01title Contents
01title Contents
01title Contents
This research aimed to study the factors that affect employees to have loyalty to
an organization. The researcher assumed that satisfaction in their job can create loyalty.
The study also aimed to determine what expectations of employees are in order to earn
their loyalty to the organization.
The sample group used in this research consisted of 500 current employees of
Jintana Apparel’s Nakhonpathom factory, focusing on both male and female, permanent
employees as the target group. The survey took 30 percent of the employees. All
members of the population who met the selection criteria of were approached to ask for
their willingness to participate in the study. The sample size in this study was about 150
people.
A questionnaire was the instrument in this study, comprising closed-ended
question, Likert matrix questions and open-ended questions. The Statistical Package for
Social Sciences (SPSS) program version 13.0 was used to analyze the data. Descriptive
statistics in terms of percentage, mean and standard deviation were applied to analyze the
data. The findings of the study indicated that factors like nature of work, career
advancement and recognition, employment benefits, relationship with their supervisors
and colleagues and working environment all have an effect on employees loyalty to the
organization.
The principle recommendation for further research is other factors, which have an
effect on organizational loyalty, such as personality, punctuality, emotional equivalence,
social support and others. All these should be considered to see whether or not there is
any relationship between them.
ii
ACKNOWLEDGEMENTS
This independent study could not have been completed without support from
many people. First of all I would like to take this opportunity to express my gratitude to
Associate Professor Kusumal Rajatanun, my advisor, who provided me with such
invaluable guidance and advice needed to carry out this study.
My sincerest appreciation is also extended to my beloved family and my
boyfriend, who kept on encouraging me to complete this study.
Special thanks is also given to my colleagues, who dedicated their time giving me
the information during the educational process. Lastly, I would thank all of my
classmates who gave me so much help and support throughout the program.
iii
CONTENTS
PAGE
ABSTRACT ………………………………………………………………. ii
ACKNOWLEDGEMENTS……………………………………………….. iii
CONTENTS ……………………………………………………………… iv
CHAPTER
1. INTRODUCTION ……………………………………………….... 1
1.1 Background ……………………………………………. …….. 1
1.2 Statement of the Problem ……………………………… …….. 3
1.3 Hypotheses ……………………………………………………. 3
1.4 Objectives of the Study ……………………………………….. 3
1.5 Definitions of Terms …………………………………………. 4
1.6 Scope of the Study ……………………………………………. 4
1.7 Significance of the Study ……………………………………… 4
1.8 Organization of the Study ……………………………………. 5
3. METHODOLOGY ………………………………………………. 13
3.1 Subjects ……………………………………………………… 13
3.2 Materials ………………………………………………………. 13
3.3 Procedure ……………………………………………………. 14
3.4 Data Analysis ………………………………………………… 14
4. RESULTS ……………………………………………………......... 16
4.1 Respondents’ Demographic Information………………………. 16
4.2 Respondents’ Level of Agreement…………………………….. 17
4.3 Results of Respondents’ Suggestions…………………………. 22
4.4 Result of Hypothesis Testing………………………………….. 23
REFERENCES ……………………………………………………………. 31
APPENDICES…………………………………………………………….. 33
A. Questionnaire in English ………………………………………. 33
B. Questionnaire in Thai …………………………………………. 38
v
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND
In the highly competitive business world of today, effective human resource
management is very critical. In order to survive or stay ahead of their competitors, many
organizations now have directed their attention, more and more, to the importance of
human resource management. One of the key issues in human resource management that
can help increase productivity is employee satisfaction. Syptak, Marsland, and Ulmer
(1999) pointed out that employee satisfaction and retention have always been important
issues. A high level of absenteeism and staff turnover can negatively affect the company
as a whole.
Satisfied employees show greater loyalty to their organization. Employee loyalty
is not just a virtue; it is the key to profitable growth. Loyalty in the workplace is
considered to be the fuel that drives the financial success of every company. In the
present, highly competitive and technologically advanced society, it is advantageous to
ensure overhead costs are kept as low as possible. One important way to accomplish this
feat is to retain those employees that have already been trained to be skillful employees
and be proficient in their job responsibilities. The cost of replacing an employee in
today's market is roughly one-half of that person's annual salary. This figure does not
include the loss of intellectual capital that results from each departure. We know to
replace old employees with new ones costs time, money and experience. But there is also
a possibility that the loss of a longtime employee will bring about the loss of loyal
customers.
Moreover, employee disloyalty results in low profitability. Organizations that
offer little in the way of technological developments, career opportunities or few
provisions for equal employment opportunities, racial discrimination, and rewards for
performance and allowance for benefits are likely to face employee disloyalty. Thus, it
would not benefit the organization to invest in high tech machinery and equipment, or
evolve using modern supply chain management programs unless they first address
employee loyalty issues. Employees who are not motivated to achieve organizational
2
company. The findings from this study will be useful to those manufacturers who are
trying to retain their skilled workforce.
1.3 HYPOTHESES
1.3.1 Factors like job satisfaction, career advancement, recognition, working
environment, employment benefits and relationship with their supervisor and colleagues
all affect employee loyalty to the company.
1.3.2 Employees with different characteristics such as gender, age, educational
background, length of employment and seniority, display different opinions on factors
affecting organizational loyalty.
This chapter reviews the literature in three main areas along with a summary: (1)
Importance of organizational loyalty (2) Theories of need and (3) relevant research.
Motivation will create commitment and lead to devotion to his job and organization,
which may possibly lead to organizational loyalty.
Physiological needs People’s primary needs; air, food, shelter, sex and relief of
pain.
Safety needs Once the physiological needs are met, the individual is
concerned with safety and security.
Belongingness Also called social needs. After establishing safety, people
look for love, friendship, affection and acceptance.
Esteem After belongingness is met, the individual focuses on
status, self-respect, recognition, and a feeling of prestige.
Self-actualization The highest level of needs is to develop one’s full
potential. To do so, one seeks growth, achievement and
advancement.
This can be applicable that to help make an employee feel more loyalty towards
an organization, we must know what that person is looking for. And then give him or her
the opportunity to achieve it, remembering that it is very important to keep them
motivated. Thus, retaining an employee's loyalty does not always require an increase in
8
his or her material compensation. Sometimes, all it takes is making the person feel
accepted by the group, or boosting his or her self-esteem, depending on where the person
is as far as the hierarchy of needs is concerned.
If a company can recognize these conditions early, steps can be taken to satisfy
the frustrated needs until the subordinate is able to pursue growth again.
This chapter describes the subjects, the materials, the procedures used in the
collection and analysis of the data, and the data analysis. A cross- sectional design was
used to examine the opinion of employees and their having loyalty to an
organization. The current study is to collect information on the employees’ opinion via a
questionnaire incorporating a five-point Likert scale. Additionally, open-ended questions
will be included to obtain more opinions and suggestions from respondents.
3.1 SUBJECTS
The population of this study was employees from every department in Jintana
Apparel Co.Ltd. Samples were selected using a non-probability sampling design. The
employees were asked, as to whether or not they would be willing to participate in this
study. Once they agreed, the self-administered questionnaire was distributed to them for
completion. The total number of the target population was about 500 monthly employees
who work in Jintana Apparel Co.Ltd., and this study recruited about 30% of the 500
employees. Therefore, the sample size was 150.
3.2 MATERIALS
A questionnaire was used as the instrument for this study. Before the distribution
of the final version to respondents, the questionnaire was pilot-tested with 20 respondents
in order to check their understanding of information within the questionnaire. Then it was
adjusted according to the comments.
The questionnaires were divided into three parts. The first part consisted of
closed-ended questions which were used to collect demographic information of the
respondents concerning, gender, age, educational background, length of employment and
position level.
The second part of questionnaire asked the respondents their opinions for factors
affecting loyalty to the organization using Likert’s five-point scale and comprised of 25
attitudinal statements to find their level of agreement.
14
The last part provided open-ended questions which were used to attain more
opinions and suggestions from the respondents.
3.3 PROCEDURES
3.3.1 Research Design
The design of this study was a cross-sectional survey. The instrument of this
research was a self-administered questionnaire. The 36-item-questionaire was distributed
to 150 participants who are current employees in the studied organization.
3.3.2 Data Collection
The data was collected by distributing the questionnaire to the participants in the
last two weeks of December 2009. One week later, the questionnaires were returned
randomly. Data analysis took about one month. Two weeks were spent to complete the
report for this study.
3.4.2 In part II – Likert design was used to measure the level of agreement. The
level of employees’ agreement towards the factors was calculated as follow:
3.4.3 Part III was in the form of an open-ended question to seek further
suggestions from the respondents.
In summary, this chapter has shown the subjects, materials, procedures and data
analysis of the research. In the next chapter the results of the research will be presented.
CHAPTER FOUR
RESULTS
The previous chapter explained about the instrument of measurement in this study as
well as the procedures. This chapter presents the data collected from the questionnaires of
120 respondents of Jintana Apparel Co.,Ltd. Staff members working in the Nakhonpathom
factory. The findings were interpreted to examine the factors that affect employees’ loyalty
to an organization. The results were analyzed using the Statistic Package for Social
Sciences (SPSS) version 13.0 to process all the data collection, which will be illustrated in
the form of tables and figures as follows.
This chapter is divided into four parts. The first part presents the respondents’
demographic information, the second part demonstrates mean of level of agreement of the
respondents towards the factors that affect them to have loyalty to the organization, the third
part provides the suggestions gained from the respondents and the last part presents the
results of the hypothesis testing.
Position level: Most of the respondents (58.30) are officers. Managers and
supervisors each represent a further 20.80% .
for career advancement at work was at the strongly agree level (X=4.28). To be part of a
team when problems are being solved was at the agree level (X=3.98). The opportunity for
promotion in the workplace dealt with fairly was at the strongly agree level (X=4.28). To be
supported by the company to attend training or seminars was at the strongly agree level
(X=4.24) and to be able to work independently was at a moderate level (X=3.95).
appropriately was at the strongly agree level (X=4.48) and to feel that salary matches job
responsibilities was at the strongly agree level (X=4.67).
From Table 7, 12 respondents suggested that the company, and their supervisors,
should assign job responsibilities to their employees that were appropriate with their
abilities, making them feel more willing to work, plus a longer future with the company. 22
23
respondents suggested that the company should provide on the job training, and advanced
skill training, or self-learning development programs for employees. 36 respondents
suggested that appropriate salary, benefits and special annual bonus, will encourage
employees to keep their loyalty for the company. And 5 respondents suggested that the
company should give more support, based on communication amongst staff, such as parties
or outings. No suggestions of any kind came from the respondents regarding working
environment aspects.
This chapter presents (1) a summary of the study, (2) a summary of the findings
(3) discussions of the finding, (4) conclusion, and (5) recommendations for further
research.
were aged over 35 years. 72.5% of the respondents held a Bachelor’s degree and 71.7 %
had worked with the company for more than 4 years and were in the officer position
level.
Part II: Most respondents agreed that with the nature of work, career advancement
and recognition, relationship with supervisor and colleagues and working environment
affected their loyalty to the organization. They had “strongly agree level” with the
employment benefits aspect having an effect on their loyalty to the organization.
Part III: The results of the first hypothesis test were that factors like nature of
work, career advancement and recognition, employment benefits, relationship with their
supervisors and colleagues and working environment all affect employees’ loyalty to the
organization. And the results of the second hypothesis test were that employees with
different characteristics, like age, educational background, length of employment and
different in seniority position level, except for gender, have different opinions on factors
affecting organizational loyalty.
Part IV: 12 respondents suggested that company and their supervisors should
assign job responsibilities to their employees that were appropriate with their abilities,
making them feel more willing to work, plus have a longer future with the company. 22
respondents suggested that the company should provide on the job training, and advanced
skill training or self-learning development programs for employees. 36 respondents
suggested that appropriate salary, benefits and special annual bonus will encourage
employees to retain their loyalty to the company. And 5 respondents suggested that the
company should give more support, based on communication amongst staff, such as
parties or outings. However, no suggestions of any kind came from the respondents
regarding working environment aspects.
5.3 DISCUSSIONS
The findings may be discussed based on 5 aspects in accordance with the
objectives of the study and the researcher’s observations as follows.
1. Nature of Work
It was found that the respondents agreed that the nature of work to encourage
them to stay longer with the company included a preference to work on important and
27
challenging jobs and a variety of jobs. The company gives importance to lifetime
employment but does not provide job rotation which makes the employees feel bored
with their job. They agreed to appropriate levels of work based on knowledge and
ability. This concurs with what Kampoo Pangtrai (กําภู แพงไตร, 2547) stated that having an
3. Employment Benefits
The respondents unanimously agreed that satisfaction with compensation, salary
and bonus, health insurance as well as an appropriate amount of annual holidays affect
them in working with the company longer in order to promote organizational loyalty.
28
This result could be confirmed with the findings in the study of Rahman Bin Abdullah et
al. (2009) which showed that there is linkage between employee satisfaction and
employee loyalty. The result show that employee satisfaction is aligned with the benefits
package, rewards, working conditions, teamwork and cooperation, and relationship with
supervisors.
ธิดา ศศิธร, 2547) mentioned that the company should provide activities to create a good
relationship betweens the officers and superiors. The respondents also thought that
having a good relationship and the opportunity to communicate in the organization will
build their connection. They are able to share their thoughts, ideas, and express feelings
that increase company productivity and good work collaboration. Moreover, the
respondents felt that if their supervisors listen to their opinion, help them to solve work
problems, and treated all subordinates equally then those actions helped to create a
feeling of loyalty.
5. Working environment
Working conditions is an area concerned with protecting the safety, health and
welfare of people engaged in work or employment. The goal of all occupational safety
and health programs is to foster a safe work environment. The respondents agreed those
working environments as well as the physical environments, such as work area
cleanliness, room temperature, light, noise, are factors affecting their loyalty to the
organization. This is similar as Noppakhun Kasantikul (นพคุณ กสานติกลุ , 2549)’s study. All
the areas of organizational factor such as warmth and support show a positive
relationship with the staff’s organizational commitment.
29
5.4 CONCLUSSION
From these research findings, this data can be used to improve the personnel
administration of the company, especially if it were to enhance a greater atmosphere of
loyalty within the organization. In terms of support, and to prolong an employee's stay
with the organization, the organization should collect data, concerning the needs of each
individual employee. In order to better promote or encourage their needs, the
organization should plan accordingly for their employee's welfare with better
compensation benefits.
The administrators should pay strict attention to all employees and should speed
up all intra-organization communication, especially relating to significant issues that
would affect all employees in their daily positions. Moreover, employees should be
allowed to express their opinions on the job, or during the company's activities as well,
allowing them the opportunity to decide their future development, and possible career
path. For the officer whose satisfaction level is lower than most they should be treated
with respect, and shown that they can develop themselves, by improving their job
performance. Then, a way should be found to promote them to a higher position, if
available.
In terms of feelings, in order to develop unity within the organization, they should
also encourage building the unity of employees who are working in other areas. The
company should open more communicative channels, helping to achieve a better
understanding of organizational goals work instructions, and the equality of allowance
and other profits.
For further research, other factors, which have an affect on organizational loyalty,
such as personality, punctuality, emotional equivalence, social support and others, should
be considered to see whether or not there is any relationship between them.
In part 3 of the questionnaire, some respondents did not give suggestions.
Therefore, the study might lack some other interesting ideas as to how to improve the
loyalty level within the organization. In the next research, ways of collecting data could
be done by employing multiple methods, such as observation and direct interviewing as a
tool, rather than using only questionnaires. This will help to obtain a much deeper
information base and many more completed answers.
REFERENCES
การศึกษา,มหาวิทยาลัยศรีนครินทรวิโรฒ, คณะศึกษาศาสตร.
มหาวิทยาลัยรามคําแหง, คณะรัฐศาสตร.
APPENDIX A
Questionnaire in English
Should you have questions or need more information about this study, please contact
Ms. Supapak Kamnerdkarn Tel: 081 920 0263 or E-mail: [email protected]
Instructions
Please mark X in the ( ) and fill in the information in the provided blank spaces
34
1. Gender
( ) 1. Male ( ) 2. Female
2. Age
( ) 1. Younger than 25 years old ( ) 2. 26 -30 years old
( ) 3. 31-35 years old ( ) 4. Over 35 years old
3. Educational background
( ) 1. Vocational
( ) 2. Bachelor
( ) 3. Higher than Bachelor
4. Length of Employment
( ) 1. 1 - 2 years
( ) 2. 3 – 4 years
( ) 3. Over 4 years
Please mark X in the ( ) and fill in the information in the provided blank spaces
5 = Strongly agree 4 = Agree
3 = Moderate
2 = Disagree 1 = Strongly disagree
Part 3:Suggestions
1. Nature of work
………………………………………………………………………………………………
………………………………………………………………………………………………
………………………………………………………………………………………………
2. Career advancement and recognition
………………………………………………………………………………………………
………………………………………………………………………………………………
………………………………………………………………………………………………
3. Employment benefits
………………………………………………………………………………………………
………………………………………………………………………………………………
………………………………………………………………………………………………
4. Relationship with their supervisors and colleagues
………………………………………………………………………………………………
………………………………………………………………………………………………
………………………………………………………………………………………………
5. Working environment
………………………………………………………………………………………………
………………………………………………………………………………………………
………………………………………………………………………………………………
6. Other suggestions
………………………………………………………………………………………………
………………………………………………………………………………………………
………………………………………………………………………………………………
Questionnaire in Thai
“ปจจัยที่มีผลตอความรูสึกภักดีตอองคกร ของพนักงานบริษัทผลิตชุดชั้นในในจังหวัดนครปฐม”
แบบสอบถามนี้เปนสวนหนึ่งของการทําสารนิพนธของนักศึกษาระดับบัณฑิตศึกษา หลักสูตรภาษอังกฤษ
เพื่ออาชีพ สถาบันภาษา มหาวิทยาลัยธรรมศาสตร การศึกษานี้ออกแบบเพื่อศึกษาปจจัยที่มีผลตอความรูสกึ ภักดีตอ
องคกร ขอมูลที่ไดมาจากการตอบแบบสอบถามนี้ จะนํามาใชเพื่อวัตถุประสงคทางการศึกษาเทานั้น และขอมูล
ทั้งหมดจะถูกเก็บเปนความลับ
ผูทําการวิจัยขอขอบพระคุณทานเปนอยางสูงในการตอบแบบสอบถามฉบับนี้
สวนที่ 1 ขอมูลทั่วไปของผูตอบแบบสอบถาม
1. เพศ
( ) 1. ชาย ( ) 2. หญิง
2. อายุ
( ) 1. ต่ํากวา 25 ป ( ) 2. 26 -30 ป
( ) 3. 31-35 ป ( ) 4. 36 ปขึ้นไป
3. ระดับการศึกษา
( ) 1. ต่ํากวาปริญญาตรี
( ) 2. ปริญญาตรี
( ) 3. สูงกวาปริญญาตรี
4. อายุการทํางาน
( ) 1. 1-2 ป
( ) 2. 3 – 4 ป
( ) 3. มากกวา 4 ปขึ้นไป
5. ปจจุบันทานปฏิบัติงานในระดับใด
( ) 1. ผูปฏิบัตงิ าน
( ) 2. หัวหนางาน
( ) 3. ระดับผูจดั การขึ้นไป
40
ทานมีความคิดเห็นอยางไรตอปจจัยตางๆตอไปนี้
ในแงของการที่ทําใหทานรูสึกภักดีตอองคกร ระดับความคิดเห็น
ลักษณะงาน เห็นดวย เห็นดวย ปานกลาง ไมเห็นดวย ไมเห็นดวย
มากที่สุด มาก ที่สุด
6 การไดทํางานทีต่ รงกับความรูความสามารถของทาน
7 การที่มีความคิดวางานที่ทํามีความสําคัญ
8 การไดรับผิดชอบงานที่มีปริมาณที่เหมาะสม
9 การไดทํางานทีม่ ีความหลากหลาย ไมรูสึกวาเบื่อ
10 การไดรับผิดชอบงานที่ทาทาย
ความสําเร็จ ความกาวหนา เห็นดวย เห็นดวย ปานกลาง ไมเห็นดวย ไมเห็นดวย
และการยอมรับนับถือ มากที่สุด มาก ที่สุด
11 การมีโอกาสกาวหนาในหนาที่การงาน
12 การมีสวนรวมในการแกไขปญหารวมกับหนวยงาน
13 การเลื่อนตําแหนงที่เปนไปอยางเสมอภาค
14 การไดรับการสนับสนุนใหพัฒนาความรูความสามารถ
และทักษะในการทํางาน เชน อบรม ประชุม ศึกษาตอ
15 การเปนอิสระในการปฏิบัติงาน เนื่องจากหัวหนามีความ
เชื่อมั่นในงานของทาน
41
1. เกี่ยวกับลักษณะงาน
……………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………
3. เกี่ยวกับเงินเดือน และสวัสดิการที่ไดรับ
……………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………
4. เกี่ยวกับความสัมพันธภายในหนวยงานและการบังคับบัญชา
……………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………
5. เกี่ยวกับสภาพแวดลอมในการทํางาน
……………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………
6. อื่น ๆ
……………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………
+++++ ขอขอบคุณในความรวมมือตอบแบบสอบถาม +++++