Hello All,

Given below is an interesting case on Retention. I
would like to invite your opinions and comments on the
same.

Looking forward to your replies,

Case Exercise
ABC Software: Pursuing a People first Strategy

ABC software is a success strory. Begun in 1983, today it employs 2,500 people, generates $189 million, and was recently bought by another software giant for $1 billion. Management attributes much of it success to the company’s people first strategy. The company’s CEO, says that the companys growth and success can be attributed to thrree guding principles. First, make the company such a great place to work that people not only won’t want to leave, they’ll knock down the door to get in. Second, give employees owenership at entry level. And third, let people grow- as professionals and as individuals. What does Great plains do to facilitate its people first culture? Managers point to the company’s structure, perks, and commitments to helping employees develop their skills and leadership. Great plains has a flat organization structure with a minimal degree of heirerarchy. Work is done mostly in teams, and there are no traditional status accouterments such as executive parking spaces or corner office suites. Perks include stock options for evryone, casual dress standards, and on-site child-care center, and daily extracurricular classes in everything from aerobics to personal finance. But management is proud of its commitment to the development of its people. The company offers a long list of training and educational opportunities to its employees. These are run on site and designed to help employees build their skill level. Great Plains’ premeir training program is called Leadership is everywhere. It’s designed to ensure that the company will have people who can assume new leadership roles in a continuously changing enviornment. The company reinforces class training by placing its works in departmental teams. At the helm of these teams are “team leaders” whose job is to help foster their charges ideas and projects. They are also expected to provide one-on-one job coaching and career planning advice. Nearly all Great Plains employees are given then opportunity to become team leaders.

The CEO has more than just increased revenues to support his belief that his people-first strategy works. It has also succeeded in keeping employees contented. Turnover for instance, is a minuscle 5 percent a year-far below the information-technology average of 18 to 25 percent.

Warm Regards

Catherine