Employee Promotion & Retention
While reasons for internal and external recruitment vary from organization to organization, in many cases, organizations prefer internal promotions as compared to external recruitment. The benefits and advantages of internal promotions such as retaining best performing employees and the creation of a positive image for the organization. Harvels Investment attempts to balance between the two methods of employee recruitment and promotions. For instance, while filling the position of Chief Finance Officer, the company promoted the immediate Assistant Chief Finance Officer to the position of Chief Finance Officer. The company thereafter advertised to recruit an external employee for the position of Assistant Chief Finance Officer. Over the years, the company has attempted to balance between the two methods of recruitment and promotion of employees. Although internal promotions helps the company portray a positive image and helps the organization’s employees enjoy both vertical and horizontal promotion within the organization, it stifles getting good talented employees with fresh ideas. External recruitment would offer the company a good chance of recruiting the best talented employee in addition to putting the company in a better performing position.
However, DeVaro& Morita(2013) maintain that external recruitment often calls upon the organization to train the new recruits a situation that does not apply in internal promotion. Harvels Investment also do incur a lot of money in screening many candidates for the advertise position not forgetting the many resources needed in the exercise. In internal promotions, promoted employees understand the organization much better and little resources are used in undertaking the exercise. According to policies of Harvel Investment, for any form of promotion to go on, the Human Resource Manager in conjunction with the departmental head brainstorm on the most likely and potential employee who can take up the new position. An interview is carried out with the potential employee(s) upon whom the best is given the mantle for the new position.
Nevertheless, for Harvel Investment to balance the two methods, the Human Resource Department has laid out measures that enables them to decide whether to undertake an internal or external recruitment or promotion. One such policy is first looking out if an existing employee within the department to be filled is available and can take up the role. If the head of HR identifies an individual, then the procedure of promoting the employee starts. However, if there were no potential employee(s) within the organization to take up the position, then the Company would opt for external recruitment in which it will put up an advert to call for applicants for the position.
As a control and promotional measure to empower the employees, Harvel Investment has a one-month training program in addition to a supervisory exercise aimed at ensuring that employees adhere by the company’s rules and regulations. The training program often runs in the first months of any given year to enable the company lay down its strategies, expectations, and targets for the given year. Additionally, the supervisory exercise and training program aims at instilling work ethics to new employees in addition to undertaking any form of reshuffle within the departments. However, additional recommendation towards the program that can boost input and performance among the employees is signing of performance contract by the employees and exchange program with like-minded companies. Through the exchange program, Harvel Investment will arrange with nearby companies to have their employees undertake a one or two day tour of their premises. On the other hand, Harvel Investment will also take in employees from the said company and give them an educational tour around their premises. Although it is a challenging exercise, it opens up opportunities for the employees to learn from other employees from different companies. The two proposals would go hand in hand with empowering employees through self-drive initiatives an exercise that would be undertaken by the Human Resource department in conjunction with the respective departments.
Primary Factors affecting employee retention the Healthcare Sector
Financial position of the company
Aamir et al, (2016) maintains that organizations should employ personnel that can be easily be maintained by the budget. Recruitment of employees in most cases is carried out at the beginning of the financial periods for easy financial planning. In the case of healthcare facility, all the professionals involved should be effectively is managed within the budgets. In the event that health organizations experiences financial challenges, some employees that are not very critical in the operations could be retrenched. In this case, only those personnel central in the course of health care provision will be retained in the organization.
Organization and Management structure
Organization and managerial restructuring is a common action in healthcare organization for purposes of improving quality of services rendered besides clients’ utility improvement (Aamir et al, 2016). When restructuring is adopted, some members of the employees team will be retrenched as their services could be eliminated or integrated in other departments. During restructuring, many employees that their roles are not very significant in the organization will be retrenched. However, this is often undertaken only after extensive performance appraisal that helps in determining employees that their roles within the workplace are not very significant. Managerial restructuring at times will also be adopted within healthcare entities as a result of change in objectives and general mission of the organization. Under these situations, only members that are positive of new objectives and general mission are the ones that will be retained in the healthcare organization.
Study from the Chartered Institute of Personnel Development reveal that employees who earn above average remuneration and employees earning below average have a high chance of quitting their jobs(Aamir et al, 2016). The healthcare sector has found it challenging retaining employees on the grounds of earnings. However, the management of healthcare facilities has found it challenging paying employees a common fixed salary. Therefore, in most cases the management fined it reasonable to balance the pay in accordance with employee’s work- load, responsibility, and education level. This has often played a role in helping retain the best employees with good remuneration. However, employees with low education level find it difficult remaining in a single place of work, as they tend to look out for better perks from different health organizations. The situation is often common in low cadre staff.
Performance of the employee
The performance of employees plays a critical role in health care centers retaining employees. Best performing employees are often given better working environment, good remuneration, and benefits in addition to promotions. However, poor performing employees often face the axe and are replaced to enable the health sector offer the best services to its clients.Aamir et al, argues that the best ways to retain employees is to offer them good working environment, which include clean environment and better equipment in their respective working areas. Additionally, better remuneration and management operations helps in retaining employees. A good performing healthcare center also attracts and helps in retaining employees, as most employees prefer working in an environment that is conducive and has a positive image in the public sector.
Aamir, A., Hamid, A. B. A., Haider, M., &Akhtar, C. S. (2016). Work-life balance, job satisfaction and nurses retention: moderating role of work volition. International Journal of Business Excellence, 10(4), 488-501.
DeVaro, J., & Morita, H. (2013).Internal promotion and external recruitment: a theoretical and empirical analysis. Journal of Labor Economics, 31(2), 227-269.