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1 UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business LE ANH TAI Factors affecting job satisfaction A comparison between state owned and non state owned enterprises in Viet Nam M[.]
1 UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business LE ANH TAI Factors affecting job satisfaction: A comparison between state-owned and non state-owned enterprises in Viet Nam MASTER OF BUSINESS (HONOURS) Ho Chi Minh – Year 2012 123doc UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business LE ANH TAI Factors affecting job satisfaction: A comparison between state-owned and non state-owned enterprises in Viet Nam ID: 60340102 MASTER OF BUSINESS (HONOURS) SUPERVISOR: Dr NGUYEN HUU LAM Ho Chi Minh City – Year 2012 123doc i ABTRACT The turn-over rate of Vietnamese companies has been so high recently, which causes many troubles for Vietnamese enterprises, such as recruitment and training However, the most factor causes high turn-over rate of Vietnamese companies is job dissatisfaction Therefore, this research is conducted to find out the most factors affecting job satisfaction in order to make a contribution into reducing turn-over rate of Vietnamese companies This research investigates employees working in state-owned and non-state-owned companies in Ho Chi Minh City The results demonstrate career prospect has the most contribution in job satisfaction and employees who are working in non-state-owned companies are more satisfied than ones in state-owned companies 123doc ii ACKNOWLEDGEMENTS I would like to express my obligation to my Supervisor, Dr Nguyen Huu Lam, for his supporting and inspiration Furthermore, I would like to show my thankful to Dr Nguyen Dinh Tho for his clear instruction during our study, which has a lot of useful methods and practical implications for our study and career Besides, I would like to thank to my friends in MBUS 2010 who had supported me a lot during my thesis implementation And an honorable mention goes to my family, my friends and my colleagues for understanding and helping me during my data collection as well as my thesis completion Ho Chi Minh City, Vietnam January 2nd, 2013 123doc iii TABLE OF CONTENTS ABTRACT i ACKNOWLEDGEMENTS ii CHAPTER INTRODUCTION .1 Background .1 Problem statement Research objective Research scope Practical implication Research structure .3 CHAPTER LITERATURE REVIEW Introduction .4 Job satisfaction Maslow's hierarchy of needs 4 Herzberg's Motivation-Hygiene Theory 5 McGregor's Theory X and Theory Y Incentive Employee satisfaction measurement .8 Hypotheses 15 Conceptual model 15 CHAPTER RESEARCH METHODOLOGY 17 Introduction .17 Research design .17 2.1 Research methods 17 2.2 Research process 18 Variable Coding 19 Data collection 22 CHAPTER RESEARCH RESULT 23 Introduction .23 123doc iv Statistics 23 2.1 Observation description 23 2.2 Variable description 24 Scale analysis 25 3.1 Reliability analysis (Cronbach alpha) 25 3.2 Validity analysis (factor analysis) 29 3.3 Adjusted Conceptual model .33 Analysis 34 4.1 Correlation analysis 34 4.2 Regression analysis 35 Discussions 39 5.1 Hypothesis testing 39 5.2 Analysis result discussions .41 CHAPTER CONCLUSION 43 Introduction .43 Conclusions on the research problem and hypotheses 43 Implications for human resource manager 43 Research contributions 44 Limitations 44 REFERENCES 45 BIBLIOGRAPHY .47 APPENDIX .48 Appendix 1: Vietnamese questionnaire 48 Appendix 2: English questionnaire 52 Appendix 3: Regression standardized residual and homoscedasticity 56 123doc v LIST OF TABLES Table 1: factors affecting job attitudes Table Job satisfaction measurement (OSI) 11 Table Job satisfaction instrument 14 Table Variable coding 21 Table 5: Demographic description 24 Table 6: Variable description 25 Table Cronbach Alpha 27 Table Cronbach Alpha adjustion 29 Table 9: factor analysis .31 Table 10 Data reduction 32 Table 11: Correlation analysis 34 Table 12 Multi linear regression analysis (1) 35 Table 13 Multi linear regression analysis (2) 35 Table 14 Multi linear regression analysis (3) 36 Table 15 Multi linear regression analysis between state-owned and non-stateowned companies (1) 37 Table 16 Multi linear regression analysis between state-owned and non-stateowned companies (2) 37 Table 17 Multi linear regression analysis between state-owned and non-stateowned companies (3) 38 123doc vi LIST OF FIGURES Figure Maslow hierarchy of needs Figure OSI model Figure Conceptual model 16 Figure Process of analysis 18 Figure Adjusted conceptual model .33 123doc vii LIST OF ABBREVIATIONS JS: Job satisfaction WCA: Working conditions and activities WC: Working conditions WA: Work activities S: Salary R: Relationship CP: Career prospects 123doc CHAPTER INTRODUCTION Background Vietnam started a profound economic reform in 1986 that aimed to transform the country from a command economy into a market oriented economy From the early days of the economic reform, economic structural reforms and open-door policies have become an integral part of overall economics (World Bank, 1999) As a consequence, Vietnam substantially elevated its economy and the living standards of Vietnamese people The country reaped average economic growth rate (GDP) of over 7% during the 1990s and early 2000s, especially more than 8% in 2006, which made it one of the highest growing economies in the World (World Bank, 2006) In the booming economic period and the globalization, many foreign enterprises join into the Vietnamese economy as a Joint Venture Company They applied many modern management methods and incentive policies, which are spread to many state owned and private Vietnamese companies Opening up the market brought both threats and opportunities Some businesses thrived in the new business environment and were able to improve productivity, product quality, and ultimately profit Others failed to meet the new challenges and declined Under competitive pressure, Vietnamese companies, including state owned companies, private companies and joint venture companies try to maximize their performance such as financial performance, production performance, sales performance, etc Besides, employees also take an important essential role in development Base on Maslow (1954) the personal needs go along with their development So, employees need more and more from their works, their devotion for company development However, their requirements have not always met; they usually suffer from their job and find new changes in their life Another remarkable is the distribution of Vietnamese labor forces They mostly focus on the big cities, such as Ha Noi and Ho Chi Minh City or so The movement of labor forces is clearly depicted in the Vietnamese industrial zones where concentrate a large number of unskilled labors 123doc ... HO CHI MINH CITY International School of Business LE ANH TAI Factors affecting job satisfaction: A comparison between state- owned and non state- owned enterprises in Viet Nam ID:... 37 Table 16 Multi linear regression analysis between state- owned and non- stateowned companies (2) 37 Table 17 Multi linear regression analysis between state- owned and non- stateowned... state- owned and non -state- owned companies in Ho Chi Minh City The results demonstrate career prospect has the most contribution in job satisfaction and employees who are working in non -state- owned