Introduction
The objective of this report is to analyze the high turnover rate of EAV Singapore using organizational behavior concepts. Our data collection methods include an interview with an employee in the corporation and online research.
The structure of the paper will include the company’s background, the problem faced according to the interviewee’s viewpoint, the consequences and possible causes, and the most applicable model to analyze the problem, followed by a brief conclusion.
Company Background
EAV is a Multinational Company based in the United States, specialising in the electrical and fluid power sectors. The firm has a local office that serves as a link between its production lines worldwide and regional customers. The 50 staff in the local branch comprises a general manager, 6 departmental managers, and low level staff ranging from 2 to 6 per department. They help promote and distribute EAV's products regionally, handling orders, payment and customer relationship management.
Description of the Problem
Despite EAV’s success story, the local branch is facing a serious problem: a high turnover rate. There is a serious shortage of staff across the organisational hierarchy. During the interviewee’s stint there, two managers left without proper replacement. Furthermore, only one out of the three HR personnel (three was already a shortage) remained in the company. As a result, a HR manager had to be brought in from the main office to deal with the crisis.
Consequence
The shortage in staff has led to delayed order processing and delivery, causing inefficiency and increased operating costs. Although sales have increased in the Asia-Pacific region last year, this growth is mainly due to the expanding Asia-Pacific market . Th ...