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From the external sources of information as secondary data, In the Corporation, FPT Retail is still the growth-leading company in profit before tax and revenue (2) .FPT Retail is now calling for big investors to invest into this area of retail. With t...

From the external sources of information as secondary data, In the Corporation, FPT Retail is still the growth-leading company in profit before tax and revenue (2) .FPT Retail is now calling for big investors to invest into this area of retail. With t...

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Conducting these initial interviews with all group members listed above; there are

different features for each group. The key reason for choosing these people to interview

is that, various perceptions and perspectives have been marked and collected. With the

first group, they are all currently working at FPT Retail JSC but different department and

level from staff to shop manager and training manager. The second group is exemployees at FPT retail, who used to engage with company and left for different reasons,

they understood what was going on inside the company. The final group is various kinds

of customer with different aspects and gives out different viewpoints with their real

experience.

Most of people in the first and second group all emphasized that there was a high

turnover rate recently which create crucial impact to company productivity, customer

satisfaction and affect product returns.

“The average working time of 1 salesman in FPT Shop is only from 4-6 months.

Overall, the rate of turnover in 2015 is high (around 50%)’’ sayings from Ms. Le Thi

Ngoc Hoa. Alongside with the same perspectives, Mr. Huynh Quang Long shared FPT

Retail JSC was facing the fact that huge number of key persons left FPT with different

reasons. From the view point of Ms. Le Thi Bich Ngoc, salesmen came to work without

energy, they did not want to work which could lead to lower productivity of Shop, they

did not want to work anymore. With high turnover and turnover intention, a number of

new and inexperienced salesman has been recruited, a new salesman surely don’t know

how to sell products, which can lose customers and lower productivity. Moreover,

product returns can be increased due to new less experienced salesman “this happened for



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many reasons, but one of them come from new salesman’ consultancy related to

knowledge” confirmed by Ms. Le Thi Ngoc Hoa.

Behind the symptoms of high turnover rate and alarming consequences, there are a

wide range of causes. Employee satisfaction is the core element that heighten turnover

rate up. Employee are not happy and satisfied due to a plenty of reasons listed like lack of

promotion opportunity, ineffective supervision, poor pay and benefit, lack of motivation,

competition between co-workers, stress and pressure, lack of motivation or burnout.

Ms. Le Thi Ngoc Hoa stated that regarding sales force, due to selling policy in

FPT with low base salary and quite attractive incentives, it can stimulate selling

productivity but tough competition between salesmen happened which has led to stress or

unfair competition between co-workers. With some other salesman cannot sell products

well will be very much under high competitive pressure and quit the job.

Sharing the same perspectives, Ms. Le Thi Bich Ngoc confirmed that she and her

staff had to work overtime like road show, leaflets sending…very often and without any

extra payment from company. After work, she had other things to do at home as well. As

far as she’s concerned, there is no satisfaction regarding pay and benefit. From the

sayings of Ms. Le Thi Bich Ngoc who is currently Shop Manager of FPT, she confirmed

that she can see the current situation of increasing turnover rate, some salesmen are not

happy to come to work and feel like energy loss status, then they quit the job. And she

also shares the same view points with others that there is a high rate of turnover in FPT

Shop which can impact on company productivity. On the other hand, when being asked

about current status of FPT retail, Mr. Huynh Quang Long – Head of Training



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Department of FPT Retail showed his opinion that what he can observe recently is higher

turnover of salesman especially key persons such as ASM, SM leave company and move

to another similar company called Vingroup. Because of the market competition, FPT

shop is trying to build the best image to be more attractive. FPT Shop push stronger and

higher target for each shop, which make sales person here stressed. From the opinion of

Ms. Nguyen Ngoc Thanh Hieu “there is a high and tough competition among salesmen

which makes me really stressed”

During the time doing the interviews with the first group and the second group,

they mentioned that the employee satisfaction greatly cause high turnover rate which

indirectly lead to customer dissatisfaction. That is the reason why the third group of 2

customers is also involved to be interviewed to explore problem further. The result after

interviewing two customers are regarded as similar

To sum up, initial cause and effect map has been showed as below



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Nature of

Work



Competition

between coworkers



Work

pressure



Failure to reach

target



Lack of

promotion

opportunity



Burnout



High turnover

Strict selling

policy



Job

Stress



Lack of

motivation



Supervisory

relationship



New and less

experienced

salesmen

increase



Products

return

increase



Low employee

satisfaction



Ineffective

supervision



Soft-skill

training



Poor pay

and benefit



Low job performance



Customer

dissatisfaction



Gender-related

leadership

Figure 4: Initial cause and effect map



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The success of one company doesn’t only mean this company makes money or

not, that’s how they make their employees drive passion and desire towards their current

job. As well, effective supervision is considered as very important element from the

prospective of maintaining and retaining appropriate employees. For a company, greater

level of job satisfaction can result in greater level of job performance and meaningfully

reduces turnover rate.

1.3 Problem Justification

1.3.1 Potential central problem

As being showed in Figure 4 initial cause and effect map, a plenty of

consequences have been found out from various source of data which are high turnover

and turnover intention, low level of job performance, customer dissatisfaction, product

return increase. These organization outcomes have been led by many issues, one direct

problem of them is low employee satisfaction. In addition to that, whereas, the factor of

low employee satisfaction is contributed by a wide range of issues collected from

interviews and other secondary data as well. Among all, in terms of factor nature of work,

high sales target, competition between co-workers, poor pay and benefit, in the current

situation of the company that FPT Retail JSC have to build up their images and make

effort to attract big investors, so if one of them has been chosen as central problem, it

cannot be changed or improved. Regarding the promotion opportunity and factor of

motivation, not so many people find them the main problems that impact on organization

outcomes . Moreover, if job stress or burnout are selected as the central problem, it will



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take too much time and effort, resources to solve which is impossible in the limited scope

of work.

More importantly, when being interviewed, people mostly mentioned the problem

of ineffective supervision which is the most influential factor to consequences which is

regarded as a solvable central problem in this context. Most of interviewees mentioned

and emphasized problem of supervision, they are not satisfied with their supervisor;

leavers also decided to leave company due to their supervisor’s behaviors and the way

they supervised.

Mr. Ly Quoc Tien – one of the interviewee joining the initial interview shared that

he left FPT because of his supervisors, he believed that they were really selfish and

thought for their benefit only, he and his supervisor did not have a good relationship, they

did not listen and accept constructive opinions from him. Agreed with Mr. Ly Quoc Tien,

Mr. Vu Thanh Tung who was also an interviewee in the first interview shared that, there

was a plenty of reasons that made him leave company, but among all of them, problem of

supervision is the key cause to this issue. From his perspective, employees did not leave

their company, they left their supervisors or managers. From perspective of Ms. Le Thi

Ngoc Hoa, she had 2 managers . She was not happy with the way her managers

supervised, they did not understand staff’s feelings and she didn’t receive any good

support from her managers.

To conclude, after collecting information and analyzing all the factors, problem of

ineffective supervision is highly considered as root cause or central problem that needs to

be tackled in the scope of this thesis.



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Definition of ineffective supervision

According to Morgan, Michael M(3),supervision seems to involve a structured

relationship between a supervisor and supervisee with the goal to help the supervisee gain

the attitudes, skills, and knowledge needed; but simply to point out that for many people;

supervision is concerned with a variety of objectives. Pell, Arthur R



(4)



showed that a



good supervisor knows the strengths and limitations of each team member. In planning

how to present information to the team it is important to keep this in mind. By building

this knowledge into the approach used, the supervisor can tailor the manner in which the

instructions will be given to what is best for the person involved. Watkins(5) suggested

that ineffective supervisors are intolerant, non-empathic, discouraging, defensive, and

uninterested in training or consultation to improve their supervisory skills. “Any sales

supervisors are ineffective because they don't know how to be managers” said

McSparran, Kent(6)

1.3.2Justify the existence of problem

This section aims to validate whether ineffective supervision is a real central

problem in FPT Digital Retail JSC.

There is a variety of theories that gives out the dimensions of ineffective

supervision. Various dimensions of ineffective supervision have been discussed in lots of

research previously. McSparran, Kent(7) stated many sales supervisors are ineffective

because they don't know how to be managers. These fellows generally fall into two

groups. The first type of ineffective supervisors are the worker-bees who feel guilty and

unproductive if they are not moving cases, hanging signs or making emergency



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deliveries. Though wonderful employees, these guys make poor supervisors because they

fail to recognize that they can accomplish more by increasing the output of eight

subordinates than they can by their own hard work. The second type of ineffective

supervisors are those with the "I've-paid-my-dues" attitude. These people interpret a

promotion to management as meaning that they have done their time on the streets and

have earned the right to coast for a while. Situated on the easy side of the inverted

accountability equation, these supervisors fail to see that their paycheck is justified only

by the effect they have on the productivity of their crew. According to Nicholas Ladany1,

Yoko Mori2, and Kristin E. Mehr3(8), the effective and ineffective supervisions were

differentiated based on the supervisory working alliance, supervisor style, supervisor selfdisclosure, supervisee nondisclosure and supervisee evaluation using supervisee

evaluation of supervisor form, working alliance inventory/supervision-short form,

supervisory styles inventory, supervisor self-disclosure index, trainee disclosure scale,

evaluation process within supervision inventory.

Besides that, semi-structured interviews with closed-ended questionnaires were

designed to collect data. Details and content of questionnaire will be displayed in section

4.1 chapter IV based on characteristics of ineffective supervision that are supervisory

working alliance, supervisory style, supervisor self-disclosure, supervisee nondisclosure

and supervisor evaluation.

Three respondents out of eight people in the first interview attended the interview

to help validate the existence of ineffective supervision at company. Having deeper talks

with Mr. Ly Quoc Tien, he stated that he was not satisfied with his supervisor’s skills and



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techniques or behaviors which couldn’t help him grow up. He learned by himself. There

was no agreement on the goals of supervision between his supervisor and he. Supervisor

asked and assigned to him, and he just followed. About the emotional bond between

supervisor and he, his manager also created high pressure on him, everything was

imposed by his managers.

Result of this justification process illustrated that ineffective supervision does exist

in this organization which had been supported by both theories and data.

1.3.3 Justify the importance of problem

As validated above, the problem of ineffective supervision really exists in FPT

Digital Retail JSC, this section aims to justify whether and how this central problem

important to make big impacts to organization outcomes by determining the cause-effect

relationship of ineffective supervision to employee satisfaction, turnover rate, and job

performance directly or indirectly.

Definition of employee satisfaction, turnover and job performance

Ambreen, Uzma(9) stated that employee satisfaction is the terminology used to

describe whether employees are happy and contented and fulfilling their desires and

needs at work or not. Employee satisfaction is a factor in employee motivation, employee

goal achievement and positive employee morale in the workplace. According to Saif-udDin*, Khair-uz-Zaman** & Allah Nawaz,(10) job satisfaction of academicians is well

documented across the literature where certain leading factors of satisfaction have been

researched over and over indicating that work, pay, supervision, promotion, co workers

and environment collectively determines the total satisfaction of a worker/officer.



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The term “turnover” is defined by Price



(11)



as: the ratio of the number of



organizational members who have left during the period being considered divided by the

average number of people in that organization during the period. Chou, Rita Jing-Ann

Author Information(12) stated the fact that when turnover is high, there are not enough

workers to perform tasks, causing a situation that affects quality of outcomes.

Furthermore, high turnover also creates a constant inflow of new workers, who tend to be

less experienced.

Yang, Cheng-Liang; Hwang, Mark(13) stated that job performance measures an

individual against his or her goal, with an emphasis on whether outcomes match the

expected goal or is how an employee performs his or her tasks using time, techniques and

interactions with others

Ineffective supervision to employee satisfaction as a direct impact by theory

Thacker, Rebecca A(14)showed significant, positive correlations for satisfaction

with quality of supervision, and with company/agency as an employer, which means an

ineffective way of supervision and results in low employee satisfaction.

Employee satisfaction and turnover rate, job performance by theory

According to Becker and Huselid(16), when discuss about the potential impact of

job satisfaction, it is said that job satisfaction is seen as a potential route to high

performance. Yang, Cheng-Liang; Hwang, Mark(13)showed that if job satisfaction

influences job performance, then attention should be given to factors that contribute to

high job satisfaction, which, if present, can then lead to high job performance



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