This essay focuses on job performance. in our integrative model of organizational behavior, reflecting one of the starting points for our journey through the concepts covered in this course.
Organizational commitment sits side-by-side with job performance in our integrative model of organizational behavior, reflecting one of the starting points for our journey through the concepts covered in this course.
Why begin with a discussion of organizational commitment? Because it’s not enough to have talented employees who perform their jobs well. You also need to be able to hang on to those employees for long periods of time so that the organization can benefit from their efforts.
Put yourself in the shoes of a business owner. Let’s say you spent a great deal of time recruiting a graduate from the local university, selling her on your businesS. And making sure that she was as qualified as you initially believed her to be. Now assume that, once hired, you took a personal interest in that employee, showing her the ropes and acting as mentor and instructor.
Then, just as the company was set to improve. As a result of that employee’s presence, she leaves to go to work for a competitor. As an employer, can you think of many things more depressing than that scenario?
Unfortunately, that scenario is not far-fetched. The U.S. Bureau of Labor Statistics estimates that the average American will have 10.8 jobs between the ages of 18 and 42.1 That projection is based in part on an overall turnover (or “attrition”) rate of around 16 percent across all industries.
Such statistics are nerve-wracking to employers because turnover can be quite expensive. Estimates suggest that turnover costs between 90 percent and 200 percent of an employee’s annual salary.2 Why so expensive?
Those estimates include various costs, including the administrative costs.
involved in the separation, recruitment expenses, screening costs, and training and orientation expenses for the new hire. They also include “hidden costs” due to decreased morale, lost organizational knowledge, and lost productivity
Firstly, be sure
Lastly, be honest