(Luận văn) factors affecting employees motivation in hotel industry in ho chi minh city

MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HO CHI MINH CITY t to ng hi ep w HUYNH NHAT PHUONG n lo ad ju y th yi pl FACTORS AFFECTING EMPLOYEES’ MOTIVATION n ua al n va IN HOTEL INDUSTRY IN HO CHI MINH CITY ll fu oi m at nh MAJOR: BUSINESS ADMINISTRATION z z MAJOR CODE: 60340102 ht vb k jm n a Lu SUPERVISOR: DR TRAN HA MINH QUAN om l.c gm MASTER OF BUSINESS ADMISTRATION THESIS n va y te re HO CHI MINH CITY, JANUARY 2013 t to ACKNOWLEDGE ng hi ep Firstly, I would like to express my appreciate to my research supervisor, Dr Tran Ha Minh Quan for his support, suggesting, guidance during time of my dissertation w n Secondly, I would like to express my gratitude to Prof Nguyen Dinh Tho for his lo ad effort in thoroughly guidance, encourage and support to every student throughout ju y th two-year-course yi Thirdly, this research was contributed by my classmates, my colleagues, and was pl ua al moral assisted by my family I would like to send my deepest thank to them n Last, ISB staff did helped, supported with their best for convenience of MBUS va n 2010 I appreciate very much for their contribution to my present result ll fu oi m at nh z z k jm ht vb om l.c gm an Lu n va ey t re ABSTRACT t to ng Within 10 years, hotel industry in Ho Chi Minh city has developed impressively and hi has quite highly demanded in employing labor force Working environment is stable ep and professional is one of many attractive points of hotels, but it contains many w characteristics which may demotivate employees Motivating staff to work better, n lo more efficient is always one of business goals, especially in this special industry ad This study aims to investigate which factor affecting to hotel employee’s y th ju motivation The result showed that recognition, development, supervisor and yi promotion are four factors which affecting to hotel employee’s motivation in Ho pl ua al Chi Minh city context n Keywords: employee motivation, hotel industry, recognition, Ho Chi Minh city n va ll fu oi m at nh z z k jm ht vb om l.c gm an Lu n va ey t re t to Contents ng hi ep ACKNOWLEDGE ABSTRACT w n lo Contents ad ju y th List Of Tables yi List of Figures pl n ua al List of Exhibits n va CHAPTER INTRODUCTION ll fu 1.1 Research background m oi 1.2 Research questions nh at 1.3 Research objectives z z ht vb 1.3 Scope of this study 10 k jm 1.4 Research contribution 10 l.c gm 1.5 Research structure 10 CHAPTER LITERATURE REVIEW 12 om an Lu 2.1 Definition of Motivation 12 n va 2.2 Motivation theories 12 2.4 Research model 24 ey hypotheses in this study 18 t re 2.3 Previous researches about motivation in hospitality industry and identifying CHAPTER RESEARCH METHOD 26 t to 3.1 Research process 26 ng hi ep 3.2 Measurement scale 26 3.3 The qualitative pilot research 26 w n lo 3.4 Main research 29 ad ju y th CHAPTER DATA ANALYSIS 31 yi 4.1 Descriptive statistics of sample 31 pl al n ua 4.2 The construct measurement scale 32 n va 4.2.1 Cronbach’s Alpha results of each measurement 33 fu ll 4.2.2 Exploratory Factor Analysis 35 m oi 4.3.Adjustment of hypotheses and research model 38 at nh 4.4 Regression analysis 39 z z jm ht vb 4.5 Verification the different level of motivation in personal characteristics 43 4.6 Discussion about findings 44 k gm CHAPTER CONSLUSIONS AND RECOMMENDATIONS 46 l.c om 5.1 Recommendations 46 an Lu 5.2 Limitations and recommendation for future researches 50 n va REFERENCES 52 ey t re APPENDIX 57 List Of Tables t to ng Table 2.1 A Reorganization of Maslow's and Alderfer's Hierarchies 59 hi Table 2.2 Summary of factors affecting to employees’ motivation in hotel ep industry 19 w Table 3.1 Scales of Management 26 n lo Table 3.2 Scale of Working conditions 27 ad Table 3.3 Scale of Recognition 27 y th ju Table 3.4 Scale of Development 28 yi Table 3.5 Scale of Motivation 28 pl al Table 4.1 Demographic Statistics of the Respondents 32 n ua Table 4.2 Cronbach’s Alpha results of each measurement 33 n va Table 4.3 KMO and Bartlett’s test for independent variables 35 ll fu Table 4.4 KMO and Bartlett’s test for dependent variables 38 oi m Table 4.5 Pearson Correlation Coefficient 39 nh Table 4.6 Summary output of Regression Analysis 40 at Table 4.7 Summary output of Regression Analysis after remove one factor 41 z z Table 4.8 Personal characteristics and employee’s motivation 43 vb k jm ht Table 4.9 Hypotheses testing 45 om l.c gm an Lu n va ey t re List of Figures t to Figure 2.1 Research model 25 ng hi Figure 3.1 Research process 26 ep Figure 4.1 Adjusted research model 38 w n lo ad ju y th yi pl n ua al n va ll fu oi m at nh z z k jm ht vb om l.c gm an Lu n va ey t re List of Exhibits t to Exhibit 2.1 Maslow’s Hierarchy of Needs 57 ng hi Exhibit 2.2 The Herzberg's motivation-hygiene theory 57 ep Exhibit 2.3 Equity theory ratios 58 w n lo Exhibit 2.4 Expectancy Model 59 ad ju y th Exhibit 2.5 A diagram of Theory X and Theory Y 59 yi Exhibit 2.6 Job Charactersitics Model 60 pl n ua al n va ll fu oi m at nh z z k jm ht vb om l.c gm an Lu n va ey t re CHAPTER INTRODUCTION t to ng 1.1 Research background hi Tourism industry plays a significant role in Vietnamese economic structure ep According to Grant Thornton Vietnam, in 2012 tourism market has welcomed more w than six million foreign travellers, which increases 19.1% compared with last year n lo data That result has contributed to general development of hotel industry This field ad had been attracting nearly 11 billion USD with 247 projects up to 2009; ranked the y th ju 3rd after industrial processing, manufacturing and real estate The more development yi in hotel industry, the more demand of labor force in this field But hotel industry is pl ua al a kind of service industry, whose products created from human’s contact, owned unique characteristics Seasonableness is a stand out characteristic, which influences n n va to labor force in this field In the peak period, hotels need a large amount of labor ll fu force, working with high productivity But in low season, they keep a few oi m permanent employees The consequence is an unstable labor force, demotivated part-time employees and negative influence to performance of permanent staff nh at Customer target in hotel is tourists, who come from different countries, which z z owned different cultures, hobbits, customs, etc Servers, who directly contact with vb jm ht customers, need to understand their requirements in order to assure quality service The consequence is the stressful job toward servers In addition, employees in hotel k l.c together with sensibility, accuracy and consistency gm are required to work in high specialization, under high pressure of discipline, om For those above characteristics, labor force in hotel is likely to leave when they are an Lu under high pressure and demotivated from management team High staff turnover is a common and costly problem in hotel industry Reasons include such as low pay, ey dollars in recruiting, orientating, training, etc if they own an unstable workforce t re 2000; Walsh and Taylor, 2007) An organization will be forced to invest million n et al 2012, cited in Barron, 2008; Davidson et al., 2011; Kusluvan and Kusluvan, va antisocial working hours, menial work and limited career opportunities (Xander Lub Without continuity in customer relationship, organization does not have customer t to loyalty, stressful management, conflict happens easily and low efficiency Those ng make difficult for company to compete on marketplace Hence, constructing a good hi ep policy to motivate and retain good performance employees, who can create unique experiences and relationships with customers, is an important mission A stable w workforce is a significant competitive advantage “Customer relationships are n lo stronger when an organization’s workforce is stable and customers can depend on ad y th the company people – the continuity of their product knowledge, industry ju experience and proven performance.” (Kreisman, 2002) yi pl There have many researches, conducted in many countries, found out factors ua al affecting to employees’ motivation in hotel industry in general With a speed-up in n developing hotels, needs of recruiting new employees and retain good performance va n ones, studying about motivation in hotel in Vietnam is necessary in order to fu ll improve competitive advantage in market This study raises research objectives m oi about creating motivation in hotel industry at nh 1.2 Research questions z 1.What factors affecting to employees’ motivation in hotel industry in Ho Chi Minh z How does each factor affect to employee’s motivation? k jm ht vb City? om - l.c The goal of this research are as below gm 1.3 Research objectives To determine factors affecting employees’ motivation in hotel industry in Ho an Lu Chi Minh city - To determine the impact of personal characteristics such as: gender, age, ey motivation t re education level, experience, contract type and hotel standards to employee n To evaluate how each factor affects to working motivation va -