Evaluating Impact of Employee Turnover on Productivity: UK Hospitality

This report examines the impact of employee turnover on organizational productivity within the UK luxury hospitality industry, specifically focusing on Intercontinental Hotel London. The study explores the concept of employee turnover, identifying factors such as job dissatisfaction and lack of motivation that influence productivity. Employing a qualitative research methodology, the report analyzes primary and secondary data to ascertain the negative impact of employee turnover. Findings highlight the need for strategies like work-life balance and employee morale initiatives to mitigate turnover's adverse effects. The report provides recommendations for improving employee retention and, consequently, boosting organizational productivity within the hotel. The report contains an introduction, literature review, research methodology, data analysis and findings, and conclusion with recommendations. The report is designed to provide insights into the challenges and opportunities related to employee retention in the hospitality sector, with a focus on enhancing overall organizational performance.

Evaluating the impact of
employee turnover on
organizational productivity in
the UK luxury hospitality
industry within
Intercontinental Hotel
London

ABSTRACT
Employee turnover is one of the adverse situation which has the adverse impact on the
functioning of the company so required to be eliminated. It is based on the luxury UK luxury
hospitality industry within Intercontinental Hotel London which is successful in the sector. The
current study is based on evaluating the impact of employee turnover on organizational
productivity. For this purpose the distinct objectives & questions has been formulated. Research
methodology has included the qualitative study, interpretivism philosophy, inductive approach,
primary & secondary data collection, etc. On the basis of the analysis it can be said that
literature review has involved the information regarding the factors such as job dissatisfaction,
lack of motivation, ineffective ability to complete the tasks, etc. it articulates from the data
findings that there is negative impact of employee turnover on organizational productivity that
requires certain changes. It has involved the recommendations like work life balance
maintaining, employee morale inclining, etc. strategies.
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TABLE OF CONTENTS
CHAPTER 1- INTRODUCTION ..................................................................................................3
Background of the study.........................................................................................................3
Aim and objectives................................................................................................................3
Research questions ...............................................................................................................4
Rationale of the study............................................................................................................4
Significant of the research.....................................................................................................5
CHAPTER 2-LITERATURE REVIEW.........................................................................................6
CHAPTER 3-RESAERCH METHODOLOGY...........................................................................14
Research type........................................................................................................................14
Research approach................................................................................................................14
Research philosophy.............................................................................................................15
Data collection......................................................................................................................15
Sampling...............................................................................................................................16
Data analysis.........................................................................................................................16
Ethical consideration............................................................................................................17
Reliability and validity.........................................................................................................18
Research limitation...............................................................................................................18
CHAPTER 4-DATA ANALYSIS NAD FINDINGS...................................................................19
CHAPTER 5-CONCLUSION AND RECOMMENDATIONS...................................................32
REFERENCES..............................................................................................................................36
APPENDIX...................................................................................................................................38
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CHAPTER 1- INTRODUCTION
Background of the study
In the UK, luxury hospitality sector is growing with the rapid rate which is helping the
companies operating to offer good employment opportunities. In recent era, there is higher
development of particular companies which offer significant growth opportunities to industry by
obtaining competitive edge. Employee turnover is related with workers leaving the company
over a certain period. There are various reasons for which employee tend to leave company that
involve dissatisfaction of job, low remuneration, good obtaining of external opportunities, etc. It
is important for the company to pay attention on identifying this negative aspect as adversely
impact the overall productivity of company. The main reason behind eliminating the negative
impact is to have good level of performance so that greater competitiveness to uplift the overall
position of company can become possible. The current study is based on intercontinental hotel
London which offers various kinds off luxury services to its targeted audience. Present study
will focus on identifying the impact of employee turnover on organizational productivity in the
UK luxury hospitality industry so that depth understanding regarding the particular topic can be
derived. For gaining the effective performance in industry it becomes crucial for the firm to pay
attention on having effectual information which can allow coordinating with organizational
requirements.
Aim and objectives
Aim
The main of the current study is to ascertain the impact of employee turnover on
organizational productivity within Intercontinental Hotel London
Objectives
Following are the objectives which will be accomplished in this particular study to get reliable
understanding about the highlighted subject matter.
 To understand the concept of employee turnover
 To identify the factors affecting employee turnover that influence organizational
productivity with UK luxury hospitality industry
 To ascertain the impact of employee turnover on organizational productivity within
Intercontinental Hotel London
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 To recommend the strategies pertaining to improvement of employee turnover so that
positive influence on organizational productivity within Intercontinental Hotel London
can be derived.
Research questions
 What is the concept of employee turnover?
 Which are the factors affecting employee turnover that influence organizational
productivity with UK luxury hospitality industry?
 What is the impact of employee turnover on organizational productivity within
Intercontinental Hotel London?
 Which are the recommend the strategies pertaining to improvement of employee
turnover so that positive influence on organizational productivity within Intercontinental
Hotel London can be derived?
Rationale of the study
Employee turnover is associated with having the significant insights regarding the
dissatisfaction of employees so that accomplishing reliable decision-making procedure. For
becoming successful it is important for the company to pay attention on identifying the impact
of employee turnover on organizationals productivity so that relevant decision-making can
become possible. For gaining success in effectual manner having insights regarding impact of
employee turnover on organizational productivity in UK luxury hospitality sector. The main
reason behind this is that tend to outcome in losing of expertise knowledge, skills, higher time-
consuming, decrease sales & profitability, etc. these all tend to result in losing competencies
which require firm to conduct operational practices by having new recruitment procedure that
diverts its attention form quality work to hiring. It negatively influences the working process of
the company so it is crucial for the enterprise to obtain such reliable processing which can uplift
benefits for company to overcome the competition existing in market. In luxury hospitality
sector, it is important for the company to pay attention on having effective insights so that
significant level of improvement so that attaining reliable growth and development in market
can become possible.
On the basis of this, it can be specified that there are various ways in which employees
turnover impact the overall performance of the organization so that attaining the insights about
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the prevailing lacking areas in turn effective ability to achieve growth. In addiction to this, there
are several elements that tend to result in employee turnover so that significant information for
the prevailing lacking areas that is hindering overall productivity of organization. On the basis of
this it can be articulated that there are various negative impact which derived by the company s
that taking relevant actions for eliminating its negative impact can become possible. It can help
in receiving competitive edge so that factors affecting employee turnover so that organizational
profitability and stability can be improved. This will allow the organization to identify the
lacking area which is hampering the performance in the adverse manner. For becoming
successful it is important in order to get the good brand image in market. Employee is one of the
crucial resource that is helpful for the firm to get significant growth and development in respect
to achieve higher productivity. On the basis of this it can be interpreted that there are distinct
types of the requirements of the firm which is needed to be accomplished in turn attaining
effective ability to coordinate with changing needs of company can become possible. For the
purpose of becoming successful it is important for the firm to pay attention on having effectual
course of the actions which can decrease its employee turnover that can directly enhance its
organizational productivity. The present study can help in meeting this requirements in highly
effectual pattern. This can lead the firm to have precise understanding of conducted course of
actions which can directly uplift its organizational competitiveness in greater manner.
Significant of the research
There are various form of the benefits of retaining employees as it help in achieving the
reliable level of growth and development by achieving competitive edge. The main reason
behind the eliminating irrelevant aspects so that accomplishing the organizational productivity in
reliable manner can become possible. It is important for the particular company to understand its
impact so that taking reliable action for the purpose of gaining competitiveness. It helps in
retaining confidential information so that significant information to obtain the ability to meet
organizational objectives of higher profitability, stability, etc can become possible. The
particular study is helpful in receiving proper level of information so that reliable growth and
development can be achieved. It is important to pay attention on having effectual courses of
actions which can allow to have higher level of result by eliminating irrelevant curses in turn
good level of growth & development can be derived by possessing effective performance. ON
the basis of this it can be articulated that there are various form of the processes which is
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required to be taken into the action that can help in deriving competitive edge by meeting all of
is roles & responsibilities.
From the evaluation it can be identified that there three parties for which the particular
study can be useful in order to meet the objectives of research. The particular company is helpful
in gaining the significant level of the information can be derived. The organization operating in
similar industry can pay attention on having the effectual utilization of its findings in turn
gaining competitiveness can derived. In addition to this, learners and scholars focusing on
conducting the research in similar topic can pay attention on having the specific study in turn
accomplishing their objectives of study. These all the three parties can use this particular
information in turn significant level of accomplishing can become possible. It can contribute in
receiving highly precise information which can permit to have greater knowledge &
competitiveness in respect to eliminate the irrelevant aspects that has adverse impact on its
employees performance so that attaining the organizational objectives in effective manner can
become possible. For the purpose of good organizational outcomes it is crucial for the enterprise
to focus on certain courses of actions that can decline its negative influence.
CHAPTER 2-LITERATURE REVIEW
Introduction:
It is one of the crucial chapter that involve the information regarding the concept,
theories, models, etc so that depth understanding regarding the theoretical topic can be attained.
This chapter is based on three themes which will help in gaining the significant knowledge
regarding the prevailing topic in turn depth understanding can be received. This will allow to
have effective insights about the topic in turn attaining aim and objectives will become possible.
Theme 1: The concept of employee turnover
According to Donkor, and et.al., (2022) employee turnover is basically associated with
having the information regarding the total number of workers who leave the organization over a
certain period. In addition to this it can be specified that there are various factors which
influences employees turnover in adverse manner so that reliable processing does not become
passible. The main reason behind the employee turnover is higher level of jobs dissatisfaction. In
order to have effectual understanding regarding the employee turnover the significant details of
the prevailing circumstances so that attaining relevant information of to make improvement can
become possible. It offers the various kinds of drawbacks to company so it is important for the
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company to pay attention on this as it has higher level of adverse impact on company's
productivity. In against to this, Kumar (2022) said that employee turnover is related with
employee turnover is concerned with lack of communication which can result in lack of
organizational productivity as they move out of operational processes. There are three types of
employees turnover which tend to impact the company's productivity get hampered. Voluntary,
involuntary, retirement and internal transfer. These all are the factors which tend to influence the
overall processing of the company. It is crucial for the organization to recognize the lacking
areas which are occurring due to particular type of the employee turnover so that significant
level of improvement can be received.
In the views of Mulang (2022) there are distinct type of the drawbacks which are
required to be taken into the consideration so that its impact in adverse manner can be achieved.
The one of the significant imitation which hampers the overall productivity and performance of
the company is lack of ability to manage the overall processing in turn gaining to competitive
edge. It can adversely influence the whole procedure of the company that can majorly impact the
productivity of company as accomplishing roles and responsibilities in effective manner can not
be done precisely. For the purpose of decreasing low morale employees it is required to pay
higher cost which can majorly affect the working efficiency and productivity of company. It is
important for the company to get reliable level of processing so that receiving such productivity
results by declining related cost. In order to get the profitability and stability it is important for
the enterprise to give emphasis on having such effectual analysis by taking the feedback
mechanism so that relevant level of growth and development to achieve significant satisfaction
from the employees. On the other side, Serhan and et.al., (2022) depicted that there are various
form of the lacking areas which tend to influence the functioning of employees so becomes
crucial for enterprise to emphasize on possessing such reliable extent of organizational culture
that can positively impact the working criteria of firm. For being successful it is highly required
to eliminate the employee turnover as it creates the non-productive results which outcome in
inappropriate working scenarios. For the purpose of having greater competitive position it is
needed to make sure to maintain quality results which help in eliminating complex working
situation. It is helpful in receiving proper development of firm that can contribute in receiving
success by involving all major competitive factors. This is important as it is helpful in deriving
better organizational performance which can permit retaining staff through developing such
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expertise in firm. On the basis of this it can be specified that there are distinct form of aspects
which impact in negative pattern.
According to Chiat and Panatik (2019) the concept of employee turnover is significant
for the organization as it helps in receiving better performance by eliminating all those causes
which is leading to this problem. For becoming productive and successful organization in
specific industry it is crucial for to give emphasis on building good image of brand among its
employees. The main reason behind this is that it can allow to receive such level of
understanding of employees requirements in turn taking appropriate action for growth and
development can be received. On the basis of this information it can be mentioned that there are
distinct types of the factors which tend to influence the employee turnover so that having
insights about such aspects is important so that overcoming the prevailing problems which can
result in lack of productivity, ineffective brand image, dissatisfaction of customers, lower
profitability & sales revenue, etc. as can negatively influence its working procedure. On the
contrast to this, Silaban and Syah (2018) articulated that there is negative level of influence is
influencing is functioning of organization as lack of productivity doe not allow meet
organizational requirements. This tends to adversely influence the working efficiency as
employees are unable to recognize the worth of their efforts which demoralized them and result
in quilting on the basis of this it can be mentioned that for becoming one of the leading
organization so that meting the objectives like higher portability & stability. This shows that it
tend to influence the overall processing of the company which tend to influence the working
reliability which does not help in meeting market forces.
Theme 2: The factors affecting employee turnover that influence organizational
productivity with UK luxury hospitality industry
As per the views of De Winne and et.al., (2019) there are different form of the factors
which tend to influence the working criteria of organization so that achieving reliable growth
does not become possible. The one of the significant factor that tend to influence the lower
productivity due to employee turnover which involves job dissatisfaction. Staff work in
particular company for having higher satisfaction which can be derived by eliminating all those
factors which offer stress and burden over the processing. This is helpful for the company to
have such processing that are stress free and offer the clarity about the roles and responsibilities.
Job satisfaction contribute in retaining staff by paying attention on receiving the proper
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performance. In the against to this, Ngo-Henha (2018) it can be articulated that there are
different form of the factors which influence the employee turnover that tend to influence
organizational performance in turn accomplishing the goal of relevant level of performance. On
the other side,_ said that this is associated with having the reliable action which can allow to
identify the lack of growth and progression. It is highly crucial for the company to focus on
having the effective development plans for its employees in turn attaining good results for
offering greater competencies among employees. For becoming successful firm need to give
emphasis on formulating such effective plans which can permit receiving significant level of
performance.
In the views of Ahmad (2018) lack of feedback and recognizance is the another aspect
which tend to result in having the greater amount of employee dissatisfaction and turnover . This
affects the employee decision-making as there is lack of belongingness is obtained by staff. In
order to retain in the organization it is crucial for the company to give emphasis on developing
such practice which can help employees to perform effectively by eliminating those factors that
has the impact on staff turnover. The main reason behind this is that overworked makes the
employees to get adversely affected as being reward and any concern regarding their growth is
found to be low which hampers the performance of the company. For being successful and
leading competitor in the market it is highly required by firm to invest among staff so that
deriving belongingness feeling to retail them for longer duration. This is related with having
perfect selection process so that relevant decision-making to boos employees overall growth in
market. On the basis of this it can be mentioned that there are distinct level of aspects which has
influence on employee dissatisfaction. In contrast to this Alkhateri and et.al., (2018) said that
employees are not able to get relevant opportunities for growth which does not become possible
as there is inequality & non diverse working culture is prevailing in the market. Organizational
culture is highly effective for gaining the relevant processing as it boost morale of employee
which helps in attaining delegated roles and responsibilities. Job satisfaction is inversely related
to turnover intention so it can be identified that the factor of ineffective organizational culture it
is important for the company to focus on having reliable processing which can contribute in
eliminating these aspects so that growth can be derived.
As per the views of Živković, Franjković and Dujak (2021) there are several factors
which has influence on the functioning of the company. The one of major aspect which results
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into the higher employee turnover is poor relationship with manager. From the irrelevant aspects
which has the influence on flexility and working criteria is accepting the prevailing
circumstances. The main reason behind this is that low employee relation with manager tend to
negatively influence staff job satisfaction., it does not allow staff to accept he formulated polices
and procedure in highly reliable manner which is one of the negative sign that results in higher
employee turnover. On the other side, Mohajan (2018) depicted that there are distinct form of
the objectives which can be accomplished by the firm through implementing significant pattern
of actions. For this purpose the company tend to execute the distinct pattern of policies which
results in influencing the working criteria. It results in affecting the organization processing so
become important for the company to give emphasis on having effective type of application of
changing activities so that results in gaining competitive performance. It tends to affect the
overall processing which affect the morale & motivation of employees in adverse manner. For
becoming successful in the current era it is important for the company to give focus on
developing positive influencing action. From the assessment it can be articulated that the chafing
circumstances is one of the crucial factor that tend to impact productivity of employees for this
purpose it becomes important for the company to give emphasis on having the effective action
which can contribute in developing the overall performance in highly effective patten.
In the views of Kuswati (2020) there are distinct form of factors which are required to
be taken into the consideration so that effective insights about the prevailing circumstances can
be identified. It is identified that there are various aspects which are external but has the
influence on employee turnover. The one of the significant factor which is required to be
highlighted for the purpose of having lower employee turnover is competitive attractive job
opportunities in market. The rise in number of competitors creates threat for the company to
retail its employees as higher number of employees requirements by companies can build this
situation. In case of easy availability of job thee employees easily switch to other company that
has the influence on the higher staff turnover. In order to get the relevant functioning in
organization it becomes important for the company to get relevant practices that can contribute
in formulating the proper processing which can uplift the functioning pattern of staff. On the
basis of this it can be interpreted that the firm require to focus on attaining the competitive edge
by offering required aspects to employees so that meeting appropriate growth in market by
eliminating such aspects can become possible On the other side, Paais and Pattiruhu (2020) can
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be specified that internal factors like job satisfaction, level of remuneration, etc. play crucial role
in influencing the working of company. It is identified that there are various objectives which
are taken into the consideration by employees that how they are being treated in firm, etc. higher
growth in firm is experienced by employees when good pattern of training & development is
offered to employees. This helps in recognizing that management require paying attention on
providing raining & development to employees so that higher personal growth can be obtained
by them in positive manner.
Theme 3: The impact of employee turnover on organizational productivity within
Intercontinental Hotel London
In the views of Kumar (2022) there are different form of the ways in which organization
get affected due to the higher employee turnover. The one of the significant aspects which is
required to be taken into the consideration by organization is higher requirement of
implementing cost due to the rise in higher employee turnover. The main reason behind this is
that it reduces the core focus on productivity inclining and having higher employee recruiting
procedure in turn attaining appropriate performance does not become possible. For becoming
successful it is crucial for the firm to pay attention on having effectives recruiting procedure in
turn accomplishing the organizational goal can become possible. This tends to impact negatively
to the overall processing of the company in adverse manner. For gaining competitive
performance the organization require paying attention on developing such reliable pattern of
working which can uplift the overall processing in significant manner. In contrast to this, Ngo-
Henha (2018) depicted that higher employee turnover reduces the expertise sand knowledge in
turn negative influence on the overall functioning of the company is obtained. For becoming
successful it is important for the company to retain its employees who have higher expertise
knowledge in turn attaining the growth & development related processes can be achieved. For
achieving higher productivity and stability the firm require to ensure that its employees are
having the skills, attributes, etc. in tun good level of performance can be obtained. On the basis
of this, it can be mentioned that the organization is having higher productivity and performance
by possessing reliable pattern of employee knowledge. This allows to ensure that overall
performance of specified organization which is facing the issue of employee turnover require to
face major action that can permit deriving competitiveness. This helps in analysing that the firm
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