Hi,
I am responsible to calculate the attrition in the organisation for the past 2 quarters. Please guide for the same.
Would appreciate if someone also helps with a attrition calculation formula.
Regards
Deepali
From United States, New York
1I am responsible to calculate the attrition in the organisation for the past 2 quarters. Please guide for the same.
Would appreciate if someone also helps with a attrition calculation formula.
Regards
Deepali
From United States, New York
Hi,
One possible way to calc attrition is as below.
· Attrition: Number of employees who left in the year / average employees in the year x 100. Thus, if the company had 1,000 employees in April 2004, 2,000 in March 2005, and 300 quit in the year, then the average employee strength is 1,500 and attrition is 100 x (300/1500) = 20 percent.
A graded system can probably depict the true picture.
· Fresher attrition: the number of freshers who left within one year. It tells you how many are using the company as a springboard.
· Infant mortality: percentage of people who left within one year. This indicates the ease with which people adapt to the company.
· Critical resource attrition: key men exit.
· Low performance attrition: those who left due to poor performance.
Regards,
Kanupriya
From India, Ahmadabad
One possible way to calc attrition is as below.
· Attrition: Number of employees who left in the year / average employees in the year x 100. Thus, if the company had 1,000 employees in April 2004, 2,000 in March 2005, and 300 quit in the year, then the average employee strength is 1,500 and attrition is 100 x (300/1500) = 20 percent.
A graded system can probably depict the true picture.
· Fresher attrition: the number of freshers who left within one year. It tells you how many are using the company as a springboard.
· Infant mortality: percentage of people who left within one year. This indicates the ease with which people adapt to the company.
· Critical resource attrition: key men exit.
· Low performance attrition: those who left due to poor performance.
Regards,
Kanupriya
From India, Ahmadabad
Thanks for the information Kanupriya...
i would appreciate really , if you can come up with a completely innovative and new strategy to stop , i mean after calculating attrition .. Can suggest a new method if not to eradicate atleast to minimise Attrition....
Hanuma
From India, Kakinada
i would appreciate really , if you can come up with a completely innovative and new strategy to stop , i mean after calculating attrition .. Can suggest a new method if not to eradicate atleast to minimise Attrition....
Hanuma
From India, Kakinada
Its impossible to stop employees leaving the organization. But by the below mentioned methods one can atleast minimize it to some extent.
1. Offer fair and competitive salaries. Fair compensation alone does not guarantee employee loyalty, but offering below-market wages makes it much more likely that employees will look for work elsewhere. In fact, research shows that if incomes lag behind comparable jobs at a company across town by more than 10 percent, workers are likely to bolt. To retain workers, conduct regular reviews of the salaries you offer for all job titles — entry-level, experienced staff and supervisory-level. Compare your department's salaries with statistically reliable averages. If there are significant discrepancies, you probably should consider making adjustments to ensure that you are in line with the marketplace.
2. Remember that benefits are important too. Although benefits are not a key reason why employees stick with a company, the benefits you offer can't be markedly worse than those offered by your competitors
3. Train your front-line supervisors, managers and administrators. It can't be said often enough: People stay or leave because of their bosses, not their companies. A good employee/manager relationship is critical to employee satisfaction and retention. Make sure your managers aren't driving technologists away. Give them the training they need to develop good supervisory and people-management skills.
4. Clearly define roles and responsibilities. Develop a formal job description for each title or position in your department. Make sure your employees know what is expected of them every day, what types of decisions they are allowed to make on their own, and to whom they are supposed to report.
5. Provide adequate advancement opportunities. To foster employee loyalty, implement a career ladder and make sure employees know what they must do to earn a promotion. Conduct regular performance reviews to identify employees' strengths and weaknesses, and help them improve in areas that will lead to job advancement. A clear professional development plan gives employees an incentive to stick around.
6. Offer retention bonuses instead of sign-on bonuses. Worker longevity typically is rewarded with an annual raise and additional vacation time after three, five or 10 years. But why not offer other seniority-based rewards such as a paid membership in the employee's professional association after one year, a paid membership to a local gym after two years, and full reimbursement for the cost of the employee's uniforms after three years? Retention packages also could be designed to raise the salaries of technologists who become credentialed in additional specialty areas, obtain additional education or take on more responsibility. Sign-on bonuses encourage technologists to skip from job to job, while retention packages offer incentives for staying.
7. Make someone accountable for retention. Measure your turnover rate and hold someone (maybe you!) responsible for reducing it. In too many workplaces, no one is held accountable when employees leave, so nothing is done to encourage retention.
8. Conduct employee satisfaction surveys. You won't know what's wrong ... or what's right … unless you ask. To check the pulse of your workplace, conduct anonymous employee satisfaction surveys on a regular basis. One idea: Ask employees what they want more of and what they want less of.
9. Foster an environment of teamwork. It takes effort to build an effective team, but the result is greater productivity, better use of resources, improved customer service and increased morale. Here are a few ideas to foster a team environment in your department:
• Make sure everyone understands the department's purpose, mission or goal.
• Encourage discussion, participation and the sharing of ideas.
• Rotate leadership responsibilities depending on your employees' abilities and the needs of the team.
• Involve employees in decisions; ask them to help make decisions through consensus and collaboration.
• Encourage team members to show appreciation to their colleagues for superior performance or achievement.
10. Reduce the paperwork burden. If your technologists spend nearly as much time filling out paperwork, it's time for a change. Paperwork pressures can add to the stress and burnout that employees feel. Eliminate unnecessary paperwork; convert more paperwork to an electronic format; and hire non-tech administrative staff to take over as much of the paperwork burden as is allowed under legal or regulatory restrictions.
11. Make room for fun. Celebrate successes and recognize when milestones are reached. Potluck lunches, birthday parties, employee picnics and creative contests will help remind people why your company is a great place to work.
12. Write a mission statement for your department. Everyone wants to feel that they are working toward a meaningful, worthwhile goal. Work with your staff to develop a departmental mission statement, and then publicly post it for everyone to see. Make sure employees understand how their contribution is important.
13. Provide a variety of assignments. Identify your employees' talents and then encourage them to stretch their abilities into new areas. Do you have a great "teacher" on staff? Encourage him/ her to lead an in-service or present a poster session on an interesting case. Have someone who likes planning and coordinating events? Ask him to organize a departmental open house. Know a good critical-thinker? Ask him/ her to work with a vendor to customize applications training on a new piece of equipment. A variety of challenging assignments helps keep the workplace stimulating.
14. Communicate openly. Employees are more loyal to a company when they believe managers keep them informed about key issues. Is a corporate merger in the works? Is a major expansion on the horizon? Your employees would rather hear it from you than from the evening newscast. It is nearly impossible for a manager to "over-communicate."
15. Encourage learning. Create opportunities for your technologists to grow and learn. Reimburse them for CE courses, seminars and professional meetings; discuss recent journal articles with them; ask them to research a new scheduling method for the department. Encourage every employee to learn at least one new thing every week, and you'll create a work force that is excited, motivated and committed.
16. Be flexible. Today's employees have many commitments outside their job, often including responsibility for children, aging parents, chronic health conditions and other issues. They will be loyal to workplaces that make their lives more convenient by offering on-site childcare centers, on-site hair styling and dry cleaning, flexible work hours, part-time positions, job-sharing or similar practices. For example, employees of school-age children might appreciate the option to work nine months a year and have the summers off to be with their children.
17. Develop an effective orientation program. Implement a formal orientation program that's at least three weeks long and includes a thorough overview of every area of your department and an introduction to other departments. Assign a senior staff member to act as a mentor to the new employee throughout the orientation period. Develop a checklist of topics that need to be covered and check in with the new employee at the end of the orientation period to ensure that all topics were adequately addressed.
18. Give people the best equipment and supplies possible. No one wants to work with equipment that's old or constantly breaking down. Ensure that your equipment is properly maintained, and regularly upgrade machinery, computers and software. In addition, provide employees with the highest quality supplies you can afford. Cheap, leaky pens may seem like a small thing, but they can add to employees' overall stress level.
19. Show your employees that you value them. Recognize outstanding achievements promptly and publicly, but also take time to comment on the many small contributions your staff makes every day to the organization's mission.
Regards,
Kanupriya
From India, Ahmadabad
1. Offer fair and competitive salaries. Fair compensation alone does not guarantee employee loyalty, but offering below-market wages makes it much more likely that employees will look for work elsewhere. In fact, research shows that if incomes lag behind comparable jobs at a company across town by more than 10 percent, workers are likely to bolt. To retain workers, conduct regular reviews of the salaries you offer for all job titles — entry-level, experienced staff and supervisory-level. Compare your department's salaries with statistically reliable averages. If there are significant discrepancies, you probably should consider making adjustments to ensure that you are in line with the marketplace.
2. Remember that benefits are important too. Although benefits are not a key reason why employees stick with a company, the benefits you offer can't be markedly worse than those offered by your competitors
3. Train your front-line supervisors, managers and administrators. It can't be said often enough: People stay or leave because of their bosses, not their companies. A good employee/manager relationship is critical to employee satisfaction and retention. Make sure your managers aren't driving technologists away. Give them the training they need to develop good supervisory and people-management skills.
4. Clearly define roles and responsibilities. Develop a formal job description for each title or position in your department. Make sure your employees know what is expected of them every day, what types of decisions they are allowed to make on their own, and to whom they are supposed to report.
5. Provide adequate advancement opportunities. To foster employee loyalty, implement a career ladder and make sure employees know what they must do to earn a promotion. Conduct regular performance reviews to identify employees' strengths and weaknesses, and help them improve in areas that will lead to job advancement. A clear professional development plan gives employees an incentive to stick around.
6. Offer retention bonuses instead of sign-on bonuses. Worker longevity typically is rewarded with an annual raise and additional vacation time after three, five or 10 years. But why not offer other seniority-based rewards such as a paid membership in the employee's professional association after one year, a paid membership to a local gym after two years, and full reimbursement for the cost of the employee's uniforms after three years? Retention packages also could be designed to raise the salaries of technologists who become credentialed in additional specialty areas, obtain additional education or take on more responsibility. Sign-on bonuses encourage technologists to skip from job to job, while retention packages offer incentives for staying.
7. Make someone accountable for retention. Measure your turnover rate and hold someone (maybe you!) responsible for reducing it. In too many workplaces, no one is held accountable when employees leave, so nothing is done to encourage retention.
8. Conduct employee satisfaction surveys. You won't know what's wrong ... or what's right … unless you ask. To check the pulse of your workplace, conduct anonymous employee satisfaction surveys on a regular basis. One idea: Ask employees what they want more of and what they want less of.
9. Foster an environment of teamwork. It takes effort to build an effective team, but the result is greater productivity, better use of resources, improved customer service and increased morale. Here are a few ideas to foster a team environment in your department:
• Make sure everyone understands the department's purpose, mission or goal.
• Encourage discussion, participation and the sharing of ideas.
• Rotate leadership responsibilities depending on your employees' abilities and the needs of the team.
• Involve employees in decisions; ask them to help make decisions through consensus and collaboration.
• Encourage team members to show appreciation to their colleagues for superior performance or achievement.
10. Reduce the paperwork burden. If your technologists spend nearly as much time filling out paperwork, it's time for a change. Paperwork pressures can add to the stress and burnout that employees feel. Eliminate unnecessary paperwork; convert more paperwork to an electronic format; and hire non-tech administrative staff to take over as much of the paperwork burden as is allowed under legal or regulatory restrictions.
11. Make room for fun. Celebrate successes and recognize when milestones are reached. Potluck lunches, birthday parties, employee picnics and creative contests will help remind people why your company is a great place to work.
12. Write a mission statement for your department. Everyone wants to feel that they are working toward a meaningful, worthwhile goal. Work with your staff to develop a departmental mission statement, and then publicly post it for everyone to see. Make sure employees understand how their contribution is important.
13. Provide a variety of assignments. Identify your employees' talents and then encourage them to stretch their abilities into new areas. Do you have a great "teacher" on staff? Encourage him/ her to lead an in-service or present a poster session on an interesting case. Have someone who likes planning and coordinating events? Ask him to organize a departmental open house. Know a good critical-thinker? Ask him/ her to work with a vendor to customize applications training on a new piece of equipment. A variety of challenging assignments helps keep the workplace stimulating.
14. Communicate openly. Employees are more loyal to a company when they believe managers keep them informed about key issues. Is a corporate merger in the works? Is a major expansion on the horizon? Your employees would rather hear it from you than from the evening newscast. It is nearly impossible for a manager to "over-communicate."
15. Encourage learning. Create opportunities for your technologists to grow and learn. Reimburse them for CE courses, seminars and professional meetings; discuss recent journal articles with them; ask them to research a new scheduling method for the department. Encourage every employee to learn at least one new thing every week, and you'll create a work force that is excited, motivated and committed.
16. Be flexible. Today's employees have many commitments outside their job, often including responsibility for children, aging parents, chronic health conditions and other issues. They will be loyal to workplaces that make their lives more convenient by offering on-site childcare centers, on-site hair styling and dry cleaning, flexible work hours, part-time positions, job-sharing or similar practices. For example, employees of school-age children might appreciate the option to work nine months a year and have the summers off to be with their children.
17. Develop an effective orientation program. Implement a formal orientation program that's at least three weeks long and includes a thorough overview of every area of your department and an introduction to other departments. Assign a senior staff member to act as a mentor to the new employee throughout the orientation period. Develop a checklist of topics that need to be covered and check in with the new employee at the end of the orientation period to ensure that all topics were adequately addressed.
18. Give people the best equipment and supplies possible. No one wants to work with equipment that's old or constantly breaking down. Ensure that your equipment is properly maintained, and regularly upgrade machinery, computers and software. In addition, provide employees with the highest quality supplies you can afford. Cheap, leaky pens may seem like a small thing, but they can add to employees' overall stress level.
19. Show your employees that you value them. Recognize outstanding achievements promptly and publicly, but also take time to comment on the many small contributions your staff makes every day to the organization's mission.
Regards,
Kanupriya
From India, Ahmadabad
Dear Friend,
We had a discussion on the same topic, in which we have got this formula from one of our Cite HR member. Hope it will be useful for you.....
Attrition Rate= No. of employees left from the organisation/ Total no.of employees in the organisation*100
Regards
Amith R.
From India, Bangalore
We had a discussion on the same topic, in which we have got this formula from one of our Cite HR member. Hope it will be useful for you.....
Attrition Rate= No. of employees left from the organisation/ Total no.of employees in the organisation*100
Regards
Amith R.
From India, Bangalore
Hi,
For your question, i am attaching the attrition calculator which i have downloaded from citehr site only.
Hope it will definately useful to you for calculation of attrition rate monthly and quarterly.
Thanks,
Amit
From India, Mumbai
For your question, i am attaching the attrition calculator which i have downloaded from citehr site only.
Hope it will definately useful to you for calculation of attrition rate monthly and quarterly.
Thanks,
Amit
From India, Mumbai
Hi Amit,
I need to change the months in the "Attrition %age" sheet. But it's password protected, please give me the password of the same.
It's very useful for me.
My email id is. [email]ruchivijay80@yahoo.com[email].
Thanks
Ruchi
From India, Delhi
I need to change the months in the "Attrition %age" sheet. But it's password protected, please give me the password of the same.
It's very useful for me.
My email id is. [email]ruchivijay80@yahoo.com[email].
Thanks
Ruchi
From India, Delhi
The attrition formula is calulated as No of attrition/average head head count. So in a month if the opening head count is 180 and 20 attrited, 30 new joinees then then the closing headcount will be 190 i.e. 180-20+30=190. Now the average head count is 180+190/2=185. Attrition % = 20/185 * 100 = 10.81%..
Now the question is can attrition % be over 100%?
The answer is YES!!
How?
opening headcount 180, attrition is 150, new joiners is 10 then the closing headcount is 180-150+10=40.
Average head count is (180+40)/2 = 110
Attrition % = 150/110 * 100 = 136.36%.
I hope this explains everything about attrition calculation..
Regards,
Sachin Nayak.
Human Resource Professional.
From India, Mumbai
Now the question is can attrition % be over 100%?
The answer is YES!!
How?
opening headcount 180, attrition is 150, new joiners is 10 then the closing headcount is 180-150+10=40.
Average head count is (180+40)/2 = 110
Attrition % = 150/110 * 100 = 136.36%.
I hope this explains everything about attrition calculation..
Regards,
Sachin Nayak.
Human Resource Professional.
From India, Mumbai
Can anyone please tell what is the benchmark in the industry for the IMR and Attrition rate ?
Calculation is ok but how will organisation will define whther the number from the calculate has come is good ,Bad or ugly ,their must be benchmark which will help to compare with the industry practise or norms
From India, Gurgaon
Calculation is ok but how will organisation will define whther the number from the calculate has come is good ,Bad or ugly ,their must be benchmark which will help to compare with the industry practise or norms
From India, Gurgaon
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Basic Attrition Analysis.xls
What is Annualized Attrition and How to Calculate It.doc