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Managing Attrition in BPO

- by Anirban Majumdar & Kamal Poddar *

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1. DQ-IDC's BPO Employees' Satisfaction Survey 2003 cites some of the reasons for attrition the industry has identified. A good 42% of the respondents said they are likely to leave for higher education. "33% also said they would leave when they got married!!
Considering that only 26% of these were women, and assuming all women said they would leave after marriage for cultural issues peculiar to India - that is still a substantial chunk of men saying they would leave once they had other responsibilities at home." A good 35% said they would leave because they cannot handle the timings. 27% employees said they would leave either because work stress or the sheer physical strain was too much to handle.

2. A recent study by Hill and Associates, security and risk management consultants, on the attrition rate in the BPO sector, threw up some interesting insight. The study was conducted on targeted respondents that included the young population employed in the outsourcing business and with undergraduate, graduate and post-graduate education and who had changed their job at least once in the past three years.

Some of the findings of the study are: -

  • Exits from BPO happen because of reasons like lack of growth avenues, expectation mismatch, dissatisfaction with organizational policies, and the quest for a better job profile.

  • Not night shifts, monotony of work and lack of salary hikes. Where the HR department took steps to deter exits such as giving salary hikes, promotions, shift changes and other incentives, it did not succeed completely.

  • The survey revealed that respondents were overwhelmingly in favor of better career growth opportunities and improved company policies.

  • The survey indicated that more than 60 percent of the employees join a BPO after seeing job advertisements in newspapers or through manpower consultant references. The study found that the communication pattern of advertisements positioned the BPO job at a level much higher than its real delivery.

    An overwhelming 75 percent of the respondents were financially independent of their families. Yet, a sizeable section among them turned to their families for support if they felt the need to quit their jobs. This cushion provided by the social support system often drove the respondents to quit their jobs at the first hint of any inconvenience on the job.

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    * Contributed by -
    Anirban Majumdar & Kamal Poddar,
    Indian Institute of Management,
    Kozhikode, Kerala.


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