SNA on AP Company:

Improve the level of employee retention rate, satisfaction and loyalty

(This scenario is for problem existing in reality. The company name is fictitious . And it is developed for Social Network Analysis to identify the interviewee. The final result may lead to some organizational change if involved.
But this SNA is not intended to serve as sources of primary data)
By Ailing Xia- Exchange Program of Lanzhou University(China) and HHL

Background:

AP China manufactures and provides raw material for food company and is a startup in Chinese southern area with huge potential market.

With 7 years’ growing, AP's products have been gradually promoted. The profit and growth rate annually are around 8%,which beyond the average rate of 5% among the same industry.

But within the latest 3 years, HR department complains more and more about the stability of employees. AP has extremely higher staff turnover rate at 18.5% and average retention period is just 1.4 years.

Reasons for SNA:

High staff turnover is both expensive and disruptive to the business. Money and time spent on recruiting and training new staff could be put to better use expanding the company. If the reasons behind the workers' desertion found, AP can figure out how to use some of the funds it is wasting on high churn rate to keep hold of staff.

Hypothesis:

It is hypothesized that network analysis of AP company will reveal certain aspects on high staff turnover and display the organizations that act as brokers/bottlenecks of information and management. Through corresponding measures and adjustment, the aim is to improve employ satisfaction, loyalty and sequential employ retention rate.

What data/Attributes needed:

1. General Personal information: such as gender, education, working experience, position level, possible dismission reason ,etc.

2. Working environment: such as company culture, physical working conditions, coworker relationship and communication ,etc.

3. Welfare and well-being: such as salary, vacation, overtime work, rewards and punishments,etc.

4. Management aspects: such as equally treatment, training opportunity, information transfer channel,etc.

What will be the most important network measures?

1.SNA should be executed by independent consultancy for reliable data and strategical decision-making information.

2.The survey is on anonymous basis.The propaganda and preparation before survey are more important for smooth execution and cooperation.The data collected should be kept confidentially and only for SN analysis purpose.

3.The ongoing feedback and improvement is vital for continuous effectiveness of SNA and management updating.



Following article by Michael Roennevig, from www.ehow.com are supplementary information about instruction on successful survey and analysis:

1 Draw up a questionnaire for the current staff members. Ask them how they feel about working for you and your business. You can do this by asking them to rate factors such as pay, benefits, culture, training, inclusion, diversity and scope for advancement on a scale of 1 to 10. Conduct the survey on an anonymous basis to ensure your staff feel comfortable giving their honest feedback. You also should design a job exit interview for workers that leave your employ.

2 Review the results of the survey. Look for patterns in the way people responded to your questions. If the survey showed that a high proportion of your staff were dissatisfied with their wages but were generally happy across other areas, the root of your problem will clearly lie in remuneration. If you find that leavers who complete your job exit interview are consistently quoting a lack of training and no opportunity for advancement as their reason for quitting, it should be clear that people don't see a future working for your company.

3 Consult the staff on how their working environment and jobs in general could be improved. Again, it would be wise to do this on an anonymous basis, so you can attract as many honest answers as possible. Consider asking your staff to appoint a committee that can meet with senior management to raise any serious issues or problems that may be contributing to your high turnover rate.

4 Use the information you've collected to make changes in the way your company operates. If your workers are unhappy with their wages and you're paying below the market rate, consider raising their salaries. Although you'll be paying your staff more, you'll save money on recruitment and training if fewer of them leave their jobs. If training and advancement is an issue, pay for your staff to attend college on a day-release basis to learn new skills that are relevant to the work they do. If long hours are a problem, look at introducing flexible working options.

5 Solicit feedback from your staff at regular intervals. Continue to monitor feedback from any exit interviews, and carry out a staff survey every six months. Also, meet with staff representatives to discuss how the changes you're introducing are going down.