Recruiting or retaining – Case study


G.K Electronics Ltd., is a pioneering and internationally reputed firm in the Electronics industry. It is one of the largest firms in the country. It attracted employees from internationally reputed institutes and industries by offering high salaries, perks etc. It has advertised for the position of an Electronics Engineer recently. Nearly 150 candidates working in various electronics firms applied for the job. Mr. Sashidhar, an Electronics Engineering Graduate from IIT with 5 years working experience in a small electronics firm was selected from among the 130 candidates who took tests and interview. The interview board recommended an enhancement in his salary by Rs. 500 per month more than his present salary at his request. Mr. Sashidhar was very happy to achieve this and he was congratulated by a number of people including his previous employer for his brilliant interview performance and good luck.

Mr. Sashidhar joined G.K. Electronics Ltd., on 21st January, 1996 with a great enthusiasm. He also found his job to be quite comfortable and challenging one and he felt it was highly prestigious to work with this company during the formative years of his career. He found his superiors as well as subordinates to be friendly and cooperative. But this climate did not live long. After one year of his service, he slowly learnt about a number of unpleasant stories about the company, management, the superior-subordinate relations, rate of employee turnover, especially at higher level. But he decided to stay on as he promised several things to the management in the interview. He wanted to please and change the attitude of management through diligent performance, firm commitment and dedication. He started maximizing his contributions and management got the impression that Mr. Sashidhar has settled down and will remain in the company.

After sometime, the superiors started riding over Mr.Sashidhar. He was overloaded with multifarious jobs. His freedom in deciding and executing was cut down to size. He was ill-treated on a number of occasions before his subordinates. His colleagues also started assigning their responsibilities to Mr. Sashidhar. Consequently there were imbalances in his family life, social life and organization life. But he seemed to be calm and contented. Management felt that Mr. Sashidhar had the potential to hear with many more organization responsibilities.

It was quite surprising to the General Manager to see the resignation letter of Mr. Sashidhar along with a check equivalent to a month’s salary one fine morning on 18th January, 1998. The General Manager failed to convince Mr. Sashidhar to withdraw his resignation. The General Manager relieved him on 25th January, 1998. The General Manager wanted to appoint a committee to go into the matter immediately, but dropped the idea later.

The inference from the above is very clear. The management had no strategy of retaining capable employees by giving them proper treatment and responsibilities. They also have not laid out any HR policy of defining area of responsibility for executives or staff. It appears any body in the firm can pass any work to their colleagues and even management is also not bothered about over loading a capable person willing to undertake challenging tasks with responsibility. If the above defects can be corrected by the management and senior managers they can retain capable managers or executives and the manpower turnover may come down and the company’s reputation with regards to human resources will go up. The firm can attract more and more capable personnel.

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  • Taniya

    It was an excellent piece of subject. But indeed, we have formed ourselves better at this generation and have started treating human resource as our assets. We have seen improvements too….but this shade of carelessness is still found to be existing in some of the small firms…in a nutshell, that is what retards their growth….

  • Yogita

    The above case draws clear inferences that good performers be treated as assets and the management define rules for retention…

  • Rekha

    hi This is very usefull message and is very important for an HR peron. Thanks for ur valuable infomation..

  • urvashi

    this case study brings several aspects of HR which are neglected.

    initial it is the division of Authority and Responsibility.

    No Job description

    No Performance Evaluation

    No Organisation culture

    No discipline

    neglecting these aspects can lead to disasters in the organisation.

  • Shalini

    This is an excellent case study.. Unfortunately such situations often occur nowadays as well… that too with HR Professionals like me. The only difference was that I was not very silent about the situation and made my protest on record. This, unfortunately soured relations between me and my senior(The Head of HR) even more.Consequently, the whole situation seemed to degenerate into an ever worsening spiral..

  • raunak

    this is a great case which highlights that even good and great companies can have bad HR policies and practices.Also, as seen here there seems to be no proper code of conduct of the superiors or even the others….this case brings forth lots of HR prctices being neglected

  • Santhosh(schiluvary)

    Hello Freinds,

    Parden me to say, this is normal, quite obvious story to happen in every organizatin.

    These situations can be avoided and we can retain employees’, with the existing HR Tools, viz.,

    Job Description
    Calendar of events (daily/weekly/monthly/occationally/need based)
    JOB Card/Weekly activity report (Its a daily/weekly activities report on the tasks accomplished)
    Competency Mapping
    HR Score Card

    Please comment on the above.



  • Col Virendra Kumar

    Well, is it a case study or real story. This happens in all the companies where HR has been sidelined or does not exist.Within various functions, if HR is not represented by strong and belanced head,this has to happen.So, there is a requirement for HR to have the eye on itself as well as on other functions, very diffilcult task indeed.It should be remembered by all that no company can grow big without proper HR policies.
    Col Virendra


    thats good all information given to employees at selection time