Effective Organizational Culture and Employee Turnover Rate

This presentation discusses the importance of effective organizational culture in reducing employee turnover rate. It explores the link between organizational culture, employee motivation, and job satisfaction. The presentation also identifies the problem of high turnover in the hospitality industry and highlights the positive impact of organizational culture on employee retention. The research methodology, questionnaire design, and interview process are explained, followed by the findings and analysis of the study. The presentation concludes with references on employee retention and organizational commitment.

Independent
Critical
Analysis
By
Name of the student

Effective organizational
culture reduces employee
turnover rate– Organizational culture is one of the most key elements of employee motivation and job
satisfaction
– Organizational culture has been closely linked with human resource management practices in
modern organizations
– Employee motivation and job satisfaction reduces the turnover rate of organizations
– Effective organizational culture has positive impact on employee motivation and job
satisfaction

Problem Identification
– Employee turnover is one of the major problems of the hospitality industry
– In modern organizations, the turnover rate in highest in hospitality organizations
– Employee turnover is one of the major concerns for any organization as it increases the overall
cost of operation due to the significant increase in human resource cost
– Motivated and satisfied employees stay with their respective organizations where
organizational culture plays a vital role
– This study has portrayed the positive impact of organizational culture on employee turnover

Research Methodology
– The study has used positivism as the research philosophy
– Deductive approach has been used
– Causal research design has been developed
– The sample size in the research is 1
– The study has convenience sampling
– Primary data collection method
– Coding has been used to analyse the data

Questionnaire Design and
Interview process
– Semi structured interview questions
– Open ended questions
– The questions had been asked to the director of Food & Beverage at Park Hyatt, Sydney
– Mathias Waas has been associated with the organization for a long time
– He has been a part of Park Hyatt Sydney for more than 2 years.
– The interview questions has been developed keeping in mind the objective of the research and
directly addressed the problem statement

Findings and Analysis
– As per the findings in the research it can be seen that the major reasons that employees leave
the organization are
 Stressful working environment
 Low compensation package
 Lack of work-life balance
– Among these factors, stress and lack work-life balance come into play due to the
ineffectiveness of organizational culture
– This leads to lack of motivation and dissatisfaction among employees

Contd
– The analysis suggest that improvement in the organizational culture will lead to significant
decrease in turnover rate
– Positive organizational culture promotes motivation and job satisfaction

References
– Anitha, J. (2016). Role of Organisational Culture and Employee Commitment in Employee
Retention. ASBM Journal of Management, 9(1).
– Cohen, G., Blake, R.S. & Goodman, D. (2016). Does turnover intention matter? Evaluating the usefulness
of turnover intention rate as a predictor of actual turnover rate. Review of Public Personnel
Administration, 36(3), pp.240-263.
– Flick, U. (2015). Introducing research methodology: A beginner's guide to doing a research project. Sage.
– Peltokorpi, V., Allen, D.G. and Froese, F. (2015). Organizational embeddedness, turnover intentions, and
voluntary turnover: The moderating effects of employee demographic characteristics and value
orientations. Journal of Organizational Behavior, 36(2), pp.292-312.

Contd
– Peretz, H., Levi, A. & Fried, Y. (2015). Organizational diversity programs across cultures: effects on absenteeism,
turnover, performance and innovation. The International Journal of Human Resource Management, 26(6),
pp.875-903.
– Quinlan, C., Babin, B., Carr, J., & Griffin, M. (2019). Business research methods. South Western Cengage.
– Taylor, S. J., Bogdan, R., & DeVault, M. (2015). Introduction to qualitative research methods: A guidebook and
resource. John Wiley & Sons.
– Wells, M. (2018). Turnover And Retention Rates For Hotels And The Hospitality Industry. Retrieved from
https://business.dailypay.com/blog/staff-turnover-rates-hotel-motel-hospitality-industry
– Yousef, D.A. (2017). Organizational commitment, job satisfaction and attitudes toward organizational change: A
study in the local government. International Journal of Public Administration, 40(1), pp.77-88.