factors influencing employee commitment
TRANSCRIPT
FACTORS INFLUENCING EMPLOYEE COMMITMENT:
A CASE OF KENYA CIVIL AVIATION AUTHORITY
BY
RACHEL IGELLA
UNITED STATES INTERNATIONAL UNIVERSITY
SUMMER, 2014
ii
FACTORS INFLUENCING EMPLOYEE COMMITMENT:
A CASE OF KENYA CIVIL AVIATION AUTHORITY
BY
RACHEL IGELLA
A Project Report Submitted to the Chandaria School of Business in Partial
Fulfillment of the Requirement for the Degree of Masters in Business
Administration (MBA)
UNITED STATES INTERNATIONAL UNIVERSITY
SUMMER, 2014
iii
STUDENT’S DECLARATION
I, the undersigned, declare that this is my original work and has not been submitted to any
other college, institution or university other than the United States International
University in Nairobi for academic credit.
Signed: Date:
Rachel Igella, ID: (633845)
This project has been presented for examination with my approval as the appointed
supervisor.
Signed: Date:
Dr. Teresia Kavoo-Linge
Signed: Date:
Dean, Chandaria School of Business
iv
COPYRIGHT
©2014 Rachel Igella
All rights reserved
No part of this MBA research project may be copied, reproduced, used to create
derivative works, publicly distributed or displayed, or transmitted including but not
limited to storage in a retrieval system, or transmission electronically, mechanically via
photocopying, recording, or other means without the prior written permission of the
author.
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ABSTRACT
The objective of this study was to determine the factors that influence employee
commitment, basing on a case study of Kenya Civil Aviation Authority (KCAA). To
attain this, the study determined the organizational factors that influence employee
commitment in KCAA, the individual factors that influence employee commitment and
the effect of employee commitment on organizational performance. This study is
important because it will help organizations in the service industry have an in depth
understanding of the factors that influence employee commitment, in terms of
organizational, individual, as well as the impact of employee commitment on the
performance of the organization. It will also clearly show the employees, how they
influence commitment in the entire organization.
A descriptive research design was adopted, to build a profile of the factors that influence
employee commitment in KCAA. The population of interest was the employees of
KCAA across various functions and divisions since this was the company under study.
The study population comprised a total of 168 employees from all the various
organizational functions or divisions. Stratified random sampling technique was used to
draw a sample size of 92 respondents. The data collection instrument was a tailor-made
structured questionnaire developed. Methods used for analyzing data included
descriptive, standard deviation, co-variance and correlation.
The findings obtained from the study show that organizational factors have a strong
influence on employee commitment. These factors include; organizational dependability,
effectiveness of the organizations social processes, and the organizational climate. The
findings also indicated that organizational factors such as demand for perfection, strong
work ethic, organization being highly reliable, organization promoting top down social
interactions, organization encouraging formation of self-managing teams, employee
interaction with the organization, the organization having a strong management style, the
organization promoting team work and the organization encouraging retention of its
employees all strongly influenced the commitment of employees, though the scale of
influence varied depending on a particular respondent.
On individual factors influencing employee commitment, the findings showed a strong
influence. The individual factors identified included age, job security and marital status.
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Further study of the individual factors narrowed to aspects such as older employees being
more committed, the position held in an organization influencing employee commitment,
job security, assurance of a stress free work environment, married people being more
committed to their jobs than unmarried ones, marital obligations influencing employee
commitment which showed that there was a strong influence in the level of employee
commitment, with a stronger agreement on the question of older employees being more
committed.
Finally the factors that affect the level of employee commitment on organizational
performance were found to strongly influence commitment as well. These factors include
employee turnover, employee productivity and corporate social responsibility. On
narrowing these factors further, the researcher posed questions such as organizations
keenness to loyalty, organization emphasising productivity, organization viewing
absenteeism as a sign of exiting the organization, employee being concerned about the
physical environment around them, organization valuing safety of employees,
organization promoting technology, organization being involved in promoting socially
acceptable behaviour, organization being involved in community development programs,
employees viewing their organization as promoting socially acceptable behaviour. The
findings show that the varied response from the sampled population indicated a strong
agreement to organizational performance having a strong effect on employee
commitment.
The study concluded that although all the organizational factors analysed had an
influence on employee commitment, demand for perfection and the organization having a
strong management style had the strongest influence. While amongst all the individual
factors, it was concluded that; older employees and the positions the employees held
within the organization had a strong influence. Where as the parameters of organizational
performance that respondents felt affected their commitment most were organizational
emphasis on productivity and the organizations keenness on loyalty. The researcher
recommends that within the context of a service industry the organisational factors where
emphasis should be based are demand for perfection and the organization having a strong
management style, while the individual factors where much emphasis is recommended
include older employees and the positions the employees held within the organization and
lastly, on the effect of employee commitment on organizational performance, much
emphasis should be put on productivity and employee loyalty.
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ACKNOWLEDGEMENT
I would like to acknowledge my beloved stars, husband Michael and son Ethan
Emmanuel Paul for the unconditional love, patience, and financial support accorded to
me during this project. My family the Igellas‟ and friends for the motivation, and insights
rendered in making this studies a success. Furthermore, I wish to extend my sincere
gratitude to my supervisor, Dr. Teresia Kavoo-Linge, without whose input this project
would not have been a success. Above all, thanks to God Almighty for directing my
footsteps all the way, He will forever be praised in my life.
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TABLE OF CONTENTS
STUDENT’S DECLARATION ........................................................................................... iii
COPYRIGHT ........................................................................................................................... iv
ABSTRACT ............................................................................................................................... v
ACKNOWLEDGEMENT .................................................................................................... vii
LIST OF ABBREVIATION .................................................................................................. x
LIST OF TABLES .................................................................................................................. xi
CHAPTER 1
1.0 INTRODUCTION ............................................................................................................. 1
1.1 Background of the Problem..................................................................................... 1
1.2 Statement of the Problem ........................................................................................ 5
1.3 Purpose of the Study ............................................................................................... 7
1.4 Research Questions ................................................................................................. 7
1.5 Significance of the Study ........................................................................................ 7
1.6 Scope of the Study................................................................................................. 8
1.7 Definition of Terms ............................................................................................... 8
1.8 Chapter Summary ................................................................................................ 10
CHAPTER 2
2.0 LITERATURE REVIEW ............................................................................................. 11
2.1 Introduction .......................................................................................................... 11
2.2 Organisational Factors That Influence Employee Commitment .......................... 11
2.3 Individual Factors That Influence Employee Commitment ................................. 17
2.4 Impact of Employee Commitment on Organizational Performance ..................... 23
2.5 Chapter summary .................................................................................................. 28
CHAPTER 3
3.0 RESEARCH METHODOLGY .................................................................................... 29
3.1 Introduction ........................................................................................................... 29
3.2 Research Design .................................................................................................... 29
3.3 Population and Sampling Design .......................................................................... 29
3.4 Data Collection Methods ....................................................................................... 32
3.5 Research Procedures ............................................................................................. 33
3.6 Data Analysis Methods ......................................................................................... 33
3.7 Chapter Summary .................................................................................................. 34
CHAPTER 4
4.0 RESULTS AND FINDINGS ......................................................................................... 35
ix
4.1 Introduction ..................................................................................................................... 35
4.2 General Information ....................................................................................................... 35
4.3 Organisational Factors That Influence Employee Commitment ........................... 38
4.4 Individual Factors That Influence Employee Commitment .................................. 43
4.5 The Impact of Employee Commitment on Organizational Performance ............. 48
4.6 Chapter Summary .................................................................................................. 53
CHAPTER 5
5.0 DISCUSSIONS, CONCLUSION AND RECOMMENDATIONS ....................... 54
5.1 Introduction ..................................................................................................................... 54
5.2 Summary ............................................................................................................... 54
5.3 Discussion ............................................................................................................. 55
5.4 Conclusions ........................................................................................................... 61
5.5 Recommendation ................................................................................................... 62
5.5. 4 Recommendation for Further Studies ............................................................. 62
REFERENCES ....................................................................................................................... 64
APPENDICES
APPENDIX 1: Cover Letter ........................................................................................ 69
APPENDIX 2: Questionaire ........................................................................................ 70
APPENDIX 3: Project Schedule ................................................................................. 74
APPENDIX 4: Project Budget .................................................................................... 75
x
LIST OF ABBREVIATION
HRM - Human Resource Management
HR - Human Resource Management
SPSS - Statistical Package for Social Science
KCAA - Kenya Civil Aviation Authority
ANS – Air Navigation Services
EASA - East African School of Aviation
xi
LIST OF TABLES
Table 3.2: Sample selection……………………………………………………………...30
Table 3.1: Population Distribution……………………………………………………….32
Table 4.1: Organization Demand for Perfection…………………………………………39
Table 4.2: Organization has Strong Work Ethic…………………………………………39
Table 4.3: Organization Highly Reliable ………………………………………………..40
Table 4.4: Organization Top Down Social Interactions………………………………....41
Table 4.5: Organization Encourages Self-Managed Teams……………………………...41
Table 4.6: Interaction with Organization Influences Commitment……………………...42
Table 4.7: Organization Strong Management Style ……………………………………..42
Table 4.8: Organization Promotes Team Work ………………………………………...43
Table 4.9: Organization Encourages Retention ………………………………………...43
Table 4.10: Age and Commitment ……………………………………………………..44
Table 4.11: Position in the Organization Influences My Commitment…………………44
Table 4.12: Job Security…………………………………………………………………45
Table 4.13: Stress Free Work Environment……………………………………………..45
Table 4.14: Married People as more Committed than Unmarried Ones ……………….46
Table 4.15: Job Competence…………………………………………………………….46
Table 4.16: Marital Obligations Influence Employee Commitment…………………….47
Table 4.17 : Correlation of Age and Individual Factors ………………………………..48
Table 4.18: Organization is Keen on Employee Loyalty………………………………..49
Table 4.19: Organization Emphasizes on Productivity………………………………….49
Table 4.20: Absenteeism as a sign of Exiting the Organization………………………....50
Table 4.21: Physical Environment around My Organization…………………………....50
Table 4.22: Organization Values the Safety of the Employees …………………………51
Table 4.23: Organization Promotes the Use of Technology……………………………..51
Table 4.24: Organization Promoting Socially Acceptable Behavior…………………….52
Table 4.25: Organization and Community Development Programs …………………...52
Table 4.26: Organization as Promoting Environmental Awareness …………………….53
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LIST OF FIGURES
Figure 4.1 Age of Respondent……………………………………………………………36
Figure 4.2 Gender of Respondent………………………………………………………..36
Figure 4.3 Years of Service………………………………………………………………37
Figure 4.4 Education Level………………………………………………………………38
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CHAPTER 1
1.0 INTRODUCTION
1.1 Background of the Problem
Committed employees are increasingly becoming a valued asset in organizations. For the
purpose of this study employee commitment is viewed as commitment to the organization
as well as employees „commitment to their occupations (Robinson, 2009). Over the last
ten years, the study of commitment has advanced in many different directions. A variety
of disciplines have adopted the topic as a theme in their research and these have offered
fresh and significant insights (Brown, McHardy, McNabb, and Taylor, 2011). These
recent advances include new approaches to the conceptualization of employee
commitment. No organization in today‟s competitive world can perform at peak levels
unless each employee is committed to the organization‟s objectives and works as an
effective team member (University of Pretoria etd-Coetzee, 2005). It is no longer good
enough to have employees who come to work faithfully every day and do their jobs
independently. Employees now have to think like entrepreneurs while working in teams,
and have to prove their worth. However, they also want to be part of a successful
organization which provides a good income and the opportunity for development and
secure employment (John and Elyse, 2010). John and Elyse 2010, state that a committed
employee is one that will remain with the organization. Through the years, numerous
research studies have been conducted to determine the accuracy of this statement. In the
end many have concluded that committed employees remain with the organization for
longer periods of time than those who are less committed (Scott, 2007)
Commitment according to (Jaw and Liu, 2004) is not only a human relation concept but
involves generating human energy and activating the human mind. Without commitment,
the implementation of new ideas and initiatives will be compromised. (John and Elyse,
2010) Commitment has also been defined as a psychological state that binds the
individual to the organization (John ,Meyer and Elyse , 2010). This binding force can be
experienced in different ways that can be accompanied by different mindsets including:
an affective attachment and involvement with the target, a felt obligation to the target, and
an awareness of the costs associated with discontinuing involvement with the target
(Boxall and Macky, 2009).
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Other authors stated that while studying employee commitment there is need to recognise
the complexity with which researchers have attempted to construct and view
commitment as multi-faceted (Boxall and Macky, 2009). Researchers such as (Conway,
Edel, Kathy and Monks, 2010), and (Owoyemi, Oyelere, Elegbede, and Gbajumo-Sheriff,
2011), propose one such conceptualization of commitment comprising three separable
components which include Affective Commitment, Continuance Commitment and
Normative Commitment. The researchers gave a brief description of the three, each of
which reflects a unique underlying psychological state.
Affective commitment refers to the employee‟s emotional attachment to, identification
with, and involvement in the organization. In traditional, ongoing employment
relationships, a high level of affective commitment has been found to be related to low
employee turnover, low absenteeism and improved job performance hence employees
with a strong affective commitment continue employment with the organization because
they want to do so (Wang, 2010).
On the other hand, Continuance commitment describes an individual‟s need to remain
with the organization resulting from her/his recognition of the costs such as tenure, pay,
benefits, vesting of pensions and family commitment associated with leaving the
organization. It may also refer to an awareness of the costs associated with leaving the
organization. Employees whose primary link to the organization is based on continuance
commitment remain because they need to do so (Loi and Foley, 2008).
Normative commitment reflects an individual‟s feeling of obligation to maintain
organizational membership because he/she believes it is morally right to be loyal to, and
stay in, the organization. Although Normative commitment is widely recognized as a
salient dimension of employee commitment, it has been found to be substantially inter-
related with affective commitment (Coyle-Shapiro, 2008). Different authors suggest that
individuals may display each of these three forms of commitment to varying degrees.
Committed employees are one of the greatest assets any company can have and play a
major role in overall business efficiency and profitability. (Hurter, 2008) argues that
greater levels of employee commitment lead to organisational benefits such as a
continuous flow of improvements, cost and efficiency improvements and active employee
participation. Committed employees are believed to enhance an organisation as they feel
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secure in their jobs, are well trained, feel part of a team and are proud thus enjoying doing
their jobs (Hsein Ho, 2009). Employee commitment also has important implications for
recruitment. By examining the key drivers of employee commitment, organizations can
come up with a list of attributes to guide them when they are recruiting and developing a
committed work force other than each year organisations investing substantial amounts
of money in training and developing their work force only to see talented and productive
employees applying for other jobs, potentially to join the competition (Scott, 2007)
Employee commitment will result into benefits which include: increased job satisfaction
increased job performance, increased total return to shareholders, increased sales,
decreased employee turnover, decreased intention to leave, decreased intention to search
for alternative, decreased absenteeism (Brown, McHardy, McNabb, and Taylor, 2011).
With this in mind, employee commitment should be viewed as a business necessity.
Organisations who have difficulty in retaining and replacing competent employees will
find it hard to optimise performance. There are not only the immediate expenses of the
recruitment process, but other hidden costs such as management time and lost
productivity as new employees take time to become effective in their roles (Robinson,
2006).
Evidences derived from social science researches have shown that there is now a broad
agreement amongst commentators that high commitment work practices do improve
performance, labour productivity and the quality of service (Owoyemi, Oyelere,
Elegbede, and Gbajumo-Sheriff, 2011). Although researchers such as (Boxall and Macky,
2009) have argued that the majority of previous studies have looked at high commitment
work practices from the employers‟ perspective, and the over dependence on such
perspectives can sometimes be misleading and will not present the real impact of
employee commitment which results in positive outcomes in organizational performance.
Nevertheless, when employees positively interpret high commitment work practices, it
will sequentially increase their commitment to the organization, thereby increasing their
individual performances and hence organizational performance will also increase
(Owoyemi, Oyelere, Elegbede, and Gbajumo-Sheriff, 2011).
Although a commitment strategy can be tied to all company human resource practices;
recruitment, selection, performance, evaluation, it can also be used to develop
psychological connections according to (Owoyemi, Oyelere, Elegbede, and Gbajumo-
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Sheriff, 2011). Thus, the widely held definitions which emphasize commitment to
organizational goals are problematic because according to this definition, people can be
committed to an organization for reasons other than a commitment to its goals. Due to its
predominately firm level focus, research investigating „high commitment‟ management
has not adequately addressed this possibility. The concept of commitment depicts an
individual attitude and high commitment can only be assumed to exist if the actual
commitment levels among a workforce are assessed (Robinson, 2006). Therefore, this
study will focus on the factors influencing employee commitment in the Kenya Civil
Aviation Authority.
Kenya Civil Aviation Authority (KCAA) is a nonprofit state corporation that was
established on the 24th
of October 2002 by the Civil Aviation (Amendment) Act, 2002
with the following stated primary functions: Regulation and oversight of Aviation safety
and Security, Economic regulation of Air services, Provision of Air Navigation Services
and also Training of Aviation personnel. The organization consists of three technical
directorates that are headed by Directors reporting to the Director General who is the
accounting officer. The directorates are responsible for regulatory, air navigation services
and also aviation training. The fourth directorate is responsible for providing the support
and administrative functions. The regulatory services are provided at the headquarters in
Nairobi, while the Air Navigation Services (ANS) are provided at Jomo Kenyatta, Moi
and Eldoret International Airports. ANS services are also provided in Kisumu,
Lokichoggio, Malindi, Wajir and Wilson airports. Aviation training is offered at the East
African School of Aviation (EASA) and mainly covers aviation related courses (Kiboi,
2006).
KCAA‟s overall strategy as shown in its strategic plan is based on its commitment to
provide a safe and efficient civil aviation environment that acts as a contributor to the
achievement of Kenya‟s developmental objectives, as is articulated in the Vision 2030.
Since it was establishment in 2002, KCAA has always continued to implement the
existing Government performance management system until the introduction of the
Performance Contracts in 2005/06. Performance contracting was introduced in the
Authority following Government directive that all public institutions adopt the concept of
performance contracting (Korir, 2005).
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1.2 Statement of the Problem
Researchers have given different literature on what can increase an employee‟s
commitment to the organization. Most behavioral learning theorists agreed on this point
(Hurter, 2008). Most of the conceptualization of commitment used in most studies reflects
more of a managerialist and unitarist outlook. Organisational structure plays a very
important role in organisational commitment (Bin, Ahmed, Shafi, and Shaheen, 2011).
For instance, Bureaucratic structures always tend to have a negative effect on
organisational commitment(Hurter, 2008). (Padmakumar and Gantasal ,2011) suggests
that the removal of bureaucratic barriers from the organisation and the creation of more
flexible structure in the organisation are more likely to contribute to the enhancement of
employee commitment both in terms of their loyalty and also attachment to the
organisation. The management can increase the level of commitment of the employees by
providing the employees with better and less bureaucratic structures, greater direction and
influence (Gantasala, 2011).
Commitment-based service organizations believe that staff‟s organizational commitment
contributes to workforce stability and better customer service hence increases business
performance (Nguyen, 2014). Organizational factors that influence employee
commitment such as dependability, social processes and the organizational climate
strengthen employee commitment and are known to enhance personal/individual factors
to employees‟ commitment (Mcgrawhil, 2010). According to research evidence on
employee commitment gathered more than two decades ago, the organizational factors
that have been strongly identified include organizational dependability, the effectiveness
of the organizations social processes and the organizational climate (Adenike, 2011).
Current changes in employment practices affect organizational commitment which is on
the unwritten loyalty contract between employees and employers (Robinson, 2006).
Employment practices such as layoffs, downsizing and mergers are stimulated by the
need to be competitive but cause employees to have low levels of commitment, as a result
employees may view their organizational commitment differently (Robinson, 2006)
When organizations seek to foster a philosophy of commitment, then the likelihood of an
employee searching for employment elsewhere is lowered. According to (Bin, Ahmed,
Shafi and Shaheen, 2011), the individual factors that influence the level of employee
commitment to an organization are age, job security in the organization and the marital
status of the employee. Bin and Ahmed (2011), further state that other Individual factors
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may include material benefits and psychological rewards such as bonuses, including
status, loyalty and approval but none the less age, job security and marital status emerge
stronger. For example, in the workplace, the supervisor provides a subordinate with
support and monetary rewards while in exchange, the subordinate contributes personal
devotions and expertise (Gantasala, 2011)
Wang (2010), states that it is interesting to note that, of the studies that have reported
positive correlations between commitment and performance in organizations, most have
used measures of affective commitment. It is possible that an obligation to remain will
carry (Wang, 2010). Employees who want to belong to the organization (affective
commitment) might be more likely than those who need to belong (continuance
commitment) or feel obliged to belong (normative commitment) to make an effort on
behalf of the organization (Wang,2010). Tumwesigye (2010), states that the most widely
studied organizational factor that influences performance and organizational commitment
has been turnover in the organization. However, this focus on turnover may be
shortsighted as there other factors that have emerged strongly such as employee
productivity and the famous social corporate responsibility ( Tumwesigye, 2010).
Other researchers have indicated the several factors which affect employee commitment
as job security, compensation, and rewards. (Hossein, Mohammad, Bita, Fariba, and
Hosseinali, 2012).Other labels such as high commitment, lean production, and security
employee involvement have been given, even though most of them are focused on
effective work management (Wang, 2010). However eemployee‟ commitment in an
organization is of great importance because it reflects upon performance in terms of
maintaining the profit made by the company. Therefore, the factors of workplace
environment majority in a service oriented industry could affect the employees‟ health,
performance and commitment and thus gives a great impact towards organizational
performance (Zheng and Sharan, 2010). Additional aspects such as productivity and
corporate social responsibility have emerged to enhance employee commitment and
performance of the organization (Bin, Ahmed, Shafi, and Shaheen, 2011).
However researchers have also mentioned other factors which foster employee
commitment to include: job-related factors; employment opportunities; personal
characteristics; positive relationships; organizational structure; employee motivation;
performance appraisals; and management style (Scott, 2007). Although researchers have
focused on the several factors that influence employee commitment, they have not done
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studies on a combination of organizational factors, individual factors which influence
employee commitment and they as well have not considered whether employee
commitment affects organizational performance.
Many have tried to study commitment in other angels and provided recommendations by
trying to use methods that were successful in other areas around the world and have met
with failure, simply because employee commitment in the 21st century is unique and
greatly depends on the organizations policy. This therefore has created a knowledge gap
that needs to be filled hence the reason for conducting this research.
1.3 Purpose of the Study
The purpose of this study is to determine the factors which influence employee
commitment in Kenya Civil Aviation Authority.
1.4 Research Questions
The study was guided by the following;
1.4.1 What are the organizational factors that influence employee commitment in
KCAA?
1.4.2 What are the individual factors that influence employee commitment in KCAA?
1.4.3 What is the effect of employee commitment on organizational performance in
KCAA?
1.5 Significance of the Study
This section provides a brief description on the importance of carrying out this study.
How research obtained by studying the topic in question will benefit different sections
like the organization and its employees, the service industry as a whole and finally the
future researchers who may want to study the problem further to enhance knowledge.
1.5.1 To the Organization and Employees
This study will help the above category of people to understand the broad elements that
lead to employee commitment and help them to come up with powerful systems that will
ensure they promote the same.
8
1.5.2 To the Industry
It will enhance proactiveness by creating systematic measures which ensure that
employees are committed with in the service industry.
1.5.3 To Future Researchers
This study will benefit and help future researchers as their guide and reference as well as
open more forum of study in the topic and broaden ideas on the problem in the question.
1.6 Scope of the Study
The study will be carried out in Kenya Civil Aviation Authority (KCAA). Kenya is a
country in East Africa where not a lot of research on employee commitment has been
carried out. The population target was 168 employees of the organization. The sample
from the study comprised of 92 respondents from various departments of the organization
which included, human resources, planning, finance, research and development and the
technical department. The researcher will take one week to collect data. The most
significant limitation that was encountered by the researcher was limited access to
existing material in the organization, missing data, errors in the questionnaires and
employees being reluctant to release information.
1.7 Definition of Terms
1.7.1 Employee Commitment
Employee Commitment is generating human energy and activating the human mind (Jaw
and Liu, 2004). Meyer and Allen, 2001, defined commitment as a stabilizing force that
acts to maintain behavioral direction when expectancy/equity conditions are not met and
do not function. Commitment is an obliging force which requires that the person honor
the commitment even in the face of fluctuating attitudes and whims (Brown, 1996). The
relative strength of an individual‟s identification with and involvement in a particular
organization (Mowday, 1979). It is the psychological bond of an employee to an
organization, the strength of which depends on the degree of employee involvement,
employee loyalty and belief in the values of the organization. It consists of three factors
(Meyer and Allen, 2008).
1.7.2 Affective Commitment
Affective Commitment refers to the employee‟s emotional attachment to, identification
with, and involvement in the organization. (Meyer and Elyse, 2010). Affective
9
commitment refers to the employee‟s emotional attachment to, identification with, and
involvement in the organization. In traditional, ongoing employment relationships, a high
level of affective commitment has been found to be related to low employee turnover,
low absenteeism and improved job performance hence employees with a strong affective
commitment continue employment with the organization because they want to do so
(Wang, 2010).
1.7.3 Continuance Commitment
Continuance commitment describes an individual‟s need to remain with the organization
resulting from her/his recognition of the costs (tenure, pay, benefits, vesting of pensions
and family commitment associated with leaving the organization (Loi, 2006).
Continuance commitment describes an individual‟s need to remain with the organization
resulting from her/his recognition of the costs such as tenure, pay, benefits, vesting of
pensions and family commitment associated with leaving the organization. It may also
refer to an awareness of the costs associated with leaving the organization. Employees
whose primary link to the organization is based on continuance commitment remain
because they need to do so (Loi and Foley, 2008).
1.7.4 Normative Commitment
Normative commitment reflects an individual‟s feeling of obligation to maintain
organizational membership because he/she believes it is morally right to be loyal to, and
stay in, the organization (Coyle-Shapiro, 2006). Normative commitment reflects an
individual‟s feeling of obligation to maintain organizational membership because he/she
believes it is morally right to be loyal to, and stay in, the organization. Although
Normative commitment is widely recognized as a salient dimension of employee
commitment, it has been found to be substantially inter-related with affective
commitment (Coyle-Shapiro, 2008).
1.7.5 Corporate Social Responsibility
Corporate social responsibility is an initiative to assess and take responsibility for the
company's effects on the environment and impact on social welfare. Corporate social
responsibility may also be referred to as corporate citizenship and can involve incurring
short-term costs that do not provide an immediate financial benefit to the company, but
instead promote positive social and environmental change (Sarah. Stawiski, 2010).
10
1.8 Chapter Summary
This chapter has provided an insight into the background of the problem, statement of the
problem, purpose of the study, the research questions, and significance of the study, scope
of the study and definition of terms. In the next chapter, the researcher will go ahead to
review the literature based on the factors that influence employee commitment as studied
by other researchers. In chapter three, the researcher will discuss the methodology they
intend to use, and further provide an analysis of chapter four after going to the field to
collect data and presenting the findings obtained from the questionnaire, and finally
provide a conclusion as well as recommendations of the study in chapter five.
11
CHAPTER 2
2.0 LITERATURE REVIEW
2.1 Introduction
This chapter seeks to present a review of literature in relation to the research questions
being analysed. Literature is presented on the organizational factors that influence
employee commitment, the individual factors that influence employee commitment and
what effect employee commitment has on organizational performance. At the end a
chapter summary will be provided.
2.2 Organisational Factors that Influence Employee Commitment
Ramayah and Min (2009), state that a great deal of research has been conducted in
examining the relationship between organizational factors and employee commitment.
These include organizational dependability, the effectiveness of the organization‟s social
processes and the organizational climate (Ramayah and Min, 2009). The literature below
explores the organizational factors mentioned above and how they influence employee
commitment.
2.2.1 Organizational Dependability
Organizational dependability was described by (Buchanan, 2009) as those experiences
which confirmed the important expectations of senior managers. However these
expectations are more than likely to twinkle down to other employees in the organization
and hence will bring out the levels of commitment amongst the employees (Buchanan,
2009). Steers (2011), also stated that organizational dependability was also found to be
positively related to organizational commitment, thus the research scan collates empirical
evidence about the characteristics of highly dependable organizations such as a strong
work ethic, highly reliable and how these organizations develop within and outside hence
influencing employee commitment . Case studies and qualitative research suggests that
the key characteristics of highly dependable organizations include: strong work ethic,
highly reliable, collective mindfulness across the organization, positive safety culture,
continuous improvement, learning culture, highly trained and well-rewarded staff,
creative ways to cope with errors, regular checks, redundancy of processes, flexibility to
deal with change (Jyotsna, 2007).
12
Highly dependable or reliable organizations demand perfection although they know they
have to have a committed team of employee to achieve that (Jyotna, 2007). They also
understand that these can only be attained if the organization can highly depend on its
employees and in return the employees are committed to the success of the operations in
the organization (Nadeem, Aysha and Hussain, 2011). Dependability in an organization is
viewed by some researchers as a commitment by employees because of the reliability of
the organization they are working for which results into commitment to their career, and
hence results in the development of a strong work ethic (Origo and Pagani, 2009). Some
researchers view Reliability and dependability as one and the same and thus could be in
form of team work, a positive management style, and top down social interactions that
assurance, which results into employees being dependent in the organization (Bin,
Ahmed, Shafi, and Shaheen, 2011).
Organizational dependability can also be looked at using the psychological approach,
which conceptualizes commitment as an attitude or an orientation towards the
organization that links or attaches the identity of the person to the organization because of
its positive attitude towards retaining their employees (Khyzer,2011). The three
components of this orientation consist of identification with the goals and values of the
organization, high involvement in its work activities and a strong desire to maintain
membership in the organization (Khyzer, 2011).
Research shows that highly dependable organizations pursue two competing approaches
to achieve reliable performance which include the prevention or anticipation approach
and the resilience or containment approach. We consider each of the two approaches in
the following paragraphs (Ochlin and Roberts, 2011). Prevention or anticipation requires
that organizational members try to anticipate and identify the events and occurrences that
must not happen, identify all possible causal precursor events or conditions that may lead
to them and then create a set of procedures for avoiding them (Kathleen, 2011). From this
perspective, reliability depends on a lack of unwanted variance in performance, and is
thought to be achieved through the development of highly standardized operating
procedures and routines. Studies show how high dependable organizations are obsessed
with detailed operating procedures, contingency plans, rules, protocols and guidelines as
well as using the tools of science and technology to better control the behavior of
organizational members to avoid errors and mistakes which requires highly committed
employees (Ochlin and Roberts, 2011).
13
Research also shows that these organizations build capabilities for resilience. The essence
of resilience is the intrinsic ability of an organization team, unit, and system to maintain
or regain a dynamically stable state, which allows it to continue operations in the
presence of a continuous stress and after a major mishap (Robinson, 2009). Resilience
involves three abilities the ability to absorb strain and preserve functioning in spite of the
presence of adversity rapid change, ineffective leadership, performance and production
pressures, and increasing demands from stakeholders, an ability to recover or bounce
back from an event and an ability to learn and grow from previous episodes (Hsein Ho,
2009). Highly dependable organizations are unique in that they understand that reliability
or dependability is not the outcome of organizational invariance, but rather, results from a
continuous management of fluctuations in job performance and human interactions which
enhance employee commitment (Bin, Ahmed, Shafi, and Shaheen, 2011).
To be able to become alert and aware of these inevitable fluctuations, to cope with,
circumstances that occur from these events, such as mistakes or errors, „as they occur‟
and before their effects escalate and ramify organizations greatly rely on the commitment
o the employees. Nevertheless, research also shows that adherence to rules and
procedures alone will not prevent incidents thus there are limits to the logic of prevention.
(Khyzer Bin, 2011).
2.2.2 Effectiveness of the Organization’s Social Processes
Organizations consist of people. How well the organization works depends on how these
people interact and work together generally along either hierarchical or process lines
(McDonald, 2011). How well people work together is a crucial factor in the success of
any organization or group. Employers have traditionally seen employees as collections of
individuals held together through self-interest, rules, exercise of authority (McDonald,
2011). In today‟s world, there are many firms that support the formation of quality
circles, self-managing teams, liaisons. When observing any group of people who work
together, one can notice many social processes going on such as communicating,
influencing each other, cooperating with one another, competing (Hausknecht, 2012).
Social processes in an organization bring availability of opportunities to play and how
challenges and issues are tackled. The presence and effectiveness of these processes
14
enhances employee commitment (McDonald, 2011). Studies of the best highly
dependable organizations show that a social relational infrastructure of trust and heed is
necessary for employees to be committed (Conway, Edel,Kathy and Monks, 2010). In
addition, their nearly error-free performance results from attitudes and practices those
enable their members to pick up on problems earlier and to act on them before they grow
bigger (Gupta, 2004).
Some researchers view social processes in an organization as communication, influence
and power, competition and prosocial behavior. How well these processes effectively
play in the organization is highly responsible for the level of commitment among the
employees (Conway, Edel, Kathy and Monks, 2010). High levels of commitment are
experienced in organizations where communication channels are open and transparency is
highly encouraged, positive competition is observed (Gantasala, 2011). For social
processes to be viewed effective in an organizations setting, the organization must have a
procedure that emphasizes work through top down social interactions structured around
the organization chart, or hierarchy which work end to end structured around their
business processes which enfold into social (Mark and McDonald, 2011).
The dimensions of hierarchy and process shape the way organizations see the world, its
challenges and, more importantly, the portfolio of potential solutions to those challenges.
There is nothing wrong with hierarchy or process. They are effective organizational
approaches to managing complex operations. But there is a crucial third dimension to
organizational effectiveness. We see this when people get things done by working in the
so-called “white space” in the organizational structure, or by working across the “seams”
of a business process. In their ways of working and connecting with each other, they do
more than just what they are told top-down and more than what is defined as their job.
This is the social dimension (Mark and McDonald, 2011). When interacting individuals
or groups influence the behaviour of each other it is called social interaction. People in
action with one another means interaction of some kind. These interactions are about their
attitudes being involved and thus the process becomes social. Most organizations are
concerned with positive interactions because these create an environment which promotes
employee committment (Nguyen John and Nguyen, 2014).
15
There are hundreds of social processes. But we find some fundamental social processes
that are found to appear repeatedly in society. These fundamental processes are
socialization, cooperation, conflict, competition, accommodation, acculturation and
assimilation (John and Elyse, 2010). Some researchers classified social processes into
two categories; the elemental and the comprehensive or master processes. He describes
elemental processes are those by which the separate elements of the social system are
articulated and comprehensive processes are those by which several or all of the elements
are articulated or involved (Wang, 2010). These elements are beliefs (knowledge),
sentiment, end or goal, norm, status-role (position), rank, power, sanction, and facility
(Staples, 2009).
2.2.3 Organizational Climate
Organizational climate plays a very important role in organizational commitment.
According to Fauziah and Nordin (2010), Organizational climate serves as a measure of
individual perceptions or feelings about an organization. Organizational climate has been
described as a combination of shared history, expectations, unwritten rules and social
moves that affects the behaviors of everyone in an organization (Fauziah and Nordin,
2010). It can also refer to those aspects of the environment that are consciously perceived
by organizational members. In short, it refers to how the members of an organization
perceive it as it goes about its daily business. There is a general agreement that
organizational climate is a multi-dimensional concept, the dimensions of organizational
climate can be listed as organizational design, communication, leadership, teamwork,
decision-making, culture, job satisfaction, and motivation (Omar, 2010).
Organizational climate serves as a measure of individual perceptions or feelings about an
organization. Organizational climate includes management or leadership styles,
participation in decision making, provision of challenging jobs to employees, reduction of
boredom and frustration, provision of benefits, personnel policies, provision of good
working conditions and creation of suitable career ladder for academics (Adenike, 2011).
If employees within a unit or organization agree on their perceptions of the work context,
unit-level or organizational climate is said to exist (Aube, 2007). A large number of
studies have consistently demonstrated relationships between unit or organizational
climate and individual outcomes such as performance, satisfaction, commitment,
involvement and accidents (Brown, McHardy, McNabb and Taylor, 2011). Many workers
16
have experienced the effect of organizational climate at some point on their performance
and commitment (Padmakumar and Gantasal, 2011).
Organizational climate dimensions are significantly associated with attitudinal
commitment of employees. The past studies showed that statistically there is a significant
correlation between organization climate and employee commitment. Organizational
climate comprises of cognate sets of attitudes, values and practices that characterize the
members of a particular organization (Nordin, 2010). Other studies suggest that
employees, who work in an environment where team work and cooperation are valued, as
well as promoted, do establish a strong attachment to the organization which enhances
their level of commitment to the organization (Jaw, 2004). Further researchers suggest
that organizational climate variables can be observed as Human Relations, Internal
Process, Open System, and Rational Goal (Boxall and Macky, 2009). Others suggest that
organizational climate can be in different types such as climates that are people-oriented,
rule-oriented, innovation-oriented and goal-oriented. And this orientations in one way or
another influences the levels of employee commitment to the organization (Scott, 2007).
Organizational climate has manifested in a variety of human resource practices such as
organizational success which is mostly reflected in the levels of employee commitment.
Numerous studies have found positive relationships between organizational climates and
various measures of organizational success, most notably for metrics such as sales, staff
retention, productivity, customer satisfaction, and profitability which enhance employee
commitment (Loi and Foley, 2008). Organizational climate clearly influences employee
commitment. Many organizations, however, struggle to cultivate the climate they need to
succeed and retain their most highly effective employees. Organizations can take steps to
build a more positive and employee centered climate through communication, values,
expectations, norms, policies and rules, programs, leadership. These steps have been
known to be carried out in organizations that have employees who are committed to their
jobs. (Zheng and Sharan, 2010). Making a climate change in your organization is one of
the core fundamental steps to beginning to create a great place to work and enhance
employee commitment (Mcgrawhil, 2010).
17
2.3 Individual Factors that Influence Employee Commitment
According to Ramayah and Min (2009) Individual factors consist of demographic
variables such as age, job security, and marital status. Individual factors have played a
major role in research aimed at predicting organizational commitment. These factors are
analyzed in the literature presented below.
2.3.1 Age
A range of demographic variables have been found to be related to employee
commitment, but age has proved to be the most outstanding and studied variable (Jafr,
2011). For a variety of reasons, age has been found to be a positive predictor of employee
commitment. Studies suggest, the older employees become, then the less alternative
employment options are available. As a result, older employees may view their current
employment more favorably (Jafr, 2011). Other researchers suggest that older employees
may be more committed because they have a stronger investment and greater history with
their organization hence age has been found to be positively related to organizational
commitment (Zheng and Sharan, 2010). One possible explanation for this relationship is
that there are fewer employment options available to older employees and older
employees realize that leaving may cost them more than staying (Jafr, 2011).
A basic finding of much research on work attitudes is that older workers are, generally,
more committed to their employing organizations and more satisfied with their jobs
(Linz, 2006). Moreover, a positive relationship between age and commitment has been
found in different cultures. (Lincoln and Kalleberg, 2009) report that, in their samples of
manufacturing employees in the US and Japan, older people are both more committed and
more satisfied than younger employees. Allen and Meyer (1993) found that both affective
and normative organizational commitment were significantly higher in older than younger
employees. Further research found that older Korean employees reported higher
commitment than younger respondents (Lincoln and Kalleberg, 2009). Older employees
are also attitudinally committed to an organization for a variety of reasons, including
greater satisfaction with their jobs, gaining advancement, and having cognitively justified
their remaining in an organization (Noordin, 2011).
More research suggests that the positive relationship between age and commitment could
be due to self-justification processes such as I have been here for 20 years, I must like it.
It should also be noted that over time, less committed employees are more likely to leave
18
their organizations. (Noordin, 2011). Other researchers have suggested that age should be
more highly related to calculative organizational commitment. This relationship is
typically attributed to limited alternative opportunities and greater sunk costs in later
years (Brown, McHardy, McNabb, and Taylor, 2011). Furthermore, age might also be
associated with continuance organizational commitment because it serves as a proxy for
the investments one makes in one‟s organization (Meyer and Allen, 1984). However
Owoyemi, Oyelere, Elegbede, and Gbajumo-Sheriff (2011), in their review and meta-
analysis of antecedents, correlates and consequences of organizational commitment,
reported that age is significantly more related to attitudinal than to calculative
organizational commitment. Studies have also found that commitment increases with
organizational and positional tenure (Hsein, 2009).
Research also found that positional tenure was significantly and positively related to
attitudinal organizational commitment, suggesting that years spent in a particular position
may build an employee‟s psychological attachment to the organization (Coyle-Shapiro,
2008). They also found that organizational tenure tended to be more related to
organizational commitment than did positional tenure, but both effects were reported to
be small. Zheng and Sharan( 2010), found that employees with longer tenure in
organizations had significantly higher affective organizational commitment. Many studies
have indicated an inverse relationship between age and employee commitment. Reasons
for this inverse relationship result from age affecting the turnover (Staples, 2009). Persons
under the age of 30 tend to commit to organizations which value work/life balance, while
persons over 30 tend to be committed to firms emphasizing job security (Mcdonald,
2011). This does appear to reflect generational differences in core values. Younger
workers tend to have a different work ethic than persons over 50. Older workers appear to
find value in the work itself, and usually will stay to complete a project. Workers under
30 reflect less of a traditional work ethic, and often find motive value in work and social
relationships as well as obligations (Mcdonald, 2011).
2.3.2 Job Security
Job insecurity is said to be an individual‟s expectations about continuity in a job situation,
perception of a potential threat to continuity in his or her current job and powerlessness
to maintain desired continuity in a threatened job situation (Bosman, Buttendach and
Laba, 2008). Other authors report that eemployment security is very desirable for
employees, who rank it as one of the most important factors for their commitment to an
19
organization. Job security also plays a very crucial role in reducing employee turnover, as
well as maintaining stable employment relationships in organizations (Bosman,
Buttendach and Laba, 2008). In addition, job security is essential for retaining human
capital investment as well as reducing workforce screening and also selection costs
(Origo and Pagani, 2009).
Employees these days no longer believe they can depend on businesses for job security,
and this belief change has caused a shift in the psychological contract between businesses
and their employees (Origo and Pagani 2009). According to Chan (2011), there is a
positive relationship between job security and employee commitment. Job insecurity can
be said only to occur in the cases of involuntary job. Some authors conceptualize job
insecurity as the perception of a potential threat to continuity (Conway, Edel, Kathy and
Monks, 2010). Since we know that the basic characteristic of mergers, acquisitions and
downsizing is threat to continuity and also involuntary job loss, these changes therefore
lead to job insecurity (Conway, Edel, Kathy and Monks, 2010) .
There is however no doubt that job insecurity affects the work performances of
employees. But many authors have come up with different evidences. Some of them have
discovered that a moderate amount of job insecurity leads to increased work
performances, but some of them have found that job insecurity leads to decreased work
performances (Boxall and Macky, 2007). The underlying theme behind the various
definitions is that job insecurity is a subjective phenomenon, that it is based on the
individual‟s perceptions and interpretations of the immediate work environment. Job
insecurity refers to the anticipation of this stressful event in such a way that the nature and
continued existence of one‟s job are perceived to be at risk, thereby implying that the
feeling of job insecurity only occurs in the case of involuntary job loss (Linz, 2006).
Other researchers state that job insecurity reflects a fundamental and involuntary change
concerning the continuity and security within the employing organization (University of
Pretoria etd-Coetzee, 2005).
Job insecurity has the potential of being more distressing to the individual than job loss.
Job loss is already known and the individual has to come to terms with the loss and cope
with its outcomes. In the case of job insecurity, on the other hand, coping may be
inhibited by the uncertainty of the event (Robinson, 2009). Some researchers are of the
opinion that the impact of the changing world of work is perhaps most evident in changes
20
in the psychological contract. Employees are expected to give more in terms of time,
effort, skills, and flexibility, whereas they receive less in terms of career opportunities,
lifetime employment, and job security (Aube, 2007). The violation of the psychological
contract between an employee and an organization is likely to produce burnout, because it
erodes the notion of reciprocity, which is crucial in maintaining well-being and
commitment (Conway, Edel, Kathy and Monks, 2010).
Researchers also found that position tenure, organizational tenure and age were positively
related to organizational commitment (Bosman, Buttendach and Laba, 2008). Employees
with perceptions of low job security are more likely to engage in work withdrawal
behaviors and report reduced organizational commitment (Bin, Ahmed, Shafi, and
Shaheen, 2011). Studies also found that the higher levels of job insecurity are, the lower
the employees‟ organizational commitment and the greater the tendency to leave the
organization. (Bin, Ahmed, Shafi,and Shaheen, 2011). A South African University which
carried out a similar study, obtained similar results in a petroleum/oil company
(University of Pretoria etd-Coetzee, 2005).
In general however, we may come to a conclusion that in the case of high job insecurity
employees commitment will decrease, especially its affective component. But we also
assume that continuance component could have an increasing tendency to some level,
before it starts decreasing as job insecurity becomes more and more threatening (Conway,
Edel, Kathy and Monks, 2010).
2.3.3 Marital Status
Marital status has also been shown to relate to commitment, with married employees
usually showing more commitment (Hodges, 2010). However, it is suggested that the
reason for this is because married employees will typically have greater financial and
family responsibilities, which increases their need to remain with the organization
(Hodges, 2010). Note that this refers to structural commitment (or continuance
commitment) in that the cost associated with leaving the organization increases
commitment to the organization (Hoobler.J.M, Wayne.S.J, and Lemmon.G., 2009).
Although more people than in the past are delaying marriage or choosing not to marry at
all, marriage is still seen as a normative developmental milestone in American culture
(DePaulo and Morris, 2007). Single people, especially those who are not in a romantic
relationship, are perceived as less responsible, less mature, and less well-adjusted than
married people ( DePaulo, Hertel, and Taylor, 2008). Based on these stereotypes, single
21
people might be expected to be seen as less committed to their jobs and less likely to
succeed as employees compared to married people, and might thus be discriminated
against in employment decisions. On the other hand, some anecdotal evidence suggests
that people expect single individuals to be able and willing to work longer hours than
married people, because the single people may have fewer obligations outside of work,
and this might lead people to favor singles in employment decisions (Western,Hewitt and
Baxter, 2005).
DePaulo, Hertel and Taylor (2008), suggested that people are generally biased in favor of,
or against, single individuals vs. married individuals in perceptions related to employment
decisions. Due to societal conventions concerning the wearing of a wedding ring, marital
status is a personal characteristic about which women and men in the American cultural
context cannot avoid conveying information whether accurate or inaccurate in face-to-
face meetings, such as job interviews(Hodges, 2010). The question of marital status
biases in person perception, visa-a-vie employment decisions, thus has strong practical
relevance, beyond any historical and theoretical interest it may also carry for scholars.
Females may be viewed as less suitable for employment when married than when single,
whereas the reverse may be true for men (Hoobler, Wayne, and Lemmon, 2009).
Traditional conceptions of marriage as entailing greater social responsibilities outside the
workplace for women (Hobbler, Wayne, and Lemmon, 2009) may promote perceptions of
married women as less suitable for employment compared to single women. In particular,
expectations of motherhood may create bias against married women in perceptions of
employability hence strongly affecting employee commitment (Hodges, 2010).
Qualitative research suggests that employers discriminate against mothers and surveys
have found lower wages among mothers than comparable women without children even
in nations with generally high levels of gender equality such as Norway (Hardy and
Schone, 2008). Indeed, in a laboratory experiment, participants rated women with
children as less competent and committed to their jobs than women without children, and
in a second study, real employers were less likely to respond to applications from women
with children than women without (Western,Hewitt and Baxter, 2005). In the same
study, parental status did not affect responses to men and their levels of commitment to
the organization. Recent research has found that even when mothers show definitive
evidence that they are highly competent and committed to their jobs, evaluators in an
employment context still discriminate against them (Benard and Correll, 2010). The mere
22
expectation of future childrearing responsibilities may also bias people against women;
studies have found that people rate pregnant women as less competent than others
(Benard and Correll, 2010).
Research carried out by the bureau of labour statistics, states that the extent that a
woman‟s choice to be married is perceived as an indication of an intention to have
children, some of the employment penalty applied to mothers may also attach to married
women due merely to their marital status hence greatly affecting employee commitment
(Bureau of Labor Statistics, 2010). These assumptions about employees‟ motivations to
earn money may also engender bias against married women. Traditionally, married men
have been assigned a social role of earning money at work, whereas married women have
been assigned a social role of fulfilling responsibilities at home. Although gender roles
within heterosexual marriage are rapidly evolving, with more than one third of married
American women now out earning their husbands (Bureau of Labor Statistics, 2010).
Hodges (2010), stated that these traditional conceptions of social roles may still influence
people‟s expectations and perceptions as well as employee commitment. Due to the
assumption that women are less likely to be relied upon as the primary breadwinner for a
married couple, people might expect married female employees to be less dedicated to
their jobs compared to their single counterparts who must provide their own income.
Whereas people might expect male employees to be more motivated in their jobs if
married, a further reason to expect that people may discriminate against married women
in employment decisions, in addition to expectations of greater family responsibility
childrearing and less financial responsibility, involves the activation of gender stereotypes
(Benard and Correll, 2010). Because traditional social roles in marriage cast women as
care givers more than breadwinners, married women may be seen as more prototypically
feminine than other women, and prototypical examples within a category are likely to
elicit stronger stereotypes (Alexande, 2012).
Therefore, being perceived through feminine stereotypes might lead married women to be
seen less positively in ways that affect employment decisions. Research advancing the
lack-of-fit model has shown that women tend to be evaluated poorly on professional
dimensions to the degree that gender stereotypes are activated and this has seen the levels
of employee commitment dwindle (Alexande, 2012).
23
2.4 Effects of Employee Commitment on Organizational Performance
Organizational performance comprises the actual output or results of an organization as
measured against its intended outputs or goals and objectives (Richard, 2009).
Organizational performance involves the recurring activities to establish organizational
goals, monitor progress toward the goals, and make adjustments to achieve those goals
more effectively and efficiently (Richard, 2009). The impact of employee commitment on
organizational performance can be manifest through employee turnover, employee
productivity, and corporate social responsibility. These factors are discussed in depth
below.
2.4.1 Employee Commitment and Employee Turnover
Turnover can be defined as the process in which employees leave the organization and
have to be replaced by others, turnover is related to employee commitment(Warsi, 2009).
Turnover occurs when employees leave an organization and have to be replaced.
Excessive turnover can be a very costly problem to the company, one with a major impact
on productivity(Scott, 2007). But cost is not the only reason turnover is an important
issue. Lengthy training times, interrupted schedules, additional overtime, mistakes and
not having knowledgeable employees in place are some of the frustrations associated with
excessive turnover which may be caused by lack of employee commitment (Tumwesigye,
2010).
High employee turnover is of considerable concern for employers because it disrupts
normal operations of the company, causes morale problems for that stick on, and
increases the cost involved in selecting and training the replacements(Bosman,
Buttendach,and Laba, 2008). The employer does whatever possible to minimize turnover,
making employees feel motivated on their jobs which encourages them to be more
commited to stay . The withdrawal behavior of the employees is modified by certain
factors. Loyalty to the organization is one such factor(Scott, 2007). According to Van
and Adonisi (2008) Some employees cannot imagine themselves working elsewhere,
however uncommited they are in their present job. Availability of other places of
employment also reduces employee commitment to their current job.
24
Turnover intentions are the thoughts of the employees regarding voluntary leaving the
organization (Warsi, 2009). The intention to quit is probably the most important
immediate antecedent of turnover decisions. Turnover intention is used instead of actual
turnover because in general the theory of planned behavior. In fact, researchers have
found intent to leave or stay as the strongest predictor of actual turnover (Lee, 2007).
Review on the antecedent of turnover intentions has highlighted intent to leave rather than
actual turnover as the outcome variable. Also results on the study of the relationship
between turnover intentions and actual turnover have given support and evidence on the
significant relationship between these variables (Scott, 2007). Literature has identified
that work related factors, personal characteristics and external factors are good predictors
of employee turnover tendency (Scott, 2007).
Further empirical studies have shown that turnover intentions are functions of several
variables such as satisfaction, motivation, organizational support, financial reward,
communication promotion prospect and leadership styles (Brown, McHardy, McNabb
and Taylor, 2011). In a review of turnover research, including 20 studies also considering
turnover, Scott (2007) stated the results of previous studies indicated that there is a
progression of behavioral withdrawal from absenteeism to turnover. The evidence behind
this claim embraces a wide range of subject groups studied (Scott, 2007). Jordan(2012)
suggests that most of the theoretical literature contends that before individuals leave an
organization, they progress through a series of stages of psychological and behavioral
withdrawal. (Scott, 2007) for example, asserted that absence is a miniature form of
turnover. He states that the position of leaving a job is the outcome of a chain of
experiences building up to the final break events on a smaller scale. Signs such high
absenteeism tend to manifest earlier as turnover becomes the dying state of a lively
process of leaving. However, with the changing nature of jobs, more study has to be done
focusing on the effect or impact of turnover intentions on employees‟ commitment (Bin,
2011).
2.4.2 Employee Commitment and Productivity
According Akintayo, (2010) the relationship between employee commitment and
productivity is not definitely established. The consensus on this, however, is that in the
long-run commitment leads to increased productivity. The strongest implication of most
of the research is that the two variables, commitment and performance, are relatively
25
independent of one another. It seems there are two possible reasons for this. The first
reason is that in many jobs variations, commitment cannot lead to variations in
productivity (Bin and Khyzer, 2011). Secondly, even when correlations of this sort do
appear, the associations may still be spurious, since both may be associated with other
factors as well (Bin and Khyzer, 2011). In other words, commitment and productivity
may very well have largely separate casual paths, one set of factors investment in
technology determines productivity, another set perceived equity of rewards produces
employee commitment (Akintayo, 2010). Productivity increases as an organization goes
ahead to find new ways to use fewer resources in order to produce its output. In a
business environment however, productivity improvement is essential for long-run
success of the company (Bin, Ahmed, Shafi and Shaheen, 2011).
A widely accepted assumption is that better workplace environment motivates employees
and produces better results (Brown, McHardy, McNabb, and Taylor, 2011). Office
environment can be described in terms of physical and behavioral components. These
components can further be divided in the form of different independent variables
(Gantasala, 2011). An organization‟s physical environment and its design and layout can
affect employee behavior in the workplace. Researchers estimate that improvements in
the physical design of the workplace may result in a 5-10 percent increase in employee
productivity (Conway, Edel, Kathy and Monks, 2010).
Other researchers argue that increasingly an organization‟s physical layout is designed
around employee needs in order to maximize productivity and satisfaction. They argue
that innovative workplaces can be developed to encourage the sharing of information and
networking regardless to job boundaries by allowing communication freely across
departmental groups (Sekar, 2011). Furthermore studies carried out argue that the modern
work physical environment is characterized by technology; computers and machines as
well as general furniture and furnishings. To achieve high levels of employee
productivity, organizations must ensure that the physical environment is conducive to
organizational needs facilitating interaction and privacy, formality and informality,
functionality and cross-disciplinarily (Leblebici, 2012).
Furthermore, the physical environment is a tool that can be leveraged both to improve
business results and employee well-being (Leblebici, 2012). Ensuring adequate facilities
are provided to employees is critical to generating greater employee commitment and
26
productivity (Sekar, 2011). The provision of inadequate equipment and adverse working
conditions has been shown to affect employee commitment and intention to stay with the
organization. From a safety perspective, it indicates that environmental conditions affect
employee safety perceptions which impact upon employee commitment (Omar, 2010).
Extensive scientific research has also yielded indications suggesting that improving
working environment results in a reduction in a number of complaints and absenteeism
and an increase in productivity (Shapiro, 2008). As such in the twenty-first century,
businesses are taking a more strategic approach to environmental management to enhance
their productivity through improving the performance level of the employees. It is evident
in the research findings of (Sekar, 2011) that the more satisfied workers are with their
jobs the better the company is likely to perform in terms of subsequent profitability and
particularly productivity. The author further, argues that in the relationship between work,
the workplace and the tools of work, workplace becomes an integral part of work itself
(Sekar, 2011).
The management that dictates how, exactly, will maximize employee productivity as it‟s
centered around two major areas of focus: personal motivation and the infrastructure of
the work environment (Sekar, 2011). There are various literatures that define different
factors that influence the performance of the employees but researchers explain the
components of the office environment such as interaction as having been perceived to be
the component to have the most positive effect on productivity and employee
commitment, and distraction was perceived to have the most negative(Haynes, 2008).
Through gains in productivity managers can reduce costs, save scarce resources, and
enhance profits. In turn, improved profits allow an organization to provide better pay,
benefits, and working conditions which result to employee commitment. The result can be
a higher quality of work employees, who are more likely to be motivated and commited
toward further improvements in productivity (Zheng, 2010)
2.4.3. Employee Commitment and Corporate Social Responsibility
Corporate social responsibility is an initiative to assess and take responsibility for the
company's effects on the environment and impact on social welfare. Corporate social
responsibility may also be referred to as corporate citizenship and can involve incurring
short-term costs that do not provide an immediate financial benefit to the company, but
instead promote positive social and environmental change (Stawiski, 2010).
27
Corporate Social Responsibility (CSR) is both a high profile notion which the business
world perceives as strategic (Economist, 2008). The diffusion of corporate CSR practices
is driven by emerging markets for virtues such as Socially Responsible Investment that
create effective, if limited, commercial pressure to adopt CSR policies and constitute a
growing CSR industry (Waldman, 2008).
A recent global survey of 1,122 corporate executives suggests CEOs perceived that
businesses benefit from CSR because it increases attractiveness to potential and existing
employees (Economist, 2008). A French poll on CSR indicated that employees were seen
as the most important stakeholder group toward whom corporations have to exercise their
social responsibility (Gond, 2010). Most organizatiosn have launched a corporate social
responsibility competency framework supervised by the human resource department „to
promote the adoption of CSR by corporations (Gond, 2010). This framework supports
human resource manager‟s efforts to enhance employee‟s adoption of socially responsible
behavior. This evidence suggests that employees are centrally important in deploying
CSR strategies in an organization.
However, in tough economic times, ensuring a company‟s survival seems difficult
enough, without adding corporate citizenship priorities into the mix. With everything
going on, beginning or maintaining strong corporate social responsibility initiatives may
not be at the top of a company‟s priority list but it enhances the company‟s image
(Stawiski, 2010). What are the benefits of investing in CSR does CSR impact employee
attitudes, might CSR actually help the corporate bottom line. There is evidence that CSR
is beneficial because as with customers CSR improves employees‟ perceptions of the
company and may decide to affirm their commitment (Gond., 2010). When a company
has CSR initiatives, employees are more proud of and committed to the organization.
This is because our personal identities are partly tied up in the companies that we work
for. If my company is saving the world, I am too, so my association with the company
reflects positively on me and makes me feel good about the work I do for the company
(Gond., 2010). Data from World Leadership Study also support this finding: employees‟
perceptions of their organizations „concern for community and environment are linked to
their level of organizational commitment (Waldman, 2008).
28
Studies carried out have shown that corporate social responsibility makes a unique and
positive contribution to overall commitment. That is, the higher an employee rates their
organization‟s corporate citizenship, the more committed they are to the organization
(Waldman.D., 2008). Research shows that the scale, corporate social responsibility has
promoted organizational commitment and has been linked to favorable outcomes for
companies including increased job satisfaction, reduced intentions to turnover, and
increased job involvement. It was acknowledged that organizational performance can be
enhanced by involving employees in decision making that will ultimately increase their
commitment in the organization (Brammer,Millington and Rayton, 2007).
Though some studies of corporate social responsibility adopted an organizational
behavior perspective, they mainly focused on how CSR impacted prospective employees,
and increased corporate attractiveness (Economist, 2008). This research supports the idea
that CSR positively affects corporate attractiveness but says little about how CSR actually
influences employees. The few empirical studies investigating the internal impact of CSR
on employees tend to focus on specific dimensions of organizational commitment (Carrol,
2008) Because of its multidimensional nature; CSR can influence a wide range of
organizational attitudes and behaviors beyond organizational commitment.
2.5 Chapter summary
This chapter has presented a review of pertinent literature of employee commitment
focusing on the organizational factors, individual factors and the effect of employee
commitment on organizational performance . The next chapter will discuss the
methodology that was used in this research. The procedures and methods which were
used in carrying out this study. It will provide a description of the research design,
ampling design, methods of data collection, research procedures, and data analysis
methods.
29
CHAPTER 3
3.0 RESEARCH METHODOLGY
3.1 Introduction
In this chapter we discuss the research methodology that was used to conduct this study.
The chapter focused on the following: research design, population and sampling
techniques, data collection methods, research procedures, data analysis methods and
chapter summary.
3.2 Research Design
The research design that was used in this study was descriptive in nature. Research design
can be classified in a number of ways which could integrate the degree to which the
research question has been crystallized, the method of data collection used, the ability of
the researcher to produce effects in the variables which are being studied, the purpose of
the study, the time dimension, the scope of the study and also the research environment.
A descriptive study is generally based on making findings concerning questions of; who,
what, where, when, or how much and is very effective in giving the actual scenario in the
organization. Descriptive studies are always handled with hypothesis which is clearly
defined or investigative questions and they serve a number of objectives in the study
(Cooper and Schindler, 2011). The researcher found it appropriate to use a descriptive
research design for this study because this study was concerned with finding out what
factors influence employee commitment and these are more qualitative in nature. Factors
under study are the independent variables whereas the dependent variable is employee
commitment.
3.3 Population and Sampling Design
3.3.1 Population
The study of population refers to the total collection of elements which one would like to
study or make inferences (Cooper and Schindler, 2001). This case study was based on
KCCA and the population of interest was its employees. The target population was 168
employees ranging from top management personnel, middle managers, supervisors and
the lower level employees as shown in Table 3.1.
30
Table 3.1: Population Distribution
No
Department Population
Characteristics
Population
No.
Percentage of
the entire
Population
1 Human Resources Managers 6 10
Non-Managers 20 10
2 Finance Managers 8 10
Non-Managers 26 10
3 Planning Managers 10 10
Non-Managers 28 10
4 Technical Department Managers 6 10
Non-Managers 29 10
5 Research and Design Managers 8 10
Non-Managers 27 10
TOTAL 168 100
Source: KCAA HR (2014)
3.3.2 Sampling Design
3.3.2.1 Sampling frame
This refers to the list of elements from which the sample is actually drawn, and is closely
related to the population (Cooper & Schindler, 2001). The sampling frame for this study
consisted of 168 employees. These employees included managers and non-managers from
the Human Resources, Finance, Planning, Technical, Research and Design. The list from
which the sample was drawn was obtained from the Human Resource Department in
Kenya Civil Aviation Authority.
3.3.2.2 Sampling Technique
Stratified random sampling technique was used in the selection of sample elements (top
management personnel) from the sampling frame. The population was segregated into
several mutually exclusive sub populations, or strata, the process by which the sample is
constrained to include elements from each of the segments is referred to as stratified
random sampling (Saunders, Lewis and Thornhill, 2009). Stratified random sampling has
three main benefits, it: increases a sample‟s statistical efficiency, provides adequate data
for analyzing the various subpopulations, and enables different research methods and
procedures to be used in different strata (Cooper & Schindler, 2001). The study
population was segmented on the basis of various functions or divisions within KCAA
which included finance, planning, human resource, research and development, technical
31
department. These ensured representation across the various functions or divisions of the
top management personnel.
3.3.2.3 Sample Size
This refers to the number of elements selected from a given population (Cooper and
Schindler, 2001). How large a sample should be is always a function of the variation in
the population parameters under study and also the estimating precision needed by the
researcher. Some of the principles which influence sample size include the following: the
larger the sample, then it must be able to provide estimation precision, the greater the
desired precision of the estimate, the larger the sample must be, the narrower the interval
range, the larger the sample must be, the higher the confidence level in the estimate, the
larger the sample must be, the greater the number of subgroups of interest within a sample
and also the greater the sample size must be, as each sub group must meet minimum
sample size requirements (Cooper and Schindler, 2001).
According to Saunders, Lewis and Thornhill (2009), sample size can be calculated by the
following formula;
n= p% * q% * (z/ e %) 2
Considering a worst case scenario where p is 50% at a 95% level of confidence, and
within an error of ± 10.
n= 50 * 50 *(1.96 / 10)2 = 97 employees.
Saunders, Lewis and Thornhill (2009), went further to suggest that if the population is
less than 1000, then the sample size can be adjusted without affecting accuracy using this
formula;
n= n / (1) + (n / N)
The adjusted minimum sample size was 92 respondents. This is the total sample that was
considered while collecting data as shown in Table 3.2.
32
Table 3.2: Sample selection
No Department Population
Characteristics
Population
No.
Population
%
Sample
Size
1 Human Resources Managers 6 10 3
Non-
Managers
20 10 10
2 Finance Managers 8 10 4
Non-
Managers
26 10 15
3 Planning Managers 10 10 5
Non-
Managers
28 10 16
4 Technical
Department
Managers 6 10 3
Non-
Managers
29 10 17
5 Research and Design Managers 8 10 4
Non-
Managers
27 10 15
TOTAL 168 100 92
3.4 Data Collection Methods
Cooper and Schindler (2011), state that data collection methods refer to the process of
gathering data after the researcher has identified the types of information needed which is,
the investigative questions the researcher must answer, and has also identified the desired
data type such as nominal, ordinal, interval, or ratio for each of these questions and also
ascertained the characteristics of the sample unit that is, whether a participant can
articulate his or her ideas, thoughts, and experiences. This study particularly focused on
use of primary data which was collected from the target sample using Questionnaires.
This is because they had a low cost, were perceived to be more anonymous and
confidential; which allowed the respondents to think carefully before giving an answer to
the questions asked. The questionnaire was divided into four sections: the first part of the
questionnaire was designed to analyze demographic data, gender, years of service and the
qualifications of the respondents. The second part was to look at organizational factors
that influence the level of employee commitment, and the third part was to identify the
Individual factors that influence the level of employee commitment and the fourth part of
the questionnaire was to assess the effect of employee commitment on organizational
performance. There were five multiple choice options for each question which
33
represented five levels of preference; strongly disagree, disagree, neutral, agree, and
strongly agree.
3.5 Research Procedures
A tailor-made self-administered structured questionnaire was developed by the
researcher, for the purpose of collecting data for this study. The data collection instrument
(structured questionnaire) was pilot tested with 10 respondents representing the various
functions or divisions in KCAA. The problems that were encountered during pilot testing
of the data collection instrument were addressed by making necessary adjustments to the
questionnaire before administering it to the whole study sample. After revision of the data
collection instrument, the whole study sample was subjected to the data collection
instrument. A number of methods were used to improve returns like response rate such as
drop and pick later method and following up through reminders via telephone and email.
To ensure cooperation and a high response rate, a cover letter was provided, which stated
the purpose of the study and of what importance it would be to the respondents.
3.6 Data Analysis Methods
It has been determined that managers need information to perform their duties and not
simply raw data. Researchers usually generate information by analysing data after its
collection. According to Cooper & Schindler (2011), the purpose of data analysis is to
reduce accumulated data to a manageable size, developing summaries, looking for
patterns, and applying statistical techniques. Once data was collected, it was edited,
coded, transcribed, and then cleaned. Data was edited to check for missing sections, what
was not necessary was deleted as deemed appropriate. The data was then coded by
attaching numerical value to every qualitative data. Data was cleaned and errors corrected
whenever possible.
Statistical Package for Social Science (SPSS) was used to analyse data using descriptive
statistics. Pearson correlation was used to analyse the significance of the relationship
between age and individual factors that influence employee commitment which emerged
stronger in the study. Data was also analyzed using scales such as ordinal or nominal.
This analyzed data was then presented by way of figures and tables.
34
3.7 Chapter Summary
This chapter has presented the Research Methodology that will be used in analyzing the
research questions. It has discussed the research design, population and sampling design
used. The chapter has also discussed the data collection method, the research procedure
and the data analysis method that was used in the study. For this study a descriptive
research design was used. The population under study was 168, out of which 92 were
taken as a sample using a list obtained from the Human Resource Department. The
questionnaire method was used to collect data. This data was edited, cleaned and coded
using. SPSS was the main tool used for analyzing this data.
The next chapter will present the results and findings of this study in tables, figures and
chart form. Chapter five will finally discuss the findings, conclusions and
recommendations of this study.
35
CHAPTER 4
4.0 RESULTS AND FINDINGS
4.1 Introduction
This chapter presents the results and findings as obtained in this study. It will present the
general information (Age group of respondent, Gender of respondent, Years of service in
the organization, and Level of education), the organisational factors that influence
employee commitment, the individual factors that influence employee commitment and
the impact of employee commitment on organisational performance. The study targeted
92 respondents who were proportionally distributed according to the various departments
in KCAA. After discussing all the factors, there will be a chapter summary at the end of
the chapter.
4.2 General Information
There were 92 respondents sampled for this study, and a response rate of 100% was
realized in this research since all the questionnaires were returned. The general
information in this study was made up of age, gender, years of service in the organization,
and the level of education of the respondent. This information was sought in order to
ascertain the respondents‟ demographic characteristics.
4.2.1 Age of Respondents
This question was useful in order for the researcher to determine if there was any level of
inconsistency in data stated by the respondents. Out of 92 people involved in the study,
the finding show that 6.5% of the respondents were below the 25 years of age, 25.0%
were between 25-34 years, 41.3% were between 35-44 years, 16.3% were between 45-54
years, 8.2% were between 55-64 years and 2.2% were above 65 years of age. The results
of the findings are presented in the Figure 4.1.
36
Figure 4.1 Age of Respondents
4.2.2 Gender of Respondents
This research question sought to find out the gender distribution of the various
respondents in the organization. The results showed that 68.5% of the respondents were
male and 31.5% of the respondents were female. Male respondents were higher than
female respondents by 37.0%. The findings to the question are presented in Figure 4.2.
Figure 4.2 Gender of Respondents
37
4.2.3 Years of Service
This question sought to find out the number of years the various respondents had served
in the organization. The results obtained showed that 37.0% of the employees had served
in the organization between 0-4years, 39.1% had served between 5-9 years, 14.1% had
served between 10-14 years, 7.6% had served between 15-19 years and 2.2% had served
in the organization for more than 20 years. The Findings are presented in Figure 4.3
Figure 4.3 Years of Service
4.2.4 Level of Education
This question sought to find out the level of education attained by the respondents in the
organization. The findings showed that 47.8% of the respondents were undergraduates,
23.9% were graduates (MBA degree), 12.0% were graduates (Other degree), 9.8% were
post graduates and 6.5% had professional qualifications. The findings are presented in
Figure 4.4.
38
Figure 4.4 Education Level
4.3 Organizational Factors That Influence Employee Commitment
4.3.1 Organization Demand for Perfection
This question sought to find out whether the organization demands perfection from
employees. According to Table 4.1, the findings show that 2.2% of the respondents
disagree that their organization demands perfection, 8.7% neither agree nor disagree,
23.9% agree to this question and 64.1% of the respondents strongly agree to this question.
The total cumulative percentage of all the respondents in agreement showed that less than
half agreed to this question as shown in Table 4.1
39
Table 4.1: Organization Demand for Perfection
Frequency Percent
Valid Disagree 2 2.2
Neither
Agree nor
Disagree
8 8.7
Agree 22 23.9
Strongly
Agree
59 64.1
Total 91 98.9
Missing System 1 1.1
Total 92 100.0
4.3.2 Organization has Strong Work Ethic
This question sought to find out whether the organization has a strong work ethic. The
findings obtained show that 1.1% of the respondents strongly disagree their organization
has a strong work ethic, 2.2% of the respondents disagree, 9.8% of the people interviewed
neither agree nor disagree on the question, 42.4% of the respondents agree where as
44.6% of them strongly agree. The total cumulative percentage of all the respondents in
agreement with the statement is 87.0% as shown in Table 4.2 below.
Table 4.2: Organization has Strong Work Ethic
Frequency Percent
Strongly Disagree 1 1.1
Disagree 2 2.2
Neither Agree nor Disagree 9 9.8
Agree 39 42.4
Strongly Agree 41 44.6
Total 92 100.0
40
4.3.3 Organization Highly Reliable
The findings obtained show that 1.1% of the respondents strongly disagreed to the
question on whether their organization is highly reliable. 1.1% disagreed, 9.8% neither
agreed nor disagreed, 40.2% agreed to the question, while 47.8% strongly agreed. The
total cumulative percentage of all the respondents in agreement is 88.0%, showing that
most of the respondents were in agreement as indicated in Table 4.3 below.
Table 4.3: Organization Highly Reliable
Frequency Percent
Strongly Disagree 1 1.1
Disagree 1 1.1
Neither Agree nor Disagree 9 9.8
Agree 37 40.2
Strongly Agree 44 47.8
Total 92 100.0
4.3.4 Organization Top Down Social Interactions
This question sought to find out whether the organization promotes top down social
interactions. The findings shown on Table 4.3 indicate that 1.1% of the respondents
disagreed to the statement that their organization promotes top down social interactions,
34.8% of the respondents neither agree nor disagreed, 26.1% agreed while 34.8% of the
respondents strongly agreed. As illustrated, most of the respondents agreed to this
question as shown in Table 4.4 below.
41
Table 4.4: Organization Top Down Social Interactions
Frequency Percent
Disagree 4 1.1
Neither Agree nor
Disagree
32 34.8
Agree 24 26.1
Strongly Agree 32 34.8
Total 92 100.0
4.3.5: Organization Encourages Self-Managed Teams
The findings obtained show that 5.4% of the respondents disagree that their organization
encourages formation of self-managing teams, 26.1% neither agree nor disagree, 44.6%
agree while 23.9% of the respondents strongly agree with the statement. Most of the
respondents agreed to this question as indicated in Table 4.5 below.
Table 4.5: Organization Encourages Self-Managed Teams
Frequency Percent
Disagree 5 5.4
Neither Agree Nor
Disagree
24 26.1
Agree 41 44.6
Strongly Agree 22 23.9
Total 92 100.0
4.3.6 Interaction with Organization Influences Commitment
The findings shown on Table 4.6 indicate that 1.1% of the respondents strongly disagreed
that their interaction with the organization influences their commitment, 1.1% disagreed,
12.0% neither agreed nor disagreed, 42.4% agreed to the question, while 43.5% of the
respondents strongly agreed with the statement. Most of the respondents strongly agreed
to this question as shown in Table 4.6 below.
42
Table 4.6: Interaction with Organization Influences Commitment
Frequency Percent
Strongly Disagree 1 1.1
Disagree 1 1.1
Neither Agree Nor Disagree 11 12.0
Agree 39 42.4
Strongly Agree 40 43.5
Total 92 100.0
4.3.7 Organization Strong Management Style
Table 4.7 indicates that 1.1% of the respondents disagreed to their organization having a
strong management style, 13.0% neither agreed nor disagreed, 42.4% agreed to the
question, while 43.5% of the respondents strongly agreed with the statement. As shown
on the table most of the respondents strongly agreed to the statement as shown in Table
4.7 below.
Table 4.7: Organization Strong Management Style
Frequency Percent
Disagree 1 1.1
Neither Agree Nor
Disagree
12 13.0
Agree 39 42.4
Strongly Agree 40 43.5
Total 92 100.0
4.3.8 Organization Promotes Team Work
According to Table 4.8, 23.9% neither agreed nor disagreed with their organization
promoting team work, 46.7% agreed to the question, and 29.3% of the respondents
strongly agreed with the statement. Most of the respondents agreed to the question as
indicated in Table 4.8 below.
43
Table 4.8: Organization Promotes Team Work
Frequency Percent
Neither Agree Nor
Disagree
22 23.9
Agree 43 46.7
Strongly Agree 27 29.3
Total 92 100.0
4.3.9 Organization Encourages Retention
Results presented in Table 4.9 indicate, 2.2% of the respondents strongly disagreed with
the question, 1.1% disagreed, 33.7% neither agreed nor disagreed, 35.9% agreed to the
question, where as 27.2% of the respondents strongly agreed with the statement. The
cumulative percentage indicates that most of the respondents agreed to the statement as
shown in Table 4.9 below.
Table 4.9: Organization Encourages Retention
Frequency Percent
Strongly Disagree 2 2.2
Disagree 1 1.1
Neither Agree Nor
Disagree
31 33.7
Agree 33 35.9
Strongly Agree 25 27.2
Total 92 100.0
4.4 Individual Factors That Influence Employee Commitment
4.4.10 Age and Commitment
Table 4.10, shows that 2.2% of the respondents disagreed that older employees are more
committed, 6.5% neither agreed nor disagreed, 19.6% of the respondents agreed, while
44
71.7% strongly agreed to the question. None of the respondents strongly disagreed to this
question as shown in Table 4.10 below.
Table 4.10: Age and Commitment
Frequency Percent
Disagree 2 2.2
Neither Agree Nor
Disagree
6 6.5
Agree 18 19.6
Strongly Agree 66 71.7
Total 92 100.0
4.4.11 Position in the Organization Influences My Commitment
According to Table 4.11, 2.2% of the respondents disagreed that the position they hold in
the organization influences their commitment. A further 10.9% neither agreed nor
disagreed, 31.5% of the respondents agreed, while 55.4% strongly agreed to the question.
None of the respondents strongly disagreed to this question as shown in Table 4.11
below.
Table 4.11: Position in the Organization Influences My Commitment
Frequency Percent
Disagree 2 2.2
Neither Agree Nor
Disagree
10 10.9
Agree 29 31.5
Strongly Agree 51 55.4
Total 92 100.0
4.4.12 Job Security
Table 4.12, shows that when respondents were asked whether they feel secure in their
jobs, 3.3% disagreed, 15.2% neither agreed nor disagreed, 37.0% of the respondents
45
agreed, where as 44.6% strongly agreed to the question. Thus a majority of the
respondents felt secure in their jobs as shown in Table 4.12 below.
Table 4.12: Job Security
Frequency Percent
Disagree 3 3.3
Neither Agree Nor
Disagree
14 15.2
Agree 34 37.0
Strongly Agree 41 44.6
Total 92 100.0
4.4.13 Stress Free Work Environment
Table 4.13, indicates that 3.3% of the respondents disagreed when asked if they are
assured of a stress free work environment, 33.7% neither agreed nor disagreed, 22.8% of
the respondents agreed, while 40.2% strongly agreed to the question as shown in Table
4.13 below.
Table 4.13: Stress Free Work Environment
Frequency Percent
Disagree 3 3.3
Neither Agree Nor
Disagree
31 33.7
Agree 21 22.8
Strongly Agree 37 40.2
Total 92 100.0
4.4.14 Married People as more Committed than Unmarried Ones
Table 4:14, shows that when respondents were asked whether they view married people
as more committed to their jobs than unmarried ones, 1.1% strongly disagreed, 8.7% of
46
the respondents disagreed, 20.7% neither agreed nor disagreed, 25.0% of the respondents
agreed, while 44.6% strongly agreed to the question as shown in Table 4.14 below.
Table 4.14: Married People as more Committed than Unmarried Ones
Frequency Percent
Strongly Disagree 1 1.1
Disagree 8 8.7
Neither Agree Nor
Disagree
19 20.7
Agree 23 25.0
Strongly Agree 41 44.6
Total 92 100.0
4.4.15 Job Competence
According to results obtained in table 4.15, 33.7% of the respondents strongly disagreed
with the statement that married people are more committed to their jobs than unmarried, a
further 12.0% disagreed, 29.3 % neither agreed nor disagreed, 8.7% of the respondents
agreed, where as 16.3% strongly agreed to the question. Hence a majority of the
respondents strongly disagreed with the question. These findings are reflected in Table
4.15 below.
Table 4.15: Job Competence
Frequency Percent
Strongly Disagree 31 33.7
Disagree 11 12.0
Neither Agree Nor
Disagree
27 29.3
Agree 8 8.7
Strongly Agree 15 16.3
Total 92 100.0
47
4.4.16 Marital Obligations Influence Employee Commitment
Table 4.16, shows that 1.1% of the respondents strongly disagreed with the statement that
marital obligations influence employee commitment, a further 5.4% disagreed, 18.5 %
neither agreed nor disagreed, 20.7% of the respondents agreed, while 54.3% strongly
agreed to the question. Thus most of the respondents were in strong agreement with the
question as shown in Table 4.16 below.
Table 4.16: Marital Obligations Influence Employee Commitment
Frequency Percent
Strongly Disagree 1 1.1
Disagree 5 5.4
Neither Agree Nor
Disagree
17 18.5
Agree 19 20.7
Strongly Agree 50 54.3
Total 92 100.0
4.4.17 Correlation Between Age and Individual Factors
Table 4.17 indicates the correlation of the strongest individual factors influencing
employee commitment against age. The correlation significance between age and older
employees being more committed was 1.0, age and the position held in the organization
was 0.434, age and the feeling of job security was 0.267, whereas age and marital
obligations was 0.178. By looking at the table the researcher concluded that there was a
positive relationship between age and the individual factors that influence employee
commitment as shown in Table 4.17 below.
48
Table 4.17: Correlation between Age and Individual Factors
Older
employees
are more
committed
The position I
hold in the
organization
influences
my
commitment
I feel secure
in my job
Marital obligations
influence employee
commitment
Age
Older employees
are more committed
Correlation 1.000 .438 .267 .178
Significance
(2-tailed) . .000 .011 .092
df 0 89 89 89
The position i hold
in the organization
influences my
commitment
Correlation .438 1.000 .458 .074
Significance
(2-tailed) .000 . .000 .484
df 89 0 89 89
I feel secure in my
job
Correlation .267 .458 1.000 .227
Significance
(2-tailed) .011 .000 . .031
df 89 89 0 89
Marital obligations
influence employee
commitment
Correlation .178 .074 .227 1.000
Significance
(2-tailed) .092 .484 .031 .
df 89 89 89 0
4.5 The Effect of Employee Commitment on Organizational Performance
4.5.18 Organization is Keen on Employee Loyalty
The question sought to find out whether the respondents organization is keen on employee
loyalty. The findings in table 4.18 show that 1.1% of the respondents strongly disagreed with the
question, 1.1% disagreed, 3.3% neither agreed nor disagreed, 18.5% agreed and 76.1% strongly
agreed to the statement. Most respondents strongly agreed to the question as indicated in Table
4.18 below.
49
Table 4.18: Organization is Keen on Employee Loyalty
Frequency Percent
Strongly Disagree 1 1.1
Disagree 1 1.1
Neither Agree Nor
Disagree
3 3.3
Agree 17 18.5
Strongly Agree 70 76.1
Total 92 100.0
4.5.19 Organization Emphasizes on Productivity
The question sought to find out whether the respondents organization is keen on
employee loyalty. The findings show that 1.1% of the respondents strongly disagreed
with the question, 1.1% disagreed, 3.3% neither agreed nor disagreed, 18.5% agreed and
76.1% strongly agreed to the statement. Most respondents strongly agreed to the question
as shown in Table 4.19 below.
Table 4.19: Organization Emphasizes on Productivity
Frequency Percent
Disagree 1 1.1
Neither Agree Nor Disagree 1 1.1
Agree 30 32.6
Strongly Agree 60 65.2
Total 92 100.0
4.5.20 Absenteeism as a sign of Exiting the Organization
According to Table 4.20, 1.1% strongly disagreed with the question, 3.3% disagreed,
7.6% neither agreed nor disagreed, 37.0% agreed and 51.1% strongly agreed to the
statement. Most respondents strongly agreed to the question as indicated in Table 4.20
below.
50
Table 4.20: Absenteeism as a sign of Exiting the Organization
Frequency Percent
Strongly Disagree 1 1.1
Disagree 3 3.3
Neither Agree Nor Disagree 7 7.6
Agree 34 37.0
Strongly Agree 47 51.1
Total 92 100.0
4.5.21 Physical Environment around My Organization
When the respondents were asked whether they are concerned about the physical
environment around their organization 1.1% disagreed with the question, 7.6% neither
agreed nor disagreed, 32.6% agreed and 58.7% strongly agreed to the statement. For this
question too, respondents strongly agreed to the question as shown in Table 4.21 below.
Table 4.21: Physical Environment around My Organization
Frequency Percent
Disagree 1 1.1
Neither Agree Nor
Disagree
3 7.6
Agree 30 32.6
Strongly Agree 54 58.7
Total 92 100.0
4.5.22 Organization Values the Safety of the Employees
Table 4.22, illustrates that 1.1% of the respondents disagreed with the question that their
organization values the safety of the employees, 27.2% neither agreed nor disagreed,
30.4% agreed where as 41.3% strongly agreed to the statement. Giving an indication that
most of the respondents strongly agreed to the question as indicated in Table 4.22 below.
51
Table 4.22: Organization Values the Safety of the Employees
Frequency Percent
Disagree 1 1.1
Neither Agree Nor
Disagree
25 27.2
Agree 28 30.4
Strongly Agree 38 41.3
Total 92 100.0
4.5.23: Organization Promotes the Use of Technology
Results obtained indicate that 1.1% of the respondents strongly disagreed with the
question that their organization promotes the use of technology, 7.6% disagreed, 34.8%
neither agreed nor disagreed, 55.4% agreed where as 98.9% strongly agreed to the
statement. These results in table 4.23 indicate that most of the respondents strongly
agreed to the question as shown in Table 4.23 below
Table 4.23: Organization Promotes the Use of Technology
Frequency Percent
Strongly
Disagree
1 1.1
Disagree 7 7.6
Neither Agree
Nor Disagree
32 34.8
Agree 51 55.4
Strongly Agree 51 98.9
Total 91 41.3
Missing
System 1 1.1
Total 92 100.0
52
Table 4.5.24: Organization Promoting Socially Acceptable Behavior
Table 4.24, indicates that 15.2% of the respondents neither agreed nor disagreed to the
question whether their organization is involved in promoting socially acceptable
behavior, 30.4% agreed, while 54.3% strongly agreed to the statement. For this question
most of the respondents strongly agreed as indicated in Table 4.24 below.
Table 4.24: Organization Promoting Socially Acceptable Behavior
Frequency Percent
Neither Agree Nor
Disagree
14 15.2
Agree 28 30.4
Strongly Agree 50 54.3
Total 92 100.0
4.5.25 Organization and Community Development Programs
This question sought to find out whether the respondents viewed their organization as
involved in community development programs. 1.1% of the respondents disagreed with
the question, 22.8% neither agreed nor disagreed, 38.0% agreed while 38.0% strongly
agreed to the statement as shown in Table 4.25 below.
Table 4.25: Organization and Community Development Programs
Frequency Percent
Disagree 1 1.1
Neither Agree Nor
Disagree
21 22.8
Agree 35 38.0
Strongly Agree 35 38.0
Total 92 100.0
53
Table 4.5.26: Organization as Promoting Environmental Awareness
This question sought to find out whether the respondents viewed their organization as
promoting environmental awareness. 1.1% of the respondents disagreed with the
question, 12.0% neither agreed nor disagreed, 41.3% agreed while 45.7% strongly agreed
to the statement. Hence the highest percentage of respondents strongly agreed with the
question as shown in Table 4.26.
Table 4.26: Organization as Promoting Environmental Awareness
Frequency Percent
Disagree 1 1.1
Neither Agree Nor
Disagree
11 12.0
Agree 38 41.3
Strongly Agree 42 45.7
Total 92 100.0
4.6 Chapter Summary
This chapter was about results and findings of the research. It has presented responses on
the factors influencing employee commitment in tables and diagrams. The next chapter
will discuss the results and findings of this study. Based on these a brief conclusion and
recommendation on each research objective will be discussed.
54
CHAPTER 5
5.0 DISCUSSIONS, CONCLUSIONS AND RECOMMENDATIONS
5.1 Introduction
This chapter provides a discussion based on the results and findings of the study. The
factors that influence employee commitment were discussed. Based on the literature
review, it will also provide a conclusion on the research objectives. The chapter will also
provide recommendations for further research.
5.2 Summary
This chapter presents the results and findings as obtained in this study. It will present the
study on the question which is the factors that influence employee commitment. To attain
this study determined the organizational factors that influence employee commitment, the
individual factors and the effect of employee commitment on organizational performance.
This study used a descriptive design to build a profile of factors that influence employee
commitment. It used stratified random sampling to study 92 respondents out of the 168
employees of Kenya Civil Aviation Authority (KCCA). Data was then collected using a
questionnaire. This data was then edited, coded, cleaned and analysed using SPSS.
The first objective of this study was to determine the organizational factors that influence
employee commitment. The findings obtained from the study show that organizational
factors have a strong influence on employee commitment. These factors include;
organizational dependability, effectiveness of the organizations social processes, and the
organizational climate. The findings also indicated that organizational factors such as
demand for perfection, strong work ethic, organization being highly reliable, organization
promoting top down social interactions, organization encouraging formation of self-
managing teams, employee interaction with the organization, the organization having a
strong management style, the organization promoting team work and the organization
encouraging retention of its employees all strongly influenced the commitment of
employees, though the scale of influence varied depending on a particular respondent.
The second objective was to determine the individual factors that influence employee
commitment. The findings showed a strong influence. The individual factors identified
included age, job security and marital status. Further study of the individual factors
narrowed to aspects such as older employees being more committed, the position held in
an organization influencing employee commitment, job security, assurance of a stress free
55
work environment, married people being more committed to their jobs than unmarried
ones, marital obligations influencing employee commitment which showed that there was
a strong influence in the level of employee commitment, with a stronger agreement on the
question of older employees being more committed.
The third objective was to determine the factors that affect the level of employee
commitment on organizational performance were found to strongly influence
commitment as well. These factors include employee turnover, employee productivity
and corporate social responsibility. On narrowing these factors further, the researcher
posed questions such as organizations keenness to loyalty, organization emphasizing
productivity, organization viewing absenteeism as a sign of exiting the organization,
employee being concerned about the physical environment around them, organization
valuing safety of employees, organization promoting technology, organization being
involved in promoting socially acceptable behavior, organization being involved in
community development programs, employees viewing their organization as promoting
socially acceptable behavior. The findings show that the varied response from the
sampled population indicated a strong agreement to organizational performance having a
strong effect on employee commitment.
5.3 Discussion
This section will present the results and findings obtained in regard with the research
questions used to determine which factors influence organizational commitment in
KCCA. Furthermore the findings will be interpreted.
5.3.1 Organizational Factors that Influence Employee Commitment
The findings show that many of the respondents were in agreement with the question that
their organization demands for perfection from employees. This is in agreement with
Bhavn and Swati (2012), argument that employees who feel that their organization values
their input are likely to be a lot more committed to the organization because they do not
want to lose that trust from the organization. The employees, who strongly lack the ability
to cope with their new tasks are more likely to have a negative response to such demands
from their organization. Consequently, they are likely to express lower levels of
commitment to their organizations. The findings indicate that many of the respondents
strongly agreed that their organization has a strong work ethic, which shows more than
half of the 92 people sampled. past success of the company has an influence on their
56
commitment. This agrees with Janet (2008) statement that, the work ethics of an
organization can be identified as a factor that has a very serious influence on
organisational commitment.
The findings on the question of the respondents viewing their organization as highly
reliable, indicated majority of the respondents were in strong agreement. Thus out of the
92 sampled population, 44 respondents agreed to the statement. This is in line with
Hausknecht et al (2012), argument that the organization‟s values to a large extent have an
impact on employee's commitment to the company. If a company is not highly reliable, or
is performing below the expectations established by the board or the executives, it can
highly affect employee commitment. Employees start to hunt for work elsewhere if they
feel the company is not succeeding as it should be and might not survive in a competitive
market.
On whether their organization promotes top down social interactions, the response rate
was above average since the respondents who neither agreed to the question nor disagreed
to the question were many, whereas the same percentage was achieved with the
respondents who strongly agreed. This agrees with an observation put forward by Abdulla
and Djebayni (2011),that said employees tend to be committed when they feel the
organization recognizes that there should be clear communication channels amongst its
workers. Rigid organizations tend to breed employees who are not trustworthy and
committed because they feel their organization has not trusted them as well.
On whether they perceived their organization as encouraging formation of self-managing
teams, many of the respondents strong agreed to this question hence affirming Yahui and
Hung (2010), argument that smooth teamwork is one of the most important conditions
necessary to guarantee a harmonious working atmosphere. It is also an important factor
that influences employee commitment in an organization
On the question of the organization promoting team work, many of the respondents
strongly agreed to the question thus confirming Yahui and Hung (2010), argument that
smooth teamwork is one of the most important conditions necessary to guarantee a
harmonious working atmosphere. Teamwork has been found out to be an important factor
that influences employee commitment in an organization since many of the respondents
agreed to this question.
57
Furthermore Yahui and Hung (2010), argument that smooth teamwork is one of the most
important conditions necessary to guarantee a harmonious working atmosphere. It is also
an important factor that influences employee commitment in an organization since a
majority of the respondents sampled strongly agreed.
On the organizations management style and the encouragement of employee retention, the
findings show that many of the respondents strongly agreed to the question. This is in line
with Iqbal (2010), argument that having committed leadership that is willing to model
desired changes and also drives fear out of the organization is very critical for business
success, encourages employee commitment and promotes retention of employees.
5.3.2 Individual Factors and their Influence on Employee Commitment.
Many scholars who have studied individual factors that influence employee commitment
have identified the most crucial factors as age, job security and marital status. The
findings obtained on older employees being more commited show that majority of the
respondents were in strong agreement. This is in agreement with Agarwal and Swati
(2012), who state that employees as individuals will always be more committed to a
company they have been employed in for a long period of time as they believe there are
opportunities for them to advance in the future through promotions and more
responsibilities.
Ans et al (2006), argument that employees often perceive the positions they hold as a
sign that the organization depends on you,and hence this influences their level of
commitment. To find out these employees were asked wheteher the positions they hold
influence their level of commitment, a few of the respondents were not sure but many
strongly agreed to the question.
On the question of feeling secure of their jobs, many of the respondents agreed that they
feel secure with their jobs hence agreeing with Ans et al (2006), argument that employees
may also be more committed because of the years of service given to a particular
organization, since most of the employee perceive the many years of service as a sign of
guaranteed security from the organization hence replacing that personnel may not be a
unonimous decision of management.
58
Lewig et al.(2000) discussed that a stressful environment may be more threatening
rather than one filled with opportunities. The employees, who strongly lack the ability to
cope with their new tasks are more likely to have a negative response to. Consequently,
they are likely to express less levels of commitment to their organizations. The findings
on being assured of a stress free environment indicated that many of the respondents were
in strong agreement with the statement. Further more, this is in agreement with Prateek et
al (2011), who states that It is true to say that stress caused by radical organizational
changes mostly leads to decreased morale, motivation and commitment to the
organization.
On whether married people are more committed to their jobs than unmarried ones, the
findings showed that many of the respondents are in agreement that married people are
more committed to their jobs than unmarried ones. This is in agreement with Waleed
(2011), observation that a number of various personal and demographic factors affect the
level of employee commitment to a company, since married employees view their jobs as
their immediate.
Furthermore another question was posed which asked whether women with children are
less competent in their jobs, many of the respondents strongly disagreed with this
statement. Hence these findings are in agreement with Waleed (2011), observation that a
number of various personal and demographic factors affect the level of employee
commitment to a company, for example, he stated that employees who are married and
have kids are usually more likely to be committed to a company; this is because their
spouses and children rely on their wages.
On whether marital obligations influence employee commitment, the findings show that a
majority of the respondents were in agreement with the question hence affirming Waleed
(2011), observation that a number of various personal and demographic factors affect the
level of employee commitment to a company and the way they perceive their family
obligations is will have a strong influence on their commitment to the organization.
5.3.3 Effect of Employee Commitment on Organizational Performance
The findings on the effect of employee commitment on organisational performance show
that a majority of respondents were in agreement that their organization is keen on
59
employee loyalty. This is in line with Hunjira et al (2010), who states that the
organization views an employee who spends more years of service as loyal and views
their input as impacting the performance of the organization. Tumwesigye (2010), cited
that employee commitment has an impact on the performance of an organisation in away
that loyal employees will tend to withhold critical and sensitive information as a sign of
promoting confidentiality and loyalty to their organization. Others will tend to extend
their working hours, interrupt schedules, as a sign of loyalty to the organization.
The findings on the effect of employee commitment on organisational performance also
indicate that a majority of the respondents were in agreement that their organization
emphasises productivity. This finding is in line with a statement made by Akintayo,
(2010) that the relationship between employee commitment and productivity is not
definitely established but that the consensus on this, however, is that in the long-run
commitment leads to increased productivity and most organizations view productivity as
a strong force that impacts their performance.
The findings show that many of the respondents were in strong agreement that their
organization views absenteeism as a sign of exiting the organizatoin. This is in line with
an argument by Hunjra et al (2010) that research has generally revealed a consistent
inverse relationship between employee commitment and absenteeism, thus when
employee commitment is high, absenteeism tends to be low and when commitment is
low, absenteeism tends to be high, hence the two variables display an inverse relationship.
On the effect of employee commitment on organizational performance, a majority of
employees were in strong agreement that they are concerned about the physical
environment around their organization. These findings there fore support a statement by
Rehman et al (2010), who suggests that poor safety practices are a negative consequence
of low commitment level of employees in an organization. When people lack
commitment towards their job and organization because of safety, they are discouraged
from being proactive, thus they view themselves as more vulnerable and hence tend to
potray low levels of commitment because they are operating in an environment of
uncertainity.
Where as the findings obtained from respondents inregard to the question of whether they
viewed their organization as valuing employee safety,many of the respondents were in
60
strong agreement. These findings there fore support a statement by Rehman et al (2010),
who suggests that poor safety practices are a negative consequence of low commitment
level of employees in an organisation. When people lack commitment towards their job
and organization because of safety, they are discouraged from being proactive, thus they
view themselves as more vulnerable and hence tend to potray low levels of commitment
because they are operating in an environment of uncertainity.
The findings obtained from the effect of employee commitment on organizational
performance indicate that a majority of the respondents strongly agreed that their
organization promotes use of technology. This is in line with an observation made by
Ochlin and Roberts (2011), that studies have found value alignment in use of technology
and thus most highly performing organizations have invested in heavy use of technology
and training staff to suite the demands of the technology driven world.
On the effect of employee commitment on organizational performance, many of the
respondents strongly agreed that their organization is involved in promoting socially
acceptable behavior. None of the respondents disagreed with this question. These findings
there fore support a statement by Robinson (2009), who suggests that business oriented
organizations tend to experience commitment from their employees because of promoting
good prcatices that are with in the acceptable helms of society. Employees will tend to
seek identity with such an organization and the same response will be felt from the
general public.
The findings on the organization being involved in community development programmes
showed that many of the respondents were in strong agreement with the question put
forward. These findings there fore support a statement by Robinson (2009), who suggests
that business oriented organizations tend to experience commitment from their employees
because of promoting good prcatices that are with in the acceptable helms of society.
Employees will tend to seek identity with such an organization and the same response
will be felt from the general public.
Further still the findings on whether the respondents viewed their organization as
promoting environmental awareness indicated that many of them were in strong
agreement. This supports Jean-Pascal (2010) statement that the way to go in the
competitive business world is for an organization to be involved in community outreach
61
programmes and in environmental awareness campaigns. For organizations that want to
have an edge on others these aspects have turned the business arena as employees tend to
be more loyal to organizations that are viewed as promoting community development and
encouraging use of eco-friendly practices.
5.4 Conclusion
5.4.1 Organizational Factors that Influence Employee Commitment
The first major research question focused on finding out if organizational factors had an
influence on employee commitment. A conclusion on this research question can be made
by stating that it was discovered that organizational factors had a very strong influence on
the levels of commitment exhibited by employees to the organization. These factors
reviewed included; organizational dependability, effectiveness of the organizations social
processes and the organizational climate. The discussion indicated that the above three
factors had a greater influence thus making them strong organization factors that
influence employee commitment.
5.4.2 Individual Factors that Influence Employee Commitment
The second major research question had its focus on determining whether individual
factors had an influence on employee commitment. Conclusion can be made towards this
particular research question by stating that it was discovered that individual factors had a
very strong influence on the level of employee commitment. The individual factors
discussed in the literature reviewed that influence employee commitment include; age,
job security and marital status. This literature showed that in terms of age older
employees were viewed to be more committed, most employees felt that the their jobs
were secure and the most viewed marital status as one of the major factors that strongly
influences the levels of employee commitment.
5.4.3 Effect of Employee Commitment on Organizational Performance
The third research Question had its focus on investigating the effect of employee
commitment on organizational performance. Conclusion can be made towards this
research question by stating that respondents highly agreed that employee commitment
has a large impact on the performance of an organization. These factors that have an
impact on employees‟ commitment on organizational performance include; Employee
turnover, employee productivity and corporate social responsibility. There was a strong
influence because the employees generally felt that their organization encourages
62
retention of staff. Furthermore the employees also strongly agreed that their organization
was concerned about their productivity hence influencing their commitment and finally
the response to corporate social responsibility had a strong agreement hence employees
felt that the fact that their organization is involved in promoting CSR, increases their level
of commitment.
5.5 Recommendations
5.5.1 Organizational Factors that Influence Employee Commitment
This study has shown that the respondents are of the say that the organizational factors
have a very huge influence on their commitment to the organization as this was confirmed
by the results obtained from the analysis done through SPSS. However some of the
organizational factors ranked higher than the others. It is therefore recommended that
managers prioritize and have their concentration more on those factors that will increase
the employees‟ commitment levels so as to maintain a competitive standard in the market
and service industry.
This study also showed that organizational factors if not closely monitored are the
greatest contributors of loss of morale amongst employees and hence start hatching an
exit strategy thus these factors must be carefully addressed constantly to allow a
minimum level of comfort and commitment from the employees.
5.5.2 Individual Factors that Influence Employee Commitment
The study has indicated that employees believe that the individual factors highly
influence their degree of commitment towards the organization and this has been
confirmed by the results obtained after analyzing the collected data through SPSS. It was
also analyzed in the study that not all of individual factors had the same level of ranking,
they all had varied ranks. The organization should therefore emphasize on the individual
factors such as age, job security and marital status. Emphasize retention and encourage
employees to retire in the organization because we have seen that older employees ranked
highest amongst all the individual factors in terms of commitment.
The organization ought to provide an environment where employees view that the
organization protects their jobs and hence they feel generally secure. This is good for
increased productivity at work. And lastly, encourage employees to embrace family life
so that they can increase their levels of commitment to the organization.
63
5.5.3 Effect of Employee Commitment on Organizational Performance
The study has manifested that employee commitment has a great effect on organizational
performance. A large number of employees believe that finding more adequate ways to
foster employee commitment has a positive effect on the performance of the organization.
However it was discovered that employee commitment influences organizational
performance in different scales but over all the employees felt that when their
organizations are involved in corporate social responsibility they are proud to associate
with the organization and this also promotes their level of commitment.
The organization should maintain employee productivity and encourage retention so as to
minimize employee turnover since the study has shown that these factors greatly
influence the level of commitment amongst the employees.
5.5.2 Recommendations for Further Research
Since this was the first study that comprised the factors that influence employee
commitment in a service industry, the researcher recommends that similar studies should
be carried out in another sector so such as production so as to broaden the understanding
of the term commitment in relation to that sector. The reason for carrying out further
research in that direction is that the factors that may strongly influence employee
commitment in the service industry could very much differ in the production industry.
Being able to understand these factors in the production industry as well would be very
helpful in shedding light on other organizational, individual factors that employees
believe influence their commitment as well as organizational performance.
This study should take both a local and global dimension so as to encourage diversity in
the study of the problems presented.
64
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69
APPENDICES
APPENDIX 1: Cover Letter
Questionnaire Number………
Racheal Igella
Chandaria School of Business
United States International University
Dear Respondent,
RE: SELF ADMINISTERED SURVEY
This structured questionnaire is for collecting data on factors that influence employee
commitment (A case study of KCAA). You are kindly requested to provide the required
data in the questionnaire. The process will take you only about 7 minutes to complete.
The information that you provide will remain confidential and is sought exclusively for
the completion of an MBA research project.
Thank you very much for taking the time to complete this survey. Your input into this
questionnaire will go a long way in enhancing human resource decision making and
ultimately help Kenyan organisations to not only gain competitiveness internationally but
also optimize their performance potential (growth and profitability prospects). If you
would like to attain a copy of this report, please indicate so by writing your email address
on the back of the questionnaire.
Yours Sincerely,
Racheal Igella,
MBA Student (USIU)
70
APPENDIX 2: Questionaire
SECTION I: GENERAL INFORMATION
The following four questions are concerned with demographic data of the respondents.
Please, indicate your selection by checking the box which describes your demographic
characteristics.
1. Age group?
AGE GROUP
Below 25 25-34 35-44 45-54 55-64 Above 65
2. Gender?
GENDER
Male Female
3. How long have you worked for this organization?
YEARS OF SERVICE
0 – 4 Years 5 – 9 Years 10-14 Years 15- 19 years Over 20 years
4. Education Background?
LEVEL OF EDUCATION
Undergraduate Graduate
(MBA degree)
Graduate
(Other degree)
Post Graduate Professional
Qualifications
71
WITH RESPECT TO SECTION II, III AND IV, PLEASE INDICATE THE LEVEL OF
AGREEMENT WITH EACH STATEMENT:
LEVELS OF AGREEMENT
STRONGLY
DISAGREE
DISAGREE NEITHER AGREE
NOR DISAGREE
AGREE STRONGLY
AGREE
(1) (2) (3) (4) (5)
SECTION II: ORGANISATIONAL FACTORS THAT INFLUENCE EMPLOYEE
COMMITMENT
Organisational factors that influence employee commitment are those that are entirely
determined by the organisation and the employee as an individual has very little or totally
no control over.
LEVELS OF AGREEMENT
1
2
3
4
5
a. My organization demands perfection from employees
b. My organization has a strong work ethic
c. My organization is highly reliable
d My organization promotes top down social interactions
e My organization encourages formation of self managing
teams
f My interaction with the organization influences my
commitment
g My organization has a strong management style
h My organization promotes team work
i My organization encourages retention of its employees
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SECTION III: INDIVIDUAL FACTORS THAT INFLUENCE EMPLOYEE
COMMITMENT
Individual factors that influence an employee‟s commitment can be said to be those
factors that are unique to each employee as a person that influence his or her
commitment.
The following best describe the major individual factors that influence employee
commitment in your organisation:
LEVELS OF AGREEMENT
1
2
3
4
5
a. Older employees are more committed
b. The position I hold in the organization influences my
commitment
c. My tenure in the organization influences my commitment
d. Iam assured of job security in my organization
e. I am assured of a stress free work environment
f. I view married people as more committed to their jobs
g Women with children are less competent in their jobs
h Marital obligations influence employee commitment
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SECTION IV: THE IMPACT OF EMPLOYEE COMMITMENT ON
ORGANISATIONAL PERFORMANCE
The following best describe the impact of employee commitment on the performance of
your organisation
LEVELS OF AGREEMENT
1
2
3
4
5
a. My organization is keen on loyalty
b. My organization emphasises on productivity
c My organization views absenteeism as a sign of exiting
the organization
d Iam concerned about the physical environment around my
organization
e My organization values the safety of the employees
f My organization promotes use of technology
g My organization is involved in promoting socially
acceptable behaviour
h My organization is involved in community development
programmes
i I view my organization as promoting environmental
awareness
Thank you very much for taking the time to complete this survey
74
APPENDIX 3: Project Schedule
A
B
C
D
E
F
6 12 14 16 18 19
DURATION IN WEEKS
ACTIVITY DESCRIPTION
A CLARIFYING THE RESEARCH QUESTIONS
B PROPOSING RESEARCH
C DESIGNING THE RESEARCH PROJECT
D DATA COLLECTION AND PREPARATION
E DATA ANALYSIS AND INTERPRETATION
F REPORTING THE RESULTS
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APPENDIX 4: Project Budget
ACTIVITY DESCRIPTION COST (KES)
A CLARIFYING THE RESEARCH QUESTION 3, 000
Discover the Management Dilemma
Define Management Question
Define Research Question(s)
Refine the Research Question(s)
B PROPOSING RESEARCH 3,000
Resource Allocation and Budget
Valuing Research Information
Evaluation Methods
The Research Proposal
C DESIGNING THE RESEARCH PROJECT 5,000
Research Design
Sampling Design
Instrument Development & Pilot Testing
D DATA COLLECTION AND PREPARATION 10,000
Editing, coding and data entry
E DATA ANALYSIS AND INTERPRETATION 2,000
F REPORTING THE RESULTS 5,000
CONTINGENCY 5,000
TOTAL 33,000