Churning of human resources: A proposal for a theoretical-methodological model

Pirrolas, Olga Alexandra Chinita; Correia, Pedro Miguel Alves Ribeiro

doi:10.1590/1678-6971/eRAMG230256.en

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Human and Social Management • RAM, Rev. Adm. Mackenzie 24 (5) • 2023 • https://doi.org/10.1590/1678-6971/eRAMG230256.en copy

Churning of human resources: A proposal for a theoretical-methodological model

Authorship SCIMAGO INSTITUTIONS RANKINGS

Abstract

Purpose:

This article presents the results of qualitative research performed through the semi-structured interviews to elaborate a theoretical-methodological human resources churning model that will allow to statistically describe the relations of interdependence between the selected variables, to analyze their impact, and to test hypotheses in future studies.

Originality/value:

The relevance of this study lies in the opportunity to contribute to the development of such an intricate, unexplored topic, with scarcely available literature and empirical studies, providing the elaboration of an interview script as an instrument for data collection that facilitates future studies. Churning of human resources (excess of turnover) is solely related to the replacement of workers who voluntarily choose to leave organizations (Burgess et al., 2000).

Design/methodology/approach:

This study follows a qualitative approach. The process of data collection consisted of developing a semi-structured interview guide to gather information through the performance of 20 interviews.

Findings:

Through the analysis of the results, it was possible to ascertain that the more favorable churning dimensions are, the greater the retention of workers in organizations. Thus, the elaboration and application of strategic measures by organizations become relevant for the retention of the most experienced and qualified workers in order to avoid high costs with new hiring, which are a direct result of such replacements (churning).

Keywords:
churning of human resources; interviews; theoretical-methodological model; churning dimensions; strategic measures

Operational definition	Sources
Salary: Monetary reward for the work performed, considered an essential factor to keep an employee in the organization.	Milkovich et al. (2013)Milkovich, G., Newman, J., & Gerhart, B. (2013). Compensation (11th ed.). McGraw-Hill Education. and Pitts et al. (2011)Pitts, D., Marvel, J., & Fernandez, S. (2011). So hard to say goodbye? Turnover intention among US federal employees. Public Administration Review, 71(5), 751–760. http://www.jstor.org/stable/23017442 http://www.jstor.org/stable/23017442...
Career progression: Opportunities for career and personal development, which increase the commitment of employees, resulting in their retention.	Horwitz et al. (2003)Horwitz, M. F., Heng, C. T., & Quazi, H. A. (2003). Finders, keepers? Attracting, motivating and retaining knowledge workers. Human Resource Management, 13(4), 23–44. https://doi.org/10.1111/j.1748-8583.2003.tb00103.x https://doi.org/10.1111/j.1748-8583.2003... and Kroon and Freese (2013)Kroon, B., & Freese, C. (2013). Can HR practices retain flexworkers with their agency? International Journal of Manpower, 34(8), 899-917. https://doi.org/10.1108/IJM-07-2013-0169 https://doi.org/10.1108/IJM-07-2013-0169...
Schedule/working hours: Working hours have an influence on retention strategies by intervening in the balance between the employee’s personal and professional life, promoting flexibility and allowing for better management of the workload and breaks during working hours.	Kamalaveni et al. (2019)Kamalaveni, M. S., Ramesh, S., & Vetrivel, T. (2019). A review of literature on employee retention. International Journal of Innovative Research in Management Studies, 4(4), 1–10. http://ijirms.com/downloads/220520 19250918-110.pdf http://ijirms.com/downloads/220520 19250...
Leadership: The ability leaders have to inspire, guide, and treat workers in an unbiased manner. This type of leadership has a great impact on the retention of workers within organizations, given that the increase in staff turnover is sometimes due to a disequilibrium in the relationship between managers and employees. Leaders must promote motivation, well-being, and organizational effectiveness.	Miranda et al. (2016)Miranda, R. D., Avelino, B. C., & Takamatsu, R. T. (2016). Relação entre satisfação no trabalho e desempenho financeiro das empresas. Contabilidade, Gestão e Governança, 19(3), 336-355. https:// doi.org/10.21714/1984-3925_2016v19n3a1 https:// doi.org/10.21714/1984-3925_2016... , Kamalaveni et al. (2019)Kamalaveni, M. S., Ramesh, S., & Vetrivel, T. (2019). A review of literature on employee retention. International Journal of Innovative Research in Management Studies, 4(4), 1–10. http://ijirms.com/downloads/220520 19250918-110.pdf http://ijirms.com/downloads/220520 19250... , and Alkhawaja (2017)Alkhawaja, A. (2017). Leadership style and employee turnover a mythical relationship or reality? M.A. in Leadership Studies. Capstone Project Papers, 16. https://digital.sandiego.edu/solesmalscap/16 https://digital.sandiego.edu/solesmalsca...
Competition: The increased competition regarding talented workers has led organizations to review their relationship strategies with employees, aiming to attract, motivate, and retain the workforce that can ensure the success of companies.	Miranda et al. (2016)Miranda, R. D., Avelino, B. C., & Takamatsu, R. T. (2016). Relação entre satisfação no trabalho e desempenho financeiro das empresas. Contabilidade, Gestão e Governança, 19(3), 336-355. https:// doi.org/10.21714/1984-3925_2016v19n3a1 https:// doi.org/10.21714/1984-3925_2016...
Location: The place where an organization is located can be factor for attracting and retaining employees. On the contrary, it can also determine the exit of employees.	Saradhi and Palshikar (2010)Saradhi, V. V., & Palshikar, G. K. (2010). Employee churn prediction. Expert Systems whith Applications, 38(3), 1999–2006. https://doi.org/10.1016/j.eswa.2010.07.134 https://doi.org/10.1016/j.eswa.2010.07.1... and Dolatabadi and Keynia (2017)Dolatabadi, S. H., & Keynia, F. (2017, July 11–14). Designing of customer and employee churn prediction model based on data mining method and neural predictor. The 2nd International Conference on Computer and Communication Systems. https://doi.org/10.1109/CCOMS.2017.8075270 https://doi.org/10.1109/CCOMS.2017.80752...
Work environment: The environment where people work can influence their performance. It can be the reason for one’s exit. However, a good work environment is propitious for the retention of workers.	Rossberg et al. (2004)Rossberg, J. I., Eiring, Ø., & Friss, S. (2004). Work environment and job satisfaction. A psychometric evaluation of the Working Environment Scale-10. Social Psychiatry and Psychiatry Epidemioly, 39(7), 576–580. https://doi.org/10.1007/s00127-004-0791-z https://doi.org/10.1007/s00127-004-0791-... and Horwitz et al. (2003)Horwitz, M. F., Heng, C. T., & Quazi, H. A. (2003). Finders, keepers? Attracting, motivating and retaining knowledge workers. Human Resource Management, 13(4), 23–44. https://doi.org/10.1111/j.1748-8583.2003.tb00103.x https://doi.org/10.1111/j.1748-8583.2003...
Recognition: The recognition given to workers for the work performed is an imperative factor for their retention. A simple acknowledgment boosts motivation, and commitment increases productivity and feelings of loyalty. Workers want to hear that their work is being supervised, recognized, and appreciated.	Rahman et al. (2020)Rahman, Z.-U., Ali, S. S., & Hussain, F. (2020). The critical elements determine employee retention in the Bpo sector of Bangladesh. International Journal of Scientific & Technology Research, 9(1), 2580–2588. http://www.ijstr.org/final-print/jan2020/The-Critical-Elements-Determining-Employee-Retention-In-The-Bpo-Sector-Of-Bangladesh.pdf http://www.ijstr.org/final-print/jan2020...
Motivation: It can be defined as a set of factors that influence, intensify, organize, and guide human behavior at the level of personal character, personal development, work characteristics, and the organization itself. It is the feeling in relation to the work performed, which is related to the organization’s management processes and work environment.	Miranda et al. (2016)Miranda, R. D., Avelino, B. C., & Takamatsu, R. T. (2016). Relação entre satisfação no trabalho e desempenho financeiro das empresas. Contabilidade, Gestão e Governança, 19(3), 336-355. https:// doi.org/10.21714/1984-3925_2016v19n3a1 https:// doi.org/10.21714/1984-3925_2016... and Rahimić et al. (2012)Rahimić, Z., Resić, E., & Kožo, A. (2012). Determining the level of management competences in the process of employee motivation. Procedia – Social and Behavioral Sciences, 41, 535–543. https://doi.org/10.1016/j.sbspro.2012.04.066 https://doi.org/10.1016/j.sbspro.2012.04...
Churning: The excess of turnover related to inflows, outflows, and job flows. Costs associated with the overflow of reallocations of workers due to voluntary departures.	Burgess et al. (2000)Burgess, S., Lane, J., & Stevens, D. (2000). Job flows, worker flows, and churning. Journal of Labor Economics, 18(3), 473–502. https://doi.org/10.1086/209967 https://doi.org/10.1086/209967... and Flórez et al. (2017)Flórez, L. A., Morales, L., Medina, D., & Lobo, J. (2017). Labour flows across firm’s size, economic sectors and wages in Colombia: Evidence from employer-employee linked panel. Borradores de Economía, 1013. https://doi.org/10.32468/be.1013 https://doi.org/10.32468/be.1013...
Human resources retention strategies: The capacity an organization has to retain its workers in the organization.	Steil et al. (2016)Steil, A., Penha, M. M., & Bonilla, M. A. M. (2016). Antecedentes da retenção de pessoas em organizações: Uma revisão de literatura. Psicologia: Organizações e Trabalho, 16(1), 88–102. https://doi.org/10.17652/rpot/2016.1.542 https://doi.org/10.17652/rpot/2016.1.542...

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[1] Correspondence concerning this article should be addressed to Olga Alexandra Chinita Pirrolas and Pedro Miguel Alves Ribeiro Correia. Emails: olgaalexandrap@gmail.com; pcorreia@fd.uc.pt