critical issue, it is needed by the originations in order to

asses the overall interest and the feelings of the employees towards their
nature of job and organization.

This study can be helpful to the management to improve its core weaknesses
by the suggestions and recommendations prescribed in the project.
 This study can serve as a basis for measuring the organizations overall
performance in terms of employee satisfaction.

The need of this study can be recognized when the result of the related study
need suggestions and recommendations to the similar situation.

CHAPTER-IV
 DATA ANALYSIS AND INTERPRETATIONS

TABLE 4.1

Age
Frequency Percent Valid Percent Cumulative
Percent
31 20.7 20.7 20.7
Below 25

25-35 39 26.0 26.0 46.7

Valid 35-45 54 36.0 36.0 82.7

26 17.3 17.3 100.0
Above 45

Total 150 100.0 100.0

CHART
INTERPRETATION:

The above tables shows that he age of the employee are 20.7% of the
respondents are Below 25 years, 26.0% of the respondents are 25-35 years, 36.0%
of the respondents are 35-45 years, and 17.3% of the respondents are Above 45
years.

TABLE 4.2
Gender
Frequency Percent Valid Percent Cumulative
Percent
Male 76 50.7 50.7 50.7
74 49.3 49.3 100.0
Valid Female

Total 150 100.0 100.0

CHART
INTERPRETATION:

The above table can be interpreted that the Gender of the respondent are
50.7% of the respondent of male, 49.3% of the respondent of female.

TABLE 4.3
Marital Status

Frequency Percent Valid Percent Cumulative

Percent

79 52.7 52.7 52.7

Married
71 47.3 47.3 100.0

Valid Unmarried

150 100.0 100.0

Total

CHART
INTERPRETATION:

The above table can be interpreted that the marital status of the respondent are
52.7% of the respondent of married, 47.3% of the respondent of Unmarried.
TABLE 4.4

Designations
Frequency Percent Valid Percent Cumulative
Percent

Manager 26 17.3 17.3 17.3

40 26.7 26.7 44.0
Supervisor

Valid 46 30.7 30.7 74.7

Accountant

Others 38 25.3 25.3 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:

The above table can be interpreted that the Designations of the respondent are
17.3% of the respondent of Manager, 26.7% of the respondent of Supervisor,
30.7% of the respondent of Accountant and 25.3% of the respondent of Others.
TABLE 4.5

Educational
Frequency Percent Valid Percent Cumulative
Percent
HSC 14 9.3 9.3 9.3
Degree 18 12.0 12.0 21.3

ITI 33 22.0 22.0 43.3

30 20.0 20.0 63.3
Valid Diploma

AMIE 29 19.3 19.3 82.7

PG 26 17.3 17.3 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:

The above table can be interpreted that the Educational Qualification of the
respondent are 9.3% of the respondent of HSC, 12.0% of the respondent of
Degree, 22.0% of the respondent of ITI and 20.0% of the respondent of
Diploma,19.3% of the respondent AMIE,17.3% of the respondent of PG.

TABLE 4.6

Experience
 Frequency Percent Valid Percent Cumulative
Percent
26 17.3 17.3 17.3
Less than 5 years

5-10 years 41 27.3 27.3 44.7

Valid 10-15 years 52 34.7 34.7 79.3

31 20.7 20.7 100.0

Above 16 years

Total 150 100.0 100.0

CHART
INTERPRETATION:

The above table can be interpreted that the Experience of the respondent are 17.3%
of the respondent of Less than 5 years, 27.3% of the respondent of 5-10 years,
34.7% of the respondent of 10-15 years and 20.7% of the respondent Above 16
years.

TABLE 4.7
Employment
Frequency Percent Valid Percent Cumulative
Percent
19 12.7 12.7 12.7
Permanent

33 22.0 22.0 34.7

Probationary

Valid 34 22.7 22.7 57.3

Temporary

Contract 29 19.3 19.3 76.7

Others 35 23.3 23.3 100.0

Total 150 100.0 100.0

CHART
INTERPRETATION:

The above table can be interpreted that the Employment of the respondent are
12.7% of the respondent of Permanent, 22.0% of the respondent of Probationary,
22.7% of the respondent of Temporary and 19.3% of the respondent
Contract,23.3% of the respondent Others.

TABLE 4.8
Income
Frequency Percent Valid Percent Cumulative
Percent
26 17.3 17.3 17.3
Less Than 5000

5000-10000 34 22.7 22.7 40.0

10000-15000 39 26.0 26.0 66.0

Valid 39 26.0 26.0 92.0

15000- 20000

12 8.0 8.0 100.0

Above 20000

Total 150 100.0 100.0

CHART
INTERPRETATION:

The above table can be interpreted that the Income of the respondent are 17.3% of
the respondent of Less than 5000, 22.7% of the respondent of 5000-10000, 26.0%
of the respondent of 10000-15000 and 26.0% of the respondent 15000-
20000,8.0% of the respondent Above 20000.

TABLE 4.9
Training Period
Frequency Percent Valid Percent Cumulative
Percent
14 9.3 9.3 9.3
One day

50 33.3 33.3 42.7

1-3 Days
Valid
1 Week 52 34.7 34.7 77.3
34 22.7 22.7 100.0
1 Month

Total 150 100.0 100.0

CHART
INTERPRETATION:

The above table can be interpreted that the Training Period of the respondent are
9.3% of the respondent of One day, 33.3% of the respondent of 1-3 Days, 34.7%
of the respondent of 1 week and 22.7% of the respondent 1 Month.
TABLE 4.10
Decision Making
Frequency Percent Valid Percent Cumulative
Percent
15 10.0 10.0 10.0
Strongly disagree

disagree 35 23.3 23.3 33.3

Neither nor 46 30.7 30.7 64.0

Valid
37 24.7 24.7 88.7
Strongly agree

agree 17 11.3 11.3 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:

The above table can be interpreted that the Decision Making of the respondent are
10.0% of the respondent of Strongly Disagree, 23.3% of the respondent of
Disagree, 30.7% of the respondent of Neither nor and 24.7% of the respondent
Strongly Agree,11.3% of the respondent Agree.
TABLE 4.11

Service Quality
Frequency Percent Valid Percent Cumulative
Percent
10 6.7 6.7 6.7
Strongly disagree

disagree 29 19.3 19.3 26.0

Neither nor 47 31.3 31.3 57.3

Valid
40 26.7 26.7 84.0
Strongly agree

agree 24 16.0 16.0 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:

The above table can be interpreted that the Service Quality of the respondent
are 6.7% of the respondent of Strongly Disagree, 19.3% of the respondent of
Disagree, 31.3% of the respondent of Neither nor and 26.7% of the respondent
Strongly Agree,16.0% of the respondent Agree.

TABLE 4.12
Best Practices

Frequency Percent Valid Percent Cumulative

Percent

15 10.0 10.0 10.0

Strongly disagree

disagree 36 24.0 24.0 34.0

Neither nor 49 32.7 32.7 66.7

Valid
37 24.7 24.7 91.3
Strongly agree

agree 13 8.7 8.7 100.0

Total 150 100.0 100.0

CHART
INTERPRETATION:

The above table can be interpreted that the Best Practices of the respondent are
10.0% of the respondent of Strongly Disagree, 24.0% of the respondent of
Disagree, 32.7% of the respondent of Neither nor and 24.7% of the respondent
Strongly Agree,8.7% of the respondent Agree.

TABLE 4.13
Market Types
Frequency Percent Valid Percent Cumulative
Percent
11 7.3 7.3 7.3
Strongly disagree

disagree 40 26.7 26.7 34.0

Neither nor 48 32.0 32.0 66.0

Valid
33 22.0 22.0 88.0
Strongly agree

agree 18 12.0 12.0 100.0

Total 150 100.0 100.0

CHART
INTERPRETATION:

The above table can be interpreted that the Market Types of the respondent are
7.3% of the respondent of Strongly Disagree, 26.7% of the respondent of
Disagree, 32.0% of the respondent of Neither nor and 22.0% of the respondent
Strongly Agree,12.0% of the respondent Agree.

TABLE 4.14
Innovation
Frequency Percent Valid Percent Cumulative
Percent
5 3.3 3.3 3.3
Strongly disagree

Disagree 24 16.0 16.0 19.3

Neither nor 42 28.0 28.0 47.3

Valid
40 26.7 26.7 74.0
Strongly agree

Agree 39 26.0 26.0 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:
The above table can be interpreted that the Innovation of the respondent are 3.3%
of the respondent of Strongly Disagree, 16.0% of the respondent of Disagree,
28.0% of the respondent of Neither nor and 26.7% of the respondent Strongly
Agree,26.0% of the respondent Agree.

TABLE 4.15

ET Systems
Frequency Percent Valid Percent Cumulative
Percent
17 11.3 11.3 11.3
Strongly disagree

Disagree 39 26.0 26.0 37.3

Neither nor 40 26.7 26.7 64.0

Valid
32 21.3 21.3 85.3
Strongly agree

Agree 22 14.7 14.7 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:
The above table can be interpreted that the ET Systems of the respondent are
11.3% of the respondent of Strongly Disagree, 26.0% of the respondent of
Disagree, 26.7% of the respondent of Neither nor and 21.3% of the respondent
Strongly Agree,14.7% of the respondent Agree.

TABLE 4.16
Capability

Frequency Percent Valid Percent Cumulative

Percent
24 16.0 16.0 16.0
Strongly disagree

Disagree 40 26.7 26.7 42.7

Neither nor 40 26.7 26.7 69.3

Valid
30 20.0 20.0 89.3
Strongly agree

Agree 16 10.7 10.7 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:
The above table can be interpreted that the Capability of the respondent are 16.0%
of the respondent of Strongly Disagree, 26.7% of the respondent of Disagree,
26.7% of the respondent of Neither nor and 20.0% of the respondent Strongly
Agree,10.7% of the respondent Agree.

TABLE 4.17

ET Helps
Frequency Percent Valid Percent Cumulative
Percent
23 15.3 15.3 15.3
Strongly disagree

Disagree 25 16.7 16.7 32.0

Neither nor 44 29.3 29.3 61.3

Valid
37 24.7 24.7 86.0
Strongly agree

Agree 21 14.0 14.0 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:
The above table can be interpreted that the ET Helps of the respondent are 15.7%
of the respondent of Strongly Disagree, 16.7% of the respondent of Disagree,
29.3% of the respondent of Neither nor and 24.7% of the respondent Strongly
Agree,14.0% of the respondent Agree.

TABLE 4.18

Collaboration

Frequency Percent Valid Percent Cumulative

Percent
27 18.0 18.0 18.0
Strongly disagree

Disagree 34 22.7 22.7 40.7

Neither nor 41 27.3 27.3 68.0

Valid
27 18.0 18.0 86.0
Strongly agree

Agree 21 14.0 14.0 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:
The above table can be interpreted that the Collaboration of the respondent are
18.0% of the respondent of Strongly Disagree, 22.7% of the respondent of
Disagree, 27.3% of the respondent of Neither nor and 18.0% of the respondent
Strongly Agree,14.0% of the respondent Agree.

TABLE 4.19
Address the communication gap
Frequency Percent Valid Percent Cumulative
Percent

Strongly 21 14.0 14.0 14.0

disagree
disagree 33 22.0 22.0 36.0

Neither nor 38 25.3 25.3 61.3

Valid
41 27.3 27.3 88.7
Strongly agree

agree 17 11.3 11.3 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:
The above table can be interpreted that the Address the communication gap of the
respondent are 14.0% of the respondent of Strongly Disagree, 22.0% of the
respondent of Disagree, 25.3% of the respondent of Neither nor and 27.3% of the
respondent Strongly Agree,11.3% of the respondent Agree.

TABLE 4.20
Individual learning
Frequency Percent Valid Percent Cumulative
Percent
24 16.0 16.0 16.0
Strongly disagree

disagree 32 21.3 21.3 37.3

Neither nor 38 25.3 25.3 62.7

Valid
38 25.3 25.3 88.0
Strongly agree

Agree 18 12.0 12.0 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:
The above table can be interpreted that the Individual learning of the respondent
are 16.0% of the respondent of Strongly Disagree, 21.3% of the respondent of
Disagree, 25.3% of the respondent of Neither nor and 25.3% of the respondent
Strongly Agree,12.0% of the respondent Agree.

TABLE 4.21
ET Result
Frequency Percent Valid Percent Cumulative
Percent
11 7.3 7.3 7.3
Strongly disagree

disagree 30 20.0 20.0 27.3

Neither nor 45 30.0 30.0 57.3

Valid
39 26.0 26.0 83.3
Strongly agree

agree 25 16.7 16.7 100.0

Total 150 100.0 100.0

CHART
INTERPRETATION:

The above table can be interpreted that the ET Result of the respondent are 7.3%
of the respondent of Strongly Disagree, 20.0% of the respondent of Disagree,
30.0% of the respondent of Neither nor and 26.0% of the respondent Strongly
Agree,16.7% of the respondent Agree.

TABLE 4.22

Better Standards
Frequency Percent Valid Percent Cumulative
Percent
17 11.3 11.3 11.3
Strongly disagree

Disagree 21 14.0 14.0 25.3

Neither nor 45 30.0 30.0 55.3

Valid
40 26.7 26.7 82.0
Strongly agree

Agree 27 18.0 18.0 100.0

Total 150 100.0 100.0

CHART

INTERPRETATION:
The above table can be interpreted that the Better Standards of the respondent are
11.3% of the respondent of Strongly Disagree, 14.0% of the respondent of
Disagree, 30.0% of the respondent of Neither nor and 26.7% of the respondent
Strongly Agree,18.0% of the respondent Agree.

TEST

T-TEST

One-Sample Statistics
N Mean Std. Deviation Std. Error Mean

Age 150 2.5000 1.00835 .08233

150 1.4733 .50096 .04090
Marital Status

One-Sample Test
Test Value = 0
t df Sig. (2- Mean 95% Confidence
tailed) Difference Interval of the
Difference
Lower Upper
Age 30.365 149 .000 2.50000 2.3373 2.6627
Marital 36.020 149 .000 1.47333 1.3925 1.5542
Status

ONE WAY ANOVA TEST

ANOVA

Gender
Sum of Df Mean Square F Sig.
Squares

1.424 3 .475 1.922 .129

Between Groups

36.069 146 .247

Within Groups

Total 37.493 149

CORRELATION

Correlations
Employment Income

1 .038
Pearson Correlation
Employment
Sig. (2-tailed) .646
N 150 150
.038 1
Pearson Correlation

Income Sig. (2-tailed) .646

150 150
N
 CHI-SQUARE TEST

Decision Making
Observed N Expected N Residual

15 30.0 -15.0
Strongly disagree

Disagree 35 30.0 5.0

Neither nor 46 30.0 16.0
37 30.0 7.0
Strongly agree

Agree 17 30.0 -13.0

Total 150

Innovation
Observed N Expected N Residual

5 30.0 -25.0
Strongly disagree
disagree 24 30.0 -6.0
Neither nor 42 30.0 12.0
40 30.0 10.0
Strongly agree
agree 39 30.0 9.0
Total 150

Test Statistics
Decision Innovation
Making
24.133a 32.867a
Chi-Square

df 4 4
.000 .000
Asymp. Sig.

a. 0 cells (0.0%) have expected frequencies less than 5. The minimum expected cell frequency
is 30.0.
 CHAPTER-V

FINDINGS, SUGGESTION, CONCLUSION

FINDINGS

It can be age of the employee are 20.7% of the respondents are Below 25
years, 26.0% of the respondents are 25-35 years, 36.0% of the respondents
are 35-45 years, and 17.3% of the respondents are Above 45 years.

It can be interpreted that the Gender of the respondent are 50.7% of the
respondent of male, 49.3% of the respondent of female.

It can be interpreted that the marital status of the respondent are 52.7% of
the respondent of married, 47.3% of the respondent of Unmarried.

It can be interpreted that the Designations of the respondent are 17.3% of the
respondent of Manager, 26.7% of the respondent of Supervisor, 30.7% of the
respondent of Accountant and 25.3% of the respondent of Others.

It can be interpreted that the Educational Qualification of the respondent are

9.3% of the respondent of HSC, 12.0% of the respondent of Degree,
22.0% of the respondent of ITI and 20.0% of the respondent of
Diploma,19.3% of the respondent AMIE,17.3% of the respondent of PG.

It can be interpreted that the Experience of the respondent are 17.3% of the
respondent of Less than 5 years, 27.3% of the respondent of 5-10 years,
34.7% of the respondent of 10-15 years and 20.7% of the respondent
Above 16 years.
 It can be interpreted that the Employment of the respondent are 12.7% of
the respondent of Permanent, 22.0% of the respondent of Probationary,
22.7% of the respondent of Temporary and 19.3% of the respondent
Contract,23.3% of the respondent Others.

It can be interpreted that the Income of the respondent are 17.3% of the
respondent of Less than 5000, 22.7% of the respondent of 5000-10000,
26.0% of the respondent of 10000-15000 and 26.0% of the respondent
15000-20000,8.0% of the respondent Above 20000.

It can be interpreted that the Training Period of the respondent are 9.3% of
the respondent of One day, 33.3% of the respondent of 1-3 Days, 34.7% of
the respondent of 1 week and 22.7% of the respondent 1 Month.

It can be interpreted that the Decision Making of the respondent are 10.0%
of the respondent of Strongly Disagree, 23.3% of the respondent of
Disagree, 30.7% of the respondent of Neither nor and 24.7% of the
respondent Strongly Agree,11.3% of the respondent Agree.
It can be interpreted that the Service Quality of the respondent are 6.7% of
the respondent of Strongly Disagree, 19.3% of the respondent of Disagree,
31.3% of the respondent of Neither nor and 26.7% of the respondent
Strongly Agree,16.0% of the respondent Agree.

It can be interpreted that the Best Practices of the respondent are 10.0% of
the respondent of Strongly Disagree, 24.0% of the respondent of Disagree,
32.7% of the respondent of Neither nor and 24.7% of the respondent
Strongly Agree,8.7% of the respondent Agree.

It can be interpreted that the Market Types of the respondent are 7.3% of the
respondent of Strongly Disagree, 26.7% of the respondent of Disagree,
 32.0% of the respondent of Neither nor and 22.0% of the respondent
Strongly Agree,12.0% of the respondent Agree.

It can be interpreted that the Innovation of the respondent are 3.3% of the
respondent of Strongly Disagree, 16.0% of the respondent of Disagree,
28.0% of the respondent of Neither nor and 26.7% of the respondent
Strongly Agree,26.0% of the respondent Agree.

It can be interpreted that the ET Systems of the respondent are 11.3% of the
respondent of Strongly Disagree, 26.0% of the respondent of Disagree,
26.7% of the respondent of Neither nor and 21.3% of the respondent
Strongly Agree,14.7% of the respondent Agree.

It can be interpreted that the Capability of the respondent are 16.0% of the
respondent of Strongly Disagree, 26.7% of the respondent of Disagree,
26.7% of the respondent of Neither nor and 20.0% of the respondent
Strongly Agree,10.7% of the respondent Agree.

It can be interpreted that the ET Helps of the respondent are 15.7% of the
respondent of Strongly Disagree, 16.7% of the respondent of Disagree,
29.3% of the respondent of Neither nor and 24.7% of the respondent
Strongly Agree,14.0% of the respondent Agree.

It can be interpreted that the Collaboration of the respondent are 18.0% of

the respondent of Strongly Disagree, 22.7% of the respondent of Disagree,
27.3% of the respondent of Neither nor and 18.0% of the respondent
Strongly Agree,14.0% of the respondent Agree.

It can be interpreted that the Address the communication gap of the

respondent are 14.0% of the respondent of Strongly Disagree, 22.0% of the
 respondent of Disagree, 25.3% of the respondent of Neither nor and 27.3%
of the respondent Strongly Agree,11.3% of the respondent Agree.

It can be interpreted that the Individual learning of the respondent are 16.0%
of the respondent of Strongly Disagree, 21.3% of the respondent of
Disagree, 25.3% of the respondent of Neither nor and 25.3% of the
respondent Strongly Agree,12.0% of the respondent Agree.

It can be interpreted that the ET Result of the respondent are 7.3% of the
respondent of Strongly Disagree, 20.0% of the respondent of Disagree,
30.0% of the respondent of Neither nor and 26.0% of the respondent
Strongly Agree,16.7% of the respondent Agree.

It can be interpreted that the Better Standards of the respondent are 11.3%
of the respondent of Strongly Disagree, 14.0% of the respondent of
Disagree, 30.0% of the respondent of Neither nor and 26.7% of the
respondent Strongly Agree,18.0% of the respondent Agree.
SUGGESTION

Assess the current situation and measure the turnover rate in your
company. Turnover is calculated by dividing the number of annual
terminations by the average number of employees in the work force.
Measure the true cost of turnover.
Develop retention strategies and plan for expected turnover and a
changing workforce culture. Employers must recognize that quality of work
life is becoming more important to employees of all ages.
What initial steps can be taken to reduce turnover?

Hire the right people and continue to develop their careers. Does your
company have ongoing career development, tuition reimbursement or skills
training programs? An investment in upgrading the workforce is one of the
best investments you will ever make when looking at long-term growth.
Hiring people that are a good fit with your culture meaning their values,
principles and goals clearly match those of your company and then
training as necessary will go a long way toward ensuring employee loyalty
and retention.
 Develop an employee oriented culture. Most companies with low
turnover rates are employee oriented. They solicit input and involvement
from all employees and maintain a true open-door policy, avoiding closed-
door meetings as much as possible. Employees are given the opportunity for
advancement and not micro-managed. And rewards are critical. Employees
must believe they have a voice and are recognized for their contribution.
Remember that trust and loyalty are a two-way street. Does your companys
culture encourage open communication and employee input?
Develop an overall strategic compensation package. This should include
not only base and variable pay scales, but long-term incentive compensation,
bonus and gain-sharing plans, benefit plans to address health and welfare
issues, non-cash rewards and perks, too. To be competitive in todays labor
market, most companies find it necessary to offer a standard benefit
package, including health, dental and life insurance, vacation and leave
policies, investment and retirement plans. Many small companies cannot
afford such a complete package. But what more could be done cost
effectively toward creating an employee-oriented work environment?
Explore creative options. Creativity in compensation and benefits can
make quite a difference to the welfare of the employee. For instance, if
employee welfare is a genuine concern, what about child care? How much
employee absenteeism is attributable to not having a dependable babysitter?
Although the costs and liabilities involved in providing onsite day care can
be prohibitive, perhaps you could subsidize childcare in some manner.
Sometimes just negotiating rates for your employees with area childcare
providers could be helpful. Maybe some kind of a company match would be
 possible. Household chore assistance is another possibility being used by
some companies.
Consider other options such as alternative work schedules, flextime,
preventative health care and wellness programs such as fitness center
memberships as possible cost-effective benefits. Perks or non-cash rewards
to recognize exceptional performance can be critical. Service recognition,
event tickets, trips and public recognition can send strong messages
regarding company culture and values. Try to examine the issues and needs
of your employees to develop creative programs to address these needs.
Although costs associated with some of these suggestions may seem prohibitive, as
well they may be, you must evaluate the costs of current turnover, analyze the
reasons for your individual organization and develop strategies that in the long
term are less costly than continued turnover. Some of these suggestions may not be
so costly in comparison.

A word of caution. Be fair and consistent in establishing compensation. Promote

from within if possible. Attempt to avoid bringing new people on board at a higher
rate than current employees. Policies to prevent discussion of wages simply do not
work. Furthermore, such policies are in complete opposition to open-door
communications.
Although many companies use contract employees to address fluctuations in
business, working side by side with someone who is making twice the rate of pay
without any commitment or loyalty to the company can be a real morale killer.
Avoid this if at all possible.
If your company follows these steps and shows genuine concern for employee
well-being, you may not have to pay the highest wages in town to have the lowest
employee turnover rate.

RECOMMENDATIONS

Turnovers can detrimental effect on an organization and its employees if

company management allows it. There are a tool to assist in addressing the
causes of turnover is often used as a performance indicator may be preventive
measure should be as well. It is impossible to eliminate turnover altogether
therefore management must learn how to deal with it and the effect it has on a
company. In addition management should be better prepared to take the proper
action after the turnover event occurs. All effort should be focused on
maintaining job satisfaction and managing controllable caused of turnover.

The list of recommendation to prevent turnover in companies are:

1. Get involved in finding out the causes of turnover

2. Bring attention to bottom fig. & how turnover affect everyone
 Have an open door policy style of managing to allow employee to comment on
what might be bothering then about the job.
3. Realize there is more than one problem and pay attention to all stay alert.
4. Execute periodic audits of job satisfaction.
5. Have a Strict hiring standard do not just fill opening and.
6. Develop and constantly update training strategies.

CONCLUSION

I have found through the analysis that most of the industries have faced the
problem of turnover because of dissatisfaction with work or working
condition, the Working hours, workload and work schedules, incentives,
salaries and the facility which are provided to the worker is not up to
the marks, as per the analysis the various way through which the
industries reduces their employees turnover problem, are given
below:-

1. Remove the barriers and biases which create unfair workplace

2. conducting workers satisfaction survey, find specific problem area to
watch and improve
3. Reduction in workload and working hours and more flexible work
patterns were important to consultants.
 4. Providing a challenging job, and offering realistic promotion opportunities.
5. Help employees learn to achieve the same results in less time through
productivity training.
6. Provide as much job security as possible.
7. Frequent reviews and positive reinforcement reward and encourage
high-performing employees.
8. Maximize opportunities for individual employees to develop their skills
and move on in their careers.
9. Offering employees an affordable medical, dental, and vision package in
this day and age is a great way to keep employees happy.
It was found through the analysis that most of the industries have faced the
problem of turnover because of dissatisfaction with work or working condition, the
Working hours, workload and work schedules, incentives, salaries and the facility
which are provided to the worker is not up to the marks. From this study
Employee Turnover: Present scenario of Indian IT Industry reveals that most of
the IT companies even the top most companies are facing turnover due to many
factors.

The most important of all is Compensation, because plenty of opportunities are

there in the market for experienced, well qualified employees if they switch over to
other companies and they will pay more.

There are many push, pull and personal factors are involved and initiating the
thought of turnover among employees. IT companies should be alert and frame
some necessary strategies to reduce attrition so that they can reduce the
expenditure of employees for recruitment, training and development.
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A STUDY ON EMPLOYEE TURNOVER

QUESTIONAIRE:

1. Name:

2. Age :

a) Below 25

b) 25-35

c) 35-45

d) Above 45

3. Gender:
 a) Male

b) Female

4. Marital status:

a) Married

b) Unmarried

5. Designations:

a) Manager

b) Supervisor

c) Accountant

d) Others

6. Educational:

a) HSC

b) Degree

c) ITI

d) Diploma

e) AMIE

f) PG

7. Experience in the field:

a) Less than 5 years

 b) 5-10 years

c) 10-15 years

d) Above 16 years

8. Type of Employment.

a) Permanent

b) Probationary

c) Temporary

d) Contract

e) Others

9. Monthly income:

a) Less Than 5000

b) 5000-10000

c) 10000-15000

d) 15000- 20000

e) Above 20000

10. Training period:

a) One day

b) 1-3 Days
 c) 1 Week

d) 1 Month

11 The ET system helps in fast and better decision making.

a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree
12 ET helps in enhanced productivity or service quality.
a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree

13. Implementing Results in sharing best practices.

a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree

14. ET makes it easy to ET different market types.

a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree

15. ET helps in increased innovation by the employees.

a) Strongly disagree
b) Disagree
c) Neither nor
 d) Strongly agree
e) Agree

16. Application of ET system results in increased market share.

a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree

17. ET increases the learning/adaptation capability of employees.

a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree

18. ET helps in better staff attraction.

a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree

19. ET results in enhanced collaboration within the organization.

a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree

20. ET helps to address the communication gap in the organization.

a) Strongly disagree
b) Disagree
 c) Neither nor
d) Strongly agree
e) Agree

21. ET helps in constant and continuous transformation of individual learning to

organizational

a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree

22. ET results in increased delegation of authority and accountability to

individuals.

a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree
23. ET helps to achieve better standards.
a) Strongly disagree
b) Disagree
c) Neither nor
d) Strongly agree
e) Agree