Strategic Human Resource Practices and Employee Retention: Case Study of Summit Recruitment & Search Africa

A set of vocabulary flashcards defining key business concepts, theories, and research methodology terms found in the study of strategic human resource practices at Summit Recruitment & Search Africa.

Employee Retention

The ability of an organization to maintain its workforce over a given period by creating favourable conditions that encourage employees to remain committed to their jobs and the organization.

Strategic Human Resource Practices

Planned and systematic activities designed to attract, develop, motivate, and retain employees in alignment with organizational goals to enhance employee performance and organizational effectiveness.

Recruitment and Selection Practices

The processes and procedures used by an organization to attract, identify, evaluate, and hire suitable candidates for available positions, ensuring a match between employee competencies and organizational requirements.

Training and Development Practices

Organizational activities designed to improve employees' knowledge, skills, competencies, and career growth opportunities to enhance both individual and organizational performance.

Compensation and Reward Practices

The financial and non-financial benefits provided by an organization to employees in recognition of their contributions and performance, including salaries, bonuses, and recognition programs.

Employee Relations

The quality of interactions and relationships between employees and management involving communication, participation in decision-making, conflict resolution, trust, fairness, and mutual respect.

Resource-Based View (RBV) Theory

A theory advanced by Barney (1991) arguing that organizations achieve sustainable competitive advantage through resources that are valuable, rare, inimitable, and non-substitutable, such as unique human capital.

Social Exchange Theory

A theory introduced by Homans (1958) and Blau (1964) explaining that relationships are built through reciprocal exchanges; employees respond to organizational support with commitment and loyalty.

Human Capital Theory

A theory developed by Schultz (1961) and Becker (1964) arguing that employees are assets whose knowledge, skills, and education contribute to organizational performance, necessitating investment in development.

Descriptive Research Design

A research framework used to collect quantitative data and describe the relationship between variables, such as SHRC and employee retention, without manipulating the study variables.

Census Sampling Technique

A method where every member of the target population is included in the study, chosen when the population is small to increase accuracy and eliminate sampling error.

Cronbach's Alpha Coefficient

A statistical measure used to assess the internal consistency or reliability of a research instrument, where a coefficient of $0.70$ or above is considered acceptable.

Likert Scale

A five-point psychometric scale used in questionnaires (ranging from Strongly Agree to Strongly Disagree) to measure the extent to which respondents agree with specific statements.

Replacement Costs

The financial expense of losing an employee, which the Society for Human Resource Management indicates may cost between $50\%$ and $200\%$ of the employee's annual salary.

Employee Turnover Rate

The frequency at which employees leave an organization; notably ranging between $15\%$ and $25\%$ annually for some private sector organizations in Kenya according to the FKE (2024).

Summit Recruitment & Search Africa

A leading recruitment and executive search firm in Kenya and the East African region that specializes in talent acquisition, executive search, and HR consultancy.

Multiple Linear Regression Model

A statistical model used to determine the effect of independent variables on the dependent variable, expressed as: $Y = \beta_0 + \beta_1 X_1 + \beta_2 X_2 + \beta_3 X_3 + \beta_4 X_4 + \epsilon$

Person-Job Fit

The compatibility between an individual's skills and the requirements of a specific role, which effective recruitment and selection practices aim to maximize to reduce turnover.

Reskilling Requirement

The percentage of the global workforce estimated by the World Economic Forum (2024) to require new skills within the next five years, specifically cited as $44\%$.