IDEAS home Printed from https://ideas.repec.org/a/pal/jorsoc/v62y2011i4d10.1057_jors.2010.17.html
   My bibliography  Save this article

Reducing workforce turnover in Asian factories using a mixed-mode modelling approach

Author

Listed:
  • J A Eady

    (RMIT University)

  • M G Nicholls

    (RMIT University)

Abstract

While many studies have been conducted into labour productivity in Western countries, similar analysis is just beginning in their Asian counterparts. In this paper, the problem of workforce turnover is examined in the context of three case study companies (two Chinese and one Singaporean), all being outsource suppliers of manufactured products with relatively similar cultural and environmental influences. The cost of turnover is examined through a simple costing model that includes the indirect effects of lower-output rate and increased scrap because of worker inexperience, as well as the well-recognised direct costs. In addition, the model used extends the costing analysis by recognising the multiplier impact on the value-added lost by this inexperience. Having established the significance of the cost of workforce turnover on the performance of the companies studied, company data were utilised to undertake an analysis of the causes of the turnover to be undertaken, bearing in mind the existing findings reported in Western case studies. While the core reasons for the workforce turnover in the factories studied are consistent with findings elsewhere in the world, the weightings of individual contributing factors vary. This understanding provides the foundations for the development of proactive programs to reduce the incidence of labour turnover in the Asian context, thereby leading to considerable cost savings and other competitive benefits.

Suggested Citation

  • J A Eady & M G Nicholls, 2011. "Reducing workforce turnover in Asian factories using a mixed-mode modelling approach," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 62(4), pages 651-661, April.
  • Handle: RePEc:pal:jorsoc:v:62:y:2011:i:4:d:10.1057_jors.2010.17
    DOI: 10.1057/jors.2010.17
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1057/jors.2010.17
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1057/jors.2010.17?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Tuomas Sandholm & David Levine & Michael Concordia & Paul Martyn & Rick Hughes & Jim Jacobs & Dennis Begg, 2006. "Changing the Game in Strategic Sourcing at Procter & Gamble: Expressive Competition Enabled by Optimization," Interfaces, INFORMS, vol. 36(1), pages 55-68, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Huo, Baofeng & Gu, Minhao & Jiang, Bin, 2018. "China-related POM research: Literature review and suggestions for future research," International Journal of Production Economics, Elsevier, vol. 203(C), pages 134-153.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sang Won Kim & Marcelo Olivares & Gabriel Y. Weintraub, 2014. "Measuring the Performance of Large-Scale Combinatorial Auctions: A Structural Estimation Approach," Management Science, INFORMS, vol. 60(5), pages 1180-1201, May.
    2. Kursad Derinkuyu & Fehmi Tanrisever & Nermin Kurt & Gokhan Ceyhan, 2020. "Optimizing Day-Ahead Electricity Market Prices: Increasing the Total Surplus for Energy Exchange Istanbul," Manufacturing & Service Operations Management, INFORMS, vol. 22(4), pages 700-716, July.
    3. Ronald M. Harstad & Aleksandar Saša Pekeč, 2008. "Relevance to Practice and Auction Theory: A Memorial Essay for Michael Rothkopf," Interfaces, INFORMS, vol. 38(5), pages 367-380, October.
    4. Jeffrey D. Camm & Jeremy Christman & A. Narayanan, 2022. "Total Unduplicated Reach and Frequency Optimization at Procter & Gamble," Interfaces, INFORMS, vol. 52(2), pages 149-157, March.
    5. Dries R. Goossens & Sander Onderstal & Jan Pijnacker & Frits C. R. Spieksma, 2014. "Solids: A Combinatorial Auction for Real Estate," Interfaces, INFORMS, vol. 44(4), pages 351-363, August.
    6. Muñoz, Juan Carlos & Molina, Diego, 2009. "A multi-unit tender award process: The case of Transantiago," European Journal of Operational Research, Elsevier, vol. 197(1), pages 307-311, August.
    7. Martin Bichler & Pasha Shabalin & Georg Ziegler, 2013. "Efficiency with Linear Prices? A Game-Theoretical and Computational Analysis of the Combinatorial Clock Auction," Information Systems Research, INFORMS, vol. 24(2), pages 394-417, June.
    8. Gülşah Karakaya & Murat Köksalan, 2016. "An interactive approach for Bi-attribute multi-item auctions," Annals of Operations Research, Springer, vol. 245(1), pages 97-119, October.
    9. Marcelo Olivares & Gabriel Y. Weintraub & Rafael Epstein & Daniel Yung, 2012. "Combinatorial Auctions for Procurement: An Empirical Study of the Chilean School Meals Auction," Management Science, INFORMS, vol. 58(8), pages 1458-1481, August.
    10. Ignacio Palacios-Huerta & David C. Parkes & Richard Steinberg, 2024. "Combinatorial Auctions in Practice," Journal of Economic Literature, American Economic Association, vol. 62(2), pages 517-553, June.
    11. Sandy D. Jap & Prasad A. Naik, 2008. "BidAnalyzer: A Method for Estimation and Selection of Dynamic Bidding Models," Marketing Science, INFORMS, vol. 27(6), pages 949-960, 11-12.
    12. Michael H. Rothkopf, 2007. "Decision Analysis: The Right Tool for Auctions," Decision Analysis, INFORMS, vol. 4(3), pages 167-172, September.
    13. Sudip Gupta, 2021. "Strategic Overbidding in Dynamic Auctions: Structural Estimation of Value of Synergy," Production and Operations Management, Production and Operations Management Society, vol. 30(2), pages 584-605, February.
    14. Lafkihi, Mariam & Pan, Shenle & Ballot, Eric, 2019. "Freight transportation service procurement: A literature review and future research opportunities in omnichannel E-commerce," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 125(C), pages 348-365.
    15. María Teresa Mendoza Rivadeneira & Norman Cevallos Polanco, 2016. "El abastecimiento estratégico y su aplicación en las empresas," Revista Saber, Ciencia y Libertad, Universidad Libre - Sede Cartagena, vol. 11(1), pages 129-140, January.
    16. Chen, Yan & Takeuchi, Kan, 2010. "Multi-object auctions with package bidding: An experimental comparison of Vickrey and iBEA," Games and Economic Behavior, Elsevier, vol. 68(2), pages 557-579, March.
    17. Gürlera, Ülkü & Öztop, Salih & Sen, Alper, 2009. "Optimal bundle formation and pricing of two products with limited stock," International Journal of Production Economics, Elsevier, vol. 118(2), pages 442-462, April.
    18. Yue, Jinfeng & Xia, Yu & Tran, Thuhang, 2010. "Selecting sourcing partners for a make-to-order supply chain," Omega, Elsevier, vol. 38(3-4), pages 136-144, June.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:jorsoc:v:62:y:2011:i:4:d:10.1057_jors.2010.17. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave-journals.com/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.