Impact of Staff Turnover on Organization and Staff Appraisal for Employee Performance Improvement

Resourcing the Organization

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
1. Impact of staff turnover on organization.................................................................................3
2. Analysing the staff turnover linked to poor staff performance and critically discussing how
staff appraisal manages and improves employee performance and development.......................5
CONCLUSION................................................................................................................................9
REFERENCES................................................................................................................................1

INTRODUCTION
Staff turnover is one of the major issue in relation with the corporates that may negatively
impact the organization in terms of loosing of productivity and sales of the company. In respect
to an organization for sustaining in the market it is important that the staff management need to
be incorporate in an organization so that it can attain growth and success (Belete, 2018). Thus, it
can be right to said that staff turnover has positive as well as negative impact towards the
organization. Tesco is one of the major retailing firm of UK which was founded in 1919. Its
main aim is to serve its customer the best quality product at the low price. This report will
discuss the positive as well as negative impact towards the organization. Likewise, the link
between the staff turnover and staff performance and contrary to this staff appraisal and staff
management is also a part of this report.
MAIN BODY
1. Impact of staff turnover on organization
Staff turnover is one of the major issue that has major impact towards the organization in
terms of acting as a barrier towards the growth and success of the organization. With the
persistence of high staff turnover, the organization and its working would be affected (Fukui, Wu
and Salyers, 2019). This would be right to said that with the aspect of turnover of staff the
resources as well as expenses of the company both being affected in terms of loss of highly
trained staff and affection towards the competitiveness of the company. With the loss of
employees, the organization would be affected in terms of losing the competitiveness in the
market.
In case of Tesco the staff turnover would lead to have a major impact towards the
organization in terms of raising of cost of recruitment, declining productivity, avoidable time
spend on training of employees as well as loss of sales. This shows that the staff turnover would
have a negative impact towards the Tesco and thus affect the organization in an extensive level
in terms of affecting the sales and the profitability of the company. With the persistence of high
employees turnover Tesco is affected in terms of declining productivity and low employee’s
morale among other. This means along with leaving of employees the other employees and staff
of the organization has been affected in terms of declining morale and thus a decline in the
performance of the existing employees (Xiong and Wen, 2020). This means with the persistence

of high employee turnover the Tesco may face the issue of high loss of cost and expenses which
are being spend towards their training and productivity.
However, on a contrary note with respect to leaving of employees the Tesco can also be
positively impacted in terms of broadening of ideas and the introduction of new talent in an
organization. With respect to staff turnover the Tesco may get rid of the toxic employees and
thus implement the positive work culture in the organization. Likewise, with respect to leaving
the employees the organization would be benefited in terms of bringing new talent in an
organization and thus assist its growth and success (Salleh and et.al., 2020). This will also lead to
assists the organization to move as per the changing trends with the presence of new talent and
knowledge. Likewise, with the hiring of new and talented employees the organization would be
positively impacted in terms of raising the morale of existing employees and thus initiate their
performance and progress. In the way with the measurement of employee’s performance against
the set standard Tesco also removes the toxic and inefficient employees which may destroy the
culture of organization. With such turnover rate the company would be positively impacted in
terms of dealing in the market and bringing and retaining the talented and knowledge staff.
On the other hand, in case of Marks and Spencer (M&S) the staff turnover would
negatively impact the organization in terms of loosing of productivity along with declining
performance. With respect to leaving of employees from the organization the morale and
productivity of the existing employees would be affected. Likewise, the company is also forced
to recruit new employees that will raise the cost of company and thus negatively impact its
working and operations (Wynen and et.al., 2019). With reference to M&S the company may face
the issue in relation with bearing of high expenses which are associated with the cost of hiring
and training. The high turnover of the company would also affect the competitive position in the
market and thus the performance of the company would be impacted at the higher rate.
In the same way with respect to turnover of the employees the M&S would be positively
impacted in terms of building up of productive team force in the organization. This is because
with the hiring of new talented candidates the M&S would build the highly productive workforce
in an organization which would assist the company in grabbing its goals and objectives. In the
same way the with the inviting of new talent in the organization the wider approach of the
organization can be achieved. Diversity in culture can also be bring with respect to hiring of new
talent and candidate in the organization (Loan, 2020). This means with the staff turnover the new