BAHIR DAR UNIVERSITY

COLLEGE OF BUSINESS AND ECONOMICS

DEPARTMENT OF MANAGEMENT

MASTERS OF BUSINESS ADMINISTRATION PROGRAM (REGULAR)

OPERATIONS MANAGEMENT
(MBA 5051)

ARTICLE REVIEW ON FACTORS AFFECTING EMPLOYEE RETENTION: A

COMPARATIVE ANALYISIS OF TWO ORGANIZATIONS FROM HEAVY
ENGINEERING INDUSTRY. EUROPIAN JOURNAL OF BUSSINESS AND
MANAGEMET, ISSN 2222-1905(PAPER) ISSN 2222-2839(ONLINE), VOL4, NO 3, 2012

INDIVIDUAL ASSIGNMENT

PREPARED BY: SENAIT TAMIR

ID: 1301749

Submitted to Tafere W. (Assistant Professor)

 Table of Contents
Content page

Purpose Of The Article .................................................................................................... 1

Methodology .................................................................................................................. 1
The Central Argument .................................................................................................... 1
Strength and Weakness ................................................................................................... 2
Strength ........................................................................................................................ 2
Weakness ..................................................................................................................... 2
 1. Purpose of the Article
The purpose of this article is to identify and compare the major factors that affect
employee retention in the given two organizations based in India. In this article retention
management strategies are affected by three factors each from the two organizations. Employee
retention strategies are most critical workforce management challenges of the immediate future.

If the organizations want to be successful and competitive, they have to focus on the
strategies which help the organization to retain their valuable employees.

2. Methodology
The design of this article is descriptive survey design, to collect detailed and factual
information that describes factors affecting employee retention. The target populations of the
study were 100 middle level managers who were selected from the two organizations. These
groups were selected because they are the focus of most employee turnover in recent years, are
more likely responsible for implementing the management strategies for retaining the employees
and they are in better position to observe and experience the work behaviors and attitudes
towards retention strategies. After descriptive review of the literature, this study develops a
structured questioner. Likertscales has been used and questionnaires have been distributed to all
respondent.

3. The Central Argument

The central argument of the article under review focus on the factor analysis of the
component retention management strategies which have substantial roles to play in making
employees stay. I agree with the central argument of the article because retention management
strategies are critical workforce management challenges. Focus on factors that affect retention
leads to growth and success of the organization. Retention factors incorporating the needs and
desires of employees increase the level of individual job satisfaction, loyalty and commitment
which leads the prolonged stay of the employees in the organization that highly contributes for
productivity and competitiveness of the organization. Organizations failing to retain high
performers will be left with an understaffed, less qualified workforce which highly influences
their ability to remain competitive and longevity.

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4. Strength and Weakness
Strength
 Use of appropriate research design, sampling techniques, methods of data analysis
with justification
 Clear identification of the problem area
 Clear identification of sample selection criteria and sampling technique
 clear statement of article objective
 This article gives directions to managers to retain their employees

Weakness
 There is no clear identification of limitation and significance of the article
 They take the sample only from two organizations
 They take the sample only in one country