HUMAN RESOURCE MANAGEMENT CASE STUDY:

ATTRITION OR EMPLOYEE TURNOVER

A Case Study

Presented to the Faculty

Of St. Therese-MTC Colleges, La Fiesta Site

Molo, Iloilo City

In Partial Fulfillment of the Requirements

For the Course Human Resource Management

For the Degree

Bachelor of Science in Business Administration

Major in Maritime Administration and Leadership

Passed to:

Dr. Arlene T. Dalawis

Passed by:

Sancio, John Eric S.

January 2024
 1

Chapter 1
The Case Study

Introduction

Attrition or employee turnover is one of the major problems in any organization. Many
factors can cause increase in attrition, one of which is employee engagement. In this case, we
look into causes of attrition; the importance of human resource managers looking into the causes
of such, and how human resource managers can create programs in order to reduce attrition and
later even change the culture of an organization.

Chapter 2
The Problem or Problems

Case Incidents
1. The Philippine office started with a small team of 10 in 2008, supporting a single client.
They now employ over 300 staff in the Philippines, supporting 24 clients globally and
operating 24/5. This center supports across all service lines and industry sectors,
delivering the following activities – recruitment, sourcing, market research, recruitment
administration, graduate/campus hiring and business intelligence.
2. In 2015, Alexander Mann Solutions Philippines hit an all-time low in terms of morale.
From a company that had previously highly engaged employees, several complaints
popped up in several channels including Glass door. The severity of the situation was no
longer contained internally.
3. Due to low morale, the attrition rate of Alexander Mann Solutions went from 6% in 2014
to 27%in 2015.
 2

Problem/s and Sub-problem/s

Sub-problem/s
1. What solution can HR manager can create in order to reduce attrition?
2. What solution can HR manager can create long-term culture change?

Chapter 3
Areas for Consideration

SWOT Analysis
Strengths
 Globally competitive
 Well established company
 World-class and unique services rendered
The company manage to be Globally competitive as they have 7 offshore global client
service centers based in the US, UK, Eire, Poland, Philippines, and Shanghai with 1,500
employees supporting the delivery of our services in over 30 languages. They cover APAC,
EMEA, the US, and LATAM. Since they started in 1996 Alexander Man Solutions delivers a
unique blend of services and consulting across a diverse client base. Their core services include
Permanent Workforce Solutions, Executive Search and Campus and School Leaver Services.
Today, Alexander Mann Solutions employs over 3,500 professionals who deliver high quality
services to 88 clients in 91 countries.
 3

Weaknesses
 Low morale of the company
 Low level of average tenure
 Rapid increase of attrition rate
 Leadership incapability
 The company cannot easily adjust on changes in culture
Weakness of the company is the cause of rises of turnover, as a proof there is a low level of
average tenure of the employee. And when time takes into consideration rapid changes in the
society that can affect to the culture of the company can limit the organization success.

Opportunities
 Possibility of increasing number of clients
 Possibility of hiring more efficient employees
 Expansion of the company
 Additional services to offer
The opportunities for the company includes; ability to acquire more clients, hire more
efficient employees to improved services that can lead to another expansion.

Threats
 Law suits
 Highly competitive opponents in business
 Negative feedback of public
 Losing clients
If issues couldn’t deal with immediately it could be the reasons of several threats. Law suits
may arise both from the employees (due to improper handling) and customers (due to low quality
of service). With that, negative feedback of public.
 4

Chapter 4
Alternatives or Options for Solution

Alternatives
1. Re-establish good management-labor relations with the accordance of labor code.
Advantages:
a. Lesser number of employee turnovers
b. Positive changes in workplace culture
c. Prevent Lawsuit.
Disadvantage:
a. Additional cost
2. Develop HR management system.
Advantages:
a. Eradicate turnover of employee
Disadvantage:
a. Time consuming and costly
3. Continuous cultivating of a positive office culture.
Advantage:
a. Harmonious Relationship
Disadvantage:
a. Costly and time consuming
4. Continuous Hiring
Advantages:
a. Able to find the more skilled people
Disadvantage:
a. Very time consuming and costly
5. Strict Internal control.
Advantage:
a. Assurance or efficient and accurate performance of employee.
Disadvantage:
a. Causing employees to be upset and feel restricted
 5

6. Prolong the length of the contract.

Chapter 5
Decision or Choice

Decision
The company will choose the Alternative Option number one, in which it is stated that
the HR Manager should create a plan on how they could re-establish management-labor
relationship which conforms to the labor code of the Philippines to lessen the number of
employees’ turnover, it may serve as our immediate solution but, the impact will last long if
being successful .Re-establishing management labor relationship could be done with having an
Internal interviews so that you will be able to know on what part you should focus to promote
harmonious relationship.
 6

Chapter 6
Conclusion and Recommendation

Conclusion
We believe that attrition due to low level of relationship between management and
employees occurs because management doesn’t give priority in maintaining its employees or in
other words the company has a problem in employees’ maintenance for they failed to addressed
their demands such as: wages, working condition, over time and lack of internal control
compensation, progression, Career growth, open communication, Shifting and etc. We also saw
that the management has a gradual consideration on cultural changes happening in the recent
years, with the fact that diversity of cultures affects employees’ perspective. In fact, it is also
stated in the case Alexander Mann Solutions previously had a highly engaged employee so
meaning there is a possibility of the strategy their using is not effective anymore to the current
generation of employees

Recommendation
We recommend alternative option number two as for the long-term solution of our
problem developing Management system is necessary to highlight the engagement of employee
towards the company, the best example of this one is to have a Career Planning for the employee
and to be stricter in hiring procedures. We believe that through this the employee now feel more
valued. However, due to continuity of changes in culture all over the world we also suggest
alternative option number three continues cultivating of a positive office culture. This will help
our first solution to be more effective and feasible.
In line with this it could be also helpful to ensure the performance and accountability
using a strict internal control (alternative option number five). Strict, not to the point that
employee will nor have self-organization. This is to guarantee all employees to do their part as
an exchange to all management efforts. All other three recommendations focuses in employee’s
demand side where expected to have a positive outcome. However, making sure that it’s all
worth it implementing internal control could be done. It is necessary to help the company to
prevent this issue to happen again, because the management will now monitor and updated not
only on the process of rendering services but also to all the happenings between their employees.
7