Strategic HRM: Addressing Employee Turnover in Reliance Industries

This report addresses the critical issue of high employee turnover at Reliance Industries Limited (RIL), a leading Indian conglomerate. It identifies key causes such as inadequate employee motivation due to compensation issues, heavy workloads particularly in the sales department, poor work-life balance leading to employee dissatisfaction, and organizational changes resulting from rapid new product development. To combat these challenges, the report recommends several strategies, including improved HR policies with enhanced motivational factors like better compensation and incentives, workload delegation and reduced working hours, initiatives to promote work-life balance such as flexible schedules and wellness programs, and structured change management processes with comprehensive training and support. The successful implementation of these recommendations, involving top-level managers, HR personnel, and immediate superiors, is expected to reduce employee turnover, improve employee satisfaction, and enhance the overall management and profitability of Reliance Industries. Desklib provides access to similar solved assignments and past papers for students.

HUMAN RESOURCE
MANAGEMENT
STUDENT NAME
DATE – 01/22/19

INTRODUCTION
• Human resource is most relevant aspect or asset of the
company
• Managing human resource is crucial and challenging for
the companies
• HRM is a strategic approach, designed for maximum
utilization of human resource of the company
• Key for organizational success
• Chosen organizational case for better understanding is

RELIANCE INDUSTRIES LIMITED
• Indian based company, headquarter
in Mumbai
• Industry – conglomerate
• Business – petrochemicals, natural
resources, energy, textiles,
telecommunications, and retail
• India’s most profitable company
• CEO – Mukesh Ambani
• Number of employees by 2017 –
(SOURCE: RIL,2019)

HR ISSUE: EMPLOYEE TURNOVER
• The attrition rate of reliance limited is been increasing
since many years
• Retaining employee is to be considered on priority
basis as this may cause the higher expense to the
company and poor image
• Lower employee satisfaction
• Time consuming for the company, to repeat the
recruitment and training process

HR ISSUE: EMPLOYEE TURNOVER
• Employee turnover is increase in number of employees
leaving organization
• The employees dissatisfaction level increases
• Harmful for the company and employees as well
• Needs to be control for better management and saving
• Also known as churn rate, or labour turnover rate
• For example -

RELIANCE INDUSTRIES HIGH
PROFILE EMPLOYEES WHO LEFT
• Pradeep Shrivastava Chief Marketing Officer.
• Chief Cloud Architect Soren L Hansen - Assistant
Vice President Hari Charan Rao - Assistant Vice
President
• Maya R Nair - Public Wi-fi Business
• Head Pawan S Yadav - Public Wi-fi Business

CAUSES OF THE PROBLEM
• The causes of the issue identified for
the reliance industries will be
considered
• The causes are identified from the news
and media
• To analyze the issue and get to the
solution, it is important to understand
the root cause of the issue

CAUSE 1: MOTIVATIONAL ISSUE
• Employees are not motivated
enough
• Compensation is a major
motivational factor, which was
not very good in the company
• Salary incrimination is another
key factor for job satisfaction,
which seems to be problem for
Source: (Anitha, 2014)

CAUSE 2: WORKLOAD
• Heavy workload can cause
tension and eventually high
turnover
• The work pressure in case of
sales executive is very high
in reliance industries
• This cause high attrition rate
in sales department
Source: (Anitha, 2014)

CAUSE 3: WORK LIFE BALANCE
• Work life balance is
important to relax and work
better
• This is the major cause for
reliance for dissatisfied
employees and high attrition
• They do not able to balance
work and life
Source: (Anitha, 2014)

CAUSE 4: NEW PRODUCT
DEVELOPMENT
• New product development is
good strategy in respect of
companies
• This could adversely effect
the employees
• High pace of change in
organisational structure
• Employees resistance to
Source: (Anitha, 2014)

RECOMMENDATIONS TO ADDRESS
CAUSE 1
• Improved HR policies and culture
• Increase in motivational factors like better work
environment, compensation system
• Higher incentives
• Salary incrimination
• Non financial incentives
like holiday for familySource: (Anitha, 2014)

RECOMMENDATIONS TO ADDRESS
CAUSE 2
Delegati
on of
work
Increase in between breaks of
employees to give them time
to relax
Reduction
of working
hoursIncrease in
number of
employees

RECOMMENDATIONS TO ADDRESS
CAUSE 3
Flexible working hours
Physical activity one a weak, to increase
relaxation
Lunch or dinner coupons for employees and
their family
Yearly trip to different cities or nation,
according to position

RECOMMENDATIONS TO ADDRESS
CAUSE 4
Training and development
Facilitation and support
Negotiation and bargaining
Structured change management
Promotion and transfers

IMPLEMENTATION OF
RECOMMENDATIONS FOR CAUSE 1
Projec
t
• Implementation of motivational factors
Tasks
• Incentive system
• Salary incrimination
Who
• Top level Mangers
• HR manager
Sched
ule
• Immediately

IMPLEMENTATION OF
RECOMMENDATIONS FOR CAUSE 2
Projec
t
• Decrease in work pressure
Tasks
• Delegation of work
• Lower working hours
Who
• Department managers
• HR manager
Schedu
le
• Immediately and continually

IMPLEMENTATION OF
RECOMMENDATIONS FOR CAUSE 3
Projec
t
• Encouraging work life balance
Tasks
• Weekly physical activity session
• Flexible working hours
• Holiday
Who • HR manager
Schedu
le
• Immediately and continually
• Yearly for holiday

IMPLEMENTATION OF
RECOMMENDATIONS FOR CAUSE 4
Projec
t
• Change management
Tasks
• Training and development
• Negotiation
• Facilitation and support
Who
• HR manager
• Immediate Superior
Schedu
le
• At the time of new product development
• Immediately and continually

CONCLUSION
• One of the leading companies, reliance industries limited also face
various human resource issues
• Major HR issue include high employee turnover rate
• This could result into disruption in the management of the company
• Higher cost to the company
• The major causes identified are : workload, no work life balance of
employees, no motivational factors involved, and major changes due
to new product development strategy

CONCLUSION
• The recommended action for the company to solve the
issues are delegation of work, flexible working hours,
incrimination in salaries, negotiation and bargaining for
change management, use of motivational factors,
incentive schemes for high performing employees and
proving relaxation time to balance their lives
• These can be implemented with appropriate action plan

Any
Question?
Thank you 