Human resource management employee motivation at technology transfer center environmental resource data

The following conclusions are drawn: - By theoretical research we have built the factors that influence the motivation of DINTE employees, including: Working Environment, Salary and Bonu

Lunghwa Universityof Scienceand Technology Department of Business Administration

Thesis for a Master’s Degree

Human Resource Management - Employee motivation at Technology Transfer Center & Environmental

Resource Data

Researcher : Tran Doan Kien

Supervisor : AssocProf Tsung Cheng Wang

Supervisor : Assoc Prof Nguyen Ngoc Thang

Lunghwa University of Science and Technology

Approval Certificate of Master's Degree Examination

Board

This is to certify that the Master’s Degree Examinations Board has approved the thesis Human Resource Management - Employee motivation

at Technology Transfer Center & EnvironmentalResource Datapublished

by Mr Tran Doan Kien in the Master Program of Graduate School of Department of Business Administration

Master’s Degree Examination Board

Board Members：

Advisors：

Chair：

Date：

ABSTRACT

Thesis Title: Employee motivation at Department of Information Technology and

Environmental Resource Data Pages：90

University：Lunghwa University of Science and Technology

Graduate School：Department of Business Administration

Keywords:Employee motivation, Employee’ satisfaction

Every state or private organization wants to be successful and have desire to get constant progress The current era is highly competitive and organizations regardless of size, type, technology or market focus are facing employee retention challenges To overcome these restraints a strong and positive relationship and bonding should be created and maintained between employees and their organizations Human resource or employees of any organization are the most central part so they need to be influenced and persuaded towards tasks fulfillment

The focus of this study is to analyze the satisfaction on employees’ motivation at DINTE The study has two sub-objectives; firstly the factors that influent motivation of employees is to be determined Secondly the relationship of employee motivation and satisfaction is to be examined The following conclusions are drawn:

- By theoretical research we have built the factors that influence the motivation

of DINTE employees, including: Working Environment, Salary and Bonus, Suitable competency, Job Design and Employee development From definitions and related research studies, a total of 37 specific aspects (observational variables) have been used to measure the satisfaction of the above factors

- Through the verification of the reliability of the factors as well as the scale mentioned above, the subject has used the Cronbach's Alpha coefficient After running Cronbach’s Alpha, the remaining observations are 31 observed variables which are statically reliability have included in the EFA factor

bonus, Suitable competency, Job design, employee development The author also used regression to discover the relationship between the five factors of DINTE’s employee motivation with their satisfaction, which is the biggest effect to DINTE’s employee satisfaction, is Salary and bonus, following are Employee development, Job design and Working Environment

Follow these findings, solutions have been provided to improve the employee motivation policies at DINTE as below:

- Improving Working environment factor

- Improving Salary and bonus factor

- Improving Suitable competency factor

- Improving Job design factor

- Improving employee development factor

ACKNOWLEDGEMENT

Foremost, I would like to express our sincere thanks to the professors from EMBA program from Viet Nam National University – International School, who have helped

us open the door to the treasure of precious knowledge in many aspects such as: HR, marketing, business… in the last two years

My completion of this Thesis could not been accomplished without the great guideline and support from my tutors Despite her tight schedule, she managed to spend time with me, helped me to finish the thesis and gave me the most valuable advice

I also would like to thank my colleagues at DINTE who supported me during the data collection process, thanks to my classmate who encouraged me until today

Finally is my great love to my family Their encouragement has motivated me to keep going forward to reach further

Thank you!

Author

Tran Doan Kien

DINTE: Department of Information Technology and Environmental

Resource Data

SPSS: Statistical Package for the Social Sciences

EFA: Exploratory Factor Analysis

KMO:Kaiser-Meyer-Olkin Measure of Sampling Adequacy

LIST OF TABLES

Table 1 Herzberg’s two factors theory 6

Table 2 DINTE overview 23

Table 3 Cronbach's Alpha test 1st time 27

Table 4 Cronbach's Alpha test 2nd time 29

Table 5 KMO test result Error! Bookmark not defined Table 6 Varimax rotation result 32

Table 7 Model Summaryb 35

Table 8 ANOVA test 35

Table 9 Pearson correlation Error! Bookmark not defined Table 10 Co linearity Error! Bookmark not defined Table 11 Regression Stansardized Residual 37

Table 12 Regression Result 38

Table 13 Result of hypothesis testing Error! Bookmark not defined Table 14 Assessment of Environment working factor resultError! Bookmark not defined Table 15 Assessment of Salary and bonus factor resultError! Bookmark not defined Table 16 Assessment of Suitable competency factor resultError! Bookmark not defined Table 17 Assessment of Job design factor result Error! Bookmark not defined Table 18 Assessment of Employee development factor resultError! Bookmark not defined Table 19 General assessment of satisfaction about motivation factors resultError! Bookmark not defined LIST OF FIGURES Figure 1: Research process 15

Figure 2 Gender overview 24

Figure 3 Qualification over view at DINTE 25

Figure 4 Working years of employees at DINTE 25

Figure 5 Average income by month at DINTE 26

ABSTRACT i

ABBREVIATION iii

CHAPTER 1- INTRODUCTION 1

1.1Urgency of the topic 1

1.2 Research objectives 2

1.3 Structure of the research 2

CHAPTER 2-THEORETICAL BACKGROUND 3

2.1 Theories of employee motivation 3

2.1.1 Theory of needs model- Abraham Maslow 3

2.1.2 Intrinsic and extrinsic motivation 4

2.2 The concept of motivation and motivating 5

2.3 Two factors affect employee motivation 6

2.4 Equity theory 8

2.5 Some related studies 9

2.6 Research model 10

2.6.1 Working environment 10

2.6.2 Salary, bonus 10

2.6.3 Suitable competency 11

2.6.4 Job design 12

2.6.5 Employee development 12

CHAPTER 3 METHODOLOGY 15

3.1 Research process 15

3.2 Data sources 16

3.3 Research design 16

3.4 Sample size 17

3.5 Questionnaire development and scale coding 17

3.6 Data analysis 20

CHAPTER 4 FINDING AND ANALYSIS 22

4.1 DINTE overview 22

4.2 Employees’ satisfaction about motivational factors at DINTE 24

4.2.1 Sample characteristics 24

4.2.2 Scale reliability tests and validity assessment 26

Cronbach’s Alpha 26

Exploratory Factor Analysis-EFA 30

4.3 Regression 34

4.4 Employee motivation’s assessment of DINTE’s employee 39

4.4.1 Assessment of Environment working factor 39

4.4.2 Assessment of Salary and bonus factor 41

4.4.3 Assessment of Suitable competency factor 42

4.4.4 Assessment of Job design factor 43

4.4.5 Assessment of Employee development factor 44

4.5.6 General assessment of satisfaction about motivation factor at DINTE 45

CHAPTER 5 RECOMMENDATION 46

5.1 Improving the working environment factors 46

5.2 Improving the salary and bonus factor 47

5.3 Improving the Suitable competency factor 48

5.4 Improving the Job design factor 48

5.5 Improving the Employee development factor 49

CONCLUSION 51

REFERENCES 53

APPENDIX 54

Appendix 1: Questionnaire 54

Appendix 2: FREQUENCY 58

Appendix 3: Regression linear 79

CHAPTER 1- INTRODUCTION

1.1 Urgency of the topic

There are manydifferentsinterpretations of the public sector In practice, the term

"public sector" isoftenunderstood to mean "state sector" Accordingly, the state sectoris the social sector in which the state plays a decisiverole This termisoftenused to distinguishitfrom "privatesector" or "non-state sector", whichis the privatesector'sproduct and service sector

Humanresource management in the public sectorisresponsible for planning, recruiting, training, training and development of personnel, deployment, inspection, supervision The public sectorisvery important to the success of the nation in general, public organizations in particular

In practice, public sectorhumanresource management still faces many challenges, with the biggest challenge not beinglack of capital or technical expertise but how to manage humanresources effective force Beingaware of the importance of Humanresources, many businesses are nowlooking for ways to maximizetheirresources

to support the growth of the organization To effectively manage that important resource, the first thing to understandemployee, recognizing staff as the central element

of development Employee motivation has been always important part that guarantees great working performance of every individual in an organisation

Department of Information Technology and Environmental Resource Data (DINTE)

is a public organization with young, good and dynamic resources At present, DINTE has policies such as: working environment policy, compensation and welfare policy, job arrangement Directors at DINTE realize the importance of employee motivation at their working place They understand that a motivated workforce means a highly productive staff, all of which will help DINTE achieve the goals They would like to know if their employee feel satisfied with those policies, if they are motivated to work harder and more effectively

Because of above reason, I would like to choose the topic: “Employee motivation forDepartment of Information Technology and Environmental Resource Data”

1.2 Research objectives

The objectives of the research study are considered as the essence of the entire research Following are the objectives of this research project

- To review relevant concepts and theory related to employee motivation

- Identify the factors that affect the motivation and the level of satisfaction with these factors in DINTE

- To propose recommendations to improve the employee motivation at DINTE Therefore, research questions included:

1 What are factors affect to DINTE employee’ motivation?

2 What are the levels of satisfactions of employees to those factors?

3 What are recommendations to improve DINTE employee’s motivation? The research would also answer the hypothesis of how these factors affect to DINTE employee’s motivation

1.3 Structure of the research

Except for the executive summary, reference and appendix, the thesis consists of five chapters, which are shown below

Chapter one gives the background information about DINTE in particular and the objective of the problem

Chapter two discusses the theories background related to employee motivation Chapter three discusses the methodology adopted for research This chapter provides the guideline to conduct a research work effectively This is the most crucial chapter of the research because if the methodology is not designed appropriately it may harm the results of the research and could make it difficult to derive meaningful results from the study

Chapter four comprises the data analysis of this research which explains the results obtained from the analysis of the data in the form of bar charts and graphs and finally will discuss the overall findings of this study and discuss its usefulness for DINTE Chapter five of the research which is the final chapter summarizes the objectives of the research and learning achieved and finally, draws relevant conclusions from the findings

of the research and gives the managerial recommendations

CHAPTER 2-THEORETICAL BACKGROUND

2.1 Theories of employee motivation

2.1.1 Theory of needs model- Abraham Maslow

In 1943, an American psychologist, Abraham Harold Maslow (1908-1970) proposed a “ hierarchy of needs”, which presents the five innate needs of Human He explained that people try to work in order to satisfy their five innate needs According to Maslow, human seek first to satisfy each higher level of need until they have satisfied all five needs

The five stages of needs are explained as below:

- Physiological needs: air, food, drink, warmth, sleep, etc…

- Safety needs: protection from elements, security, order, law, stability, etc

- Belongingness and Love needs( social needs): family, friends, works, affection, relationships, etc

- Esteem needs: self-esteem, achievement, mastery, independence, status, dominance, prestige, managerial responsibility, etc

- Self-actualization needs: discovering personal potential, achieving personal goals and grow This is one kind of happiness

Application of theory:

Although modern research shows some drawbacks of this theory, Maslow’s hierarchy of Needs theory is still considered as an important and simple motivation tool for managers/leaders to understand and apply Below are the examples of the application:

- Physiological needs: this is the offer of lunch, break time or salaries, in which workers can use to fulfill their basic needs

- Safety needs: can be provided through a safe working environment, labor protection tools or retirement benefits In otherworld, safety need means a feeling that employees are safe from any threats

- Belongingness and Love needs (social needs): Require an organization to create

a sense of community via group work or social events

- Esteem needs: Provided through the recognition given to employee’s achievement or assigning important projects/work to make employees feel

- Self-actualization needs: This need is expressed through employee’s interest in their growth and individual development For example, employees’ interest in their growth and individual development For example, employee might want challenging job, a chance to pursue their further education, power in decision making and all above, it is the opportunity to involvement in the strategic development of organization and to pursue organization goals

When holding this key, managers should try to motivate employees by satisfying some needs and encouraging them to progress towards higher order satisfaction, such as self-actualization However, the limitation of this theory is that it is too vague to be used

to predict behavior Different people emphasize different needs and how can managers know what employee’s needs are if they do not tell or how much is enough for employee’s need Finally, this theory is difficult to offer employees in practice

2.1.2 Intrinsic and extrinsic motivation

Since 1943, when defining the hierarchy of needs, Maslow mentioned about the distinction between intrinsic and extrinsic motivation According to him, the lower-order needs such as physiological, safety and love are externally satisfied In contrast, the higher-order needs such as esteem and self-actualization are internally satisfied This

is considered as one of the first attempt distinguish between intrinsic and extrinsic motivation (Staw, 1976)

Later, there are many researchers did strengthen the classification of type of motivation according to Intrinsic and extrinsic factors For instant, Deci (2000) mentioned: “Intrinsic motivation is the self-desire to seek out new things and new challenges, to analyze one’s capacity, to observe and to gain knowledge” Specifically, people do particular task because of their interest or enjoyment, which come inside the individual, rather than being affected by any external pressures or because of any reward In contract, Deci (2000) also argued that: “extrinsic motivation refers to the performance of an activity in order to attain a desired outcome and it is the opposite of intrinsic motivation”

In summary, we can think about these two types of motivation in the simplest way, that is; intrinsic is the love, you do it because you want to while extrinsic is the reward/money; you do it because you have to Intrinsic motivation is an important tool

being imposed by external impacts It is even more effective than extrinsic motivation, which is often based on rewards and punishments Knowing how to effectively apply intrinsic motivation will help to make employees more effective and increase their job satisfaction Extrinsic motivation is a means of encouraging employees based on external impacts such as tangible rewards (pay, bonus, allowanceand benefit, working conditions, physical surroundings, job security, promotion and interpersonal relation) or punishments

Employees can be intrinsically and/or extrinsically motivated, to perform a certain task (Amabile, 1993) And that extrinsic and intrinsic motivation can reinforce each other, but in some cases, extrinsics motivation can also decrease intrinsic motivation (Deci, 1972) Futhermore, researchers argue that people are not motivated equall; some employees are more intrinsically and other more extrinsically motivated (Furham et all, 1998)

2.2 The concept of motivation and motivating

Maier (1973) and Lawler (1973) have summarized the determinants of employees’ performance as follows:

Performance = Ability * Motivation (effort)

According to this formula, in order to achieve a good performance, Managers/Leaders should pay attention to the employee motivations and personal ability To do that, firstly, we must understand what motivation is

In practice, there are many different concepts of motivation In 1995, Kreitner defined motivation as “the psychological process that gives behavior purpose and direction According to Bedeian (1995), motivation is a predisposition to behave in a purposive manner to achieve specific, unmet needs Higgins (1994) also confirmed” it is

an internal drive to satisfy an unsatisfied need” Although the motivation concepts as stated above are different, they all showing the characteristics of motivation In general,

we can understand simply that motivation is the inner driving force within individuals that drive them physiologically and psychologically to pursue one or more goals to fulfil their needs or expectations

Motivating is the process of using of policy, methods and management skills to encourage employees to make them satisfy with the job and willing to contribute to organization’s success Motivation also helps manager/leader to awake the hidden

ability of employees and then helps to increase the productivity as well as develop the organization

Amabile (1993) argues that the learning of management people about understanding and dealing effectively with motivation of their employees is essential Successes in the future of companies need motivated employees In addition, she argued that employees those are not motivated seem to spend little effort into their jobs and try

to avoid the workplace whenever they can According to Lindner (1998), in order for the organization to survive in quickly changing workplace, they need help from employees those are motivated As what motivates employees changes constantly (Bowen and Radhakrishma, 1991), Linder argued that managers have their most complex function is to motivate employees

2.3 Two factors affect employee motivation

This theory normally knows under the name of Frederick Herzberg’s two factors theory According to this theory, there are two motivated factor groups which create satisfaction and dissatisfaction in job

Table 1: Herzberg’s two factors theory

Hygiene factors: the first group belongs to organization environment: company policies, quality of supervision, payment system… According this theory, when these factors are positive, they will prevent job ‘dissatisfaction However, if this group satisfied completely alone, it is not sufficient enough to motivate employee These

- Company policies: it includes all regulations, internal law, rules… which are issued by management to instruct employees in daily operation This factor influence directly to employees’ daily tasks, thus if company policies are convenient, flexible, employees feel more engaged to organization

- Quality of supervision: this factor mentions to knowledge, skill and competency

of supervisors who work directly with employees The supervisors should be fair, skillful and willing to cooperate with employees

- Salary and bonus: Salary normally paid monthly Regarding bonus, it can be defined as an amount is added to salary It is paid suddenly base on outstanding performance or contribution of each employee Salary and bonus play an important role in employee’s life because it influences on the most basic need of human: physiological need This is tangible output when employees contribute their mind, energy and time to working If managers want to use this factor to motivate employees, it is met with these below criteria:

1 Sufficient: it means that salary and bonus are able to cover for their life expenses It is sufficient enough for employees to feed themselves and their family

2 Fair: managers have to pay same amount of money for the same contribution of employee In fact, there are many employees at the same job level receive different salary and bonus because of their contribution

- Working condition: This mention about the physical conditions of work, the amount of work or the facilities available for doing the work This also include: adequacy or in adequacy of ventilation, lighting, tools, space and other such environment characteristic If organization supply good working condition, it is very useful for employees to handle their daily task

- Relation with others: There are three main type relationships: employees- supervisors, employees-subordinates and employees-peers If working relationship is good, staffs feel happier with their current job

- Management leadership style: according to path-goal theory, there are four basic leadership styles: directive behavior, supportive behavior, participative behavior, and achievement – oriented behavior Each employee is suitable with certain leadership style If their managers use inappropriate leadership style, it makes employees feel uncomfortable and cannot encourage them in their job Manager

leadership style plays a key role in inspiring employees If managers use suitable style with employees, it can be motivated them

Motivation factors: the second group includes necessary factors to create satisfaction in job such as achievement, recognition, personal growth These are factors which belong to job characteristic and employees need themselves When these needs are met, it leads to employee satisfaction They include:

- Employee’s need: Employee’s need directly influences on their motivation The higher need, the higher motivation

- Personal value: it can be included image, knowledge, education level of employee in society or in organization Every employee has certain behavior when he stands on certain level in organization The higher job level in organization, the higher personal value and they have tendency to try more and more in their field And it is irrefutable that they are motivated employees

- Employee’s competency: competency is all personal ability which help employee to be receptive a new task, new knowledge easily When employees work in right their competency, they will perform successfully and can reach achievements

- Promotion opportunity: Promotion means employees are promoted to higher working level with higher salary, more responsibility and more prestige It gives chance for employees to develop their lading career, prove their ability Every employee always desire to be promoted to higher job level If employees work

in working environment with a lot of promotion opportunity, it will encourage them to try more in daily tasks o get outstanding performance In contrast, if working environment is low of promotion chance, employees become bored with their current job and have trend to find new opportunity at new organization

with others When employees find and think that working environment is not fair, it motivates them

de-2.5 Some related studies

The author alalysised someresearch from universities on factors influencing employee motivation in Vietnam to evaluate the advantages and disadvantages of this research, to draw lessons for this research

Nguyen KhacHoan (2010), Factors affecting motivation of employees Case study

in Asia Commercial Bank, Journal of Science, Hue University, No 60

Research has identified a group of factors that influence the employee motivation, which including: Work environment, wages and welfare, layoutwork, job motivation, and career prospects Research has shown that these factors affect the motivation of employees and there are factors that are not really satisfied employees, which will help the bank see the limitations of the policy We have measures and adjustments to improve motivation for employees This is an exploratory study that provides the basis for further research

Le Thi Ngoc Diem (2008), Analyzing factors affecting employee motivation at An Giang Tourism JSC, graduation thesis,An Giang University

Advantages: The research has used the model of factors influencing the employee motivation with two main factors that are working environment and company policy The working environment includes working conditions, jobs, co-relationsleadership, leadership styles, corporate culture and company policy factor covers salaries, bonuses, welfare, training and development The topic has identified the factors to show its influence on the motivation of employees of An Giang Tourism Joint Stock Company This model is quite suitable for the topic and is significant in analyzing the factors influencing the motivation of employees of An Giang Tourism Joint Stock Company

- Limitations: The topic is limited to studying the degree of influence and level of motivation It does not take into account the correlation between them and also does not compare the different levels of influence between the two groups of corporate policy and work environment, which is also one of the main problems that the directors need to analyze to find the relationships between needs, expectations and employee satisfaction From there, there are effective measures to encourage motivation to motivate employees

to work more positively and bring about high working efficiency for employees as well

2.6 Research model

Base on above literature review, the author will focus on the following five dimensionsin order to clarify the motivational factors of employees at DINTE on this paper: Working Environment, Salary and Bonus, Suitable competency, Job Design and Employee development The 5 dimensions cover almost all aspect of employee’s motivations

The dimensions are explained as follows:

2.6.1 Working environment

Work environment is always concerned because the working environment is related

to personal convenience but it is also the factor that helps them to accomplish the task Employees do not like dangerous, unfavorable and inconvenient working environments Temperature, light, noise and other environmental factors must be consistent Moreover, many employees prefer to work near their home, with clean, modern facilities and appropriate equipment (Nguyen Huu Lam 1998) There are many factors in the working environment, but can be divided into two groups as follows: general environmental factors and human factors

The overall environmental factors considered are equipment, machinery, working space, communication and information, etc., which directly affected to the working ability, attitudes, productivity of employees in the present and in the long run

Human resource factors include factors such as peer relationships, superiors and subordinates relationship These factors are increasingly being considered by employees In the process of working, each person will work with multiple people, they are interacting and supporting each other in the workplace Therefore, building a friendly, collaborative and shared work environment or in other words, the better the relationship between the members, the better the working result This factor plays an important role in increasing employee motivation

Bonuses are a type of physical stimulus that is very positive for employees, which make them strive to do better There are many types of bonuses including: productivity bonus, quality bonus, incentive bonus, innovation incentive, and reward according to the results of general business activities of the enterprise, such as bonus to find the supplier, consume and sign the contract

The benefit consists of two main parts: welfare as prescribed by law and welfare voluntarily applied by companies Benefits prescribed by law such as social insurance, insurance Voluntary benefits usually include support for meals, gifts, school tuition support, housing assistance, etc This is to maintain and attract talented people to work for the company Amounts of voluntary contributions between different companies are different, reflecting the level of development and level of employees caring between companies

Salary allowances are paid in addition to basic wages It complements basic salary, additional compensation for employees when they have to work under unstable or unfavorable conditions but not taken into account when determining basic salary Most allowances are usually calculated on the basis of assessing the effects of unfavorable working environment on the health and well-being of workers in the workplace The allowance is meant to motivate the workers to perform well in more difficult, complex conditions

2.6.3 Suitable competency

A job will perform two related functions: It is the unit of productivity for the organization and the unit of occupation for the individual To perform both functions, managers are required to pay attention to fit between the employee competency and the job’s requirement There are two basic strategies for creating this fit: Arrange the right person and arrange the right job

Arrange the right person: a simple and popular approach is to design a job and then find the right person for placement The key to designing a job is to create meaningful, engaging and challenging jobs In fact, due to economic or technical reasons, work can

be divided into cyclic and repetitive tasks Such jobs will cause fatigue, boredom, and encouragement There are three possible solutions: a realistic look at the job, a change

in the job, and a drop in the limits Each of these solutions involves adjusting people more than just work in the direction of human suitability - work

The second way to ensure human appropriateness is arranging the right job to people in the organization If organization has the right decision, their employees’ job will be suitable with their competency which will maximize their ability to finish the assigned work

2.6.4 Job design

Creating interest in employees’ work is about associating work with a higher sense

of challenge and achievement, creating excitement for employees, so they work more effectively There are a number of ways to create interesting working experiences for employees:

- Give employees more freedom and resource to solve problems, such as working conditions or methods, encouraging the participation of subordinates At the same time, make them aware of their role and responsibility for their work as well as how their contributions affect the organization

- Prioritize in giving employees feedback about their fulfillment

- Create challenges for employees However, the level of stress in the workplace must be consistent with the employee's ability Challenges also should be able to balance the personal and work life of the employee

In summary, based on the scope of literature reviews and on the observations after

4 years working at DINTE, the author decided the five factors to measure the Employee motivation at DINTE were as follows:

Working

environment

Working atmosphere Information used for job Equipment for work Distance to work

Experiences sharing by Colleagues Relationship with colleagues Collective spirit

Leadership Feedback Leaders caring

Salary and

bonus

Method of payment Equity in income (compared to peers in the same position) Salary compared to the market

Salaries vs contributions Overtime paid

Reward for completing the work Reward on holidays

Paid leave Health check Training fee

Suitable

competency

Suitable with employees’ competency Suitable with employees’ abilities Use all skill knowledge of employees Job assignment

Training activities Content of training

Work competency Training and professional training for employees Opportunity for career development

CHAPTER 3 METHODOLOGY

The research methodology provided the basic principle to explain how, what, when

the research is conducted With the purpose of assessing the present scenario of the

DINTE employee motivation, various techniques and instruments are used in the

process of executing the research and in order to obtain effectual and evocative output

from the research The entire procedure to research tactics which are composed of the

following; the design of research, propose and stratagem, research values, sample

techniques and sizes, fact sources, fact analysis procedure, legality and dependability of

the study lastly the intuition and principled proposition of the research will be clarified

3.1 Research process

The purpose of the study is to determine the factors affect to employee motivation

of DINTE and their level of satisfaction with these factors The data is collected from

secondary and primary sources Explaining for this selection is that while secondary

data (reports, previous surveys, and meeting report with employee) applied to find out

the factors affect to employee motivation, quantitative method used to collect data and

apply statistical analysis The below figure provides a clear roadmap of researching

which is built up as a guideline for all of the steps taken during the research

Figure 1: Research process

EFA

Interpretation / Conclusion

Regression/

independent T-test/

ANOVA Analysis

Preparing research design Data collection

Cronbach’s Alpha

Literature review Formulate the

scale Define research

problem

3.3 Research design

Afterreviewing the interviews with the employees and managers and previousresearch reports, the observational variables wouldbeadjusted and added to the research The research variables weremeasured on the Likert scale, five points changedfrom 1 "Completelyunsatisfied" to five "Completelysatisfied" The questionnaire alsoused the Nominal scale to determine the variables: sex, class, intake, income, level, etc

Questionnaires weredesigned to collect data thatneeded to beresearched in the subject According to Ranjit Kumar (2005), the use of questionnaires for data collection had the followingbenefits:

- Save money, time and resources

- Ensure high anonymitybecauserespondence and author do not need to meeteachother

- The research questionnaire had the necessary information from a large number of respondentsquickly and efficienly

In addition, according to Bless et al (2006), the self-answer questionnaire had a number of limitations, such as: misunderstanding of terminology and response rates for questionnaires wererelativelylow

The authorhad to translate the questionnaires intoVietnamese to minimum the misunderstanding and encourage the students by sending email to individual to motivatethem to do

3.4 Sample size

Estimating the number of sample size requiredis an extremely important step in the design of researchthatensuresscientific relevance It determines the success or failureof the research If the number of subjectsisinsufficient, the conclusions drawnfrom the study are not highlyaccurate and eveninconclusive On the other hand, if the numberistoo large compared to the number of samplesneeded, resources, money and time are wasted

According to Tabachnick and Fidell (2007), the sample size isguaranteed by the formula:

n> = 8m +50 (n is the sample size, m is the independent variable in the model) According to Harris RJ Aprimer (1985), n> = 104 + m (where m is the independent variable in the model)

In case of using the Exploratory Factor Analysis (EFA) method, Hair et al (1998) suggestedthat the sample size shouldbe at least 50, preferably 100, and the rate of observation / measurement variable is 5/1, meaningthat for everymeasurement variable thereshouldbe at least 5 observations

This studyused the EFA exploratory factor analysis and had 38 variables and have

101 respondancefromDINTE

3.5 Questionnaire development and scale coding

Based on the view of above research model about the employee motivation, the author designed the questionnaire to capture employees’ assessments of motivation factors at DINTE The five dimensions of Employee motivation which are containing multiple items that evaluate the fundamental indicators of motivation are express in the questionnaire

The questionnaire is divided into 2 parts:

The first part is composed by the questions: the purpose is to collect the information about employee motivation factors in Hanoi through 5 dimensions: working environment, salary and bonus, Suitable competency, Interesting working experience and employee development All the questions used are measured on the Likert scale, five points changed from 1 "Completely dissatisfied" to five "Completely satisfied" They are designed clearly, shortly and simply in order to make employees feel easy and

The second part used nominal scale to capture employee’s general information, There is also an open question that is “other comments” for employees to write their idea/comments or feedback Each variable are recoded to run SPSS later

Working environment

20 Health check LT9

Suitable competency

30 Level of working important comparing with the whole HT3

31 Harmonious work (balance) with employees’ life HT4

Employee development

36 Training and professional training for employees PT5

38 General access to factors of employees’ motivation

39 Be satisfied for the employee motivation factors that DINTE

is doing

HL

The information gathered from secondary source of information and the results collected from questionnaire survey built up a clear and vivid picture of DINTE’s employees’ opinions about motivation factors at DINTE and meeting the established objectives to do the thesis The research also finds the answer for the question if five factors affect to the DINTE’s employees’ satisfaction as the figure below:

3.6 Data analysis

Once collected, all data would be imported as an Excel file and recode the data as the table above The research is consisting of 38 variables In which, working environment, coded as MT, is measured by 11 observation variables, symbols from MT

1 to MT 11 Salary and bonus, coded as LT, is measured by 10 observation variables, symbol from LT1 to LT10 Suitable competency, coded as BT, is measured by 6 observation variables, symbol from BT1 to BT6 Job design, coded as HT, is measured

by 4 observation variables symbol from HT1 to HT4 Employee development, coded as

PT, is measured by 6 observation variables, symbol from PT1 to PT6

The SPSS version 20.0 data processing software is used to process and analyze the

Working environment

Salary, bonus SuitableCompetency

Job design

Employee development

Satisfaction about factors affect to employee motivation

Cronbach Alpha coefficient and EFA discovery factor analysis with the purpose of giving off the variables do not meet the requirements The regression will be used to discover the relationship between DINTE’ satisfaction and Employee motivation factors

In general, the information from both secondary and primary data sources is collected in order to serve the research objectives The quantitative methods are employed to evaluate the Employee’ motivation factors at DINTE The author also uses SPSS software to check the validity and scale reliability of factors and the relationship between the Employee motivation factors and satisfactions of DINTE employees The research findings are presented in the following chapter

CHAPTER 4 FINDING AND ANALYSIS

4.1 DINTE overview

The Department of Information Technology and Environmental Resource Data (DINTE) is established under the Ministry of Natural Resources and Environment control The establishment, development of DINTE has been for more than 20 years Its predecessor is the Information Center for Archives of Land Administration under the General Department of Geography then is the Department of Information Technology under Decree No 25/2008 / ND-CP of March 4, 2008, on the functions, tasks, powers and organizational structure of the Ministry of Natural Resources and Environment The organizational system specialized in IT and archives, mostly related to natural resources and environment Over the past years, DINTE employeeshave made great efforts to fulfill their assigned tasks such as developing and implementing legal documents on information technology in the sector; To synchronously implement a number of important projects such as building a national database on natural resources and environment, building a network of information on natural resources and environment, building software for the industry, electronic library the Ministry of Natural Resources and Environment

Position and function

1 DINTE is an organization under the Ministry of Natural Resources and Environment, which has the function of advising and assisting the Minister in managing information technology application and development , natural resources and environment data, archives and resource information for the natural resources and environment sector; Organizing the establishment, management, integration and operation of the natural resources and environment database; archives, library and information resources of the natural resources and environment sector; Providing public services in accordance with the law

2 DINTE has the legal status, its own seal and account in accordance with the law, based in Hanoi

Tasks and powers

1 To elaborate and submit to the Minister for submission to competent authorities

procedures and regulations on the application and development of information technology, the database on natural resources and environment, the technical information technology infrastructure, the information safety and confidentiality in the electricity environment, saving, archiving information and library resources of the natural resources and environment; To guide, inspect and organize the implementation after the promulgation thereof

2 To formulate and submit to the Minister strategies, master plans, plans, programs, projects, tasks on the application of information technology, natural resources and environment databases; information technology infrastructure, information security and confidentiality in the electronic environment, archival information and library resources of the natural resources and environment; To guide, examine and organize the implementation thereof after they are approved; To guide and organize the implementation of programs, schemes and projects on information technology application and development by the Government as assigned by the Minister

3 To guide and inspect the implementation of law provisions on information technology application and development, natural resources and environment databases; information security and confidentiality; archives, information materials at the units in the industry and related organizations

4 Appraising technological and professional solutions for the application of information technology, the database on natural resources and environment, information technology and security infrastructure

5 Organizing the construction and deployment of e-government

6 Ensuring security, safety and confidentiality of information

7 Archives, information and library materials

Table 2: DINTE overview

Human resource characteristics

Year Criteria

Understanding about DINTE employee’s motivation will help directors to know if their motivation policies suitable to them, if there are anything needs to be improved

4.2 Employees’ satisfaction about motivational factors at DINTE

4.2.1 Sample characteristics

Through a survey of 101 employees at DINTE, the sample has characteristics as below:

a Gender status

During the survey conducted by DINTE, the researcher found that there was a slightly difference between the number of male and female, 41% comparing with 59%

b Level of qualification

Figure 2 Qualification over view at DINTE

Looking at figure above, it appears that most of the employees are bachelor or above bachelor graduates, who are qualified enough to undertake specialized work They play a key role in deciding the success of DINTE They are the main target of DINTE’s motivational policies

c Number of working year

Figure 3: Working years of employees at DINTE

The survey shows that the majority of employees working at DINTE have a working experience less than 10 years accounting for 80.2%, equivalent to 81 persons in

Vocational l High school

44,6%

19,8%

Below 5years 6 to10 years Above 10 yearsnăm

total 101 samples This shows that DINTE has a young and dynamic staff that helps it to quickly adapt to the general working environment In addition, the staff has a long time

in the bank, although only 19.8% but experienced people will support the management

in training employees, especially new employees They are also considered as hard to update with change

Income:

Looking at the income average by month, it is found that the basic salaries paid for employees at DINTE is considered the same as other State- organization ( followed by Government rule) 50.5% of total employees have the salary above 7 million, 39.6% are employees with income from 5 to

7 million, 9.9% are employees with income from 3 to 5 million and no employee has income below 3 million

Figure 4.Average income by month at DINTE

4.2.2 Scale reliability tests and validity assessment

To assess the scales used in this study, Cronbach coefficient alpha and EFA (PCA with Varimax rotation) were conducted

Cronbach’s Alpha:

Cronbach's Alpha which is developed by Lee Cronbach in 1951, measured the

Average income by month

3.000-means it measures something else (or possibly nothing at all) In other words, Cronbach’s alpha tests to see if multiple-question Likert scale surveys are reliable Hoang Trong et al (2011) agreed that the Cronbach Alpha coefficient is between 0.8 and 1.0, is considering a good measure and from 0.6 to 0.8 is usable

However, Cronbach's Alpha does not assure which variable should be removed and which variable should be retained So in addition to the Cronbach's Alpha coefficient, the item-total correlation is used and if this item-total correlation <0.3, that variable would be removed

Table 3.Cronbach’s Alpha test 1st time

Variables

Scale Mean

if Item Deleted

Scale Variance

if Item Deleted

Corrected Item-Total Correlation

Cronbach's Alpha if Item Deleted

Working environment factor: Cronbach's Alpha = 0,846

Scale « Salary and bonus » has 10 variables and the Cronbach’s Alpha reliability score is 0.869, which is good However, the variable LT5 and LT8 has the Corrected Item-Total Correlation below 0.3 so this variable should be removed

Scale « Employee competency » has 6 variables and the Cronbach’s Alpha reliability score is 0.791, which is good and the Corrected Item-Total Correlation for all variables are above 0.3 so all these variables can be used

Scale « Job design » has 4 variables and the Cronbach’s Alpha reliability score is 0.668, which is exceptable However, the variable HT3 has the Corrected Item-Total Correlation below 0.3 so this variable should be removed

Scale « employee development » has 6 variables and the Cronbach’s Alpha reliability score is 0.805, which is excellent However, the variable PT1 has the Corrected Item-Total Correlation below 0.3 so this variable should be removed

The Cronbach’s Alpha was done again after moving the unaccepted variables

Table 4.Cronbach's Alpha test 2nd time

Variables

Scale Mean if Item Deleted

Scale Variance

if Item Deleted

Corrected Item-Total Correlation

Cronbach's Alpha if Item Deleted

Working environment factor: Cronbach's Alpha = 0,869

Exploratory Factor Analysis-EFA

Exploratory Factor Analysis (EFA) is used to measure a scale or to abbreviate a set

 KMO coefficient used to evaluate the suitability of EFA EFA is called appropriate when 0.5 = <KMO <= 1 Kaizer (1974) cited in Hoang Trong et al ( 2011), in which, KMO> = 0.9 is very good, KMO> = 0.8 is good, KMO> = 0.7

is quite good, KMO> = 0.5 is excepted and KMO< 0.5 is bad and KMO is not acceptable At the same time, the Bartlett's test would show us if this test is statistically significant (Sig <0.05) In that case, variables are correlated in the overall

 Eligibility criteria include the Eigenvalue index (representing the variance explained by the factors) and the Cumulative index, which shows how many %

of factors could be explained and how many % could not According to Gerbing& Anderson (1988), if Eigenvalue is<1, factors will not have a better summary effect than the original variable (the latent variable in the scale before EFA) Hence, when the Eigenvalue is> 1 and and the Cumulative is> 50% would be accepted Hoang Trong et al (2011) suggested if after the analysis of EFA is regression analysis, the principal components with Varimax rotation could be used

 Factor loading express the single correlation between the variables and the factors and it used to evaluate the significance level of the EFA According to Hair et al (1998), Factor loading> 0.3 is considered the minimum, Factor loading> 0.4 is considered important, Factor loading> 0.5 is considered to be practical At the same time, Hair et al (1998) also advised, if the Factor loading> 0.3, the sample size should be at least 350, if the sample size larger than 100, then Factor loading> 0.5, if the sample size is about 50, then the factor loading> 0.75 An exception can be kept with a Factor Loading <0.3, but the variable must have a content value

For this study, the author uses the Principal components extraction method with Varimax rotation, extracting the factors of Eigenvalue> 1 with the 0.5 <= KM0 <= 1 and Bartlett's test (Sig.) <0.05 and removing variables with Factor loading = <0.5 The author has done 5 times EFA and below is the result of the 5th running EFA