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CHAPTER 1
INTRODUCTION

This research was focused to investigate the relationship between organizational


culture with employees performance at Universiti Teknologi MARA Terengganu. This
chapter consisted of the background of study, statement of the problem, research
objectives, research questions, significance of the study, limitations of the study and
definition of terms.

Background of the Study


Nowadays, there are so many researches on how organizational culture can
influence the employees performance at work. From what we know, culture is important
in an organization. It can influence the personal achievement and professional, duties
and management of resources to achieve it.

Besides, organizational culture also

influences the way people thinking, make the decision, and how they see, feel and take an
action. Organizational culture also refers to a set of shared values, belief, assumptions,
and practices that shape and guide members attitudes and behavior in the organization.
(Davis, 1984; Denison, 1990; Kotter and Heskett, 1992; et. al).
Employees that have good attitudes would increase the level of performance in
any organization or industry either in the government sector or private sector. At the

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same time, the positive attitudes to change were found to be vital in achieving
organizational goals and increasing the performance of the organization through the
strength of organization culture. (Kotter & Hesket, 1992). Employees should always
involve with industry, culture itself. So that, it can make duties more systematic and can
become an expert.
Culture consists of some combination of artifacts were also called practices,
expressive, symbols or forms, values and beliefs and underlying assumptions that
organizational members share about appropriate behavior (Gordon and DiTomaso, 1992;
Schein, 1992; Schwartz; et al).
Besides, in understanding about the concept of corporate culture have a several
typologies were developed and the one of the typologies developed by (Goffer and Jones
1998). Organizational culture can be categorized into four main types based on two
dimensions, sociability and solidarity.

Statement of the Problem


Many factors may contribute to the lack of employees performance in
organization such as motivation, rewards, employees attitudes and organizational culture.
In this research, the organizational culture would be the main focus of this research to
investigate there were relationship between Organizational Culture and Employees
Performance at the Universiti Teknologi MARA Terengganu.
The different attributes of culture have been arranged on the basis of norms and
attitudes which help in differentiating one firm to another (Forehand and von Gilmer,
1964). The process of thinking helps in establishing one member from another on the

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basis of cognitive thinking (Hofstede, 1980). The success guidance based upon different
values and norm that makes culture effective (Schein, 1990). The set of behaviors, beliefs,
norms and values helps in making culture more effective (Kotter and Heskett , 1992). The
knowledge of culture has been gained through understanding and beliefs on the basis of
large groups.
Researchers have linked a culture in Universiti Teknologi MARA Terengganu
with different organizational behavior. They also recognized the correlation between
culture of organization & employees job performance (Sheridan, 1992), decision making
(Gamble & Gibson, 1999) and productivity (Kopelman, Brief and Guzzo, 1990). As per
statement of Luthans (1998), organizational culture has always presented within the
organization, but most of the time businesses paid less attention. The culture of an
organization comes into view to permeate every important component of the organization.
According to Blunt and Jones (1992), George and Jones (1996) and Zakaria
(1997), they argued that all organizations, functions within a specific culture, and it
became more widely recognized in the discussions of organizational performance that
managers and other organizational practitioners need to develop an understanding of their
cultural settings if they want their organizations to perform effectively and more
efficiently. Organizational practitioners continue to be bedeviled by a lot of management
problems that have their roots in the culture of a society and those that impede progress
toward achieving high performance. Relating Nigerian organizations to their specific
cultural settings provided the main motivation for this study. The main focus could how
relate organizations more closely with their cultural settings in order to enhance optimal
performance. Ahiauzu (1986) comments that, It is becoming increasingly wide

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acceptance among social scientists, especially from managers. Ahiauzu argued that there
is a growing body of literature concerning questions of cultural influences on
organizational behavior and performance, but that much of it is of poor quality,
consisting of anecdotes, prescriptions based on Western experience and fantasies.
Many researchers argue that combining different organizational cultures always
leads to human integration problems or problems with the creation of synergies, but
examples of merger success and synergy creation are also present (Chakrabarti, GuptaMukherjee & Jayaraman, 2009; and Stahl & Voigt, 2008). For this particular research,
the topic of interest describes how performances are affected when four different
organizational cultures from Hofstede theory were combined.
So, the main question, what is the influence of different organizational cultures on
the performances of employees at Universiti Teknologi MARA Terengganu?

Research Objectives
The research objectives for this study were:
1.

To identify the relationship between uncertainty avoidance and employees


performance at Universiti Teknologi MARA Terengganu.

2.

To identify the relationship between masculinity and employees performance at


Universiti Teknologi MARA Terengganu.

3.

To identify the relationship between power distance and employees performance


at Universiti Teknologi MARA Terengganu.

4.

To identify the relationship between individualism and employees performance


at Universiti Teknologi MARA Terengganu.

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Research Questions
The research questions developed for this study were:
1.

Is there any the relationship between uncertainty avoidance and employees


performance at Universiti Teknologi MARA Terengganu?

2.

Is there any the relationship between masculinity and employees performance at


Universiti Teknologi MARA Terengganu?

3.

Is there any the relationship between power distance and employees performance
at Universiti Teknologi MARA Terengganu?

4.

Is there any the relationship between individualism and employees performance


at Universiti Teknologi MARA Terengganu?

Significance of the Study


The researcher aims to increase a better understanding regarding the relationship
between organizational culture and employees performance at Universiti Teknologi
MARA Terengganu. In addition, this study contributed to literature and findings that
give beneficial o employees, students, researcher and organization.
Employees
This study would increase the employees performance and quality of work
because they know to manage their work effectively. Employees performance evaluation
is the degree where individuals meet role expectations (Katz and Kahn, 1978).
Organizations
This study would increase the level of organizational performance based on the
improvement about the culture in Universiti Teknologi MARA Terengganu. The goals of

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organizations also would successfully achieve. Job performance defines as the aggregated
value to an organization of the set of behaviors that an employees contributes both
directly and indirectly to organizational goals. (Borman & Motowidlo, 1993; Campbell,
1990).
Students or Researcher
Students were not generally sophisticated in their understanding of things like
peer-review or currency; there is a common view that if something is published it must be
reliable. There is a growing diversity in the kinds of content identified as research, but
journal articles and books still dominate students perceptions of what research is.
Research content is seen primarily as a source for assignments and students perception
of research is very much led by the context of their assignments.

Limitations of the Study


The limitations of the study were as follows:
i.

The study was restricted to Universiti Teknologi MARA Terengganu. This could
have given rise to a unique perception of the future.

ii.

Some of respondents were hesitate to express their opinion about organizational


culture measures due to fear of management which may give adverse result for
the study.

iii.

The survey is based on the opinion of the employees, which may be biased.

iv.

The populations for this study refer only to staff that available, but for the staff
that continued their study not accounted.

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Definition of Terms
Organizational Culture
Organizational culture is the mindset of people that distinguishes from each other,
within the organization or outside organization.

This includes values, beliefs, and

behaviors of the employees that were different from the other organization.
Employees performance
The aggregated value to an organization of the set of behaviors that an
employees contributes both directly and indirectly to the organizational goals (Borman
& Motowidlo, 1993; Campbell, 1990).
Task performance
A function of knowledge, skills, abilities, and motivation directed at the roleprescribed behavior. Employees performance evaluation is the degree where individuals
meet the role expectations (Katz & Khan, 1978).
Uncertainty avoidance
The degree to which employees in a company of a society sense intimidated by
doubtful, indefinite, and vague or an amorphous circumstance (Hofstede, 1991).
Uncertainty is the degree to which the personnel of a culture feel in jeopardy by uncertain
or unknown states (Peter et. Al 2008; Hofstede, 1991).
Masculinity
Masculinity is a characteristic of a society where social roles are clearly separated:
it is assumed that men are strong, sturdy and alert in accumulating wealth while working
ladies are humble, sensitive as well as interested in the quality of life. Femininity is the
opposite of masculinity. It is characterized by a civilization that leads to social roles

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overlapping: mutually males and females are humble, sensitive and alert on the eminence
of life.
Masculinity and femininity are described as allotment of tasks amid the sexual
characteristics which is added primary concern for any society to which an array of
answers are originated (Hofstede, 1980).
Power distance
Associated with the societal recognition of imbalanced allotment of power. This
disparity can be linked with status, prosperity and power (Bialas, 2009; Hofstede, 2001).
The echelon of the power distance explains how the culture endure and cultivate
packing regulates, and how enthusiastically affiliates strives to lessen them (Bialas,
2009; Mead, 2003).
Individualism
In an individualistic society, the relations between people are free. Support and
care of an individual are reflected only on himself and on his family and relatives. Its
opposite is collectivism, in which groups of people are strongly united, and individuals
are integrated even before birth and the group continues to provide them protection and
support throughout their life, with the price of loyalty. Studies demonstrate that cultural
individualism is interrelated with prejudiced comfort when soaring income, human rights
and fairness are controlled (Basabe & Ros, 2005; Diener, Diener & Diener, 1995)
Job performance
Job performance is whether a person performs their job well. Job performance is
studied in industrial and organizational psychology, the branch of psychology that deals

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with the workplace. Job performance is also part of human resources management.
Performance is an important criterion for organizational outcomes and success.
John P. Campbell describes job performance as an individual level variable, or
something a single person does. This differentiates it from more encompassing constructs
such as organizational performance or national performance which are higher level
variables.

Conclusion
The conclusion in Chapter 1, the performance of employees is very important for
an organization, as it would lead and influence of essential purpose of the operation of an
organization. So the management should ensure that employees were always in the mood
high productivity and find ways to increase productivity improve job satisfaction and
each of their employees and in turn provide the best environment for them. According to
the study, the researchers have identified Hofstede's cultural dimensions, including
uncertainty avoidance, masculinity, power distance, individualism and which have an
influence on employees performance at Universiti Teknologi MARA Terengganu.
chapter 2, the literature review would provide more theories to support these factors.

In

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CHAPTER 2
LITERATURE REVIEW

Definition
This research is about the relationships between Organizational Culture and
Employees Performance at Universiti Teknologi MARA Terengganu. Therefore, this
chapter discussed all literatures related to the definition of organizational culture, the
employees performance, and past research in organizational culture.
The purpose of this literature review was to establish a theoretical framework
about the relationship between the independent and dependent variables at Universiti
Teknologi MARA Terengganu. The independent variables involved in this study were the
cultural dimension of Hofstede theory consisting of uncertainty avoidance, masculinity,
power distance, and individualism, while the dependent variable was employees
performance.

Organizational Culture
According to Greenberg and Robert, B (1995), organizational culture is a
framework of values, beliefs, consisting of attitudes, norms; behavior of their employees,
and expectations, which were shared within the organization by its members.

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Uncertainty Avoidance
Uncertainty avoidance was defined as the extent to which members of the
organization in the community feel threatened in this uncertain, unknown, ambiguous or
unstructured. According to Hofstede (1991) in five dimensions culture and organization,
it was proposed that the agency appears to reflect the culture of uncertainty avoidance.
Uncertainty avoidance is the extent to which members of the organization feel threatened
by the unknown or uncertainty (Hofstede, 1991).
In essence, the culture that has a high level of uncertainty avoidance, has rules and
structured circumstances, and emotional appeal can be compromised when there are
different situations where this condition can threaten the status quo. In addition,
employees tend to remain longer with their employer (Mortledge, 2006). The strong
cultural dimension would affect the compatibility of different organizations in the context
of the target. Uncertainty avoidance also refers to the culture that has adapted to the
acceptance of ambiguity. Uncertainty avoidance was often associated with the
organization with the interests of rules and procedures. Organizations that operate at a
high level in the context of uncertainty aversion would tend to gravitate to avoid
compliance with the stronger for certain procedures (MacNab and Worthley, 2007;
Hofstede, 1980). Uncertainty avoidance is the cultural dimension that is directly linked to
a variety of important phenomena such as the management of ethical orientation
(Blodgettet, 2001; Vitell, 1993), management, ethics (MacNab, 2004), quality control
(Lagrosen 2002), research and development (Hoppe 1993) and marketing (Yeniyurt and
Townsend, 2003).

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Masculinity
Masculinity was characteristic of societies in which social roles were clearly
separated: This feature assumes that men are strong, tough and focused on accumulating
wealth, while women are more modest, sensitive and interested in quality of life.
Feminine was the opposite of masculine. It has the characteristics of a society in which
social roles overlap, both men and women is simple, sensitive and focused on quality of
life.
Masculinity more focuses on the degree of the society reinforces, or does not
reinforce, for the traditional masculine work role model of male achievement, control and
power. A high masculinity ranking indicates the country experiences a high degree of
gender differentiation. A low masculinity ranking indicates the country has a low level
of differentiation and discrimination between genders. From the Bizshifts-Trends website,
the highest ranked countries in masculinity ratio were: Japan, Hungary, Austria,
Venezuela, Italy and the lowest ranked countries in masculinity ratio were: Sweden,
Norway, Netherlands, Denmark, Costa Rica.
After a review of secondary sources such as journals, articles, books, and studies
from different research fields, the researcher found that the feminine can be defined in
several ways. Hofstede (1980), and Trompenaars (1994), had categorized the culture in
terms of the unique orientation. Hofstede's (1984) research on IBM employees in 40
countries is influenced by four factors. Four dimensions of uncertainty avoidance cultural
values, masculinity, power distance, and individualism, proposed by Hofstede (1980) has
been widely used to measure and study the effects of cross-cultural differences (crosscultural).

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First of all, according to Hofstede (1980), masculinity refers to the distribution of
roles between the genders which was another fundamental issue for any society in which
various solutions have been made that (a) women have different values than men in
society, (b) men from one country to another contain a dimension that was very tough,
competitive and maximum level different from the values of women from the one, to
modest and caring and similar to women's values on the other. Women in feminine
countries have moderate levels, the values of caring equally with men; in the masculine
countries they are somewhat assertive and competitive, but not as much as men, and of
these countries show a gap between human values and the values of women. From a
business standpoint, the masculine mean importance attached to earn power, recognition
and promotion, while the feminine shows the importance attached to relations with
supervisors, co-operation, quality of life and safety (Swaidan & Hayes, 2005; Dawar,
Parker, & Price, 1996, Hofstede, 1980). According to Hofstede, masculine societies were
those in which "the ethos of work tend to be to live, to work, because they put more
emphasis on results, competitiveness and the job itself than on life outside of work.
Therefore, masculine society organizations would put more emphasis on obligations at
the expense of individual needs. Working under the influence of practices, employees can
enjoy a high level of authority and autonomy influence on decisions related to work, and
increases their self-esteem.
In the area of social sciences and health, a new study suggests that: Men are often
characterized as someone who was often reluctant to ask for help when they had
problems in life. Popular stereotypes portray many men often avoid seeking help from
professionals because of its masculinity theme. The bulk of empirical research supports

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the popular belief that men were reluctant to seek help from professionals'' (Addis
&Mahalik, 2003).
From the study of evolution and human behavior, some evidence suggests that
masculine show genetic (ie, inherited) good health. For example, masculine men face low
continuity linked to the disease (Rhodes, Chan, Zebrowitz& Simmons, 2003;
Thornhill&Gangestad, 2006).
In addition, the female preference for symmetry masculine and positive, showing
both feature the same basic signal quality (Little, Jones, DeBruine& Feinberg, 2008).
Although the masculine men are associated with health benefits, it was also associated
with negative personality traits and behavior. Masculine male faces are also due to antisocial traits, such as low heat, low emotional, infidelity, and poor attitude of cooperation
and of low quality as good parents (Boothroyd, Jones, Burt & Perrett, 2007).

Power Distance
This index represents the extent to which individuals had less power in the
country expect and accept unequal power (Hofstede, 1991). The question of how power
was divided generally explained by the strong individual behavior. According to
Hofstede's definition, power distance distribution associated with social acceptance of
unequal power. This inequality can be associated with prestige, wealth and power.
(Morska, 2009; Hofstede, 2001).
People with higher social status had many benefits and it was regarded as
something natural. People who had low power distance were those where inequality was

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less acceptable. The privileges associated with the position were not acceptable. In
culture, low power distance, the more valuable freedom (Morska, 2009; Mead, 2003).
According to Hofstede (1980), people in countries with high power distance
support to bow to the superior or superiors prefer having an autocratic leadership to lead
them. Although Hofstede dimensions can be seen in the community, social and
organizational psychologists had begun to use it as a variable to differentiate each
individual (Bochner and Hesketh, 1994; Earley, 1993; Ackerman and Brockner, 1996).
Low power distance subordinates, superiors expect to negotiate with them (Lam, 2002)
and superior approach to express their views on important matters.
Therefore, they had the opportunity to foster closer relationships with superiors.
Hofstede (1991) defines power distance ''as the extent of the lesser members of the
authority of the institution and the organization or a country expects and accepts that
power was distributed equally'' (Hofstede, 1991). The inequality of power in a high
power distance culture was considered acceptable, and even expected, than in low power
distance culture (Christie, 2003; Page & Wiseman, 1993; Oatey, 1997).
Hofstede said that power distance as the cultural characteristics of the extent of
inequality in the power received and considered normal by those less powerful in society
(Polak, 2001; Hofstede, 1986). To better explain and compare the differences between
people who work in this dimension, he divided into two categories: small and large.
Small power distance means that the extent to which the less powerful accept social
inequality was small; the community members are treated as equal as possible in an
unequal society (Magdalena Polak, 2001; Hofstede, 1986) large power distance means a
large asymmetry in power perceived by the less powerful members of society as normal.

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Power refers to the ability to influence others (France and Raven, 1959), which
measures the ability to develop the attitudes, values of others, and behavior. Although
social identity unequal power (Perrow, 1967), individuals differ in their reactions to
display the power asymmetry (Tannenbaum, 1974). Generally, in high power distance
cultures, individuals intensify their efforts to mitigate the inequality of power, while in
low power distance cultures, individuals challenging the status quo. The smaller the
power distance was seen increasingly strong efforts to reduce the power gap. Vertical
relationship (boss - low) distance is the main target of the assumption of power in the
organization. Interaction between employees working in different in rank was largely
influenced by how individuals see the power asymmetries (Varela, 2010; Katz and Kahn,
1978).
Role Manager, for example, had been the target of numerous studies (Begley and
Lee, 2002; Borman and Brush, 1993; Tett, 2000) under the assumption that a unique set
of competencies managers separating from lower level employees. Hofstede (1980), for
example, in his classic study of the values held by employees of multi-national
companies, power distance have been identified as one of the four basic dimensions of
culture, and it was known as follows: '... the extent of the less powerful in society accepts
inequality in power and consider it as normal '(Hofstede, 1986). He argued that inequality
exists in any culture, but tolerance varies between one culture and another (Hofstede,
1980).
Illustrates the level of power distance and quantity of information transferred
between managers and subordinates.

In a society that low power distance

communication was more open, and more information would be transferred from the "top

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down", and vice versa. Workers in industrial low power distance cultures had more
chances and possibilities of contact manager were used more often than a society with
high power distance. (Bialas, 2009)

Individualism
In an individualistic society, the relationship between the human being was free.
Support and care of individuals can be seen only on itself and in terms of family and his
relatives. Contrary to individualism was collectivism, in which the group is made up of
people united and integrated into, and this group continues to provide lifelong protection
to individuals who are involved in their group in the name of loyalty.
According to Hofstede's individualism dimension, individualism refers to the
priority given to the person or group (the family often preferred). Individualist culture
promotes introspection and focus on inner experience. In contrast, collectivist cultures do
not encourage self-focused attention on internal - external and interaction of its most
outstanding feature of emotional experience (ie, how one's actions can affect others).
Researcher also shows that the culture of individualism is correlated with subjective wellbeing when high income, human rights and equality controlled (Basabe&Ros, 2005;
Diener, Diener&Diener, 1995).
A meta-analysis by Oyserman, Coon and Kemmelmeier (2002) showed that the
core aspects of individualist beliefs were personal freedom and uniqueness. Competition,
personal achievement and an emphasis on the internal properties were important
characteristics, contrary to the opinion and signs of other people, who was not related or
negatively with individualism. The difference between the individualist that beliefs

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weaker and less obvious than the differences in collectivist beliefs. According to the
meta-analysis by Oyserman key aspects of collectivist belief is a sense of responsibility
and duty towards the group. To a lesser extent, in the harmony and team works are also
common features. Sense of belonging, relations and cooperation of unrelated, or
negatively with collectivism.
According Fauziah and Kamaruzaman (2010), the dimensions of individualism
refers to a relationship between you and feels the group in which one is a member.
Hofstede (1980) explains in an individualistic society like the selfish, competitive and
non-work, had a primary loyalty to the organizations they work for, to achieve their own
goals, has low requirements for reliance on others, and being a "calculative". Members
of collectivist societies, on the other hand, had an "us," rather than "I" orientation, with
high fidelity to the organization and work toward goals, interact with each other mutually
dependent mode, and take action together as group work in fashion and not individually,
so subscribe to the moralistic collective effort and reward group.
Individualism is the opposite of collectivism and represents the extent to which
individuals are supposed to take care of themselves or remain integrated into groups
(Migliore, 2011; Hofstede and Hofstede, 2005). Individualistic societies tend to have a
view of them that only focuses on his immediate family; while high society in the view of
collectivism - the cradle-to-grave lifetime protection in exchange for unquestioning
loyalty. (Migliore, 2011.

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Employees Performance
According to Armstrong and Baron (1998), performance management can be
defined as a strategic and integrated approach to delivering sustained success to
organizations by improving the performance of the people and by developing the
capabilities of teams and individual contributors who works with them. It supports the
rationale that people and not capital provide organizations with a competitive advantage
(Reynolds & Ablett, 1998). The purpose of performance management was to transform
the raw potential of human resource into performance by removing intermediate barriers
and as motivating and rejuvenating the human resource (Kandula, 2006). Competitive
capacity of organization also can be increased by building strong people and effectively
managing and developing people (Cabrera & Banache, 1999) which was in essence
performance management.
Job performance was defined as the aggregated value to the organization in sets
employees behavior that contributes directly and indirectly to the goals of the
organization (Borman & Motowidlo, 1993; Campbell, 1990). Task performance can be
defined as a function of knowledge, skills, abilities, motivation and role-determined
behavior, for example the official job responsibilities. However, evaluation of
employees performance was at a level where individuals meet the expectations of their
role (Katz and Kahn, 1978).
Management styles of supervisor for employees performance evaluation can
affect employees performance (Engellandt & Riphahn, 2011). In this study, the
researcher found that the workers would be better off if their supervisors evaluate their
performance from year to year by comparing their permanent position. In addition, the

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researcher also found that employees would give a positive reaction when receiving a
bonus payment of interest. The results showed that employees would respond positively
and highly motivated to do better for companies to evaluate their efforts.

Relationship between Organizational Culture and Employees Performance


An organization was a set of elements in interaction, organized level and decision
making units (Martinelli, 2001). Identification of these elements has always been one of
the most important issues facing organizational researchers. Richard L. Daft categorized
contextual dimension of organization including size, technology, environment, aims,
strategy, and culture (Gholampourrad, 2003). There has been a large volume of studies
that examine how the fitness between organizational contexts explains variances in
organizational performance. What was lacking in existing literature was an understanding
of the intervening mechanism that explains the path of the influence from organizational
context to organizational effectiveness. Knowledge management plays a potentially
mediating role in connecting organizational context with effectiveness (Zheng et al.,
2010).
Every organization has been established with certain objectives to achieve. These
objectives can be achieved by utilizing the resources like men, machines, materials and
money. All these resources were important but out of these the manpower was the most
important. It plays an important role in performing tasks for accomplishing the goals. The
question arises that how these resources were utilizes by manpower. Further, the business
environment was changing drastically. The environmental factors were uncontrollable.
These were beyond control of management of the firms. One has to adjust with the

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external factors to do the business in the market. Every environmental factor like social,
cultural, legal, political, economic, technology and competition gets changed very fast.
For effective working the knowledge of these factors was must otherwise the plan will
misfire. In present situation it was difficult to predict about anything. It was uncertain to
say that what will happen tomorrow. Again the need for highly skilled and dedicated
manpower was felt who can give the best output. The performance of employees on
different jobs in close coordination was needed for success of the unit. Employees were
performing different jobs in an organization depending upon the nature of the
organization. The importance of employees performance must be understood by the
management and sincere efforts must be put in that direction. The management of the
company taking timely steps in that direction will be in position to develop and motivate
the people to do so. Finally the company may take the lead the market and grab the
opportunities available in the market.
In summary, this part presented the relationship between employees' performance
and organizational culture on previous studies were presented.
Hofstede (1980, 2001) noted that cultural framework is built on the premise that
people from all over the world were guided by different attitudes, beliefs, and customs,
moral and ethical standards. The organization is based on different traditions, rituals, and
religion; and encourages different views on family, work, social, and personal
responsibility. Hofstede framework was originally composed of four dimensions.
The first dimension Uncertainty avoidance, represent the extent to which people
feel uncomfortable or threatened by the vague and uncertain, and thus creating a system
of beliefs and institutions to promote compliance. People with higher levels of

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uncertainty avoid placing value on safety (e.g., financial, social), feel a greater need for
consensus and written rules, and does not tolerate any deviation from the norm. In
contrast, individuals who avoid low uncertainty avoidance rely less on writing rules and
risk tolerance.
The second dimension Masculinity, refers to the extent to which the community,
which includes the values of the majority of men or women. Masculine society puts more
value on success, money, and personal achievement, while the feminine society places
greater emphasis on caring for others and quality of life. In a masculine society,
individuals are more aggressive, ambitious, and competitive; while individuals in
feminine society are modest, humble, and nurturing.
The third dimension Power distance, reflects the extent to which a society
accepts that power was not equally distributed within the organization. Individuals in a
society that was characterized by higher levels of power distance tend to follow a formal
code of conduct and refused to disagree with superiors. Individuals in a society that is
lower in power distance, on the other hand, does not feel as constrained by perceived or
actual differences in status, power, or position.
Fourth dimension Individualism, widely acknowledged as the defining element
of culture. In an individualistic society, people were expected to see themselves, whereas
in collectivist societies there was greater emphasis on the welfare of the group and loyalty.
Individualists, independence and self-expression values, and tend to believe that personal
goals and interests are more important than the interests of the group. In contrast,
collectivist tend to see themselves as members of a large family or organizations, interest
groups ahead of the needs of the individual, and return the favour and respect for tradition.

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Conceptual Framework
A theoretical framework was to support the theory of the structure of research and
it showed the theory that defines why the research problem occurs. It helps researchers to
clearly see the variables in the study and provides general guidelines for the research. The
theoretical framework was to help researchers to identify the relationship the dependent
variable and the independent variables to the factors that affect employees performance
at Universiti Teknologi MARA Terengganu. In this study, there were four independent
variables of uncertainty avoidance, masculinity, power distance, and individualism while
the dependent variable is employees performance at Universiti Teknologi MARA
Terengganu. The relationship between independent variables and the dependent variable
is shown in Figure 2.1 below:
Figure 2.1 Conceptual Framework

Organizational Culture
- Uncertainty Avoidance
- Masculinity

Employees
Performance

- Power Distance
- Individualism
Independent Variables

Independent Variable
(Source: Ramesh Kumar, Che Supian, Nurfadhilah, (2013), et. al.)

Dependent Variable

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Hypothesis
The hypotheses for this study were:
H1

There is a significant relationship between uncertainty avoidance and employees


performance.

H2

There is a significant relationship between masculinity and employees


performance.

H3

There is a significant relationship between power distance and employees


performance.

H4

There is a significant relationship between individualism and employees


performance.

25

CHAPTER 3
METHODOLOGY

Introduction
The term methodology was a system of explicit rules and procedures in which
research was based and against which claims of knowledge were evaluated (Ojo, 2003).
It would present research design, how to generate surveyed questionnaires, how to
survey for research data, how to access this data set to know if it is reliable and analyze
the data from pilot test by reliability and how to conduct the final survey to collect the
data for analysis.

Research Design
Research design, articulates the tools through which the empirical data were
gathered and analyzed (Punch 2000). However, Singh (2008) defines research design as
a mapping strategy and maintained that it is essentially a statement of the object of the
inquiry and the strategies for collecting the evidences, analyzing them, and finally
reporting the findings. More importantly, Punch (2000) states that it helps in relating the
data collected with the research objectives, hence facilitating the means to achieve the
end results.
The research was designed to judge the impact of organizational culture on an
employees job performance at the Universiti Teknologi MARA Terengganu. For this

26
purpose, organizational culture was supposed as an independent variable while
employees performance was taken as the dependent variable.

In this study, the

researcher uses descriptive research. A descriptive study is one in which information is


collected without changing the environment (i.e., nothing is manipulated). Sometimes
these are referred to as correlational or observational studies. The Office of Human
Research Protections (OHRP) defines a descriptive study as Any study that is not truly
experimental. In human research, a descriptive study can provide information about the
naturally occurring health status, behavior, attitudes or other characteristics of a particular
group. Descriptive studies are also conducted to demonstrate associations or relationships
between things in the world around you.

Sampling Frame
The population of this study was identified from Universiti Teknologi MARA
Terengganu directory staff.

From the directory listed, the researcher prepared the

complete list of employees available at Universiti Teknologi MARA Terengganu

Population
The term population refers to the entire group of individuals (subject), objects or
event having common observable characteristics in which the researcher was interested in
studying. 419 staff of Universiti Teknologi MARA Terengganu was identified for this
study. Actual number of staff at Universiti Teknologi MARA Terengganu was 443 but
another 24 staff not at Universiti Teknologi MARA Terengganu because still continued
their study.

27
Sampling Technique
The population for this study was the staff in Universiti Teknologi MARA
Terengganu. According to Powell (2000), sampling is often one of the most crucial steps
in research. In fact, rigorous sampling methods have been developed and used primarily
within the context of survey research. However, according to Lancaster (2008), the basic
logic, and many of the specific techniques of sampling are equally applicable to other
research methods such as content analysis, experimentation, and even field research.
This study used a convenience sampling method. Convenience sampling was a
non-probability sampling technique where subjects were selected because of their
convenient accessibility and proximity to the researcher. The subjects were selected
because they were easier to recruit for the study and the researcher did not consider
selecting subjects represent the entire population.

Sample size
Gay (1987) stated that sampling technique is used because it guarantees the
desired representation of the relevant sub groups. To determine the number of sample
size of this study, Krejcie & Morgan (1970) came up with a table for determining sample
size for a given population for easy reference.
Table 3.1
Table for Determining Sample Size from a Given Population

28

Therefore, the sample size for the study was 201 employees at Universiti
Teknologi MARA Terengganu.

Unit of Analysis
The unit of analysis for this study was employees at Universiti Teknologi MARA
Terengganu.

Data collection
The objectives of data collection were to know how to collect and obtain the data
accurately. This research uses the primary data to collect the information.
The primary data collection method explored the originality of data through
gathering information relevant to the study.

Primary sources were obtained from

29
respondents in Universiti Teknologi MARA Terengganu. By using of the questionnaire,
the researcher gathered data from the respondents which in fact were the primary
concerns of this survey design approach.
Secondary sources were obtained from textbooks, the internet and other materials
(such as journals, newspapers, etc.) as found useful to the study. This kind of data
collection method was also important to the study, especially in the literature.

Instrument
Questionnaires adopted from Hofstede theory was the instrument for the study.
The questionnaire was presented in a Likert type scale with Strongly Disagree forming
the one end of the continuum and Strongly Agree the other end. Respondents were
required to tick either 1, 2, 3, 4, 5 for Strongly Disagree, Disagree, Moderate, Agree, and
Strongly Agree respectively, for the 5 different alternatives presented in the three
components.
According to Struwig and Stead (2001:94), a Likert type scale was usually linked
to a number of statements to measure attitudes or perceptions and 5- point or 7-point
scales are often used.
The questionnaire was divided into three sections and an overall number of 35
items. Section A contained demography related questions, section B asked participants to
respond to questions related organizational culture, and section C asked participants to
respond to questions related to employees performance. A total of 201 survey
questionnaires were distributed, 125 were returned, but only a total of 103 were valid to
be used to give a response rate of 51.24%. The rationale of the study was explained to the

30
respondents before the data was collected. Questionnaires were sent out to the people
with different working backgrounds in order to gain responses from almost every
department at the Universiti Teknologi MARA Terengganu.

Validity of Instrument
Instrument was taken from Hofstede theory, considering as valid.

Data Analysis
According to Cooper and Emory (1995:67), data analysis usually involves
reducing accumulated data to a manageable size, developing summaries, looking for
patterns, and applying statistical techniques.
There were several analysis procedures chosen by the researcher to evaluate the
data. The procedures of data analysis would be done after this collection. Statistical
Package for Social Sciences (SPSS) version 22 would be used to analyze the data.
Through SPSS, the frequency and percentage of respondents in this research involved can
be extracted.

Frequency distribution
Descriptive statistics describe data in terms of measures of central tendency.
Descriptive statistics are the most efficient means of summarizing the characteristics of
large sets of data. In a statistical analysis, the analyst calculates one number or a few
numbers that reveal something about characteristics of large sets of data (McDaniel and
Gates, 2002:488).

31
Reliability analysis
To assess the internal consistency of the data used for the survey, Cronbachs
alpha and the item to total Correlation coefficients had been used to reject inappropriate
item. The formula of the standardized Cronbachs alpha is presented in Formula 3.1. In
that, N is equal to the number of items, c-bar is the average inter-item convarience among
the items and v-bar equals the average variance. From this formula, if increasing the
number of items, alpha would be increased. Additionally, alpha would be low if the
average inter-item correlation is low. Conversely, Cronbachs alpha would be increased
if the average inter-item correlation increases. In most Social Science research situations,
Cronbachs alpha of 0.70 or higher is considered acceptable.
Formula 3.1: Cronbachs alpha coefficient

Correlation
The purpose of correlational research was to determine the relations between two
variables. Data were gathered from multiple variables and correlational statistical
techniques were applied to the data. Thus, correlational research is more complicated
than descriptive research. After the important variables had been identified, the relations
between those variables are investigated. Correlational research investigates a range of
factors, including the nature of the relationship between two variables, use in this study
and the theoretical model that might be developed and tested to explain these resultant
correlations. Correlation does not imply causation. Thus, correlational research can only
enable the researcher to make weak causal inferences at best. This study used
organizational cultural which were uncertainty avoidance, masculinity, power distance

32
and individualism as the independent variable.

The employees performance as

dependent variable.
Correlation is the most convenient and understandable way to look at the
association between two metric variables. When extended to multiple regressions, the
relationship between one variable and several others become more understandable. Thus
the researcher uses correlation to measure the hypothesis which is to identify the
relationship between a dependent variable with each independent variable.
Table 3.2
Data Analysis
Research

Concept /

objectives

construct

Measurement

Scale

To identify the

H1

relationship

uncertainty avoidance and employees performance.

Statistic

There is a significant relationship between Pearson

between

Correlation
p Value

organizational

H2

There is a significant relationship between r Value

culture and

masculinity and employees performance.

employees
performance at

H3

There is a significant relationship between

Universiti

power distance and employees performance.

Teknologi
MARA

H4

There is a significant relationship between

Terengganu

individualism and employees performance.

33
Conclusion
In conclusion, this chapter determines the way researcher carried out in terms of
research design, data collection methods, sampling design, and data analysis. This
information provides guidelines for researchers before they begin to analyze the data or
outcome of the questionnaire and test hypotheses.

34

CHAPTER 4
FINDINGS OF STUDY

This chapter discussed the findings that the researcher gathered from the
questionnaire given to the employees at Universiti Teknologi MARA Terengganu. Based
on the questionnaire which was developed by the researcher, the results were obtained
from Section A, Section B and Section C were described in details in this chapter.
Section A contains the information of the demographic profile of the respondents that
was gender, age, race, qualification and service. Section B contains the organizational
culture, such as uncertainty avoidance, masculinity, power distance and individualism.
Section C contains the level of employees performance among the employees in
Universiti Teknologi MARA Terengganu towards the organizational culture.

The

findings of the questionnaires were analyzed by using Package in the Social Science
Software (SPSS) version 22.

Survey Return Rate


201 questionnaires were personally distributed to the staff at Universiti Teknologi
MARA Terengganu. The process of questionnaires distribution and collection took four
days started 7th December 2014 (Sunday) until 10th December 2014 (Wednesday).
However, 125 questionnaires were returned to the researcher which results 62.19%
response rate.

After the researcher keyed the data in the SPSS, only 103

35
questionnaires (51.24%) were found completely answered and valid for data analysis.
The reasons of the questionnaires were not completely answered because the respondent
not ticked the answer based on instruction that were given. Table 4.1 below show the
table of the survey on return rate in the actual study.
Table 4.1
Survey on return rate in actual study (n=201)
Description

Response Rate (%)

Number of questionnaires distributed

201

100

Number of questionnaires collected

125

62.19

Number of questionnaires uncompleted answered

22

10.95

Number of valid questionnaires

103

51.24

Reliability Analysis
Pilot tests were used to evaluate how a sample of size of people from the survey
population responds to the questionnaire. The researcher distributed 30 questionnaires to
obtain results as a sample in the pilot test.
percentage of the total sample population.

The result obtained was developed in


By using the SPSS, reliability test was

analyzed. The Cronbachs Alpha described the reliability coefficient ad how the items
correlated with each other.
According to Salkind (2012), reliability occurred when a test measured the same
things more than once and results in the same outcomes. Reliability analysis was used to
analyze the internal consistency of independent variables and dependent variables were
reliable or not by the results in Cronbachs Alpha value. According to Salkind (2012),

36
internal consistency was a measure of how consistently each item measured the same
underlying construct. In this study, the researcher used internal consistency to get the
accuracy of data about Cronbachs alpha. According to George and Mallery (2003), the
reliability were interpreted by Cronbachs Alpha values as follows:-

a) More than 0.9 is excellent reliability


b) More than 0.8 is good reliability
c) More than 0.7 is acceptable reliability
d) More than 0.6 is questionable reliability
e) More than 0.5 is poor reliability
f) Less than 0.5 is unacceptable reliability

In most Social Science research situations, Cronbachs alpha of 0.70 or higher


was considered acceptable.

Therefore, it can be concluded that the questionnaire

distributed by the researcher to the employees at Universiti Teknologi MARA


Terengganu was valid because the reliability test was more than 0.7 were questionable
reliability.

Table 4.2 indicated the finding of Cronbachs Alpha for pilot test among 30

respondents of employees in Universiti Teknologi MARA Terengganu. The result of the


Cronbachs Alpha value was indicated that all the items were positive as one another and
consistent as well as the result of Organizational Culture was .957 and Employees
performance was .944.

37
Table 4.2
Reliability Analysis for Pilot Test (n=30)
Variables

No. of items

Cronbachs Alpha

20

.957

10

.944

Independent Variable
Organizational Culture
Dependent Variable
Employees performance

Based on Table 4.3, reliability test was used to measure actual test of 103
respondents. The result demonstrates the Cronbachs Alpha value for both variables
were above 0.80. This shows that both variables consistence and correlate with each
other. The result of reliability analysis for actual test also was compared in the Table 4.3.
The value for Cronbachs Alpha value of actual test of the independent variable is .931
that is lower that the value of pilot test which is .957. The value for Cronbachs Alpha
value of actual test of the dependent variable is .933 compared with value for pilot test
which was .944. Both results for reliability analysis showed that the Cronbachs Alpha
value for actual test for independent variable was lower than the pilot test and the
dependent variable was lower than pilot test.

38
Table 4.3
Reliability analysis for Pilot Test and Actual Test
Cronbachs Alpha
Variables
Independent
Variable
Organizational
Culture
Dependent
Variable
Employees
performance

Number of
Respondents

Pilot Test

Number of
Respondents

Actual Test

30

.957

103

.931

30

.944

103

.933

Through table 4.4, the comparison between pilot test and actual, the researcher
can state that the result reliability of actual test and pilot test was shown that the
questionnaire about the relationship organizational culture and employees performance
were valid.
Descriptive Statistics

Part A: Demographic Profiles of Respondents


According to Kotler and Armstrong (2011) demographics is the study of human
population in terms of size, density, location, age, gender, race, occupation and other
statistics. Part A consists of the demographic information of the respondents such as
gender, age, race, qualification and year of services. The results were measured by using
a categorical scale that is nominal scale and scaling scale which is the scale.

39
Gender
Table 4.5 below show that the total number of respondents among employees in
the Universiti Teknologi MARA Terengganu according to the gender.

Out of 103

respondents, 58 respondents were male (56.31%) and 45 respondents were female


(43.69%).
Table 4.4
Finding of the Respondents Gender (n=103)
Gender

Frequency

Percent (%)

Male

58

56.31

Female

45

43.69

Total

103

100.0

Age
Table 4.6 shows the age of the respondents in this survey.

There were 46

respondents (44.66%) aged between 20 - 29 years old, 47 respondents (45.64%) aged


between 30 - 39 years old, and 10 respondents (9.7%) aged between 40 - 49 years old.
Table 4.5
Age of Respondents (n=103)
Age

Frequency

Percent (%)

20 29 years old

46

44.66

30 39 years old

47

45.64

40 49 years old

10

9.7

Total

103

100.0

40
Race
Based on table 4.7, it shows the race of respondents in this study. From the
finding, the totals of respondents at Universiti Teknologi MARA Terengganu were from
Malay with 100.0%.
Table 4.6
Race of Respondents (n=103)
Race

Frequency

Percent

Malay

103

100%

Total

103

100%

Qualification
Based on table 4.8, it shows the qualification of respondents in this study. The
respondents were from the SPM which comprises of 21 respondents (20.38%),

respondents (4.85%) were from STPM. 23 respondents (22.33%) were from Diploma.
The highest qualifications in this organization were from Degree which was 33
respondents (32.04%). For the Master, only 17 respondents (16.50%) and the lowest
were from PHD, which were only 4 respondents (3.88%).

41
Table 4.7
Qualification of the Respondents (n=103)
Qualification

Frequency

Percent (%)

SPM

21

20.38

STPM

4.85

Diploma

23

22.33

Degree

33

32.04

Master

17

16.50

Phd

3.88

Total

103

100.0

Service period
Table 4.9 below demonstrates the service period of respondents among the
employees in Universiti Teknologi MARA Terengganu. Most of the respondents work
less than 5 years, which were 70 respondents (67.96%). Followed by 28 respondents
(27.18%) work 5 to 10 years and only 5 respondents (4.85%) work more than 11 years
and above.
Table 4.8
Service Period of the Respondents (n=103)
Service Period

Frequency

Percent (%)

Less than 5 years

70

67.96

5 years to 10 years

28

27.18

11 years and above

4.85

103

100.0

Total

42
Correlation Coefficient
Based on the result from Table 4.10, there was strong linear relationship between
organizational culture and employees performance, which was, r = 0.763, n = 103, p<0.5.
These shows, there were relationship between an independent variable which was
organizational culture with dependent variable which was employees performance
among employees in Universiti Teknologi MARA Terengganu.
Table 4.9
Correlation Coefficient among Variables (n=103)
Employees performance

Organizational Behavior

0.763

Findings by Objectives
The following findings were developed based on the research question in Chapter
1. The survey aims the relationship between organizational culture and employees
performance among employees at the Universiti Teknologi MARA Terengganu. The
types of organizational culture use in this study included uncertainty avoidance,
masculinity, power distance and individualism.
The researcher used five Likert scales that required the respondent to self-rated
based on their intention for strongly disagree (1), disagree (2), moderate (3), agree (4)
and strongly agree (5). The data were analyzed using descriptive statistics to an accurate
first impression of what the data looks like (Salkind, 2014).

43
Research Objective 1: To identify the relationship between uncertainty avoidance
and employees performance at Universiti Teknologi MARA Terengganu.
In the research objective 1, the researcher would like to know the relationship
between uncertainty avoidance and employees performance at Universiti Teknologi
MARA Terengganu. Based on this question, the researcher found that the appropriate
measurement to know the relationship between uncertainty avoidance and employees
performance at Universiti Teknologi MARA Terengganu was through the Pearson
Correlation Coefficient.
The researcher determined the strength of the relationship between an
independent variable which was uncertainty avoidance and dependent variable which was
employees performance at Universiti Teknologi MARA Terengganu based on Hair,
Money, Samouel, Page, (2007). The coefficient range was as table 4.11 below:
Table 4.10
Coefficient Range Table
Coefficient Range

Strength

0.90 to 1.00

Very strong

0.70 to 0.89

High

0.40 to 0.69

Moderate

0.20 to0.39

Small but definite relationship

0.00 to 0.19

Slight, almost negligible

Source: Hair, J. F. Jr. Money, A.H., Samouel, Philip, & Page, Mike (2007). Research
Methods for Business, John Wiley and Sons, Inc.

44
For research question 1, that ask about is there any relationship between
uncertainty avoidance and employees performance, table 4.12 below show the result of
Pearson Correlation Analysis for uncertainty avoidance.
Table 4.11
Pearson Correlation Analysis between Uncertainty Avoidance and Employees
performance
Correlations
Uncertainty
avoidance
Uncertainty
Pearson Correlation
1
avoidance
Sig. (1-tailed)
N
103
Employees
Pearson Correlation
.703**
performance
Sig. (1-tailed)
.000
N
103
**. Correlation is significant at the 0.01 level (1-tailed).

H1:

Employees
performance
.703**
.000
103
1
103

There is a significant relationship between uncertainty avoidance and


employees performance.

Based on the outcomes as per above, there was an affirmative affiliation between
uncertainty avoidance and employees performance at Universiti Teknologi MARA
Terengganu.

It was due to the positive value for the correlation coefficient.

The

uncertainty avoidance correlates 0.703 with the employees performance, with . In other
words, when uncertainty avoidance was high, the employees performance also high.
This value of correlation coefficient 0.703 falls under coefficient range from 0.70
to 0.89. In other words, uncertainty avoidance and employees performance at Universiti
Teknologi MARA Terengganu correlated high or the relationship is high.

45
The correlation between uncertainty avoidance and employees performance is
important at p-value 0.000 which is less than 0.05, (p < 0.05, r = .703). Otherwise, the
hypothesis (H1) was accepted for this study.
Research Objective 2:

To identify the relationship between masculinity and

employees performance at Universiti Teknologi MARA Terengganu.


In the research objective 2, the researcher would like to know the relationship
between masculinity and employees performance at Universiti Teknologi MARA
Terengganu.

Based on the question, the researcher found that the appropriate

measurement to know the relationship between masculinity and employees performance


at Universiti Teknologi MARA Terengganu was Pearson Correlation Coefficient.
For research question 2, that ask about is there any relationship between
masculinity and employees performance, table 4.13 below show the result of Pearson
Correlation Analysis for masculinity.
Table 4.12
Pearson Correlation Analysis between Masculinity and Employees performance
Correlations
Masculinity
Masculinity

Pearson Correlation
Sig. (1-tailed)
N
Employees
Pearson Correlation
performance
Sig. (1-tailed)
N
**. Correlation is significant at the 0.01 level (1-tailed).
H2:

1
103
.641**
.000
103

There is a significant relationship between masculinity and


employees performance.

Employees
performance
.641**
.000
103
1
103

46
Based on the results, there was a positive value for correlation coefficient and
showed there was a positive relationship between masculinity and employees
performance. Masculinity had a 0.641 correlation with the employees performance.
The value of this correlation coefficient 0.641 was falling under a coefficient
range from 0.40 to 0.69. Therefore, the relationship between masculinity and employees
performance at Universiti Teknologi MARA Terengganu was moderate.
The results show an important relationship between masculinity and employees
performance at p-value 0.000 which is less than alpha value 0.05, (p < 0.05, r = .641). In
this case, hypothesis (H2) was accepted in this study.

Research Objective 3: To identify the relationship between power distance and


employees performance at Universiti Teknologi MARA Terengganu.
In this research objective 3, the researcher would like to know the relationship
between power distance and employees performance at Universiti Teknologi MARA
Terengganu.

Based on this question, the researcher found that the appropriate

measurement to know the relationship between power distance and employees


performance at Universiti Teknologi MARA Terengganu was through the Pearson
Correlation Coefficient.
For research question 3, that ask about is there any relationship between power
distance and employees performance, table 4.14 below show the result of Pearson
Correlation Analysis for power distance.

47
Table 4.13
Pearson Correlation Analysis between Power Distance and Employees performance
Correlations
Power distance
Power distance

Pearson Correlation
Sig. (1-tailed)
N
Employees
Pearson Correlation
performance
Sig. (1-tailed)
N
**. Correlation is significant at the 0.01 level (1-tailed).

H3:

1
103
.658**
.000
103

Employees
performance
.658**
.000
103
1
103

There is a significant relationship between power distance and employees


performance.

Based on the results, there was a positive value for correlation coefficient and
showed there is a positive relationship between power distance and employees
performance. Power distance had a 0.658 correlation with the employees performance.
The value of this correlation coefficient 0.658 was falling under a coefficient
range from 0.40 to 0.69.

Therefore, the relationship between power distance and

employees performance was moderate.


Based on the results the power distance and employees performance relationship
was significant at p-value 0.000 which was less than alpha value 0.05, (p < 0.05, r = .658).
By the way, the hypothesis (H3) was accepted in this study
Power distance makes a significant contribution to the employees performance at
Universiti Teknologi MARA Terengganu. From the findings, correlation coefficient
shows that there is positive relationship between power distance and employees

48
performance, power distance results 0.658 which shows a high strength of relationship.
This means that the highest power distance would lead to better employees performance
within employees and employers at Universiti Teknologi MARA Terengganu.

Research Objective 4:

To identify the relationship between individualism and

employees performance at Universiti Teknologi MARA Terengganu.


In this research objective 4, the researcher would like to know the relationship
between individualism and employees performance at Universiti Teknologi MARA
Terengganu.

Based on this question, the researcher found that the appropriate

measurement to know the relationship between individualism and employees


performance at Universiti Teknologi MARA Terengganu was through the Pearson
Correlation Coefficient.
Individualism was the degree to which individuals were integrated into groups.
Collectivism was opposite with individualism. On the individualist side, we find societies
in which the ties between individuals were loose; everyone was expected to look after
him or herself and his or her immediate family. On the collectivist side, researcher find
societies in which people from birth onwards were integrated into strong, cohesive ingroups, often extended families with which to continue protecting them in exchange for
unquestioning loyalty.
For research question 4, that ask about is there any relationship between
individualism and employees performance, table 4.15 below show the result of Pearson
Correlation Analysis for individualism.

49
Table 4.14
Pearson Correlation Analysis between Individualism and Employees performance

Correlations
Individualism
Individualism

Pearson Correlation
Sig. (1-tailed)
N
Employees
Pearson Correlation
performance
Sig. (1-tailed)
N
**. Correlation is significant at the 0.01 level (1-tailed).
H4:

1
103
.619**
.000
103

Employees
performance
.619**
.000
103
1
103

There is a significant relationship between individualism and


employees performance.

Based on the results, there was a positive value for correlation coefficient and
showed there was a positive relationship between individualism and employees
performance. Individualism has a 0.619 correlation with the employees performance.
The value of this correlation coefficient 0.619 was falling under a coefficient
range from 0.40 to 0.69.

Therefore, the relationship between individualism and

employees performance was moderate.


The relationship between individualism and employees performance was
significant. It is because the p-value 0.000 is less than alpha value 0.05, (p < 0.05, r
= .619). Hence, hypothesis (H4) was accepted in this study.
Based on our research, coefficient of Pearson correlation for individualism with
an employees performance is 0.619 which shows positive relationship and have a
moderate strength to the employees performance at Universiti Teknologi MARA

50
Terengganu. This means that the more individualism among employees, the employees
performance would be better.

Discussion of Findings
Research Question 1: Is there any relationship between uncertainty avoidance and
employees performance at Universiti Teknologi MARA Terengganu?
The previous findings show that uncertainty avoidance had a positive relationship
with an employees performance at Universiti Teknologi MARA Terengganu, this was
because the correlation coefficient score for uncertainty avoidance was 0.703 which a
high strength of association. This means that the higher uncertainty avoidance within the
organization the better employees performance. The findings were supported by Sully de
Luque and Javidan (2004);Doney, Cannon, and Mullen (1998).
According to Sully de luque Javidan (2004), employees work in organizations
with stronger uncertainty avoidance would be highly predictable, and where rules and
procedures were clearly defined. This shows that employees at Universiti Teknologi
MARA Terengganu were inspired by organizational anxiety and the required for a
predictable atmosphere if working in a strong uncertainty avoidance culture.
Based on the Doney, Cannon, and Mullen (1998), workers in weak uncertainty
avoidance would be less trusted by other individual compared to strong uncertainty
avoidance. However, if employees were in surroundings of strong uncertainty avoidance
would create higher helping behavior role. If a management at Universiti Teknologi
MARA Terengganu, enhance in the aspect of stronger uncertainty avoidance, it would
affect the helping behavior that would be endorsed to avoid risk when there were

51
teamwork available. Thus, workers in the stronger uncertainty avoidance culture would
be more likely to contribute in helping position to lessen uncertainty as it relates to the
motives of organizational anxiety, especially values, and others enhancement intuition
administration if compared to weaker uncertainty avoidance.
From the data that researcher gets from the website Clearly Cultural in 2010,
Malaysia rank number 59 from 66 countries.

Singapore had the lowest level of

uncertainty avoidance and sits the last rank from 66 countries. The highest level of
uncertainty avoidance was from Greece, followed by Portugal and Guatemala. These
numbers were relatively low compared to other countries. This means that they were
more likely to value situations that lead to high payoffs and larger rewards, even if more
risk was involved.

Research Question 2: Is there any relationship between masculinity and employees


performance at Universiti Teknologi MARA Terengganu?
From the findings, correlation coefficient demonstrates that there was a positive
relationship between masculinity and employees performance at Universiti Teknologi
MARA Terengganu, masculinity score 0.641 which shows moderate strength of
association. This means that the more masculinity was in the organization would lead to
better employees performance. This finding was supported by Ali et al. (2004),
Highly masculine culture emphasizes on assertiveness confrontation and taking
charge may be the right characteristic for the employees to perform better. A manager,
especially at University Technology Mara Terenggganu from masculine culture was
result-oriented and value the final outcome the most. Hence, masculinity was expected to

52
be positively correlated to employees performance. This research was based on Jung, Su,
Baeza and Hong (2008).
Based on Ali et al. (2004) finding, masculinity people were performance oriented
and they were more independent from friend and family member which usually make
them more dependent to make a decision. By the ways, it would create undependability
environment. Feminist people tend to build warm and tight relationships to each others
like friends and family in order to make them dependent on each other in making
decision. This would create good phenomena of well contact at all the time.
From the data that researcher gets from the website Clearly Cultural in 2010,
Malaysia rank number 34 from 66 countries. Sweden had the lowest level of masculinity
and sits the last rank from 66 countries. The highest level of masculinity was from Japan,
followed by Hungary and Austria. Malaysia was at the middle rank from 66 countries.
This can consider that Malaysia had a moderate level of masculinity.

Research Question 3:

Is there any relationship between power distance and

employees performance at Universiti Teknologi MARA Terengganu?


From the findings, correlation coefficient demonstrates that there was a positive
relationship between power distance and employees performance at Universiti
Teknologi MARA Terengganu, masculinity score 0.658 which shows moderate strength
of association. This means that the more power distance was in the organization would
lead to better employees performance.
This finding was supported by the previous research done by Lee (2002); Mead
(2003); Sagie, & Aycan (2003); Hofstede (1985). Based on finding by Hofstede (1985),

53
power distances would affect the employees action in problem solving. When there were
high power distances employees would try to get their problems solved by referring to
higher management levels as they perceive higher management were more powerful.
According to Mead (2003), low power distance was the best management style
because of its democratic characteristic. However, high power distance also can be a
good management style as well because of its autocratic attribute. The reason, says so
was due to most companies would follow procedure to achieve their quality control. So,
high in power distance can provide a clearer picture in delegate the work at Universiti
Teknologi MARA Terengganu
Based on the research from Sagie, & Aycan (2003), high power distance was
accepted by employees because it was considered as something natural. Employees
perceived responsibility for decision making derived from top management. Hence, if the
employees obey all the instructions from their superior, they would perform the works
according to the standard and it would lead to better performance. Lee (2002) found that
those higher in power distance would have a more distant relationship with a superior;
hence, employees would show their respect to their superior by enhancing their
performance in return.
From the data that researcher get from the website Clearly Cultural in 2010,
Malaysia rank number first from 66 countries. Austria had the lowest level of power
distance and sits the last rank from 66 countries. According to Hofstede (1980), people
in countries with high power distance support to bow to the superior or superiors prefer
having an autocratic leadership to lead them. Although Hofstede dimensions can be seen
in the community, social and organizational psychologists have begun to use it as a

54
variable to differentiate each individual (Bochner and Hesketh, 1994; Earley, 1993;
Ackerman and Brockner, 1996). Low power distance subordinates, superiors expect to
negotiate with them (Lam, 2002) and superior approach to express their views on
important matters.

Research Question 4:

Is there any relationship between individualism and

employees performance at Universiti Teknologi MARA Terengganu?


This finding was supported by Hui et al. (1995), Fauziah & Kamaruzaman (2010).
According to Hui et al. (1995), employees who were collectivist having higher
satisfaction with their work, pay, promotion, supervisor and co-workers than their
individualist counterparts. The researcher also found that job satisfaction at Universiti
Teknologi MARA Terengganu was higher for collectivist employees and employees
would be more motivated to perform better. While Fauziah & Kamaruzaman (2010)
found that Malaysian respondents were inclined towards collectivism in situations, but
also has included the elements of competition, which was an individualism factor due to
rapid development that has taken place in Malaysia.
From the data that researcher gets from the website Clearly Cultural in 2010,
Malaysia rank number 46 from 66 countries.

Guatemala had the lowest level of

individualism and sits the last rank from 66 countries. The highest level of individualism
was from the United States, followed by Australia and United Kingdom. This can
consider that Malaysia had a moderate level of individualism.
The United States can clearly be seen as individualistic. The American dream
is clearly a representation of this. This was the Americans hope for a better quality of

55
life and a higher standard of living than their parents. This belief was that anyone,
regardless of their status can pull up their boot straps and raise themselves from poverty.

Figure 4.1 A Model Shows the Relationship Between Organizational Culture and
Employees performance
Organizational Culture

- Uncertainty Avoidance
Employees
Performance

- Masculinity
- Power Distance
- Individualism
Independent Variables

Independent Variable

Dependent Variable

Table 4.15
Summary Hypothesis of Relationship between Organizational Culture and Employees
performance
Hypothesis
H1:

There is a significant relationship between

Results
Accepted

uncertainty avoidance and employees performance.


H2:

There is a significant relationship between

Accepted

masculinity and employees performance.


H3:

There is a significant relationship between

Accepted

power distance and employees performance.


H4:

There is a significant relationship between

individualism and employees performance.

Accepted

56
The independent variable of organizational culture, uncertainty avoidance,
masculinity, power distance and individualism for this study was positive and has
significant relationship with employees performance.

57

CHAPTER 5
CONCLUSION AND RECOMMENDATION

This chapter consists conclusion and recommendation from the research findings.
The conclusion was overall about the investigation relationship between organizational
culture and employees performance, according to finding that research got from the
questionnaire that was distributed.

Managerial Implication
Uncertainty avoidance refers to how well the people adapt to change. Malaysian
especially at Universiti Teknologi MARA Terengganu may unlikely to face changes in
their organization. They would be more risk avoidance and their employees more prefer
to the safety and conformity environment, besides that, they reliance on formal rules and
rituals. They would perform well in the organizations that were stable and they would
feel more uncomfortable when the organizations were changing. This would lead them to
be resistant to adapt to the new environment.
Feminine value, people that concern for others, relationship with others and focus
on the quality of life. The employees may feel comfortable working in the environment
that the management would more concern their situation than their production. They may
prefer that their supervisor may concern the problem they face and they may prefer to

58
have good relation with their office mate then compete with each other. For Universiti
Teknologi MARA Terengganu, there were more men than women. So, masculinity value
is very high.
The degree of the power distance in an organization refers to the perception of the
employees that the extent to which they can disagree with the managers decision, the
level they can influence the organizations decision and their position in the process of
decision making. From the result of the research, the employees at Universiti Teknologi
MARA Terengganu were high power distance, the employees were trying to avoid to
participate the decision making process.
Besides that, they prefer their boss or manager to lead or guide them; direct tell
them how to accomplish the task. They would trust the managers decision and more
likely to have a management of direct and autocratic style. Employees at Universiti
Teknologi MARA Terengganu must select a leader that has the highest influence power
to guide the employees when in the process accomplish task. The selected leader must
have the ability and fully understand the objective of the task due to the employees would
only fully follow and no argument with the leaders order. If they select the wrong leader,
the task may not perform well and may influence the performance of the Universiti
Teknologi MARA Terengganu
For the culture of collectivism, employees at Universiti Teknologi MARA
Terengganu would self-identified based on the membership in the group, believes that the
decision maker by group is the best and get the protection from group in exchange for
loyalty. Besides, the employees would feel more motivated when they feel that they were
important to the organization. So, Universiti Teknologi MARA Terengganu may provide

59
rewards or get praise by the manager and this may motivate the employees to perform
better.
This research provides support that shows, the organizational culture would affect
the performance and that is consistent with the previous explanation. Cultural may play
important roles in achieving the objective of the organization. Knowing the impact of the
organization cultural would directly influence the employees performance in the
organization. This can let the management at Universiti Teknologi MARA Terengganu
improve the decision making and help to improve the organization performance.
Therefore, a good management team must view from a different view and understand the
employees perception so that to increase the productivity and get the competitive
advantages for the organization especially at Universiti Teknologi MARA Terengganu

Recommendation
In this study, the researcher investigated organizational culture based on Hofstede
theory. The samples in this study consisted of employees who work in Universiti
Teknologi MARA Terengganu. The questionnaire was distributed randomly and only
103 respondents answered the question completely. The researcher used random
sampling. The result that researcher get from Pearson Correlation show that all of the
results have a strong relationship, for uncertainty avoidance, the result is 0.703, for
masculinity, the result is 0.641, for power distance, the result is 0.658 and for
individualism, the result is 0.619. Due to this fact, the researcher suggest following point
to reform and modifying the Universiti Teknologi MARA Terengganu organizational
culture.

60
From this research, the result of the Pearson Correlation shows that uncertainty
avoidance has the highest score compare with others which is 0.703. At Universiti
Teknologi MARA Terengganu, researchers said that they were doing very formal
business that was conduct with lots of rules and policies. As a culture, the Universiti
Teknologi MARA Terengganu culture typically has a high uncertainty avoidance, and
they need to proceed with careful changes step by step planning and by implementing
rules at the organizations, laws and regulations need to check and to minimize the
occurrence of unknown and unusual circumstances at the Universiti Teknologi MARA
Terengganu. For example, when employees at Universiti Teknologi MARA Terengganu
were discussing a project, they need to present a limited number of choices, but have very
detailed information available on their contingency and risk plans.

Employers and

employees at Universiti Teknologi MARA Terengganu should be clear and concise about
their expectations and parameters of the organizations.

Other than that, employees

should plan and prepare their mission and goals, communicate often and early with the
upper management, provide detailed plans, and focus on the tactical aspects of a job or
project. Lastly, the employees can express their emotions through hand gestures and
raised voices if they not satisfied with the upper management.
The second highest was from power distance which is 0.658 result from Pearson
Correlation. This shows that Universiti Teknologi MARA Terengganu has moderate
levels of power distance. High power distance, usually happen in centralized companies.
In the workplace, there's often a significant discrepancy between those in positions of
authority and subordinates both in terms of salary and power.

From this research,

employees were not given important work and expect clear guidance from above

61
expected to take the blame for things going wrong. Employees at Universiti Teknologi
MARA Terengganu need to acknowledge a leaders power, but should be aware that
employees need to go to the top for answers. Employers need to give clear and explicit
directions to those who working with them. Deadlines should be highlighted so that they
noticed the date.
Understanding power distance in different cultures is an important tool in
effective communication. For Universiti Teknologi MARA Terengganu, they should be
more sensitive about power distance that can aid in the success of business negotiations,
marketing, politics and educational exchange programs for students as well as medical
advice and care for employees.
The third highest was from masculinity that the result of Pearson Correlation was
0.641.

From this result, the researcher says that Universiti Teknologi MARA

Terengganu also has moderate levels of masculinity. From the demographic result, it
shows that Universiti Teknologi MARA Terengganu has more men employees than
women with 58 were men and 45 were women. So, its true that, Universiti Teknologi
MARA Terengganu had very high levels of masculinity. At Universiti Teknologi MARA
Terengganu, researcher can say that, their employees keep focused on the goal or result,
level and status at the organization is important. Power and information also flow from
top to bottom. More of employees would see work as a game to be won. When gives
orders, it would be more direct and clear about the information or orders. If a project was
being managed by people who all think like masculinity, they may follow the lead of the
person with the most power. They would focus on the task or goal, avoiding being

62
distracted by what they see as collateral issues. And they may overlook critical
information or issuesor pursue the leaders idea when another might be better.
The lowest result of Pearson Correlation which the result is 0.619 was from
individualism. Researcher stated that Universiti Teknologi MARA Terengganu had a
moderate level of individualism because the result is stay positive. Culture at Universiti
Teknologi MARA Terengganu maybe has a high valuation on people's time and their
need for freedom. An enjoyment of challenges, and an expectation of rewards for their
hard work.

To work with organization that has high levels of individualism, the

employees cannot ask for too much personal information to their office mate. Encourage
debate and expression of own ideas.
In addition, managers at Universiti Teknologi MARA Terengganu must
specifically be trained regarding to the importance of role in forming the organizational
culture. In fact, managers must learn proper attitudes, and then believe after those
develop it in another. Good people management skills would help improve employees
commitment levels.
Universiti Teknologi MARA Terengganu should provide support to staff, make
clear rules, promote innovation and ensure adequate coordination among departments and
individuals in the organization.

Not only Universiti Teknologi MARA Terengganu

should practice this, but organizations all over the world should emphasis on these work
practices so that they can survive and benefit.
In summary, the ability to measure organizational culture can help Universiti
Teknologi MARA Terengganu and their managers to assess and examine their
employees performance. Also, a validated measure would provide a good foundation for

63
useful studies that aim to relate organizational culture with other concepts of interest,
innovation and knowledge management. If measuring organizational culture becomes
possible, then its also influence on other organizational functions, like knowledge
sharing, innovation and employees performance, can be empirically examined.

Recommendation for Future Research


There are few relevant directions for future researches are worth for nothing.
Future research needs to incorporate other variables that can affect the employees
performance. The current research could be extended, by including job satisfaction and
also working environment which may also affect the dependent variable, employees
performance. Other than that, in order to get more accurate result which contribute to the
employees performance in an organization, future research should focus on respondents
in different campus as well.
Beside, future research should expand to wider geographical areas rather than just
focus on Universiti Teknologi MARA Terengganu. Future research should also enlarge
the size the of the respondent population because more diverse respondent from different
geographical area can make a significant contribution to further research area.

64
Conclusion
In conclusion, this research is to explore whether Hofstedes cultural dimension
would affect the employees performance at Universiti Teknologi MARA Terengganu.
Actually, there were several factors that would impact the employees performance in the
organization. However, the researchers only look into these four cultural dimensions
from Hofstedes cultural dimensions which are uncertainty avoidance, masculinity,
power distance and individualism. So the researchers can specifically identify whether
the cultural dimension would affect toward the employees performance.
The employees in Universiti Teknologi MARA Terengganu need a leader to
guide them, more of them prefer working in a group, need work in the organization that
were stable and also enjoy the quality of life. They may need the praise from the
employers, so, they would be more motivated and loyalty to company, when they feel the
organization appreciated their contribution. Therefore, the upper management can assign
more tasks that can accomplish by team, select a leader that can provide clear guidelines
for their employees, so they would put more effort into their performance and
consequently increase the organization performance. Lastly, to increase the productivity
of the employees, Universiti Teknologi MARA Terengganu may not only take into
consideration the factors that discuss in this research, they may need to take all other
factors into the description.
Therefore, the theory of Hofstedes adopted in the study was fully accepted and
fails to reject.

65
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APPENDICES

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APPENDIX A
DATA ANALYSIS

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APPENDIX B
QUESTIONNAIRE

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APPENDIX C
DIRECTORY STAFF
UNIVERSITI TEKNOLOGI
MARA TERENGGANU

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