| || |
Employee Retention of Interplay Entertainment -
April 12th, 2011
Interplay Entertainment Corporation (NASDAQ: IPLY) is an American video game publisher and developer.
The company was founded in October 1983 as Interplay Productions in Southern California with Brian Fargo as CEO. The first employees were the programmers Jay Patel, Troy Worrell, and Bill Heineman who had previously worked with Fargo at a small video game developer called Boone Corporation.
The first projects were non-original and consisted of software conversions and even some military work for Loral Corporation.
After negotiations with Activision, Interplay entered a $100,000 contract to produce three illustrated text adventures for them. Published in 1984, Mindshadow, is loosely based on Robert Ludlum's Bourne Identity, and The Tracer Sanction puts the player in the role of an interplanetary secret agent. Borrowed Time which features a script by Arnie Katz' Subway Software followed in 1985. These adventures built upon work previously done by Fargo: His first game was the 1981 published Demon's Forge. Interplay's parser was developed by Fargo and an associate and in one version understands about 250 nouns and 200 verbs as well as prepositions and indirect objects. In 1986 Tass Times in Tonetown followed.
Abstract In this continuously changing contemporary economy, companies have to
be able to anticipate technological innovations and to compete with other companies
worldwide. This need makes important a company’s ability to evolve through its
employees’ learning and through continuous development. Securing and retaining
skilled employees plays an important role in this process, because employees’
knowledge and skills are central to companies’ ability to be economically
competitive. Given that employee retention is very important for the functioning
and competitiveness of a company, this study focuses on the organisational and
personal factors that influence employee retention. A special interest is taken in
employees’ learning, because this is seen as a retention supporting activity. A
questionnaire was administered to 349 employees, and 11 employees were
interviewed. The interviews are used to illustrate and contextualise the quantitative
results. The results show a large positive contribution of appreciation and stimulation
of the employee to employee retention. This result is consistent with findings of
earlier research. However, the retention benefits arising from personal development
offer new possibilities when attempting to enhance employee retention. This study
also showed that individual differences influence employee retention. Leadership
skills and seniority have a positive relationship with employee retention and the level
of readiness and initiative regarding learning are negatively related to retention.
Employee Development and Retention
The contemporary global economic environment has changed drastically and continues to
do so. Social developments such as continuing globalisation, technological innovation,
and growing global competition place pressure on companies and emphasise their need to
maintain their competitive edge (Burke and Ng 2006), at least in part through maintaining
the skills of their employees. Companies have to be able to anticipate technological
innovation and be able to compete with other companies worldwide. This need makes
important a company’s ability to evolve through the continuous learning and
development of the employees. Having and retaining skilled employees plays an
important role in this process, because employees’ knowledge and skills have become
the key for companies to be economically competitive (Hiltrop 1999). Therefore, it is
important that employers give employees the opportunity to develop and learn (Arnold
2005; Bernsen et al. 2009; Herman 2005) such that the workers maintain their capacities
as effective employees, resist redundancy, and are retained by their companies. Beyond
these economic pressures, companies also face some disturbing demographic changes.
The average age of employees in Western countries is increasing constantly. In addition,
the workers of the so called baby boom generation are gradually retiring (Burke and Ng
2006; Frank et al. 2004). With the retirement of this generation is a significant loss of
skills and other capacities which are not being easily replaced by simply hiring new
employees. The ending of the careers of the baby boom generation means that
companies lose competence (i.e. knowledge, and skills), all of which are essential in the
current economic environment in which companies have to compete (Hiltrop 1999).
Companies expect that the proportional rise in the ageing population will lead to a
global competition for the ‘best’ employees. This ‘competition’ will be the most intense
in the search for Chief Executive Officers (CEO) (Conner 2000; Harvey and Richey
2001). CEOs are considered by some to be the most important assets of a company.
The fact that the majority of the current CEOs belong to the baby boom generation
means that a shortage in the near future is highly likely. Companies with policies that
are future oriented and strategic might be aware of this problem and can take action to
address it. For instance, they may develop practices to identify, select, develop, and
retain promising employees in order to ensure the presence of necessary skilled
workers who can secure the quality and quantity of the goods or services they provide,
and who can maintain their competitive advantage. These companies may also focus
on employees with high potential who might have the ability to take on a higher
(executive) function in the future (Dries and Pepermans 2008; Pepermans et al. 2003).
The increasing global competition for the ‘best’ employees brought about by the
shortfall in new workforce entrants in many advanced industrial economies makes
essential companies’ ability to ensure that their employees will keep on working for them
in order to maintain their competitive advantage. However, a large, and perhaps growing,
number of employees nowadays do not want a traditional career within one company
(Burke and Ng 2006). Consequently, they are less loyal and more opportunistic than
workers in the past (Burke and Ng 2006; Hiltrop 1999). According to numbers provided
by SDWorx, a large Belgian human resource and payroll company, in 2007 there was an
employee turnover rate of approximately 17.46% in Belgium. For employees younger
than 25 years, the employee turnover rate was 39% (SD Worx 2008). This statistic
illustrates the fact that the employees of the ‘new’ generation at work do not have/want a
E. Kyndt et al.
traditional career within the same company to the same extent as their older colleagues,
and possibly have a greater choice in pursuing careers across companies. It follows that
companies now have to make increasing efforts to retain their skilled employees. Losing
such employees means a loss of investment in that employee and that a new employee
has to be recruited and trained. Moreover, when skilled employees leave a company,
they can take a lot of know-how with them, and thus the company is at risk of losing
confidential information to competitors (Frank et al. 2004; Walker 2001).
The Technology, Media and Telecommunications (TMT) practice at Deloitte today released its TMT Predictions India 2011 report. Deloitte believes that 2011 will see a beginning of active participation between telecom service providers and various industries such as information technology, media, banking, healthcare and education in reaching rural areas in India and offering services which would empower them.
With the teledensity in India reaching over 128 per cent in the urban markets, the telecom industry now has its eyes set on the rural market which holds a great potential with a teledensity of less than 26 per cent. “With most of the population living in villages in India, there is huge opportunity for TMT sector bring services such as healthcare, education, entertainment, banking and finance to the rural doorsteps,” said Jolyon Barker, Global Leader, TMT, Deloitte.
Click here to visit SME Buzz
- Franklin Templeton launches Family Solutions in India
- eCommerce sites urged to clean up content before Google's 'Panda' goes global
- UTI MF declares dividend under UTI-CRTS
- RCom ushers in next-generation mobile Internet services with Cisco
- The ICSI signs MOU with United Stock Exchange of India
- VisitBritain and Virgin Atlantic announce 'Where in Britain?' campaign
Now in its 10th year, Deloitte’s TMT Predictions are a highly anticipated annual series of global insights that showcase the emerging TMT trends that will significantly impact businesses and consumers in the coming year and beyond. The 2011 Indian TMT Predictions are based on research, in-depth interviews and input from Deloitte clients and alumni, industry analysts, leading global TMT executives. Some of the most significant TMT trends that will impact India in 2011 are:
India has been at the forefront in leveraging technology to deliver governance and the thrust of both the government and corporates in areas of technology-enabled citizen services will continue to be the key. “The variety of programmes around the National eGovernance Plan (Mission Mode Projects) and the funding from donor agencies in this region will be key in taking this forward,” said a Deloitte Spokesperson.
In 2011, more than 50 percent of computing devices sold globally will be smartphones, tablets and non-PC netbooks, breaking the PC’s decades-long market dominance. In India, 80 per cent of the smartphone market is still untapped. There will be two main factors that will decide how soon the smartphones proliferate: price of the handset and cost of data usage.
Total IT-BPO industry is expected to reach US$ 71.7 billion, accounting for 5.8 per cent of India’s GDP. Software and Services export revenues are estimated to grow over 16-17 per cent to reach US$ 47 billion. Direct employment generated by the sector is expected to reach nearly 2.23 million, an addition of 226,000 employees, while indirect job creation estimated at 8 million.
Technology has played a key role in influencing the entertainment industry, by redefining its products, cost structure and distribution. The Indian animation industry is expected to grow at 20 percent to reach US$ 253 million by 2013 from the current US$ 122 million. The advertisement spends on TV are expected to grow at around 12-14 per cent and the medium will be preferred to other media, what with satellite and cable television making deeper inroads in semi-urban and rural markets. “Newer technologies like LCDs and High-definition TVs are maturing, but 3D television will take time to take off in India, with content and quality issues yet to be addressed by service providers,” said a Deloitte Spokesperson.
Traditional print media in India is still playing steady, and is determined to reserve the second spot after TV. The horizontal expansion of the newspapers will continue to grow in 2011 by way of additional supplements to the dailies in the form of pull-outs on finance, health, real estate, entertainment, etc. The estimated size of the India radio industry is expected to reach US$ 360 million by the end of 2014. The story of social networks’ growth will continue to be written in 2011 and for few more years to come, in the same tone that it has been over-written in the past few years. The advertisement business on social networking sites will forever involve the concept of innovation.
Last edited by pratikkk; April 12th, 2011 at 07:10 PM..