EMPLOYEE RETENTION (IN MARINE INDUSTRY) IT’S PROBLEMS AND its SOLUTIONS

I

EMPLOYEE RETENTION (IN MARINE INDUSTRY) IT’S PROBLEMS AND its SOLUTIONS

Table of Contents CHAPTER 1: INTRODUCTION 1.

2.

3.

4.

5.

6.

Aims and objectives Research questions Hypothesis Scope of the research Justification Definition of technical terms, concepts - Background information - Chapter by chapter summary

CHAPTER 2: LITRATURE REVIEW 1.

2.

3.

4.

5.

6.

7.

Theories Concepts Ideas Issues Arguments Findings Methodological approaches

CHAPTER 3: METHODOLOGY 1.

2.

3.

4.

Methodological assumption Data collection tools Sampling technique Techniques of analysis – tests to be used

CHAPTER 4: FINDINGS / RESULTS 1. Descriptive / analytical 2. Quantitative / qualitative

CHAPTER 5: Analysis

1. Statistical analysis 2. Application of tests 3. Semi-o-logical or conversation analysis

CHAPTER 6: DISCUSSION

1.

2.

3.

4.

5.

Degree of research questions answered Degree of hypothesis test Implications of research findings on concepts and theories Implications of findings for researchers How have the findings contributed to the literature

III

EXECUTIVE SUMMARY

This study of mercantile marine industry’s attrition problem is to identify the root cause(s) which, not in Pakistan but on the global level, has become a serious issue since last, more or less, 4 decades. When ship owners decided to outsource its operations, technical and as well as personnel, to independent management companies (although managed, operated and owned by themselves) registered in Countries, known and called as Flag Of Convenience, providing least stringent legal hassles in case of crew wages and facilities, thus hiding behind a legal curtain of anonymity walking away Scot free if any lawsuit filed against the vessel as a result of crew wage dispute, crew injury, crew death oil pollution and/or marine accident.

During these four decades the idea of hiring marine officers and crew on contract basis, instead of permanent employees, became very popular. The main theme behind such change of policy from permanent to contract based employee system was to avoid any payment of insurance claims as a result of injury and/or death, to a crew member while working onboard, provident funds, gratuity, medical insurance to crew members, once they sign off from the articles of agreement.

It is a very common sight, now a days, to see marine officers and as well as rating crews jumping from company to company in the hope of getting better wages and facilities thus having loyalty to wage scale rather then the vessel and or the management. This kind of attitude has become very usual giving rise to various marine accidents and declination in vessel’s commercial performance and poor maintenance of deck and engine machinery onboard causing frequent detentions by Port State Control inspectors adding to agony of ship owners resulting in huge commercial losses.

Professionalism has been replaced by commercialism, professional pride has been set aside by routine work, initiative is gone giving rise to complacency and national crew has been replaced by multi-national crew making it very difficult to communicate among them-selves. This lacking gap of communication between the officers and crew is diabolic in nature and has been the root cause in most of the marine accidents, where orders were not passed clearly and/or not heard correctly. Whereas the same officers and crew while working with the shipping companies on permanent basis had a very different attitude towards owners, ship and their jobs.

IV The corner cutting by ship owners has basically increased the expenses rather than reducing it, since the flow of officers and crew goes towards the one who is offering the best. It rotates among companies, who are in dire straits, offers more then the others to attract afloat staff and so on.

Hypothesis is developed on the issue at hand by trying to find a relationship between the obvious reasons and the results apparent which speaks by itself about the problem at hand. The questionnaire is developed with this issue in mind and same is basically discussed during our interviews and asked in the questionnaire. Having a high turn-over rate, companies will continue to loose, not only the money, but valuable time, good employees, the output rate, and the edge over competitors as well. This very gravely important issue, unless not taken seriously will keep on damaging the companies in the un-noticed ways which, if not, capped is and continue to produce devastating results.

When they decide to deal with this issue through some adjustments and implementations of the programs to lower the, even if not totally stopped, can see a significant change in their cost and what might they actually save. The topic so selected for my research has tremendous importance to the largest international industry which has been and is being continuously neglected.

*****----------------------------------***********----------------------------------*****

PAGE 1

CHAPTER 1

INTRODUCTION

1. Aims and objectives 2. Research questions 3. Hypothesis 4. Scope of the research 5. Justification 6. Definition of technical terms, concepts a. Background information b. Chapter by chapter summary

INTRODUCTION

page 2

Aims and Objectives: The main purpose of this study is to research, survey, analyze and provide such in-depth material that will help forward thinking pragmatic managers to start tackling their employee retention ‘ problems ’ in a creative and more efficient manner, thus reducing, if not totally erasing, the turn-over rate which has become a global disaster in Marine Industry. I am basically aiming towards setting out in helping and finding answers to three straight forward questions: • • •

Why do people choose to leave organizations?

Why does this matter?

What can be done to reduce its occurrence?

In completing this study I will try my level best to write in an engaging and readable style so that the readers of this study will be forced to read further to find the desirable solution to their own organizational dilemma which they have been and are still facing. I have also set out to provoke the readers into questioning, some of my ideas and assumptions, in a rather starker manner. Moreover I have also drawn extensively on my experience working as a Master Mariner on board various and many ships belonging to different countries having diversified crew members with different ethnical, cultural, racial, religious and linguistic back grounds, adding to my insight to help me draw conclusions on the global problem. Later while working as Operations Manager, Commercial Manager, Chartering Manager and operating my own Manning agency has helped a lot in seeing some of the latent problems which had never been given serious thoughts as being a problem at all. I saw many mistakes been made, as well as few examples of sustained success. I have also drawn on anecdotal evidence gleaned from conversations with friends, colleagues, subordinates, crew members, officers, managers and ship owners as a research fellow. The result, I hope, is a study which contains highly workable suggestions on how to improve an organization’s employee turn over record over the long run.

Research Questions: The research questions are aimed into three dimensions to this problem. There are three major players who participate equally and thus have almost equal weight in resolving and/or creating problems in the marine industry. They are Managers, Officers and Crew.

Managers who are sitting in offices ashore and managing and controlling ships operations on macro level whereas the officers staying onboard ships carryout the smooth operations, under the watchful eyes of management, on micro level and the ships crew and ratings thus help and do all the manual jobs necessary to keep the ship running, as desired.

Page 3 The questionnaire will be so designed to direct questions to these three cadres according to their responsibility level, problem awareness and its solution. The questions are kept in a very simple YES / NO format (Dichotomous style) asking simple and direct questions having clear cut replies guiding towards specific area and focal point in the mind of the researcher.

Hypothesis: A theory is developed on the basis of apparent problem and on the assumption of this theory, a suggestion or hypothesis is formed with various variables playing its part in this development. The hypothesis is basically an idea on the ground, in the form of a question mark asked to own-self that whether this is the cause of the problem being faced.

There are 4 main variables taken into consideration and many other sub variables used in the hypothesis which are shown as under; These variables make the basis of our study and consequential research to find a positive and/or negative relationship between the variables. Each and every problem has many variables influencing and affecting its intensity and showing various factors leading towards the root cause of the problem at hand. These variables are:

1. Independent Variable 2. Dependent Variable 3. Moderating Variable 4. Controlling Variable 5. Sub Variables to above

Page 4

HYPOTHESIS :

H1 : EMPLOYEE RETENTION IS DIRECTLY RELATED TO COMPENSATION OFFERED BY THE ORGANIZATION. H2 : EMPLOYEE TURN-OVER CAN BE REDUCED BY ADOPTING TO THE CORRECT SELECTION, JUST POLICIES AND PRACTICES. H3:RESPECT, ENCOURAGEMENT AND SOCIAL WELFARE CAN MAKE EMPLOYEES TOFALL IN LOVE WITH THE ORGANIZATION.

H4 : RIGHT INCENTIVES AND SUCCESSION PLANNING CAN DEVELOP LOYALTY, GROWTH AND PRODUCTIVITY IN EMPLOYEES.

H5: PERMANENT JOB OFFER TO CONTRACTUAL EMPLOYEES CAN ILLIMINATE ATTRITION AND DEVELOP LOYALTY ACROSS THE MARINE INDUSTRY

H6: MULTI-NATIONAL CREW CAUSE COMMUNICATION GAP THUS RESULTING IN DISHARMONY AND INCREASE ATTRITION AMONG CREW

Page 5

HYPOTHESIS

INDEPENDENT VARIABLE

DEPENDENT VARIABLE

MODERATING VARIABLE

CONTROLLING VARIABLE

COMPENSATION

RETENTIONOF EMPLOYEES

REWARDS

PERKS BENEFITS

COMPANY POLICIES

RETENTION OF FAIRNESS EMPLOYEES

JUSTICE

H2

H3

EMPLOYEE’S RESPECT

RETENTION OF ORGANIZATIONAL EMPLOYEES LOVE SATISFACTION

SOCIAL WELFARE ENCOURAGEMENT

H4

RIGHT INCENTIVES

RETENTION OF LOYALTY EMPLOYEES PRODUCTIVITY RECOMMENDATION

SUCCESSION PLANNING GROWTH

RETENTION OF LOYALTY EMPLOYEES SECURITY

SELECTION POLICY

H5

PERMANENT JOB CONTRACTUAL JOB

H6

COMMUNICATION RETENTION OF COMMON GAP – MULTI EMPLOYEE LANGUAGE NATIONAL CREW ETHNICITY

H1

HARMONY

Scope of the Research: As for as the problem of employee retention is concerned, it is a well known fact and that, it dominates the Marine Industry and has caused considerable damage to it, at large, on global level. With the rapid switching of floating and shore staff from company to company, in search of better compensation and other perks, leaves the owners high and dry. They are then decreased to accept incompetent staff to run their ships exposing ships, cargo, crew and environment to higher degree of disasters in terms of frequency, damages and costs. The research is basically aimed at defining the problem, its causes and possible solutions. The pattern to be used will be in the form of a questionnaire, as it has already been described in the ‘ Research Questions ‘ section in details.

Page 6 Justification: Shipping Industry is the back bone of economy of any country, especially those who are blessed with sea shore having open and round the year access to international waters for the export and import of goods. The economy associated with sea transport is at maximum, as compared to other means of transport such as air, road and railways, in terms of expenses, safety and time span. No other transportation mode can compete with sea transport due to its immense volumetric movement potential in shortest time span with least damage proximity compared to its total volume. All other means together cannot come close to even its half in all respects as mentioned above.

Any problem such as this will, definitely, hamper the growth of industry and as well as affect the other businesses dependent upon the transportation of goods to various customers worldwide. To avoid widespread damage to, not only the shipping industry, but other associated businesses must be addressed and taken care off.

Definition of Technical Terms, Concepts: Since the shipping industry and its associated terms and concepts are not very familiar in the shore establishments, these, therefore, needs to be explained here for reference and easy understanding in the context of the sentence, topic and subject.

Master Mariner: The Person-in-charge of the ship whose command is the final word on the ship and demands unquestionable loyalty from all of his crew.

Operation Manager: The manager ashore, most likely an ex-captain, coordinating and advising the ships captain of day to day working in relation to various aspects of shipping such as cargo, bunkers, port information, port agents, crew matters, P&I club, port state control, class surveys, cargo gear inspections, hull and machinery periodical surveys, provisions, fresh water CTM and crew welfare.

Chartering Manager: A qualified chartered ship broker, negotiating freight and other charter party terms, with various ship-charterers, as per vessel schedule, readiness, space availability and suitability, for the engagement of cargo lifting once previous cargo has been delivered and vessel is ready to load next cargo.

Manning Agency: A recruiting firm, operating independently, offering certified, qualified and experienced marine, navigating officers and engineers to work on various specialized cargo ships.

Page 7

Chapter by Chapter Summary: The basic idea and aim of this study was to undertake a research into problems being faced by the shipping industry at large, and in particular in Pakistan, where since more or less four decades attrition problem has emerged and gained momentum to the extent that it has become a major issue.

All the shipping companies, management companies, manning agencies, around the globe, are trying to cap this un-ending problem, although they themselves have started this nuisance. The crews had been turned from permanent employees to contractual employees, crew strength was reduced, larger ships were built but the crew strength did not match up with the ship size, ships port of registry were changed from national flag to flag of convenience to avoid stringent laws and regulations, multi-national crews were hired – all the tricks were to save monies, cut corners to reduce expenses but it didn’t help at all – rather things started deteriorating and cheap crews, lack of competency, loyalty and professionalism gave way to more problems, blunders and mistakes resulting in marine accidents involving loss of lives, property, cargo, danger to environment.

Based on above eye opening issues a hypothesis was developed and questionnaire was prepared with an aim to tackle the problem with rather direct, simple and to the point questions aiming to justify the research and as well as the validity of hypothesis. In addition to the questionnaire two additional methodological approaches were practiced with success to find the root causes, these were one-to-one interviews with the stalwarts of shipping industry who have spent their ages in this profession and have a very deep insight to its pros and cons, minuses and pluses, problems and benefits.

The last method was used to have group discussions with associates and colleagues to discuss these problems on the table in a informal environment so that non of the hidden aspects be left untouched.

Page no 8

CHAPTER 2

LITRATURE REVIEW 1. Theories 2. Concepts 3. Ideas 4. Issues 5. Arguments 6. Findings 7. Methodological approaches

Page 9

LITRATURE REVIEW Theories: Efficiency, effectiveness and survival of any organization anywhere, whether big or small, depend on the recently discovered human capital. Thus acquisition of qualified human resources, developing them and maintaining them becomes all the more important. Employee turnover not only reduces the human capital in an organization but also organizational productivity besides incurring the cost of acquiring human resources for replacement and developing them. Hence increased emphasis is being laid on retention of human resources now a days specially with the onset of recent Revolutions such as Information Technology, which is labor intensive in nature, supported by increased globalization.

Economic theory argues that performance based compensation contracts increase employees’ incentives to exert effort, resulting in improved performance ( Milgrom and Roberts 1992; Prendergast 1999). Previous empirical and laboratory studies on this topic have compared across compensation schemes or examined how changes to a more performance-sensitive incentive scheme influence employees’ compensation and performance ( Waller and Chow 1985; Lazear 2000; Banker et al. 2001). Yet, no research has addressed the impact of changes to less performance-sensitive plans on employee performance. In the real world, many companies use or switch to less performancesensitive incentive schemes. Examples include Sears( Driscoll 1994), the shoe manufacturing industry (Freeman and Kleiner 1998), and Fujitsu (Tanikawa 2001). Our study contributes evidence on how a switch to a less performance-sensitive incentive scheme affects an individual employee’s productivity and compensation. Furthermore, we examine whether employee ability affects their productivity in light of the plan change and which employee group is affected most by such a change.

The mission statement of any organization is the first and foremost tool to attract the clients, customers, donors, funders, volunteers and employees to an organization. Experts recognize that relying on the mission as management tool is an effective strategy to improve performance (Drucker 1990, Garner 1989, Herman and Heimovics 1991, Knauft, Berger and Grey 1991, Mason 1996, Pearce and David 1987, Sawhill and Williamson 2001, Sheehan 1996). Warren Bennis, an authority on non profit organizations, recognized the significance and importance of missions when he stated the following: “ At the heart of every great group is a shared dream. All great groups believe that … They could change the world … That belief is what brings the necessary cohesion and energy to their work “ ( Hesselbein and Cohen 1999 p.317)

Page 10

A mission statement identifies operational objectives, gives staff goals to direct its behavior, describes performance standards, and speaks to organizational survival and vision for the future ( Smith, Heady, Carson, and Carson 2001 ). The presence of a salient mission statement reminds employees of the purpose of their work and helps managers guide employees in the fulfillment of that mission. Several studies have investigated employee perceptions of organizational values ( for example, Kristof 1996). Consistently, those studies have found that a better match between employees and organizational values predicts commitment and satisfaction ( O’ Reilly, Chatman, and Caldwell 1991).

Concepts: A multitude of factors explains why employees remain in or leave an organization, but scholars have consistently recognized employees’ expressed intentions to stay as a reliable precursor to actual turnover and as reflective of employee commitment to the organization ( Maertz and Campion 1998, Hom and Griffeth 1995, Hom and Kinicki 2001 ). The researchers investigated factors such as satisfaction with compensation, supervisors, and coworkers, in addition to overall attitudes of satisfaction (Griffeth, Horn, gaertner 2000). They found that overall satisfaction was negatively associated with turnover intentions. Satisfaction with pay or compensation is of particular interest because it may be the counterpart to relying on the mission to motivate and keep employees (Preyra and Pink 2001). The nature of nonprofits places an expectation on employees to work for the cause, not the paycheck. An additional consideration is that employees’ dispositional and descriptive characteristics explain tendencies toward positive and negative attitudes towards the organization. For example, age, tenure, and position have all been shown to influence employees’ commitment and satisfaction ( Griffeth, Horn, and Gaertner 2000 ). Older, longtime, and managerial –level employees tend to express more commitment to the organization. awareness, agreement, and alignment at least three basic principles influence employee attitudes towards the mission: awareness, agreement, and alignment. First the organization’s purpose ( that is, its mission ) must be salient in the employees’ minds.

Are they and their coworkers aware of the organization’s mission and values? Second, employees must agree with the expressed purpose and values of the organization. If employees are going to work diligently for what may be lower compensation, they need to perceive agreement between their values and the organization’s ( Kristof 1996 ). Third, employees must perceive a connection between their work and the fulfillment of the mission ( Mason 1996 ).

Page 11

Employee Retention philosophically, employee retention is important; in almost all cases, it is senseless to allow good people to leave your organization. When they leave, they take with them intellectual property, relationship, investments ( in both time and money ), an occasional employee or two, and a chunk of your future. Employee Retention Strategies helps organizations provide effective employee communication to improve commitment and enhance workforce support for key corporate initiatives. We also provide full support for your marketing-communication efforts by helping you build customer loyalty by distinguishing and positioning your organization’s unique products and services in today’s crowded marketplace. In addition to influencing employees, the compensation plan can affect company performance by impacting recruitment and retention ( Stiglitz 1975; Salo and Salop 1976; Demski and Feltham 1978; Milgrom and Roberts 1992). For example, performance based compensation contracts attract and retain high performers and differtiate high from low performers (e.g., Baron and Kreps 1999; Banker et al. 2001). A company benefits when low-performance employees leave, but suffers a setback when high-performance employees depart. Thus it is important to consider who will join /leave the company when the performance sensitivity of the compensation contract is changed.

Ideas: A strong retention strategy becomes a powerful recruitment tool: Effective employee retention is a systematic effort by employers to create and foster an environment that encourages current employees to remain employed by having policies and practices in place that address their diverse needs. A strong retention strategy becomes a powerful recruitment tool. Employee retention matters, as, organizational issues such as training time and investment, costly candidates etc., are involved. Hence , failing to retain a key employee is a costly proposition for any organization. Various estimates suggest that loosing a middle manager in most organizations, translates to a loss of up to five times his salary. This might be worse for BPO companies where fresh talent is intensively trained and inducted and then further groomed to the successive stages. In this scenario, the loss of a middle manager can often prove dear.

The loss of a critical employee in an industry where there is no competition and/or it is negligible, will not inflict remarkable loss as the replacement will be ready at hand but where the competition is tough and cut throat, the loss of an employee will always be higher and damaging, unless a plan has been devised to counteract such losses with succession planning to replace the lost hand readily, but foremost the retention policies are devised and practiced to avoid such embarrassing situations. Our study focuses on a car dealership in Taiwan that changed its compensation scheme from being totally commission-based to a mix of fixed

Page 12

salary and lower commission rates. This change was in response to the requirement of the 1998 Taiwanese Labor Law amendment. Our database includes 4,392 pieces of detailed, individual-level data (e.g., salespersons’ compensation, sales quantities, performance ratings, and demographic information) and firm-level data (e.g., turnover rates, new hires) for a period of 56 months.

Respect, Recognition and Rewards: These are known as 3 R’s of employee retention strategy package. These three basic ingredients which correspond to the physiological, social and economical needs of a human being are very important factors in winning the heart, mind and soul of any individual. If we place them in order it makes a pyramid where reward is placed at the bottom, recognition in the middle and respect at the top of the 3 R’s pyramid. The order in which they are arranged or placed shows the importance in retention strategy. By following this strategy organization is rewarded with Increased Productivity, Reduced Absenteeism, A More Pleasant Work Environment & Improved Profits.

A Steadfast Philosophy: Uses only research based, theory-supported approaches to improving employee engagement. Avoided are the gimmicks such as employee of the month, suggestion boxes, prizes or other “ carrots ”. While commonly used, these short term fixes fail to produce genuine employee loyalty, more than 60 years’ of research tells us so ( Kruthika Rao 2007).

Kei’s Employment Retention Wheel: The first step to improving employee retention is to understand why employees stay with their current employer. Many “ experts ” dwell on the reasons employees leave, which is not as important or revealing as the reasons they stay. Companies have tried many different programs and perks to hold onto good employees. However, studies show that these efforts are not enough to retain good employees when the support that is needed to achieve job success is not adequate.

Kei’s employment retention strategy is based upon two primary beliefs: 1. It is difficult for employers to retain good employees if they don’t have a process to hire the right people in the first place.

2. Retention processes must directly support the reasons that successful, satisfied employees stay.

Kei’s concentration on the center of the employee retention wheel provides employers with internet-based tools that give employees systematic, ongoing support to be successful in their work and satisfied with their employment.

page13 Issues: Myths about Employee Morale Prevent Companies from Achieving Retention Success: Despite years research that point to far different solutions, many companies use the wrong tactics when trying to improve employee morale, satisfaction and retention. These myths prevail, in part, because business have used these methods, however wrong, for a very long time and have become used to trying the same ideas.

Myth # 1: People most often leave a company for more pay Myth # 2: Incentive programs produce long-term profits and improve productivity and morale.

Myth # 3: People don’t want more responsibility Myth # 4: Loyalty is dead Myth # 5: Improving employee satisfaction is expensive Myth # 6: Employee satisfaction is “ fluff “ Myth # 7: Supervisors are the problem Myth # 8: My company/industry/people are different Arguments: Factors That Affect Employee Retention: Most managers understand the importance of employee retention and its impact on the overall health and vitality of the organization.

The importance of retaining top organizational talent will only increase over the coming years as the massive cohort of baby boomers begin to reach retirement age making it easy for younger employees to find work. Furthermore, this study goes beyond related prior studies by investigating how employee ability affects their performance when a company changes its compensation plan to a less performance sensitive one. We capture employees ability by using both continuous variables (i.e., number of cars sold and reciprocal of time to the first promotion since he/she joined the dealership) and categorical variable (i.e., employee annual performance rating). The employee ability measure not only helps us identify specific performance groups that are most affected by the compensation plan change but also provides additional insights into causes of employee separation after the plan change. These findings have managerial implications since they can help top management anticipate possible impacts on incentives and efforts of different employee groups as well as on employee recruitment and separation due to the compensation plan change to a less performance sensitive one.

Page 14 Findings: -

AT THE TIME OF RECRUITMENT Select the right people through competency screening Use psychometric tests to get people who can work at night and handle the monotony Offer an attractive, competitive, benefits package Make clear of performance enhanced incentives and other benefits. Keep those Promises, later

-

AT THE OFFICE An employee’s work must be communicated to him clearly and thoroughly Give the employee necessary tools, time and training page 13 Have a person to talk to each employee at regular intervals The quality of supervision an employee receives is critical to employee retention Provide the employee a stress free work environment Make sure that employees know that their work is important for the organization Employees must feel rewarded, recognized and appreciated Work-life initiatives are important Implement competency models, which are well integrated, with HR processes like selection & recruitments, training, performance appraisal and potential appraisal

-

NIGHT SHIFTS Have doctors to advise them about health problems and the ways and means to deal with them Organize programs where people from other professions, who have night shifts talk to BPO employees about their experiences Organize training, counseling and development programs for employees If needed, provide special lights in the office/workplace to ensure that their bodies get sufficient vitamin D

Methodological Approaches: Employee Recognition Increases Retention: The truth is that recognizing employees for their hard work is one of the least expensive and easiest ways to improve the level of employee retention in your organization. The return on investment for a manager’s time

Page 15 and limited expenses can be incredible. Hollenbeck and Williams (1986) pointed out an important distinction between the frequency and functionality of turnover. While the former refers to the number of turnover separations, the latter refers to the implication of those separations for an organization. Using a meta-analysis of 55 studies, William and Livingstone (1994) reported that poorer performers tended to leave when the pat was based on performance and to stay when it is not. The implications of their findings is that performance-based compensation plans can lead to functional turnover. Lazear (2000) reported that about one-third of improved performance can be attributed to selection effects, i.e., less-productive workers leave the company and are replaced by moreproductive workers. In Banker et al. (2001), results showed that a performance-based scheme in a retail firm attracted and retained more productive salespersons, while the performance of the less productive sales staff declined before they left.

Efficiency, effectiveness and survival of any organization anywhere, whether big or small, depend on the recently rediscovered human capital. Thus acquisition of qualified human resources, developing them and maintaining them becomes all the more important. Employee turnover not only reduces the human capital in an organization but also organizational productivity besides incurring the costs of acquiring human resources for replacement and developing them. Hence increased emphasis is being laid on retention of human resources now a days especially with the onset of recent Revolutions such as Information Technology, which is labor intensive in nature, supported by increased globalization. Paper attempts to rediscover the Indian wisdom on HRM with special reference to the causes of employee turnover and the retention strategies as spelt out more than 5000 years ago in panchatantra, a classical work on management, yet very relevant to this day.

Retention Strategies Help to Drive Revenue Growth: Employee satisfaction is essential to any effective employee retention strategy – any good HR manager knows that. However few managers think of the impact that employee satisfaction has on their customers and ultimately on their company profits. One can assume that happier, more productive employees will make more sales, treat customers better, and ultimately make more money for the company, but few companies have analyzed this assumption to the extent that Sears, Roebuck and Company has. Sears has put this common assumption to the numbers test and the results are intriguing to say the very least. Companies design compensation schemes not only to induce more employee effort but also to attract potential employees. Recent studies suggest that performance-based incentive plans effectively sort employees by ability (Lazear 2000; Banker et al. 2001). Selection effects include recruiting and separation effects. The former relates to the type of employees who

Page 16

join the company and the latter to the type of employees who leave. Lazear (200) showed that contracts with higher piece rates attract high-ability employees. In a review paper, Prendergast (1999) argued that compensation contracts are important means for a company to recruit more capable workers, since they will benefit more from a performance-sensitive compensation plan than the less capable will. In turn, the more capable will be more likely to be attracted to the company than the less capable; therefore, the company will have a higher percentage of high performers.

Employee Turnover and Retention Strategies: Panchatantra(an Indian ideology), rich in human resource management ideas, emphasizes the role of human capital and identifies the reasons as to why employees leave an organization and thereby point out, by inference and implication, the strategies, both direct and indirect, as to how to retain them. It declares that the employees, if alive and kept well, will stand by the management even in the face of a disaster. Hence it advocates that the management should look after the well being (welfare) of the employee well.

It states that it is a natural tendency in people to hate the have-nots even if educated, efficient and well-serving and hence the management should take care not to hate the poor employees. It also asserts that doing a job just for filling the belly is no job at all, hence the management should not treat the employees with the mind-set that they are working for filling their belly. It also reiterates the purpose of life as showing loving kindness to all and serving for the living of many, not merely answering the call of belly, thus the management should show loving kindness to all employees.

Page17

CHAPTER 3

METHODOLOGY

1. Methodological assumption 2. Data collection tools 3. Sampling technique 4. Techniques of analysis – tests to be used

METHODOLOGY

Page 18

STEPS IN THE DEVELOPMENT OF RESEARCH PROJECT

SELECTION OF PROBLEM

REVIEW OF EXISTING RESEARCH AND THEORY

STATEMENT OF HYPOTHESIS OR RESEARCH QUESTION

DETERMINATION OF APPROPRIATE METHODOLOGY AND RESEARCH DESIGN

DATA COLLECTION

ANALYSIS AND INTERPERTATION OF DATA

PRESENTATION OF RESULTS

REPLICATION

Page 19 Methodological assumption: It focuses on analysis of the methods used for gaining the data. In normative paradigms, scientific method, quantitative is used to observe the objects. It uses mathematics calculation to generalize the finding and test the theory. In contrast, an interpretive paradigm uses observation, fieldwork note to investigate the object. In short, an interpretive paradigm tends to use qualitative methods for observation. As a result, the findings can be open to many interpretations. On the other hand, methodology in critical theory tends to use both quantitative and qualitative approaches. Quantitative to control the social setting when doing the actions and qualitative to observe the changes that happened after the actions are given.

The objective of this study of mercantile marine industry’s attrition problem is to identify the root cause(s) which, not in Pakistan but on the global level, has become a serious issue since last, more or less, 4 decades. When ship owners decided to outsource its operations, technical and as well as personnel, to independent management companies (although managed, operated and owned by themselves) registered in Countries, known and called as Flag Of Convenience, providing least stringent legal hassles in case of crew wages and facilities, thus hiding behind a legal curtain of anonymity walking away Scot free if any lawsuit filed against the vessel as a result of crew wage dispute, crew injury, crew death oil pollution and/or marine accident.

Historical Fact that during these four decades the idea of hiring marine officers and crew on contract basis, instead of permanent employees, became very popular. The main theme behind such change of policy from permanent to contract based employee system was to avoid any payment of insurance claims as a result of injury and/or death, to a crew member while working onboard, provident funds, gratuity, medical insurance to crew members, once they sign off from the articles of agreement.

It is a very common sight, now a days, to see marine officers and as well as rating crews jumping from company to company in the hope of getting better wages and facilities thus having loyalty to wage scale rather then the vessel and or the management. This kind of attitude has become very usual giving rise to various marine accidents and declination in vessel’s commercial performance and poor maintenance of deck and engine machinery onboard causing frequent detentions by Port State Control inspectors adding to agony of ship owners resulting in huge commercial losses.

Negative development, initiated by the ship owners, themselves, to hire officers and crew on contract basis, the results has shown a decline in professionalism, loyalty and training. Professionalism has been replaced by commercialism, professional pride has

Page 20 been set aside by routine work, initiative is gone giving rise to complacency and national crew has been replaced by multi-national crew making it very difficult to communicate among them-selves. This lacking gap of communication between the officers and crew is diabolic in nature and has been the root cause in most of the marine accidents, where orders were not passed clearly and/or not heard correctly. Whereas the same officers and crew while working with the shipping companies on permanent basis had a very different attitude towards owners, ship and their jobs. The corner cutting by ship owners has basically increased the expenses rather than reducing it, since the flow of officers and crew goes towards the one who is offering the best. It rotates among companies, who are in dire straits, offers more then the others to attract afloat staff and so on.

Hypothesis is developed on the issue at hand by trying to find a relationship between the obvious reasons and the results apparent which speaks by itself about the problem at hand. The questionnaire is developed with this issue in mind and same is basically discussed during our interviews and asked in the questionnaire. Having a high turn-over rate, companies will continue to loose, not only the money, but valuable time, good employees, the output rate, and the edge over competitors as well. This very gravely important issue, unless not taken seriously will keep on damaging the companies in the un-noticed ways which, if not, capped is and continue to produce devastating results.

When they decide to deal with this issue through some adjustments and implementations of the programs to lower the, even if not totally stopped, can see a significant change in their cost and what might they actually save. The topic so selected for my research has tremendous importance to the largest international industry which has been and is being continuously neglected. “ EMPLOYEE RETENTION IN MARINE INDUSTRY, ITS PROBLEMS AND SOLUTIONS “ The purpose of this study is to provide with a better and more clearer understanding of employee retention strategies, adopted, or need to be adopted, by the shipping industry in Pakistan. In order to reach this specific purpose a set of relevant, simple to understand and easy to reply research questions are posed to the top management, supervisory level and to the common employees to find the root cause of this serious problem faced by the largest and the oldest industry.

1) The retention strategies adopted by various shipping companies across Pakistan.

2) Propose strategies that these companies can adopt to get a better, cheaper and long lasting solution to this Herculean problem.

Page 21 3) To undertake analysis of job satisfaction through the questions posed to various employee cadre across the organization and propose different solutions to increase job satisfaction among the employees to achieve satisfactory employee retention.

Though the issues and options analyzed are with respect to Pakistani service providers, the same may be employed across the globe as the issues and options remains the same irrespective of place of operation, nationality of crew and nature of job.

For our research study the Organization under scrutiny is “ General Maritime Private Limited� a group of companies engaged in diversified business activities related to mercantile marine industry. This organization is quite large and old in this profession and do have its pluses and minuses due to employee’s attrition. Strength of the company is about 650 employees spread around various Geographical, Demographical, Catagorical, Experiential sections giving wide range of qualitative data collection for our research work. The recipients are planned to be from all three cadres of the employees and the number of respondents are such that a true representation is available to form hypothesis.

Data Collection Tools: In action research, data collection instruments are not standardized. They must be designed specifically for each intervention, based on what is discovered in the field, considering the constraints of the field setting, and in response to each setting. The fact that tools differ or change also makes it more difficult to compare outcomes directly. To deal with this problem, I tried to develop data collection tools that were flexible enough to be reused. The data collection tools consisted of instruments that could document action and changes.

- Previous records of various shipping companies personal department, having complete data of joining and leaving of various officers and crew and study collected comprising research papers searched through generals, text books, internet, Google Scholar, www.scribd.com .

- One to one personal interviews with the top management people with very long experience of association with shipping industry. The questions will be open ended to extract as much feedback as possible to find the real reasons according to the respondent.

All these interviews, will later be compared to find the most common reasons that all the respondents agree without question.

- Focus group discussion, if possible to arrange on their availability, of Marine Officers who are on leave and waiting to join back. Two different sessions will be arranged at different times so that any one concluded will help my research work and if both are done it will be a bonus to my study and final conclusion.

Page22

- A questionnaire for the ship and shore staff, that will be in the form of a well defined close ended ( DICHOTOMOUS ) pattern of questions. These questionnaire forms will be personally given to each member of the organization to have their independent replies.

The questionnaire forms have 66 different types of questions, covering 6 hypothesis encompassing almost all the problems being faced by the industry. They are suitably designed, easy to understand, easy to make decision and easy to reply for each and every respondent(s) from every cadre of the industry.

To minimize doubtful replies and ease in data analysis of the problem at hand, the questions are close ended (Dichotomous) and the respondent has to simply reply, according to his knowledge of the organization in YES or NO. The data collected of the shipping company’s personal records compared with the management companies compiled to see the difference in attrition of staff before and after the formation of these management companies.

Sampling Techniques: Whenever you want to say something about a selected population, you may not be able to observe every person, or every action, in that population. You select part of the whole, which you call your sample, on which to make specific observations, so that you can make general statements about the whole or population.

-

How do you choose that sample?

Do you ask every fifth person walking down a particular hallway?

Will that bias your sample towards students taking those subjects taught in the rooms in that hallway?

Would that bias affect the results?

If you were asking questions where there might be significantly different answers from respondents taking one subject, rather than another, then that method of sampling would bias the result. It suggests that a random sample would be most valid.

Page 23 -

So how do you choose a sample that is random?

Here you might exercise your imagination, initiative and creativity.

-

How much a proportion of the population should the sample be so that it is valid?

If you interview only ten people out of a population of several thousand, perhaps the results would not be as valid as it might be if you interviewed a sample of one thousand.

This process is done when the researchers aims to draw conclusions for the entire population after conducting a study on a sample taken from the same population. This is the primary concern in statistical sampling. The sample obtained from the population must be representative of the same population. This can be accomplished by using randomized statistical sampling techniques or probability sampling like cluster sampling and stratified sampling.

The reason behind representative-ness being the primary concern in statistical sampling is that it allows the researcher to draw conclusions for the entire population. If the sample is not representative of the population, conclusions cannot be drawn since the results that the researcher obtained from the sample will be different from the results if the entire population is to be tested.

Practicability of statistical sampling techniques allows the researchers to estimate the possible number of subjects that can be included in the sample, the type of sampling technique, the duration of the study, the number of materials, ethical concerns, availability of the subjects/samples, the need for the study and the amount of workforce that the study demands. All these factors contribute to the decisions of the researcher regarding to the study design.

There are two types of sampling risks, first is the risk of incorrect acceptance of the research hypothesis and the second is the risk for incorrect rejection. These risks pertain to the possibility that when a test is conducted to a sample, the results and conclusions may be different from the results and conclusions when the test is conducted to the entire population.

The risk of incorrect acceptance pertains to the risk that the sample can yield a conclusion that supports a theory about the population when it is actually not existent in the population. On the other hand, the risk of incorrect rejection pertains to the risk that the sample can yield a conclusion that rejects a theory about the population when in fact, the theory holds true in the population.

Page 24 Comparing the two types of risks, researchers fear the risk of incorrect rejection more than the risk of incorrect acceptance. Consider this example; an experimental drug was tested for its debilitating side effects. With the risk of incorrect acceptance, the researcher will conclude that the drug indeed has negative side effects but the truth is that it doesn’t.

The entire population will then abstain from taking the drug. But with the risk of incorrect rejection, the researcher will conclude that the drug has no negative side effects.

The entire population will then take the drug knowing that it has no side effects but all of them will then suffer the consequences of the mistake of the researcher.

So on the basis of my chosen topic and industry it is imminent that I must select a sample size not less than 40-50 people with various shipping companies, but as they are associated to the same industry therefore there responses will be inline and valid to authenticate my research. They are the “ EMPLOYEES ” which are subject of my research. These mariners are continuously on the move i.e. today they are available, tomorrow they may not be, as they may have gone back to join a ship in a company where they got a better opportunity. Under these circumstances I have to get the questionnaire filled up on the first opportunity, in one go, to complete my research. I have to continuously track these mariners from the shipping companies to find out if they are available.

Apart from these 40-50 people selected to fill up the questionnaire, which has been prepared, keeping in mind the actual problems on which this research is undertaken, I have selected few very senior mariners to have one to one interview to find, according to them, the root causes of attrition in shipping industry. The abstract of these interviews will be added to my research report for the readers to get the first hand knowledge.

Techniques of Analysis: In most social research the data analysis involves three major steps, done in roughly this order: • • •

Cleaning and organizing the data for analysis Describing the data Testing Hypotheses and Models

Page 25 Data Preparation involves checking or logging the data in; checking the data for accuracy; entering the data into the computer; transforming the data; and developing and documenting a database structure that integrates the various measures.

Descriptive Statistics are used to describe the basic features of the data in a study. They provide simple summaries about the sample and the measures. Together with simple graphics analysis, they form the basis of virtually every quantitative analysis of data.

With descriptive statistics you are simply describing what is, what the data shows.

Inferential Statistics investigate questions, models and hypotheses. In many cases, the conclusions from inferential statistics extend beyond the immediate data alone. For instance, we use inferential statistics to try to infer from the sample data what the population thinks. Or, we use inferential statistics to make judgments of the probability that an observed difference between groups is a dependable one or one that might have happened by chance in this study. Thus, we use inferential statistics to make inferences from our data to more general conditions; we use descriptive statistics simply to describe what's going on in our data.

In most research studies, the analysis section follows these three phases of analysis.

Descriptions of how the data were prepared tend to be brief and to focus on only the more unique aspects to your study, such as specific data transformations that are performed.

The descriptive statistics that you actually look at can be voluminous. In most write-ups, these are carefully selected and organized into summary tables and graphs that only show the most relevant or important information. Usually, the researcher links each of the inferential analyses to specific research questions or hypotheses that were raised in the introduction, or notes any models that were tested that emerged as part of the analysis. In most analysis write-ups it's especially critical to not "miss the forest for the trees." If you present too much detail, the reader may not be able to follow the central line of the results. Often extensive analysis details are appropriately relegated to appendices, reserving only the most critical analysis summaries for the body of the report itself.

I have adopted qualitative research pattern based upon the focus group, as my main focus is on the Marine Industry and its associated problems, which are better known to the people connected with this industry only.

Page 26 Benefits/strengths of focus group discussions •

Group discussion produces data and insights that would be less accessible without interaction found in a group setting—listening to others’ verbalized experiences stimulates memories, ideas, and experiences in participants. This is also known as the group effect where group members engage in “a kind of ‘chaining’ or cascading’ effect; talk links to, or tumbles out of, the topics and expressions preceding it”

•

Group members discover a common language to describe similar experiences.

This enables the capture of a form of “native language” or “vernacular speech” to understand the situation

•

Focus groups also provide an opportunity for disclosure among similar others in a setting where participants are validated. For example, in the context of workplace bullying, targeted employees often find themselves in situations where they experience lack of voice and feelings of isolation. Use of focus groups to study workplace bullying therefore serve as both an efficacious and ethical venue for collecting data

Statistics is considered by some to be a mathematical science pertaining to the collection, analysis, interpretation or explanation, and presentation of data, while others consider it to be a branch of mathematics concerned with collecting and interpreting data. Because of its empirical roots and its focus on applications, statistics is usually considered to be a distinct mathematical science rather than a branch of mathematics.

In applying statistics to a scientific, industrial, or societal problem, it is necessary to begin with a population or process to be studied. Populations can be diverse topics such as "all persons living in a country" or "every atom composing a crystal". A population can also be composed of observations of a process at various times, with the data from each observation serving as a different member of the overall group. Data collected about this kind of "population" constitutes what is called a time series.

The concept of correlation is particularly noteworthy for the potential confusion it can cause. Statistical analysis of a data set often reveals that two variables (properties) of the population under consideration tend to vary together, as if they were connected. For example, a study of annual income that also looks at age of death might find that poor people tend to have shorter lives than affluent people. The two variables are said to be correlated; however, they may or may not be the cause of one another. The correlation phenomena could be caused by a third, previously unconsidered phenomenon, called a lurking variable or confounding variable. For this reason, there is no way to immediately infer the existence of a causal relationship between the two variables. (See Correlation does not imply causation.)

Page 27 A common goal for a statistical research project is to investigate causality, and in particular to draw a conclusion on the effect of changes in the values of predictors or independent variables on dependent variables or response. There are two major types of causal statistical studies: experimental studies and observational studies. In both types of studies, the effect of differences of an independent variable (or variables) on the behavior of the dependent variable are observed. The difference between the two types lies in how the study is actually conducted. Each can be very effective.

An example of an observational study is one that explores the correlation between smoking and lung cancer. This type of study typically uses a survey to collect observations about the area of interest and then performs statistical analysis. In this case, the researchers would collect observations of both smokers and non-smokers, perhaps through a case control study, and then look for the number of cases of lung cancer in each group. Above example was quoted here to direct the reader towards the fact that this research is undertaken to study the problems directly related to the mariners only, who are working on ships as the floating staff. Therefore my research is focused towards the people directly related and are in the fore front.

There are four types of measurements or levels of measurement or measurement scales used in tatistics: • • • •

nominal, ordinal, interval, and ratio.

They have different degrees of usefulness in statistical research. Ratio measurements have both a zero value defined and the distances between different measurements defined; they provide the

greatest flexibility in statistical methods that can be used for analyzing the data. Interval measurements have meaningful distances between measurements defined, but have no meaningful zero value defined (as in the case with IQ measurements or with temperature measurements in Fahrenheit). Ordinal measurements have imprecise differences between consecutive values, but have a meaningful order to those values. Nominal measurements have no meaningful rank order among values.

Interpretation of statistical information can often involve the development of a null hypothesis in that the assumption is that whatever is proposed as a cause has no effect on

Page 28 the variable being measured.The best illustration for a novice is the predicament encountered by a jury trial. The null hypothesis, H0, asserts that the defendant is innocent, whereas the alternative hypothesis, H1, asserts that the defendant is guilty. The indictment comes because of suspicion of the guilt. The H0 (status quo) stands in opposition to H1 and is maintained unless H1 is supported by evidence "beyond a reasonable doubt". However, "failure to reject H0" in this case does not imply innocence, but merely that the evidence was insufficient to convict. So the jury does not necessarily accept H0 but fails to reject H0.

Working from a null hypothesis two basic forms of error are recognised: • •

Type I errors where the null hypothesis is falsely rejected giving a "false positive".

Type II errors where the null hypothesis fails to be rejected and an actual difference between populations is missed.

Most studies will only sample part of a population and then the result is used to interpret the null hypothesis in the context of the whole population. Any estimates obtained from the sample only approximate the population value. Confidence intervals allow statisticians to express how closely the sample estimate matches the true value in the whole population.

Often they are expressed as 95% confidence intervals. Formally, a 95% confidence interval of a procedure is any range such that the interval covers the true population value 95% of the time given repeated sampling under the same conditions. If these intervals span a value (such as zero) where the null hypothesis would be confirmed then this can indicate that any observed value has been seen by chance. For example a drug that gives a mean increase in heart rate of 2 beats per minute but has 95% confidence intervals of -5 to 9 for its increase may well have no effect whatsoever.

The 95% confidence interval is often misinterpreted as the probability that the true value lies between the upper and lower limits given the observed sample. However this quantity is more a credible interval available only from Bayesian statistics.

Statistics rarely give a simple Yes/No type answer to the question asked of them.

Interpretation often comes down to the level of statistical significance applied to the numbers and often refer to the probability of a value accurately rejecting the null hypothesis (sometimes referred to as the p-value).

Page 29 When interpreting an academic paper reference to the significance of a result when referring to the statistical significance does not necessarily mean that the overall result means anything in real world terms. (For example in a large study of a drug it may be shown that the drug has a statistically significant but very small beneficial effect such that the drug will be unlikely to help anyone given it in a noticeable way.)

Some well-known statistical tests and procedures are: • • • • • • • • • • •

Analysis of variance (ANOVA) Chi-square-test Correlation Factor analysis Mann-Whiteny U Mean square weighted deviation (MSWD) Pearson product-moment correlation coefficient Regression analysis Spearman’s rank correlation coefficient Student’s t-test Time series analysis

Page 30

CHAPTER 4

FINDINGS / RESULTS

1.

Descriptive / analytical

2.

Quantitative / qualitative

Page 31

FINDINGS Questionnaire Questionnaire is the best process, method and mode to gather information of own choice.

The formation of questions is dependent upon the enormity, seriousness, significance and importance of the problem for which this research is undertaken. Simplicity of questions always helps the respondents to, understand and visualize it and provide a befitting answer without any ambiguity and doubt thus helping the researcher to gather information of his own choice without much of a problem. Keeping the above criteria in mind these questions were so designed that they could shed light on multiple aspects of problems faced by the shipping industry, not only in Pakistan but on global scene. The questionnaire was carefully selected so that it can discuss various dilemmas surrounding difficult situations faced by shipping industry. To cover all the aspects of problems a reasonable sample size of 45 respondents were selected covering almost all the cadres of shipping industry so that this problem could be viewed from all angles and a more comprehensive conclusion could be made. The different aspects of problems are listed below for easy reference of the reader: 1. All six hypotheses, developed on the basis of various myths surrounding the attrition problem, can be easily verified with the help of answers received from respondents. Each hypothesis has about 11 questions to support its validity in favor and/or in negation. With the help of dichotomous questions which are being designed in such manner that every cadre can easily understand and reply instantly.

2. Apart from these hypotheses, which are divided by carefully selected questions directly related to specific problem, the other aspect is being viewed from age. Various age groups are formed within the questionnaire to view this aspect and their answers are recorded.

3. Another angle is also explored on the basis of experience to find out that how the experience in shipping industry changes the perspective of mariners facing this problem.

The more the larger experience the larger is the horizon of thoughts and more specific the replies will be.

4. The rank also plays a vital role in viewing this problem since with the rank the exposure to many undeclared policies is facilitated which junior staff do not have. The response to various questions changes with the rank and off course seniority.

5. The aspect of problem will entirely be different for different employment status individuals such as permanent employees see it with a different angle as compared to an employee on contractual basis.

Page 32

6. The last angle brought into focus is the behavior change found in people serving onboard ships as compared to people working ashore in offices. These two wheels of the operations unless are not in synchronization with each other the ships operations become very difficult to manage.

These factors, as described above, are explored through the questionnaire to find the perspective of all groups in shipping industry that how they see this attrition problem and what kind of solution they have in their mind.

Group Discussions There were 3 different sessions arranged at various locations on convenience basis to discuss the various, many and diversified problems being faced by shipping industry specifically in Pakistan, which do reflect on international level in general. The decline of shipping industry in 1970 was the base of multitude problems which our small and just growing out of infancy, shipping industry suffered in the hands of the then democratically elected government. The first blow was nationalization of shipping industry in Pakistan which shattered the confidence of business community and since then nothing could allure ship owners to invest back into this industry. If we see around, shipping is the back bone of any countries economic growth. As by means of water-carriage a more extensive market is opened to every sort of industry than what land-carriage alone can afford it, so it is upon the sea-coast, and along the banks of navigable rivers, that industry of every kind naturally begins to sub-divide and improve itself, and it is frequently not till a long time after that those improvements extend themselves to the inland part of the country.

Following factors, reasons, motives, issues and causes could attribute to the attrition problems in shipping industry in Pakistan: 1. Since 1970 the merchant fleet of Pakistan is on the decline and constantly shrinking although the government had injected huge monies into buying new ships but still the decline could not be arrested. For this reason new blood coming into shipping industry went down and the existing officers and crew finding no scope for expansion and as well as promotion left Pakistani fleet and joined foreign vessels where they got promotions and as well as received high wages and exposure to wide professional shipping experience.

2. The shrinking shipping fleet, consisting of old tonnage with same old conventional methods of navigation, machinery and other equipment could not offer any new technology to officers and crew, thus repelling away the new blood into the backbone of economy.

3. Pakistan Marine Academy, an institute developed in 1960 at Juldia, Chittagong then part of Pakistan could not cop up with the advancement in technological advancements and thus had nothing new to offer to seaman and cadets receiving training. This prestigious institute was taken over by Pakistan navy as a bread and

Page 33

4. butter supplier for their retired officers who had no clue whatsoever as what commercial shipping is? What are its needs and demands? What must be done to stay at par with the global shipping industry in terms of growth, knowledge, technology and diversification in specialized shipping advancement?

5. After its nationalization, shipping industry had been left to deteriorate by the government despite suffering huge losses in payment of freights to all import and export of cargoes which stands at US$ 1.8 Billion every year and increasing. By having our own fleets this money could have been used in other industrial growth.

6. Pakistan is being blessed with a coast line of about 650 miles long with out any navigational hazards which could hinder development of other deep water ports in Balochistan and Sindh thus helping Pakistan in economic growth and providing alternative entry and exit points for cargo distribution and off course numerous job opportunities and technical growth of rural population.

Above factors are the direct causes of shipping industry decline in Pakistan and below are the various reasons which came under discussion during our group discussion sessions for attrition problems around the globe: 1. The Arab-Israel conflict of 1967 when Suez Canal was closed till 1979 and fuel cost went rocketing high from 2 US$ per barrel to 48 US$ per barrel forced the ship owners to consider cost cutting methods.

2. The ILO(International Labor Organization) and ITF(International Trade Federation), on various complains and observations coming to lime light showing deplorable condition of ships and slave like conditions prevailing onboard vessels where crew are not given proper food, water, wages, medical treatment and living conditions, started putting pressure on ship owners, through legal legislation under UNO, to revise wage scales and other facilities which brought enormous financial burden upon ship owners.

3. Ship owners in return trying to escape this legal suffocation found another legal cover by giving their vessel to management companies who provided technical and personal assistance to ship owners thus avoiding direct confrontation with ILO & ITF. 4. Another step in this direction was provided by the flag of convenience, who provided these private ship owners less stringent rules and regulations then their own states where ships were initially registered.

5. Once these covers were provided the ship owners went into background under the umbrella of legal anonymity.

Page 34

6. These flag of convenience registry ports provided very soft rules to these ship owners who in return paid small registry fee and enjoyed freedom of accountability. With the increase of ships coming under their registry their income increased and as well the pressure from the ship owners.

7. Management companies started hiring crews on contractual basis instead of providing permanent job to crews onboard.

8. Management companies trying to squeeze bigger profits, demanded more from ship owners and paid less to floating staffs.

9. Management companies started hiring high caliber and professional managers from the shore industries who had no idea, exposure and experience of sea life.

These managers started putting pressure on floating staff for more and more output simply forgetting the working conditions are entirely different at sea.

10. Further they started promoting fresh officers to higher ranks thus paying these young officers first year wages instead of paying 10 th year wages to a senior officer.

11. Hiring fresh mariners and crew from small countries on low wages to save more from their fixed management fee which ship owners paid per vessel.

12. It became very common sight to see many nationality crews working onboard vessels. These mix crews started making life difficult onboard for the senior officers since it became hard to communicate with them.

13. The flaws of communication gaps could only be observed in emergencies when orders are not understood and not executed properly thus compounding the situation from worse to worst.

14. Minimizing crew strength onboard vessels was another method of cutting costs, which in return increased workload on remaining crews. Another factor added to the misery was that the ship sizes increased many folds thus increasing workload on each crew member.

15. All these steps although brought huge profits for the owners and as well as for the managers in the beginning.

16. In the longer run these incompetent crews and young officers void of real professional experience, exposure, lack of training, over work and fatigue started crumbling under pressure and serious marine accidents started taking place loosing life, property and cargoes at sea.

17. On the other hand now the afloat staff also jumps from company to company in pursuit of better compensation. These young officers do not like to stay longer at

Page 35

18. sea but collect money by opting for higher wages and either switch career or start small scale business thus getting rid of high pressure job at sea.

19. This jumping from company to company for better compensation is causing lack of loyalty among crew and the company. The job has become just a matter of routine, void of professional pride.

20. Lack of professionalism gives rise to routine and routine gives rise to complacency and this declines resourcefulness.

21. Although the short courses has become mandatory for all floating officers and crew every 5 years, but the lack of will to work without the sense of belonging do not produce results as desired by shipping companies.

22. The I.S.M. (International Ship Management) system has been introduced to avoid blunders while performing various tasks onboard ships. Every job, task, work, routine has documentary procedure which ship personnel has to follow but it has been witnessed that these procedures are at times compromised to avoid delays and are filled after the job has been performed and filed. There are so many forms to be filled that it has become a nuisance for the floating staff, who complain that already the crew size has been reduced by the companies and yet on top of it these unending filling and filing of ISM forms has made the life more difficult.

23. Yet another mandatory requirement of I.S.P.S. (International Ship & Port Security) law came in effect adding another burden on the floating staff who were already over loaded with jobs.

24. Port State Control, an inspection body formed by the state where ships from different countries are visiting. The port State Inspector under the law of land and authority of the Ministry of Shipping has the authority and powers to board the ship, inspect the log books, certificates, visit the engine room and navigating bridge, store rooms, galley and other associated places, question any crew member and if find anything, equipment, practice, working not up to the standard or if the PSI is not satisfied can fine the vessel, or give grace period to rectify the non conformity or detain the vessel till the problem is rectified if is effects the sea worthiness of the vessel.

25. Young graduates finding better job opportunities in other professions rather than joining sea and staying away from families and friends since the compensation difference is not very big therefore they do not like to opt for a tough career at sea.

26. Similarly the existing marine officers if getting new opportunities to work ashore in shipping companies, finding good opportunities to switch career and/or joining professional colleges for other professional education to switch career.

Page 36

These group discussions gave me quite good information and insight to understand the problems from various angles and aspects. Apart from these group discussions I had the opportunity to talk one to one with many of my seniors, colleagues and junior officers and followings were my findings.

One-to-one Interviews 1. Senior mariners who are at the twilight of there careers or rather serving shipping on extended time are not very happy the way things turned around making life difficult for the new comers and feel pity for them.

2. They had enjoyed the real marine life, although they didn’t have the help of all these electronic gadgets around them on ship to help them find where they are at this very moment. Just about 30-40 years back the biggest concern of the ship captain was to find where he is in the open sea.

3. They had all the time in the world to relax and enjoy life at sea and as well as port as compared to today’s fast track life where ships stay in port is minimized in hours rather than days.

4. The communication between company and the ship was minimal due to high cost of telegrams and for the same reasons the short codes were devised to deliver maximum gist to the owners. With the introduction of electronics and satellite communication position fixing and telephone, fax, telex, email systems came on ships as well and now communication is not time bound. The captain may have to reply to the email, or a telephone call, at 2 o’clock in the morning since it was the office hour in ship manager’s office.

5. Senior officers, like Captain, Chief Officers and Chief Engineers do face problems due to lack of professional approach among junior officers who tend to rely on electronic gadgets more then conventional and fail safe instruments which had helped them in thin and thick. Like if the satellite navigator fails due to fault in it or at the earth station deliberately and/or un-deliberate error, like closure of GPS system for commercial vessels during gulf war leaving ships without position fixing at high seas, forcing them to revert back to old and conventional system of shooting sun and stars through sextant for position fixing.

6. Due to multi-national crew onboard vessels, although cheaper, has given birth to another nuisance of effective business communication. This painstaking delay in passing of important commands during berthing, un-berthing, shifting, anchoring, sailing, passing through narrow channels in low visibility, maneuvering in high density traffic areas, negotiating river bends under pilot’s instructions and other emergency situations where time is the essence to give and obey orders as and

Page 37

7. when necessary. In such situations there is no time available to explain and/or clarify let alone repeat them.

8. The multi-national crew tends to stick to there own kind and any little argument, disagreement among crew can easily flare-up to larger conflict if not handled immediately, swiftly and effectively. The language barrier among multi-national crew is also an hindrance to smooth operations, for passing of instructions from head of department to crew and as well as from crew to crew.

9. Salary difference placed among different nationalities is another initiative looser among crew’s onboard vessels. Instances are on record that the salary of a foreign Master onboard a Chinese vessel, with total Chinese crew, was more than double in size to all collective crew wages. This huge and un-proportionate difference of wages had a very apparent negative effect on the morale of crew who were not willing to cooperate with that master and thus affecting the overall management onboard vessel.

10. junior officers while interacting with crew’s of other nationalities or companies do come to know the compensation size, various facilities provided, family carrying permission onboard ships, telephone facilities, email access etc cause them to loose interest in their job onboard, considering it to be unfair. Another jolt is about the victualling allowance, i.e. the daily allowance given by the company for the afloat staff per day to manage their food onboard. It has been witnessed that this allowance difference is very prominent among large and small companies.

11. All officers and crew tend to avoid their postings on old vessels where maintenance work is to high and will take most of their time in upgrading of vessel. Plus due to the age of vessel the vessel will be an easy target for the Port State Inspectors, who can find many deficiencies easily, and normally target third world country vessels. Such targeting do bring the names of officers in the black list of not only the PSI but as well as the company who avoid re-hiring these Crew members in future.

12. In national shipping companies, the vessels are normally on liner runs, means having a particular route to follow on continuous basis. The crew members like to get their postings on routes where they can buy electronic items cheaper and bring back to their home port and sell at a profit. These activities hamper their professional activities. Long term postings on such vessels and routes tend to incline crew members to indulge in smuggling of contra-band and illegal items having developed relations in foreign ports. At times smuggling of humans has also been witnessed through press releases and news.

Page 38

13. another nuisance of “STOWAYS� has made life very difficult for the mariners onboard ships. These are unwelcome people who hide away on ships, to travel illegally to other countries in search of better opportunities, while they are in port

14. for loading/discharging of cargoes or replenishing stores, food, water, and fuel for the subject vessel. Once the vessel goes to high seas they are either discovered by the crew or they themselves surrender. There are two kinds of STOWAYS. One those who are professionals and know all the tricks of the trade. These guys do not carry on them, any legal identity documents. The other kind who are unprofessional and just took a chance to run away from their homeland for better opportunity, they normally have some or the other document to prove their nationality and identity.

The upkeep of these STOWAYS becomes the obligation of the ship owner and ship staff to give proper food and facilities, and not allowed to be used as forced labor onboard during their stay, till they are not returned to their home. The professional STOWAYS since do not carry any documents become a permanent resident onboard vessel since in absence of legal document they cannot leave the vessel and must be declared in the crew list as a STOWAY. The immigration authorities do not allow that person to be landed therefore that person to be kept under strict guard and watch to avoid and legal hassle.

15. The last but the most dangerous of all is the piracy attacks on ships which has turned into bloody battles between the unarmed ships crew striving for their lives with the armed robbers, who board vessels take away whatever they can snatch away. This nuisance is turning into a big business where armed gunboats are being used to kidnap the whole vessels with crew, the property and the cargo, against million of Dollars ransom demanded from the ship owners.

Get your employees to fall in love with your organization: How do you get your employees fall in love with your organization? This is a great question. Some recently conducted research lists these Top Ten Strategies.

Page 39

1.

TREAT YOUR EMPLOYEES LIKE YOU TREAT YOUR MOST VALUABLE CLIENTS

2.

GET YOUR EMPLOYEES TO “ FALL IN LOVE “ WITH YOUR ORGANIZATIONCAPTURE THE HEARTS OF YOUR WORKFORCE WITH: COMPELLING VISION / BALANCE / CELEBRATION-FUN, OPEN COMMUNICATION, CREATE PARTNERSHIP, DRIVE LEARNING, EMENCIPATE ACTION.

3.

STRONG RETENTION STRATEGIES BECOME STRONG RECRUITING ADVANTAGES

4.

RETENTION IS MUCH MORE EFFECTIVE WHEN YOU PUT THE RIGHT PERSON INTO THE RIGHT JOB. KNOW THE JOB! KNOW THE EMPLOYEE AND THEIR MOTIVATIONS.

5.

MONEY IS IMPORTANT BUT IT IS NOT THE ONLY REASON PEOPLE STAY WITH AN ORGANIZATION

6.

EMPLOYEE COMMITTEES TO HELP DEVELOP STRATEGIES IS A VERY EFFECTIVE STRATEGY

7.

RETENTION

LEADERSHIP MUST BE DEEPLY INVESTED IN RETENTION

8.

RECOGNITION, IN VARIOUS FORMS, IS A POWERFUL RETENTION STRATEGY

9.

REMEMBER THE “ FUN FACTOR ‘ IS VERY IMPORTANT TO MANY EMPLOYEES

10.

KNOW THE TRENDS IN BENEFIT PACKAGES. DO YOUR TO OFFER THE ONES YOUR EMPLOYEES NEED

Text books on HRM suggest that retention problem is caused by (i) organizational factors ( such as inappropriate organizational culture and values, devaluation of people, barriers to the use of individual capabilities, lack of respect for people, lack of trust, lack of visionary leadership, lack of effective management, ignoring employee ideas, lack of open and honest communication, improper decision-making, absence of job continuity and security, etc; (ii) lack of competitive compensation and rewards (such as competitive pay, competitive benefits, performance linked compensation recognizing performance differences, etc; (iii) inappropriate

Page 40

job design and work (such as inadequate selection screening efforts, lack of good working conditions, etc; (iv) lack of safe working environment, lack of work flexibility, organizational workload pressure, etc; (v) lack of good employee relationships in the organization (such as reasonableness in human resource policies, absence of fairness of disciplinary actions, inappropriate means used to decide work assignment and opportunities, unreasonably restrictive policies, inconsistent application of policies, inadequate supervisory or management support, poor relationship with co-workers and their support, etc; (vi) attractiveness of overseas migration, entrepreneurial opportunities due to the availability of easy venture capital finding, stress, frequent traveling and hectic schedule, lack of role models or mentors or advisors in work places, etc.

The prescriptions of text books or retention intervention are: (i) presenting the realistic job preview during the recruitment process; (ii) matching applicants to jobs; (iii) effective orientation and training after selection; (iv) giving competitive, fair and equitable pay; (v) create opportunities for career advancement; (vi) fair and non-discriminatory treatment and enforcement of HR policies; (vii) improving employee relations through looking after employees’ interests, representation of employees in decision-making, encouraging constructive criticism, protection of workers, etc; (viii) designing a suitable reward system of competitive pay and incentive with appropriate timing, accuracy and frequency; (ix) improving the quality of work life; (x) monetary motivation; (xi) satisfying the psychological needs of the employees; (xii) implementing entrepreneurship like program; (xiii) reducing job hopping by giving autonomy, flexibility and challenge at work; (xiv) match worker with the work; (xv) job sculpting; (xvi) harmonious bosssubordinate relationship; (xvii) developing the competency of the employee; (xviii) developing the empowerment skills and self-control etc.

- SHORTEN THE FEED BACK LOOP - OFFER A COMPETITIVE COMPENSATION PACKAGE - BALANCE WORK AND PERSONAL LIFE - BEWARE OF BURNTOUT - PROVIDE OPPORTUNITIES FOR GROWTH AND DEVELOPMENT - THE ABILITY TO PROVIDE INPUT AND BE TAKEN SERIOUSLY - MANAGEMENT MUST TAKE THE TIME TO GET TO KNOW TEAM MEMBERS - PROVIDE THE TOOLS AND TRAINING AN EMPLOYEE NEEDS TO SUCCEED - MAKE USE OF A TEAM MEMBER’S TALENTS, SKILLS AND ABILITIES - NEVER THREATEN A TEAM MEMBER’S JOB OR INCOME

Page41

Solution for the problem: There is no such word exists “ impossible “ in business management, it can be difficult, late and slow to achieve but not outright unreachable.

Every problem has a solution which may vary from trade to trade, industry to industry, situation to situation. A long lasting solution can only be achieved if root cause is searched and taken care of. A few very basic solution probe methodologies are given below: -

FINDING THE CAUSE OF ATTRITION Have a survey among employees to find reasons for attrition. If possible, have exit interviews to know the reasons for resignations. If a key employee resigns, it should be taken up on a priority basis and the senior management should meet the employee to discuss his reasons for leaving and evaluate whether his issues bear merit and whether they can be resolved.

-

WHAT CAN BE DONE Though, it is impossible to scrap problems total, there are certain ways by which BPO managements can tackle attrition. Since every organization is unique, these companies need to develop innovative ways to tackle these problems.

Study Suggests Employees Leave Bosses, Not Jobs: It has been said more than once, and for good reason, that employees leave their bosses – not their jobs. A Florida State University study scheduled for full release in the Fall - 2007 issue of Leadership Quarterly confirms this.

The study shows that 40% of employees work for bad bosses based on survey results.

The reasons that employers score poorly are varied and many: - 39% of workers said their supervisor failed to keep promises -

37% indicated their supervisor failed to give credit when due

-

31% said their supervisor gave them “ silent treatment” during the past year

-

27% report their supervisor made negative comments about them to other employees or managers

-

24% indicated their boss invaded their privacy

-

23% said their supervisor blamed other to cover up personal mistakes or minimize embarrassment.

Page 42 Study emphasizes those following one liner suggestions, although looks to be meaningless in the face of a gigantic problem which can become out of control, but at the right place, in the right manner, if these are remembered and used in-time, these small remedies can play wonders among employees and can divert head-on collision.

-

Employees support in the face of disaster

-

Do not hate poor employees

-

To work for the call of belly is no job at all

-

Show kindness: Purpose and Gain of Life

-

Respect employees’ self-esteem for great works

-

Fire the crooks and the Undeserving

-

Prefer a tried employee than a new one

-

Create bonds of union between employees and management

-

Fasten and bind employees with hearts

-

Little things matter

-

Management effectively

-

Employee flight is a trap

-

Do not forget to pay the salary on the day

-

Honor employee as a retention strategy

-

Honor is the secret of the General Health of an Organization

-

Institute a reward system to retain the employees

-

Small rewards also matter

-

Gratify the pride of the employee

-

Honor employees generously as an insurance

-

Never withhold honor or pay mistakenly

-

Never dishonor after honoring

-

Never defame a commended employee in public

Page 43 -

Never shame an employee

-

Never insult achievers

-

Match worker with work and position

-

Do not ignore the qualities of the workers

-

Give autonomy to employees to motivate

-

Give due credit for all achievements

-

Cherish the employee by job security

-

Pet, pamper and love employees

-

Help remove employee sufferings to see the projects through

-

Great people work for a cause

-

Differentiate employees justly

-

Employees leave quickly when the management grows absurd

Page 44

CHAPTER 5

ANALYSIS

1. Statistical analysis 2. Application of tests 3. Semi-o-logical or conversation analysis

Page 45 Statistical analysis: Following are the graphical results of my questionnaire on the basis of: 1. Six different hypothesis mentioned and discussed earlier in this research study.

These hypothesis are basically my claim that compensation, just policies, succession planning, multi-national crew, rewards and perks, incentives, correct selection policy, social welfare, and permanent job offer can reduce, if not totally eliminate, the attrition problem across the marine industry. In these six hypothesis employee retention is the dependent variable and all other variables mentioned above are independent variables affecting the resultant.

2.

On the basis of individual respondents, which are 45 in number.

There are 45 respondents carefully selected according to my research need so that a complete parameter of shipping industry is covered and worthwhile representation is available in my research. These respondents are and can easily be identified as belonging to nine different groups of professionals. These professionals are technical managers, operation managers, personnel managers, captains, chief officers, second officers, chief engineers, second engineers and third engineers. 5 members are selected at random from each group.

3. On the basis of designation, rank, age, experience, afloat/ashore, seniority, and the permanent and contractual employees.

As mentioned above, these nine groups are sub-divided into various sub-groups in respect of age, experience, designation, rank, professional expertise, seniority, ashore, afloat, permanent and/or contractual employee.

4. Cross tabulation within the hypothesis on the basis of above mentioned cadres to get the various aspects judged simultaneously to authenticate my results on the basis of these findings.

Graphical analysis for each hypothesis in respect of all independent variables is also conducted and results included in the findings for the readers to have a more clearer picture of the research.

5. Measure of dependent variable under the influence of independent variables.

The final outcome in the shape of graphical display of responses are the result of influences made by independent variables on the dependent variable.

resp1

Q 7 1

Q 14

Q 15 1

Q 28 1

Q 29 1

Q 38 1

Q 39 1

Q 43 1

Q 51

Q 64

yes 7

no 3

mean 7.93

variance 0.019657

resp2 resp3 resp4 resp5 resp6 resp7 resp8 resp9 resp10 resp11 resp12 resp13 resp14 resp15 resp16 resp17 resp18 resp19 resp20 resp21 resp22 resp23 resp24 resp25 resp26 resp27 resp28 resp29 resp30 resp31 resp32 resp33 resp34 resp35 resp36 resp37 resp38 resp39 resp40 resp41 resp42 resp43 resp44 resp45 yes no

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1

1 1 1

1 1 1 1 1 1 1 1 1 1

1

15 30

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

1 1 1 1 1 1 1 1 1 1 1 1 1 1

1

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 43 2

1 1 1 1 1 1 1 1 1 1 1 1

1 29 16

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 42 3

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1

1

1

1

1

1 1 1 1 1 1 1 1 1 1 1

1

15 30

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 33 12

7 3 7 3 7 3 9 1 7 3 7 3 7 3 7 3 9 1 7 3 7 3 7 3 7 3 9 1 9 1 9 1 7 3 7 3 9 1 8 2 9 1 9 1 9 1 9 1 7 3 9 1 9 1 7 3 10 0 8 2 8 2 8 2 8 2 8 2 8 2 8 2 8 2 8 2 8 2 10 0 7 3 7 3 7 3 8 2 35.7 7.93 9.3 2.07

7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93 7.93

0.019657 0.019657 0.019657 0.02602 0.019657 0.019657 0.019657 0.019657 0.02602 0.019657 0.019657 0.019657 0.019657 0.02602 0.02602 0.02602 0.019657 0.019657 0.02602 0.000111 0.02602 0.02602 0.02602 0.02602 0.019657 0.02602 0.02602 0.019657 0.097384 0.000111 0.000111 0.000111 0.000111 0.000111 0.000111 0.000111 0.000111 0.000111 0.000111 0.097384 0.019657 0.019657 0.019657 0.000111 0.88183

HYPOTHESIS NO:1 QUESTION NO: 7, 14, 15, 28, 29, 38, 39, 43, 51, 64 (BAR SHOWN BELOW ARE RESPONSES FOR EACH OF THESE 10 QUESTION 50

45

40

35

30 Series1 Series2

25

20

15

10

5

0 1

2

3

4

5

6

7

8

9

10

EMPLOYEE RETENTION IS DIRECTLY RELATED TO COMPENSATION OFFERED BY THE ORGANIZATION

HYPOTHESIS 1: EMPLOYEE RETENTION IS DIRECTLY RELATED TO COMPENSATION OFFERED BY THE ORGANIZATION.

12 10 8 6 4 2 0 1

0-10 QUESTIONS

0-45 RESPONDENT

Series1 Series2 Series3 Series4 Series5 Series6 Series7 Series8 Series9 Series10 Series11 Series12 Series13 Series14 Series15 Series16 Series17 Series18

HYPOTHESIS NO: 1 RESULTS DERIVED ON VARIABLES 10 8 6

Series1

4

Series2

2 0 1

2

3

4

5

6

0-10 QUESTIONS

1=SENIOR, 2=JUNIOR, 3=AFLOAT, 4=ASHORE, 5=PERMANENT, 6=CONTRACTUAL

0-45 RESPONDENTS

TOTAL 10 QUESTIONS

HYPOTHESIS NO:1 TOTAL NO: OF YES'S RESPONDENT-WISE AGAINST TOTAL 10 QUESTIONS

AVERAGE RESULT OF HYPOTHESIS 1 ON 10 QUESTIONS 10 8 6

Series1

4

Series2

2 0 1 YES=7.93 QUESTIONS NO= 2.07 QUESTIONS

AVERAGE RESULT OF HYPOTHESIS 1 BASIS ALL R ESPOND ENTS 40 30 Series1

20

Series2

10 0 1 YES=35.7 RESPONDENTS , NO= 9.3 RESPONDENTS

0

X^2 85.2

C.V. 443.6

HYPOTHESIS 1 Ho : EMPLOYEE RETENTION IS DIRECTLY RELATED TO THE COMPENSATION OFFERED BY THE ORGANIZATION. H1 : EMPLOYEE RETENTION IN NOT DIRECTLY RELATED TO THE COMPENSATION OFFERED BY THE ORGANIZATION THE CHI-SQUARE TEST PERFORMED: X^2 CRITICAL VALUE CONFIDENCE LEVEL

= 85.2 = 443.6 = 0.05 ( 95%)

RESULT: There is enough evidence to support the claim that “ employee retention is directly related to the compensation offered by the organization “

resp1 resp2 resp3 resp4 resp5 resp6 resp7 resp8 resp9 resp10 resp11 resp12 resp13 resp14 resp15 resp16 resp17 resp18 resp19 resp20 resp21 resp22 resp23 resp24 resp25 resp26 resp27 resp28 resp29 resp30 resp31 resp32 resp33 resp34 resp35 resp36 resp37 resp38 resp39 resp40 resp41 resp42 resp43 resp44 resp45 yes no

q1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

q2 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

q3 1 1 1 1 1 1 1 1 1

q5 1 1 1 1 1 1 1 1 1

1 1 1 1 1 1

1 1 1 1 1 1

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 43 2

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 43 2

q22 q23 q24 q30 q40 q46 q47 yes no 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 8 3 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 1 1 11 0 1 1 1 1 1 9 2 1 1 1 1 1 1 8 3 1 1 1 1 1 9 2 1 1 1 1 1 9 2 1 1 1 1 1 1 1 11 0 1 1 1 1 1 9 2 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 7 4 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 10 1 1 1 1 1 1 9 2 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 10 1 1 1 1 1 1 1 10 1 1 1 1 1 1 9 2 1 1 1 1 1 9 2 45 43 41 26 44 41 15 39.2 9.58 0 2 4 19 1 4 30 5.82 1.42

MEAN 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58 9.58

VAR 0.007645 0.007645 0.007645 0.007645 0.007645 0.007645 0.007645 0.007645 0.045827 0.056736 0.007645 0.007645 0.007645 0.007645 0.045827 0.007645 0.056736 0.007645 0.007645 0.045827 0.007645 0.004009 0.004009 0.004009 0.004009 0.151282 0.045827 0.004009 0.007645 0.045827 0.004009 0.004009 0.004009 0.004009 0.004009 0.004009 0.045827 0.004009 0.004009 0.004009 0.045827 0.004009 0.004009 0.007645 0.007645 0.794955

HYPOTHESIS NO:2 QUESTIONS 1, 2, 3, 5, 22, 23, 24, 30, 40, 46, 47(BARS SHOWN BELOW ARE RESPONSES TO THESE 11 QUESTIONS ) 50

45

40

35

30

Series1 Series2

25

20

15

10

5

0 1

2

3

4

5

6

7

8

9

10

11

HYPOTHESIS NO:2 EMPLOYEE TURN-OVER CAN BE REDUCED BY ADOPTING TO THE CORRECT SELECTION, JUST POLICIES AND PRACTICES

HYPOTHESIS NO:2 TOTAL NO: OF YES'S RESPONDENT-WISE AGAINST ALL 11 QUESTIONS 12 10 0-11

8 6 4 2 0 1

0-11 QUESTIONS

0-45 RESPONDENTS

Series1 Series2 Series3 Series4 Series5 Series6 Series7 Series8 Series9 Series10 Series11 Series12 Series13 Series14 Series15 Series16

HYPOTHESIS NO.2 RESULTS DERIVED ON VARIABLES 12 10 8

Series 1

6 4

Series 2

2 0 1

2

3

4

5

6

0-11 QUESTIONS

1=SENIOR, 2=JUNIOR, 3=AFLOAT, 4=ASHORE, 5=PERMANANT, 6=CONTRACTUAL

AVERAGE RESULT OF HYPOTHESIS NO: 2 ON THE BASIS OF QUESTIONS 12 10 8

Series 1

6

Series 2

4 2 0 1

0-45 RESPONDENTS

YES=9.58

NO= 1.42

AVERAGE RESULT OF HYPOTHESIS 2 ON BASIS OF RESPONDEN TS 50 40 30

Series 1

20

Series 2

10 0 1 YES =39.18, NO=5. 82

0

X^2 142.4

C.V. 443.6

HYPOTHESIS 2 Ho : EMPLOYEE TURN-OVER CAN BE REDUCED BY ADOPTING TO THE CORRECT SELECTION, JUST POLICIES AND PRACTICES. H1 : EMPLOYEE TURN-OVER CANNOT BE REDUCED BY ADOPTING TO THE CORRECT SELECTION, JUST POLICIES AND PRACTICES. THE CHI-SQUARE TEST PERFORMED: X^2 CRITICAL VALUE CONFIDENCE LEVEL

= 142.4 = 443.6 = 0.05 ( 95%)

RESULT: There is enough evidence to support the claim that “ employee turn-over can be reduced by adopting to correct selection, just policies and practices “

resp1 resp2 resp3 resp4 resp5 resp6 resp7 resp8 resp9 resp10 resp11 resp12 resp13 resp14 resp15 resp16 resp17 resp18 resp19 resp20 resp21 resp22 resp23 resp24 resp25 resp26 resp27 resp28 resp29 resp30 resp31 resp32 resp33 resp34 resp35 resp36 resp37 resp38 resp39 resp40 resp41 resp42 resp43 resp44 resp45 yes no

q8 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

q16 q17 q18 q19 q20 q21 q32 q35 q41 q42 yes no 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 10 1 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 9 2 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 6 5 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 1 1 1 1 1 1 1 1 1 1 11 0 45 45 44 42 41 45 43 45 43 45 43.9 10.7 0 0 1 3 4 0 2 0 2 0 1.09 0.27

MEAN 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73 10.73

VAR 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.012111 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.06802 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.316202 0.001657 0.001657 0.508475 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.001657 0.972739

HYPOTHESIS NO:3 QUESTIONS: 8,16,17,18,19,20,21,32,35,41,42 50

45

40

35

30

Series1 Series2

25

20

15

10

5

0 1

2

3

4

5

6

7

8

9

10

11

HYPOTHESIS NO:3 - RESPECT, ENCOURAGEMENT AND SOCIAL WELFARE CAN MAKE EMPLOYEES TO FALL IN LOVE WITH THE ORGANIZATION

12 10 8 6 4 2 0 1

0-11 QUESTIONS

0-45 RESPONDENTS

Series1 Series2 Series3 Series4 Series5 Series6 Series7 Series8 Series9 Series10 Series11 Series12 Series13 Series14 Series15 Series16 Series17

HYPOTHESIS NO: 3 RESULTS DERIVED ON VARIABLES 12 10 8

Series1

6 4

Series2

2 0 1

2

3

4

5

6

0-45 RESPONDENTS

1=SENIOR, 2=JUNIOR, 3=AFLOAT, 4=ASHORE, 5=PERMANENT, 6=CONTRACTUAL

AVERAGE RESULT OF HYPOTHESIS NO: 3 ON BASIS OF RESPONDENTS 50 40 30

Series 1

20

Series 2

10 0 1 YES= 43.91

0-11 QUESTIONS

0-11 QUESTIONS

HYPOTHESIS NO:3 TOTAL NO: OF YES'S RESPONDENT-WISE AGAINST ALL QUESTIONS

NO=1.09

AVER AGE RESU LT OF HYPOTHESIS NO: 3 ON BASIS OF ALL QUESTIONS 12 10 8

Series 1

6

Series 2

4 2 0 1 YES=10.73

NO= 0.27

0

X^2 231.8

C.V. 443.6

HYPOTHESIS 3 Ho : RESPECT, ENCOURAGEMENTAND SOCIAL WELFARE CAN MAKE EMPLOYEES TO FALL IN LOVE WITH THE ORGANIZATION. H1 : RESPECT, ENCOURAGEMENT AND SOCIAL WELFARE CANNOT MAKE EMPLOYEES TO FALL IN LOVE WITH THE ORGANIZATION. THE CHI-SQUARE TEST PERFORMED: X^2 CRITICAL VALUE CONFIDENCE LEVEL

= 231.8 = 443.6 = 0.05 ( 95%)

RESULT: There is enough evidence to support the claim that “ Respect, encouragement and social welfare can make employees to fall in love with the organization. “

q10 q11 q12 q13 q31 q34 q36 q37 q44 q63 q65 q66 1 1 1 1 1 1 1 1 1 1 1 1

yes 12

no 0

mean 11.07

VAR 0.8649

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

1

1 1 1 1 1 1 1 1

25 20

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1 1 1 1 1 1 1 1 1 1 1 1 1

1 1 1 1

1

1 1 1 1 1 1 1 1 1 1 1 1 1 32 13

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 40 5

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 41 4

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 45 0

12 0 12 0 12 0 12 0 12 0 12 0 12 0 12 0 10 2 12 0 12 0 12 0 12 0 12 0 11 1 9 3 11 1 11 1 12 0 9 3 10 2 10 2 10 2 10 2 8 4 10 2 11 1 9 3 11 1 11 1 12 0 12 0 12 0 12 0 12 0 11 1 11 1 11 1 11 1 11 1 10 2 11 1 10 2 11 1 41.5 11.1 3.5 0.93

11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07 11.07

0.8649 0.8649 0.8649 0.8649 0.8649 0.8649 0.8649 0.8649 1.1449 0.8649 0.8649 0.8649 0.8649 0.8649 0.0049 4.2849 0.0049 0.0049 0.8649 4.2849 1.1449 1.1449 1.1449 1.1449 9.4249 1.1449 0.0049 4.2849 0.0049 0.0049 0.8649 0.8649 0.8649 0.8649 0.8649 0.0049 0.0049 0.0049 0.0049 0.0049 1.1449 0.0049 1.1449 0.0049 48.8005

HYPOTHESIS NO:4 QUESTION NO: 10,11,12,13,31,34,36,37,44,63,65,66 50

45

40

0-45 RESPONDENTS

35

30

Series1

25

Series2

20

15

10

5

0 1

2

3

4

5

6

7

8

9

10

11

HYPOTHESIS NO:4 RIGHT INCENTIVES AND SUCCESSION PLANNING CAN DEVELOP LOYALTY, GROWTH AND PRODUCTIVITY IN EM PLOYEES

12

14 12 10 8 6 4 2 0 1

0-12 QUESTIONS

0-45 RESPONDENTS

Series1 Series2 Series3 Series4 Series5 Series6 Series7 Series8 Series9 Series10 Series11 Series12 Series13 Series14 Series15 Series16 Series17

HYPOTHESIS NO: 4 RESULTS DERIVED ON VARIABLES 14 12 10 8 6 4 2 0

Series1 Series2

1

2

3

4

5

6

0-45 RESPONDENTS

1=SENIOR, 2=JUNIOR, 3=AFLOAT, 4=ASHORE, 5=PERMANENT, 6=CONTRACTUAL

AVERAGE RESULT OF HYPOTHESIS NO:4 ON BASIS OF RESPONDENTS 50 40 30

Series1

20

Series2

10 0 1 YES=41.5

0-12 QUESTIONS

0-12 QUESTIONS

HYPOTHERSIS NO:4 TOTAL NO: OF YES'S RESPONDENT-WISE AGAINST ALL QUESTIONS

NO=3.5

AVERAGE RESULT OF HYPOTHESIS NO:4 ON BASIS OF 12 QUESTIONS 12 10 8

Series1

6

Series2

4 2 0 1 YES=11.07

NO=0.93

0

X^2 200.7

C.V. 443.6

HYPOTHESIS 4 Ho : RIGHT INCENTIVES AND SUCCESSION PLANNING CAN DEVELOP LOYALTY. GROWTH AND PRODUCTIVITY IN EMPLOYEES. H1 : RIGHT INCENTIVES AND SUCCESSION PLANNING CANNOT DEVELOP LOYALTY. GROWTH AND PRODUCTIVITY IN EMPLOYEES. THE CHI-SQUARE TEST PERFORMED: X^2 CRITICAL VALUE CONFIDENCE LEVEL

= 200.7 = 443.6 = 0.05 ( 95%)

RESULT: There is enough evidence to support the claim that “ Right incentives and succession planning can develop loyalty, growth and productivity in employees. “

q4

q6

q9

q2

q2

q2

q3

q4

q5

q5

q5

yes

no

MEAN

VAR

5 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

6 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

7 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

3 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

0 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

2

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

9 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

3 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

1 1 1 1

45

45

13

45

45

45

43

45

45

24

37

0

0

32

0

0

0

2

0

0

21

8

1 1 1 1 1 1 1 1 1

1 1

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

10 10 10 10 9 10 10 10 10 9 10 10 10 10 10 9 9 9 9 9 9 9 9 9 9 8 10 10 8 9 10 10 10 10 10 10 10 10 10 10 9 10 10 10 10 39.

3 5.7 3

1 1 1 1 2 1 1 1 1 2 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 3 1 1 3 2 1 1 1 1 1 1 1 1 1 1 2 1 1 1 1 9.

6 1.

4

$9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60 $9.60

0.16 0.16 0.16 0.16 0.36 0.16 0.16 0.16 0.16 0.36 0.16 0.16 0.16 0.16 0.16 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 2.56 0.16 0.16 2.56 0.36 0.16 0.16 0.16 0.16 0.16 0.16 0.16 0.16 0.16 0.16 0.36 0.16 0.16 0.16 0.16 14.8

HYPOTHESIS NO:5 QUESTIONS 4,6,9,25,26,27,33,49,50,52,53 50

45

40

0-45 RESPONDENTS

35

30

Series1

25

Series2

20

15

10

5

0 1

2

3

4

5

6

7

8

9

10

HYPOTHESIS NO:5 PERM ANANT JOB OFFER TO CONTRACTUAL EM PLOYEES CAN ILLIM INATE ATTRITION AND DEVELOP LOYALTY ACROSS THE M ARINE INDUSTRY

11

HYPOTHERSIS NO:5 TOTAL NO: OF YES'S RESPONDENT-WISE AGAINST ALL QUESTIONS

10 8 6 4 2 0 1

0-11 QUESTIONS

0-45 RESPONDENTS

HYPOTHESIS NO:5 RESULTS DERIVED ON VARIABLES 12 10 8

Series1

6 4

Series2

2 0 1

2

3

4

5

6

0-45 RESPONDENTS

1=SENIOR, 2=JUNIOR, 3=AFLOAT, 4=ASHORE, 5=PERMANENT, 6=CONTRACTUAL

AVERAGE RESULT OF HYPOTHESIS NO:5 ON BASIS OF RESPONDENTS 50 40 30

Series 1

20

Series 2

10 0 1 YES=39.27

0-11 QUESTIONS

0-10 QUESTIONS

12

Series1 Series2 Series3 Series4 Series5 Series6 Series7 Series8 Series9 Series10 Series11 Series12 Series13 Series14 Series15 Series16 Series17

NO=5.73

AVERAGE RESULT OF HYPOTHESIS NO:5 ON BASIS OF 11 QUESTIONS 12 10 8

Series 1

6

Series 2

4 2 0 1 YES=9.6

NO=1.4

0

X^2 140.2

C.V. 443.6

HYPOTHESIS 5 Ho : PERMANENT JOB OFFER TO CONTRACTUAL EMPLOYEES CAN ILLIMINATE ATTRITION AND DEVELOP LOYALTY ACROSS THE MARINE INDUSTRY. H1 :. PERMANENT JOB OFFER TO CONTRACTUAL EMPLOYEES CANNOT ILLIMINATE ATTRITION AND DEVELOP LOYALTY ACROSS THE MARINE INDUSTRY.

THE CHI-SQUARE TEST PERFORMED: X^2 CRITICAL VALUE CONFIDENCE LEVEL

= 140.2 = 443.6 = 0.05 ( 95%)

RESULT: There is enough evidence to support the claim that “ Permanent job offer to contractual employees can eliminate attrition and develop loyalty across marine industry. “

RESP1 RESP2 RESP3 RESP4 RESP5 RESP6 RESP7 RESP8 RESP9 RESP10 RESP11 RESP12 RESP13 RESP14 RESP15 RESP16 RESP17 RESP18 RESP19 RESP20 RESP21 RESP22 RESP23 RESP24 RESP25 RESP26 RESP27 RESP28 RESP29 RESP30 RESP31 RESP32 RESP33 RESP34 RESP35 RESP36 RESP37 RESP38 RESP39 RESP40 RESP41 RESP42 RESP43 RESP44 RESP45

q45 q48 q54 q55 q56 q57 q58 q59 q60 q61 q62 yes no 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 1 9 2 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 1 9 2 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 7 4 1 1 1 1 1 1 1 1 8 3 1 1 1 1 1 1 1 7 4 0 2 32 45 45 45 43 45 45 0 45 31.5 7.76 45 43 13 0 0 0 2 0 0 45 0 13.5 3.24

MEAN 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76 7.76

VAR 0.5776 0.0576 0.0576 0.0576 0.5776 0.0576 0.0576 0.0576 0.0576 0.5776 0.0576 0.0576 0.0576 0.0576 0.0576 0.0576 0.0576 0.0576 0.0576 0.5776 0.5776 0.0576 0.0576 0.0576 1.5376 0.0576 0.5776 0.5776 0.5776 0.5776 1.5376 0.0576 0.0576 0.0576 0.0576 0.0576 0.5776 0.5776 0.0576 0.0576 0.0576 0.0576 0.5776 0.0576 0.5776 12.312

HYPOTHESIS NO:6 QUESTIONS 45,48,54,55,56,57,58,59,60,61,62 50

45

40

0-45 RESPONDENTS

35

30 Series1 Series2

25

20

15

10

5

0 1

2

3

4

5

6

7

8

9

10

11

HYPOTHESIS NO:6 MULTI-NATIONAL CREW CAUSE COMMUNICATION GAP THUS RESULTING IN DISHARMONYAND INMCREASE ATTRITION AMONG CREW

12

10 8 6 4 2 0 1

0-11 QUESTIONS

0-45 RESPONDENTS

Series1 Series2 Series3 Series4 Series5 Series6 Series7 Series8 Series9 Series10 Series11 Series12 Series13 Series14 Series15 Series16 Series17

HYPOTHESIS NO:6 RESULTS DERIVED ON VARIABLES 10 8 6

Series1

4

Series2

2 0 1

2

3

4

5

6

0-45 RESPONDENTS

1=SENI OR, 2=JUNIOR, 3=AFLOAT, 4=ASHORE, 5=PERMANENT, 6=CONTRACTUAL

AVERAGE RESULT OF HYPOTHESIS NO:6 ON BASIS OF RESPONDENTS 35 30 25 20

Series1

15 10 5 0

Series2

1 YES=31.50

0-11 QUESTIONS

0-11 QUESTIONS

HYPOTHESIS NO:6 TOTAL NO: OF YES'S RESPONDENT-WISE AGAINST ALL QUESTIONS

NO=13.50

AVERAGE RESULT OF HYPOTHESIS NO:6 ON BASIS OF 11 QUESTIONS 10 8 6

Series 1

4

Series 2

2 0 1 YES=7.76

NO=3.24

0

X^2 43.9

C.V. 443.6

HYPOTHESIS 6 Ho : MULTI-NATIONAL CREW CAUSE COMMUNICATION GAP THUS RESULTING IN DISHARMONY AND INCREASE ATTRITION AMONG CREW. H1 : MULTI-NATIONAL CREW DO NOT CAUSE COMMUNICATION GAP THUS RESULTING IN DISHARMONY AND INCREASE ATTRITION AMONG CREW.

THE CHI-SQUARE TEST PERFORMED: X^2 CRITICAL VALUE CONFIDENCE LEVEL

= 43.9 = 443.6 = 0.05 ( 95%)

RESULT: There is enough evidence to support the claim that “ Multi-national crew cause communication gap thus resulting in disharmony and increase attrition among crew. “

Page 70 Semi-o-logical or conversation analysis: Conversation Analysis (CA) as a mode of inquiry is addressed to all forms of talk and other conduct in interaction, and, accordingly, touches on the concerns of applied linguists at many points. This review sketches and offers bibliographical guidance on several of the major relevant areas of conversation-analytic work—turn-taking, repair, and word selection—and indicates past or potential points of contact with applied linguistics.

The idea of this topic came into mind after having gone through a very critical period of my professional life when I was sailing as Master in a PRC (Peoples Republic of China) shipping company based in Mainland China with head office in Shanghai and sub office in Hong Kong. They had a policy of hiring one good professional, pay him handsomely and keep all Chinese officers and crew who had no exposure whatsoever of international shipping, thus void of experience and additionally had very poor knowledge of English language giving rise to communication gap.

As long as things were running good and smooth the language barrier did not play any vital role in ship operations. The actual flaw, barrier and hindrance came to light when a near miss accident was averted by a miracle.

CHAPTER 6

DISCUSSION

1. Degree of research questions answered 2. Degree of hypothesis test 3. Implications of research findings on concepts and theories 4. Implications of findings for researchers 5. How have the findings contributed to the literature

Bibliography: 1. Angelica, E. The Wilder Non profit Field Guide to Crafting Effective Mission and Vision Statements. Minneapolis: Amherst H. Wilder Foundation, 2001.

2. Anthony, R.N., and Young, D.W. “ Characteristics of the Nonprofit Organization.” In D.L. Gies, J.S. Ott, and J.M. Shafritz (eds.), The Nonprofit Organization Essential Readings. Pacific Grove, Calif.: Brooks/Cole, 1989 3. Ashton, R.H. 1990. Pressure and performance in accounting design settings: Paradoxical effects of incentives, feedback, and justification. Journal of Accounting Research28: 148-180 4. Banker, R.D., S. Lee and G. Potter. 1996. A field study of the impact of a performance –based incentive plan. Journal of Accounting and Economics 21: 195-226 5. Bailey C., L. Brown, and A. Cocco. 1998. The effects of monetary incentives on worker learning and performance in an assembly task. Journal of Management Accounting Research 10: 119-131 6. Baron J. N. and D. M. Kreps 1999. Strategic Human Resources – Frameworks for General Managers. John Wiley & Sons, Inc. 7. Bonner, S.E., R. Hastie, G.B. Sprinkle, and S.M. Young. 2000. A review of the effects of financial incentives on performance in laboratory tasks: Implications for management accounting. Journal of Management Accounting Research 12: 19-64 8. Brickley, J.A. and J.L. Zimmerman. 2001. Changing incentives in a multitask environment: Evidence from a top-tier business school. Journal of Corporate Finance 7: 367-396.

9. Demski, J. and G. Feltham. 1978. Economic incentives in dudgetary control systems. The Accounting Review 53: 336-359 10. Dr. C. Chendroyaperumal. 2006. Retention Strategies From 5000 Year-Old Indian Wisdom on Human Resource Management.

11. Driscoll, P.A. 1994. Sears to link incentives for auto service sales to customer satisfaction. Marketing News 28: 8.

12. Feltham, G. and J. Xie. 1994. Performance measure congruity and diversity in multi-task principal/agent relations. The Accounting Review 69: 429-453

13. Freeman, R.B., and M.M. Kleiner. 1998. The last American shoe manufacturers: Changing the method of pay to survive foreign competition. Working Paper, NBER 14. Gibbs, M. 1995. Incentive compensation in a corporate hierarchy. Journal of Accounting and Economics 19: 247-277 15. Greene, W.H. 2000. Econometric Analysis. Upper Saddle River, NJ: Prentice Hall.

16. Hair, j., R., Anderson, R. Tatham, and W. Black. 1998.

Analysis. 6th. Ed. Prentice Hall Inc.

Multivariate

Data

17. Hollenbeck, J.R. and C.R. Williams. 1986. Turnover functionality versus turnover frequency: A note on work attitudes and organizational effectiveness.

Journal of Applied Psychology 71: 606-611 18. Holmstrom, B. 1979. Moral hazard and observability. Bell Journl of Economics 10: 74-91 19. Joanna L.Y. Ho, Anne Wu, Ling Chu Lee, 2006. How Changes in compensation plans Affect Employee Performance, Recruitment and Retention – An Empirical Study 20. Johnston, J. and J. Dinardo. 1997. Econometric Methods. Singapore: McGrawHill 21. Kunz, A.H. and D. Pfaff. 2002. Agency Theory, performance evaluation, and the hypothetical construct of intrinsic motivation. Accounting, Organization and Society 27: 275-195 22. Kruthika Rao. A Project Report on Employee Retention 2007-2008 23. Lewis, G.B. “ Part- Time Employment in the Federal Service: Do The Benefits Outweigh The Costs?” American Review of Industrial Organizational Psychology, 1998, 28, 61-74 24. Maertz, C.P., and Campion, M.A. “ 25 Years of Voluntary Turnover Research: A Review and Critique.” International Review of Industrial Organizational Psychology, 1998, 13, 49-81 25. William A. Brown, Carlton, F. Yoshioka. Mission Attachment and Satisfaction as Factors in Employee Retention 2009