Proposed Solutions for Employee Turnover by Analyzing Personal and Work Values of Millennials and Generation Z
| Main Authors: | Pratiwi, Karina; School of Business and Management, Institut Teknologi Bandung, Pratama, Andika Putra; School of Business and Management, Institut Teknologi Bandung |
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| Format: | Article info eJournal |
| Bahasa: | eng |
| Terbitan: |
The Indonesian Journal of Business Administration
, 2022
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| Online Access: |
https://journal.sbm.itb.ac.id/index.php/IJBA/article/view/4471 |
Daftar Isi:
- A comprehensive study by McKinsey in 1997 coined the term “the war for talent”. It refers to the challenge of a company or organization, encouraging them to pursue approaches for talent management that include recruiting, retention, and employee growth. Along with the increasingly strong role of technology in various fields of business, according to LinkedIn in 2018, they found that the technology industry has the highest turnover of any industry. Tech companies (software, not hardware) had the most turnover over in 2017 with a 13.2% rate. Millennials and generation Z are the dominant generation of labour in the labour market and this generation will become the largest workers in the labour market in the immediate future. Meanwhile, they are often willing to change jobs and get lots of new experience, which leads to the beginning of the rise of company’s employee turnover and retention issues. Using Schwartz Value as the literature of this research to analysis the personal and work values of the millennials and the generation Z, to find out what are their value’s preferences in life and when it comes to work. It results that they are high in security, self-direction, conformity, universalism, and hedonism. Those generations seek for new opportunities with better salary, benefits, they even see a better working environment in other companies. In this research author will be using one of the technology companies in Indonesia as the case study, we name it as X Company. Linked in to the root cause analysis based in this X Company, it did not provide their values therefore lead to employees leaving the company. Using MARS Model as the conceptual framework, which is a basic model of individual behaviour and its results which can form an individual behaviour. Values are the individual characteristics that drive motivation and behaviour, which impact the employee turnover, while there’s a role from organizational support which is the main focus on this thesis. Based on findings and the results of the root cause analysis, X Company needs to adjust their culture and strategies in order to provide their employee’s values and needs, by using Ethical Climate Framework.Keywords: MARS Model, Schwartz Value, Millennials and Generation Z, Ethical Climate Framework