Impact of communication in agile development on the performance of engineers in semiconductor industry

VIETNAM NATIONAL UNIVERSITY, HANOI VIETNAM JAPAN UNIVERSITY *** LUU THI NGAN IMPACT OF COMMUNICATION IN AGILE DEVELOPMENT ON THE PERFORMANCE OF ENGINEERS IN SEMICONDUCTOR INDUSTRY MASTER'S THESIS VIETNAM NATIONAL UNIVERSITY, HANOI VIETNAM JAPAN UNIVERSITY *** LUU THI NGAN IMPACT OF COMMUNICATION IN AGILE DEVELOPMENT ON THE PERFORMANCE OF ENGINEERS IN SEMICONDUCTOR INDUSTRY MAJOR: BUSINESS ADMINISTRATION CODE: 8340101 RESEARCH SUPERVISORS: Prof Dr KURATA HISASHI Dr TRAN HUY PHUONG Hanoi, 2023 Hanoi, 2021 STATEMENT OF COMMITMENT I affirm that the findings presented in my research, titled "The Impact of Communication in Agile Development on the Performance of Engineers in the Semiconductor Industry," are the original outcome of my own investigation This thesis has not been previously published or disclosed in any other study Throughout the course of my research, I have prioritized research ethics, ensuring that all conclusions are derived from my own efforts I have diligently followed the appropriate guidelines for citing sources, and I am fully prepared to take accountability for the integrity of my work Hanoi, May, 30 2023 Master student Luu Thi Ngan ACKNOWLEDGMENT I would like to express my heartleft gratitude to Prof Dr Kurata Hisashi and Dr Tran Huy Phuong for their invaluable guidance, advice, and inspiration during my master's thesis research Their unwavering support and expertise played a pivotal role in helping me overcome various obstacles and successfully complete my thesis within the allotted timeframe I would like to thank to professors Prof Motonari Tanabu, Prof Sadami Suzuki, Prof Yoshiki Matsui from Yokohama National University (YNU) for their hosting and guidance, and advice in MIS-OM seminar on every Friday I want to extend my heartfelt appreciation to all the respondents who graciously participated in the survey during the study period I am truly grateful for their invaluable assistance Furthermore, I would like to express my sincere gratitude to Huong-san, the dedicated assistant of the MBA Program, as well as to all the members of the MBA-06 class Their support and camaraderie have made my time at Vietnam Japan University truly notable and worthwhile I would like to express my deepest gratitude to my family, whose unwavering love, support in my academic journey Their belief in my abilities and constant motivation have fueled my determination to excel I would like to thank to YNU’s PhD candidate Nguyen Anh Hao san for his comment on my idea, former MBA-05’s student Quynh san, Tung san for their sharing experience research, MBA04’s student Ha san for her thesis reference My gratitude to all MBA’s alumni for encouraging me to complete the thesis I am thankful to Vietnam Japan University, YNU, the Japan International Cooperation Agency (JICA), and the Vietnamese and Japanese governments for their valuable support in creating a conducive learning environment at Vietnam Japan University Their support and encouragement have given me have opened up an incredible opportunity for me to engage in an academic environment where I can gain invaluable knowledge and broaden my perspectives Hanoi, May, 2023 Luu Thi Ngan TABLE OF CONTENT LIST OF TABLE i LIST OF FIGURES ii LIST OF ABBREVIATIONS iii CHAPTER INTRODUCTION 1.1 Background of the research 1.1.1 Semiconductor industry 1.1.2 Story at a fabless company .1 1.1.3 Agile development 1.1.4 Communication 1.1.5 Engineers performance .3 1.2 Research motivation 1.2.1 Practical necessity .4 1.2.2 Theoretical necessity 1.3 Research Objectives and research question 1.4 Research’s scope 1.5 Research findings 1.6 Thesis structure CHAPTER LITERATURE REVIEW 2.1 Theories background 2.1.1 Communication theories 2.1.2 Componential Theory of Creativity 11 2.1.3 Ability, Motivation, and Opportunity (AMO) theory 11 2.2 Communication .12 2.2.1 Communication in Agile development 14 2.2.2 Communication medium 15 2.3 Engineers performance 17 2.3.1 Engineers Creativity .19 2.3.2 Task performance 19 2.4 Employee agility 20 2.5 Research gaps 20 CHAPTER HYPOTHESIS DEVELOPMENT AND CONCEPTUAL MODEL 21 3.1 Communication and engineer’s performance 21 3.1.1 Face-to-face communication and engineers’ performance 21 3.1.2 Computer-mediated communication and engineers’ performance 22 3.2 Employee agility and engineer performance 23 3.3 Employee agility moderates the relationship between communication channels and engineers' performance 25 CHAPTER RESEARCH METHODOLOGY 28 4.1 Research design 28 4.2 Measurements 28 4.3 Questionnaire and Pilot testing .28 4.4 Data collection 29 4.5 Data analysis 30 4.1.1 Descriptive statistics .30 4.1.2 Variable’s Reliability and validity 31 4.1.3 Measurement model 31 4.1.4 Test structure of model 33 CHAPTER DATA ANALYSIS AND RESULTS 35 5.1 Assessing PLS-SEM model 35 5.2 Analysis the structure of model 39 CHAPTER 6: DISCUSSION AND CONCLUSION 45 6.1 Discussion .45 6.1.1 Communication Medium and Engineers’ Performance 45 6.1.2 Employee agility and Engineers’ Performance 45 6.1.3 Roles of employee agility on the relationship between a communication medium and engineers’ performance 46 6.2 Practical implication .47 6.3 Theoretical implication 47 6.4 Limitations and future research recommendations 48 6.5 Conclusion 49 REFERENCE 51 APPENDIX 2- SUBJECT COMPANIES PROFILE 62 APPENDIX 3- SURVEY QUESTIONNAIRES IN BILINGUAL 63 APPENDIX 4: MOOR’S LAW 70 LIST OF TABLE Table 1: Review on the description of task performance and creativity 18 Table 1: Description of constructs and supporting literature…………………… 27 Table 1: Profile respondent by age……………………………………………… 30 Table 2: Respondent by education 31 Table 1: Abbreviations of variable in the model………………………………… 35 Table 2: Outer loading for algriothium .36 Table 3: Construct reliability 37 Table 4: Discriminant validity according to Fornell- Larcker Criterion 37 Table 5: Discriminant validity: Heterotrait - Monotrait Ratio (HTMT 38 Table 6: Correlation of latent variable 39 Table 7: Collinearity statistics (VIF) of exogenous variables 40 Table 8: Rsquare .41 Table 9: F square 42 Table 10: Results of the hypothesis testing from the structural model 43 i LIST OF FIGURES Figure 1: Media Synchronicity Theory (Adopted from A Dennis et al., 2008) 10 Figure 1: Conceptual research model……………………………………….…… 26 Figure 1: The measurement model (PLS algorithm)……………………….…… 35 Figure 2: Structural model (PLS Bootstrapping two tails) .40 Figure 3: Path diagram base on analysis result 44 Figure 4: Simple slope analysis (Source: Pls bootstrapping two tail) 44 ii LIST OF ABBREVIATIONS AM AVE CA CMC EA EC F2F FTFC HTMT IC IDM MRT MST PLS Agile development Average Variance Extracted Cronbach’s alpha Computer-mediated communication Employee agility Engineer’s creativity Face to face Face-to-face communication Heterotrait-Monotrait Intergrated circuit Integrated device manufacturers Media richness theory Media synchronicity theory Partial Least Squares PLS-SEM Partial Least Square-Structural Equation Modeling R&D RQ SEM TP VIF WSTS Research and development Research question Structural equation modeling Engineer’s task performance Variance Inflation Factor World Semiconductor Trade Statistics iii ABSTRACT One of the most recent trends in new product development management is agile development which has entered many industries, including semiconductors This study intents to inspect the impacts of communication mediums in agile development on engineers' performance regarding creativity and task performance The subject scope are engineers who work in fabless companies and research and development (R&D) centers of the semiconductor industry The work applied Partial Least Square-Structural Equation Modeling (PLS-SEM) was tested to appraise a set of 99 samples gathered from semiconductor engineers As a consequence of this, several hypotheses were statistically supported The findings show that computer-mediated communication medium plays an obstacle to engineers' creativity; Employee agility has a positive influence on engineers' performance in both creativity and task performance directly Besides, the link from computer-mediated communication medium to engineers' creativity is moderated by employee agility The finding suggests that managers focus on staff agility when applying agile development within the semiconductor industry In addition, the finding is a confirmation signal for the agile manifesto and contribute to the Componential Theory of Creativity about the physical environment component of creativity and reveals valuable implication for practitioners Keyword: Communication, Agile development, Semiconductor design, Engineer’s Performance, Employee agility iv Khaddam, A (2020) Impact of personnel creativity on achieving strategic agility: The mediating role of knowledge sharing.Management Science Letters , 10(10), 22932300 Kirkman, B L., Rosen, B., Tesluk, P E., & Gibson, C B (2004) The impact of team empowerment on virtual team 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Mình Lưu Thị Ngân, học viên cao học chương trình Thạc sĩ Quản trị kinh doanh Trường Đại học Việt Nhật Mình thực đề tài nghiên cứu liên quan đến việc nâng cao hiệu làm việc kỹ sư hướng dẫn GS.TS Kurata Hisashi (Đại học Quốc lập Yokohama, Nhật Bản) Tiến sĩ Trần Huy Phương (Đại học Kinh tế quốc dân, Việt Nam) Vậy nên, mong nhận hỗ trợ từ bạn để hoàn thành nghiên cứu Bảng câu hỏi gồm 31 câu, dự kiến cần 5-10 phút để trả lời Rất mong bạn bớt chút thời gian trả lời bảng hỏi Thông tin liệu thu thập bảo mật kết khảo sát nhằm mục đích nghiên cứu khoa học sau phân tích thống kê, hồn tồn khơng cho mục đích thương mại Xin chân thành cảm ơn bạn giành thời gian giúp hồn thành đề tài nghiên cứu! Mình ln sẵn lịng chia sẻ kết nghiên cứu, bạn có câu hỏi vui lịng liên hệ theo thơng tin Trân trọng! Lưu Thị Ngân Email: 21117018@st.vju.ac.vn / Helenluu2@gmail.com Hi everyone, My name is Luu Thi Ngan, and I am a student in the Master of Business Administration program at Vietnam Japan University Currently, I am doing research related to engineers performance under the co-supervisor of Prof Dr Kurata Hisashi (Yokohama National University, Japan) and Dr Tran Huy Phuong (National Economics University, Vietnam) Therefore, I hope to receive support from you to complete my research The questionnaire includes 31 questions, expected to take about 5-10 minutes to answer Please take the time to answer the questionnaire The information collected will be kept confidential, and the results of this survey are for scientific research purposes only after statistical analysis, not for any commercial purposes 63 I sincerely thank you for your assistance in completing this survey! I always expect to share research results If you have any concerns, not hesitate to contact me at any time Best regards! Lưu Thị Ngân Email: 21117018@st.vju.ac.vn / helenluu2@gmail.com Section of 5: PHẦN THÔNG TIN CHUNG/ GENERAL INFORMATION DM1: Vui lòng cho biết độ tuổi anh/chị / What is your age range? - 20-26 - 27- 42 - 43-58 - 59-64 DM2: Vui lòng cho biết học vấn cao anh/chị?/ What is your highest education level? a Cao đẳng/ Associate Degree b Đại học/ Bachelor degree c Thạc sĩ/ Master degree d Tiến sĩ/ Doctor SC1: Anh/chị có phải kỹ sư? / Are you an engineer? Yes No Section of 5: CÂU HỎI KHẢO SÁT LOẠI I/ SURVEY QUESTION TYPE Bạn vui lòng đánh giá tần suất trải qua việc mệnh đề đây, theo thang đo từ đến 7/ Please rate how often you experience each of the following, on a scale of to Không bao giờ/ Never Vài tháng lần/ Every couple months Hàng tháng/ Monthly Hàng tuần/ Weekly Vài lần tuần/ A few times a week Hàng ngày/ Daily Nhiều lần ngày/ Many time a day Item FC1 Question description Scale Q4 Vui lòng cho biết tần suất anh/chị trao đổi vấn đề công việc với thành viên nhóm cách gặp trực tiếp./ Please indicate the frequency with which you communicate about work issues in Face-to-Face interaction with your team member, using the following scale 64 FC2 Q5 Vui lòng cho biết tần suất anh/chị trao đổi vấn đề cơng việc với trưởng nhóm cách gặp trực tiếp./ Please indicate the frequency with which you communicate about work issues in Face-to-Face interaction with your team leader, using the following scale FC3 Q6 Vui lòng cho biết tần suất anh/chị trao đổi vấn đề công việc với thành viên nhóm khác cách gặp trực tiếp./ Please indicate the frequency with which you communicate about work issues in Face-to-Face interaction with cross function team members, using the following scale MC1 Q8 Vui lòng cho biết tần suất anh/chị trao đổi vấn đề công việc với thành viên nhóm gián tiếp qua kênh (Email, thư thoại, video, khác (vui lòng nói rõ câu Q8.1)/ Please indicate the frequency with which you communicate about work issues with your team leader in interactions that are not face-to-face (i.e., e-mail, voice mail, other [please specify in Question Q8.1) OP Q8.1 Vui lòng cho biết kênh giao tiếp gián tiếp anh/chị dùng để trao đổi vấn đề công việc với thành viên nhóm mình thưc câu hỏi Q8/ Please specify communication channel that is not not face-to-face to communicate with your teammate in Question Q8 MC2 Q9 Vui lòng cho biết tần suất anh/chị trao đổi vấn đề công việc với trưởng nhóm gián tiếp qua kênh (Email, thư thoại, video, khác [vui lịng nói rõ câu hỏi Q9.1]/ Please indicate the frequency with which you communicate about work issues with your team leader in interactions that are not face-toface (i.e., e-mail, voice mail, other [please specify] in the question Q9.1) OP9.1 Q9.1 Vui lòng cho biết kênh giao tiếp gián tiếp anh/chị dùng để trao đổi vấn đề cơng việc với trưởng nhóm thưc câu hỏi Q9/ Please specify communication channel that is not NOT Face-to-Face to communicate with cross function team member (i.e., e-mail, voice mail, other [please specify] in Question Q9 MC3 Q10 Vui lòng cho biết tần suất anh/chị trao đổi vấn đề cơng việc với thành viên nhóm khác gián tiếp qua kênh (Email, thư thoại, video, khác (vui lịng nói rõ)/ Please indicate 65 the frequency with which you communicate about work issues with cross function team members in interactions that are not face-to-face (i.e., e-mail, voice mail, other [please specify] _) OP10.1 Q10.1 Vui lòng rõ kênh giao tiếp gián tiếp anh/chị sử dụng để giao tiếp với thành viên nhóm khác câu hỏi Q10 / Please specify communication channel that is not face-to-face to communicate with cross function team member (i.e., e-mail, voice mail, other [please specify] in Question Q10 Section of 5: CÂU HỎI KHẢO SÁT LOẠI 2/ SURVEY QUESTION TYPE Bạn vui lòng đánh giá tần suất trải qua việc mệnh đề đây, theo thang đo từ đến 7/ Please rate how often you experience each of the following, on a scale of to Từ tới vài lần năm/ From Zero to A Few time a year Vài tháng lần/ Every couple of months Hàng tháng/ Monthly Vài tuần lần/ Every couple of Weeks Hàng tuần / Weekly Vài lần tuần/ A few time a week Hàng ngày/ Daily Item Question description FC4 Q7 Nhóm làm việc anh chị có thường xuyên trao đổi công Scale việc với tham gia toàn thành viên nhóm cách gặp mặt trực tiếp không? / How often members of your entire team interact Face-to-Face? (circle the number below) MC4 Q11 Toàn thành viên nhóm anh/chị có thường xuyên trao đổi công việc với thông qua công cụ giao tiếp trung gian có hỗ trợ máy tính (vd Email, thư thoại, họp trực tuyến, khác (Vui lòng rõ câu Q11.1) không? / How often members of your entire team interact not face-to-face (ie., email, voice mail, video conference, other [Please specify in question Q11.1? (circle the number below) OP11.1 Q11.1 Vui lòng rõ kênh giao tiếp tồn nhóm làm việc anh chị trao đổi công việc với câu Q11 (vd Email, thư thoại, họp trực tuyến, khác (Vui lòng rõ … )? / Please specify communication medium (ie., e-mail, voice mail, 66 video conference, other) that your entire team interact not face-to-face OQ1 Q12 Anh/chị cảm nhận vấn đề giao tiếp công ty mình? / How you feel about communication issues in your company? OQ2 Q31 Anh/chị cảm thấy thoải mái giao tiếp cách nào? / Which communication channel make you feel free to interact? - Trao đổi trực tiếp/ Face to face - Trao đổi gián tiếp qua máy tính (Email, Voice mail)/ Computer-mediated medium - Trao đổi qua thiết bị di động/ Mobile phone - Other: Section of 5: CÂU HỎI KHẢO SÁT LOẠI 3/ SURVEY QUESTION TYPE Bạn vui lòng đánh giá tần suất trải qua việc mệnh đề đây, theo thang đo từ đến 7/ Please rate how often you experience each of the following, on a scale of to Hoàn toàn không đồng ý/ Strongly disagree Không đồng ý / Disagree Phần không đồng ý/ Some what disagree Trung lập/ Neutral Đồng ý phần/ Some what agree Đồng ý / Agree Đồng ý hồn tồn/ Strongly agree Item Question description EC1 Q13 Tơi đề xuất ý tưởng đổi tới thành viên Scale đội mình./ I suggest new and innovative ideas to the team members EC2 Q14 Tôi sử dụng ý tưởng lạ để cải thiện suất công việc./ I use novel ideas to improve performance EC3 Q15 Tôi đề xuất cách thức để tăng chất lượng suất công việc./ I suggest new ways to increase quality and productivity 67 EC4 Q16 Tôi cân nhắc từ nhiều nguồn thơng tin khác để tìm ý tưởng mới./ I consider diverse information sources for new ideas EC5 Q17 Tôi thường xuyên bỏ qua cách thức truyền thống để cải thiện suất./ I often ignore traditional practices to improve performance EC6 Q18 Tôi cân nhắc lựa chọn khác trước đưa định/ I consider different options prior to taking a decision TP1 Q19 Tơi hồn thành tốt cơng việc mình./ I adequately completes assigned duties TP2 Q20 Tôi tham giao vào hoạt động ảnh hưởng trực tiếp tới việc đánh giá suất công việc mình./ I Engages in activities that will directly affect my performance evaluation TP3 Q21 Tôi thực công việc cần thiết theo trách nhiệm mình./ I Fails to perform essential duties ® TP4 Q22 Tơi thực tồn trách nhiệm nêu mơ tả công việc./ I Fulfills responsibilities specified in job description TP5 Q23 Tôi đáp ứng yêu cầu suất công việc / I Meets formal performance requirements of the job TP6 Q24 Tơi bỏ qua khía cạnh công việc yêu cầu thực chúng / I Neglects aspects of the job that is obliged to perform (R) TP7 Q25 Tôi thực nhiệm vụ giống mong đợi trưởng nhóm/ I Performs tasks that are expected of him or her EA1 Q26 Trong công việc, liên tục giành thời gian suy nghĩ cách làm khác biệt/ At work, I continuously spend time thinking about how we can EA2 Q27 Tôi ln nghĩ chúng tơi cần làm khác để đáp ứng yêu cầu thay đổi tới./ I am always thinking about what we need to differently to meet EA3 Q28 Tôi thúc đẩy người khác/ thành viên nhóm tiếp tục tạo thay đổi dựa xảy với cơng ty./ I push others/my team to continuously make changes based on what is EA4 Q29 Trong vòng tháng trước, đề xuất thay đổi nhỏ công việc với sếp trực tiếp/ In the last month, I have proposed a change about our work to my leader EA5 Q30 Tôi liên tục làm việc để hiểu điều diễn phạm vi khác để cân nhắc có cần thiết phải tạo thay đổi công việc làm/ I continuously work to understand 68 what is going on in other areas to see if I need to make changes in what I’m doing 69 APPENDIX 4: MOOR’S LAW The number of transistors on a microchip doubles approximately every two years, has been a driving force behind the industry's continuous innovation and the shrinking size of electronic devices 70