Hr - Exce
State Hr Manager
Hr Professional
Hr Professional
Hr Professional
Poonam Mehra
Human Resources

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Dear Friends,
Thiz Mekala wrkg in a KPO based middle level MNC as Jr. HR Executive.
I would like to discuss about attrition here. Yah atleast 4 to 6 resignation coming in a month. Wat we can do against it. Can any one help me on it.
And i would like to know about the DVI (Deffered Value Incentive).

Hi Mekala,
A DVI is a good step for controlling attrition as a long term solution.
However you could have climate survey done and analyse the attrition reports to have a deeper insight into the real problems.
DVI can be used for retaining key performers and critical resources.
A certain percentage of the CTC (for eg 20-40%)can be allocated as a retention bonus which could be paid to the employee after the completion of every year on a prorated basis.Ideally the management could look at a tenure spread of over 3- 4 years. Key Performers could be given 40% and critical resources can be given 20%.Its not mandatory that every body must be covered under this plan. In many organizations it is a selective process.

Hi Mekala,

I firmly believe that your organization should do ROOT CAUSE ANALYSIS to know the real problem. Attrition is a problem faced by large number of organizations.

Research indicates that 3 types of employees often leave the organization:

1.poor performers performers

3.junior level or entry level people.

In your case the problem is with entry level people. These people leave because:

1.High expectations. That might have been triggered by company communication(such as advertisement) or otherwise.So make sure that you do not overpromise. Tell them the exact nature of work and work conditions even before interview. That will be a win-win solution for both candidates and the company. Candidates who do not like it will wihdraw their candidature and your company can focus only on willing candidates.

2.After the selection process is over concentrate on selected candidates. Now they are your employees. Remember first impression is the best impression. This is also valid for new employees. Have a look at your induction process. Plug any loop holes that might demotivte the new employees. Remember one thing. When a new employee joins an organization he/she is highly motivated but highly inefficient because he/she does not know what to do, how to do . Use his motivation and remove his ineffectiveness through proper communication.

3.Again I strongly recommend the mentoring system. This will facilitate a new employees integration in the organization and the mentor will also provide some psychological cushion.

I hope this proves useful to you and to your organization.

Best of luck.



Hi Mekala, If the huge attrition is from same project, take a look at the immediate reporting lead or Manager. Some time that could be the main reason in some team.
Dear Jay,
Nice of you! Thanks.
According to my survey they are leaving for better prospects. Once a candidate got training / exposure in our civil softwares they have opportunities more out side (Both national & international).
But employees who are here for more than 2 yrs are our core holders.
And can you have any format for the DVI calculation?

Dear Mekala,

Interesting topic since almost all of us are affected by attrition.

Better opportunities is amongst the most common of all answers. Heavier grilling in a friendly environment and would reveal a different answer if you are quick to catch on between the lines. If newer employees with some training have better opportunities then consider the opportunities for those with two years of experience. Wouldn't they have even better opportunities. Honestly, I smell a rat here. Are the older employees making it dificult for the newer ones to stay put because of insecurities that they may have? Or are the older ones trying to create their own little fiefdoms? You may have to keep your eyes and ears open for more information. You may check if some of the newer ones who are leaving are really bright. If that is so, then a finger starts hinting towards insecurity in the older employees. Also try and design an Exit Interview where a person can get caught in different questions if he is fudging. Who takes the Exit Interview in your company? How long does it last? When I conducted Exit Interviews, each one would last at least 45 minutes to an hour. The information may not always have been new but it at least confirmed things we knew or rapped us for not correcting what we knew was wrong.

All the best



Dear Mekala,
I ve encountered such problem especially with the new entrants in our firm. On further analysis it was found that the Recruitment process itself was the cause of such problem. If you could make sure that the communication with respect to the Job, its responsibilities and role are made clear to the prospective employee (Especially the entry level ) this can be avoided. Hense i would surely want you to take at look at the recruitment process followed in yoyr firm.

Retention Plans to be introduced in any organization if the turnover is more.
Please refer to the fantastic article in "The Hindu" newspaper yesterday in Careers sheet. It is very helpful to one and all who are handling HR.
Thank you.

Dear Deb,
Can you please help me out by explaing more about DVI and how can i implement in my organisation, as we have a very new firm establishing, but we have started facing attrition............
awaiting your inputs.

Hi Rakhi,

Boy, are we travelling - from DVI to Exit Interviews!

Here is a format I got from the net. It belongs to an export house. This should give you an idea of what to ask. The important aspect is HOW to ask so as to get the employee to open up. Criticism should be expected. Do not get emotionally involved, just note down what is being spoken in point form. Be able to separate the normal bickering from the serious issues. Ask the employee very clearly if s/he has any objection to sharing the information with the MD/CMD etc. Disarm the employee totally. In some cases I have had the interview at Baristta. You'll be surprised at the ease with which the employee starts speaking in such a casual environment. I normally start off with talking about his/her family, the future career plans, professional aims and plans how to achieve them, offer small tips and they ask for more.... the fish start biting! But you should have been able to create a professional rapport at work so that they have some faith/trust in you.



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