Chuyên đề thực tập tốt nghiệp: A study on some effects of employee compensation On the work motivation of support division staff At a joint stock company in vietnam And some recommendations

The Significance of the SfUdy .-. - - x11 SH ng HH Hiệp 1 2 Aims, Objectives and Research Questions of the Study - - -ô- 2

Any business that engages in production and business operations need to have both human and material resources The importance of human resources in particular is crucial to the growth of the organization When people are motivated to work, their performance will achieve higher results, and the turnover rate will be lower According to Arman (2009), employees are motivated, they will work 80-90% of performance, and the leave and turnover rate will decrease Kovach (1995) also pointed out that the biggest problem of managers is to feel exactly the factors that promote employees’ motivation Therefore, motivation for employees is extremely necessary for business growth It also makes an important contribution to increasing productivity and quality of labor to help businesses achieve their goals more quickly However, in order to retain employees, help them to be motivated to work, be ready to devote and attract talented candidates, the organization must develop suitable employee compensation Understanding this issue and having appropriate adjustment policies, companies will maintain and develop for a long time and have a foothold in the market.

Through the internship at Vinhomes Joint Stock Company, the author is aware that the company has attracted many potential employees but many of them decided to leave the company less than a year later Recognizing that problem, the author thinks that the company's compensation is facing problems in creating motivation and retaining its personnel.

For the company's growth, it is essential to create motivation for employees in general and Support Division staff in particular However, in order to have solutions to motivate office staff, the study on employee compensation as well as identify the impact of each factor on the work motivation at the company is indispensable.

Because of the practical requirements, the researcher chooses the topic: “A Study on Some Effects of Employee Compensation on the Work Motivation of Support Division Staff at a Joint Stock Company in Vietnam and Some Recommendations” for her graduation project with the desire to improve the efficiency of employees in the company and help them achieve the strategic goals that the company has set At the same time, the author wants to provide more

Bui Thi Huong Lan-11192673-61B Business English experimental evidence for the theoretical foundation of the impact of compensation on the working motivation of the employee.

2 Aims, Objectives and Research Questions of the Study

The study aims to assess types of employee compensation affecting the motivation of employees in the company and provide some recommendations to promote the motivation of these staff.

2.2 Research Objectives of the Study

(1) Identifying types of employee compensation affecting the working motivation of Support Division staff at Vinhomes JSC

(2) Evaluating the impact of employee compensation on the work motivation of Support Division staff at Vinhomes JSC

(3) Proposing solutions to improve the motivation of Support Division staff at Vinhomes JSC.

2.3 Research Questions of the Study

Question 1: What types of employee compensation affect the working motivation of Support Division staff at Vinhomes JSC?

Question 2: How do the types of employee compensation affect the working motivation of Support Division staff at Vinhomes JSC?

Question 3: What are some suggestions to motivate Support Division staff atVinhomes JSC?

Scope of the SfUdÌy kh HH HT HT HH HH HH nh nh trệt 2 4 Research Structure - HH TH HH HH HH HH 2

(1) Research subject: The impact of employee compensation on the working motivation of Support Division staff at Vinhomes JSC.

(2) Research scope: Only focuses on the staff of Support Division

(3) Contents: Motivation and employee compensation affecting work motivation. (4) Time: From 2020 to 2022.

The study is divided into five main chapters:

Chapter 1: An Overview of Vinhomes Joint Stock Company

Bui Thi Huong Lan-11192673-61B Business English

This chapter provides general information about Vinhomes Joint Stock Company in terms of the development process, corporate culture and organizational structure; and the policies of employee compensation for staff at Vinhomes.

The chapter two illustrates the fundamental conceptual framework relevant to employee compensation which consists of definitions and the main types. Moreover, this chapter also gave the concept of the term motivation and some popular theories about motivation.

In this chapter, the introduction of participants, as well as the research sample, research model, data gathering methods, and data analysis procedures, would be mentioned.

Chapter 4: Data Analysis and Major Findings

Based on the survey results, the author synthesizes the collected data, then uses SPSS software to run the application model The processing results were provided and then interpreted the factors affecting the work motivation of Support Division staff at Vinhomes Jsc At the same time, it also shows the level of impact of the factors.

Chapter 5: Suggested Solutions to Motivate Employees at Vinhomes JSC

The last chapter will include a summary of the research findings, some suggestions for enhancing employee motivation at work, a discussion of the study's limitations, and new research directions for future studies.

AN OVERVIEW OF VINHOMES JOINT STOCK COMPANY

An Overview of Vinhomes JSC oe eeccssesseeeecseessecsseesceseesseesseeseesaeense 4 1 The Development Process and Achievements of Vinhomes

1.1.1 The Development Process and Achievements of Vinhomes

Vinhomes Joint Stock Company is a subsidiary of Vingroup According to Wikipedia, it is currently one of Vietnam's top business organizations in the real estate sector In the official website of Vinhomes, there are some important milestones referring to the development of Vinhomes Jsc:

2002: Establishing Vincom Joint Stock Company, formerly known as Vingroup- Joint Stock Company, the parent company of Vinhomes

2008: Establishing BIDV-PP Urban Joint Stock Company, the forerunner of Vinhomes with VND 300 billion in initial registered capital

2009: Renamed Nam Hanoi Urban Development Joint Stock Company

2010: Increasing charter capital to VND 2000 billion

2011: Becoming a public company and being granted permission to register for stock transactions at the Hanoi Stock Exchange (UPCoM) with the stock code NHN.

Starting the project of Vinhomes Times City high-class complex urban area with more than 12,000 apartments

2012: "Asia-Pacific Best Complex Project" for Vinhomes Riverside Urban Area at the Asia-Pacific Real Estate Award

2013: Launching the construction of Vinhomes Royal City, a luxurious development with around 5,000 apartments.

2014: Put into operation the project of Vinhomes Riverside high-class urban area with the width of 183.5 ha

The best dual awards in Vietnam at the Asia-Pacific Real Estate Award of the world's most prestigious real estate award program-International PropertyAwards in two categories: -"Best Trade Center in Vietnam" For Vincom MegaMall Royal City - "Highly appreciated pharmaceutical complex project" for RoyalCity Urban Area.

2015: Putting into operation the Vinhomes Times City project with the friendly ecological architectural style of the Singapore island nation

The best dual awards in Vietnam at the Asia-Pacific Real Estate Award of the world's leading real estate award system-International Property Awards in two categories: -"Best Trade Center in Vietnam" For Vincom Mega Mall Times City -

"Best Complex Project" for Times City Urban Area.

2016: Putting into operation Vinhomes Central Park in Ho Chi Minh City- one of the most modern and advanced urban areas in Vietnam with more than 100,000 apartments, villas, and commercial townhouses

2017: Operating Vinhomes Golden River in Ho Chi Minh City- the most luxurious urban area in the Saigon River and in the heart of District 1

The prestigious international real estate award system- International Property Awards awarded Vinhomes Metropolis "The best high-rise building in Asia- Pacific".

2018: Renamed Vinhomes Joint Stock Company, increasing the charter capital to VND 28365 billion and listed at the Ho Chi Minh Stock Exchange (HOSE) currently in the top 3 companies with the largest market capitalization in the Vietnamese market

Launching the international great urban model and the sale of two projects of Vinhomes Ocean Park and Vinhomes Smart City Opening the tallest building in Vietnam Lanmark 81 at the Vinhomes Central Park complex project, with 81 floors and 461 meters high

Vinhomes Riverside was honored as "the best real estate in the world" at the International Real Estate Awards held in London

2019: Product lines are being reorganized into brand lines, including Vinhomes Diamound, Vinhomes Ruby, and Vinhomes Sapphire, while Vincity projects are being upgraded to Great Smart Project-branded Vinhomes.

The Guinness World Records awarded the title of " Urban area with saltwater lakes and artificial freshwater lakes spreading white sand in the world" for the Vinhomes Ocean Park Project.

2020: Vinhomes won the award "Smart City 2020" organized by the VietnamAssociation of Software and Information Technology Services (VINASA)

2021: Deploying the O20 business model (Online to offline) promotes business and multi-platform real estate transactions.

Vinhomes is the No 1 real estate brand in Vietnam, specializing in middle- and high-class complex development, leasing, and management Projects by Vinhomes are strategically located in important provinces around the nation.

Vinhomes aims each of its houses to truly be "A Place Full of Happiness" by not only constructing them but also providing a sophisticated and civilized living environment.

More than 40 real estate projects are owned and managed by Vingroup nationwide but the Vingroup’s reputation does not stop at a huge scale but include investments in Vietnam's quality of life that meet the highest international standards.

From the beginning of the development of projects, Vingroup has developed a standard of living with a complete utility infrastructure system that inludes areas for education, health, trade, cuisine, sports, culture, amusement parks, and garden In addition to convenient indoor areas such as hall, lounge, 5-star reception, community house, etc Vinhomes urban chain of Vingroup not only creates many of the cities voted as "the most livable in Vietnam" but additionally aid in establishing a new urban standard in the real estate market for middle- and upper- class housing.

1.1.2 Corporate Culture at Vinhomes JSC

1.1.2.1 The business philosophy of Vinhomes

Vinhomes aims to create products that are not only good for Vietnamese people but also contribute to building a famous Vietnamese brand, highly appreciated in the world It can be said that Vingroup not only has the ambition to create great values for Vietnamese society in terms of material but also spiritual values for the nation, contributing to changing the face of the country Through the above business views of Vinhomes" leaders, it can be seen that Vinhomes always operates consistently according to the common business philosophy: "Accepting the damage of themselves so as not to cause damage to customers already buy products"

1.1.2.2 Human Resource Management Philosophy of Vinhomes

Vinhomes Joint Stock Company always creates a professional, modern working environment, maximizing working power, dedicate, develop and honor workers and a harmonious combination of company interests with the interests of employees Besides, Vinhomes' 6 core values—"Credibility-Integrity-Creativity- Speed-Quality-Compassion"—serve as a framework for all of the company's operations and are used by both leaders and employees to produce streamlined personnel with both virtue and talent according to annual report of Vinhomes (2021).

Vinhomes is the top real estate development and management company in Vietnam with the goal of becoming a world-class organization It is renowned for its outstanding scale, service quality, and execution speed, and it drives the market to sustainable growth.

To provide the ideal living environment for Vietnamese inhabitants in urban for Vietnamese citizens in metropolitan areas, including well planned residential complexes that are in harmony with nature, a green environment and integrated facilities Vinhomes also nurtures its communities and develops a modern, lively, and gracious environment As the results, its residents will enjoy a high standard of living.

The industrial ecosystems of Vingroup in particular and Vietnam's industry in general were accompanied and promoted by Vinhomes as it steadily developed large-scale and influential industrial real estate projects.

Incredibility: Vingroup strongly protects its Credibility as protect its reputation and makes an attempt to deliver its commitments by constantly improving its execution and deployment readiness capabilities

Integrity: Integrity lays the foundation for Vingroup where we strictly adhere to the rules of the law and other regulations, prioritizing the interests of its customers

Creativity: Vingroup sees creativity as its vitalizing fuel for growth and embraces the entrepreneurial spirit to build a company that is always growing.

Speed: Vingroup values Speed and Efficiency as the guiding elements of its decision-making — “Fast To Decide, Fast To Invest, Fast To Deploy, Fast To Sell, Fast To Change, and Fast To Adapt”

Quality: Vingroup’s commitment to operate with high standard is shown as:

“Best in People, Best in Products and Services, Best in Quality of Life, and delivering the Best in Society.”

LITERATURE REVIEẨW LH HH re 13

General Theories of Employee Compensation - -ô++s<ô+++s+ 13 1 The concept of employee compenSaf1OI -‹- ô ô<< <+sx<s+ 13 2 The main types of employee compenSafIOn - - ô-sô+sô+sô2 13 2.2 The General Theory of Motivation for WOFK€fS .- ccsô sex 19 2 The concept Of MOtiVAtION - - - c5 11+ 11 series 19 2.2.3 Some theories about IOfIVAfIOH - s6 5 s13 3 ren 21

2.1.1 The concept of employee compensation

Compensation is the actions of this object to other objects that are entitled to the rights commensurate with their contribution (Le Thi Huyen, 2015) The compensation includes actions such as: behavior, treatment, and attitudes of the object given benefits to the subjects creating benefits Therefore, employee compensation includes a series of managers’ actions for workers whose actions create benefits for them These benefits are not only salaries or wages payment but also related to the working process of workers, even when they have quitted jobs.

The process of taking care of workers’ material and spiritual life so that they can fulfill the assigned tasks and thereby contribute to the achievement of the business goals is known as employee compensation (Hoang Van Hai and et al., 2011) The combination of these two activities is necessary to create motivation and promote better work for employees in the business.

According to Hoang Van Hai (2011), compensation consists of two main types: financial compensation and non-financial compensation Financial compensation is carried out through many tools such as salary, bonus, allowance, etc Non-financial compensation is generally implemented through the work and the working environment with specific activities such as joyfulness, interest, passion for work, fair treatment, respect, etc Financial compensation is a necessary condition and non-financial one is a sufficient condition to retain staff.

For most employees, income is the first motivation to motivate them to work. However, workers will work better when they are assigned to work in accordance with their expertise, working in a comfortable environment From there, their income has also improved significantly Therefore, non-financial compensation is a condition for employees to enjoy the best financial one.

2.1.2 The main types of employee compensation

Employee compensation in the business is carried through two main types: financial compensation and non-financial compensation including the following specific activities

Financial compensation is fundamentally a method of providing for a worker's material needs using financial resources such as salary, allowances, benefits, subsidies, shares, etc Through financial compensation, companies encourage workers to work passionately, enthusiastically, creatively and more importantly, long-term attachment to businesses.

The basic compensation is a fixed amount that the employee receives in the form of salary (weekly, monthly) or hourly wages Basic remuneration is determined by the particular type of work, the amount of work, qualifications and seniority of the employee.

The wages are the amount paid to the employee depending on real working time (date, hour), the quantity of goods produced, or the amount of labor that has been accomplished The wages are often paid to production workers and employees who maintain machinery and equipment.

The salary is the sum that is consistently and regularly paid to the employee in a given period of time (week, month, year) Officials and technical experts are frequently paid salaries.

We can distinguish that the actual working time of the salaries is from the beginning to the end of the labor contract, and the actual working time of wages is from the beginning to the end of the job Thus, salaries are often associated with stable jobs, and wages are often associated with the specific work quality. However, in fact, these two terms are frequently used interchangeably to describe the fundamental compensation that an employee receives from the company.

These are the money that businesses pay to employees because they have contributions and achievement that exceed the level and responsibility (Vu Thuy Duong and Hoang Van Hai, 2009, page 164) The bonus along with the salary creates the main income of the employee Therefore, the bonus also helps workers more fully meet the material and spiritual requirements of themselves and their families Bonuses might be considered the most powerful material motivator for employees, especially those with potential and capacity Bonuses are financial incentives that are given once (often at the end of the month, quarter, or year) as

Bui Thi Huong Lan-11192673-61B Business English payment for the employee's work The bonus can also be awarded unexpectedly to reward outstanding achievements such as completing the project earlier than anticipated, saving budget or having significant innovation initiatives Bonuses include many types: bonuses according to productivity, and quality; rewards for saving materials; rewards for initiatives and technical improvements; rewards according to business results; or rewards for completing the schedule early compared to the regulations.

The shares are a form of compensation used to encourage long-term employee loyalty and increase corporate responsibility Workers are given shares of the organization, prioritizing buying or buying at low prices below the market level This program is to make workers become a part of the organization, linking the interests of individuals with the interests of the organization, thus promoting their responsibility as well as their working efforts for them

The benefits are the amount that an individual receives from his or her business in addition to the wages they receive In Vietnam, benefits are indirect remunerations that are organized to support workers’ life In most organizations, managers are aware of the necessity of offering workers various types of insurance and programs relating to their health, safety, insurance, and other advantages. There are normally two types of benefits which are mandatory benefits and voluntary benefits:

Mandatory benefit is the minimum benefit that organizations must set at the request of the law In Vietnam, the mandatory benefit includes 5 social insurance regulations: sickness allowance, labor accidents or occupational diseases, maternity, retirement, and death.

Voluntary benefit is the types of benefits organizations give depending on their economic abilities and the attention of business leaders, including the following types:

(i) Insurance benefits: e Health insurance pays for disease prevention such as physical training programs to avoid stress when the stress effect is increasing in the working environment or sick care;

Bui Thi Huong Lan-11192673-61B Business English e Life insurance pays for the employee's family members when they die.

Maybe the employer supports a part of the insurance or the entire insurance. (ii) Guaranteed welfare: e Income insurance is the payments for employees who have lost their jobs due to an organization such as narrowing production, reducing payroll, reducing production demand and services, etc; e Retirement assurance is the payments to employees with the number of years working at the company according to the company prescribed when they retire.

RESEARCH METHODOLOGY . .Ăc2ce<Ă2 27 3.1 Exploratory Study to Identify Types of Compensation

Research Model, Proposed Research Hypothesis and Variables

From the theories and related studies, the initial linear regression model is proposed with dependent variables - the work motivation and independent variables including income; benefits, work, promotion opportunities, working conditions, and building relationships with leaders and colleagues.

Types of The work compensation Promotion and Career motivation

Relationship with leader and colleagues

(Source: Summary from the previous researchers)

The income level of employees is high or low, the H1: Income ơơ motivation to work increases or decreases.

The level of interest in the benefits of employees in H2: Benefit ơ ; oo, the same direction as their labor motivation.

The more appropriate the work is, the higher the work H3: Work motivation is and vice versa

The promotion and career opportunities are highly appreciated or low, the motivation of the employees also increases or decreases.

Working conditions are proportional to the motivation of the staff.

H6: Relationship with leader and colleagues

Building relationships with leaders and colleagues is concerned, the work motivation is higher.

(Source: The author’s synthesis) 3.3 Survey Questionnaire

The five-level Likert scale was utilized in this study for all observations, independent variables, and dependent variables, as follows:

Scale 1: Totally disagree Scale 2: Disagree

Scale 3: Neutral Scale 4: Agree Scale 5: Totally agree

The questionnaire was designed based on secondary data presented in the overview of the research situation and developing hypotheses The initial

Bui Thi Huong Lan-11192673-61B Business English questionnaire was consulted by the instructor and a number of surveys to adjust accordingly Finally, the complete questionnaire is designed with the name:

“Questionnaire investigating the impact of Employee Compensation on the Working Motivation of Support Division Staff at Vinhomes JSC” includes

(1) Information about respondents such as full name, address, gender, date of birth, email, number of years of experience, and education.

(2) Information about the impact of employee compensation on working motivation is shown in the form of questions that reflect the assessment of each factor including income, benefits, work, promotion opportunities, working conditions and building relationships with leaders and colleagues.

(3) Information about work motivation in general

Due to limitations of research resources and research time, the author conducted a survey through a questionnaire on a Google Forms The researcher then makes a list of employees in the Support Division, finds their personal emails, and sends the questionnaire to ask them to fill in the survey.

The author sent the questionnaire and collected 79 answer sheets After filtering invalid votes, 72 valid votes remained, accounting for 91% During the survey, there are 07 votes that are not guaranteed to be valid because all answers are the same All valid samples will be data processed using SPSS 20.0 software. 3.5 Data Analysis

SPSS 20 software has been used to analyze data collected and conduct statistical work in order to test the reliability of the scale and the implementation of statistics.

One of the aims of this topic is to build and test the reliability of the scale of each factor of the employee compensation affecting the motivation of the employee at Vinhomes JSC Two coefficient-determining tools Cronbach’s Alpha and EFA (Exploratory Factor Analysis) technique will help accomplish this goal. Cronbach’s Alpha will check the reliability of variables used to measure each type

Bui Thi Huong Lan-11192673-61B Business English of employee compensation Unprecedented variables will be eliminated from the scale and will not appear in the factor analysis After eliminating the variables that do not guarantee reliability, the retention variables will be considered for compatibility through EFA Factor analysis will answer the question of whether variables are used to evaluate the impact on the motivation that has adhesion is high or not and they can collect it into some fewer factors to view or not Next, the multi-variable linear regression analysis method is applied to determine the direction and extent of the influence of each type of compensation on the employee's motivation at Vinhomes JSC.

3.5.2 Correlation coefficient and linear regression analysis

First of all, the correlation coefficient between work motivation with the factors of employee compensation will be considered Next, the multi-variable linear regression analysis) is also done by Ordinal Least Squares, of which the dependent variable is the work motivation, independent variables are expected to be income, benefits, work, promotion opportunities, working conditions and building relationships with leaders and colleagues Enter the variable selection method is conducted The R adjustment coefficient is used to assess the appropriateness of the model, the F test is used to check the ability to expand this model to the overall as well as the t-test to reject the hypothesis that the overall regression coefficient is 0 Finally, in order to ensure the reliability of the final regression equation is suitable, some detectors of the violations of the assumption needed in linear regression are also performed.

DATA ANALYSIS AND MAJOR FINDINGS

Types of Employee Compensation Affect the Work Motivation of Support

Support Division Staff at Vinhomes JSC

The reliability of the scale is evaluated through Cronbach’s alpha (a) coefficient and Item total correlation Many researchers agree that the 0.8< a

0.95: There is a phenomenon of duplication in the question items, so it is not acceptable If the study concept is new or the concept is new to the respondents in the research context, the Cronbach's alpha of 0.6 or higher can be used according to some researchers (Hoang Trong - Chu Ngoc Nguyen Mong, 2008) So for this study, the cronbach’s alpha of 0.6 or higher is usable.

According to Nunnally & Burnstein (1994), the item-total correlation must be greater than 0.3 The correlation coefficient measures how closely a variable correlates with the average score of the other variables on the same scale The greater the correlation coefficient, the more closely the variables correlate with one another The scale will not include any variables whose correlation coefficient is less than 0.3 or equal to the value of the total variable.

Table 4.1: The reliability test results of Salary

Scale Mean if Scale Corrected Squared Cronbach's Item Deleted Variance if ltem-Total Multiple Alpha if Item

Item Deleted Correlation Correlation Deleted

(Source: Synthesis from analysis results on SPSS)

The results of Cronbach’s alpha analysis for salary factors reached 0.799 > 0.6, so it is usable If the author removes any variables in this factor, the Cronbach’s alpha coefficient decreases However, when comparing the total correlation coefficient, the S2 (The company pays salary on time) has a low correlation coefficient of 0.2126 < 0.3 When S2 variable is eliminated, the Cronbach’s alpha coefficient increases to 0.882 > 0.6 Therefore, the author eliminates S2 and retains 3 variables of salary factor S1 (The salary is worth of your efforts and contributions in the working process), S3 (The company has a reasonable salary-increase regulation) and S4 (You can live well based on the income from the current job at the company) because they ensure the reliability of the scale.

Table 4.2: The reliability test results of Benefits

Analysis of Cronbach's alpha coefficient of 7 variables in Benefit has the result of 0.756 > 0.6, which is acceptable Regarding the total variable correlation coefficient, the B7 (You receive good benefits outside the provisions of the Labor Law (toxic allowances, travel expenses, eating allowances, overtime allowances, etc)) variable has a coefficient of less than 0.3, which shows that the relationship of this variable is in poor overall so the author eliminates the B7 variable in the study The total variable correlation coefficient of the other variables is more than 0.3, ensuring reliability Therefore, the Benefit factor measured by 6 variables are B1 (The policies on social insurance and health insurance are implemented well), B2 (You are satisfactorily resolved the regulation of leaves such as sick leave, paternity leave, maternity leave, annual leave, etc), B3 (You are satisfied with the company's annual tourism and resort regulation), B4 (You are satisfied with the company's annual health check regulation), B5 (You are satisfied with the monthly, quarterly and annual bonuses of the organization) and B6 (The company regularly gives gifts, bonuses on holidays, New Year, anniversaries)

Table 4.3: The reliability test results of Work

The Cronbach’s alpha coefficient in Work is only 0.597 (< 0.6), which is unacceptable in this study W2 (The job position is suitable for your desire and ability) and W5 (You are regularly under pressure and stress at work) have the low total variable correlation coefficient of 0.285 and 0.142 respectively that are smaller than 0.3 The author removed WS first because this variable has the lowest correlation coefficient.

Table 4.4: The reliability test results of Work after adjustment

(Source: Synthesis from analysis results on SPSS) The new Cronbach’s alpha coefficient is higher (0.714) and the new total correlation coefficient of W2 variable also increases to 0.379, which is usable. Therefore, the variables of W1 (The job you are doing is stable and long-term),

\W2 (The job is suitable for your desire and ability), W3 (You can use a lot of skills at work) and W4 (The result of evaluating work is fair and accurate) are retained to do the following steps.

Table 4.5: The reliability test results of Promotion and Career Opportunities

Promotion and Career Opportunities has a Cronbach’s alpha coefficient of 0.796 which is greater than 0.6 and the total correlation value of the variables in the scale is higher than 0.3 Therefore, they are completely suitable for the scale and used for the next EFA analysis.

Table 4.6: The reliability test results of Work condition

Work Condition has the low the Cronbach’s alpha coefficients (0.527 < 0.6), which is unusable in this study The total variable correlation coefficient of the WCS (You don't spend too much time from home to work) and WC6 (The company regularly organizes collective activities to encourage employees' motivation) is not eligible, so they are excluded from the scale

Table 4.7: The reliability test results of Work condition after adjustment

The new Cronbach’s alpha coefficient of Work Condition is 0.745 which is greater than 0.6 and the total correlation value of the other variables in the scale is higher than 0.3 Therefore, WC1 (The working time of the company is reasonable), WC2 (The company provides a full range of information technology equipment and equipment necessary for the job), WC3 (The workplace ensures safety and comfort) and WC4 (You are satisfied with the workspace at the company) are used for the next steps.

Table 4.8: The reliability test results of Relationship with leaders and colleagues

Table 4.9: The reliability test results of Motivation

The Cronbach's Alpha coefficient of Relationship with leaders & colleagues and Motivation is quite high, 0.849 and 0.872 respectively Moreover, all the total variable correlation coefficients are also larger than 0.5 This confirms the scale of

Bui Thi Huong Lan-11192673-61B Business English these factors from variables is appropriate and reliable Therefore, these variables can be used in the next analysis.

In conclusion, the results of an evaluation of the scale by Cronbach’s alpha method for 7 factors before Exploratory Factor Analysis (EFA) show that all seven factors are eligible for the next analysis In terms of a total correlation coefficient, thirty of the total of 35 observed variables built to measure 7 factors have a correlation coefficient greater than 0.3, so these 30 variables are included in the data to analyze exploratory factors Five variables S2, B7, W5, WC5 and WC6 do not satisfy the conditions are removed.

4.1.2 Exploratory factor analysis and the model adjustment

After testing the reliability of the scale, 30 variables are conducted for the exploratory factor analysis In particular, the author divides into 2 phases in EFA analysis, including Analysis of exploratory factors for independent factors and for dependent factors (employee motivation)

The following is the list of some basic indicators in the factor analysis:

(1) Kaiser-Meyer-Olkin (KMO): KMO measure of sampling adequacy is a statistical tool used to evaluate the appropriateness of factor analysis based on the sample of the study EFA is appropriate when 0.5 < KMO < 1 The Bartlet test hypotheses about the correlation between the observed variables, if this test has statistical significance (Sig < 0.05), the observed variables are correlated with each other in the overall (Hoang Trong & Chu Nguyen Mong Ngoc, 2005).

(2) The total variance > 50% (Hair va Ctg, 1998 and Gerbing & Anderson, 1988) (3) Eigenvalue >1 (Gerbing & Anderson, 1998).

(4) Factor Loading > 0,5 (Hair & Ctg, 1998, pIIl) The factor loading is an indicator run a meaningful EFA Variables that do not match this requirement will be removed from the model because they are not crucial variables.

Analysis of exploratory factors for independent factors

After running the first EFA, the variables are divided into 6 factors The author obtained the coefficient satisfying the criteria as follows: KMO = 0.779 > 0.5 and Sig value = 0,000 50% and Eigenvalue

= 1.225 > 1 However, there are bad variables because Factor Loading

Tiêu đề	A Study on Some Effects of Employee Compensation On the Work Motivation of Support Division Staff At a Joint Stock Company in Vietnam And Some Recommendations
Tác giả	Bui Thi Huong Lan
Người hướng dẫn	Ass. Prof. Dr. Pham Thi Thanh Thuy
Trường học	National Economics University
Chuyên ngành	Business English
Thể loại	Graduation Thesis
Năm xuất bản	2023
Thành phố	Hanoi

Định dạng
Số trang	86
Dung lượng	17,16 MB