High Rate of Employee Turnover at Erich's Roofing Company

RPM2
Student’s name
Institutional affiliation
Course code and name
Instructor’s name
Date
RPM2
Executive Summary
Erich's roofing company has a high employee turnover rate, which has been a concern for the managers. A high rate of employee rate turnover can make it challenging for the company to carry out its operations. In this case, the high employee turnover rate is recorded by roofers, the company's most important employees. Therefore, a solution ought to be identified to prevent the company from losing more of its employees. The solution involves the identification of the key issue causing the high rate of employee turnover. It will include an analysis of the external and internal business environment and how it affects Erich's roofing company operations. The identification of these factors will help in the creation of a reliable remuneration plan to reduce the employee turnover rate. The environment analysis will be carried out based on the factors that could result in a high rate of employee turnover. The main focus will be on the motivation and equity issues in the company's current system. A solution will then be developed on how the company can eradicate these factors from its current system. A remuneration plan involving a monthly salary and incentives based on overtime work shifts will be outlined. The remuneration plan will include details of how it will benefit the employees and the company (Koziol & Mikos, 2020). This information will help provide Erich's roofing company with a reliable solution to their problem. Implementing this remuneration plan will motivate the employees to work hard, and the company will make more profits. These profits can be used in the creation of a conducive work environment.
Strategic Analysis
The internal environment affecting Erich's roofing company includes the factors within the control of the organization. The management can change these factors to prevent the company from experiencing employee turnover. One of the main reasons a company could experience a high employee turnover is the lack of a conducive work environment (Bril et al., 2019). The factors contributing to a conducive work environment in Erich's roofing could include poor remunerations, the lack of resources to facilitate a safe working environment, and unreasonable incentives. Roofing companies are the companies that offer unsafe working conditions for their employee. The work carried out by the employees could easily injure them, and therefore, every worker needs assurance through fair compensation. The company could be paying their workers low wages compared to what workers in similar companies are getting paid. This could result in the employees resigning from their duties in seek of employment in Erich's competitors. Unreasonable incentives could be another reason for the high employee turnover. The employees need to be assured of fair compensation for any extra work done of overtime shifts. If such incentives are not worth the kind of work done during a specific time, the employee would prefer to work in a different company that offers better incentives.
Poor working conditions cloud also include the employee turnover rate (Jacková, 2019). Given that roofing compani...