Impact of High Employee Turnover on Business Performance: A Study on Amazon

This research aims to investigate the impact of high employee turnover on the performance of the business, with a focus on Amazon. The study will explore the concept of employee turnover, challenges faced by Amazon, impact on business performance, and ways to mitigate the challenges.

Research Project

Table of Contents
Title of the Project...........................................................................................................................1
Introduction......................................................................................................................................1
Research Aim, Objectives and Questions........................................................................................2
Literature Review.............................................................................................................................3
Research Methodology....................................................................................................................5
Time Scale.......................................................................................................................................8
References......................................................................................................................................11

Title of the Project
The impact of high employee turnover on the performance of the business.
Introduction
Overview of the Research
The study aim to analyse the impact of high employee turnover over the performance of
the business. Therefore, high employee turnover is the major concern of the business as the
organisations are generally worry over dealing with the turnover to expanding the performance
of the business (Aibieyi and Henry, 2015). Employee turnover is termed as the circumstance
where workers leave the business willfully for grouped reasons or are soothed through the
endeavor or resign, in this manner influencing the business, most occasions adversely as far as
expenses and the ability to convey the base required administrations. Staff turnover defined to
how many workers leaves the business and need replacing within provided time duration. The
most of the staff which leave within those particular periods the turnover rate of business will
rise and it direct affects the operational ability of the business. high employee turnover can
negatively influences the business and its employee in many way like reducing performance,
decreasing employees morale, negative working environment, Deteriorating Product or Service
Quality, Reduction in Marketing Return on Investment and so on. In this particular project
analysis has been executing over the study of Amazon.com. Inc, therefore, it is a American
multinational technology business that is mainly focuses over online business, distributed
computing, advanced streaming and man-made reasoning (Dodds and Hess, 2020). The company
was founded in the year of 1994 by the potential efforts of Jeff bezos. The company is working
with around 1,298,000 employees who are investing their amounts of energy inside the
development activity of the business. The determination is hand-off over Amazon on the grounds
that the organization is likewise battle with high turnover rate among the bleeding edge laborers
which was at twofold the business normal during the underlying long stretches of COVID 19
pandemic, supporting the opinion in between of critics which the Seattle commerce giants churns
via the workers (Flick, 2015).
Rationale of the Research
The potential intention of executing research over the aspect of investigating the impact
of high worker turnover on the presentation of the business, is that, high representative turnover
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is the most concern business and management issue which has direct effect over the activity and
movement of the business. Therefore, the study is imperative in providing detailed evaluation in
relation to the aspect of employee turnover and how it affects the operational ability of business
(Ahmad, 2015). The study is creating value for the business in terms of getting suitable
knowledge to handle the issue of high employee turnover and implementing effective measures
to resolve the challenges that are associated with high employee turnover. The another
explanation of executing the examination over the huge region is the individual premium of the
analyst, as the agent needs to upgrade knowledge about the aspect of employee turnover and the
management of the business to attain effective academic record and leads towards enhancing the
personal knowledge. The study is also effective in enhancing professional skills like dat
collection ability, time assessment, and performance management and so on, that would create
benefit in executing the future studies in more liable manner (Idowu, 2017).
Research Aim, Objectives and Questions
Research Aim
This is the pre defined statement which is effective in exploring the intention of executing
the research in suitable manner; therefore, the key aim of this research is “To investigate the
impact of high employee turnover on the performance of the business. A study on Amazon”.
Research Objectives
The
 To understand the concept of employee turnover in the context of a business.
 To identify the challenges faced by Amazon due to high employee turnover.
 To study the impact of employee turnover on the performance of business.
 To determine the ways, that could be opt by Amazon in mitigating the challenges of high
employee turnover.
Research Questions
 What is the concept of employee turnover in the context of a business?
 What are the challenges faced by Amazon due to high employee turnover?
 What is the impact of employee turnover on the performance of business?
 What are the ways, that could be opt by Amazon in mitigating the challenges of high
employee turnover?
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Literature Review
A literature review is an overview of the past published works over a specific area of
study, therefore, this is the most suitable area which aid value in developing in-depth analysis to
executing the study in right way. On account of this current examination work, transfer over the
space of dissecting the effect of representative turnover over the exhibition of the business,
writing is compelling in creating hypothetical viewpoint through the help of books, diaries,
articles, etc (Kundu and Gahlawat, 2016).
The concept of employee turnover in the context of a business.
According to the view of Roder (2019), worker turnover characterizes as the deficiency
of ability inside the labor force after some time; accordingly, this includes any representative
flight including the acquiescence, cutbacks, terminations, retirement, area move and even deaths.
In most of the situations, these leavers are requires to be replaced through the new employees,
thus, the employee turnover often is a outcome of poor hiring decision or the bad management.
High employee turnover is a major issue which is widely faces by the business and affects the
overall functional ability of the business (Flick, 2020). However, employee turnover is also
termed as the analysis the quantity of representatives who leave a business during a
predetermined timeframe, commonly in a year. While a business chiefly dissect the all out
number of representatives who leave, turnover can likewise apply to subcategories inside a
systematic individual divisions or segment gatherings. In the setting to business, high worker
turnover is the major concern of the business and organisations are widely concern over
managing the turnover as it affects the entire productivity and performance of the business in the
manner to decreasing operational ability, reducing sales, lower down the productivity and so on,
that affects the operations of business.
The challenges faced by Amazon due to high employee turnover.
According to the view of Ferreira (2021), high employee turnover is a major issue which
is widely being faces by the businesses and ahs affect the entire operational ability of the
business. Amazon, is a presently second biggest private boss in the United States and it could
turn into the greatest in the impending years, however another exploration has present that, the
bring up an issue according to the business the executives of distribution centre workers and
finds a strangely high pace of turnover in the middle of its hourly representatives around 150%
every year, prior to the pandemic that implies the business was losing around 3% of its
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stockroom workers each week (Lăzăroiu, 2015). In addition to this, Amazon has been suffering
through the high employee turnover. Therefore, the aspect mainly arises due to the demand for
the service at the starting of the COVID 19 pandemic that has attained momentum or
significantly outcome in a series f hiring which the business carried out in the year of 2020 to
supply the production. However, business is facing issues related with reducing business
performance, lower down the performance, low productivity and so on that has affect the
operations and progression of the business.
The impact of employee turnover on the performance of business.
According to the view of Wynen, Dooren, Mattijis and Deschamps (2018), staff turnover
is a core aspect within business and management, thus, organizations and its administration are
worry over dealing with the turnover to expanding the presentation of the business. Productivity
is mainly termed as the essential challenge for business in each size. Therefore, the productivity
of a business is thus mostly influenced through the assorted aspects including worker turnover.
Representative turnover is named as one of the key testing issues in business these days.
Representative turnover is turning into a significant worry in among the vast majority of
organizations in the world, mainly in low paying jobs (Azeez, 2017). Employee turnover can be
tremendously offensive and disturbing for any business. It makes employers find it very hard to
maintain a stable and successful operation. However, employee turnover has direct negative
impact of the performance and progression of the business as it directly affects the professional
ability of the business and influence the overall growth and development of Amazon. Thus it is a
leading e-commerce business which has its major concern over developing the operational ability
and facing the issue of high employee turnover in the pandemic of COVID 19 as it affects the
operational and professional ability of the business to attain growth and success.
The ways, that could be opt by Amazon in mitigating the challenges of high employee
turnover.
According to the view of Kappel (2017), employee turnover is something which every
organisation with workers experience, even in small as well as large business organisation,
employee turnover is the most considered aspect of business. Amazon is a leading multinational
e-commerce business which has its operations all around the globe and the business is also
facing issues related with high employee turnover are decreasing performance, lower
productivity, less operational efficiency and so on, that are affecting the operational ability of the
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business. Thus, there are assorted ways like hire the right employee, offer competitive pay and
benefit, training and development session to employees, giver praise, show employees the career
path, flexible working schedule, rewards and incentives and so on that are effective provided by
Amazon to resolving the issue of turnover.
Research Methodology
Research design is a particular interaction or apparatus which is carried out to identify,
pick, measure and assess information corresponding to a predefined branch of knowledge. In an
examination work, the segment of philosophy fundamentally permits the perused and researcher
to basically dissect the investigation's general legitimacy and unwavering quality. This is the
most important piece of work, which helps in supporting the whole examination in right way via
applying the most suitable tool (Okotoh, 2015). Therefore, on account of this current
examination work, transfer over the space of dissecting the effect of high worker turnover on the
exhibition of the business, suitable implementation of methodology is relay over the execution of
research onion as it is the most suitable aspect to provide systematic evaluation of the study,
hence the suitable aspects that are important for executing the study are associated as under:
Research Philosophy: An examination theory named as the belief and opinion according
to a manner by which data identified with a predefined marvel are should be gathered, assessed
and executed into an activity. The choice of theory is transfer more than four perspectives for
example, positivism, Interpretivism, realism and pragmatism research philosophy, therefore, the
selection is relay over the nature of the research and the information accumulated to aid the study
in right manner. In the context to this present study, based on the aspect of analysing the impact
of high employee turnover over the performance of the business, positivism philosophy will be
the most suitable tool to execute analysis in effective manner, thus, this helps in providing actual
facts and figures that are based on the aspect of employee turnover and affects the operational
ability of the business (Mackey and Gass, 2015). However, the approach is widely suitable for
gathering information that is based on statistical and mathematical aspects.
Research Approach: The examination approach is characterized as an arrangement and
method which comprises of the means of expansive suppositions to itemized instruments of data
assortment, evaluated, and interprets. It is accordingly, transfer over the part of deductive and
inductive research approach. In the setting to this current examination work, deductive
exploration approach will be the most suitable tool to execute analysis with the support of
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positivism philosophy, thus this is the best tool to successfully uphold quantitative investigation.
Subsequently it is fundamentally worry conducting study over the existing theories and then
develop hypothesis to reaching at the suitable outcome. However, the analysis will be relay over
analysing the theories, models, concepts based on the aspect of employee turnover and then set
hypothesis to executing the evaluation in detailed manner (Santhanam and et. al., 2015).
Research Strategy: Research strategy is perceived as the basic layer of an examination
onion which basically addresses how an investigator means to help the entire examination in
right way to choose the suitable assessment strategy. The procedure can incorporate a wide scope
of grouped devices like interview, case study, focus group, survey, and questionnaire and so on.
Consequently, these all are the most significant sources to direct the examination in right way,
subsequently, with regards to this current examination questionnaire and literature review will be
reasonable to accumulate dependable data over the aspect of analysing the impact of employee
turnover over the performance of the business (Wilton, 2016). However, questionnaire will be
viable in social affair data from the more extensive population and literature review is huge in
creating understanding comparable to the picked study region.
Research Choice: Research decision is chiefly hand-off more than three angles for
example mono, multi and mixed examination system. Mono technique is the tool where
examination must be hand-off over qualitative or quantitative viewpoints. The mixed method is
includes over the utilization of at least two techniques for examination and normally refers to the
utilization of qualitative and quantitative philosophy. At last, the multi-strategy utilizes a more
extensive determination of techniques (Stone and Deadrick, 2015). On account of this current
examination work, mono technique will be carrying out by the researcher as here, quantitative
analysis will be considering by the researcher since it is well reasonable to executing definite
examination with the amassing of numerical and mathematical data. In any case, the evaluation
is mostly transfer over descriptive evaluation where analysis will be based on accumulation of
data within numeric and statistical aspects as the evaluation is more effective in quantitative
study because opinion will be evaluated and measures effectively.
Data Collection tools: This is the main angle to be considered at the time of executing
the examination in right way, as the whole execution of the examination is transfer over the
wellsprings of information assortment, Therefore, the gathering of data depends on two
perspectives for example primary and secondary sources of information assortment. Primary
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study will mainly be executing to gather first hand information that are only stick to the specified
subject and never being accumulated before, here the assortment of information is relay over
focus group, interview, survey, case study and so on. Whereas, secondary study is based on
already accumulated information over the specified subject. Here, information accumulation is
relay over books, journals, articles, online sources, and company websites and so on. On account
of this current examination work, in light of analysing the impact of employee turnover over the
performance of the business, both primary and secondary sources will be considering by the
researcher as the primary study will be developing through designing questionnaire where
questions are developed that covers the aim and objectives of the study (Noe and et. al., 2015).
On the other hand, secondary sources will be the most appropriate approach to foster clear
assessment by means of dissecting the ideas, concepts, models and hypothetical structures that
are transfer over the predefined subject. Nonetheless, the amassing of reasonable data is hand-off
over secondary sources like books, diaries, articles, online sources, etc, that are associated with
the predetermined subject.
Data Sampling: Sampling is replicates as the segment that duplicates through the first populace,
in this manner the selection of people is essentially incorporates over probabilistic and non
probabilistic sampling tools. Thusly, in the current examination, random sampling will be
considering by the researcher from the probabilistic device as it is solid to make appropriate
choice of the possibility to accumulate data. The sample size for this specific investigation is 50
as in this study employees of Amazon.com. Inc. will be selected to accumulate important data.
Data Analysis: Information examination characterized as the way toward cleaning, changing and
assessing the data in right manner to reaching at the significant results. Therefore, on account of
this current examination work dependent on the part of assessing the effect of employee turnover
on the performance of the business, analysis will be relay over approaching thematic analysis as
this will be the most suitable tool to execute the analysis in effective manner. Therefore, here
themes will be designed over the questions of questionnaire and the presentation will be relay
over frequency table and bar graphs, charts will be designed to presenting the outcome
effectively (Lin and Huang, 2020).
Ethical issue: In the execution of an investigation, it is significant for the analyst to
follow every one of the morals of research like informed consent, confidentiality, authenticity of
sources, safety and so on, that helps in aiding the work in right manner. In the current study, both
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primary and secondary study will be considering by the researcher and for this, researcher needs
to be concern over managing the consent at the starting of the study to receiving the consent
from the participants and also ensure that they can withdraw their consent any time. In addition
to this, the another issue that can be face by the researcher related to safety and security of the
information, therefore, respondents are mainly concern with leaking of their private information
(Jamali, El Dirani and Harwood, 2015). Researcher also needs to gather information from the
most authentic sources to gather specific information.
Time Scale
The plan over this present analysis involves different aspects which are defined as below:
 Identifying the issue
 Preparing aim and objectives
 Develop proposal
 Receiving feedback
 Detailed introduction about the study
 Conducting the literature review
 Selecting the research methods
 Sending questionnaire for the data collection procedure
 Collecting the data
 Interpreting the data collected
 Conclusion and recommendation
 Formatting the report
 Taking feedback from tutor
 Doing changes as per their guidance and notes
 Final submission of the report
Week1
-3
Week4
-8
Week9
-13
Week
1 4
Week1
5 -16
Week17-
18
Week1
9
Week
20
Week
21
Week
22
Wee
k 23
Wee
k 24
Identifying
the issue
Aim and
Objective
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development
Develop
proposal
Receiving
feedback
Detailed
introduction
about the
study
Literature
Review
Research
Methodolog
y
Sending
questionnai
re for the
data
collection
procedure
Collecting
the data
Interpreting
the data
collected
Conclusion
and
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recommend
ation
Formatting
the report
Taking
feedback
from tutor
Doing
changes as
per their
guidance
and notes
Final
submission
of the report
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References
Books and Journals
Aibieyi, S. and Henry, O.I., 2015. Talent management and employees retention in Nigerian
universities. NG-Journal of Social Development, 417(3868), pp.1-9.
Dodds, S. and Hess, A.C., 2020. Adapting research methodology during COVID-19: lessons for
transformative service research. Journal of Service Management.
Flick, U., 2015. Introducing research methodology: A beginner's guide to doing a research
project. Sage.
Idowu, A., 2017. Effectiveness of performance appraisal system and its effect on employee
motivation. Nile Journal of Business and Economics, 3(5), pp.15-39.
Kundu, S.C. and Gahlawat, N., 2016. Effects of employee retention practices on perceived firm
and innovation performance. International Journal of Innovation and Learning, 19(1),
pp.25-43.
Flick, U., 2020. Introducing Research Methodology: Thinking Your Way Through Your Research
Project. Sage.
Lăzăroiu, G., 2015. Employee motivation and job performance. Linguistic and Philosophical
Investigations, (14), pp.97-102.
Azeez, S.A., 2017. Human resource management practices and employee retention: A review of
literature. Journal of Economics, Management and Trade, pp.1-10.
Okotoh, M.A., 2015. The perceived effect of reward management practices on factors
influencing employee retention at communications authority of Kenya (Doctoral
dissertation, University of Nairobi).
Mackey, A. and Gass, S.M., 2015. Second language research: Methodology and design.
Routledge.
Santhanam, N., Kamalanabhan, T.J., Dyaram, L. and Ziegler, H., 2015. Examining the
moderating effects of organizational identification between human resource practices and
employee turnover intentions in Indian hospitality industry. GSTF Journal on Business
Review (GBR), 4(1).
Wilton, N., 2016. An introduction to human resource management. Sage.
Stone, D.L. and Deadrick, D.L., 2015. Challenges and opportunities affecting the future of
human resource management. Human Resource Management Review. 25(2). pp.139-145.
Noe, R.A. and et. al., 2015. Human resource management. Gaining a Competitive.
Jamali, D.R., El Dirani, A.M. and Harwood, I.A., 2015. Exploring human resource management
roles in corporate social responsibility: The CSR‐HRM co‐creation model. Business
Ethics: A European Review. 24(2). pp.125-143.
Lin, C.Y. and Huang, C.K., 2020. Employee turnover intentions and job performance from a
planned change: the effects of an organizational learning culture and job
satisfaction. International Journal of Manpower.
Online
Roder. N., 2019. What Is Employee Turnover (and Why It Matters). [online] Available
through:< https://www.zenefits.com/workest/what-is-employee-turnover-and-why-it-
matters/>
Ferreire. T., 2021. High employee turnover at Amazon is worrying, report says. [online]
Available through:< https://olhardigital.com.br/en/2021/06/16/pro/high-employee-
turnover-at-amazon-and-worrying-report-says/>
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Is Amazon’s high turnover a huge red flag or the secret to its dominance? [online] Available
through:< https://www.marketplace.org/2021/06/18/amazon-workforce-turnover-
dominance-investigation/>
Wynen. J., Dooern. W., Mattijs. J., and Deschamps. C., 2018. Linking turnover to organizational
performance: the role of process conformance. [online] Available through:<
https://www.tandfonline.com/doi/full/10.1080/14719037.2018.1503704>
Kappel. M., 2017. Ways To Reduce Employee Turnover. [online] Available through:<
https://www.forbes.com/sites/mikekappel/2017/08/09/5-ways-to-reduce-employee-
turnover/?sh=d4ffc3150014>
Aibieyi, S. and Henry, O.I., 2015
Dodds, S. and Hess, A.C., 2020
Flick, U., 2015
Idowu, A., 2017
Kundu, S.C. and Gahlawat, N., 2016
Flick, U., 2020
Lăzăroiu, G., 2015.
Azeez, S.A., 2017
Okotoh, M.A., 2015
Mackey, A. and Gass, S.M., 2015
Santhanam, N., Kamalanabhan, T.J., Dyaram, L. and Ziegler, H., 2015
Wilton, N., 2016
Stone, D.L. and Deadrick, D.L., 2015
Noe, R.A. and et. al., 2015
Jamali, D.R., El Dirani, A.M. and Harwood, I.A., 2015
Lin, C.Y. and Huang, C.K., 2020
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