© 2007 Scott Degraffenreid
1) Attrition
Increased Recruiting Costs
Decreased Productivity
2) Attrition
The Helium Level * - Have more job fairs, choose better candidates, blame HR for recruiting failures.
The Operations Level - Blame managers and supervisors.
Conventional Attrition Assumptions
- more balloons for more job fairs
Decreased Productivity
Drivers of Attrition
1 - Feelings of Inadequacy
2 - Easier to leave than argue
Greater Attrition
Increased Costs / Reduced Revenue
Cost Reductions / Austerity
Most companies don't have a very clear or complete understanding of the impact of employee turnover. Even if they have had the problem for a while, they tend to stay at one of these two levels.
In most businesses, attrition is actually a cycle that begins with some hiccup in revenue or costs. The response dictated by conventional accounting and management strategies is what escalates the existing drivers of attrition.
Increased Costs
Statistical Model
The Worsening Cycle of Attrition
Attrition Cycles
