The key to keeping your general
from leaving your firm is found within the structure of your HR management system.
High employee turnover is a big issue that many manufacturing firms face.
Production workers leaving their companies leads to profit losses of up to 11% annually due to a shortage of skills. That said, turnover is not something you should turn a blind eye to. To reduce employee turnover, you will need to turn upside down the way you've been thinking about Human Resources Management in manufacturing.
Many manufacturing firms consider their low-wage, low-skill workers as dispensable piece-workers.
As long as you can keep an eye out on the mules and set up a rigorous procedure and performance standards, your piece-workers will produce those parcels just as you expect of them. If they're good, obedient little mules, then you'll finally reward them with that carrot.
HR systems like this are known as "Control Systems" and are one of the most significant contributors to high turnover.Read More