Description
The doc describes study of Factors Affecting Attrition in Organizations” is an attempt to: Create a model to identify the employees who may want to leave the organization, Study relation between Job Satisfaction and Organizational Commitment.
Human Behavior in Organization
Study of Factors Affecting Attrition in Organization
)
ACKNOWLEDGEMENT
We would like to take this opportunity to express our deepest gratitude to our guide, Prof. Anil Anand Pathak for letting us take up this project. Sir has provided constant support and guidance throughout the duration of the project without which we would not have been able to successfully complete it. There are many more people we would like to thank. They are the ones living in our society. They helped us with our questions and provided honest answers.
“Study of Factors Affecting Attrition in Organizations” is an attempt to:
? Create a model to identify the employees who may want to leave the organization. ? Study relation between Job Satisfaction and Organizational Commitment. In first part, we have tried to identify the relative weight age of five factors (namely Organization, peer/supervisor, pay scale, work, career/future prospects) which have led employees to leave an organization. And then on basis of the results, we have tried to create a model so as to identify the employees who may want to leave an organization. For this we prepared of questions a questionnaire of 15 questions on the five factors. Survey responses were invited from employees who have left an organization (P1) and also from those working with an organization (P2). Responses from P1 were used as benchmark to identify the employees in P2, who may leave the organization, according to our model. Similarly, in next part, to study the relation between job satisfaction and organizational commitment, we had a questionnaire of 15 questions on organizational commitment. Responses from P1 were again used as benchmark, was compared with responses of P2. Based on above study, we then conclude with major factors affecting attrition in organizations and relation between Job Satisfaction and Organizational Commitment.
Objectives of the Study
The major objectives of this study are: • • • To identify the generic factors that lead to employee attrition. To create a model to identify the employees who may want to leave the organization. Identifying relationship between Job Satisfaction and Organizational Commitment.
This study will create a model which can help organizations to identify employees that may want to leave the organization due to some of the factors as present in the study. Organization can use the methodology to check the commitment level of the employees and also identify the factors that are affecting the commitment. It also helps us in identifying the relationship between the Organizational Commitment and Job Satisfaction.
Job Satisfaction
Job satisfaction is a pleasurable or positive emotional state resulting from the appraisal of one's job or job experiences. It is both a general attitude of a person and a satisfaction with five aspects of the job: 1. Pay 2. The work 3. Growth opportunities 4. Supervision and 5. Coworkers. An individual may hold different attitudes different aspects stated above which decides whether he is satisfied with his job or not. Job satisfaction is a very important attribute which is frequently measured by organizations. The most common way of measurement is to use the rating scales where employees asked to rate various aspects of their jobs. They are asked questions relate to rate of pay, work responsibilities, variety of tasks, promotional opportunities the work itself and co-workers. Some questioners ask yes or no questions while others ask to rate satisfaction on a scale of 1-5 (where 1 represents "not at all satisfied" and 5 represents "extremely satisfied"). Job Satisfaction is a very useful indicator of how the employees feel about their jobs and based on this various work behaviors such as organizational citizenship, absenteeism, and turnover. Further, job satisfaction can partially mediate the relationship of personality variables and deviant work behaviors.
Organizational Commitment
Organizational commitment is the strength of an individual's identification with an organization. It can be contrasted with other work-related attitudes, such as Job Satisfaction, defined as an employee's feelings about their job, and Organizational identification, defined as the degree to which an employee experiences a 'sense of oneness' with their organization. There are three kinds of Organizational commitment: 1. Affective Commitment: Affective Commitment is the employee's positive emotional attachment to the organization. An employee who is affectively committed strongly identifies with the goals of the organization and wants to
remain a part of the organization. This employee commits to the organization because he/she "wants to “do so.
2. Continuance Commitment: The individual commits to the organization because he/she perceives high costs of losing organizational membership including economic costs (such as pension accruals) and social costs (friendship ties with coworkers) that would be incurred. The employee remains a member of the organization because he/she "has to".
3. Normative Commitment: The individual commits to and remains with an organization because of feelings of obligation. These feelings may derive from many sources. For example, the organization may have invested resources in training an employee who then feels a 'moral' obligation to put forth effort on the job and stay with the organization to 'repay the debt.' It may also reflect an internalized norm, developed before the person joins the organization through family or other socialization processes, that one should be loyal to one's organization. The employee stays with the organization because he/she "ought to".
Job satisfaction and Organizational commitment are two important work attitudes that managers can strive to improve among their employees and these two attitudes are strongly related. Increasing job satisfaction is likely to increase commitment as well. These attitudes are also important because they have an impact on the business and are linked to customer satisfaction and profitability.
Research Methodology
For this study we took a population containing only those persons who have work experience in any sector. We divided our sample population into two groups: P1: Persons who have left an organization and now they may or may not be working P2: Person who are still working in the organization We are taking the P1 population as our benchmark and we will analyze the P2 population from the data received from P1. The population P2 will further be divided into two populations after the analysis is complete. Those will be: P3: Persons who want to continue with the organization P4: Persons who want to leave the organization After this division, responses were invited to questionnaires (attached in the appendix) containing commitment and satisfaction factors from both the populations. Two types of questionnaires used:
•
Objective Questionnaire: This questionnaire consists of 30 questions on commitment and job satisfaction factors, which are mentioned above. Individual division is: o Commitment: 15 Questions o Organization Satisfaction: 4 Questions o Peers and Supervisory Satisfaction: 3 Questions o Pay scale Satisfaction : 2 Questions o Work Satisfaction: 3 Questions o Career and future prospects Satisfaction: 3 Questions
The various questions were randomized and various negative questions were included as well. This would help us to check the consistency of the answers given by the respondents. The scale was from rating 1 (Fully Disagree) to rating 5(Fully Agree). This questionnaire was sent to whole of the P2 population and some of the P1 population. The scores in the various sections for the P1 would act as a bench mark for a comparison with P1. A scale of 1-5 was used where 1 denoted Strongly Agree and 5 denoted Strongly Disagree. While calculating the value for a particular factor, the responses to all the questions relating to that factor are added up. Therefore, the score for Commitment will be out of 75, for Organization will be out of 20 and so on.
•
Subjective Questionnaire: The objective questionnaire only determines the job satisfaction on 5 factors. But there could have been other factors as well which may affect job satisfaction. As we could not cover all the factors in the Objective Questionnaire and to get a better understanding of various other factors, we designed the subjective questionnaire. The Subjective Questionnaire contains one question, “why did you leave the organization?” This question was primarily stated to bring out factors other than in the questionnaire. This was sent to the portion of the P1 population to whom the objective questionnaire was not sent.
Benchmarking
As mentioned above benchmarking is done on the responses obtained from the Objective Questionnaires from P1. To find the benchmark values we take the average of the values under each section. To this value a small correction will be added and the benchmark value will be obtained. Why the correction? If the respondents are greatly unsatisfied with a particular factor like pay or supervisors, then the average value of the factor may be very low as compared to other factors. Hence when comparing this average value with P1, this may not give a truer picture of the satisfaction levels due to this factor. To overcome this scenario we have added a small correction How to calculate the correction? Steps: • We checked for the normality of the responses obtained for a particular factor.
•
If the responses were found to be normal, we have calculated benchmark value by taking the value at which we cover 60% of the responses under normal curve. By this, we have tried to neutralize the effect of few extremem low values. Calculations :
•
Let Mi be the mean value of certain factor i, and SDi be the corresponding standard deviation. Converting data to Normal (0,1), we get Probalility (Mi + SDi*Z) = 60% Solving the above equation for value of Z, we get the correction to be added. After getting the benchmarked values for each factor from P1 we will do a comparative study with the P2 population. This process was followed for the job satisfaction factors for each respondent from P2: • Find out for each factor if: Benchmark value for the factor > Respondent value for the factor If true this will denote that the respondent is not satisfied with this factor. This is marked as true for this respondent.
•
•
• •
•
The above step is followed for all the respondents and number of true are calculated for each of them (A factor being true denotes that the respondent is unsatisfied with it) All respondents with number of true more than or equal to 3 will be considered as respondents who want to leave the organization and will constitute the population P4. From the population P4 we will find the relative frequency of each factor for which the value is true. The higher the relative frequency of the factor, the greater its rank. For Commitment a similar steps were followed to check whether the value of commitment for the respondent in less than the benchmarked value.
Analysis of Data (Job Satisfaction)
Sample size of each population: P1: 43 respondents
• •
23 were given the objective questionnaire 20 were given the subjective questionnaire
P2: 72 respondents Average Values for individual factors for our P1 respondents: Organization Policies: 10.209(on a scale of 4-20) Peers and Supervisors: 10.254(on a scale of 3-15) Pay Scale: 4.681(on a scale of 2-10) Work/ Job: 7.318(on a scale of 3-15) Career and Future Prospects: 6.454(on a scale of 3-15)
Benchmarked values after correction: Organization Policies: 10.209 (No Correction) Peers and Supervisors: 10.254 (No Correction) Pay Scale: 5.139 Work/ Job: 7.760 Career and Future Prospects: 6.813
The below graph shows the number of people unsatisfied with a particular factor for the population P1:
These benchmarked values are then used to calculate for each factor, how many people are above or below the benchmarked values for the corresponding factors who are still working in the organization (P2). The people with values less than the benchmark value are dissatisfied with their organization in that particular factor.
Results for Each Factor for P2 population:
Organizational Policies
Above Benchmark Value: 55 Below Benchmark Value: 17
Peers and Supervisors
Above Benchmark Value: 32 Below Benchmark Value: 40
Pay Scale
Above Benchmark Value: 45 Below Benchmark Value: 27
Job/Work Satisfaction
Above Benchmark Value: 56 Below Benchmark Value: 16
Growth Opportunities
Above Benchmark Value: 49 Below Benchmark Value: 23
Combining all of the above factors, and taking it as a rule that if a person is dissatisfied on 3 or more factors from the total 5 factors, then he/she is expected to leave his/her organization in the near future.
Thus our analysis predicts that out of 72 people in P1 group (people who are working in an organization), 23 people are expected to leave the organization in near future (P4) whereas 49 people are expected to stay with the organization (P3).
The below graph considers the P4 group and shows the number of people affected by the five factors individually.
Thus, our analysis shows that relationship with peers and supervisor is the main factor amongst our respondents in deciding to leave the organization.
Thus our whole data analysis could be summarized as below:
Organizational Commitment
To identify the organizational commitment, we took “Organizational Commitment questionnaire by LW Porter”. The Organizational Commitment Questionnaire has 15 items, six of which are negatively phrased and reversed scored with a five-point response dimension. The organizational commitment value for each respondent is calculated by adding the score of all the 15 questions. This questionnaire was sent to whole of the P2 population and some of the P1 population. The scores in the various sections for the P1 would act as a bench mark for a comparison with P3 and P4.
Methodology
For Organization Commitment questionnaire analysis, first benchmark value shall be obtained from P1, which will then be used for comparing with population P3 and P4. • Benchmark value The benchmark value for Organizational Commitment is calculated by taking average of all Organizational Commitment score for all the respondents from population P1. • Values Comparison The benchmark value calculated above, is then compared with the organization commitment score of each respondent from P3 & P4, and divided into two segments: S1 -Values greater than Benchmark values S2 -Values smaller than Benchmark values
Analysis of Responses (Organization Commitment)
Benchmark value (from sample P1) = 42.96 Comparing organization commitment score for population P3(49) respondents, we get: • • S1 – 40 respondents (82% of P3) S2 – 9 respondents (18% of P3)
Similarly for population P4(23) respondents, we get: • • S1 – 5 respondents (22% of P3) S2 – 18 respondents (78% of P3)
Interpretation
Interpreting the observations from application of organizational commitment measurement on the population P3 and P4, • For the employees who wish to stay with the organization, 82% are having organizational commitment higher the employees who have already left the organizations. This shows that majority of employees, who are satisfied with their job, also have high commitment towards organization. • Conversely, for the employees who wish leave organization, 78% are having organizational commitment lower the employees who have already left the organizations. This shows that majority of employees, who are not satisfied with their job, also have lower commitment towards organization. From above observations, we can conclude that there exists a strong direct relation between the Job Satisfaction and Organizational Commitment, i.e. employees satisfied with their job also have higher commitment towards organization.
Subjective Questions Analysis
Along with Objective Questionnaire, we have floated a Subjective Questionnaire. The main purpose of this subjective questionnaire is “to consider the errant factors that may be otherwise from the ones considered for job satisfaction and may lead to attrition” As in our study, we have considered only 5 factors for the job satisfaction and it is one of the limitations of our study, that we can not create an exhaustive list of all factors. The reasons for job satisfaction may vary from person to person and thus there may be other reasons other than what we have considered. To figure out what other reasons could be there, we have floated a Subjective Questionnaire too. This questionnaire has only one question “Why did you leave the organization” to be answered. We received 20 respondents’ answer for it and majority of them were in alignment with the factors which we have considered. Some of the notable different reasons that came out in our study are:1. Geographic Location – Person working in the organization located in that part of the country which is not suitable to him/her or away from his/her native place. 2. Family issues – Person may leave an organization because of various family issues. 3. Personal issues – Marriage, maternal leaves etc.
Conclusion
1. For a person, who has left the organization or thinking of leaving the
organization, “Peers and Supervisor” relation is one of the main factor. Our respondents’ age range is between 22- 27 years of age with 2-5 years of work experience. This concluded that for this generation of people, relationship with another people in the organization is a big factor for deciding in being with the organization or not. 2. Organizational Commitment is directly related to the level of job satisfaction of the person. The more a person is satisfied with his job, more he will feel committed to his organization.
Limitations of the Study
1. Our sample size is limited and thus may not give a complete and accurate picture.
2. Our majority of respondents’ work experience is limited to 2-5 years
and age 22-27 years. 3. We have considered only 5 factors for the job satisfaction which may not give an exhaustive list. 4. While comparing the benchmark values with people on group P2, we have taken a minimum of 3 factors below 5 to be a reason for a person to leave the organization. It may be possible, that only one of the reasons is strong enough for that person to leave the organization. We have not inculcated the relative importance of each factor as it may varies from person to person
References
? Organizational Behavior by Debra L. Nelson & James Campbell Quick
? Job Diagnostic Survey by Hackman/Oldham
? Organization Commitment Questionnaire by LW Porter
? Wikipedia
doc_329261683.doc
The doc describes study of Factors Affecting Attrition in Organizations” is an attempt to: Create a model to identify the employees who may want to leave the organization, Study relation between Job Satisfaction and Organizational Commitment.
Human Behavior in Organization
Study of Factors Affecting Attrition in Organization
)
ACKNOWLEDGEMENT
We would like to take this opportunity to express our deepest gratitude to our guide, Prof. Anil Anand Pathak for letting us take up this project. Sir has provided constant support and guidance throughout the duration of the project without which we would not have been able to successfully complete it. There are many more people we would like to thank. They are the ones living in our society. They helped us with our questions and provided honest answers.
“Study of Factors Affecting Attrition in Organizations” is an attempt to:
? Create a model to identify the employees who may want to leave the organization. ? Study relation between Job Satisfaction and Organizational Commitment. In first part, we have tried to identify the relative weight age of five factors (namely Organization, peer/supervisor, pay scale, work, career/future prospects) which have led employees to leave an organization. And then on basis of the results, we have tried to create a model so as to identify the employees who may want to leave an organization. For this we prepared of questions a questionnaire of 15 questions on the five factors. Survey responses were invited from employees who have left an organization (P1) and also from those working with an organization (P2). Responses from P1 were used as benchmark to identify the employees in P2, who may leave the organization, according to our model. Similarly, in next part, to study the relation between job satisfaction and organizational commitment, we had a questionnaire of 15 questions on organizational commitment. Responses from P1 were again used as benchmark, was compared with responses of P2. Based on above study, we then conclude with major factors affecting attrition in organizations and relation between Job Satisfaction and Organizational Commitment.
Objectives of the Study
The major objectives of this study are: • • • To identify the generic factors that lead to employee attrition. To create a model to identify the employees who may want to leave the organization. Identifying relationship between Job Satisfaction and Organizational Commitment.
This study will create a model which can help organizations to identify employees that may want to leave the organization due to some of the factors as present in the study. Organization can use the methodology to check the commitment level of the employees and also identify the factors that are affecting the commitment. It also helps us in identifying the relationship between the Organizational Commitment and Job Satisfaction.
Job Satisfaction
Job satisfaction is a pleasurable or positive emotional state resulting from the appraisal of one's job or job experiences. It is both a general attitude of a person and a satisfaction with five aspects of the job: 1. Pay 2. The work 3. Growth opportunities 4. Supervision and 5. Coworkers. An individual may hold different attitudes different aspects stated above which decides whether he is satisfied with his job or not. Job satisfaction is a very important attribute which is frequently measured by organizations. The most common way of measurement is to use the rating scales where employees asked to rate various aspects of their jobs. They are asked questions relate to rate of pay, work responsibilities, variety of tasks, promotional opportunities the work itself and co-workers. Some questioners ask yes or no questions while others ask to rate satisfaction on a scale of 1-5 (where 1 represents "not at all satisfied" and 5 represents "extremely satisfied"). Job Satisfaction is a very useful indicator of how the employees feel about their jobs and based on this various work behaviors such as organizational citizenship, absenteeism, and turnover. Further, job satisfaction can partially mediate the relationship of personality variables and deviant work behaviors.
Organizational Commitment
Organizational commitment is the strength of an individual's identification with an organization. It can be contrasted with other work-related attitudes, such as Job Satisfaction, defined as an employee's feelings about their job, and Organizational identification, defined as the degree to which an employee experiences a 'sense of oneness' with their organization. There are three kinds of Organizational commitment: 1. Affective Commitment: Affective Commitment is the employee's positive emotional attachment to the organization. An employee who is affectively committed strongly identifies with the goals of the organization and wants to
remain a part of the organization. This employee commits to the organization because he/she "wants to “do so.
2. Continuance Commitment: The individual commits to the organization because he/she perceives high costs of losing organizational membership including economic costs (such as pension accruals) and social costs (friendship ties with coworkers) that would be incurred. The employee remains a member of the organization because he/she "has to".
3. Normative Commitment: The individual commits to and remains with an organization because of feelings of obligation. These feelings may derive from many sources. For example, the organization may have invested resources in training an employee who then feels a 'moral' obligation to put forth effort on the job and stay with the organization to 'repay the debt.' It may also reflect an internalized norm, developed before the person joins the organization through family or other socialization processes, that one should be loyal to one's organization. The employee stays with the organization because he/she "ought to".
Job satisfaction and Organizational commitment are two important work attitudes that managers can strive to improve among their employees and these two attitudes are strongly related. Increasing job satisfaction is likely to increase commitment as well. These attitudes are also important because they have an impact on the business and are linked to customer satisfaction and profitability.
Research Methodology
For this study we took a population containing only those persons who have work experience in any sector. We divided our sample population into two groups: P1: Persons who have left an organization and now they may or may not be working P2: Person who are still working in the organization We are taking the P1 population as our benchmark and we will analyze the P2 population from the data received from P1. The population P2 will further be divided into two populations after the analysis is complete. Those will be: P3: Persons who want to continue with the organization P4: Persons who want to leave the organization After this division, responses were invited to questionnaires (attached in the appendix) containing commitment and satisfaction factors from both the populations. Two types of questionnaires used:
•
Objective Questionnaire: This questionnaire consists of 30 questions on commitment and job satisfaction factors, which are mentioned above. Individual division is: o Commitment: 15 Questions o Organization Satisfaction: 4 Questions o Peers and Supervisory Satisfaction: 3 Questions o Pay scale Satisfaction : 2 Questions o Work Satisfaction: 3 Questions o Career and future prospects Satisfaction: 3 Questions
The various questions were randomized and various negative questions were included as well. This would help us to check the consistency of the answers given by the respondents. The scale was from rating 1 (Fully Disagree) to rating 5(Fully Agree). This questionnaire was sent to whole of the P2 population and some of the P1 population. The scores in the various sections for the P1 would act as a bench mark for a comparison with P1. A scale of 1-5 was used where 1 denoted Strongly Agree and 5 denoted Strongly Disagree. While calculating the value for a particular factor, the responses to all the questions relating to that factor are added up. Therefore, the score for Commitment will be out of 75, for Organization will be out of 20 and so on.
•
Subjective Questionnaire: The objective questionnaire only determines the job satisfaction on 5 factors. But there could have been other factors as well which may affect job satisfaction. As we could not cover all the factors in the Objective Questionnaire and to get a better understanding of various other factors, we designed the subjective questionnaire. The Subjective Questionnaire contains one question, “why did you leave the organization?” This question was primarily stated to bring out factors other than in the questionnaire. This was sent to the portion of the P1 population to whom the objective questionnaire was not sent.
Benchmarking
As mentioned above benchmarking is done on the responses obtained from the Objective Questionnaires from P1. To find the benchmark values we take the average of the values under each section. To this value a small correction will be added and the benchmark value will be obtained. Why the correction? If the respondents are greatly unsatisfied with a particular factor like pay or supervisors, then the average value of the factor may be very low as compared to other factors. Hence when comparing this average value with P1, this may not give a truer picture of the satisfaction levels due to this factor. To overcome this scenario we have added a small correction How to calculate the correction? Steps: • We checked for the normality of the responses obtained for a particular factor.
•
If the responses were found to be normal, we have calculated benchmark value by taking the value at which we cover 60% of the responses under normal curve. By this, we have tried to neutralize the effect of few extremem low values. Calculations :
•
Let Mi be the mean value of certain factor i, and SDi be the corresponding standard deviation. Converting data to Normal (0,1), we get Probalility (Mi + SDi*Z) = 60% Solving the above equation for value of Z, we get the correction to be added. After getting the benchmarked values for each factor from P1 we will do a comparative study with the P2 population. This process was followed for the job satisfaction factors for each respondent from P2: • Find out for each factor if: Benchmark value for the factor > Respondent value for the factor If true this will denote that the respondent is not satisfied with this factor. This is marked as true for this respondent.
•
•
• •
•
The above step is followed for all the respondents and number of true are calculated for each of them (A factor being true denotes that the respondent is unsatisfied with it) All respondents with number of true more than or equal to 3 will be considered as respondents who want to leave the organization and will constitute the population P4. From the population P4 we will find the relative frequency of each factor for which the value is true. The higher the relative frequency of the factor, the greater its rank. For Commitment a similar steps were followed to check whether the value of commitment for the respondent in less than the benchmarked value.
Analysis of Data (Job Satisfaction)
Sample size of each population: P1: 43 respondents
• •
23 were given the objective questionnaire 20 were given the subjective questionnaire
P2: 72 respondents Average Values for individual factors for our P1 respondents: Organization Policies: 10.209(on a scale of 4-20) Peers and Supervisors: 10.254(on a scale of 3-15) Pay Scale: 4.681(on a scale of 2-10) Work/ Job: 7.318(on a scale of 3-15) Career and Future Prospects: 6.454(on a scale of 3-15)
Benchmarked values after correction: Organization Policies: 10.209 (No Correction) Peers and Supervisors: 10.254 (No Correction) Pay Scale: 5.139 Work/ Job: 7.760 Career and Future Prospects: 6.813
The below graph shows the number of people unsatisfied with a particular factor for the population P1:
These benchmarked values are then used to calculate for each factor, how many people are above or below the benchmarked values for the corresponding factors who are still working in the organization (P2). The people with values less than the benchmark value are dissatisfied with their organization in that particular factor.
Results for Each Factor for P2 population:
Organizational Policies
Above Benchmark Value: 55 Below Benchmark Value: 17
Peers and Supervisors
Above Benchmark Value: 32 Below Benchmark Value: 40
Pay Scale
Above Benchmark Value: 45 Below Benchmark Value: 27
Job/Work Satisfaction
Above Benchmark Value: 56 Below Benchmark Value: 16
Growth Opportunities
Above Benchmark Value: 49 Below Benchmark Value: 23
Combining all of the above factors, and taking it as a rule that if a person is dissatisfied on 3 or more factors from the total 5 factors, then he/she is expected to leave his/her organization in the near future.
Thus our analysis predicts that out of 72 people in P1 group (people who are working in an organization), 23 people are expected to leave the organization in near future (P4) whereas 49 people are expected to stay with the organization (P3).
The below graph considers the P4 group and shows the number of people affected by the five factors individually.
Thus, our analysis shows that relationship with peers and supervisor is the main factor amongst our respondents in deciding to leave the organization.
Thus our whole data analysis could be summarized as below:
Organizational Commitment
To identify the organizational commitment, we took “Organizational Commitment questionnaire by LW Porter”. The Organizational Commitment Questionnaire has 15 items, six of which are negatively phrased and reversed scored with a five-point response dimension. The organizational commitment value for each respondent is calculated by adding the score of all the 15 questions. This questionnaire was sent to whole of the P2 population and some of the P1 population. The scores in the various sections for the P1 would act as a bench mark for a comparison with P3 and P4.
Methodology
For Organization Commitment questionnaire analysis, first benchmark value shall be obtained from P1, which will then be used for comparing with population P3 and P4. • Benchmark value The benchmark value for Organizational Commitment is calculated by taking average of all Organizational Commitment score for all the respondents from population P1. • Values Comparison The benchmark value calculated above, is then compared with the organization commitment score of each respondent from P3 & P4, and divided into two segments: S1 -Values greater than Benchmark values S2 -Values smaller than Benchmark values
Analysis of Responses (Organization Commitment)
Benchmark value (from sample P1) = 42.96 Comparing organization commitment score for population P3(49) respondents, we get: • • S1 – 40 respondents (82% of P3) S2 – 9 respondents (18% of P3)
Similarly for population P4(23) respondents, we get: • • S1 – 5 respondents (22% of P3) S2 – 18 respondents (78% of P3)
Interpretation
Interpreting the observations from application of organizational commitment measurement on the population P3 and P4, • For the employees who wish to stay with the organization, 82% are having organizational commitment higher the employees who have already left the organizations. This shows that majority of employees, who are satisfied with their job, also have high commitment towards organization. • Conversely, for the employees who wish leave organization, 78% are having organizational commitment lower the employees who have already left the organizations. This shows that majority of employees, who are not satisfied with their job, also have lower commitment towards organization. From above observations, we can conclude that there exists a strong direct relation between the Job Satisfaction and Organizational Commitment, i.e. employees satisfied with their job also have higher commitment towards organization.
Subjective Questions Analysis
Along with Objective Questionnaire, we have floated a Subjective Questionnaire. The main purpose of this subjective questionnaire is “to consider the errant factors that may be otherwise from the ones considered for job satisfaction and may lead to attrition” As in our study, we have considered only 5 factors for the job satisfaction and it is one of the limitations of our study, that we can not create an exhaustive list of all factors. The reasons for job satisfaction may vary from person to person and thus there may be other reasons other than what we have considered. To figure out what other reasons could be there, we have floated a Subjective Questionnaire too. This questionnaire has only one question “Why did you leave the organization” to be answered. We received 20 respondents’ answer for it and majority of them were in alignment with the factors which we have considered. Some of the notable different reasons that came out in our study are:1. Geographic Location – Person working in the organization located in that part of the country which is not suitable to him/her or away from his/her native place. 2. Family issues – Person may leave an organization because of various family issues. 3. Personal issues – Marriage, maternal leaves etc.
Conclusion
1. For a person, who has left the organization or thinking of leaving the
organization, “Peers and Supervisor” relation is one of the main factor. Our respondents’ age range is between 22- 27 years of age with 2-5 years of work experience. This concluded that for this generation of people, relationship with another people in the organization is a big factor for deciding in being with the organization or not. 2. Organizational Commitment is directly related to the level of job satisfaction of the person. The more a person is satisfied with his job, more he will feel committed to his organization.
Limitations of the Study
1. Our sample size is limited and thus may not give a complete and accurate picture.
2. Our majority of respondents’ work experience is limited to 2-5 years
and age 22-27 years. 3. We have considered only 5 factors for the job satisfaction which may not give an exhaustive list. 4. While comparing the benchmark values with people on group P2, we have taken a minimum of 3 factors below 5 to be a reason for a person to leave the organization. It may be possible, that only one of the reasons is strong enough for that person to leave the organization. We have not inculcated the relative importance of each factor as it may varies from person to person
References
? Organizational Behavior by Debra L. Nelson & James Campbell Quick
? Job Diagnostic Survey by Hackman/Oldham
? Organization Commitment Questionnaire by LW Porter
? Wikipedia
doc_329261683.doc