The affect of in circle group on turnover intention in Saudi Arabia Research Proposal - 1

The affect of in circle group on turnover intention in Saudi Arabia Business - Research Proposal Example The private sector therefore needs to evolve effective mechanisms of reducing high turnover of Saudi nationals by exploiting the various perspectives of guanxi, the Chinese relationship-building phenomenon within the LMX approach. Globalization has significantly changed the dynamics of social structure and provided businesses with socio-cultural diversity that is indeed diverse in its application of ideas, ideologies and competencies across people coming from different race, culture, color and nationality. As such the role of HRM is crucial in creating a diverse workforce whose competencies are judiciously exploited for increasing organizational productivity (Gillham, Wood & Somerville, 2007). In the transforming societal norms, the managerial leadership has emerged as vital issue that significantly influences the employees’ turnover and performance. As such, investigating the role of leadership in predicting employees’ behavior and workplace commitment becomes an important issue for studying its impact on employees’ turnover (Gilly et al., 2009). The research would therefore investigate the impact of in-circle group on employees’ turnover using guanxi as independent variable in LM X approach within the industries/ business of the private sector in Saudi Arabia. In the current environment of highly volatile market conditions and rapid globalization, the organizational change is unavoidable and necessitates changes in the organizational structure, policies and operations (Kotter & Schlesinger, 2008; Hodgson, 2009). The workforce becomes critical ingredient in the organizational change processes as they are the key facilitators for implementing these changes for higher performance outcome (George & Jones, 2005). The on-going relationship between the managerial leadership and the workforce becomes the major stimulant of mutual exchange that encourages workers to adopt changes to meet new challenges (Lee, 2008). Consequently, the role