University No: 13629858

The London Experience Plc. Case Study: Employee Retention and Turnover

Contents

The Background .............................................................................................................................. 2 1. Analyse the Turnover .................................................................................................................. 2 2. Implement Employee Attitude Surveys ...................................................................................... 5 3. Provide Opportunities for Development ..................................................................................... 5 4. Question the Reward ................................................................................................................... 8 5. Review the Recruitment and Selection ....................................................................................... 8 Summary of recommendations ...................................................................................................... 10 References ..................................................................................................................................... 12 Appendix Employee Survey....................................................................................................... 16

University No. 13629858 The Background The vision of the London Experience plc is to Consistently deliver memorable experience to all customers. However, our capacity to deliver our mission is undermined by the problems we are currently experiencing: The organization has severe issues in terms of the customer satisfaction indicating that excellent customer service is not being consistently delivered. Its consistence is affected by the high turnover amongst the front-line temporary staff and the level of their competencies. According to company surveys, the customers are complaining about the communication difficulties, poor service and lack of knowledge about the attractions. Next, there are signs that the continuous improvement and innovation are not being a common practice. The company was criticized by the local TV about unsuitability of an attraction for small children. Is the staff motivated enough to solve problems before they become public? Are the temporary employees competent enough to be able to come up with improvements/innovations? Finally, our profitability is decreasing. The drop in revenues is deeper than it is for other attractions in the UK. The major paid attractions in the UK have on average a 4% drop in visits between 2009/2010 and 18 out of top 20 free attractions in London had a positive growth (BDRC Continental, 2011, p44). Therefore, the drop in the companys revenues is not only explainable by the economic downturn, but there are other determinants, such as the drop in customer satisfaction. What more, the high turnover constitutes a significant cost to the company. All these issues are directly linked to the high turnover amongst the temporary staff and their resourcing. In the next sections, we will introduce several recommendations aiming to tackle these issues. The recommendations seek to create synergies amongst different HRM functions and their aim is to enhance our ability to consistently deliver memorable experiences to clients. 1. Analyse the Turnover The 5% turnover amongst the permanent employees is low compared with UK median of 13.5% (CIPD, 2011b, p3) and with tourist attractions turnover average of 10% (Peolpe 1st, 2011, p1). Therefore, we do not consider there is a problem with high turnover rate. 2

University No. 13629858 Nevertheless, there may be room for improvement in terms of talent management which is way beyond the scope of this report. In the case of temporary employees, the 200% rate turnover is exceptionally high even comparing with the whole leisure and tourism sector average of 31% (Peolpe 1st, 2011, p1). However, it may be more appropriate benchmark our turnover with the fast-food companies, where the turnover average is 150%, according to People Management (2002). For instance, McDonalds had a 400% turnover in 2006 (Personnel Today, 2006), at Pontins holiday almost 320% (Investors in People, 2011c) at Pret a Manger, it was 98% in 2002 (People Management, 2002). One may argue that high turnover is normal in these industries, however, all these companies undertook steps to reduce it. Their aims were to reduce costs of recruitment and training and to retain talented employees in order to improve the quality of service. We should further analyse the turnover data amongst different groups of temporary staff (Taylor, 2010) to see if the problem affects only certain parts of our company, particular positions or particular age groups so we could then better tailor our solution. It is also advisable to analyse the proportion of voluntary/involuntary turnover (Phillips and Connell, 2003) and their trends over a period of several years. Next, we recommend to estimate costs of temporary employees turnover (Phillips and Connell, 2003), to see its impact on our bottom line. CIPD research reports the costs of turnover at a service role is 3,723 (2009, p11). If we adapt CIPD data to our situation, our temporary employee turnover costs would be 2,233,800. Nevertheless, the CIPD (2009) data represent an average of a very small sample of firms so it is more appropriate to make our own estimation. Therefore, we have made a rough estimate see Table 1. As we can see the turnover cost of our company is in total about 0.5 mil every year. However, we have not yet included the human capital costs, such as experience, know-how and competencies of the individuals. These indirect costs also affect our competitiveness.

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Table 1 THE ESTIMATED COSTS OF TEMPORARY EMPLOYEES TURNOVER
Cost category Employee Involved Hourly Rate No of Hours Other Costs Total per Employee Exact data or correct estimates can be obtained from:

1) Exit Costs Cost of terminating in employee's time Cost of administrative functions related to termination Separation Pay 2) Vacancy Costs Cost of additional overtime Wages saved due to vacancy 3) Replacement Costs Preemployment administrative expenses Cost of attracting applicants Recruitment Advertisement Cost of entrance interviews Testing costs Contract setting, postemployment information gathering 4) Training Costs Cost of informational literature Half-day induction On-the-job training cost 5) Performance Differential Differential in performance costs/benefits*

Employee

21 20 0

GM Managers

HRM Admin Employee

10 0

2 0

Payroll Admin Payroll Admin

Colleagues

7 -7

16 5

112 -35

GM Managers GM Managers

HRM Admin HR managers or admins

10 15

2 2 0

20 30 0 27 0 15

Recruitment Admin Recruitment Admin Recruitment Admin Payroll Admin, GM Managers Recruitment Manager

GM manager

18

1.5

HRM Admin

10

1.5

Recruitment Manager

0 GM manager Colleagues 18 7 3 24

0 54 168

Recruitment Manager GM Managers GM Managers

Employee

60

420 852 511,200

GM Managers

TOTAL ESTIMATED COST PER TEMPORARY EMPLOYEE TOTAL ESTIMATED COST PER 600 TEMPORARY EMPLOYEES

* Assuming the the employee performs at 50% in the first 2 weeks and the last week, he-she works 8h a day 5 days a week for 7 /h

Adapted from Cascio (1991, cited in Pinkovitz et al., 2006).

University No. 13629858 2. Implement Employee Attitude Surveys Next, we will need to establish the causes of turnover. Recommended way to find out about the causes of the turnover are exit interviews (Phillips and Connell, 2003, Taylor, 2010, Macaffee, 2007). However, Armstrong (2009) argues that more reliance can be placed on the results of attitude or opinion surveys (p505). The survey should be devised in cooperation with the managers to provide a common basis for further action. We may wish to devise our own survey however, we would recommend to use professional services of an independent third party to ensure confidentiality and openness of the employees. The process may be one off or we may decide to make regular employee attitude surveys every 3 or 6 months. Key areas of inquiry are summarised in the Table 2 and a draft of a questionnaire is provided in the Appendix.
1. 2. 3. 4. 5. 6. 7. 8. Work motivation Opportunity to learn skills/knowledge Career development Pay and benefits Intentions to seek for another employment Relationship with managers/supervisors Relationship with colleagues Overall commitment

Table 2 Key areas to include in the survey (Adapted from Phillips and Connell, 2003, p106 and CIPD, 2011c):

When implementing the survey, it is important to ensure a high response rate through advance communication about the purpose of the survey and reminders. When interpreting the data, it is advisable to compare different groups of employees them in order to benchmark them against each other (e.g. comparing permanent with temporary employees, different workplaces or different job positions etc.). (Phillips and Connell, 2003) 3. Provide Opportunities for Development Not having implemented the survey yet, it is probable that two major issues will come out from the results as important: developmental opportunities and reward (e.g. CIPD, 2009, Reed Consulting, 2005). There are two actions that will help to improve the retention of the temporary employees in the field of development. First, it is necessary to create opportunities for development. Many researchers name the lack of developmental opportunities as one of the main reasons for the high turnover in the 5

University No. 13629858 hospitality and tourist industry (Deery and Jago, 2002, Lindsay and McQuaid, 2004, Chikwe, 2009, Lundberg et al., 2009). Chiang et al. (2005, cited in Deery, 2008, p25) suggest that the intention of the workers in tourist industry to stay is positively correlated with obtained training quality. What more, development is crucial for ensuring high levels of service quality (Baum, 2008, Redman et al. 1998, cited in Nickson, 2006, p14). For Rhodri and Long (2001), the main cause of low performance in tourism in East London is expectation and tolerance of low level skills. What more, this also contributes to employee turnover, since the employees tend to move to companies where they feel they are more valued. Furthermore, according to People 1st research, young employees value training and development opportunities more than a pay increase (HR Magazine, 2011). In addition, 60% of all employees in the survey agreed they would stay longer with the company if offered training. There are many companies in our industry that introduced people development strategies and improved their retention and quality of services as well as their reputation, such as Pontins hotels (Investors in People 2011b), Paul UK (Investors in People, 2011d), Enterprise Inns (Investors in People, 2011a), Charlton House Catering (Investors in People, 2011b), McDonalds (Personnel Today, 2006), Welsh Millenium Centre (People Management, 2010), jewellery retailer Signet and holiday company First Choice (People Management, 2004). Therefore, we strongly argue in favour of introducing development opportunities for the temporary workers (career path, improved induction, customer service training, coaching). Most companies consider as most effective learning and development practices on-the-job coaching, in-house development programmes, coaching by the line managers, mentoring, buddying and job rotation (CIPD, 2011a, p8). Since this would be a substantial investment it should be implemented using professional assistance of either an HR consultancy or Investors in People to ensure its quality, coherence with our business strategy and fit to our needs. Around 20,000 UK companies implemented the Investors in People (IiP) standards to improve their HR policies and practices (Johnson et al., cited in Gibb, 2002, p159). The costs and benefits of IiP are summarised in the table 3 below.

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Areas of benefit Rate of return on capital Pre-tax profit margin Average salary Turnover/sales per employee Profit per employee Costs Delivery of the Investors in People Process Pre-Investors support Post-recognition support Overheads per recognition per year 6,058 951 507 2,689 Average company 9.21% 2.54% 12,590 64,912 1,815 IiP accredited company 16.27% 6.91% 14,195 86,625 3,198

Gain 77% 172% 13% 33% 76%

TOTAL

10,205

Table 3 Investors in People Benefits and Costs (Gibb, 2002, pp162-165)

Even if the benefits of implementing the Investors in People standard are evident, we recommend comparing different alternatives of implementing people development. For instance, World Host (2011) and National skills Academy (2011) offer different kinds of trainings tailored for the needs of the tourist industry in line with the National Skills Strategy (People 1st, 2006). HR consultancies may also be an option. The second important measure will be improving job security of temporary staff. One of the reasons why the temporary employees are leaving is the fact that the work is temporary and therefore they do not expect a future in the organisation, since the contracts are signed only for 6 months or less. One of the main causes of employee turnover in tourism according to Chikwe (2006) is the seasonality of jobs. What more, Redman and Matthews (1998, cited in Nickson, 2006, p14) argue that job security is an essential element in ensuring quality of services in tourist industry. The First Choice travel service drastically cut down the turnover amongst its seasonal workers by introducing permanent part-year contracts (People Management, 2004). First Choice staff work only in peak periods and keeps returning to the posts which helps to retain experience and reduce training and recruitment costs. What more, the part-time workers are regularly offered opportunities to work in other posts during the off-peak period.

University No. 13629858 In the case of our company, we recommend to consider introducing permanent part-year contracts, introducing a career path for talented temporary employees to advance (e.g. becoming a team-leader after 3 months) and offering permanent placements to best performing temporary employees. These employees will enlarge our talent pool for the permanent positions and will be having valuable experience from working in our front-line services. 4. Question the Reward Reward policies and procedures may also need to be reviewed. We will only provide short recommendations since this topic is beyond the scope of this brief. Church and Frost (2004) argue that it is the problematic pay and conditions in tourism that to an extent explain high turnover rates, especially in London. Lindsay and McQuaid (2004) and Nickson (2006) argue in favour of sufficient remuneration for entry-level positions and decent work conditions to ensure retention and provide a good level of service. On the other hand, ILO (2001, cited in: Nickson, 2006) states that the main cause of voluntary turnover is low pay but say that lack of career advancement is even more important. As mentioned above, development is considered a crucial element in people retention in our industry by researchers and practitioners. In terms of reward, we recommend these questions to be considered: Does the pay recognize the length of service and gain of competencies amongst the temporary staff? (Wright, 2006) Is the reward perceived as competitive? (Armstrong, 2009). If not, can the organisation supplement the increase by other total reward (Thompson, 2002) elements that could compensate it, such as training and development, career progression (HayGroup, 2001, Towers Perrin, 2007)? 5. Review the Recruitment and Selection If we want to improve our retention and quality of customer service, innovation/improvement, are we taking this into account in the resourcing policies? The recruitment and selection policies need to be revised from this point of view by the HR and perhaps discussed at the top management level. The key competencies have to be established to constitute a basis for recruitment, selection and development (Wood and Payne, 1998). 8

University No. 13629858 For instance, Wales Millenium Centre has introduced a successful retention strategy based on clearly defined competencies, such as: commercial awareness, customer focus, communication, personal drive and leadership that are used for purposes of selection, development and career planning (People Management, 2010). In the case of Enterprise Inns these included integrity, hard work and clarity (Investors in People, 2011). Next step will be reconsidering current the recruitment procedures. For an organisation of our size, it is unusual only to use very basic source of recruitment such as word-of-mouth. It is only considered as very useful by the 9% companies. On the other hand, they find as most effective their own corporate website (77%), local newspaper advertisements (40%) and use of agencies (both 22%) (CIPD, 2011b). All these means can enlarge our pool of applicants and increase the chances of recruiting more skilled and engaged staff (Taylor, 2010). We recommend posting the vacancies on the corporate website along with an application form that would help us sift out unsuitable candidates. It is advisable to consider registering our company with agencies. The costs will be outweighed by the fact that the agencies are more professional in terms of recruitment and they have larger pools of candidates. Moreover, they would pre-select the candidates and only recommend those with suitable profiles. Furthermore, an online application form should be filled in by candidates from whichever source they come. The application form is a cheap and easy means of gathering data and sifting out candidates. It was used, for example, by a jewellery retailer Signet that used it as one part of its development strategy and has seen dramatically fall the turnover rates as well as a improved selection of candidates with higher performance potential (People Management, 2004). The form should include questions about the contacts, previous experience, language skills, qualifications and it would constitute a single integrated source of candidate data for selection. It should also contain 2-3 behavioural questions concerning motivation and competencies to provide input for the interviews and to improve their efficiency. Next, we should review our selection procedures. Typical interviews have half of the predictive potential of structured ones (Taylor, 2010 p219). What more, behavioural competency-based interviews are not only highly recommended by some researchers (Barclay 2001) but also used by 78% of companies (CIPD, 2011a).

University No. 13629858 Furthermore, some firms have found a very effective ways how to improve retention: the trial days. At Pret A Manger they operate a one day job trial focused on competencies for the new candidates where the team is involved in the decisionmaking. The company reduced its turnover by 30% in three years (People Management 2002 and 2005). Similarly, McDonalds that made a significant savings by reducing its turnover by this method (Personnel Today, 2006). One London-based restaurant also reduced its turnover by one or two day trial along with other formalised recruitment procedures (Deery, 2008). We highly recommend the trial day as a selection method since it is similar to assessment centre which has the best reported validity from all of the methods (Taylor, 2010), is it less costly and it ensures fit of the new recruit with the team. As for the practical implementation of the procedures, the managers will need to be well trained in behavioural interviewing (Barclay, 2001), as well as prepared to facilitate the trial days to ensure quality and consistency. At least two day training should be provided by a consultancy. Summary of recommendations 1. The analysis of the turnover is a low cost activity, since it only involves mining the HR data, however, it will provide valuable inputs for decision making. As for the costing, the level of precision and detail depends on our preferences and budget. Most of the companies do not cost their turnover (CIPD, 2009). However, in any level of detail, it is useful to see its impact on our bottom line and to enable us to set targets and monitor progress of implementation of our solutions. 2. Attitude survey will help us identify core areas for improvement from the point of view of employees and better tailor pour solutions. 3. The development strategy and procedures will decrease our turnover costs and help with retaining of talent. Lower turnover and training will lead to improved quality of service and enhance our reputation as an employer which will in turn attract more talented job candidates. 4. We will probably need to review the way we reward the employees. Rewarding for the length of service may be an option. Furthermore, depending on the results of the survey, we may adjust the total reward elements to the preferences of the employees without necessarily increasing the base pay, e.g. by improving training and development. 10

University No. 13629858 5. The new competency framework for the recruitment and selection aligned with our strategy will provide the basis for recruitment, selection and development of the employees to shape the right competencies and behaviours. Quality of service will improve as a result of improved recruitment and selection.

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University No. 13629858 References Armstrong, M., (2009). Armstrong's Hanbook of Human Resource Practice. London: Kogan Page. Barclay, J., (2001). Improving selection interviews with structure: Organisation's use of "behavioural" interviews. Personnel Review. 30 (1), 81-101. [online] Available form Emerald Management Xtra 150 <http://www.emeraldinsight.com> [Accessed on 29 November 2011]. Baum, T., (2008). Implications of hospitality and tourism labour markets for talent management strategies. International Journal of Contemporary Hospitality Management. 20 (7), 720-729, 2008. [online] Available form Emerald Management Xtra 150 <http://www.emeraldinsight.com> [Accessed on 30 November 2011]. BDRC Continental, (2011). Visitor Attractions: Trends in England 2010. [online] Available from: <http://www.visitengland.org/insight-statistics/major-tourismsurveys/attractions/Annual_Survey/index.aspx> [Accesed on 1 December 2011]. Chikwe, A., (2009). The Impact of Employee Turnover: the Case of Leisure, Tourism and Hospitality Industry. Consortium Journal of Hospitality and Tourism. 1 (14) 44-56. [online] Available form: <http://hospitalityhbcu.org/images/CONSORTIUM14-109.pdf#page=43>. Church and Frost, (2004). Tourism, the global city and the labour market in London. Tourism Geographies. 6 (2), 208-228. [online] Available from: Taylor and Francis Online <http://www.tandfonline.com/> [Accesed on 15 December 2011]. CIPD, (2005). People and performance: designing the HR processes for maximum performance delivery. [online] Available form: <http://www.cipd.co.uk/hrresources/practical-tools/hr-processes-performance-delivery.aspx> [Accessed on 10 December 2011]. CIPD, (2009). Recruitment, retention and turnover: Annual Survey Report. [online] Available form: <http://www.cipd.co.uk/hr-resources/survey-reports/recruitment-retention-turnover2009.aspx> [Accessed on 10 December 2011]. CIPD, (2011a). Learning and Talent Development 2011: Survey Report. [online] Available form: <http://www.cipd.co.uk/hr-resources/survey-reports/learning-talent-development2011.aspx> [Accessed on 6 December 2011]. CIPD, (2011b). Resourcing and Talent Planning 2010: Survey Report. [online] Available from: CIPD <http://www.cipd.co.uk/hr-resources/survey-reports/resourcing-talent-planning2011.aspx> [Accessed on: 20 November 2011]. CIPD, (2011c). People and performance: Designing the HR processes for maximum performance delivery. Available from: CIPD < http://www.cipd.co.uk/hr-resources/practicaltools/hr-processes-performance-delivery.aspx> [Accessed on: 15 December 2011].

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University No. 13629858 Coyle-Shapiro, J., Shore, L., Taylor, S., Tetrick, L., (2004). Employment relationship: Examinig psychological contrect and contextual perspectives. Oxford : Oxford University Press. Deery, M. and Jago, L., (2002). The core and the periphery: an examination of the flexible workforce model in the hotel industry. International Journal of Hospitality Management. 21 (4), 339-351. [online] Available from: Science Direct <http://www.sciencedirect.com/ > [Accessed on 10 December 2011]. Deery, M., (2008). Talent management, work- life balance and retention strategies. International Journal of Contemporary Hospitality Management. 20 (7), 792-806. [online] Available from: Emerald Management Xtra 150 <http://www.emeraldinsight.com>. [Accessed on 10 December 2011]. Gibb, S., (2002). Learning and Development. New York: Palgrave MacMillan. HayGroup, (2001). Engage Employees and Boost Performance. [online] Available from: <http://www.haygroup.com/downloads/us/Engaged_Performance_120401.pdf> [Accessed on 15 October 2011]. HR Magazine, (2011). Generation y staff call for more training opportunities in lieu of a pay rise, survey of 2,000 shows. [online] 29 November 2011. Available from: <http://www.hrmagazine.co.uk/hro/news/1020503/generation-staff-training-opportunitieslieu-pay-rise-survey> [Accessed on 2 December 2011]. Investors in People, (2011a). Case Studies: Enterprise Inns. [online] Available from: <http://www.investorsinpeople.co.uk/MediaResearch/CaseStudy/Pages/CaseStudyDetails.asp x?CSID=282> [Accessed on 20 November 2011]. Investors in People, (2011b). Case Studies: Charlton House Catering. [online] Available from:<http://www.investorsinpeople.co.uk/MediaResearch/CaseStudy/Pages/CaseStudyDetail s.aspx?CSID=231> [Accessed on 16 December 2011]. Investors in People, (2011d). Case Studies: PAUL UK. [online] Available from: <http://www.investorsinpeople.co.uk/MediaResearch/CaseStudy/Pages/CaseStudyDetails.asp x?CSID=238> [Accessed on 16 December 2011]. Investors in People, (2011c). Case Studies: Pontins. [online] Available from: <http://www.investorsinpeople.co.uk/MediaResearch/CaseStudy/Pages/CaseStudyDetails.asp x?CSID=122> [Accessed on 30 November 2011]. Lindsay, C. and McQuaid, R., (2004). Avoiding the McJobs: Unemployed Job Seekers and Attitudes to Service Work. Work, Employment & Society. 18 (2), 297-319. [online] Available from: Sage Journals Online <http://wes.sagepub.com>. [Accessed on 10 December 2011].

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University No. 13629858 Lundberg, Ch., Gudmundson, A., Andersson, T., (2009). Herzberg's Two-Factor Theory of work motivation tested empirically on seasonal workers in hospitality and tourism. Tourism Management. 30 (6), 890-899. [online] Available from: Science Direct <http://www.sciencedirect.com>. [Accessed on 10 December 2011]. Macaffee, M., (2007). How to conduct exit interviews. People Management. 12 July 2007. [online] Available from: <http://www.peoplemanagement.co.uk/pm/articles/2007/07/howtoconductexitinterviews.htm > [Accessed on 30 November 2011]. National Skills Academy, (2011). Customer Service. [online] Available from: <http://www.excellencefound.co.uk/Programmes/Programme-Detail.aspx?fdProgId=22> [Accessed on 16 December 2011]. Nickson, D., (2006). Human Resource Management and the Tourism and Hospitality Industry: Chapter 1. London : Butterworth Heinemann. [online] Available form: <www.arltlectures.com/nickson1.pdf> [Accessed on 28 November 2011]. People 1st, (2006). National Skills Strategy Launched in England. [Online] 2006. http://www.people1st.co.uk/news-and-views/news/national-skills-strategy-launched-inengland. [Accessed on 16 December 2011]. People 1st, (2011). Visitor Attractions. [online] Available form: <http://www.people1st.co.uk/research/industry-profiles> [Accessed on 30 November 2011]. People Management, (2002). At the cutting edge. [online] 15 May 2002. Available form: <http://www.peoplemanagement.co.uk/pm/articles/2002/05/6749.htm> [Accessed on 12 December 2011]. People Management, (2004). Laws of attraction. [online] 16 June 2004. Available form: <http://www.peoplemanagement.co.uk/pm/articles/2004/06/LawsOfAttraction.htm> [Accessed on 15 November 2011]. People Management, (2005). Pret eats into high levels of staff turnover. [online] 13 July 2005. Available form: <http://www.peoplemanagement.co.uk/pm/articles/2005/07/preteatsintohighlevelsofturnover. htm> [Accessed on 6 December 2011]. People Management, (2010). Jeremy Ashdown. [online] 20 May 2010. Available form: <http://www.peoplemanagement.co.uk/pm/articles/2010/05/jeremy-ashdown.htm> [Accessed on 6 December 2011]. Personnel Today. (2006). McDonald's saves 1.2m with recruitment overhaul. [online] 10 January 2006. Available from: <http://www.personneltoday.com/articles/2006/01/10/33317/mcdonalds-saves-1.2m-withrecruitment-overhaul.html> [Accessed on 15 December 2011]. Phillips, J. and Connell, A., (2003). Managing Employee Retention: Strategic Accountability Approach. Burlington, MA: Elsevier, 2003. 14

University No. 13629858 Pinkovitz, W., Moskal, J., Green, G., (2006). How Much Does Your Employee Turnover Cost? [online] Available form: <http://www.uwex.edu/ces/cced/economies/turn.cfm> [Accessed on 1 December 2011]. Reed Consulting, (2005). Employee Attrition: Causes, Effects and Retention Strategies. [online] Available form: <http://www.reedpressoffice.co.uk/reportsArticle/Employee+Attrition+'3E+Causes'2C+Effect s+and+Retention+Strategies/> [Accessed on 6 December 2011]. Rhodri, T. and Long, J., (2001). Tourism and economic regeneration: the role of skills development. International Journal of Tourism Research. 3 (3), 229-240. [online] Available from: Wiley Online Library <http://onlinelibrary.wiley.com> [Accessed on 6 December 2011]. Roberts, G., (2000). Recruitment and selection: A competency approach. Second. London: CIPD, 2000. Taylor, S., (2010). Resourcing and Talent Management. London: CIPD, 2010. Thompson, P., (2002). Total Reward. London : CIPD, 2002. Towers Perrin, (2007). Using Total Rewards to Build an Effective Employee Value Proposition. [Online] Available from: <http://www.towersperrin.com/tp/getwebcachedoc?webc=HRS/USA/2007/200710/TRE_Emp loyee_Value_1004.pdf.> [Accessed on 18 October 2011]. Wood, R. and Payne, T., (1998). Competency based recruitment and selection. Chichester: Wiley. World Host, (2011). Our Programmes. [online] Available from: <http://www.worldhost.uk.com/> [Accessed on 6 December 2011]. Wright, A. 2006. Reward Management in Context. London : CIPD, 2006.

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University No. 13629858 Appendix Employee Survey Main topics to include with sample questions (Adapted from Phillips and Connell, 2003, p106 and CIPD, 2011c): 1. Work motivation Do you have a clear understanding of your job responsibilities? To what extent do you agree with the following statements?

(Definitely Not sure Definitely not) (Strongly agree Agree Disagree Strongly disagree) My job requires me to work very hard I never seem to have enough time to get my job done I feel my job is secure My job generally provides positive challenges In general, how much influence do you have over your work goals or objectives? (A lot Some A little None) In general, how much influence do you have over how you carry out your work? (A lot A little Dont know Some None) How satisfied are you with the amount of influence you have over your job? (Very satisfied Fairly satisfied Not very satisfied Not at all satisfied) How motivated do you feel to do a good job in your current role? (Very motivated Fairly motivated Not very motivated Not at all motivated) How often do you feel you achieve a satisfactory balance between the demands of your job and your domestic life? (Always Usually Rarely Never) Do you clearly understand the basis on which your performance is judged? (Yes No Not sure) Which aspects of your performance do you think are most valued by your team leader/manager and which do you think should be most valued? (Please tick NO MORE THAN two boxes in each column) (Currently most valued Achieving targets Customer service Coming up with improvements Good ideas Complying to the health and security regulations Developing skills Working long hours Cost savings Not making mistakes Experience Should be most valued )

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University No. 13629858 2. Opportunity to learn skills/knowledge In general, how good do you think the organisation is at training its employees?

(Very good Fairly good Fairly poor Very poor) In general, how satisfied are you with the training you have received in the organisation? (Very satisfied Fairly satisfied Not very satisfied Not at all satisfied) How good do you think the organisation is at providing the following? (Very good Fairly good Fairly poor Very poor Do not know) Induction training Personal development Technical/professional skills training Management development Team development How often do you discuss your training and development needs with your team leader or line manager? (Very often Fairly often Not very often (at least monthly) (at least quarterly) (annually or less) Never) Does your team leader/line manager provide coaching or guidance to help improve your performance? (Yes, frequently Yes, occasionally Yes, but rarely No, never) 3. Career development

Are you interested in developing your career beyond your current job? (Yes No Not sure) Do you perceive there are career opportunities for you to progress in the organisation? (Very satisfied Fairly satisfied Not at all satisfied Dont know) 4. Pay and benefits

In general, how fairly do you think you are paid compared with other employees in the organisation? (Very fairly Quite fairly Not very fairly Not at all fairly) How fairly do you think you are paid compared with equivalent employees in other organisations? (Very fairly Quite fairly Not very fairly Not at all fairly) How would you rate your employer in the following areas? Basic pay Bonus payment Personal recognition Flexible working Holiday entitlement Pensions Staff benefits 17 (Very good Fairly good Fairly poor Very poor)

University No. 13629858 In the organisation, do you think that people who do a good job are generally rewarded more than those who dont? (Yes No Dont know) In your own work area, do you think that people who do a good job are generally rewarded more than those who dont? (Yes No Dont know) 5. Intentions to seek for another employment How long do you think you will stay with the organisation? Are you currently looking for another job?

(More than 2 years, 1-2 years, 6 months, 3 months, less than 3 months) (Yes, No, Not sure) 6. Relationship with managers/supervisors

In general, how effective do you think managers/supervisors are in your organisation? (Very effective Fairly effective Fairly ineffective Very ineffective) Overall, how effective do you think your own manager/team leader is? In general, how good is your immediate manager/team leader at the following? Telling you about plans for your own workgroup Encouraging you to express your views Responding to your views Telling you when you do things well Telling you when you do things badly Helping you to improve your performance Helping you to overcome problems Providing clear direction Trusting you to get on with your work Encouraging you to try out new ideas Delegating responsibility to you Taking responsibility when necessary Representing your interests to other managers Treating people in your team fairly (Very effective Fairly effective Fairly ineffective Very ineffective) (Very Fairly Fairly Very good good poor poor)

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University No. 13629858 7. Relationship with colleagues

In your daily work activities, how often are you part of a team that works closely together? (Always Fairly often Occasionally Never) Approximately how many people are usually in the team? More than 15 510 1015 Fewer than 5 N/A How would you rate your teams overall performance in the following areas? (Very Fairly Fairly Very effective effective ineffective ineffective N/A) Mutual support Mutual sharing of knowledgeor information Achieving team goals or targets Helping individual team members solve problems Introducing new team members Working with other teams or individuals 8. Commitment

Overall, how good is your organisation as a place to work? (Very good Fairly good Fairly poor Very poor) To what extent do you agree with the following statements? (Strongly Strongly agree Agree Disagree disagree) I feel proud to tell people who I work for I feel loyal to the organisation I feel loyal to my team/workgroup I believe this organisation has a clear vision and sense of direction I understand the values of the organisation I share the values of the organisation What do you think are the best and worst things about working in your organisation? (Please tick NO MORE THAN two boxes in each column) Your colleagues Your manager Job satisfaction Working hours Pay levels Employee benefits Job security Management style Variety of work Career prospects Working conditions

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