Matakuliah : J0124/Manajemen Sumber Daya Manusia Tahun : 2007/2008 MODUL 21 Individual Performance and Retention LEARNING OBJECTIVES After studying this chapter, the students should be able to : • Discuss how motivation is linked to individual performance • Identify the changing nature of the psychological contract • List the 5 major retentions, determinants and Identify activities related to them • Outline the retention management process and hor to measure and assess turn over Bina Nusantara OUTLINE • • • • • • Bina Nusantara Individual employee performance Psychological contract Job satisfaction and organizational commitment Retention of human resources Retention determinants Retention management process INDIVIDUAL EMPLOYEE PERFORMANCE Effort Expended : • Motivation • Work ethic • Attandance • Job design Individual Performance (including quantity and quality) Individual Ability : Organizational Support : • Talents • Training and development • Interests • Equipment and technology • Personality factors • Performance standards • Management and co-worker Bina Nusantara INDIVIDUAL / ORGANIZATIONAL RELATIONSHIP • Psychological contract : – The changing psychological contract – Economic changes – Generational differences • Loyalty Bina Nusantara JOB SATISFACTION & ORGANIZATIONAL COMMITMENT • Absenteeism : – Type of absenteeism – Measuring absenteeism – Controlling absenteeism • Turn over – Type of turn over Bina Nusantara RETENTION OF HUMAN RESOURCES • Importance of retention – Retention as management concern – Retention officer • Why people stay or leave Bina Nusantara RETENTION DETERMINANTS • Organizational components – Organizational culture and value – Organizational strategies, opportunities, and management – Job continuity and security • Organizational career opportunities – Career development – Career planning Bina Nusantara • Rewards and retention – Competitive benefit – Special benefit – Performance and compensation – Recognition • Job design and work – Work flexibility – Work/life balancing • Employee relationship Bina Nusantara RETENTION MANAGEMENT PROCESS • Retention measurement and assessment – Measuring turn over – Cost of turn over – Employee surveys – Exit interview Bina Nusantara • Retention intervention – Recruiting process – Selection process – Orientation and training – Compensation – Career development and planning – Employee relation • Evaluation and follow up Bina Nusantara CLOSING • There are components of individual performance • Motivation deals with needs and desires of human behaviour • Psychological contratcs are changing along with employee loyalty to their employers • The interaction of individuals and their job affects both job satisfaction and organizational commitments Bina Nusantara • Retention of employees is a major focus of human resource efforts in organization • Turn over should be measured and its cost determined • HR intervention to reduce turn over can include a number of different HR activities Bina Nusantara