IJEMR February 2017 - Vol 7 Issue 02 - Online - ISSN 22492585 Print - ISSN 2249-8672

Employee Attrition & appropriate strategies with reference to TCS, Bengaluru

*Smt. Deepthiamith

*Associate Prof & HOD, Post Graduate Dept. of Management Studies (MBA)
Kalpatru Institute of Technology, Tiptur, Karnataka, India.
Abstract
The attrition is the biggest challenge facing by present era organizations. Especially Soft
ware companies face high attrition rate and it is a big challenge for the HR Manager. Attrition
rate reflect the Organizations strengths & weaknesses. Every organization faces the difficulties
in retaining the present employees as well as attracting new and potential candidates.
Managing the attrition is also a cost high to the Organization. Organizations invest on
employees salaries, benefits, bonus, training programs. Attrition has two faces like one is
finance involved in it, second is retaining talented & experience people. The research study is
conducted to find out the main causes and measures to retain the employee at TCS Bangalore.

Keyboards-Attrition, Retaining Employee, Retention, Manager, IT sector

1. Introduction:

Attrition may be defined as gradual reduction in membership as through retirement,

resignation or death. In todays Indian economy, contribution of IT sector is huge. They play a
vital role in the growth of Indian economy. IT sector is quickest wealth & job making industries
comparing to other industries. Salaries and packages will be more at the entry level itself.
Individual employee contribution will lead to high productivity & performance of the
organization. As employees are the core reason, the HR Team should take more concern on
problems faced by the employees in organization.
Attrition is burning topic in software companies. Even though salaries are best, but still
attrition rate is high. The most common way of measuring employee attrition is Employee
Turnover Ratio.

Employee Turnover Ratio = Total numbers of leavers over a period

Average total number employed over the said period

Good will of the Organization will suffer due to attrition. If an employee leaves the
organization in the midst of the project, the new may not able to fill the vacuum of the talented
employee and also delayed in the completion. India is one of leading in the software companies
with technically competent employees around 1.5 Million Engineer Graduates come out every
year, nearly 2 lakh diploma holders 60,000 enter IT sector.

For the last decade, the Indian IT sector is the leading employment provider of the
country. Around 4millions are employed in IT sectors or BPOs. Now -a -days skilled employees
are in high demand because Organization can save the cost of training. Every Organization has
its own norms for acceptable attrition rates. They vary from organization to organization.

2. Objectives
1) To study the attrition problems in software companies
2) To know the causes for attrition
3) To provide suggestions /measures to reduce the attrition.

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IJEMR February 2017 - Vol 7 Issue 02 - Online - ISSN 22492585 Print - ISSN 2249-8672

3. Literature Review :
Sengupta S. & group (2012) opine that IT& BPO industry in our country is increasing
with a great speed. In spite of high growth this industry is facing high attrition rate. In this
study, they made an attempt to find the other aspects of attrition by exploring the factors that
lead to it.

Chandrasekhar, K. (2011) says that human resource is one of the valued assets in any
company, even in the computer age. Even in the age of automation, to operate or to feed
programs one needs human. There is no substitute to human resource. Attrition is the major
problem against man power progress. As attrition rate is growing, the productivity &
profitability is decreasing especially in IT sectors which has lead to research, to find the factors
for attrition. This helps to find the factors which directly and indirectly affecting attrition.

Booth (2007) published in international journal labour turnover in the retail industry and
role of individual, organizational & environment. This paper tries to find the main variables that
influence labour turnover. Research reveals the environment factors influencing organizational
factors like culture of the organization and values. Individual variables are concerned with
decision making. Statistical approach is used in this research to give the findings.

Lahoti. H Jyoti (2014) says to survive managers must organise employee performance
with customers satisfaction and loyalty. It was found HR management practices are in the
initial stage of development. The facilities provided to employees and their performance
appraisal measures always motivate to achieve the best.

Sanveet (2013) concluded that there is solution for attrition management for each
company in contrary each organization has to build its own motivational system based on their
organization individual goals. The solutions vary.

David (2015) has found types of reasons for attrition in IT sector like excessive stress due
to, high work pressures of completion, work load has forced employee to quit the job, lack of
trust towards the employers and no motivation and no retention.

James& Mathew (2012) suggested few relations strategic like rewards, recognition,
Training & Development opportunities, career planning, mentoring, and time flexibility, and
performance appraisal annually, day care facilities. The best solution is to understand what
employees expectation from his job & organization is.

Goswami and Jha (2012) has found that planning for the future should closely consider
why attrition is occurring in the present. If the organization ignores the attrition, then they are
ignoring the biggest asset of the organization.

Kyndtel Al (2009) has found that an organization should stress on learning of employees,
styles of leadership and age has good relationship with employee retention.

4. Research Methodology:

Descriptive research methods are used for describing the present situation in the company and
analytical research to analysis the results by using research tool.

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IJEMR February 2017 - Vol 7 Issue 02 - Online - ISSN 22492585 Print - ISSN 2249-8672

Sampling

Company Name : T.C.S, White Field

Place : Bengaluru.
Sample Size : 50 employees from each company
Sampling techniques : Questionnaire
Sources of data : Primary source - questionnaire
Secondary Source : Magazines, Journals and Internet

5. Data Analysis and Interpretation

1. Absence of conducive work place environment is a reason for attrition.

Table shows employees opinion towards Absence of conducive work place environment is a
reason for attrition.

Table no: 01

Sl. # Opinion No. of respondents Percentage

01 Strongly Agree 10 20
02 Agree 25 50
03 Neither agree/Nor 15 30
Disagree
04 Disagree 00 00
05 Strongly Disagree 00 00
Total 50 100
Source: primary data

Chart 01

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IJEMR February 2017 - Vol 7 Issue 02 - Online - ISSN 22492585 Print - ISSN 2249-8672

Analysis: From the above table it is clear that 20% strongly Agree, 50% Agree 30% neither
agree/Nor Disagree 0% Disagree & Strongly disagree towards absence of conducive work place
environment is a reason for attrition
Interpretation: Majority of the employees Agree that absence of conducive work place
environment is a reason for attrition.

2. Odd working hours is a reason for attrition.

Table shows employees opinion about Odd working hours is a reason for attrition
Table no: 02

Sl. # Opinion No. of respondents Percentage

01 Strongly Agree 10 20
02 Agree 20 40
03 Neither agree/Nor 05 10
Disagree
04 Disagree 05 10
05 Strongly Disagree 10 20
Total 50 100
Source: primary data

Chart 02

Analysis: From the above table it is clear that 20% strongly agree, 40% Agree, 10% neither
Neither Agree nor Disagree, 10% Disagree & 20% Strongly Disagree towards Odd working hours
is a reason for attrition
Interpretation: Majority of the employees agree that odd working hours is a reason for attrition

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IJEMR February 2017 - Vol 7 Issue 02 - Online - ISSN 22492585 Print - ISSN 2249-8672

3. Stress & work life balance is a reason for attrition

Table shows employees opinion about Stress & work life balance is a reason for attrition.

Table no: 03

Sl. # Opinion No. of respondents Percentage

01 Strongly Agree 15 30
02 Agree 20 40
03 Neither agree/Nor 05 10
Disagree
04 Disagree 10 20
05 Strongly Disagree 00 00
Total 50 100
Source: primary data

Chart 03

Analysis: From the above table it is clear that 30% strongly agree, 40% Agree, 10% Neither
Agree nor Disagree, 20% Disagree & 00% Strongly Disagree towards Stress & work life balance
is a reason for attrition

Interpretation: Majority of the employees Agree that Stress & work life balance is a reason for
attrition.

4. Increasing in number of industries is adversely affecting employee retention in the

organization and is leading to higher attrition.

Table shows employees opinion about increasing in number of industries is adversely affecting
employee retention in the organization and is leading to higher attrition.

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IJEMR February 2017 - Vol 7 Issue 02 - Online - ISSN 22492585 Print - ISSN 2249-8672

Table no: 04

Sl. # Opinion No. of respondents Percentage

01 Strongly Agree 10 20
02 Agree 25 50
03 Neither agree/Nor 05 10
Disagree
04 Disagree 05 10
05 Strongly Disagree 05 10
Total 50 100
Source: primary data

Chart 04

Analysis: From the above table it is clear that 20% strongly agree, 50% Agree, 10% Neither
Agree nor Disagree, 10% Disagree & 10% Strongly Disagree towards increasing in number of
industries is adversely affecting employee retention in the organization and is leading to higher
attrition
Interpretation: Majority of the employees Agree that increasing in number of industries is
adversely affecting employee retention in the organization and is leading to higher attrition

6. Findings:

This research paper has helped to find various uncertain and certain facts about attrition.
Through this survey and also research we have come to know several reasons for attrition in IT
sectors like stress, high pressure of work, workload.
Findings are as follows:
1) Lack of growth, support and incentives.
2) Management In ability to recognized employee skills.
3) Many people agreed to the fact that lack of good salary hike, proper benefits, odd working
hours are also main reason for attrition.
4) Certain policies did not support the staff.
5) Employee also agreed that there is no option like work from home especially for women.

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6) Due credibility example due promotion, opportunities, on site etc.,

7. Suggestions:
1) For the retention of a employee deserved recognition should be given and treated
respectfully.
2) Building the trust among the employees & between levels of management.
3) Gender discrimination should be avoided.
4) Company should build working friendly environment.
5) Employees have to be awarded and recognized for their contribution.
6) Giving employees opportunity in terms of career growth.
7) Motivational seminar, good rewards should be given to boost their morale in intervals.
8) Establishing a cooperative environment rather than competitive environment.
9) Need to understand resources well like contribution hard work.
10) Personal & professional life balance should be made aware.
8. Recommendations

Retention Strategies:

1) Providing Relevant Talent- companies should think of training as career development

2) Job Enlargement- doesnt constrain them in particular position. Think for next step.
3) Fostering a culture of management concern- companies must help them develop their
4) Full potential. Rewarding managers- should be awarded for their technical and financial
results
5) Clearly identify the people you want to keep
9. Conclusion:

Attrition in IT sector is one of the buzzing issues. For HR Managers it is a challenge to

deal with. Employees have to be retained by providing them stress busters, growth
opportunities, fair treatment and deserved recognition. Salary has been a secondary choice for
employees, what matters for them is a place that keeps up their interest and growth in balance
with work and objectives, goals of the organization.

Hence it is concluded that the company should take steps to reduce attrition and
motivate employee who will lead to retention of employees.

10. References:

1) Talent attrition & Retention Centre for Socio-Eco-Nomic development (2014)

2) WWW.Csend.Org
3) The international journal of business & management.
4) Increasing @ of employee attrition in BPO companies
5) WWW.borjournals.com
6) A study on retention variables influencing employee attrition for IT units-IJMR(2015)
7) WWW.ijmr.net.in
8) An analytical study on factors affecting employee attrition & retention in IT industry in the
context of Herzbergs Hygiene & motivational factors (2016)
9) WWW.borjournals.com
10) A study on employee attrition and retention in manufacturing industries.

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IJEMR February 2017 - Vol 7 Issue 02 - Online - ISSN 22492585 Print - ISSN 2249-8672

11) WWW.buimsr.com publications

12) A study on reasons of attrition and strategies for employee retention( 2015)-IJERA
13) WWW.ijera.com vol 5-issue 12
14) Retention strategy for IT/BPO IJARCSMS
15) WWW.ijarcsms.com vol 1-issue 7
16) Employee attrition & retention in a global competitive scenario-(2013) international journals
17) WWW.impactjournals.us

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