Question

This week we'll further explore the following two important areas for analysis: what to measure and how to measure. What will your AIE term project be? There are lots of great topics that you can choose from:

1) A cost-saving project (for example, remote access for meetings versus driving to work, implementation of new technologies, etc.)

2) A process improvement at home or at work (key outcome variables might include costs, capacity utilization, throughput, time (remember, time is money, and if you can save time, you can save money)

3) Profits (e.g., via Simulation)

4) Net present value

5) Customer retention (Note: If you create a survey, remember, every question is a variable that you can use in regression. Make sure that you can code responses numerically - so, don't ask open-ended questions. Also, you can use variables in contingency tables or regression models, so variables can be "dependent" variables or "independent" variables. Finally, if you do a survey, keep it short - say 10 questions or so. Make sure that you get at least 10 to 50 responses, and don't forget what Hubbard says about the power of small samples.)

6) Employee retention

7) Customer satisfaction

8) Employee satisfaction

9) Forecasting

10) Firm and/or project valuation

Answer 1

Employee Rentention :-

Employee retention refers to the ability of organisation to retain their employees. Higher the employee retention percentage indicates positively for organisation. For example retention rate is 80%, this means 80% of total employees get retained by the organisation and balance 20% is labour turnover rate who leaves the organisation.

For retaining the employee many policies should be made to motivate them, keep them working like provide positive working environment, reward them and recognise them, timely evaluation of job satisfaction, attractive pay, etc.

What to measure :-

- Organisation should measure the retention ratio or labour turnover rate which makes them to understand the requirements of nee employees in future.

- Employee's job satisfaction should be measure on timely basis.

How to measure :-

- Calculate the employee retention ratio by dividing the number of employees left by total number of employees at the end of the year.

- Make an questionnaire to be filled by employees.

- Evaluate job satisfaction by direct communicating with employees.

- Compare their pay structure with the industry.