Employee Turnover Issue at Beefeater Essay

Organisation background. It is not easy to establish where the Whitbread story begins. There are however two dates separated by over 250 years, which may be said to mark the defining event in the company’s history. In 1750 Samuel Whitbread moved his brewery operations to Chiswell Street on Georgian London, establishing the first purpose-built mass – production brewery in Britain. Yet if 1750 marks the appearance of Whitbread as a force in British culture and business, the year 2001 must be considered the date of the company revival.

Whitbread is the UK’s largest hotel and restaurant group controlling market – leading businesses in boarding house and eating place sectors. Andy Harrison, who will be Chief Executive Designate of Whitbread PLC when he joins the company in September 2010, has purchased 50,684 ordinary Whitbread shares on 5 May, at 1468. 74 pence. The company employs over 33,000 people and give an assistance to millions of customers every month. The Business brands are: Premier Inn, Beefeater, Brewers Fayre, Table Table, Taybarns, Costa. One of the company brands, which I will be looking at, is Beefeater.

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The bar and restaurants sector was established over 35 years ago. Whitbread has invested in the Beefeater property which has expanded through the years and now stands at 130 restaurant across the UK. Whitbread Premier Inn Beefeater Brewers Fayre Table Table Taybarns Costa 130 Restaurants in the UK North (45) Mid (52) South (33)

Beefeater; Salford Quays – Manchester The Beefeater on Salford Quays is 18 years old and employs 36 people at the moment – 3 Managers, 2 Team leaders, 1 Supervisor, 9 waitresses, 7 Bartenders, 8 Chefs and one Kitchen Manager. There is a huge variety of people who eat there, from children and young, to elderly and infirm people. Most of our customers are regular consumers but also guests from Premier Inn hotel, which is a part of the company. The organization objectives are self rapid changes and depend of customers requires and management wants.

The new short time company goals for our site are: * Renovate the building, * Increase speed of service, * Retrain staff and rise restaurant standard, * Focus on Feedbacks and recommendation, * Provide to our valued customers prompt and high quality food and service in a friendly and courteous manner, * Reduce customer average waiting time The situation & why changes are needed Every organisation faces some issues while launching its services. During my investigation I found staff turnover as a one of the major problem in the company I work for.

Turnover is the percentage at which a director obtains and loses employee. Easier method to relate it, is how long employees are likely to stay and work for a company. When staff leaves it can have detrimental impact on a business. This is mainly the example if those remains either are key to its success or do so in view of the fact that they think, the company have treated them unequally and unfair. The restaurant employee turnover need to be lower, because is harmful for the business productivity, customers and team work. 1.

Impact on the organization: * Losing money – Beefeater is a company that has direct contact with customers by serving food and drinks. Employment of new member is associated with an additional training costs ( the time, management spends on training need to be extended and both new member as well as manager must get paid) and drinks or food wastages( resulting from mistakes, or improper use of machinery located in a place of work: coffee machine or beer pump) before the person will know how to generally run the bar or restaurant. Complaints and reputation – The necessity of employment of new staff, their diffidence and lack of service skills like, mistakes, inappropriate dealing with unhappy customers or lack of recommendation cause people’s complaints, bad reputation of the restaurant and reluctance to use our service. * Disorganization – Covering a vacancy until is filled, perhaps through the use of temporary staff, advertising for a replacement and dealing with recruitment. * Lost productivity – due to the time required for a new worker to get up to speed on the job. 2.

Impact on customers satisfaction resulting from the hire of new employees: * Slow service, * Lack of recommendation, * Unprofessional service 3. on other members and team effectiveness: * A drop in staff morale, particularly if the leaver was popular and good at their job, staff need to take on the leaver’s work. * A reduction in team productivity resulting from arguments with new members. Job goes slowly and team do not reach targets. Investigation 1. Primary research One of the methods of my research was questionnaire. I chose this procedure because it is inexpensive way to congregate data from responders.

It was also the only practicable way to reach a number of reviewers large enough for my investigation and to allow statically analysis of the results. Filling the questionnaire gives a respondent a sense of anonymity. The anonymity and sense of security encourages respondents to answer sincere, even at a very intimate topics. Respondents frequently in conversation with the interviewer omit some details, which embarrassed to reveal the presence of a third party. Construction of my questionnaire was taking place in several stages: * Identify the problem – to make a right choice of questions I had to specify the intended purpose of research. Making questions – I In my case the number of source of information was limited so the questionnaire acts as a very important origin of data. Furthermore, one of my goals was to achieve variety of answers so this method was facilitated my access to many commentators in very short time. decided not to ask ambiguous questions. The questions were easy. Also constructed a few open questions which became the basis of the essential questions. * Arrangement of instruction – this activity I started with the preparation of explanations for the preliminary, preceding the response of subject to questions put to them.

Instruction contained, my name, the purpose of my research, how to respond to the individual questions and the extent to which anonymity is guaranteed. * Test – conducted a study trial on 3 persons, derived from a similar working environment. These studies gave me the answer to the question, whether the designed questionnaire provides enough source of labour – whether the questions contained in it are clear enough and uniformly understood, whether the instruction allows correctness of answers. Preparing the final version of the questionnaire – preparing the final version took place on the basis of analysis of the results obtained from research trial – copy of the blank questionnaire can be found in appendices. Another method of primary research was discuss guide. This is a conversation which the task either party to ask questions to obtain concrete information, and the other responding to them. Preparing the discuss guide I had to remember that interview should not be artificial, tedious and forced.

The aim of the discussion was to obtain information about interesting facts and know the caller’s opinion on the topic. Prepare for the interview was preceded by several key activities: * Arrange a meeting – people with the work were not willing to give an interview so I needed to be obsessive in order to convince them. Meetings were held mainly during breaks and lasted no longer than 10 minutes. * Outlining the development of intelligence and preparing questions – After discharge on a piece of matter of which I wanted to raise, I started the formulation of questions.

I decided that I will not create questions on force. I prepared a few questions for this thought, because I provided during the interview unprepared ask new questions. After the interview has accomplished selection of information, I chose the most important details and removed those which have not made anything new to the project – copy of discussion guide can be found in appendices. During my research I focused on direct observation. It is based on a study in which researchers not only collect relevant information, but also has the ability to check their credibility, by references to other research methods eg. questionnaire). Work on the study of the problem that exists in my work began 4 months ago. A first step I taken was a conversation with manager for information concerning staff turnover and assistance in conducting research. After collecting the first information, I started observation in the work place. I have concentrated on treating employees, working hours, age group and atmosphere in the working environment, because all these factors play an important role in staff turnover. These observations has helped me in laying the questionnaire questions as well as in finding potential reasons of the issue.

After observation and analysis of the problem has arranged another meeting with the manager on which I found answers to many questions that worry me and gathered more tables and information related to the problem. Being familiar with the topic and having favour with management, started to conducting an interview. All of the people participating in the interview was pre-informed of the place, form of an interview and expressed the wish of participation. After collecting all the necessary details began analyzing graphs and all information obtained. 2. Secondary research Conduction of secondary research was very problematic.

Both in school and central library does not have any data related to the topic. Finally, I have outlined mainly, to specialists and articles about staff turnover, found on the web. Information concerning the problem studied was not sufficient for exact, deep analysis. However, I managed to get to details on the causes and costs of staff turnover, and articles about its controlling. Much information obtained were largely similar to my conclusion. I found also the information which I have not noticed by performing primary research and which largely enriched my presentation and gave me idea for the subsequent recommendations.

Analysis and presentation of results. 1. WINcards – this is summary of date concerning people ( team turnover, health and safety), guest ( recommend, brand standard, occupancy) and investor (profit, profit conversion) to the company. This statement is made each month to show how the business prospers and where problems arise. AD 1 | Quayhouse Site| Whitbread WINCard – Trend (2009)| | | | | | | | | | | Team Turnover| | | | | | | Period 1| 67. 74%| | | | | | | Period 2| 67. 00%| | | | | | | Period 3| 54. 08%| | | | | | | Period 4| 66. 38%| | | | | | |

Period 5| 39. 47%| | | | | | | Period 6| 58. 52%| | | | | | | Period 7| 67. 47%| | | | | | | Period 8| 62. 34%| | | | | | | Period 9| 35. 71%| | | | | | | Period 10| 35. 30%| | | | | | | Period 11| 39. 07%| | | | | | | Period 12| 64. 14%| | | | | | | YTD| 59. 43%| | | | | | | | | | HIGH| | MEDIUM| | LOW| | | | | | | | | | | | | | | | | | | | | | | | | The table shows the percentage of staff turnover for each month of the 2009 in Beefeater – Quayhouse Site. Predominance of red colour clearly indicates the seriousness of the existing problem for the company.

Staff turnover remains fairly high throughout the year, there is only 3 months where the percentage is relatively low. For sure this situation has a negative effect for the business and needs to change. AD 2 | | Team turnover (site) (2009)| | | Annual summary(NORTH)| | | | | Anchor Beefeater SITE| | 28,13%| | | Bamford SITE| | 45,76%| | | Brecks SITE| | 42,79%| | | Farmhouse SITE| | 29,27%| | | Glegg SITE| | 32,14%| | LOW| Heald Green SITE| | 47,37%| | MEDIUM| Heaton Park SITE| | 15,58%| | HIGH| Highwayman SITE| | 25,10%| | | Leakside Beef SITE| | 64,41%| | |

Micklehead Green SITE| | 44,59%| | | Morris Dancers SITE| | 40,98%| | | Norman Jepson Beefeater | | 54,76%| | | Packet Steamer SITE| | 49,09%| | | Quayhouse SITE| | 59,43| | | Red Lion Bispham SITE| | 46,39%| | | Stag ;amp; Rainbow SITE| | 30,41%| | | Whitegates SITE| | 33,64%| | | The table shows the percentage of staff turnover in Beefeaters of the 2009, for each site in the North region. Overwhelming number of restaurants in North region has no problem with high staff turnover, which remains low. Percentage of only two sites is high. One of them is Beefeater – Quayhouse.

We can assume that if the whole company cope with the staff turnover issue, than the problem must be inside each site. 2. Questionnaire results The studies were used in this study constructed from eight survey questions. Replied 10 respondents including seven women and three men that helped to carry out the analysis below. Their age is 18 – 43 * Predominantly of young people – 70% respondents are young people below 25 years of age and 40% are students. This is certainly the reason for the increased staff turnover. A young person or student do not take employment in restaurant seriously.

It is time for her to survive the period of learning. During the recruitment of employees, such persons do not inform the employer about education and leave the position immediately after the end of time off from school without giving specific reasons. * Causes of the high staff turnover according to employees surveyed. |  | Unsuitable| Unpaid| Rotas| Low | | Low paid| hours| overtimes| variability| developing| Person 1| 1| 1| 1| 2| 5| Person 2| 1| 2| 3| 1| 3| Person 3| 2| 2| 2| 2| 2| Person 4 | 2| 4| 1| 2| 1| Person 5| 2| 2| 2| 1| 3| Person 6 | 3| 2| 1| 2| 2| Person 7| 2| 1| 1| 4| 2|

Person 8| 1| 2| 3| 1| 3| Person 9| 1| 2| 3| 2| 2| Person 10| 2| 1| 1| 2| 4| TOTAL| 17| 19| 18| 19| 27| According to table at most quoted reason for leaving work is lack of development in Beefeater. People is a unique organization of the capital, is worth very little, while investment in human resources despite the generally expensive, it is highly profitable. One can even say that the development of human resources is an essential strategy for survival and development organization. Employee development should therefore be the primary value for both organizations, as well as for himself.

Development of a resource Staff now becoming increasingly important. The source of advantage company’s competitive ability may become a crew to create innovation and the design and implementation of long-term changes in the company’s development. Development of staff covers all activities of organizations whose task is to support and implement the process of improving the skills and motivation employees. This process aims to “equipment in their professional capacity characteristics necessary for the performance of current and future tasks.

As a result ,it contributes to the achievement of company objectives and individual employee objectives * Potential solutions to control staff turnover to make people want to stay. | Pay| Meetings,| Paid| Stable| High level | | rise| discussion| overtimes| rotas| training| Person 1| 2| 4| 2| 1| 1| Person 2| 3| 2| 2| 1| 2| Person 3| 2| 3| 2| 1| 2| Person 4| 1| 3| 2| 1| 3| Person 5| 1| 2| 2| 2| 3| Person 6| 2| 2| 1| 2| 3| Person 7| 1| 3| 3| 2| 1| Person 8| 2| 3| 2| 1| 2| Person 9| 2| 3| 3| 1| 1| Person 10| 1| 1| 3| 1| 4| TOTAL| 17| 26| 22| 13| 22| 3. What experts say?

Good staff recruitment and retention are more vital than ever before. Introducing improved recruiting and employment practices may seem like an uphill task – but in the long term it will make your role a lot easier and your workplace much healthier. * Drive a good organisational culture People leave their jobs for many reasons but extensive research shows that the majority of employees choose to leave managers, rather than organisations. The culture of an organisation is driven from the top. If management aren’t doing their jobs well, then the employees are unlikely to be achieving job satisfaction and will seek it elsewhere.

Go the extra mile Create the right culture and you will have an advantage when it comes to attracting and keeping good people. A simple but common sense way to start looking at what you need to do to create a positive difference, is with a checklist: * Acknowledge good performance face to face? * Provide as much flexibility as possible? * Make jobs as interesting and varied as possible? * Give staff a sense of purpose and job satisfaction? * Train or upskill staff as much as you can? * Allow staff autonomy and ownership of their responsibilities? Delegate authority and decision making wherever possible? * Act with integrity and authenticity at all times? * Make them proud to work for you and your organisation? * Try to answer the questions from your employees’ viewpoint Learn from those who leave When staff leave consider conducting an exit survey, though many may not reveal their true reasons for leaving. All employers should aim to be able to say that every employee leaves their employment a better and more skilled worker than when they arrived. Development of potential solutions.

Pay rise – none of the views does not deny the fact that wages are the primary factor that drives people to work, stay in it and develop. Earnings remain for a longer period of stable lead in effect to discourage workers, demobilization and work leaving to find a better source of finance. Therefore, the incentive pay system should be an essential of wages increases. It is an element to which employees often pay attention as the most motivating and encouraging to more intensive work. Meetings, discussions – currently staff talks are an important tool in the management of employees.

The advantage of labour talks are both, the maintenance and care of contact between the supervisor and employee, as well as the possibility of joint planning and set targets and relevant projects. Often underestimated the effect of labour talks is the motivation of employees. Everyone wants recognition for their performance. In the talks workers formally receives, primarily from the superior, expressions of appreciation. Work does not make sense for the employee if it is not possible to present their results. Presentation of results of work during the interview may be a natural incentive motivation.

Carried out regularly call workers is improving relations between superiors and employees, promotes openness and mutual understanding, builds trust, facilitates cooperation and make a person want to stay in a company. Employees expect their interest on the part of supervisors. Paid overtimes – Lack of paid overtimes affect employees in negative way. In every day off from work set by Government ( bank holiday) or Sunday, person employed in restaurants or pub should receive higher pay. Overtime should also be granted for exceeding the hours specified on the employee contract.

High level training – Training is the most important method of influencing the development of the company and employees. First of all, the training gives you the opportunity to harmonize the structure of the company. By improving communication between employees and minimize the risk of conflicts between them can greatly increase the effectiveness of their actions. Divided against a team whose work leaves much to be desired, may restore positive relationships after attending the relevant courses and decrease staff turnover.

People working every day with each other integrate, which affects a very positive effect on their joint work long after the end of the training. Training broadens the perspective of workers, opens them to new solutions. Persons wishing to hone their skills translate the benefits of training to the field of personal and business use. The benefits are two-track training, making the effectiveness of courses and workshops increases significantly. Some of the benefits from training are quantifiable and can be checked in the everyday functioning of the company.

A typical example in this respect is the training of sales techniques, or with negotiation. After expiry of the relevant training and enough time to see how a change in company profits and increased the amount raised as customers. Stable rotas – the problem of changing working hours each week affects both young and older workers. The issue is the reason of arguments between employee and employer, and dissatisfaction with work. Working hours of persons employed should not be changed every week to let the power of the workers to plan activities outside of work. Evaluation of options and choice of best solution.

During investigation of selected problem, I have outlined the Rational Model of Decision Making, whose steps are described in the different sections of this report. As part of conducting the strategic analysis a variety of strategic options will have been generated by the category teams. It is necessary to perform an evaluation to determine which of these strategic options should be implemented. In evaluating options helped me Manager Assistant, 2 Team Leaders and Supervisor of the Beefeater Quay house. Together with management have been evaluated different factors influencing the best choice.

I have outlined several important factors affecting the final decision. Their task was to respond to what scale this factor impact on the organization and how it is feasible Evaluation criteria (results) | Pay rise| Meetings,| Paid| Stable| High level| |  | discussions| overtimes| rotas| training| Cost to comply| high| low| high| low| High | Time to implement| short| short| short| short| long| Input on other restaurants| high| low| high| low| high| Input on business operations| high| low| high| low| high| Easy in implementation| yes| yes| yes| yes| no| Effectiveness| high| high| high| low| high|

After analysis came time to select the best solution. Good solution is where cost of comply is low, time to implement short, input on other restaurant and business operation is low, effectiveness high and the idea is easy to implement. According to the table meetings and discussions meets all of the above requirements. This solution was also top rated by questionnaire responders, what could cause the satisfaction of both the employees and management. Recommendation for change Hopes are linked to imagination employee benefits, which it expects to obtain the most optimistic version.

Hope, sometimes identified with the “mother of fools”, built in the mind of the employee vision bright future. This is something that exists beyond expectations. Expectations, however, are now specifically defined and real in the mind of the employee, as necessary conditions to continue to thrive in the company. It states, events, things that satisfy the specific needs of the work place. Anxiety is a special kind of fear occurs without explicit external threats and causes. Its source may lie in a neurotic internal conflicts. Therefore, it may be useful question: “What may be afraid of real our employees? The conversation is really development is to be doping to the employee. Doping to further exploit his talents to greater creativity, use of strengths and feel good in work environment. These are the positive expectations of workers to the system of periodic evaluations, based on respect for partnerships in the company: * Valuing – Appreciate me as a person. * Score -Objectively evaluate my strengths and weaknesses. * Improve – Manager will help me to correct errors. * Information – I will know how to fulfilling the requirements of colleagues, customers and service standards. Tale – I be able to express my opinions, say what I do not like about the job and try to change it together with Manager Direct conversation with the employee development can be carried out according to three stages. Stage 1 ( Preparation): Manager needs to collect as much information about an employee and his position in the company, refer to the description of the job and its requirements. 1. 2. Focus especially on talent to develop and to solve problems. 1. 3. Plan the various stages of the conversation. Prepare for each stage of useful questions. 1. 4. Ensure the right conditions of the meeting: . 4. 1. Choose and book a quiet, peaceful, safe place. Inform the employee about it earlier. 1. 4. 2. Choose a suitable time for both you and the employee. Book at least half an hour for an interview. 1. 4. 3. Make sure to call anyone you do not disturb. Stage 2 (essential part of the conversation) 2. 1. Examine the facts, which are discussed in the conversation. 2. 2. Make sure that the interpretations of the facts have made both sides and let the employee tell us about the problems. 2. 3. Actively listen. Ask! Number of questions – is an important measure in the conversation.

Ask about opportunities in the solution of the problem presented by the employee 2. 4. Watch the body language, the structure of conversation, the topics raised by callers with a special engagement! Stage 3 (ending) 3. 1. Summarize the conversation. 3. 2. Determine the employee to solve specific problems and methods for their solution 3. 3. Talk to staff about the future and its development in the company. These talks to yield benefit only if they are carried out every 3 months with each employee and the issues raised on them will be important not only during the conversation but also will attempt to solve their actual.

Reflection Research on the problem of employee turnover in my work place needed a lot of commitment both from my and management side. I am satisfied with the final outcome of this work but I think that some issues could be further developed and analyzed. What did go well ? At first, I was confident with my superiors do not agree to carry out research work in the environment due to the secrecy of the information and the situation in which there is a company. To my surprise the work with the leadership took place in a friendly atmosphere.

Their attitude to my research was positive, they were happy to answer questions and acquire the information I needed. My attitude to work was very motivating. I tried to plan so that each of the tasks to achieve maximum benefit and not leave everything to the last minute. Collection of information turned out to be useful and sufficient for successful problem analysis and recommendations for change. I tried to work every day which proved to be extremely beneficial, because every day my train of thought was changing by each day at his work refined and enriched it with new information.

Satisfaction also brought me the problem, which I analyzed. I think that high staff turnover is a very important and harmful element of the company and through the research, interviews with employees and managers will be noticed and taken more detailed analysis by my employer. What did not go well ? Resulting from lack of experience analysis of Beefeater statistics was inaccurate. I’m not sure whether the lessons learned from conversations conducted with employees are accurate.

The biggest disappointment, however, is the lack of feedback from my employer, which I think was the reason of my neglect. Agreement to write the opinion was already expressed at the time of the first meetings with the leadership. Because of the work it took to write me longer than I expected, I have handed the completed work on the last weekend before the submission date. The weekend was busy in the restaurant and manager did not have a time to read the report and was given it to me without a feedback.

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