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International Journal of Innovative Technology and Exploring Engineering (IJITEE)
ISSN: 2278-3075 (Online), Volume-8 Issue-12, October 2019
2707
Published By:
Blue Eyes Intelligence Engineering &
Sciences Publication
Retrieval Number: L25411081219/2019©BEIESP
DOI:10.35940/ijitee.L2541.1081219
Journal Website: www.ijitee.org
Abstract: Employee Retention is an imperative proportion of
the strength of an organisation. HR department should execute
remedial programs on turnover administration: the gathering and
examination of information on turnover patterns, identification of
turnover factors through formal exit interviews, and usage of
remedial activities which address the primary driver of turnover.
This research paper centers on the Exit Interview as a competency
based tool for archiving employee turnover data. Exit interviews
help in changing organisational policies towards retention. This
study has been carried out at HCL technologies Hyderabad.
Samples are collected from middle level employees through a
structured questionnaire. Hypothesis was tested by using
Chi-square and ANOVA. It has been proved that exit interview
has significant impact on employee retention and it controls
annual employee turnover.
Key Words: Retention, Turnover, Exit Interview, Remedial
Activities, Administration.
I. INTRODUCTION
Global opportunities make employees leave the organization
quite often even the exit appears unforced, to understand the
reasons why employees are leaving management has to
conduct exit interviews and analyze the factors for the exit
(Armstrong, 2006). In IT industry employees will receive
offers from recruiters frequently, tempts them with lucrative
benefits and larger payment or an innovation to work with.
High potential employees always love to work in challenging
environment to explore and enhance their career. Exit
interviews are diagnostic parameters (Hinkin, T. R., &
Tracey, J. B., 2010) that provide management with
meaningful information regarding the reasons and analysis of
employee turnover (Mok, C., & Luk, Y., 1995). Exit
interviews provide management with the right set of
circumstances to improve from the feedback of existing
employees, a chance which the management wouldn’t have
with previous employees (Iqbal, 2010).
Revised Manuscript Received on October 30, 2019.
* Correspondence Author
P Hameem Khan*, Research Scholar, Dept. of Management Science,
Jawaharlal Nehru Technological University-Anantapur, India,
email:hameem.pathan@gmail.com
Dr. Aliya Sgultana, Associate Professor, RGMCET-Nandyal, India,
email:aliya.sultana74@gmail.com
Dr. T Narayana Reddy, Associate Professor, Dept. of Management
Studies, Jawaharlal Nehru Technological University-Anantapur, India
email:tnreddyjntua@gmail.com
© The Authors. Published by Blue Eyes Intelligence Engineering and
Sciences Publication (BEIESP). This is an open access article under the
CC-BY-NC-ND license http://creativecommons.org/licenses/by-nc-nd/4.0/
Exit interviews also serve as information sources to
management to counter the aggravate exit thoughts in
employees (Holtom, Brooks & Mitchell, Terence & Lee,
Thomas & Eberly, Marion., 2008). It is imperative that
interviewers are trained properly so that they can conduct exit
interviews efficiently. They should have been given relevant
information regarding process goals and employee details.
Interview process is sensitive and emotional content can arise.
Interviewers have to create friendly, honest, and respectful
environment to deal with individuals. They must listen to
employee answers with non-judge mental attitude to improve
the situation. Having a positive interview environment
influence employee intuition and what they share to other
employees. Exit interviews improves the methods and
standards of employee management.
RESEARCH OBJECTIVE
1. To study the relationship between exit interview and
employee retention.
2. To analyse the changes in employee retention polices
post exit interview.
METHODOLOGY
Data has been collected from primary sources through
structured questionnaire, sample size was 120 employees,
ANOVA test is applied to test the hypothesis.
HYPOTHESIS
H01: There is no significant relationship between exit
interview feedback and employee retention.
H02: There is no significant relationship between employee
participation in exit interview and employee retention
policies.
H03: There is no significant relationship between quantitative
data of employees and employee retention.
II. LITERATURE REVIEW
Abelson and Baysinger. (1984), expressed maintenance
expenses to incorporate higher pay, advancement and intra
association exchange, struggle upgrade, and lessened staffing
adaptability. The exit interview is a conversation between an
interviewer and an employee who is ready to leave. It collects
data on experiences and genuine explanations from
employees who are about to leave.
Faragher J. (2017), an exit interview is done by using a set of
structured questions, through which management can be able
to record why employee wants to leave? What does HR
Department think about it? Till today many organisations
don’t have a proper support system for employee concerns.
Exit interview -A Competency based Practice for
Employee Retention
P Hameem Khan, Aliya Sgultana, T Narayana Reddy
Exit interview -A Competency based Practice for Employee Retention
2708
Published By:
Blue Eyes Intelligence Engineering &
Sciences Publication
Retrieval Number: L25411081219/2019©BEIESP
DOI:10.35940/ijitee.L2541.1081219
Journal Website: www.ijitee.org
Levin G. (2007), Exit interview should be done in win-win
environment and it is suggestable that it is taken up by a third
party.
This act makes employees much comfortable in sharing their
concerns and reasons behind leaving. Thorough this
important data can be which can control employee turnover
rate.
Silverman WK. (2001), mentioned the importance of exit
interviews, as they avert some potential impediments that may
occur. The ownership rights of an innovation that is owned by
the departing employee in association with the current
organisation would not be taken to a new organisation where
he joins. It improves the relationship between departing
employee and current organisation. And it ensures all
necessary explanations and further possibilities in the
organisation to the departing employees.
Van Wert IG. (2004), it has been identified that the perception
of the exit interview isreduction of efficiency or effectiveness.
A good management always accepts their own flaws and take
actions in that way. It is also stated that the employee who is
leaving should have a rational reason. Most of the time
management is adamant to take exit interviews, as
management believes that it might disclose the organizational
failures. Training should be given to the employees on the
basis of exit interview recommendations.
III. EXIT INTERVIEW AS A COMPETENCY BASED
PRACTICE FOR EMPLOYEE RETENTION
Employee Retention has been a major problem to IT Industry,
global opportunities and lucrative packages from competitors
making employees to leave the company. Exit interview is a
formal procedure which is conducted to get the valuable
suggestions and feedback from outgoing employees,
suggestions and feedback are used to make further polices on
employee retention. Employee participation in exit interviews
is a challenge as they are unsatisfied and frustrated and they
will not take it on serious note as they are aware that nothing
can be figured out after all giving the honest feedback. But to
make effective policies on retention Concrete feedback,
active participation and quantitative data from employees are
needed.
Figure No.1 Exit Interview-A Competency Based Practice for Employee Retention
Employee feedback
Exit interviews are conducted as a tool to build a positive
relationship with the departing employee, high potential
employees will be given priority and interviewers try to
persuade to withdraw their resignation. Salary hike,
Employee Stock Options and other benefits bestowed up on
skilled talent. Exit interviews are the greatest sources for
collecting concrete feedback from the employees, this
feedback is used to take assertive measures in controlling
employee attrition. Proper implementation of feedback
obtained from exit interviews is not only valuable for the
departing employees but also organisation as a whole. Exit
interview is a liaison between organisation and employee
attrition (Bharatvajan R, 2014). Exit interview feedback data
should be flowed to line supervisors on timely basis so that
they can monitor the employee churn, gathered information
should be used in departmental or unit reviews for
identification of areas requiring policy amendments (James
G. Neal, 1989). Employee feedback from exit interview is
used to improve the policies and facilities at work place.
Table No.1 Employee Feedback through Exit Interview
[Model Summaryb]
Mod
el
R
R Square
Adjusted R
Square
Std. Error of
the Estimate
Change Statistics
Durbin-Watson
R Square
Change
F
Change
df1
df2
Sig. F
Change
1
.185a
.034
.000
1.117
.034
1.013
4
115
.404
2.072
a. Predictors: (Constant), Policy amendments, Positive Relationship, Identify High Potential Employees, Liaison role
b. Dependent Variable: Employee Feedback
International Journal of Innovative Technology and Exploring Engineering (IJITEE)
ISSN: 2278-3075 (Online), Volume-8 Issue-12, October 2019
2709
Published By:
Blue Eyes Intelligence Engineering &
Sciences Publication
Retrieval Number: L25411081219/2019©BEIESP
DOI:10.35940/ijitee.L2541.1081219
Journal Website: www.ijitee.org
H01: There is no significant relationship between exit interview feedback and employee retention is rejected as the F value is
1.013.
Employee Participation
Exit interview is a tool which makes employee to participate
and give honest feedback about the company, interviewers
negotiate and make employees to rethink and with draw the
resignation. It is important to make sure to select a good
method for conducting exit interview process, online exit
interview management system enables employee a hassle free
participation. Questions which are asked should be simple
and comprehensive, so the data collected will be intense.
Employees often reluctant to participate in exit interviews as
they feel that nothing can be changed after all are giving the
honest feedback (Md. Sajjad Hossain, Samiha Tasnim Himi
and Junayed Al Ameen., 2017). In order to overcome such
issues exit interview would be conducted as per employee
willingness and schedule, every possible option has to be
given to the employees to make sure stay back in the current
orgnisation. Employees are the valuable assets for any
organization, while they depart from the company it’s
important to settle all their arrears and exit interview should
be that platform.
Table No.3 Employee participation in Exit Interview
Model Summaryb
Mod
el
R
R Square
Adjusted
R Square
Std. Error of
the Estimate
Change Statistics
Durbin-Watson
R Square
Change
F Change
df1
df2
Sig. F
Change
1
.064a
.004
-.031
1.264
.004
.117
4
115
.976
1.724
a. Predictors: (Constant), Collection of Exit Reasons , Comprehensive Discussion , Employee willingness , Withdraw Resignation
b. Dependent Variable: Employee Participation
Table No.4 ANOVA – Test for Employee participation in Exit Interview
ANOVAa
Model
Sum of Squares
Df
Mean Square
F
Sig.
1
Regression
.749
4
.187
.117
.976b
Residual
183.617
115
1.597
Total
184.367
119
a. Dependent Variable: Employee Participation
b. Predictors: (Constant), Collection of Exit Reasons , Comprehensive Discussion , Employee willingness , Withdraw Resignation
H02: There is no significant relationship between employee participation in exit interview and employee retention policies is
rejected as the F value is 0.117.
Table No.2 ANOVA – Test for Employee Feedback through Exit Interview
ANOVAa
Model
Sum of Squares
Df
Mean Square
F
Sig.
1
Regression
5.062
4
1.266
1.013
.404b
Residual
143.604
115
1.249
Total
148.667
119
a. Dependent Variable: Employee Feedback
b. Predictors: (Constant), Policy amendments, Positive Relationship, Identify High Potential Employees, Liaison role
Exit interview -A Competency based Practice for Employee Retention
2710
Published By:
Blue Eyes Intelligence Engineering &
Sciences Publication
Retrieval Number: L25411081219/2019©BEIESP
DOI:10.35940/ijitee.L2541.1081219
Journal Website: www.ijitee.org
Quantitative Data
There will be so many reasons for employees to leave the
organisation, to learn reasons and making the decisions, it is
important to have quantitative data which can be collected
from employees through different techniques. Oral
interviews, unstructured questions may not help in collecting
the data. The task of exit interviews should be assigned to
third parties to collect unbiased data. Chat bots, google
Forms, questionnaire, structured interviews are effective tools
to collect quantitative data (Shukla K, Deb R. 2017).
Organisation has to maintain a separate data base to collect
and store the data such as Internal data storage system or
cloud storage facility. Exit interviews allows organisations to
analyze quantitative data on large scale, data patterns uncover
the exact reasons of turnover and bring out suitable measures
to retain employees in a reliable way.
Table No.5 Quantitative Data Collection and Tabulation
Model Summaryb
Mode
l
R
R Square
Adjusted R
Square
Std. Error of
the Estimate
Change Statistics
Durbin-Watson
R Square
Change
F
Change
df1
df2
Sig. F
Change
1
.115a
.013
-.021
1.159
.013
.385
4
115
.819
1.788
a. Predictors: (Constant), Third Party exit interviewers role, Collection of Exit Reasons , Data collection Methods, Data Patterns
b. Dependent Variable: Quantitative Data
Table No.6 ANOVA – Test for Quantitative Data Collection and Tabulation
ANOVAa
Model
Sum of Squares
Df
Mean Square
F
Sig.
1
Regression
2.070
4
.518
.385
.819b
Residual
154.430
115
1.343
Total
156.500
119
a. Dependent Variable: Quantitative Data
b. Predictors: (Constant), Third Party exit interviewers role, Collection of Exit Reasons , Data collection Methods, Data Patterns
H03: There is no significant relationship between quantitative data of employees and employee retention is rejected as the F
value is 0. 385.
IV. RESULTS AND DISCUSSION
This study examines the impact of exit interview on employee
retention, 12 variables were identified and studied under three
factors. Employee feedback which is collected through exit
interview has significant impact on employee retention,
employees of HCL felt that exit interview improves
relationship among employees and employers, it takes liaison
role in bridging the conflicts. High potential employees are
identified and their valuable feedback is used to frame further
retention policies.
Employee participation has outstanding role in exit interview
as most employees don’t want to share the reasons for
resignation, exit interviews motivate employees to participate
at their flexible schedule. Employees opine that exit interview
conducting method at their company is quite good and it is
making them to think again stay back in the company.
Comprehensive discussions were happened between
employees and management. Majority of the employees
considered that exit interviews can provide an opportunity to
the organisation to control attrition rate by consulting
outgoing employees.
The data collected through exit interviews is tabulated and
quantified, employees answered that their feedback is
collected systematically and the data collection instruments
were easy to understand. Exit reasons were deliberately
recorded and the tabulated data has been used to predict the
future employee churn. Exit data has been used to project the
attrition trend and to take necessary actions. Quantitative data
has become blood for any organization in order to meet the
future uncertainty.
V. CONCLUSION
From the above study it has been concluded that exit
interviews have positive impact on employee retention,
employee turnover is affecting the company in many ways
like losing skilled talent, project rejections, financial crisis so
on so forth. Employees opined that exit interview is giving an
opportunity to the company to frame employee based work
policies, methods which are using to conduct exit interview
are easy to involve and the information recorded is being used
up on improving work place facilities. Employees are getting
motivated to participate in exit interviews by the design and
structure,
International Journal of Innovative Technology and Exploring Engineering (IJITEE)
ISSN: 2278-3075 (Online), Volume-8 Issue-12, October 2019
2711
Published By:
Blue Eyes Intelligence Engineering &
Sciences Publication
Retrieval Number: L25411081219/2019©BEIESP
DOI:10.35940/ijitee.L2541.1081219
Journal Website: www.ijitee.org
third party interviewers are unbiased and helping the
organisation in retaining talented work force. A few
employees are hesitant to share the exact reason for exit,
management has to focus on the root cause of this issue in
order to make efficient retention policies.
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AUTHORS PROFILE
P Hameem Khan, Research Scholar, Department of
Management Studies, JNTU Anantapur, AP, India
email:hameem.pathan@gmail.com
Dr Aliya sultana (HMA,AIMA), Head of the
Department, management studies, RGMCET, Nandyal,
Andhrapradesh, India. email:aliya.sultana74@gmail.com
Dr. T Narayana Reddy, Associate Professor, Dept.
of Management Studies, Jawaharlal Nehru Technological
University-Anantapur, India
email:tnreddyjntua@gmail.com