Club Med

By
Group A8

Current Problems
High turnover of American GOs
Complex village assignment task due to turnover
Rotation of six months not taken well by some

employees
Recruitment problems Discrimination laws in US
hamper quick screening of resumes
Friction between the European and American GOs
Newly promoted American Chiefs of Service
assigned to foreign locations

Pros and Cons of high turnover

Pros
Involuntary turnover like layoffs and downsizing

help during recession

Cons
Lowers morale of existing employees
Influences others to follow suit
Problems in finding immediate replacements
Gives across a negative signal to the
employees

Quantifiable and NonQuantifiable Costs of

Turnover

Quantifiable
Direct costs
Logistical costs

Non-Quantifiable
Loss of customer satisfaction during the

transition periods
Time taken to re-group with new members

Benefits and Drawbacks of HRM

practices
Benefits
Buffer hires recruited to act as mid-season

replacements for GOs who quit or get fired in the

middle of a season
On the job training gives a hands on experience
Discussion with Chiefs of Service on the team
composition

Drawbacks
Buffer hires get their joining 4-6 months after they

are recruited
People dont know what they would be doing for

Reasons for rotation

Advantages

Break the routine

Motivator for the young GOs - travel the

world
Employees get accustomed to different
cultures
Learn to adapt
Disadvantages
Building a team is difficult due to constant
changes
Logistics costs involved

Thank you