Impact of Employee Turnover on Productivity of a Tour and Travelling Company: A Case Study on Trailfinders

This research project focuses on the analysis of the issues of employee turnover along with its impact on the overall productivity level of a traveling company. The study is based on Trailfinders, a well-known British travel company. The main objectives of the study are to review the main reasons creating the issue of high employee turnover, evaluate the impact of employee turnover on productivity, and determine effective ways and practices that can be adopted by the management of Trailfinders to overcome the issue of employee turnover.

Foundation year project
Table of Contents

Topic: Impact of employee turnover on productivity of a tour and travelling company. A case
study on Trailfinders........................................................................................................................1
Chapter 1: Introduction....................................................................................................................1
Chapter 2: Research methodology...................................................................................................2
Gantt chart presenting research timeline................................................................................2
Chapter 3: Literature review............................................................................................................3
To review about the main reasons creating the issue of the high employee turnover............3
To evaluate about the impact of employee turnover on productivity of a tour and travelling
company.................................................................................................................................4
To determine about some more effective ways and practises that can be adopted by the
management of Trailfinders to overcome the issue of the employee turnover......................4
Chapter 4: Research based on secondary sources............................................................................4
Chapter 5: Conclusion......................................................................................................................6
REFERENCES................................................................................................................................6

Topic: Impact of employee turnover on productivity of a tour and travelling
company. A case study on Trailfinders.
Chapter 1: Introduction
The topic selected for this particular research project is based on the employee turnover that
comprises of the measurement of the number of employees who tend to leave an organization
during a specified time period that is manly up to one year. Further, the organisation selected for
current project is tend to be Trailfinders which is a well know and re-owned British travel
company having its operation across the United Kingdom and Ireland (Kobusingye, 2021).
Further, it tends to be one of the largest independently-owned travel company in the United
Kingdom along with the having of many travel centres in the UK and Ireland providing better
traveling experience to tourists. The main aim of the current project tends to focus and emphasis
on the analysis of the issues of employee turnover along with its impact on the overall
productivity level of a traveling company.
It has been seen that the global pandemic of the covid-19 has created many issues and
challenges for the management of travelling company as they lead out to a sudden halt due to the
lockdown and other measures (Ward and et. al., 2021). But after the re-opening of the traveling
companies a major issue and challenge related with the high employee turnover is being faced as
maximum number of staff is having lack of motivation along with health related concern. Thus,
current study is lead out on Trailfinders company with the following main objectives:
Research Objectives
 To review about the main reasons creating the issue of the high employee turnover.
 To evaluate about the impact of employee turnover on productivity of a tour and
travelling company.
 To determine about some more effective ways and practises that can be adopted by the
management of Trailfinders to overcome the issue of the employee turnover.
Research questions
 What are the main reasons creating the issue of the high employee turnover?
 What possible impact of employee turnover on productivity of a tour and travelling
company?
1

 Which can be some more effective ways and practises that can be adopted by the
management of Trailfinders to overcome the issue of the employee turnover?
Chapter 2: Research methodology
The research method that are applied within current study comprises of the use of the
positivism philosophy that tend to supports and leads out a systematic and practical way of
investigation. Along with this, the use of the inductive approach has been made within current
study that lead to better testing as well as effective scanning of the collected facts (Asif and
Nisar, 2021). Along with this, out of the qualitative and quantitative nature of the research
method making use of the quantitative nature of the research method has been proposed. The
reason behind making the use of the quantitative nature of the study tend to be based on the fact
that it supports numeric collection of fact which lead to more effective and better analysis and
presentation of the fact. Along with this, the use of the secondary source of information has been
within current project which ensures and leads to easy review of the data from pre-exiting set of
information thus it tend to be more effective and efficient way of collection and review of data
(CHIU, ZHU and FONDA, 2021).
Gantt chart presenting research timeline
2

Chapter 3: Literature review
To review about the main reasons creating the issue of the high employee turnover.
With respect to the information provided by the Tuders, J.F., 2021, it has been seen and
analysed that the issue of the high employee turnover is related with the fact and the
measurement of the total loss of talented employee within the workforce of the company over
time. The reason for the employee turnover tend to includes the employee departure, including
resignations, layoffs, terminations, retirements, location transfers, or even death. Further,
Employees are overwhelmed by amount work, Lack of recognition, Company culture, Poor
relationship with Manager, Lack of flexibility and Remuneration and benefits are also the main
reasons creating the issue of the high employee turnover (Zafar and et. al., 2021).
3

To evaluate about the impact of employee turnover on productivity of a tour and travelling
company
As per the view point of the Asiimwe, J., 2021, it has been seen that employee turnover
tend to have a negative impact on the productivity of a tour and travelling company as it leads to
absence of talented and skilled employees that hampers its performance level. Beside this, staff
turnover typically experience and lead to low employee morale and productivity rates as new
employee tend to have a higher period of adjustment and they won't complete tasks as quickly as
the person experienced employee (Ali, 2021).
To determine about some more effective ways and practises that can be adopted by the
management of Trailfinders to overcome the issue of the employee turnover
According to the view point of the Ofori, D.F., Ansah, E. and Amankwah, M.O., 2021, the
some more effective ways and practises that can be adopted by the management of Trailfinders
to overcome the issue of the employee turnover comprises of focusing on improved workplace
culture and relationship. Beside this, offering better incentives and remuneration also tend to
supports an effective way to have higher employee retention level. Beside this, leading effective
communication and implication of the participative nature of leadership also ensures higher
morale within employees based on improved envelopment and positive realisation that set out an
effective ways and practises that can be adopted by the management of Trailfinders to overcome
the issue of the employee turnover (Butson, Tower and Schwarz, 2021).
Chapter 4: Research based on secondary sources
Presentation of facts
High employee turnover is costly and can negatively affect the business caused by a lack
of communication, support, and company culture. It has been seen that at present all the industry
are facing the issue of high employee turnover that is mainly due to the lack of efficient
motivation and satisfaction level in employees along with the rising competition level.
4

Figure 1: Employee turnover rate, 2021
The above stated chart is presenting that the employee turnover has becoming a common
issue and has been seen within all industry. Travel and hotel industry is aiming the top two
industry that is facing the maximum issue of employee turnover as depicted and presented by
above bar chart (Samad, Muchiri and Shahid, 2021).
Figure 2: Cost lead out by employee turnover, 2021.
Further, Turnover is costing exorbitant amounts of money every year and HR departments
have been fighting it for decades and the issue of employee turnover is continuing to inflate thus
it has become important to review about the cost associated with turnover that debilitate or even
cripple a company that has been presented by above stated pie chart (Lyons and Bandura, 2021).
It has been seen and analysed that productivity loss is the main threat lead by high employee
turnover accounting for more than 52%. Further, Recruitment cost, selection cost and orientation
5

and training are also created comprising of 20%, 11% and 14% in respective manner (Idrees and
et. al., 2021).
Analysis of the data
On the basis of current report, it has been find out and analysed that the because of the
global pandemic of covid-19 the employees are feeling lack of motivation and are tend to be
concern and stressful about their health which is causing high employee turnover within
traveling industry. Beside this, it has been also observed that the impact of high staff turnover
tend to comprises of the decreased productivity along with the issues of the increased recruitment
costs together with the fact that a higher avoidable time spent on training new employees which
tend to lost sales and decrease the productvity level. Further, it has been also seen and analysed
that the recruitment cost and orientation and training of new employees is also presenting the
negative impact of employee turnover. Finally, having effective communication along with
improved remuneration and recognition for employees tend to support effective practises to
overcome the issue of the employee turnover (Fang, Gao and Hu, 2021).
Chapter 5: Conclusion
On the basis of current study, it has been concluded that the concept of employee turnover is
related with the number of employees who leave an organisation based on some specific reasons.
It has been also summarised that lack of motivation and ineffective remuneration are main reason
behind high employee turnover. Increasing cost of recruitment along with higher training and
orientation cost are main issues of employee turnover. Effective communication and participative
leadership tend to lead a positive workplace culture which act is main way and practise to
overcome issue of employee turnover.
REFERENCES
Books and journal
Ali, A.B.W., 2021. Prediction of Employee Turn Over Using Random Forest Classifier with
Intensive Optimized Pca Algorithm. Wireless Personal Communications, pp.1-18.
6

Asif, R. and Nisar, S., 2021. EXPLORING THE RELATIONSHIP BETWEEN EMPLOYEES
TURNOVER AND CORPORATE SOCIAL RESPONSIBILITY: A CASE STUDY OF
BANKING SECTOR IN PAKISTAN. Academy of Accounting and Financial Studies
Journal, 25, pp.1-14.
Asiimwe, J., 2021. Occupational Stress, Employee Turnover Intentions and Organizational
Performance (Doctoral dissertation, Makerere University).
Butson, M., Tower, J. and Schwarz, E.C., 2021. Lifeguard turnover in aquatic and recreation
centres: Perspectives from managers. Australian Journal of Career Development, 30(1),
pp.33-42.
CHIU, H.H., ZHU, Y.Q. and FONDA, W., 2021. EMPLOYEE MOBILITY AND
INNOVATION: THE ROLE OF TURNOVER RATE AND NETWORK
CENTRALITY. International Journal of Innovation Management, p.2150102.
Fang, R., Gao, B. and Hu, N., 2021. Intangible asset value of employee satisfaction in high-
contact services. International Journal of Hospitality Management, 94, p.102810.
Idrees, M.A. and et. al., 2021. Impact of Perks on Employees Turnover. Karachi University
Business Research Journal, 2(1).
Kobusingye, R., 2021. Occupational stress, employee motivation and turnover intentions: a case
study of cancer institute Mulago (Doctoral dissertation, Makerere University).
Lyons, P. and Bandura, R., 2021. Coaching to enhance learning and engagement and reduce
turnover. Journal of Workplace Learning.
Ofori, D.F., Ansah, E. and Amankwah, M.O., 2021. Family Responsive Policies and Employee
Turnover Intentions, the Mediating Role of Work Stress: Perspectives from a Developing
Country. International Journal of Economics & Business Administration (IJEBA), 9(1),
pp.392-410.
Samad, A., Muchiri, M. and Shahid, S., 2021. Investigating leadership and employee well-being
in higher education. Personnel Review.
Tuders, J.F., 2021. The Interactive Effect of Psychological Capital and Gender on Employee
Turnover and Promotion Within Entrepreneurial Ventures (Doctoral dissertation, The
University of North Carolina at Charlotte).
Ward, A.K and et. al., 2021. Diversity climate, trust, and turnover intentions: A multilevel
dynamic system. Journal of Applied Psychology.
Zafar, R. and et. al., 2021. So hard to say goodbye: impact of punitive supervision on turnover
intention. Total Quality Management & Business Excellence, pp.1-23.
7