According to Ann Bares (2007) the statistic that had shown us 21.3% of the staff turnover rate of the hospitality industry and it is the highest one compare to the other industry. The different of the industry such as hospitality, healthcare, real estate/ construction, services, not-for-profit, financial services, technology, manufacturing, utilities, distribution/ warehouse and so on.
According to Tracy and Hinkin (2006) stated there is several effects that cause the highest rate in staff turnover issue in this industry. The companies suppose to do some of the substitute to recruit new and lack of knowledge and experience employees at the same time as the new staff stop working in the company and this can to increase the economic growth of the company such as timing, provide to the new staff of extra information, understanding and skills through the experience. As the standard of the customer service when it is compared to other thing it will getting worse due to the causes of the staff turnover happened.
The staff of the company which is plan to leaving the current job on later of time, they will possibility start not to carry out a good performance to the company because they will think that is no any good benefits to them if they are put more effort to do the best job for the current company. Thereafter, the staff of the company is resigning from this working environment in a short period of time. For those who are the new staff to the company come in it might cost them some time to follow and catch up the work which is from the previous employee of the company, because the reason is previous staff are not able to reach the supervisor's expectation. So the new staffs have to try carry out a well performance which can do better than the previous staff. Beside, employer also have to set the commitment to the new staff and the employer also need make sure the ability and understanding are to suit to all of them to reach the commitment as well. Therefore, the employer must be very stress to themselves because want to remain the employee, if employer keep like arguing with employee the employee will resign soon, if the employee resign, then the employer's workload will slowly to increase because they are facing labour shortage problem no one can helps them out.
Based on the research of Meier (1991), stated there is a lot of data exposed who work in the hospitality industry are really complicated and front line is one of it. There also are quite a few of the facts which is odd hours of working times during the public holiday you still have to work, low salary payment means a lot of work need to do but just get a low salary payment, public contacts which mean they need to contact with the public such as to deal with the customer, handling customer complain, and so on, working hours schedule in hospitality there is morning shift, afternoon shift and night shift every time you have to follow the shift to go for your work, simultaneous production and consumptions which the manufacture and expenditure of a service are simultaneous, the boundary between the employee and the customer and fluctuate demand which mean they are challenge each other between the same organization.
Even thought the staff which is had a highest level position they might look forward to the same difficulties as the front liner, not only that, the high position the many problem they need to face, everyone who are work in long period of time and put a lots of work hard for the job also will meet the same problem. The human resources have to manage the staff working shift and to observe the staff performance so on and so forth, the staffing which is one of the procedure of to decide the human resource needs in an organization and securing an adequate amount of qualifies people to fill up those needs, it also is involving a number of different type of task to the employee, ranging from the job analysis to performance appraisal, from the interviewing to career development, besides, from hiring to termination, and rewarding of people in the workplace, and perishable inventory which is to ensure the staff is perform well and get ready to meet the company future goal.
3.3. Problems Statement
Nowadays, the number of the staff turnover issues had slightly increasing by the time to time in the different type of trade and in hospitality industry are face the main issues which is the staff turnover issues. Besides, the rate of turnover is really high and it is make really big issues due to the influence causes to this hospitality industry.
Firstly, the look after of employee, the reason of the staff turnover is because the benefit is not good enough, the salary are very low, they are not really satisfied with their job, therefore these are the few main reason that causes turnover.
As a employer, many of them are tried to spend a period of time to do some investment which is to invent the staff become a part of the investment to guarantee the staff are really be in the standard and also the efficiency to carry on in this trade. However, if the staff quit from the current company, as the employer have go for the start to go for the training from beginning until last to train for the new staff again, it really will cost them a period of time, a particular job to train the new staff and not only that, it also will waste the money of the training.
However, the training and developing is to carry out to train the new staff in a correct method to make sure the staff standard and ability are keep up or either to have a well present of the company. The evaluation of performance appraise is after the training are done. In this stage of evaluation is based on the performance of the staff during the period of training such as attitude how they carry out the work and so on. During the evaluation process whether the staff is can continue or cannot to continue ,everything is based on the result. After the result out, which employee can continue to then they will keep continue their training section at the end of the day the employer must make sure the whole procedure are going smoothly nothing crash in between. If anyone of the staff of the company is going to resign the cycle of the HR department will need to go back from the first stage and then start from the top again. It really make the companies to waste a lot of money to invest in the training process.
3.4. Research Question
Based on the research of the staff turnover issues in hospitality industry, it is really influencing the labor shortages of the company. Therefore, there are several questions to give good reason for in order to keep the staff to work in the company towards training provision.
Thus, this research the questions designed are to have power of understanding of different key factors that are influencing staff turnover issues in hospitality industry. In order to practice the above objectives, this research is to aims and answers the following research questions.
What is the big influence that causes the staff turnover issues in hospitality industry?
How does the rate of turnover that affect in hospitality industry?
What is the main problem of staff choose to resign?
What is the affiliation among recruitment and training?
How to minimize the turnover rate?
3.5. Research Objective
The research objective for this research is to find out impacts of staff turnover issues in hospitality industry towards training provision. These days, many companies are facing labour shortages problem due to the reason of staff resigned. But the point of this research is to find out the main problems that make trouble most of the companies which is facing the high rate of staff turnover issues. It is important to classify the cost of training, identify how important of the training provision to the staff, identity the effective methods of training which is most popular now.
3.6. Theoretical Framework
3.6.1. Recruiting
According to the Clayton W. Barrows and Tom Power (2009;169), stated that "Recruiting is an attracting pool of applicants that permits selection of best-qualified." This is the first process of the hiring people. Before the company want to hire a new employee, they must go through the recruiting process which mean the employee must go through the interview first before that the organization of the company just continue with the next process which is the process of the selection. By doing this, is to make sure that staffs are really understanding of the task of the job, skills and capability to how to handling the work.
3.6.2. Training and Development
The training development provision which are separated into two category first is training and development, second is evaluate based on the employee's performance.
This is the few aim of during the period to find out and to enhance the level of the understanding, some personal ability. Therefore, Human Resource Department during the evaluate the result before make the decision that time must make sure staffs whether has the effort to put in the company to help the company to make more money. The staff service will be in up to the standard to the company while all the way through training process. This process can enhance the employees to build out more confidence to themselves, commitment between themselves and the company and attitudes towards the job requirements. By going through the training, it also can increase the effectiveness of the production. Besides, it also can assist the company to gain more money. Thus, it is to encourage the employee's turnover, and decreases the requirements of the supervision.
3.6.3. Evaluation
In this evaluation stage is to examine the employee during the working period based on the performance of the employee whether the employee is good or bad, besides, this performance appraisal with held on twice a year it normally in the middle of the year and end of the year. By doing this we will know whether the training either useful or un-useful. Examples once the training methods carry out a bad situation then that means need to go back to the recruiting process again.
3.7. Conceptual Framework
Impact of Staff Turnover
Recruiting and Selection
Training and Development
Evaluation / Performance Appraisal
3.8. Scope and limitation
For this research, the scope is about the hospitality staff turnover issues towards training provided and how the staff turnover rate is the highest among the rest of the industry. The scope is narrow down by pay more concentrate to the training process. There is a limitation during finding the journals to support this research proposal, there is lack of the keywords in using the online database to search was another problem because of the time for this proposal is limited. Besides, limitation for this proposal by finding journal through the online database which is and by using the online database such as EBSCOhost, esholarship, Google and Sciences Direct and it is publish at the Asia and Europe country, the journal which I use for the reference is from year1990 to year 2010 and some of the book from library which are related to Human Resource Management in hospitality industry for my research topic.
4. CHAPTER 2 - LITERATURE REVIEW
4.1. Recruitment & Selection
In recruitment employee there are companies where it related to various type of the technique while having stages about recruiting the employees. The recruitment process is using the technique such as interviewing which is face to face. Besides that, they also conducted interview which go through by phone. Nevertheless, they also need to tested and verify the resume information which shown the requirement of the employee while interviewing the job. As the technique which has stated, it is useful as there are technological is advance which produce a brand new and had a better way that could select the suitable and potential in selecting the employees. While conducting the recruitment process, there are many companies as they are using various type of using the marketing tool such as where it advertise in the newspaper, have recommendation in employee, selecting preceding job candidate, having job fair to search potential employee, employment agencies and so on. Upon which has explain that conducting the recruitment process, it can help to boost up the amount of the job candidates without spending any extra cost and to travel around to find job. It has now currently become an handiness and an effective way while doing recruiting process.
Nowadays, the new and modern technology stated that there has been proven and stated that an internet source is included as one of the helpful and efficient tool that helps can help the companies to reduce their cost which the internet source is convenient and relevant to everybody and also don't have such technology at all.
Consequently, there are several factors which can determine the relevant on labour market, and the factor such as the employee's skill and knowledge, example like whether they are able to deal with the customer or not only this the communication is also a skill.
because some of the people might don't like to work at urban area is because they got a family so they want to take care and stay with the family so they are not willing to work at urban area which is far away from home.
Process of recruiting and selection will constituently replicate as the vacancy or staff turnover occur. Besides that, the company will conduct the training process which is investing the staff where occur the cost of the turnover.
Due to the consequences, various type of method that conducted in interview which has been offer by the companies has been clarify that could get a hold or recommended an appropriate candidates toward the companies to stay away from the situation which is staff turnover. Interviewing through computer, interview through video and behavioral description interview (BDI) and having structure interview and so on which the method has been use by the companies. By doing so, the companies have the time to ready various type of question and can be tested on the selection of the candidate consecutively where it can monitor and get to know in depth of the candidate background.
4.2. Training and Development
Training and development to the employee is to know the overall of the development process and make sure end of the training process you are able to play an important role of the company and helps the company make more money.
Training and development to the employee is to know the overall of the development process and make sure end of the training process you are able to play a important role of the company and helps the company make more money. Training and development which is can bring a lot of benefit to the employees which are the supervisor need to give a guide to between the training and employees as well. The benefit of employees such give them more confident on doing their job, give more motivation to the employees, by doing their work must make sure there are everything going smoothly at the end of the day result come out is to help the company gain money. Besides, keep the reputation of the company make sure the employee can performed well and so on.
For the companies who will want the staff to training the training will included such as computer skills because nowadays many company are using computer to doing their work, so now the computer skills is a must in the job requirement especially who want to work in the office. Communications is because working in hospitality u need to meet different type of people every day. If you know how to speak foreign language it is a good for your job as well. And human relations means sometimes in the working place you might misunderstanding and have the conflict with them by doing training which can help the people go through the workplace.
4.3. Evaluate and Performance Appraisal
By doing this evaluate are based on the employee performance itself is normally will set on the middle of the year or end of the year depend on when you start to work at the company. The Performance Appraisal is to development due to provide performance feedback, identify the employee strength and weaknesses whether their performance is good or bad, identify personality presentation, help to meet and reach the goal, evaluate achievement of the goal, identify training wants, determine organization training needs, improve your communication and provide a forum for leader to help. Sometimes by doing the evaluation might be fail it because lack of the top management information and support, unclear performance standard, don't have the proper rate at the appraisal form, and some are use of the appraisal program for a conflict purposes. There are different type sources of performance appraisal such as, superior, peers, customers, subordinates, self, and team members. The different source is evaluated by different category of people.
4.4. Staff Turnover
According to the survey from Society of Human Resources Management are stated there are 83% workers are not really like their current job the reason is the low salary, position always get bully from the high level position people. These days, generally the high turnover rate are mostly is the big organization. It is because due to the reason of nowadays the standard of living is slightly increasing everyone is trying to find a better job which can get a high position and high salary.
Companies will bring a few reasons that influence the turnover example like a good and better employee when they resign. Normally the skilled worker will automatically to be the leader to a group of member and to push new member to done their work as fast as they can. Due to the few reason that cause that happen, so many employers more focus on the recruit new staffs. If there is a new comer are come to take over the high level position staff also need to take the duty and responsibility of the whole cycle of the human management process. Because of these reason a lot of big organization by using advertise the recruitment's in the newspaper which is on the job classification page and web advertising or send the recruitment mail to everyone of their list. They might think it can helps them to save a lot of money, actually this is not a good way by doing this. They should to think a better way to advertise the notice of recruitment, not only to think save the advertising cost can cover the training cost this is really wrong. As the employers of the company suppose to think about the they are really hire a good and better employee give them with a good benefit they won't feel want to resign from the company. This will decrease rate of staff turnover. (Shehan, 2004)
Nowadays peoples are really start to change their lifestyle which is really different between 80s people and 90s people. Some of 80s people which is poor background, then they will go to work because they just want to earn money to take back home for their family to survive. For the time changing, which is the 90s people came out to work, some of the people are from a rich family background and everything is up to standard such as the lifestyle, the technology also slowly to improve so they go to work is because to fulfill their free time rather than stay at home in order to earn money but some of the people are really care about the salary so they might work very hard for the company.
In the big organization, the high position level of staff and the staff must work together as one, and the supervisor must give the work to the staff equally,if not there is really get conflict between the staff in the office, after that one of them might want to quit this job because no one wants to work at this complicated environment. Because of the reason of the employers are more concern to their sales so didn't bother about their staff, in their mind only have the aim for the goal that's all and make sure at the end of the month they are really to hit the goal.
The different between skilled and unskilled worker
The meaning of unskilled worker mean the worker is really lack of skill or also lack of training worker. Which is nowadays many company are facing this problem, due to the reason is unskilled worker is the high turnover rate in hospitality industry and as a unskilled worker they also didn't performed well for the company. Some company is because lack of staff they need to keep the staff in case they run away from the company. First of all, the organization will start to increase their salary, add more good benefits, and etc. before the employee start work with the company they need to give signature the employee's contract for the black and white in case u break the rules. which mean one of the rules and regulation between the employer and employee, within the contract period the employee can resign if the employee want to resign, the employee will not get the salary or maybe will give penalty from the company. For the advantage of hiring unskilled workers is low salary compare with the skilled worker.
On the other hand, one of the danger case that most of the company are hiring the skilled worker as a part of their member. Skilled worker means they went to the training process already. The different kind of the training the worker not really in high educated or they are possessed and gain much experience during the working period. Most of the companies are like to hire skilled workers is because they no need to send the workers to the training anymore. For this disadvantage of the hiring skilled workers is the salary a bit higher compare with the unskilled workers.
5. CHAPTER 3 - RESEARCH METHODOLOGY
5.1. General Methodology
In this proposal, I will evaluate and appraise the impact of the staff turnover issues in hospitality industry. I had identified few main aspects or factors which are the key point to affect the staff turnover issues. The key point include odd hours of working times during the public holiday you still have to work, low salary payment means a lot of work need to do but just get a low salary payment, public contacts which mean they need to contact with the public such as to deal with the customer, handling customer complain, and so on, working hours schedule in hospitality there is morning shift, afternoon shift and night shift every time you have to follow the shift to go for your work, simultaneous production and consumptions which the manufacture and expenditure of a service are simultaneous, the boundary between the employee and the customer and fluctuate demand. In this research's result is came from a website which is stated the staff turnover rates already,
5.2. Source of Data
5.2.1. Primary Data
For this proposal's primary data that I collected is to discuss with some of the friends which is currently working at Human Resource Department and they are give me some opinion and suggestion to doing my proposal
5.2.2. Secondary Data
In this proposal, I most probably are using online database to find my information such as journal. The online database machine that I collect all my data is from EBSCOhost, Sage Journal Online, and Google Scholar. Other than that, in library I also a few books which also got some information which are related to my topic so I can use the information as my guideline to do on my research proposal.
