Module 8 Report

Kara Spiese-Floyd
Strategic Issues Human Res Mgmnt HRA-596-MBOL1
Professor Sherbert
June 23, 2012
Executive Summary
Managing turnover within any organization can come with its difficulties. Considering direct and indirect costs associated with turnovers are essential to creating a plan to deal with turnovers. The time and money it takes to train new employees to fulfill a position related to a voluntary turnover can potentially hurt an organization. However, organizations that can create a plan to prevent high costs associated with unexpected voluntary turnover will see that the overall performance of the organization will also improve.

In considering my current position, employee initiated turnover costs during an economic recession will be quite different than costs for the organization during a normal economy. Considerable costs can result from employee initiated turnovers since they are unexpected. Disruptions in operations, work team dynamics, and overall organizational performance are also affected by voluntary turnover (Mello, 2011, p. 585). With my current job there would be direct economic costs associated with the organization as they would have to staff and train a new employee. The indirect costs associated with the voluntary resignation include the downtime that will be needed for a newly hired employee to learn the skills required for the new job and to become completely coherent in knowing how to do the job. There are also those who will need to assist in training the newly hired employee who will end up being pulled away from their own job duties, costing the organization money and time. Thankfully, my position has not had an incredible amount of money or time invested in training and development – hence the voluntary resignation – so the organization will only have its costs affected in that field by those who