Consumer Value Stores (CVS) Pharmacy amounts to the second enormous pharmacy chain, particularly in the United States (Mitka, 2010). Walgreens leads the subject of pharmacy chain in the underlying state. The company encountered its establishment in 1963. Brothers Stanley and Sidney Goldstein, as well as business partner Ralph Hoagland, founded the company in Lowell, Massachusetts. Nevertheless, in the year 1984, the company became the fifteenth largest pharmacy chain especially in the United States with 408 stores. Additionally, the company acquired sales of an equivalent value of $414 million (Mitka, 2010). CVS Pharmacy bears not less than 7,800 retail pharmacies besides being the second largest pharmacy in the United States founded on aggregate prescription revenue. The expansion further entails the company’s possession of more than nine hundred walk-in medical clinics, which implies an increase in specialty pharmacy services. The company further had 200,000 employees in forty-six states, the District of Puerto Rico and Columbia; they have become a paramount provider for pharmacy health care services in the United States. The primary goal in CVS Pharmacy entails the provision of outstanding services as well as values to the company’s customers. The company further aims at meeting the consumers’ healthcare stipulations besides making their aggregate shopping familiarity the easiest manner possible (Schroeder & Goldstein, 2011). The organization further focuses on having the products that optimally satisfy the needs of the underlying prospect consumers. The entity further realizes that operating cooperatively with suppliers, who allocate their values, including their agreement to offer outstanding service, and the entity’s commitment to the enormous protocols of integrity, aid in making the company’s objective a reality.
As a 3rd year medical student, I commenced working for CVS Pharmacy as a part-time registered pharmacy technician. Additionally, I encountered a promotion (within a year) to being the leading practitioner as well as pharmacy trainer and operated on a full-time basis for two more years. My obligations entailed training technicians, making the prevalent schedule, as well as managing the inventory. Once I acquired the distinctive title as the lead technician regarding the largest CVS Pharmacy in the East Coast, I noted one challenge: high employee turnover. So why that CVS Pharmacy ranks high in the most familiar pharmacies; however, their ranking is relatively small in employee satisfaction? While operating at CVS Pharmacy, I realized that the organization bears the largest population of pharmacists and is in a rapid mode of growth. Nonetheless, store managers in the region were leaving every three to six months. One aspect I have learned regarding CVS employees is that they seem to be dissatisfied. The underlying reason is further to be explored. Working retail, I have learned that it is all regarding “the numbers”. The company’s focus is not on employee satisfaction. It is almost like “If you cannot cope with the extra workload, we will get another person who is able.” I, therefore, believe that the culture of numbers is to blame for the CVS stores’ employee dissatisfaction. The high turnover rate results in persistent upheaval within CVS stores and continuously having inexperienced and untrained management in every shop, finally resulting in productivity decrease.Problem Statement
Employee turnover refers to the movement of persons in and out of the prevailing employment within a particular company (Miner, 2011). At CVS Pharmacy, the East Coast region has encountered satisfactory management turnover to a certain degree such that 40 percent of store and departmental managers suffer from inexperience. More precisely, such managers exhibit less than two annuals experience with the subject company (CVS Pharmacy). The question emerges that how can CVS Pharmacy increase the degree of job satisfaction, self-efficacy, besides satisfying the needs accruing to their management staff? In conjunction with that, this turnover amounts to a not only costly arena, as per productivity loss, but also in terms of the expenses that relate to the recruitment of a new manager. Nevertheless, the employee turnover has its cause from a significant range of factors such as self-efficacy, job satisfaction, as well as Maslow’s hierarchy of wants. At the current status, there lacks an aspect of onboarding or even formal persistent training program particularly for management at CVS Pharmacy. Lack of this program presupposes that the managers are entitled to struggle for themselves especially in learning the practical business as well as how to manage organizations successfully. Under these analogies, more frequently than not the prevailing managers are encountering failures due to incapability to perform or even lack of satisfaction as a result of small values regarding self-efficacy. This entire analogy elaborates the dominant organizational challenge that is inhibiting the prospect growth of CVS Pharmacy.
In conjunction with the challenge of the high rate of employee turnover, a multitude practical research has been executed primarily on the aspect of employee turnover and its correlation to training. Mitka (2010) conducted a study regarding an optimistic correlation between low turnover and high productivity and also training and high productivity. The author asserts that firms’ reluctance to train results in the realization of high turnover rates within their workforce. The author further justifies that several companies have faced an adverse correlation between turnover and training. This analogy implies that high degree of training implies realization of lower turnover rate. Glance applies several mathematical formulas to portray the relationship between employees and managers in distinct circumstances and settings. The primary finding is that the firms that train their staff were more productive. Furthermore, the author found that “organizational training has the potential of fostering spontaneous cooperation” (Mitka 2010, p. 94). In simple terms, training can create an environment in the organization where the staff wants to execute production at their optimum levels because they bear the feeling of valuation from the company. The cooperation further correlates to a reduced desire in leaving the company amongst its employees.
Nevertheless, Dardar (2011) researched the effect of training on job turnover. The research’s intention entailed quantification of the prevalence accruing to the contention that training has a positive correlation with low staff turnover as well as a higher degree of job satisfaction. Dardar acknowledges the essence of retaining employees as well as training’s positive influence on retention. The author further defines training and its merits to both the staff and company besides quantifying job turnover and its adverse impacts on firms. Finally, Dardar distinguishes voluntary turnover from involuntary turnover and the implications job satisfaction and training have on the turnovers. The elaborated relations entail job turnover and training, job satisfaction and training, as well as job turnover and job satisfaction. According to Dardar (2011), the research reports direct relation between job turnover and training. The author further realized a direct correlation between poor performance and lack of training, which results in a higher rate of turnover and a low level of job satisfaction. Dardar states “dissatisfied staff has a higher probability of leaving the firm than the satisfied ones” (Dardar 2011, p. 931).
Besides to that, Choi (2010) performed an experiment regarding programs of training management and their impacts on job satisfaction and employee turnover. Choi focuses on a case study that analyzes the repercussions on hotel employee turnover as well as satisfaction level. The study entailed a program that served to train managers regarding recruitment of workers, and active determination of strengths and weaknesses of new employees. Additionally, the training encompassed increased familiarity of managers and their challenges within their positions, and how to utilize appraisals so as to boost productivity. After installation of the training program, employee turnover statistics and exit survey statistics was gathered and analyzed. Consequently, the data portrayed an empirical decrease in the rate of employee turnover and an increase in job satisfaction levels after implementation of the strange training program. “The organization managed to reduce the annual employee turnover from 660 to 383 (2002-2003) hence a retention of about 40 percent of its employees by the year 2003.”
Furthermore, Pajo & Guenole (2010) evaluated the correlation between employee turnover and job satisfaction, in particular, Formal development Opportunities. The author highly focused on organizational support since it relates to organizational commitment, employee withdrawal, and job satisfaction. The study entailed the use of a questionnaire that addressed the relationship between affiliates’ enrollment in formal training codes and perceived organizational support. The findings assert that active employees bear less probability of leaving their boss and will hardly enroll in neglectful demeanor. Ultimately, the study argues a correspondence between formal training and higher perception of institutional support and hence greater job satisfaction as well as low employee turnover.
Besides to that, Babakus (2008) offered an elaborate study regarding the correlation between training and employee turnover. The study had its execution in the prevalent Turkish hotel industry. Emin Babakus evaluated the effects accruing to job demands, intrinsic motivation, and job resources on turnover intentions and emotional exhaustion. In conjunction with that, training encounters a unique perception as a job resource. The evaluation entails gauging employees’ access to the resource and its implications as well as measurement of its effect on employee turnover intentions. The author gathered satisfactory data from staff in the subject industry in Turkey (Ankara) and then analyzed the data using several statistical models. The finding asserted an adverse correlation between turnover intentions and job resources. Nonetheless, Babakus noted that the aspect of emotional exhaustion amounts to the mildest determinant regarding turnover intentions. The two aspects have a direct correlation. However, exert a satisfactory force on emotional exhaustion during the emotional exhaustion fairly affects employee turnover intentions. Ultimately, the author asserted that while managers bear the potential of screening for those exhibiting intrinsic motivations, it is further possible to establish motivation via increased job resources.
Nonetheless, Miner (2011) executes a study about the correlation between company’s competition, job satisfaction, turnover rate, and training program for managers. Colella conducted the study in the employees dominating the industry of fast foods in the United States. The author collected a diverse range of data from several companies regarding the rate of employee turnover and presence of practical managerial training programs. Miner found that the firms were bearing functional training programs realized optimum job satisfaction, low rate of employee turnover, and a sharp and developed competitive edge. On the other hand, Miner recognized the presence of high employee turnover and lower levels job satisfaction in the organizations that exposed their staff to the inadequate training program. Additionally, the author noted that such firms were less competitive in the subject industry of fast foods.
Universally, the above literature review reveals the prevalence of a direct correlation between effective training program, optimum job satisfaction, and low rate of employee turnover.
CVS Pharmacy has encountered an extremely high extent of turnover, especially at the managerial positions. This analogy is due to lack of an effective training program in the company’s operational strategy. Turnover is fundamentally a result of the fact that the staff has either inferior job satisfaction and hence seeks new opportunities or due to low self-efficacy within the rank. Additionally, self-efficacy amounts to a personal belief regarding the potential for completing a certain task successfully (Schermerhorn, 2010). Nevertheless, a training program increases the degree of self-efficacy directly within staff founded solely on granting