Retention Policies in Indian

IT Industry

Presented by:
Rudrani Angira FPM/07/02
Anupriya
PGP/17/258
Kunal Hande PGP/17/272
Mohommed Shajeer PGP/17/277
Nabeel Ahmed PGP/17/278
Anshul Nagdive
PGP/17/279

Agenda
Objective and Research Questions
Literature Review
Methodology
Data Analysis
Results and Discussion
Conclusion and Limitations

Objective of the Study

To study the effect of hygiene factors

i.e. factors which are organization
specific and are majorly effected by
norms , policies, regulations and
culture on the employee retention

Research Questions
What are the key variables influencing
employee retention in Indian IT
companies?
What are the experiences of IT
employees about the variables
influencing employee retention?
To what extent, experience of employees
about above variables convergent with
their expectations?

Literature Review
According to Kehr (2004), retention factors of employees can be
divided into 3 variables: Power, Achievement and Affiliation.
A study conducted on IT employees concluded that Company
policy and administration, relationship with superior, personal
life, relationship with subordinates, responsibility and motivation
are the influential factors.
Attrition in the Indian IT industry can be tackled using a multilevel approach like Maslows Hierarchy of Needs.

Methodology
Online Survey- 31
Questions,143
Responses
Focus group
discussion
Variables
defined from
Literature
Survey

Hygiene Factors

Personal Factors

Performance Evaluation System

Relationship with superiors
Work environment
Salary
Relationship with peers
Personal Life
Job satisfaction and Performance

Age
Gender
Annual Income
Number of dependents

Data Analysis
Test of Reliability: Cronbach's alpha is an index of reliability

Chi square test: Association between environmental factors and

personal factors

Binary Logistic Regression: Influence of hygiene factors on

likelihood of quitting the organisation

Results
Croncbach's alpha for the factors have been found to be greater than 0.7
Significant association between Annual Income and Relationship with
Peers
Also, significant association between Annual Income and Personal Life
Relationship with Peers has a significant relationship with the likelihood of
quitting the organization
Binary Logistic Regression:
Y(Likelihood of quitting)
{ 0 , if no switch= - .126 (Relationship with peers)
1, otherwise}
Interpreted :Relationship With Peers increases by 1 then the likelihood
of quitting reduces by a factor of .126

Conclusions

Companies should focus more on team cohesiveness

Companies focus more on promoting peer
relationship

Limitations
The data set is biased as the maximum respondents
- Are from age group 20-25
- Have dependents 2 , there is just one respondent who has five
dependents and his response is different from the data pattern
in data set .
- Have annual income in bracket of 5-10 lacs
Most of the respondents are either in the exploration stage or
in the establishment stage which is a period of career
instability

References

1) HRM Practice on the Retention of Employees of Information

Technology , 2012 , INTERNATIONAL JOURNAL OF SCIENTIFIC
RESEARCH
2) Attrition, HRM Review, the ICFAI university press, March.2008,
vol. VIII, Issue III
3)Five Attrition Factors and What You Can Do About Them , National
Society of Professional Engineers , 2008
4) ANALYZING CAUSES OF ATTRITION RATE AND GIVING THE
SOLUTION THROUGH MASLOWs HIERARCHY OF NEED IN BPO
INDUSTRY , Dept. of Management, Rajiv Gandhi College , Bhopal
(M.P),INDIA

Thank You