Case study on Company Benefits
luyued 发布于 2011-04-23 17:49 浏览 N 次Analysis on the strategy of Fuji Xerox High
Technology(Shenzhen) Co., Ltd
1. Introduction
Fuji Xerox High Technology (Shenzhen) Co., Ltd., one branch of Fuji Xerox ( China) Limited, was founded on June 2, 1995 with the registered capital of US$ 38 million. The total investment is US$ 59 million. The company manufactures laser printers, thermal printers, ink jet printers, optical electronic copiers, digital copiers, laser scanning devices, multifunctional (copying, faxing, printing & laser scanning all in one) and relative electronic components. 100% of its products are for export. So this company’s development has a great potential.
Fuji Xerox High Technology (Shenzhen) Co., Ltd. is a famous IT enterprise in China and it is also the biggest production base overseas. Its annual revenue is about 7 billion Yuan, of which the net profit reached 170 million yuan, ranking the 426th among the first 500 companies in China of 2006. Now there are about 5000 employees in the company, and the key employees are some IE engineers, electronic engineers and so on. However, the phenomenon of brain drain is more serious in recent years. From this company’s data, the general rate of employees’ flow is above 20%. According to statistics, the normal rate of personnel flow is below 15%.Such high rate has become a main factor holding back the company’s development.
Shenzhen is one of developed economic areas in China. In recent years, a number of IT enterprises have emerged in Shenzhen such as Huawei Technologies, Zhongxing Telecom, Great Wall and Tianma Microelectronics. Though all of them want to attract the talented people to work for their own companies, the talented people who work in IT field is very few. Therefore, the competition for finding talented people becomes more furious in Shenzhen. For Fuji Xerox High Technology (Shenzhen), because of inappropriate management, it have suffered huge brain drain. Besides, the situation of limited talents increases its difficulty to attract people to work for it.
There are several phenomena of brain drain. Firstly, the people of demission are most top-level managers or technicians. Since established, this company has 13 year-old history. During those years the employees who work in it have increased their working abilities and acquired a lot of professional knowledge. Some new companies would like to attract this kind of people to work for them. So the employees would leave this company, if new companies offer more favorable conditions than that in Fuji Xerox Company. Secondly, the people of demission usually work for two or three years in this company. On the one hand, after working in this company for two or three years, employees have abilities to find anther better job. On the other hand, employees deeply know about this company, so they will evaluate whether this company is good for their development. Then they will decide whether to leave this company or not. What’s more, the people of demission always leave this company after performance evaluation. When employees can not get year-end award after working hard for a year, they may feel frustrated. Because they may think that this company can not offer the conditions to realize their own value. There is no chance to raise their salaries or to be promoted.
I did a survey in order to find the real reasons why the talents want to leave this company and find the problems out in the strategies of keeping people.
In the research, I sent 100 questionnaires to the employees in this company. Then I got back a total of 86 replies. From this research, we knew that 68 people wanted to leave this company because of its salary and welfare, 54 people for culture problems, 40 people for personal development and prospect of company. That means salary and welfare were the more serious problem for who wanted to leave this company. From other point of view to show this issue, the number of people choosing for salary and welfare amounted to 79% of the total numbers. Following chart show the details about the main reasons for which the employees would like to leave this company.
The survey questions: What’s the main reason causes you to want to leave this company? (multiple choices)
Factor for leaving the company
The number of people
The rate of total number
payment and welfare
68
79%
company culture
54
62%
personal development
40
47%
prospect of company
40
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