Unlocking VRS Impact: A Triangular Analysis Plan of Profitability, HR Optimization, and Employee Wellbeing

Ravindra Yadav¹

Section:Research Paper, Product Type: Journal-Paper
Vol.1 , Issue.2 , pp.1-7, Dec-2013

Online published on Dec 31, 2013

Copyright © Ravindra Yadav . This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
 

View this paper at   Google Scholar | DPI Digital Library

XML View     PDF Download

How to Cite this Paper

Abstract :
This study presents the roadmap or plan in three vertex (Analysis Triangle) plans to investigate the effects of Voluntary Retirement Schemes (VRS) on Human Resource Management (HRM) parameters and optimization in nationalized banks, focusing on the State Bank of India (SBIN). A mixed-methods approach combines quantitative and qualitative analysis to examine the relationships between VRS and HR optimization metrics. The findings provide valuable insights for HR practitioners and policymakers. In other words, our triangular analysis framework to evaluate the impact of Voluntary Retirement Schemes (VRS) across three critical vertices: profitability, HR optimisation, and employee well-being, with a focus on nationalized banks, particularly the State Bank of India (SBI). Utilizing a mixed-methods approach, the study integrates quantitative techniques like paired sample t-tests and regression analysis with qualitative methodologies including thematic analysis and focus groups. The analysis investigates pre- and post-VRS scenarios to discern correlations and causations. The proposed plan addresses the psychological, financial, and organizational outcomes of VRS, aiming to provide a holistic view of its implications. This framework offers practical insights for HR practitioners, policymakers, and researchers to balance organizational efficiency with employee welfare effectively.

Key-Words / Index Term :
Voluntary Retirement Schemes (VRS) , Human Resource Management (HRM) Nationalized Banks, Analysis Triangle

References :
[1] Appelbaum, S. H., Delage, C., Labib, N., & Gault, G. The survivor syndrome: Aftermath of downsizing. Career Development International, 2(6), pp.278–286, 1997.
[2] Armstrong-Stassen, M. Downsizing the federal government: A longitudinal study of managers` reactions. Revue Canadienne des Sciences Administratives, 15(3), pp.312–323, 1998.
[3] Ballabh, J. Unleashing employee productivity: Need for a paradigm shift. IBA Bulletin, pp.7–9, 2002.
[4] Bedian, A. G., & Armenakis, A. A. The cesspool syndrome: How dreck floats to the top of declining organizations. The Academy of Management Executive, 12(1), pp.58–67, 1998.
[5] Bhattacharya, B. P. Post VRS scenario human resource development: Role of training. IBA Bulletin, pp.96–102, 2002.
[6] Bruton, G. D., Keels, J. K., & Shook, C. L. Downsizing the firm: Answering the strategic questions. The Academy of Management Executive, 10(2), pp.38–43, 1996.
[7] Bowman, E. H., & Singh, H. Corporate restructuring, organizational change, and market reactions. Strategic Management Journal, 14(Special Issue), pp.5–14, 1993.
[8] Budros, A. A conceptual framework for analyzing why organizations downsize. Organization Science, 10(1), pp.69–84, 1999.
[9] Cameron, K. S. Strategies for successful organizational downsizing. Human Resource Management, 33(2), pp.189–211, 1994.
[10] Cameron, K. S., Freeman, S. J., & Mishra, A. K. Best practices in white-collar downsizing: Managing contradictions. Academy of Management Executive, 5(3), pp.57–73, 1991.
[11] Cascio, W. F., Young, C. E., & Morris, J. R. Financial consequences of employment-change decisions in major U.S. corporations. Academy of Management Journal, 40(5), pp.1175–1189, 1997.
[12] Cascio, W. F. Downsizing: What do we know? What have we learned? The Academy of Management Executive, 7(1), pp.95–104, 1993.
[13] Chatterji, L., & Bhattacharya, S. Implementation of downsizing: Issues and consequences. Management Review, 13(2), pp.21–29, 2001.
[14] Davidson, N., Wallace, D. L., Worrell, D. L., & Fox, J. B. (1996). Early retirement programs and firm performance. Academy of Management Journal, 39(4), 970–984.
[15] De Meuse, K. P., Vanderheiden, D., & Bergmann, T. (1994). Announced layoffs: Their effect on corporate financial performance. Human Resource Management Journal, 33(4), 509–530.
[16] Dewitt, R. L. (1998). Firm, industry, and strategy influences on choice of downsizing approaches. Strategic Management Journal, 19(1), 59–79.
[17] Dewitt, R. L., Harrigan, K. R., & Newman, W. H. (1998). Downsizing strategically in foster. In L. A. W. (Ed.), Advances in Applied Business Strategy (Vol. 5, pp. 21–36). JAI Press.
[18] Enshoff, J. R. (1994). How to increase employee loyalty while you downsize. Business Horizons, 37(2), 49–57.
[19] Floyd, S. W., & Wooldridge, B. Dinosaurs or dynamos? Recognizing middle management`s strategic role. The Academy of Management Executive, 8(4), pp.47–54, 1994.
[20] Frost, P., & Robinson, S. The toxic handler: Organization hero and casualty. Harvard Business Review, 77(4), 1999.
[21] Freeman, S. J. The gestalt of organizational downsizing: Downsizing strategies as a package of change. Human Relations, 52(12), pp.1504–1541, 1999.
[22] Gandolfi, F. How do organizations implement downsizing? An Australian and New Zealand study. Contemporary Management Research, 1(1), pp.57–68, 2005.
[23] Ghosh, R. N. The globalization process and economic liberalization in India: Lessons from classical economics, 1999. Department of Economics, The University of Western Australia.
[24] Goyal, S. K. Privatization in India. Asian Development Bank, 2001.
[25] Yadav, R., & Singh, M. VRS impact on productivity and profitability of public sector banks – A comparative study of State Bank of India and State Bank of Indore pre and post VRS. Review of Business and Technology Research, 4(1), 1–9, 2011. https://doi.org/10.1016/j.rbt.2011.07.001
[26] Yadav, R. Retirement strategies in banks (Road map for future success using retrenchment strategy). Proceedings of the National Conference at Manipal, May pp.27–29, 2007.
[27] Vyas, R. K., Singh, M., & Yadav, R. The impact of capital adequacy requirement on performance of scheduled commercial banks. Asia Pacific Business Review, 4(2), pp.74–81, 2008.
[28] Yadav, R., & Vyas, R. K. Critical appraisal of voluntary retirement scheme (VRS) in public sector banks (with special reference to State Bank of Indore) (Ph.D. thesis). Devi Ahilya University Indore, 2012.