Perform a Cause and Effect analysis using the three steps outlined in the textbook on Page 401. Explain major causes and sub-causes identified and include the fishbone diagram in your response.
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Instructions
25 POINTS
Chapter 21 Root Cause Analysis
Use the information found in Chapter 21, Course Announcements, the Module 2 PPT found under Additional Tools and other credible sources to answer the questions below and submit the document to this dropbox for grading. Use APA formatting for the paper. Use at least one credible source from the SPC Online Library in your paper.
Big Electronics Company (BEC) is headquartered in Pinellas County Florida and employs over 1,000 people. Prior to the pandemic, the company experienced difficulties in retaining employees. Since the pandemic, the company continues to experience high turnover and difficulties recruiting employees. Jane Smith, the vice president of
NOTE: There is more than one potential cause, but you are only required to explore
one.
Fishbone Diagrams
ANSWER
Difficulties with Employee Retention Cause and Effect Analysis
BEC is facing high turnover rates and low retention of its employees. Several factors could cause the high turnover rate. Some of the factors that cause high turnover rates in any organization include; dissatisfaction with the working environment, many working hours and low compensation, lack of communication with management in the organization, and satisfaction with the job due to lack of growth and development in the organization. These are among the causes of high turnover rates in most organizations and some of the issues that BEC should look into to ensure that the employees they have at the moment retain their jobs.
Environment
The workplace environment is a major factor contributing to employee retention. Many labor unions today and employees globally are fighting for better working environments. A better working environment entails many factors. Some of these factors include healthy working conditions where the employees are not subjected to any health hazards or anything that could harm them physically, healthy working hours, and respectful colleagues and management team ((Al Mamun & Hasan, 2017). This means that BEC should research the overall working conditions of their organization as it could be one of the factors leading to the high turnover rates. The work environment also needs to be one where one can grow.
Finances
Finances play a significant role in any organization. In the case of BEC, they should look at the missing pieces of the puzzle in terms of finances. They should ask themselves whether they are paying their employees enough money to keep them in the organization. High turnover rates in any organization could be caused by insufficient compensation. If a person feels like their job does not pay enough to meet their needs, they will likely look for a new job with better compensation to meet their needs (Al Mamun & Hasan, 2017). They also need to look at how they fund their projects and whether they provide their teams with enough resources.
Effects
The effects of poor working conditions include having unsatisfied employees. Poor working conditions increase the turnover rates as employees will leave their job as soon as they find a new job with better conditions. Some would rather remain jobless than work in an environment where they do not feel respected or insecure. The working environment plays a major role in ensuring that the employees in the organization continue working in the organization. BEC should review its working environment as it might be causing the high employees to quit too soon.
Low compensation is another factor that leads to employees leaving their jobs. No matter how passionate one is about their work, they want to be compensated for their time and effort. The organization should look into their compensation policy as it could be the reason they cannot retain their employees. They should also look at how they allocate the resources within the organization. This could be another reason they are experiencing high turnover rates. If teams are not provided with sufficient materials for their project, they are likely to struggle, making them leave the organization if their concerns are not addressed.
References
Al Mamun, C. A., & Hasan, M. N. (2017). Factors affecting employee turnover and sound retention strategies in business organization: A conceptual view. Problems and Perspectives in Management, (15, Iss. 1), 63-71.
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