Relationship between leadership style and intrinsic motivation, moderating effects of power distance orientation and time with leader

MINISTRY OF EDUCATION HOCHIMINH CITY UNIVERSITY OF ECONOMICS - LE HUU MINH QUAN RELATIONSHIP BETWEEN LEADERSHIP STYLE AND INTRINSIC MOTIVATION: MODERATING EFFECTS OF POWER DISTANCE ORIENTATION AND TIME WITH LEADER MASTER OF BUSINESS ADMINISTRATION THESIS HoChiMinh City – 2012 MINISTRY OF EDUCATION HOCHIMINH CITY UNIVERSITY OF ECONOMICS LE HUU MINH QUAN RELATIONSHIP BETWEEN LEADERSHIP STYLE AND INTRINSIC MOTIVATION: MODERATING EFFECTS OF POWER DISTANCE ORIENTATION AND TIME WITH LEADER Major: Business Administration Major Code: 60.34.05 MASTER OF BUSINESS ADMINISTRATION THESIS Supervisor: DR PHAM QUOC HUNG HoChiMinh City – 2012 i ACKNOWLEDGEMENT Without the significant support and contributions made by other people, I would have not been able to make this thesis a reality I am especially grateful to Dr Pham Quoc Hung, my mentor This thesis could never been completed without his help and guidance He inspired me to explore the topic from different viewpoints He guided me throughout the process of formulating the ideas to establish my research on a sound foundation While my study was in progress, Dr Hung timely pointed out my mistakes and assisted me with insightful comments by his wisdom, remarkable professional knowledge, wealth of experience and passion I am fortunate to have great friends and colleagues who have supported me throughout the entire period of my studies until accomplishing this thesis, especially to those who helped me with my data collection I have many other people at Ho Chi Minh University of Economics to thank for helping me along my scholastic journey I deeply appreciate my wife and my expectant baby, for their endless love and always wholeheartedly supporting me throughout my most difficult time She gave me time to be a student when she needed a husband to share with her and take care of her during her very first hard trimester of her pregnancy I cannot list down everyone who helped me but I extend my thanks to each of them Truly, without you, it would never have turned out this well ii ABSTRACT Using 253 followers in HoChiMinh city – the biggest city in Vietnam – the author found that part of the transformational and transactional leadership behaviours were related to follower’s intrinsic motivation In detail, core transformational leadership and high performance expectation positively affected follower’s intrinsic motivation while contingent punishment posed negative impact Providing individualized support, intellectual stimulation, and contingent reward were not found to be related to intrinsic motivation Assumptions were provided to back up the findings Results of the study did not prove the moderating role of power distance orientation on the relationship between leadership behaviors and follower’s intrinsic motivation However, time with leader showed to be the moderator for the relationship: the relationship between core transformational leadership behaviors and follower’s intrinsic motivation was more positive when follower had shorter working relationship time with leader Along the study, results also showed that there was significant effect of age on follower’s intrinsic motivation, both males and females However, difference magnitudes of effects between males and females were observed at different age groups Key words: transformational leadership, transactional leadership, intrinsic motivation, time with manger iii TABLE OF CONTENT Page ACKNOWLEDGEMENT i ABSTRACT ii LIST OF TABLES vii LIST OF FIGURES viii CHAPTER 1: INTRODUCTION TO THE STUDY 1.1 Research background 1.2 Research objectives 1.3 Research scope and approach 1.4 Research structure CHAPTER 2: LITERATURE REVIEW, THEORETICAL FRAMEWORK, AND HYPOTHESES 2.1 Leadership behaviors 2.1.1 Transactional leadership behaviors 2.1.2 Transformational leadership behaviors 2.2 Leadership and intrinsic motivation 2.2.1 Intrinsic motivation 2.2.2 Transformational leadership and intrinsic motivation 2.2.2.1 Core transformational leadership behaviors and intrinsic motivation 2.2.2.2 High performance expectation and intrinsic motivation 2.2.2.3 Providing individualized support and intrinsic motivation iv TABLE OF CONTENT Continued 2.2.2.4 Intellectual stimulation and intrinsic motivation 2.2.3 Transactional leadership and intrinsic motivation 10 2.2.3.1 Contingent reward and intrinsic motivation 10 2.2.3.2 Contingent punishment and intrinsic motivation 10 2.3 Power distance orientation as a moderator of the leader behaviorfollower’s intrinsic motivation relationship 11 2.3.1 Cultural values as moderators of the leader behavior-follower’s intrinsic motivation relationship 11 2.3.2 Power distance orientation as the moderator of the leader behaviorfollower’s intrinsic motivation relationship 12 2.4 Time with leader as a moderator of the leader behavior-follower’s intrinsic motivation relationship 11 CHAPTER 3: RESEARCH METHODOLOGY 16 3.1 Research design 16 3.2 Questionnaire development 17 3.2.1 Transformational leadership 18 3.2.2 Transactional leadership 19 3.2.3 Power distance orientation 19 3.2.4 Intrinsic motivation 19 3.2.5 Control variables 19 3.3 Translation of the questionnaire 20 3.4 The pilot study 21 v TABLE OF CONTENT Continued 3.4.1 Pilot study phase 21 3.4.2 Pilot study phase 22 3.5 Target population 24 3.6 Sample size 24 3.7 Selecting the sample and collecting data 25 3.8 Sample characteristics 26 3.9 Methods of data analysis 26 3.9.1 Data cleaning 26 3.9.2 Reliability 26 3.9.3 Confirmatory factor analysis 27 3.9.4 Analysis of Variance (one-way and two-way ANOVA) 28 3.9.5 Regression analysis 28 CHAPTER 4: DATA ANALYSIS 30 4.1 Data cleaning 30 4.2 Profiles of qualified respondents 30 4.3 Normality analysis 32 4.4 Reliability of the measurements 33 4.5 Confirmatory factor analysis 34 4.6 Analysis of variance 37 4.7 Correlation analysis 41 4.8 Hypotheses testing 43 vi TABLE OF CONTENT Continued 4.8.1 Effects of leadership behaviors on follower’s intrinsic motivation (H1a, H1b, H1c, H1d, H2a, H2b) 43 4.8.2 Moderating effects of power distance orientation on the leadership behaviors-follower’s intrinsic motivation relationship (H3a, H3b) 45 4.8.3 Moderating effects of Time with Manager on the leadership behaviorsfollower’s intrinsic motivation relationship (H4a, H4b) 47 CHAPTER 5: DISCUSSION 50 5.1 Discussions of findings 50 5.2 Practical implications 53 5.3 Contribution of the current study 54 5.4 Limitations and future research 55 REFERENCES 57 RESERCH APPENDICES 63 Appendix A: Vietnamese Questionnaire 63 Appendix B: Reliability Test Results 66 Appendix C: Testing Regression Assumptions 72 vii LIST OF TABLES Number 3-1 Survey Item Used in the Study 3-2 Assessing Fit Indices 4-1 Variables Included in the Analyses 4-2 Socio-demographic Characteristics of the Qualified Sa 4-3 Assessment of Normality 4-4 Summary of Cronbach Alpha Measures Across Variab 4-5 Assessing Fit Indices – Hypothesized Model 4-6 Standardized Regression Weights – Hypothesized Mod 4-7 Assessing Fit Indices – Modified Model 4-8 Analysis of Variance 4-9 2-Way ANOVA of Age and Sex 4-10 Descriptive Statistics and Correlations 4-11 Multi Linear Regression: Model summary, ANOVA & 4-12 Power Distance Orientation Moderates the Relations Transformational Leadership and Subordinate Intrinsic Motivation 4-13 Power Distance Orientation Moderates the Relations Performance Expectation and Subordinate Intrinsic Motivation 4-14 Power Distance Orientation Moderates the Relations Punishment and Subordinate Intrinsic Motivation 4-15 Time with Manager Moderates the Relationship betw Transformational Leadership Behaviours and Subordinate Intrinsic Motivation viii LIST OF FIGURES Number 2-1 The Hypothesized Model 3-1 The Research Process 4-1 Hypothesized First-order 32-items CFA Model 4-2 2-Way ANOVA of Age and Sex – Plot of Means 5-1 Building Blocks for the Four Types of Intrinsic Rewards 61 Leader, Satisfaction, And Organizational Citizenship Behaviours Leadership Quarterly, 1(2): 108-142 Podsakoff, P., 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M.E Sharpe th Werner, J M., DeSimone, R L 2009 Human Resource Development 6e (6 ed.), Mason, OH: South Western Zhang, X., & Bartol, K M 2010 Linking Empowering Leadership and Employee Creativity: The Influence of Psychological Empowerment, Intrinsic Motivation, and Creative Process Engagement Academy of Management Journal, 53(1): 107-128 63 APPENDIX A Kính chào Anh/ Chị, Bảng câu hỏi thực khuôn khổ luận văn tốt nghiệp Cao học, chuyên ngành Quản Trị Kinh Doanh trường Đại học Kinh Tế Tp Hồ Chí Minh Mục đích đề tài nghiên cứu mối quan hệ hành vi nhà lãnh đạo động làm việc nhân viên Tôi xin cam kết thông tin từ bảng câu hỏi sử dụng cho mục đích nghiên cứu phạm vi luận văn nêu Xin chân thành cảm ơn! A Nói người quản lý trực tiếp Anh/Chị, vui lịng cho biết mức độ khơng đồng ý/ đồng ý Anh/ Chị với phát biểu Vui lịng khoanh trịn 01 số thích hợp cho phát biểu Các phát biểu 1-21 bắt đầu “Người quản lí trực tiếp tơi…” Hồn tồn phản …truyền đạt tầm nhìn/ định hướng cảm hứng cho nhân viên …là hình mẫu cơng việc cho nhân viên …đẩy mạnh hợp tác hướng thành viên đến mục tiêu chung nhóm …thể rõ anh/ chị kỳ vọng nhiều từ chúng tơi …kiên u cầu thành tích tốt …sẽ khơng hài lịng cịn làm tốt …hành động mà không cân nhắc đến cảm xúc …thể tôn trọng cảm xúc cá nhân …hành xử với mà không quan tâm đến cảm xúc cá nhân …cân nhắc đến cảm xúc cá nhân trước hành động 10 …yêu cầu nghĩ vấn đề cũ qua lăng kính 11 …đưa câu hỏi thơi thúc tơi nghĩ cách làm việc 12 …khuyến khích tơi suy nghĩ/ đánh giá lại cách làm việc 13 …đưa ý kiến thúc xem xét lại vài vấn đề công việc 14 mà cho …ln đưa phản hồi tích cực tơi làm tốt 15 …tán thưởng/ tuyên dương cách đặc biệt làm tốt 16 64 …khen thưởng làm tốt mục tiêu đặt 17 …thường khơng cơng nhận thành tích tốt tơi 18 …thể khơng hài lịng tơi làm không tốt 19 …cho biết làm không tốt 20 …nhắc nhở hiệu công việc không đạt yều cầu 21 B Về quan hệ cấp trên-cấp nói chung, vui lịng cho biết mức độ đồng ý Anh/ Chị với phát biểu Vui lòng khoanh tròn 01 số thích hợp cho phát biểu Hồn tồn phản Trong hầu hết tình huống, cấp nên đưa định mà không cần 22 tham khảo ý kiến cấp Trong vấn đề liên quan đến cơng việc, cấp có quyền mong đợi 23 phục tùng từ cấp Những nhân viên hay thắc mắc quyền hạn đơi khiến người 24 quản lý bớt hiệu Một quản lý cấp cao đưa định, nhân viên khác công 25 ty không nên thắc mắc Cấp không nên thể phản cấp 26 Cấp cần có khả đưa định mà không cần tham khảo ý kiến 27 người khác Nếu để cấp tham gia vào trình đưa định, cấp 28 quyền lực Không vi phạm nguyên tắc công ty – nhân viên 29 nghĩ lợi ích cơng ty C Nói cơng việc Anh/ Chị, vui lòng cho biết mức độ đồng ý Anh/ Chị với phát biểu Vui lòng khoanh trịn 01 số thích hợp cho phát biểu Các phát biểu 30-38 bắt đầu “Tôi cảm thấy gắn bó cơng việc vì…” …tơi thích tìm giải pháp cho vấn đề phức tạp 30 …tơi thích xây dựng quy trình làm việc 31 …tơi thích cải thiện quy trình sản phẩm có 32 D Cuối cùng, vui lịng cho biết vài thơng tin thân Anh/ Chị: 65 39 Giới tính:□ Nam 41 Trình độ học vấn 42 Anh/ Chị bắt đầu làm từ năm 44 Anh/ Chị làm việc với người quản lí trực tiếp cơng ty bao lâu? 45 Người quản lí trực tiếp Anh/ Chị mang quốc tịch gì? 46 Cơng ty Anh/ Chị làm việc Chân thành cảm ơn! 66 APPENDIX B Appendix B-1: Reliability Test for Core Transformational Leadership Behaviors Reliability Statistics Alpha X1 X2 X3 Item-Total Statistics X1 X2 X3 Appendix B-2: Reliability Test for Core High Performance Expectation Reliability Statistics Alpha X4 X5 X6 67 Item-Total Statistics X4 X5 X6 Appendix B-3: Reliability Test for Providing Individualized Support Reliability Statistics Cronbach's Alpha X7 X8 X9 X10 Item-Total Statistics X7 X8 X9 X10 68 Appendix B-4: Reliability Test for Intellectual Stimulation Reliability Statistics Cronbach's Alpha X11 X12 X13 X14 Item-Total Statistics X11 X12 X13 X14 Appendix B-5: Reliability Test for Contingent Reward Reliability Statistics Cronbach's Alpha 860 69 Item Statistics X15 X16 X17 X18 Item-Total Statistics X15 X16 X17 X18 Appendix B-6: Reliability Test for Contingent Punishment Reliability Statistics Alpha X19 X20 X21 70 Item-Total Statistics X19 X20 X21 Appendix B-7: Reliability Test for Power Distance Orientation Reliability Statistics Cronbach's Alpha X22 X23 X24 X25 X26 X27 X28 X29 71 Item-Total Statistics X22 X23 X24 X25 X26 X27 X28 X29 Appendix B-8: Reliability Test for Intrinsic Motivation Reliability Statistics Alpha X30 X31 X32 Item-Total Statistics X30 X31 X32 72 APPENDIX C: Testing Regression Assumptions Appendix C-1: Test of Linearity Appendix C-2: Test of Normally Distributed Error ...MINISTRY OF EDUCATION HOCHIMINH CITY UNIVERSITY OF ECONOMICS LE HUU MINH QUAN RELATIONSHIP BETWEEN LEADERSHIP STYLE AND INTRINSIC MOTIVATION: MODERATING EFFECTS OF POWER DISTANCE ORIENTATION. .. Results of the study did not prove the moderating role of power distance orientation on the relationship between leadership behaviors and follower’s intrinsic motivation However, time with leader. .. examine the role of power distance orientation and time with leader as moderators of the relationship between transformational, transactional leadership behaviours and employee’s intrinsic motivation