Researching the factors afcting job satisfactionfor employees at hoa sen group

- PHẠM MINH HÒA BMBR5103 RESEARCHING THE FACTORS AFFECTING JOB SATISFACTION FOR EMPLOYEES AT HOA SEN GROUP STUDENT’S FULL NAME : PHAM MINH HOA STUDENT ID : CGS00019894 INTAKE : SEPTEMBER 2015 ADVISOR’S NAME & TITLE : NGUYEN THE KHAI (DBA) MARCH 1, 2017 - PHẠM MINH HÒA AVISOR’S ACCESSMENT - ADVISOR’S SIGNATURE - NGUYEN THE KHAI (DBA) - - - PHẠM MINH HÒA ACKNOWLEDGEMENT I am using this opportunity to express my gratitude to everyone who has supported me throughout this MBA course and the process of this research I am thankful for their aspiring guidance, invaluably constructive criticism as well as friendly advice during my research I’m sincerely grateful to them for sharing their utmost truthful and enlightening illuminating views on various issues raised during the process of this research, I would also like to express my most sincere thanks for the outstanding support and unceasing guidance from my lecturer, Nguyen The Khai (DBA) who have helped me follow through with every step made towards this MBA research, Finally, I would like to send my best regards and thanks to the collective of employees and managers alike at Hoa Sen Group for providing me with the opportunity to make this research, your generosity provided me with the facilities being required and conductive conditions for my MBA research Thank you all, Phạm Minh Hòa - ABSTRACT Most organizations strive for job satisfaction from employee, but not all attain this goal That’s why it’s important for human resources professionals to know more about the factors that can increase employee satisfactions and how it fits into a company’s overall success The purpose of this research is to determine the factors that can influence job satisfaction at Hoa Sen Group, This research applied Business Research Methods to determine Job Satisfaction and what other factors that attribute to Job Satisfaction This research also made use of quantitative methods with its data collected from surveys which with the permission and participation of the collective of 500 employees at Hoa Sen Group, The valid accumulative survey results then went on the processing phase using the software IBM SPSS version 22 to be statistically analyzed The Business Research Model included an independent variable called Job Satisfaction and other dependent variables acting as hypothesized factors attributing to Job Satisfaction (Organizational Commitment, Job Stress, Job Overload, Role Ambiguity, Role Conflict), May the result of this research contribute to the accretion of the Group and help the human resources team at Hoa Sen Group to allocate their tasks and resources accurately to maximize job satisfaction Keywords: Job Satisfaction (JSA), Organizational Commitment (OC), Job Stress (JS), Job Overload (JO), Role Ambiguity (RA), Role Conflict (RC) BMBR5103 PHAM MINH HOA - CONTENTS Introduction .5 CHAPTER Company Introduction: Hoa Sen Group’s Information .5 The Fiscal Year 2012 – 2013 .10 HR Management 10 Vision 11 Mission 11 .12 Business Philosophy 12 Research Introduction 13 Research Problem Statement: 13 Research Objective: 13 Research Scope: 14 Research Significances: 14 Limitations of Research: 15 Literature Review 16 CHAPTER 16 Definition of Constructs 16 Job Satisfaction: 16 Organizational Commitment: 16 Job Overload: 17 Job Stress: 18 Role Conflict and Ambiguity: 18 Argument for the relationships among the Constructs: 19 Job Roles: 19 Theory: 19 Applicability to Research: 21 Job Stress: 21 Diathesis – stress model: .21 BMBR5103 PHAM MINH HOA - Applicability to Research: 23 Job Characteristic Theory: 25 Theory: 25 Applicability to Research: 28 Organizational Commitment Theory: 29 Theory: 29 Applicability to Research: 33 Hypotheses .34 Methods 36 CHAPTER 36 Data Collection 36 Job Satisfaction: 36 Organizational Commitment: 37 Job Overload: 38 Job Stress: 39 Role Conflict & Ambiguity: .40 Data Collection Process: 41 Data analysis: 42 Results 43 CHAPTER 43 Cronbach’s Alpha 43 Cronbach’s Alpha standard applied 43 Cronbach’s Alpha of Construct: 43 Job Satisfaction (JSA): .43 Organizational Commitment (OC): 44 Job Overload (JO): .44 Job Stress (JS): 44 Role Conflict (RC): .44 Role Ambiguity (RA): 45 Descriptive Information 45 Descriptive Statistics: 45 Correlation Statistics: 46 Hypotheses testing: 47 BMBR5103 PHAM MINH HOA - Independent Variable: OC – H1 48 Independent Variable: JO – H2 48 Independent Variable: JS – H3 49 Independent Variable: RC – H4 49 Independent Variable: RA – H5 49 CHAPTER 50 Conclusion 50 Discussion: 50 Limitations of Research: 51 Forecast Recommendations: 51 References: .52 Appendix 53 Appendix 1: Surveys 53 JOB SATISFACTION SURVEY AT HOA SEN GROUP .53 Appendix 2: presentation 57 BMBR5103 PHAM MINH HOA - CHAPTER Introduction Company Introduction: Hoa Sen Group was established on August 8th, 2001 (June 19th of Lunar Calendar) which is the Enlightenment Day of Guan Yin Bodhisattva Starting from a steel sheet retail store, under Mr Le Phuoc Vu’s sound leadership, Hoa Sen Group is now known as the leading steel sheet enterprise in Viet Nam and South East Asia Hoa Sen Group’s Information - Name of Corporation: HOA SEN GROUP - Headquarters: No.09, Thong Nhat Boulevard, Song Than Industrial Park, Di An Ward, Di An District, Binh Duong Province - Telephone: +84 650 3790 955 Fax: +84 650 3790 888 - Representative office: 183 Nguyen Van Troi Street, Phu Nhuan District, Ho Chi Minh City - Telephone: +84 3999 0111 Fax: +84 3999 0222 - Website: www.hoasengroup.vn - Legal representative: Mr LE PHUOC VU – Chairman of the Board of Directors Figure -Hoa Sen Group's Headquarters in Binh Duong Province BMBR5103 PHAM MINH HOA - Figure - General Assembly of Shareholders BMBR5103 PHAM MINH HOA - Hoa Sen Group has subsidiaries and over 200 branches across the country: Hoa Sen Steel Sheet One Member Limited Liabilities Company Address: No 09, Thong Nhat Boulevard, Song Than Industrial Park, Di An Ward, Di An Town, Binh Duong Province, Vietnam Hoa Sen Building Material One Member Limited Liabilities Company Address: Phu My Industrial Park, Phu My Town, Tan Thanh District, Ba Ria – Vung Tau Province, Vietnam Hoa Sen Transportation & Engineering One Member Limited Liabilities Company Address: No 09, Thong Nhat Boulevard, Song Than Industrial Park, Di An Ward, Di An Town, Binh Duong Province, Vietnam Hoa Sen Binh Dinh One Member Limited Liabilities Company Address: Nhon Hoa Industrial Park, Nhon Hoa Ward, An Nhon Town, Binh Dinh Province, Vietnam Hoa Sen Nam Cam Nghe An One Member Limited Liabilities Company Address: Nam Cam Industrial Park, Nghi Xa Commune, Nghi Loc District, Nghe An Province, Viet Nam Hoa Sen Nghe An One Member Limited Liabilities Company Address: Dong Hoi Industrial Park, Quynh Lap Commune, Hoang Mai Town, Nghe An Province, Vietnam Hoa Sen Ha Nam One Member Limited Liabilities Company Address: Dong Van III Industrial Park, Yen Bac Commune, Duy Tien District, Ha Nam Province BMBR5103 PHAM MINH HOA - 46 Correlation Statistics: The correlation coefficient was computed to determine the relationship between independent variables (JS, JO, RA, RC, OC) with the dependent variable (JSA) is as shown below: JS JS Correlations JO RA Pearson 504** 404** Correlation Sig (2-tailed) 000 000 N 258 258 258 JO Pearson 504** 641** Correlation Sig (2-tailed) 000 000 N 258 258 258 RA Pearson 404** 641** Correlation Sig (2-tailed) 000 000 N 258 258 258 RC Pearson -.026 -.034 039 Correlation Sig (2-tailed) 674 588 536 N 258 258 258 OC Pearson 161** 104 088 Correlation Sig (2-tailed) 010 095 158 N 258 258 258 JSA Pearson 386** 553** 482** Correlation Sig (2-tailed) 000 000 000 N 258 258 258 ** Correlation is significant at the 0.01 level (2-tailed) * Correlation is significant at the 0.05 level (2-tailed) RC OC JSA -.026 161** 386** 674 258 010 258 000 258 -.034 104 553** 588 258 095 258 000 258 039 088 482** 536 258 158 258 000 258 014 118 258 825 258 059 258 014 140* 825 258 258 025 258 118 140* 059 258 025 258 258 Table 10 - Correlations Statistics BMBR5103 PHAM MINH HOA - 47  0.7 and above – very strong relationship  0.5 to 0.69 – strong relationship  0.3 to 0.49 – moderate relationship  to 0.29 – low relationship  to 0.09 – very low relationship Hypotheses testing: Model Summary Mode R Adjusted R Std Error of l R Square Square the Estimate a 604 364 352 49508 a Predictors: (Constant), OC, RC, RA, JS, JO Table 11 - Model Summary With the proposed model research, we hypothesized that OC has a positive relationship with JSA while other constructs: JS, JO, RC, RA has a negative effect, note that RA questions in the Survey are reversed so hypothesis testing should return a positive value on RA According to the Theory of Hypotheses, the ones that are supported have to meet all requirements below:  R square value is greater than 0.1  Unstandardized coefficient beta: the same sign with hypothesis  P value (sig) is less than 0.05 Coefficientsa Model BMBR5103 Unstandardized Coefficients B Std Error Standardized Coefficients Beta t Sig PHAM MINH HOA - 48 (Constant) -.185 374 JS 168 JO 479 RA 226 RC 091 OC 066 a Dependent Variable: JSA 086 090 080 036 052 -.115 -.373 186 -.125 064 -.495 621 1.951 5.335 2.817 2.485 1.255 002 000 004 014 210 Independent Variable: OC – H1 There should be a positive correlation between Organizational Commitment (OC) and Job Satisfaction (JSA)  R square value is 0.364 greater than 0.1    Unstandardized coefficient beta: 0.064 the same sign with hypothesis    P value (sig) is 0.210 larger than 0.05  X We can say that H1 is not supported Independent Variable: JO – H2 There should be a negative correlation between Job Overload (JO) and Job Satisfaction (JSA)  R square value is 0.364 greater than 0.1    Unstandardized coefficient beta: -0.373 the same sign with hypothesis    P value (sig) is 0.000 less than 0.05   We can say that H2 is supported BMBR5103 PHAM MINH HOA - 49 Independent Variable: JS – H3 There should be a negative correlation between Job Stress (JS) and Job Satisfaction (JSA)  R square value is 0.364 greater than 0.1    Unstandardized coefficient beta: -0.115 the same sign with hypothesis    P value (sig) is 0.002 less than 0.05   We can say that H3 is supported Independent Variable: RC – H4 There should be a negative correlation between Job Stress (JS) and Job Satisfaction (JSA)  R square value is 0.364 greater than 0.1    Unstandardized coefficient beta: -0.125 the same sign with hypothesis    P value (sig) is 0.014 less than 0.05   We can say that H4 is supported Independent Variable: RA – H5 There should be a negative correlation between Role Conflict (RC) and Job Satisfaction (JSA)  R square value is 0.364 greater than 0.1    Unstandardized coefficient beta: 0.186 (Reverse) the same sign with hypothesis    P value (sig) is 0.04 less than 0.05   We can say that H5 is supported BMBR5103 PHAM MINH HOA - 50 CHAPTER Conclusion Discussion: The research was conducted to perceive the factors that have been affecting job satisfaction at HSG, after examining the group, I have hypothesized the influential factors contributing in the spike of job satisfaction at the group is Organizational Commitment, Job Stress, Job Overload, Role Ambiguity and Role Conflict, after narrowing down these factors into research construct I then conducted tests with the data collected from the group The following are my conclusions about my hypotheses in correlation with the actual feedback from current employees who participated in the survey:  Job Satisfaction at Hoa Sen Group is greatly influenced by the impact of Job Overload and Job Stress This could be one of the key factors that contributed to the spike in Job satisfaction at the Group in recent years resulting in the increased talents turnover rate This means that at Hoa Sen Group Employees may be tasked with too much work than they can handle, and in the survey, they have confirmed that over working is one of the causes that made them stress  Job Satisfaction at Hoa Sen Group is heavily and negatively affected by Role Conflict and Role Ambiguity This means that employees think that their role with the Group is unclear; some may be tasked with too much responsibility than what they had agree upon when joining HSG Some employees may wander aimlessly due to their roles being unclear or their task is out of their jurisdiction which fueled the conflict in roles between departments and divisions  It was hypothesized that Organizational Commitment would have a positive influence on the Job Satisfaction at the Group but the valid results have proved otherwise BMBR5103 PHAM MINH HOA - 51 Employees at the group due to being overload in their work and tasked with unclear objectives have shown signs of decline in their loyalty and commitment to the Group the result of this was made obvious by the increase in turnover rate over the past few years Limitations of Research:  The Research was conducted in a relatively short period of time  The facility span of the research is larger than its allotted time  The sample size is very small (258) due to reasons aforementioned  Due to the translation into Vietnamese of the survey and the expertise as well as capabilities of the survey respondents, a lot of them were confused with the survey Forecast Recommendations:  After receiving this report, I hope HSG in the next fiscal year will start implementing task rotation and enriching tasks to reduce the Stress level of the same routine task or over burden an employee with too many tasks The HRM department needs to create a suitable rotation program that can fit their new employees as well as their experienced employees Fitting new employees into the same line of work as the veteran ones will cause overload and stress  The HRM department needs to revamp their current Role assignment procedures extensively and hold conferences or seminars regularly to follow up with the employees on any new changes in roles Be up to date on the progression of an employee also to see whether an employee is doing his job as intended Regularly access employees and collect feedbacks from them BMBR5103 PHAM MINH HOA - 52  If all these recommendations are carried out in the next fiscal year or quarter by HSG this will greatly affect the employee job satisfaction and defragment the talent flaking problem they are facing right now References: William G Zikmund (2013) Business Research Methods 13th, McGrawHill/Irwin Dail L.Fields (2002) Taking the measure of work: a guide to validated scales for organizational research and diagnosis Regent University Ingram, R E & Luxton, D D (2005) "Vulnerability-Stress Models." In B.L Hankin & J R Z Abela (Eds.), Development of Psychopathology: A vulnerability stress perspective (pp 32-46) Thousand Oaks, CA: Sage Publications Inc Hackman, J R & Oldham, G R (2005) How job characteristics theory happened The Oxford handbook of management theory: The process of theory development, 151-170 Hackman, J R & Oldham, G R (1975) Development of job diagnostic survey Journal of Applied Psychology, 60, 159-170 Meyer, J P.; Allen, N J (1991) "A three-component conceptualization of organizational commitment" Human Resource Management Review 1: 61 Mercurio, Zachary A (2015-12-01) "Affective Commitment as a Core Essence of Organizational Commitment An Integrative Literature Review" Human Resource Development Review.: 389–414 https://www.boundless.com/management http://www.igi-global.com/dictionary/organizational-commitment/21469 www.hoasengroup.vn BMBR5103 PHAM MINH HOA - 53 Appendix Appendix 1: Surveys JOB SATISFACTION SURVEY AT HOA SEN GROUP INTRODUCTION: Dear employee, Thank you for taking part in this important survey measuring the factors affecting job satisfaction for Hoa Sen Group Today we will be inquiring your thoughts and feed back to create a better working environment in the future This survey should take to minutes to complete Be assured that all the answers you provided will be kept in the strictest of confidentiality Please look to the guide below to start answering Instructions: Choose:  Cancel:  Choose again:  Responses are obtained on a 5-point Likert-type subscale where = strongly disagree and = strongly agree Job Satisfaction Index Survey How satisfied are you with the nature of the work you perform? How satisfied are you with the person who supervises you— your organizational superior? How satisfied are you with your relations with others in the organization with whom you work—your co-workers or peers? How satisfied are you with the pay you receive for your job? 5 5 How satisfied are you with the opportunities which exist in this organization for advancement or promotion? Considering everything, how satisfied are you with your current job situation? 5 BMBR5103 PHAM MINH HOA - 54 Responses are obtained using a 5-point Likert-type subscale where = strongly disagree, = slightly disagree, = neither disagree nor agree, = moderately agree, and = strongly agree Items denoted with (R) are reverse scored Organizational Commitment Survey I am willing to put in a great deal of effort beyond that normally expected in order to help this organization be successful I talk up this organization to my friends as a great organization to work for I feel very little Loyalty to this organization (R) I would accept almost any types of job assignment in order to keep working for this organization I find that my values and the organization’s values are very similar I am proud to tell others that I am part of this organization 5 Responses for items to are obtained on a 5-point Likert-type subscale where 1= rarely, = occasionally, = sometimes, = fairly often, and = very often Responses for items to are obtained on a 5-point Likert-type subscale where = hardly any, = a little = some, = a lot, and = a great deal Job Overload Measuring Survey How often does your job require you to work very fast? How often does your job require you to work very hard? 3 How often does your job leave you with little time to get things done? How often is there a great deal to be done? 5 How much slowdown in the workload you experience? How much time you have to think and contemplate? BMBR5103 PHAM MINH HOA - 55 Write if the condition described is never a source of stress Write if it is occasionally a source of stress Write if it is sometimes a source of stress Write if it is usually a source of stress Write if it is always a source of stress Stress Diagnostic Survey My job duties and work objectives are unclear to me I work on unnecessary tasks or projects 3 I have to take work home in the evenings or on weekends to stay caught up The demands for work quality made upon me are unreasonable 5 I lack the proper opportunities to advance in this organization I am held accountable for the development of other employees I am unclear about whom I report to and/or who reports to me Responses are obtained on a 5-point Likert-type scale where = strongly disagree and = strongly agree Items denoted by (R) are reverse scored Role Conflict Survey I have to things that should be done differently I have to buck a rule of a policy in order to carry out an assignment I receive incompatible requests from two or more people 5 I things that are apt to be accepted by one person and not accepted by others BMBR5103 PHAM MINH HOA - 56 Role Ambiguity Survey I know exactly what is expected of me (R) I know that have divided my time properly (R) Explanation is clear of what has to be done (R) I feel certain about how much authority I have (R) 5 I know what my responsibilities are (R) PLEASE FILL IN THESE BASIC INFORMATION Gender Male Female Age 24 – 29 30 – 35 41 – 46 47 – 60 36 – 40 Education High school College Bachelor Master PhD Other Officer Engineer Supervisor Clerk Assistant Director Your position How long have you been working at Hoa Sen Group(working experience)? Under months months - year - year – years – years Over years THANK YOU FOR YOUR SUPPORT AND CO-OPERATION! BMBR5103 PHAM MINH HOA - 57 Appendix 2: presentation BMBR5103 PHAM MINH HOA - 58 BMBR5103 PHAM MINH HOA - 59 BMBR5103 PHAM MINH HOA - 60 BMBR5103 PHAM MINH HOA