Fostering Talent Stability: A Study on Evaluating the Influence of Competency Management on Employee Retention in the Automotive Industry

Abstract

Employee retention is a critical concern for organizations in the fast-paced and competitive automotive industry. Competency management, which involves identifying, assessing, and nurturing employees' skills and capabilities, has emerged as a strategic approach to enhance employee retention and drive organizational success. This research study aims to investigate the influence of competency management on employee retention in the automotive industry, seeking to understand its impact on talent stability and long-term organizational sustainability. The study adopts a mixed-methods research approach to gather comprehensive data from multiple sources. Primary data is collected through structured interviews and surveys conducted with employees and human resource managers across a diverse range of automotive companies. Additionally, secondary data is obtained from relevant industry reports and scholarly literature, providing a contextual backdrop for the analysis. The research assesses the competency management practices implemented within automotive organizations and their alignment with employee retention strategies. It explores various dimensions of competency management, including competency identification, mapping, development, and performance evaluation, to understand their direct and indirect effects on employee retention. Additionally, the study investigates the role of factors such as compensation, work-life balance, and organizational culture in shaping the relationship between competency management and employee retention. The findings of this study are expected to shed light on the crucial role played by competency management in talent stability within the automotive industry. By evaluating the impact of competency management practices on employee retention, this research aims to identify effective strategies that can enhance talent retention, leading to improved organizational performance, reduced turnover costs, and increased competitive advantage. The implications of this research extend beyond the automotive sector, offering valuable insights to HR professionals, managers, and policymakers across various industries. By understanding how competency management can positively influence employee retention, organizations can devise targeted interventions and policies to attract, develop, and retain high-potential talent. In conclusion, this research endeavours to contribute to the existing body of knowledge on talent management and employee retention in the automotive industry. It highlights the significance of competency management as a driving force behind talent stability and offers valuable recommendations for organizations seeking to optimize their human capital and maintain a competitive edge in the dynamic automotive landscape.