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Aviation Employee Retention and Turnover Rates - Qatar Airways - Case Study Example

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The paper 'Aviation Employee Retention and Turnover Rates - Qatar Airways" is a good example of a management case study. The global market competition has changed over the years. In this case, the global market has continuously experienced a rising trend towards market competition, as a majority of the multinational organisations operate and develop ventures in developing and emerging markets globally…
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Extract of sample "Aviation Employee Retention and Turnover Rates - Qatar Airways"

Aviation Employee Retention and Turnover Rates Name: Course: Tutor: Introduction The global market competition has changed over the years. In this case, the global market has continuously experienced a rising trend towards market competition, as a majority of the multinational organisations operate and develop ventures in developing and emerging markets globally. In this case, the rising competition levels have necessitated the rise and development of alternative marketing strategies (Thompson, 2001). One of the major approaches used by organisations is through hr quality management and effectiveness. The development of this aspect as a strategic tool is hedged on the resource based view theory. The theory holds that the use of intangible organisational assets allow for the development of a sustainable competitive edges (Taher. 2012). One of the most affected industries is the service industry (Rothman, 2012). This is the case in the Qatar Airways. This section offers an analysis of how the company applies employee and HR management strategies as a component for facilitating and enhancing employee retention and reduce turnover. In return, such a strategy would allow for the development of a strategic organisational competitive edge through possessing a qualified, talented, and productive workforce. In particular, the analysis reviews the process through which the job satisfaction, workplace environment, and employee engagement are applied in the organization. The review is based on a total of 7 respondents from across the organisational departments such as engineering, cabin crew, and maintenance among others. Discussion Job Satisfaction The first element in employee and retention and reduced turnover is job satisfaction. In this case, Stride, Wall and Catley (2007) argued that job satisfaction is described as the process and extent to which the employees are content with the performed duties. In order to develop and increase employee job satisfaction, there is the need to develop, design, and describe jobs effectively. On one hand, a job designing process includes the development of a relevant employee structure. Such a structure allows for effective flow of information as well as coordination among the employees. Moreover, a job description entails the functions and responsibilities for each employee. In this case, through the development of a relevant job description, employees are clear on their expected roles and functions. As a result, it reduces not only the potential for duplication of roles, but also creates harmony and reduces potential roles conflicts among the employees. The evaluation of the Qatar airways elements and promotion of employee job satisfaction was based on this theoretical understanding. In particular, the analysis evaluated the nature of work and the personal interest that led or reduced employee satisfaction. On one hand, an evaluation of the nature of work indicated a clear organisational demarcation of functions. In this case, the interviewed employees were form different departments and organisational functions. In this case, each of the function was attributed with specific key responsibilities. For instance, an interview with the cabin crew department employee depicted this. The employee stated that “Money, new destinations, my family and the responsibility on my shoulders for my future, these drives me to work.’ The above sentiments were an indication that the employees were clear on their roles and duties based on the departments. As such, a review of the above arguments relates to the theory developed by (Bolweg, 1976). In reference to the theory, Wood, Van Veldhoven, Croon and De Menezes (2012) stated that for organisations that were able to develop and design their jobs effectively, there was the reduced risk of interdepartmental conflicts and arguments. In this case, this promoted the extent and probability for employee satisfaction with their jobs. The arguments are in reference to the relationships between workforce conflicts and employee job satisfaction. Theoretically, the authors had argued that high risks and probabilities of employee conflicts led to the decline in employee satisfaction. As a result, this had the overall risk and potential for increasing employee turnover and reducing the retention rates respectively. Thus, based on the above analysis, this review evidences that due to its diligent and clear departmentalization, Qatar Airways reduces the risk and probability of employee conflicts among its departments. Thus, this has enhanced employee satisfaction in the organization. A second analysis evaluation and analysis of employee retention strategies is through an analysis of the employee nature of work. In the evaluation of employee nature of work is the approach given by an organization to its employees. The nature of work could be fulfilling of encouraging, and even challenging at times. In this case, the presence of these variables in an employee nature of work allows for the increased chances for satisfaction. In an evaluation of the employees’ nature of work, there was a general observation that the employees were pleased with their work. In this case, the different employees reported that the nature of their work was inspiring enough. For instance, an employee in the cabin crew reported that they were satisfied and inspired by their work in the perception that it allows them meet and visit new places. This indicates an employee who is satisfied and inspired by the nature of their work. This scenario was not an isolated case in the interview process. A second illustration can be drawn from the engineering department. The representative employee from this department noted that ‘I love working in an aircraft’. The respondent stated that the inspiration of developing and working on the new technology in aircrafts engineering was an inspiring trend. Therefore, a review of the sampled responses, which were also echoed by the pilots, is an illustration of job satisfaction. One of the interviewed pilots stated that they were happy to work and fly one of the most innovative and modern aircrafts owned by the company. Thus, based on the evidenced employee satisfaction trends, the analysis concluded that the Qatar Airways employees are satisfied by their nature of work. An additional element to evaluate employee job satisfaction was based on the nature of personal development opportunities. In this case, the elements of employee personal development are based on the extent to which the nature of work conducted allows for employees develop and talent development. In this case, the rise and development of employee growth trends in the market. In this case, organisations that develop and allow for employee development allow for employee satisfaction and eventual retention in an organization. On one hand, the respondents stated that the organization has developed an employee training program for its employees. In this case, the employees stated that through the organsiational training program, they have been able to increase their overall skills and expertise. In this case, a majority of the employees expressed their satisfaction that the development of the training programs has been a major enabling pillar for their development of the overall market success and career growth. Nevertheless, the interviews developed and illustrated a number of challenges. On one hand, the employees pointed out that personal development was restricted with radical changes in the organsiational and the risk of a high turnover. In this case, one of the respondents lamented that there would be no sufficient employee growth and development if the current employee turnover ratios prevailed. In this context, the respondent argued that although with training, the organization was unable to retain the employees for long. Thus, the training and development program stagnated at the training stage, with minimal development, as a majority of the employees were moving on to other organisations. Therefore, the above analysis evidences that although there is an element of employee satisfaction due to training, the high turnover rations reduce the ability and opportunity to develop. The retention of employees allows for the development of a qualified, talented and experienced workforce. In this case, a talented and experienced workforce provides junior employees with development opportunities through approaches such as mentoring programs. The adoption of mentoring programs enable employee develops their skills and eventually rises through the organisational ranks. Therefore, the lack of such a retention program inhibits the use of mentoring and support programs to develop the employee skills at Qatar Airways. Consequently, this has reduced the overall organisational employee satisfaction. The above analysis on Qatar airways illustrates that the organization has facilitated both employee satisfaction and dissatisfaction. On one hand, the challenging work environment, and prestige of the employee duties create satisfaction, playing a retention role. However, the lack of high retention rates for the experienced and talented employees reduce chances for employee mentoring and development programs, reducing satisfaction and retention rates in the long run period. Thus, the analysis points out the need to retain talented and experienced employees to enhance new employee development and mentoring programs in the future. Work Place Environment The second key approach through which organizations can influence the nature of their employee retention rates is through the existing work environment. The concept of work environment is best explained through the Herzberg two factor theory (Park & Ryoo, 2013). The theory argued that a work environment consisted tow factors, namely the motivator, and demotivators (Richard, 2012). On one hand, the motivator elements are the organisational work environment factors whose presence allow for employee motivation. They include better wages. On the other hand, the demotivators are factor whose presence does not lead to any employee motivational change. However, their absence leads to employee demotivation and eventual turnover from an organization. Therefore, in the reduction of employee turnover, the venture should ensure that it has both the demotivators and motivator factors in the market. This section reviews the critical factors that the Qatar Airways has developed as a means to enhance employee retention and reduce its turnover ratios in the market. In this case, the applied strategies will be evaluated against this key theory to analyze their strengths and weaknesses effectively. One of the key factors is the organisational working conditions. These include those developed by the organization and the industry at large. A large number of the respondents stated that they were satisfied and motivated to work for the airline as it was a national carrier. In this case, the airline has a high market reputation and a strongly positive brand image. In this case, the employees are held in high social status in the society due to their association with the organization. In this case, many of them derived their pride in working for such a reputable company. In fact, one of the respondents was direct to the point and said that “Working for the national airline of my country that motivates me the most”. . This is an illustration that the company positive brand image in the society offers the employees satisfaction and motivation in their duties execution. Consequently, the fact that there are no local airlines with a similar reputation reduces the risk of employee turnover to such airlines, as it would negatively impact on their perceived social status. A second aspect in the organisational working conditions and environment is the issue of consistency and management change. In this case, in order to create a suitable working environment, it is imperative to allow for employee security in the workplace. In this case, employee security in a working environment is based on the development of a non interference system for the employees. The development of such an environment serves as a demotivator’s factors presence. As such, although it does not motivate employees, it reduces the demotivation risks and thus enhancing retention rates in such an organization. In the case of the Qatar Airways employees e-interviewed complained of the organisational approach to managing employees. In this case, a majority of the employees argued that there was much interference in the employee workplace. For instance, one of them noted that their greatest worry was “The fear of being fired without any reason.” This was further reflected by another employee who stated that “The least I like about the company is about the hire and fire rule. You might get terminated for something not related to safety or affects the company productivity something like your hat is not worn properly when you are coming to work.” The above analysis indicates that the organisational management interferes with the employees operations and working process, limiting their opportunities for freedom and job security. In fact, this is a major challenge in the organization. When asked of the things that the employees liked the least and would like to see changed. One of the cited the inherent interference. In this case, the respondent argued that the management should desist from the trend of victimizing and firing employees for non productivity and safety job related issues. As such, the argument was to reduce victimizing employees based on their individual lives activities and actions, beyond the company mandate. The above analysis is an illustration that the Qatar Airways management has failed to deliver and develop a suitable secure work environment. As a result, the presence of a suitable secure work environment is a suitable basis for ensuring employee retention. In this case, its presence though not motivating employees is better than absence that demotivates the employees in the organization. An additional element in the evaluation of the workplace elements used to enhance employee satisfaction and retention is the organsiational aesthetics. In this case, the study analysis was focused on the unique and innovative policies and strategies employed by the Qatar Airways to enhance employee retention and reduce turnover. This was hedged on the question that required the employees to list the ideal value and element in the organization that they would want retained in the future. In this case, one of the employees noted that “I mostly like the fact that my company is very organized. There are procedures for almost everything, so very rarely I need to take a decision of my own”. This was also echoed by other employees who argued that the structural alignment of the organization was the most ideal element in its operations In this case, the development and existence of clear systems of administration and management allowed for employee satisfaction. As such, there were reduced conflicts in the reporting and superiority structures. Each of the employees was clear and aware of the communication lines and systems, enhancing fluency and adjustments for the employees. It was clear for every employee since joining the company of what to expect and whom to take decision and orders from. The satisfaction element of this practice could be linked to the employee psychological contracts. In this case, the development and existence of a clear organisational and management structure allowed for the development of coherent psychological contracts expectations among the employees. The satisfaction and meeting of psychological contracts is directly linked to employee satisfaction and reduced turnover ratios in an organization (Festing & Schafer, 2014). The above analysis evaluates the external and internal organsiational generated work environment conditions. On one hand, the positive external brand image enhances employee retention, while the lack of work security and interference reduce employees’ retention. Moreover, the analysis indicates that the presence of a clear administration system enhances employee satisfaction and overall retention rates increase. Employee Engagement The third aspect through which employee retention strategies can be evaluated is through the employee engagement programs. Employee engagement and inclusion in an organization is hedged on the employee empowerment and stakeholder theory application (Friedman & Miles, 2006). In this case, a stakeholder theory adoption is based on the principles of incorporating all the stakeholders in a strategic organisational decision making process. In this case, the process is hedged on the need to develop and ensure that the interest and concerns of all the employees are factored in an organisational decision making process. In order to evaluate the level and extent of employee engagement the analysis reviews the communication, and employee inclusion in the decision making process by Qatar Airways management. On one hand, the element of communication is based on the approaches and frequency of communication to the employees. Moreover, it is based on the direction of communication flow either upward, downward or both respectively. An evaluation of the communication process adopted by the management is the downward communication system. In this case, a general overview of the employees’ responses indicates that the management communicates all the strategic information. Nevertheless, none of the respondents did mention of any form of upward communication, from the employees to the management. In fact, the raised issues illustrate a lack of connection. The employees’ responses were an illustration of anger and frustrations. This is mainly due to the fact that they often have issues to complain about, there lacks avenues to advocate and raise their issues to be addressed. The lack of such an upward communication system exposes the organization to the risk of high employee turnover. In this case, this is due to the violation of the employee voice theories. The employee voice theory holds that the organisational management should develop a strategic approach and system through which to respond and hear the employees. A lack of such an employee voice platform exposes the organsiational employees to the risks of dissatisfaction and the prevailment of negative grapevines. Overall, this has the net effect of reducing employee morale, and eventual turnover. The lack of the organsiational inclusion of the employees in decision making, through the lack of upward communication systems has led to a failure in its ability to retain employees in the long run period. Conclusion In summary, the above analysis illustrates that the Qatar Airways lack sufficient systems to enhance employee retention and reduce turnover. In this case, the organisational strategic gains are in the exciting nature of the job as well as the training opportunities and external brand image. However, the analysis pointed out failures in the lack of development, work interference and lack of security, as well as minimal employee inclusion and engagement. Bad on the above analysis, this review concludes that the rate of employee turnover is bound to increase for Qatar Airways in the future. This is because the organization has neglected the basic rules for enhancing employee motivation and reducing dissatisfaction. One of the approaches through which to reduce employee dissatisfaction is the criterion of an employee voice system. This could be the establishment of an ombudsman office, or the development of an employee suggestion box system, to launch anonymous suggestions and complaints in an organization. In addition, the management should create a secure working environment. In this case, is should embrace dialogue in resolving employee failures rather than resulting to punishments and absolute firing of such employees in an organization. References Bolweg, J. F. (1976). Job design and industrial democracy: The case of Norway. Boston, MA: Springer US. Festing, M., & Schäfer, L. (2014). Generational challenges to talent management: A framework for talent retention based on the psychological-contract perspective. Journal of World Business, 49(2), 262-271. Friedman, A. L., & Miles, S. (2006). Stakeholders: Theory and practice. Oxford: Oxford University Press. Park, S. C., & Ryoo, S. Y. (2013). An empirical investigation of end-users’ switching toward cloud computing: A two factor theory perspective. Computers in Human Behavior, 29(1), 160-170. Richard, A. (2012). Job Satisfaction from Herzberg's Two Factor Theory Perspective. Rothman, I. (2012). Out-executing the competition: Building and growing a financial services company in any economy. Hoboken, N.J: John Wiley & Sons. Stride, C., Wall, T. D., & Catley, N. (2007). Measures of job satisfaction, organisational commitment, mental health and job-related well-being: A bench-marking manual. Chichester, West Sussex: John Wiley & Sons. Taher, M. (2012). Resource-based view theory. In Information Systems Theory(pp. 151-163). Springer New York. Thompson, H. (2001). International economics: Global markets and international competition. Singapore: World Scientific. Wood, S., Van Veldhoven, M., Croon, M., & De Menezes, L. M. (2012). Enriched job design, high involvement management and organizational performance: The mediating roles of job satisfaction and well-being. Human relations, 65(4), 419-445. Read More
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