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A critical review of employee turnover model (19382009) and development in perspective of performance (2010)
Venue: | African Journal of Business Management |
Citations: | 4 - 0 self |
BibTeX
@ARTICLE{Weibo10acritical,
author = {Zheng Weibo and Sharan Kaur and Tao Zhi},
title = {A critical review of employee turnover model (19382009) and development in perspective of performance},
journal = {African Journal of Business Management},
year = {2010},
pages = {4146--4158}
}
OpenURL
Abstract
Retaining employees remains a primary concern for many organizations during days of intellectual property, for intellectual capital has become a critical component of wealth creation. This paper provides a theoretical overview of the different periods of motives and domains or targets of employee retention/ turnover and highlights the performing importance from the platform of social capital in research. The objective of this study is to present literature on the complex relationship between individual performance characters and withdraw tendency based on Social Capital Theory. It is generally revealed that in the traditional attitude turnover model the process of employees' volunteer turnover is the reversed transformation process of employees' retention psychology and behaviours, mainly consisting of four sectors (Lee and Mitchell, 1999): first is the quit process caused by job dissatisfaction; then, employees' search for substitutable jobs before turnover; is evaluation on such substitutable jobs; and result is occurrence of turnover behaviour. Finally, an integrative model of the relationship is proposed which argues that performance character may lead to withdraw tendency even turnover behavior through four different routes with the introduction of the Job-Coupling variable. The practical implication of the proposed model for practitioners and researchers encourage further discussion and suggestions. Key words: Job performance, withdraw tendency, retention, job coupling, social capital. INTRODUCTION In Human Resource (HR) research and practice, employee retention or turnover, involves the question of organization employee movement. Research in this area by the mainstream Organizational Behavior School has evolved to the research of factors affecting employee turnover. The positive or negative influences from these factors may either result in employee retention or turnover In the research on employee retention, voluntary turnover attracts attention, because employee movement such as recruitment (exterior inflow), personnel allocation, *Corresponding author. E-mail: hitzwb@yahoo.com.cn. Tel: +0086-0311-87655561. position adjustment (internal inflow), job displacement and "disemployment" (involuntary turnover) are all controlled by the organization. However, the loss of employees who have relatively high human capital value who choose to leave an organization can cause serious loss and difficulty, especially when the turnover numbers are on the rise Studies on the voluntary turnover model have attracted much attention amongst academic and practitioners for a long time, making voluntary turnover of knowledge and management talents two major research dimensions This study centers on the main achievement of scholars regarding talent retention, the process of developing a retention model, and the relative perfor-mance level of leavers and non-leavers. This study also explores the contextual factors affecting organization performance and individual withdrawal decision-making as well as organization performance. PURPOSE OF THIS STUDY The main research of the modern mainstream school comprise the factors affecting the core employee's retention or turnover in academic research may comprise of building the construction concept, putting it forward, verifying related assumptions and refining the analysis model based on correlated theories and experiences. For an organization's human resource management, this kind of research pattern could be useful for talent retention, because it reveals comprehensive determining factors, helping managers analyze and diagnose the organization's core employee movement Therefore, the objective of this study is to review and evaluate the works of scholars and chart a clear roadmap through research in core employee retention. The main content of this study focus on this complexity, and proposes a more effective mediated-route retention model based on the social capital theory in following contexts. Social capital may be defined as the trust (standard), relation, value sharing and behaviour mode, network, cooperation, common commitments and understanding between the organization and the individuals, as well as the sharing income of the intangible asset value with increment will obtain (Nahapiet and Ghoshal, 1998). PERSPECTIVE OF CURRENT THEORIES In view of the research model development of the related organizational talent retention or turnover formation in the developed countries, its origins go back almost 50 year. The content was abundant, the view was diversified stepby-step, and the research was advanced unceasingly, forming "the academic mainstream turnover theory", and most of scholars follow the direction in this area In general, these research models may be divided into the "Classification employee retention/turnover process model" and the "New developed multi-routes model". Traditional and classic turnover intermediary variable "Job attitude" is caused directly by "Job satisfaction" and "Organizational commitment". The multi-routes model Zheng et al. 4147 has been constructed according to the "New turnover theory" and be explained based on the various specific influencing factors since the 1990s, and the evolutionary direction of the guiding ideology for constructing these research models Therefore, the developed model may demonstrate an adaptable situation whereby different period features put the accent on knowledge economy development, especially the job coupling model by The practical verification of the job coupling model may reveal the performance factors of the organization included by the employee job coupled, this may possibly be the link or process which connects employee organizational behaviour decision-making and withdraw behaviour decision-making at the concept and the experience of the organization. In other words, the job coupling variables may not only be predetermined variables causing the employee to stay or leave, but also strong variables affecting the employee's performance . The "job coupling" analysis pattern may also be advantageous for developing one worthy widening domain for understanding the organization talent retention question in view of the social capital coupling of the organization performance in the empirical verification study PROBLEM STATEMENT AND MOTIVATION March and Simon (1958) divided employees' decisionmaking behaviors into individual's "Decisions to Perform" organizational activities and "Decisions to Participate" in organizations. However, this model lacks sufficient demonstrative and empirical validity. In addition, the simple relationship between two variables is lost in many unimportant variables. Therefore, it is necessary to cover key variables into one model for discussion so that the function of every variable can be evaluated adequately based on the performance platform. This has opened up extensive research routes for some scholars REVIEW OF RELATED CONCEPTIONS In view of human resources management and organizational behaviour, the classical employees' turnover is the rotation of employees around the labour market between firms, jobs and occupations, and between the states of employment and unemployment Frequently, managers refer to turnover as the entire process associated with filling a vacancy: each time a position is vacated, either voluntarily or involuntarily, a new employee may be hired and trained. This term is also often utilized in efforts to measure relationships of employees in an organization as they leave, regardless of reason. Because people have paid more attention to employee voluntary turnover or loss influencing organization in treatment of staff movement, the organization employee turnover defined by The narrowed meaning and serviceability on the organization employee voluntary turnover concept defined by Mobley may become the foundation for most organizational turnover studies For voluntary turnover, a conception often used, is the voluntary "Turnover Intent", whose connotation generally may be involved with the individual work selection opportunities and job-hunting behaviours, but may lack the direct connection with staff performance, and was considered as the most direct independent variable to employee turnover behaviour, and also the dependent variable of numerous predetermined variables which affect employee voluntary turnover factors However, Harnish and Hulin (1991) started the variation processes from employee organization performance to turnover behaviour, which may be extended to performance decision-making. They considered that the withdraw organization tendency may contain the processes from employee organization performance lowering (for example, worsening relation and deterioration of organization performance, absence from duty etc,) to the final turnover decision-making. Therefore, this behaviour acts as the foundation of the research path on the relationship between employee performance and voluntary turnover behaviour. For simplicity and to easily analyze the effect of talents' performance and withdraw tendency, the dependent variable "withdraw tendency" is used as equivalent to voluntary turnover in this paper. EVOLUTION OF TURNOVER MODEL The primary period of turnover thinking Generally, there were primary study in organizational employee's movement from view of macroscopically economic at the beginning of the 20th century, for searching the factors influencing employees' turnover, such as salary, common training, labour market structure, and job opportunities, and their achievements have laid the foundation for later construction of organizational employees' retention/ turnover theory In terms of the integrative theory concerning management of employees' retention/ turnover, as early as Barnard (1938 The job-attitude period Since the 1950s, with the rapid development of the western economy after post-war rebuilding, swiftly increasing management cost, such as the costs of control, replacement, and training from organizational employees' retention or turnover accompany lower unemployment rate. Promoting scholars and managers to embark on systematic research on employee movement in which empirical research became the mainstream in this field. From establishment and evolution of research model on organizational employees' turnover, it is generally believed that the source during this period is combination of the developed organizational equilibrium theory in the classic work "Organization" of In their work, March and Simon divided employees' decision-making behaviors into individual's "Decisions to Perform" and "Decisions to Participate". Then put forward the earliest overall model about employees' voluntary turnover, the so-called model of "Decision to Participate". March and Simon were the earliest figures who tried to integrate labor market and individual behaviors for investigating and studying employees' turnover behaviors. Their outstanding contributions lie in the introduction of labor market and behavior variables into the research on turnover process of employees from organizations, laying a theoretical foundation for later research on employee turnover. The Organizational Equilibrium Theory indicates clearly that the movement desirability and perceived mobility by employees are the most important theoretical precursor variables for their turnover behavior. The Classic School with the idea of the "Job attitude model" in the last 60 years took the main position in classic mainstream research. This is based on job attitude and oriented at the construction element of organizational commitment from the concept of movement desirability perceived by individuals. In the classic model, the ease of apperceived mobility by individuals is understood as selectable job opportunities or actual unemployment rate perceived by individuals, and is constructed as an external influencing factor which acts directly on employees' withdraw tendency or turnover behavior in the traditional research model based on job attitude Classic turnover models based on job attitude are constructed on the basis of a psychological process. It puts research focus on the mutual relations of employees' turnover behavior, including job satisfaction, organizational Griffith Hausknecht In conclusion, it is generally believed that in the traditional attitude turnover model the process of employees' volunteer turnover (including the turnover intention and behaviour of turnover) is the reversed transformation process of employees' retention psychology and behaviours, mainly consisting of four sectors