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- MemberOctober 31, 2021 at 12:19 am
Organization’s strategy: Cost Reduction and Talent Retention
Company X HR Practices consistent with strategy: To kill 2 birds with 1 stone, the HR practice implemented in the company was that they provided re-skilling and leadership training to employees from time-to-time so that they can be ready to move up the ladder whenever there is opportunity, and use them to backfill higher job level attrition with these internal resources. This helped in reducing the cost needed to hire external professionals, as most of the hiring done are fresh graduate hires instead. When employees are given opportunity for training and career development, they feel the job satisfaction and job security, therefore the attrition numbers went down gradually.
Company Y HR Practices inconsistent with strategy: It was a transition period for Company Y which I worked for previously, situation was pretty shaky and they needed to cut cost in order to sustain, therefore the plan was to layoff low performance resources and retain the high performers. 1 thing similar to company X which they did, was to focus on hiring fresh graduates and get the senior employees to help train them. However in the process of implementing workforce reduction, they were too focused on numbers and quota, resulting in elimination of many high performers. In turn, the attrition number hiked because the employees did not feel secure and they had to spend more money to hire skilled & experienced external resources so that business deliverables and client satisfaction are not compromised.