Obstacles for career development resulting ETO

Career development of an employee is the process that converts their career plan to achieve their career goals in the future with proper defined milestones (Risha, 2022).

In the process of reducing ETO in an organization, we should ensure proper career growth and development for the employees. According to the globalization of the industry, employees will subject to leave the company for organizations which has proper career development and learning plans for their employees. In the process of retaining the employees within the company we should ensure proper learning and career development opportunities for the employees.

According to the work institute 2020 reports, highest number of employees turn over reason is that career development problem within the organizations of united states (Merwe, 2022). This report shows 18% of the total employees who leave their organizations due to lack of career development programs in the organization (Institute, 2020).

                            Fig 01: Career issues and aspects at workplace (Merwe, 2022).  

 

                          Table 01: Main reasons affecting employee turnover (Institute, 2020).

According to the above we can identify that the main reason for employee turnover is lack of career development. In the process of further analyzing the ETO due to career development, we can divide the ETO rate in to two main genders in the world.

ETO due to Lack of Career Development Segmented by Sex

According to the report from work institute US, they have identified that Males are much likely to leave their organization voluntarily due to lack of career development than females. Female employees are 28.5% less likely to decide to leave than male employees.

                         Fig 02: Career development segmented by Gender (Institute, 2020).

ETO due to Lack of Career Development Segmented by Age

According to the work institute US report we can identify that younger generation is much more likely to leave their employment due to lack of career development. This is a much more common cause in the globalizing environment because younger generation are much more energetic and competition for new challenges and career progress. When they didn’t get any reasonable growth within a certain amount of time, they will be much more likely to move for a new organization which offer proper career development programs.

                                 Fig 03: Career development segmented by age (Institute, 2020).

Career Development and Growth using SHRM

In a globalized working environment, career development is a major aspect that ensure the organization their performance in the forecasted manner.  In the process of career development using SHRM approaches, we can implement below steps to ensure employees will be their growth and development in a proper manner (SHRM, 2022). 

 Individualized career map

At the stage of recruitment, each employee should get an individualized career map to ensure their career ladder within the organization. This SHRM practice will help employee to visualize and forecast their future with the organization. In the globalized work environment, most companies allow a transparent cooperate ladder to motivate employees to work efficiently to increase their performance. Creating an individualized career map consists of identifying other positions within the organization that meet the employees’ pursuits. This SHRM practice allows employees to upgrade their position according to their past experience, interests, and motivation while contribution to organizational performance.

Using a career ladder model will help employees to visualize their future with the organization. Bowling Green State University's Business Career Accelerator program explains career ladder in below diagram (Vincent, 2019).

                                Fig 04: An illustration of  career ladder (SHRM, 2022). 

By using the above career ladder employees can identify what are the next levels that they can advanced in the future and HR department will ensure to give a proper training and development to move upwards in the career ladder in each time frame.

As an example, FedEx company has published their career path in a proper organizational chart. FedEx is a delivery company based on US with a proper career ladder.

 Fig 05: A career path in proper organizational chart(SHRM, 2022). 

Special Assignments and Job Rotation

In an organization employees tend to leave because they are doing same job over a long period of time, and it generates boredom. Employees should be assigned special assignments and rotation from the initial work scopes. These actions will help employees to learn new things while performing in different situations. Simultaneously, management can also ascertain the capacity and potential of an employee to accept challenges, working in new settings, and with new people.  This SHRM practice will help to reduce ETO regarding career problems while increasing the organizational performance.

                Fig 06: Including job rotations and challenges in the cycle of work (SHRM, 2022). 

 Proper Learning Methodologies

In using proper HR management for employees, strategic management should give employees a proper learning about their job role, theories regarding their job role etc.  Supporting employees in their education and training which related to their assigned job role. In the process of assigned proper training programs, management should identify the employees learning style to give an optimum training. In the Kolb’s Learning Styles Model they have identified four main types of learning styles of the workers (Base, 2022). They are,

1.    Accommodator

2.    Diverger

3.    Converger

4.    Assimilator

  Fig 07: Kolb’s learning styles model (Base, 2022).

 Above mentioned are the key main learning styles identified in the Kolb’s learning styles models. By using this model strategic management can identify the type of training and education that should give to the employees to ensure the training and education is grasped properly. As an example, if an employee who tend to mainly learns by doing and feeling, he tends to learn primarily from hands on experience, and most of the time they use gut feeling than using logical analysis, these employees careers should be developed towards marketing, Public relations and management. Employer must identify the true potential of the employee when training and educating the employee using Kolb’s learning styles.

Career Counselling

In a developing organization employees should give career counselling by a professional career guidance counsellor. This should be arranged by the HR of the company. This SHRM practice will help employees to ensure path in training and education which help to their career development. By counselling employees about their career development within the company will help employee retention while reducing the ETO and increase the organizational performance.

Role of Career Development in increasing Organizational performance

Career development of employees of the organization will directly affect the organizational performance in many ways. By helping employees to upgrade their career path will help employee retention in a higher manner. In a company which are having talented, well experienced employees will increase the organizational performance in a higher manner. As an example, if the ETO of a company is less due to proper career development methodologies, employees tend work towards the company’s goal with a higher performance and motivation. This will increase the organizational performance (Nasution, 2018).

 

References

Base, M. K., 2022. MBA Knowledge Base. [Online]
Available at: https://www.mbaknol.com/human-resource-management/learning-styles/
[Accessed 10 November 2022].

Institute, W., 2020. 2020 Retention Report, New York: Work Institute.

Merwe, M. v. d., 2022. People Managing People. [Online]
Available at: https://peoplemanagingpeople.com/articles/employee-retention-statistics/
[Accessed 11 Nov 2022].

Nasution, F. N., 2018. The Influence of Career Development and Organizational Culture on. International Journal of Scientific Research and Management (IJSRM), 6(1), pp. 57-65.

Risha, 2022. Economic Discussions. [Online]
Available at: https://www.economicsdiscussion.net/human-resource-management/career-development-in-hrm/31801
[Accessed 10 November 2022].

SHRM, 2022. SHRM. [Online]
Available at: https://www.shrm.org/resourcesandtools/tools-and-samples/toolkits/pages/developingemployeecareerpathsandladders.aspx
[Accessed 12 November 2022].

Vincent, M., 2019. College of Business, Business Car College of Business, Business Career Acceler eer Accelerator, Qualitativ , Qualitative, s.l.: Bowling Green State University.