Exit interviews are extremely important for any organization as these provide a great opportunity to the employees that they can discuss the reason behind leaving the job. This allows the business organization to analyze and significantly improve the staff retention strategies and policies. Thus, the exit interviews are an important organizational effectiveness and employee retention tool. The idea behind conducting exit interviews is to understand the experiences and perceptions of an employee and to get valuable feedback with respect to work environment and organization. A well designed exit interview can significantly help to reduce employee turnover and also enhance employee commitment and satisfaction. The exit interviews must be relaxed, positive and make certain that the employee leaves the job on a positive note. In few cases, the employee might also decide to come back to your organization at some point of time in their professional career. There are different ways in which an exit interview can be conducted successfully. This can be conducted through a questionnaire, by telephone or through a formal meeting. However, it is quite important to keep the interviews anonymous so that they can fetch you measurable and accurate responses. The exit interviews provide a great opportunity to get feedback about any flaws in your organization while concentrating on enhancing the ability of the organization to retain efficient and sincere employees. The exit interviews must be conducted for each exiting employee, irrespective of his potion in the business organization. Exit interviews are the key to improvement, as hardly ever, you will get such frank and honest feedback from the employees. These exit interviews show that you are actually willing to work on the suggestion of the employees. Thus, exit interviews are quite a great source of valuable information for development of the organization. With the information received, you can boost morale of the employees, enhance operational efficiency, and eventually create a very profitable organization.