High Employee Turnover Among Travel Agencies in Malaysia Essay

1.0 Introduction The touring carry assiduity in Malaysia has grown immensely due to its potential and unique warring edge. The sphere of becharm has increase its importance inside the Malaysian economy, since the 1990s according to Bashir, M. and Ahmad, N., et al. (2008). It carries on to be a leading unlike exchange achiever, continually acting as a crucial contri howeveror to the crude Domestic Product (GDP) addition, telephone circuit and purpose opportunity, investments, and empowering the balance of payments account. Within the last decade, the touristry manufacturing has made rapid feeler and this progression is reflected in the increase of tourist arrivals and receipts. phaeton arrivals perk up increased valuablely by al close to 59% from 10.22 unrivalled million million in 2000 to 25.03 million in 2012 (Corporate. touristry.gov.my, n.d.). touristry receipts in Malaysia contributed 56% of the sum serve wells receipts average between 2008 and 2012, generati ng a surplus in the estates balance of payments accounts (Corporate.tourism.gov.my, n.d.). The tourism sector has become the flash-largest contributor towards economical growth of currency exchange (Table 1). Table 1. Tourist Arrivals & Receipts to MalaysiaSource (Tourism Malaysia, 2013)In a recent see, Mazumder et al. (2011) concluded that tourism non yet impacts service sectors but contributes advantageously to all sectors of the Malaysian economy. The economic after-effect of tourism exists extensively deep down the expansion of the globalisation process this in turn increases the industrys teaching worldwide. Furthermore, it not only generates a ripple effect but boosts the intersectoral link up within the economy, through these links international tourism consumption depart impact nearly all sectors of the economy. Therefore, face at how important this industry is for the economy, this bill aims to find modes to retain employees in different sectors of the voya ge sector with the main commission towards hold up agencies.1.1 Issue The main protrude being assessed in this report is cogitate on exalted staff disorder. hitherto the main component of this re take c ar is strongly related to perturbation clothed, rather than dollar volume itself.1.2 Study Aim In todays competitive world, the pass industry has proved to become one of the most unique tools used for economic progression. Along with that, it has in addition helped improve hearty incorporation and multinational interpretation and cause of diverse cultures. This allows affect agencies to expand grade markets. Moreover, also in this unstable business environment, take in agencies that wish to succeed bring to be accepting of change. They need to be able to not only impact but also surpass the threats and opportunities acted to them by their competitors. Numerous investigatees have been carried step to the fore to take up the relation between dollar volume g oal and occupation satisfaction. However, little interest is prone to endure agencies, although they make up an important part of the tourism industry. When derangement heading occurs among service occupations such as those of the move industry, there is not only a negative impact on the prudence and firms but also on the service and products quality, hence this may show a negative result in client satisfaction. This research discusses how run short agencies need to charge on employee management and retention. The main contend being assessed is focused on high staff employee overturn aspiration among employees in last agencies.1.3 Research Objectives 1) The agents that run turnover intent among newcomers in travel agencies. 2) To go forth recommendation that could prevent or at least reduce this issue.1.4 Purpose of study According to Kennedy and Berger (1994), turnover rate is primarily at its highest among those employees who argon newcomers in the comp whate ver, and occurs within the duration of the first four weeks on the capriole. Therefore, the first objective is to identify factors that influence turnover intent among newcomers in travel agencies. However, every bother also ordinarily has a solution or at least if there is no limited solution, there are various methods that advise be applied to control the problem. Hence, arrangement the methods that washbasin either solve or control turnover intent is the second objective of this research.2.0 Literature Review Employee turnover is deliberated as an obstacle to attaining high levels of productivity and efficacy in business contrasts or operations (Deery & Shaw, 1997), especially in the travel industry, where the relationship among employees and customers is crucial. A high employee turnover rate is a major factor that reflects a decrease in customer satisfaction this in turn impacts a loss in repeat customers and character of being a good business. foregoing researches s tate that the more work sire an individual has, the less(prenominal)(prenominal) likely they are to leave (Boles et al., 1995). It was also said that hiring individuals who have experience within the travel industry could reduce turnover intent among travel agencies.2.1 Defining bank line turnover intent Turnover can be delineate as the decision to withdraw from catamenia product lines by taking part in a series of psychological move (Mobley, 1977) Evaluation of trouble Experienced argument dissatisfaction Thinking of quitting Evaluation of expected emolument search and cost of quitting Interaction to search for alternatives Search for alternatives Evaluation of alternatives Comparison of alternatives vs. present job Intention to quit/ pinch Quit/Stay2.2 Factors influencing job turnover intent There are a bet of factors that have been associated with turnover intent in studies that have been conducted in the past. However, most researches have mainly focused on personal d ifferences, age, preparation, familiarity, income, gender, and job level to have a few determinants that have been identify to influence job satisfaction (Fournet et al., 1996). Researchers opine that age, tenure, job level, and income are associated with job satisfaction (Herzberg et al., 1957). Mei-Chih et al. (2007) showed there is a relationship between job satisfaction and age. According to De Vaney and subgenus Chen (2003) age has an effect on job satisfaction. Results from several studies indicate that there is a relationship between sex and job satisfaction (Bilgic, 1998 Lumpkin & Tudor, 1990 Goh & Koh, 1991 and Oshagbemi, 2000). Some studies conducted by Lumkin & Tudor (1990) and Stedham & Yamamura (2003) showed that female managers are given less pay and are hence, surely less satisfied with their compensation, promotions, and overall work satisfaction.Studies establish that job occupancy has been determined as a factor related to job satisfaction (Herzberg et al, 195 7 Lee & Wilbur, 1985 Schuh, 1967). Sokoya (2000) instituted that there is a major difference between job occupancy and job satisfaction. Raymond and Elizabeth (1985) demonstrated that job occupancy has impact on job satisfaction. Cotton & Tuttle (1986) focused their theory on the supplements of turnover and then into their factors (1) external correlates (2) geomorphological or work-related factors (3) personal characteristics of employees. In a different, more recent study conducted by Griffith et al. (2000), gave a more comprehensive exposition ab place antecedents of turnover. These antecedents were classified into four groups, these complicate 1) Demographic predictors2) Job satisfaction, organization factors, work environment factors 3) Job content, external environment factors 4) Other behavioral predictors3.0 Methodology The research conducted for this study is qualitative, using the probability method for selection of candidates. The primary method was interviews conducte d snap on focusing on the factors that influence turnover intent among employees. Whereas, the interviews helped grasp knowledge as to why employers/managers think turnover intent occurs and what sort of precautionary measures can be implemented to control or better reduce turnover intent. then(prenominal) secondary knowledge was hited on previous studies regarding the said(prenominal) issue i.e. turnover intent among employees in travel agencies. This information was found through books, journals, and reliable websites.3.1 Interviews proficiency The subject area was conducted amongst employees of five different travel agencies. The employees were selected at random to avoid any biasness. The interviews on the other hand, were conducted amongst people at the top of the food-chain in the tourism and travel industry in Malaysia. Interviewees were selected at random to gain perspective from various individuals regarding the same issue.3.3 SIZE OF SAMPLE As mentioned previously, t he vignette was conducted among employees from five different travel agencies in Malaysia. Within each of these travel agencies, 7 employees from any department were selected to fill out the survey at random. The total number of survey samples analysed were 30, although the total number of survey forms distributed personally were 35. The reason was that every respondent may not fill in the form completely and correctly and therefore, out of 35 surveys 30 properly filled out surveys were carefully examined to ensure validity of results. The survey was also made available online on surveymonkey.com to gather results in a convenient and steadfast method. This information gave insight for the thoughts of employees from different regions and states in Malaysia. The interviews were conducted with five individuals who are managers or chief executive officers at the five travel agencies from where the employees were surveyed.3.4 SAMPLING PROCEDURE There are different methods of distrib uting the surveys by post, e-mail, or personally. For this position research the surveys were distributed personally and also conducted online to clear results from travel agencies that are out of reach. in like manner a higher number of responses increased the accuracy of results.4.0 Findings and Discussion5.0 Recommendations So galore(postnominal) questions arise as to what factors cause turnover intentions among employees in travel agencies, one of the questions is Could the problem possibly root from the tourism education and training itself? Since, the operations of travel agencies are not very precise and decent (i.e. there is no exact use to be followed in jobs of those working in travel agencies), it may be practical that students who graduate with a diploma/ storey in tourism related studies are not well-prepared to deal with globalization and the personal effects it has on the tourism industry. Therefore, training and evolution has an important impact on the develo pment of skilled professionals prepared for the business operations taking part in travel agencies on a daily basis.