term paper organisation behavior

7/28/2019 term paper organisation behavior

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MGT 104 Term paper

Essentials of Organizational Behaviour

Submitted to:

Mrs. Maneet kaur

Submitted by:

Gaurav Tyagi

Roll no. RT1910B48

Reg. no. -10900356


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Table of ContentsGaurav Tyagi.......................................................................................................... 1

Roll no. RT1910B48.............................................................................................. 1

Reg. no. -10900356................................................................................................1

Table of Contents...................................................................................................... 1

Acknowledgement..................................................................................................3

Introduction: .......................................................................................................... 4

Job satisfaction .................................................................................................. 5

Models of job satisfaction...................................................................... 6

Affect Theory...................................................................................................... 6

Dispositional Theory............................................................................................7

Two-Factor Theory (Motivator-Hygiene Theory)..................................................7Turn over....................................................................................8

Costs..................................................................................8

When accounting for the costs (both real costs, such as time taken to select and

recruit a replacement, and also opportunity costs, such as lost productivity), the

cost of employee turnover to for-profit organizations has been estimated to be up

to 150% of the employees' remuneration package. There are both direct and

indirect costs. Direct costs relate to the leaving costs, replacement costs and

transitions costs, and indirect costs relate to the loss of production, reduced

performance levels, unnecessary overtime and low morale..................................8

Internal vs. external turnover...............................................................8

Like recruitment, turnover can be classified as 'internal' or 'external'. Internal

turnover involves employees leaving their current positions and taking new

positions within the same organization. Both positive (such as increased morale

from the change of task and supervisor) and negative (such as project/relational

disruption, or the Peter Principle) effects of internal turnover exist, and therefore,

it may be equally important to monitor this form of turnover as it is to monitor its

external counterpart. Internal turnover might be moderated and controlled by

typical HR mechanisms, such as an internal recruitment policy or formal

succession planning............................................................................................... 8Skilled vs. unskilled employees............................................................9

History of ICICI...................................................................................................... 9

Controversy.....................................................................11

Affect Theory........................................................................................................14

...................................................................................................16


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Internal vs. external turnover.............................................................16

Skilled vs. unskilled employees..........................................................17

Bibliography.........................................................................................................20

Acknowledgement

My thanks is to all those who have helped me to achieve my goal. First my thanks goes to

almighty whose has the big role of getting me succeeded in this minor project otherwise it

would have been possible for me.

Apart from this there was a great support from my friends, teachers and the net facility

provided by the university which is available at any time for students. These things made my

work true and live.

More over me got the full fledged guidance from my teacher Maneet Kauur for the

project. He was there when I required him and he also helped me like my friends do.

I want to thank my PARENTS for supporting me financially and my friends helping me

in searching the data.


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I am really thankful to my god for providing me such a teacher , good friends and his own

help above all.

Introduction:

ICICI Bank (BSE: ICICI) (formerly Industrial Credit and Investment Corporationof India) is India's largest private sector bank by market capitalisation and secondlargest overall in terms of assets. total assets of Rs. 3,562.28 billion (US$ 77

billion) at December 31, 2009 and profit after tax Rs. 30.19 billion (US$ 648.8million) for the nine months ended December 31, 2009.[1] The Bank also has a

network of 1,700+ branches (as on 31 March, 2010) and about 4,721 ATMs inIndia and presence in 18 countries, as well as some 24 million customers (at theend of July 2007). ICICI Bank offers a wide range of banking products andfinancial services to corporate and retail customers through a variety of deliverychannels and specialised subsidiaries and affiliates in the areas of investment

banking, life and non-life insurance, venture capital and asset management.(These data are dynamic.) ICICI Bank is also the largest issuer of credit cards in


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India.[2]. ICICI Bank has got its equity shares listed on the stock exchanges atKolkata and Vadodara, Mumbai and the National Stock Exchange of IndiaLimited, and its ADRs on the New York Stock Exchange (NYSE). The Bank isexpanding in overseas markets and has the largest international balance sheet

among Indian banks. ICICI Bank now has wholly-owned subsidiaries, branchesand representatives offices in 18 countries, including an offshore unit in Mumbai.This includes wholly owned subsidiaries in Canada, Russia and the UK (thesubsidiary through which the HiSAVE savings brand[3] is operated), offshore

banking units in Bahrain and Singapore, an advisory branch in Dubai, branches inBelgium, Hong Kong and Sri Lanka, and representative offices in Bangladesh,China, Malaysia, Indonesia, South Africa, Thailand, the United Arab Emirates andUSA. Overseas, the Bank is targeting the NRI (Non-Resident Indian) populationin particular.

ICICI reported a 1.15% rise in net profit to Rs. 1,014.21 crore on a 1.29% increasein total income to Rs. 9,712.31 crore in Q2 September 2008 over Q2 September2007. The bank's current and savings account (CASA) ratio increased to 30% in2008 from 25% in 2007.[4][5]

ICICI Bank is one of the Big Four Banks of India with State Bank of India, Axis

Bank and HDFC Bank.[

Job satisfaction

Job satisfaction has been defined as a pleasurable emotional state resulting fromthe appraisal of ones job; an affective reaction to ones job; and an attitudetowards ones job. Weiss (2002) has argued that job satisfaction is an attitude but

points out that researchers should clearly distinguish the objects of cognitive

evaluation which are affect (emotion), beliefs and behaviours.]

This definitionsuggests that we form attitudes towards our jobs by taking into account ourfeelings, our beliefs, and our behaviors.

One of the biggest preludes to the study of job satisfaction was the Hawthornestudies. These studies (1924-1933), primarily credited to Elton Mayo of theHarvard Business School, sought to find the effects of various conditions (most
http://en.wikipedia.org/wiki/Job_satisfaction#cite_note-3http://en.wikipedia.org/wiki/Job_satisfaction#cite_note-3


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notably illumination) on workers productivity. These studies ultimately showedthat novel changes in work conditions temporarily increase productivity (calledthe Hawthorne Effect). It was later found that this increase resulted, not from thenew conditions, but from the knowledge of being observed. This finding provided

strong evidence that people work for purposes other than pay, which paved theway for researchers to investigate other factors in job satisfaction.

Scientific management (aka Taylorism) also had a significant impact on the studyof job satisfaction. Frederick Winslow Taylors 1911 book, Principles ofScientific Management, argued that there was a single best way to perform anygiven work task. This book contributed to a change in industrial production

philosophies, causing a shift from skilled labor and piecework towards the moremodern approach of assembly lines and hourly wages. The initial use of scientificmanagement by industries greatly increased productivity because workers were

forced to work at a faster pace. However, workers became exhausted anddissatisfied, thus leaving researchers with new questions to answer regarding jobsatisfaction. It should also be noted that the work of W.L. Bryan, Walter DillScott, and Hugo Munsterberg set the tone for Taylors work.

Some argue that Maslows hierarchy of needs theory, a motivation theory, laid thefoundation for job satisfaction theory. This theory explains that people seek tosatisfy five specific needs in life physiological needs, safety needs, social needs,self-esteem needs, and self-actualization. This model served as a good basis fromwhich early researchers could develop job satisfaction theories.

Job satisfaction can also be seen within the broader context of the range of issueswhich affect an individual's experience of work, or their quality of working life.Job satisfaction can be understood in terms of its relationships with other keyfactors, such as general well-being, stress at work, control at work, home-workinterface, and working conditions.

Models of job satisfaction

Affect Theory

Edwin A. Lockes Range of Affect Theory (1976) is arguably the most famous jobsatisfaction model. The main premise of this theory is that satisfaction isdetermined by a discrepancy between what one wants in a job and what one has ina job. Further, the theory states that how much one values a given facet of work(e.g. the degree of autonomy in a position) moderates how satisfied/dissatisfied


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one becomes when expectations are/arent met. When a person values a particularfacet of a job, his satisfaction is more greatly impacted both positively (whenexpectations are met) and negatively (when expectations are not met), comparedto one who doesnt value that facet. To illustrate, if Employee A values autonomy

in the workplace and Employee B is indifferent about autonomy, then EmployeeA would be more satisfied in a position that offers a high degree of autonomy andless satisfied in a position with little or no autonomy compared to Employee B.This theory also states that too much of a particular facet will produce strongerfeelings of dissatisfaction the more a worker values that facet.

Dispositional Theory

Another well-known job satisfaction theory is the Dispositional Theory[citation needed].It is a very general theory that suggests that people have innate dispositions that

cause them to have tendencies toward a certain level of satisfaction, regardless ofones job. This approach became a notable explanation of job satisfaction in lightof evidence that job satisfaction tends to be stable over time and across careersand jobs. Research also indicates that identical twins have similar levels of jobsatisfaction. A significant model that narrowed the scope of the DispositionalTheory was the Core Self-evaluations Model, proposed by Timothy A. Judge in1998. Judge argued that there are four Core Self-evaluations that determine onesdisposition towards job satisfaction: self-esteem, general self-efficacy, locus ofcontrol, and neuroticism. This model states that higher levels of self-esteem (the

value one places on his/her self) and general self-efficacy (the belief in ones owncompetence) lead to higher work satisfaction. Having an internal locus of control(believing one has control over her\his own life, as opposed to outside forceshaving control) leads to higher job satisfaction. Finally, lower levels ofneuroticism lead to higher job satisfaction.

Two-Factor Theory (Motivator-Hygiene Theory)

Frederick HerzbergsTwo factor theory (also known as Motivator HygieneTheory) attempts to explain satisfaction and motivation in the workplace] This

theory states that satisfaction and dissatisfaction are driven by different factors motivation and hygiene factors, respectively. An employees motivation to workis continually related to job satisfaction of a subordinate. Motivation can be seenas an inner force that drives individuals to attain personal and organization goals(Hoskinson, Porter, & Wrench, p.133). Motivating factors are those aspects of the

job that make people want to perform, and provide people with satisfaction, forexample achievement in work, recognition, promotion opportunities. These


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motivating factors are considered to be intrinsic to the job, or the work carried out.Hygiene factors include aspects of the working environment such as pay,company policies, supervisory practices, and other working conditions.

While Hertzberg's model has stimulated much research, researchers have beenunable to reliably empirically prove the model, with Hackman & Oldhamsuggesting that Hertzberg's original formulation of the model may have been amethodological artifact. Furthermore, the theory does not consider individualdifferences, conversely predicting all employees will react in an identical mannerto changes in motivating/hygiene factors. Finally, the model has been criticised inthat it does not specify how motivating/hygiene factors are to be measured.

Turn over

turnover orlabor turnover is the rate at which an employer gains and losesemployees. Simple ways to describe it are "how long employees tend to stay" or"the rate of traffic through the revolving door." Turnover is measured forindividual companies and for their industry as a whole. If an employer is said tohave a high turnover relative to its competitors, it means that employees of thatcompany have a shorter average tenure than those of other companies in the sameindustry. High turnover can be harmful to a company's productivity if skilledworkers are often leaving and the worker population contains a high percentage ofnovice workers.

Costs

When accounting for the costs (both real costs, such as time taken to select andrecruit a replacement, and also opportunity costs, such as lost productivity),the cost of employee turnover to for-profit organizations has been estimatedto be up to 150% of the employees' remuneration package. There are bothdirect and indirect costs. Direct costs relate to the leaving costs, replacement

costs and transitions costs, and indirect costs relate to the loss of production,reduced performance levels, unnecessary overtime and low morale.

Internal vs. external turnover

Like recruitment, turnover can be classified as 'internal' or 'external'. Internalturnover involves employees leaving their current positions and taking new


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positions within the same organization. Both positive (such as increasedmorale from the change of task and supervisor) and negative (such as

project/relational disruption, or the Peter Principle) effects of internalturnover exist, and therefore, it may be equally important to monitor this

form of turnover as it is to monitor its external counterpart. Internal turnovermight be moderated and controlled by typical HR mechanisms, such as aninternal recruitment policy or formal succession planning.

Skilled vs. unskilled employees

Unskilled positions often have high turnover, and employees can generally bereplaced without the organization or business incurring any loss of performance.The ease of replacing these employees provides little incentive to employers tooffer generous employment contracts; conversely, contracts may strongly favour

the employer and lead to increased turnover as employees seek, and eventuallyfind, more favorable employment.

However, high turnover rates of skilled professionals can pose as a risk to thebusiness or organization, due to the human capital (such as skills, training, andknowledge) lost. Notably, given the natural specialization of skilled professionals,these employees are likely to be re-employed within the same industry by acompetitor.[citation needed] Therefore, turnover of these individuals incurs bothreplacement costs to the organization, as well as resulting in a competitivedisadvantage to the business.

History of ICICI

1955 The Industrial Credit and Investment Corporation of India Limited (ICICI)

was incorporated at the initiative of World Bank, the Government of India and

representatives of Indian industry, with the objective of creating a development

financial institution for providing medium-term and long-term project financing to

Indian businesses.


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1994 ICICI established Banking Corporation as a banking subsidiary.formerly

Industrial Credit and Investment Corporation of India. Later, ICICI Banking

Corporation was renamed as 'ICICI Bank Limited'. ICICI founded a separate legal

entity, ICICI Bank, to undertake normal banking operations - taking deposits,

credit cards, car loans etc.

2001 ICICI acquired Bank of Madura (est. 1943). Bank of Madura was a Chettiar

bank, and had acquired Chettinad Mercantile Bank (est. 1933) and Illanji Bank

(established 1904) in the 1960s.

2002 The Boards of Directors of ICICI and ICICI Bank approved the reversemerger of ICICI, ICICI Personal Financial Services Limited and ICICI CapitalServices Limited, into ICICI Bank. After receiving all necessary regulatory

approvals, ICICI integrated the group's financing and banking operations, bothwholesale and retail, into a single entity.

Also in 2002, ICICI Bank bought the Shimla and Darjeeling branches thatStandard Chartered Bank had inherited when it acquired Grindlays Bank.

ICICI started its international expansion by opening representative offices in NewYork and London.

* 2003 ICICI opened subsidiaries in Canada and the United Kingdom (UK), and

in the UK it established an alliance with Lloyds TSB. It also opened an OffshoreBanking Unit (OBU) in Singapore and representative offices in Dubai andShanghai.

2004 ICICI opens a rep office in Bangladesh to tap the extensive trade betweenthat country, India and South Africa.

2005 ICICI acquired Investitsionno-Kreditny Bank (IKB), a Russia bank withabout US$4mn in assets, head office in Balabanovo in the Kaluga region, and witha branch in Moscow. ICICI renamed the bank ICICI Bank Eurasia.

Also, ICICI established a branch in Dubai International Financial Centre and inHong Kong.

2006 ICICI Bank UK opened a branch in Antwerp, in Belgium. ICICI openedrepresentative offices in Bangkok, Jakarta, and Kuala Lumpur.


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2007 ICICI amalgamated Sangli Bank, which was headquartered in Sangli, inMaharashtra State, and which had 158 branches in Maharashtra and another 31 inKarnataka State. Sangli Bank had been founded in 1916 and was particularlystrong in rural areas.

ICICI also received permission from the government of Qatar to open a branch inDoha.

ICICI Bank Eurasia opened a second branch, this time in St. Petersburg.

* 2008 The US Federal Reserve permitted ICICI to convert its representativeoffice in New York into a branch.

ICICI also established a branch in Frankfurt.

Controversy

ICICI Bank has been in focus in recent years because of alleged harassment ofcustomers by its recovery agents. Listed below are some of the related newslinks:Farmers vent ire on bank after suicide. ICICI Bank officials used goondas toseize the tractor ICICI Bank was fined Rs. 55 lakh for hiring goons (knowncoloquially as "goondas") to recover a loan. Recovery agents had ,allegedly,

forcibly dragged out a youth (who was not even the borrower) from the car,beaten him up with iron rods and left him bleeding as they drove away with thevehicle. "We hold ICICI Bank guilty of the grossest kind of deficiency in serviceand unfair trade practice for breach of terms of contract of hire-purchase/loanagreement by seizing the vehicle illegally,""No civilised society governed by therule of law can brook such kind of conduct" said Justice J D Kapoor, president ofthe consumer commission. Four ICICI loan employees arrested on theft chargesin Punjab ICICI Bank told to pay Rs. 1 lakh as compensation for using unlawfulrecovery methods. RBI warns ICICI Bank for coercive methods to recover loans

ICICI Bank drives customer to suicide - Four men including an employee ofICICI Bank booked under sections 452, 306, 506 (II) and 34 of IPC forabetting suicide According to the suicide note they advised him, "If youcannot repay the bank loan, sell off your wife, your kids, yourself, selleverything at your home. Even then if you cannot not pay back the due


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amount, then it's better if you commit suicide."] India biggest private bank hascompensated the life by money ICICI Bank on huge car recovery scam in Goa- ICICI Bank invest in car-jackers to recover loans in Goa. A half an hourinvestigative report on CNN-IBN's 30 Minutes. The under cover report was

executed by CNN-IBN's Special Investigations Team from Mumbai, led byRuksh Chatterji Family of Y. Yadaiah alleged that he was beaten to death byICICI Banks recovery agents, for failing to pay the dues. Four persons werearrested in this case. A father while talking to Times of India, alleged that"ICICI Bank recovery agents visited his house and threatened his family. Andhis son Nikhil consumed poison because of the tension". Oppressed by ICICIBank's loan recovery agents, Shakuntala Joshi (38), committed suicide byhanging. The suicide note stated that she was upset with the ill-treatment metedout by ICICI Bank's recovery agents and had thus decided to end her life. Inanother case of a suicide it is alleged that goondas sent by ICICI Bank abused

Himanshu and his wife in front of the entire residential colony before takingaway his vehicle. Feeling frustrated and insulted, he reportedly committedsuicide. C.L.N Murthy, a scientist with the Hyderabad-based Indian Instituteof Chemical Technology, was allegedly tortured by recovery agents of ICICIBank after he defaulted on his loan.They humiliated me no end. They rippedmy shirt, shaved my moustache, cut my hair and gave electric shocks on mychest and even spat on my face" adds Murthy. A dozen recovery agents ofICICI Bank, riding on bikes, allegedly forced a prominent lawyer, SomeshwariPrasad, to stop his car. They held Prasad at gunpoint and also slapped him to

force him. A manager of the ICICI Bank branch, Rakesh Mehta, along withfour other employees were arrested A recovery agent allegedly working forICICI Bank was injured in an exchange of gunfire with Lucknow police. Policesaid that miscreants opened fire at the police, who returned the fire. The agent,along with three others, was trying to escape after allegedly stealing cash and acheque from the defaulter. In a landmark case, Allahabad High Court hadordered registration of an FIR against ICICI Bank's branch manager, President,Chairman and Managing Director on a complaint of 75-year-old widowPrakash Kaur. She had complained that goondas were sent by the bank toharass her and forcibly took away her truck. When the Supreme Court wanted

to know about the procedure adopted by the Bank, ICICI Bank counsel saidnotice would be sent to a defaulter asking him either to pay the instalments orhand over the vehicle purchased on loan, failing which the agents would beasked to seize it. When the Bench pointed out that recovery or seizure could bedone only legally, ICICI Bank counsel said, "If we have to go through the legal

process it would be difficult to recover the instalments as there are millions of
http://en.wikipedia.org/wiki/ICICI_Bank#cite_note-20http://en.wikipedia.org/wiki/ICICI_Bank#cite_note-20


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defaulters" Taking strong exception to ICICI Bank's use of 'goondas' against adefaulter, the president of Consumer Disputes Redressal Forum said, "The factleaves us aghast at the manner of functioning and goondaism in which the bankis involved for a petty amount of Rs 1,889... such attitude is deplorable and

sends chills down the spine....The bank had the option to recover dues throughlegal means. They have no legal right to snatch the vehicle in such a mannerwhich amounts to robbery,". In this case recovery agents pointed a pistol at adefaulter when he tried to resist. ICICI bank argued that they had taken

peaceful possession of the vehicle "after due intimation to the complainant ashe was irregular in remitting the monthly instalments". But the court found outthat the records proved otherwise. Two senior ICICI Bank officials were

booked for abducting one Vikas Porwal from his house and keeping himhostage in the Bank's premises. The credit card division of the ICICI Bankallegedly threatened a senior citizen in Chandigarh with a fictitious arrest

warrant on account of a default that never was. A Consumer Commission hasasked ICICI Bank MD K V Kamath to appear before it in respect a complaint.A borrower on protesting against the forceful dispossession of his car, as seenin the post-incident photographs, was roughed up and sustained injuries. An18-year-old boy was allegedly kidnapped and detained at the Pune branch ofICICI Bank There have been several other minor legal cases accusingharassment by ICICI Bank A consumer court imposed a joint penalty of Rs.25 lakh on ICICI Bank and American Express Bank for making unsolicitedcalls.

About on topic

Job satisfaction

Job satisfaction has been defined as a pleasurable emotional state resultingfrom the appraisal of ones job; an affective reaction to ones job; and anattitude towards ones job. Weiss (2002) has argued that job satisfaction is anattitude but points out that researchers should clearly distinguish the objects ofcognitive evaluation which are affect (emotion), beliefs and behaviours.] This

definition suggests that we form attitudes towards our jobs by taking intoaccount our feelings, our beliefs, and our behaviors.

One of the biggest preludes to the study of job satisfaction was the Hawthornestudies. These studies (1924-1933), primarily credited to Elton Mayo of theHarvard Business School, sought to find the effects of various conditions (mostnotably illumination) on workers productivity. These studies ultimately


14/20

showed that novel changes in work conditions temporarily increaseproductivity (called the Hawthorne Effect). It was later found that this increaseresulted, not from the new conditions, but from the knowledge of beingobserved. This finding provided strong evidence that people work for purposes

other than pay, which paved the way for researchers to investigate other factorsin job satisfaction.

Scientific management (aka Taylorism) also had a significant impact on thestudy of job satisfaction. Frederick Winslow Taylors 1911 book, Principles ofScientific Management, argued that there was a single best way to perform anygiven work task. This book contributed to a change in industrial production

philosophies, causing a shift from skilled labor and piecework towards themore modern approach of assembly lines and hourly wages. The initial use ofscientific management by industries greatly increased productivity because

workers were forced to work at a faster pace. However, workers becameexhausted and dissatisfied, thus leaving researchers with new questions toanswer regarding job satisfaction. It should also be noted that the work of W.L.Bryan, Walter Dill Scott, and Hugo Munsterberg set the tone for Taylorswork.

Some argue that Maslows hierarchy of needs theory, a motivation theory, laidthe foundation for job satisfaction theory. This theory explains that people seekto satisfy five specific needs in life physiological needs, safety needs, socialneeds, self-esteem needs, and self-actualization. This model served as a good

basis from which early researchers could develop job satisfaction theories.

Job satisfaction can also be seen within the broader context of the range ofissues which affect an individual's experience of work, or their quality ofworking life. Job satisfaction can be understood in terms of its relationshipswith other key factors, such as general well-being, stress at work, control atwork, home-work interface, and working conditions.

Models of job satisfaction

Affect Theory

Edwin A. Lockes Range of Affect Theory (1976) is arguably the most famousjob satisfaction model. The main premise of this theory is that satisfaction isdetermined by a discrepancy between what one wants in a job and what onehas in a job. Further, the theory states that how much one values a given facet


15/20

of work (e.g. the degree of autonomy in a position) moderates howsatisfied/dissatisfied one becomes when expectations are/arent met. When a

person values a particular facet of a job, his satisfaction is more greatlyimpacted both positively (when expectations are met) and negatively (when

expectations are not met), compared to one who doesnt value that facet. Toillustrate, if Employee A values autonomy in the workplace and Employee B isindifferent about autonomy, then Employee A would be more satisfied in a

position that offers a high degree of autonomy and less satisfied in a positionwith little or no autonomy compared to Employee B. This theory also statesthat too much of a particular facet will produce stronger feelings ofdissatisfaction the more a worker values that facet.

Dispositional Theory

Another well-known job satisfaction theory is the DispositionalTheory[citation needed]. It is a very general theory that suggests that peoplehave innate dispositions that cause them to have tendencies toward a certainlevel of satisfaction, regardless of ones job. This approach became a notableexplanation of job satisfaction in light of evidence that job satisfaction tends to

be stable over time and across careers and jobs. Research also indicates thatidentical twins have similar levels of job satisfaction. A significant model thatnarrowed the scope of the Dispositional Theory was the Core Self-evaluationsModel, proposed by Timothy A. Judge in 1998. Judge argued that there arefour Core Self-evaluations that determine ones disposition towards jobsatisfaction: self-esteem, general self-efficacy, locus of control, andneuroticism. This model states that higher levels of self-esteem (the value one

places on his/her self) and general self-efficacy (the belief in ones owncompetence) lead to higher work satisfaction. Having an internal locus ofcontrol (believing one has control over her\his own life, as opposed to outsideforces having control) leads to higher job satisfaction. Finally, lower levels ofneuroticism lead to higher job satisfaction.

Two-Factor Theory (Motivator-Hygiene Theory)

Frederick HerzbergsTwo factor theory (also known as Motivator HygieneTheory) attempts to explain satisfaction and motivation in the workplace] Thistheory states that satisfaction and dissatisfaction are driven by different factors

motivation and hygiene factors, respectively. An employees motivation towork is continually related to job satisfaction of a subordinate. Motivation can

be seen as an inner force that drives individuals to attain personal and


16/20

organization goals (Hoskinson, Porter, & Wrench, p.133). Motivating factorsare those aspects of the job that make people want to perform, and provide

people with satisfaction, for example achievement in work, recognition,promotion opportunities. These motivating factors are considered to be

intrinsic to the job, or the work carried out. Hygiene factors include aspects ofthe working environment such as pay, company policies, supervisory practices,and other working conditions.

While Hertzberg's model has stimulated much research, researchers have beenunable to reliably empirically prove the model, with Hackman & Oldhamsuggesting that Hertzberg's original formulation of the model may have been amethodological artifact. Furthermore, the theory does not consider individualdifferences, conversely predicting all employees will react in an identicalmanner to changes in motivating/hygiene factors. Finally, the model has been

criticised in that it does not specify how motivating/hygiene factors are to bemeasured.

Turn over

turnover or labor turnover is the rate at which an employer gains and losesemployees. Simple ways to describe it are "how long employees tend to stay"or "the rate of traffic through the revolving door." Turnover is measured forindividual companies and for their industry as a whole. If an employer is saidto have a high turnover relative to its competitors, it means that employees ofthat company have a shorter average tenure than those of other companies inthe same industry. High turnover can be harmful to a company's productivity ifskilled workers are often leaving and the worker population contains a high

percentage of novice workers.

Costs

When accounting for the costs (both real costs, such as time taken to select andrecruit a replacement, and also opportunity costs, such as lost productivity), thecost of employee turnover to for-profit organizations has been estimated to beup to 150% of the employees' remuneration package. There are both direct andindirect costs. Direct costs relate to the leaving costs, replacement costs andtransitions costs, and indirect costs relate to the loss of production, reduced

performance levels, unnecessary overtime and low morale.


17/20

Internal vs. external turnover

Like recruitment, turnover can be classified as 'internal' or 'external'. Internalturnover involves employees leaving their current positions and taking new

positions within the same organization. Both positive (such as increasedmorale from the change of task and supervisor) and negative (such as

project/relational disruption, or the Peter Principle) effects of internal turnoverexist, and therefore, it may be equally important to monitor this form ofturnover as it is to monitor its external counterpart. Internal turnover might bemoderated and controlled by typical HR mechanisms, such as an internalrecruitment policy or formal succession planning.

Skilled vs. unskilled employees

Unskilled positions often have high turnover, and employees can generally bereplaced without the organization or business incurring any loss of

performance. The ease of replacing these employees provides little incentive toemployers to offer generous employment contracts; conversely, contracts maystrongly favour the employer and lead to increased turnover as employeesseek, and eventually find, more favorable employment.

However, high turnover rates of skilled professionals can pose as a risk to thebusiness or organization, due to the human capital (such as skills, training, and

knowledge) lost. Notably, given the natural specialization of skilledprofessionals, these employees are likely to be re-employed within the sameindustry by a competitor.[citation needed] Therefore, turnover of theseindividuals incurs both replacement costs to the organization, as well asresulting in a competitive disadvantage to the business.

questionnaire

1. How much you rate ICICI Bank ,for job satisfaction on a

scale of 5?

a)1 b)2 c)3 d)4

e)5


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2. How much you rate ICICI Bank in providing job

security on a scale of 5?

a)1 b)2 c)3 d)4

e)5

3. How much you rate ICICI Bank for providing Career

Growth on a scale of 5?

a)1 b)2 c)3 d)4

e)5

4. How much you rate ICICI Bank in providing good

work environment on a scale of 5?

a)1 b)2 c)3 d)4

e)5

5. How much you rate ICICI Bank, on providing fairsalary on a scale of 5?

a)1 b)2 c)3 d)4

e)5

6. How much you rate ICICI Bank, on providing

incentives and perks on a scale of 5?

a)1 b)2 c)3 d)4

e)5


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7. How much you rate ICICI Bank in understanding

emotional needs of the employees on a scale of 5?

a)1 b)2 c)3 d)4

e)5

8. Do you think your bank helps the employees in

overcoming stress, rate on a scale of 5?

a)1 b)2 c)3 d)4

e)5


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Bibliography

WEBSITES:

www.wikipedia.com

www.ask.com

www.management.com

BOOKS:

Organizational Behaviour

NUTSHELL
http://www.wikipedia.com/http://www.ask.com/http://www.management.com/http://www.wikipedia.com/http://www.ask.com/http://www.management.com/

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