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IIMS Journal of Management Science
Year : 2014, Volume : 5, Issue : 2
First page : ( 126) Last page : ( 145)
Print ISSN : 0976-030X. Online ISSN : 0976-173X.
Article DOI : 10.5958/0976-173X.2014.00003.7

Relationship between Retention Factors, Organisational Commitment and Actual Turnover: An Empirical Study of Indian B-Schools

Sharma Gunjan Mohan, Azmi Feza Tabassum

Dr. Feza Tabassum Azmi is presently an Assistant Professor at the Department of Business Administration, Faculty of Management Studies and Research, Aligarh Muslim University, Aligarh, India. Her area of interest is strategic HR. Her papers have been published in various international and national journals. She can be reached at ftazmi@gmail.com.
Dr. Gunjan Mohan Sharma is an Assistant Professor at the IFIM Business School, Bangalore. His area of teaching includes Human Capital Management, Business Analytics and HR analytics. His research papers have been published in various international and national journals. He has also been invited to present papers at several international/national conferences and seminars. He can be reached at gunjanmsharma@gmail.com

JEL Classification Code: M12

Online published on 25 December, 2014.

Abstract

The paper examines the relationship among retention factors (viz. satisfaction with pay, promotion opportunities, supervision and work-schedule flexibility), organisational commitment and actual turnover in the context of teachers of the Indian B-schools. The research design is longitudinal in nature. A self-administered questionnaire, with items related to the study dimensions, was deployed for the first phase of the study to capture responses on retention factors and organisational commitment. In all, 310 usable responses were generated. In the second phase, data on the actual turnover status of the respondents were gathered after a gap of 1 year. The structural equation modelling technique using LISREL was deployed to test the hypothesised conceptual model. The scales were subjected to a rigorous measurement analysis to test for unidimensionality, reliability and validity. Further, path analysis of the structural model was carried out to test the study hypotheses. It revealed that satisfaction with pay, supervision and work-schedule flexibility had a positive relationship with organisational commitment. Satisfaction with pay and supervision had a negative relationship with actual turnover. It was also found that organisational commitment had a negative relationship with the actual turnover of the teachers, as was hypothesised. The findings provide insights into the dynamics of actual turnover of teachers and throw light on the retention factors that have a significant bearing on the actual turnover. The study is unique as it delves into the rather uncharted domain of retention and turnover in the context of B-school teachers in India.

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Keywords

Commitment, Retention, Turnover, B-school, Structural equation modelling.

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