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Identification of factors leading to job satisfaction

B.B.A Department,
Iqra University.
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pABLE OF CONpENp

pIpLE Page No.

1. Introduction 3
1.1 Statement of problem 3
1.2 Background 3
1.3 Objective 3
1.4 Methods for measuring job satisfaction 4

2. Literature review 5
2.1 Herzberg`s Motivation-Hygiene theory 5
2.2 Maslow`s need-Hierarchy theory 5-6
2.3 Vroom's expectancy theory 6
2.4 Skinner's reinforcement theory 7
2.5 Society for human resource management 7

3. Data collection and analysis 8-9

4. ummary 10

5. Reference 11

     
 
     

INpRODUCpION:

Job satisfaction is a terminology use to describe whether your employees are happy or not with
their job. The happier people with their jobs, the more satisfied they are said. Motivation is not
same as job satisfaction. Motivation is said to be one of the factor of job satisfaction. Earlier
many managers were not aware of fact that employee satisfaction affects their performances in
their organization. Now in this global village no organization wants to avoid any opportunity by
which it can go above from its competitors no matter the opportunity is to maximise job
satisfaction in the organization for getting maximum and quality performances from their
employees. Now human resource people in the organization learn and understand factors that
lead to job satisfaction. Machinery and technology is also one of the pillars for a successful
business but successful business also includes satisfaction of their employees with their jobs.

1.1 tatement of problem:

The main is to determine that what factors that leads to job satisfaction. As we all know that
greater job satisfaction leads to greater profits for the organization therefore the problem lies in
how to attain maximum satisfaction while keeping in mind to not to increase cost and expenses
of the organization.

1.2 Background:

Managers and organizations across the world want to satisfy their employees in a best way
possible. Motivation is one of the key factors of job satisfaction. Most managers want employees
who are intrinsically motivated to do their job well. Intrinsic motivation comes from within.
When employees are enthusiastic and eager to succeed, they bring their own motivation to the
work. Their are also employees who are extrinsically motivated. You have to keep providing
external pressures to make them perform. The external pressure includes threats or rewards to
perform or combination of both.

1.3 Objective of this report:

Objective of this report is to identify those factors that lead to job satisfaction.
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1.4 Method for measuring job satisfaction:

There are many methods for measuring job satisfaction. By far, the most common method for
collecting data regarding job satisfaction is the Likert scale. Other less common method for
measuring job satisfaction include: Yes/No questions, True/False questions, point systems and
checklists. The Job Descriptive Index (JDI), created by Smith, Kendall and Hulin in 1969, is a
specific questionnaire of job satisfaction that has been widely used. It measures one`s job
satisfaction in five parts:

1) Ôay
2) Ôromotions and promotion opportunities
3) Co-workers
4) Supervision
5) Work itself

2 LIpERApURE REVIEW:
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One of the biggest challenges faced by managers is keeping their employees satisfied. In order to
maintain high level of performance, many managers rely on satisfaction theories to gain a better
understanding of the factors that affect their employee job satisfaction.

2.1 Herzberg`s Motivation-Hygiene theory:

The psychologist Fredrick Herzberg set out to determine the effect of attitude on motivation, by
asking people to describe situations where they felt really good, and really bad, about their jobs.
What he found was that people who felt good about their jobs gave very different responses from
the people who felt bad. These results formed the basis of Herzberg's Motivation-Hygiene
Theory.

Herzberg's findings revealed that certain characteristics of a job are consistently related to job
satisfaction, while different factors are associated with job dissatisfaction. These are:

Factors for atisfaction Factors for Dissatisfaction

Achievement Company Policies
Recognition upervision
Relationship with upervisor and
phe work itself
Peers
Responsibility Work conditions
Advancement alary
Growth ecurity

The conclusion he drew is that job satisfaction and job dissatisfaction are not opposites.

¦ The opposite of atisfaction is No atisfaction.

¦ The opposite of Dissatisfaction is No Dissatisfaction.

2.2 Maslow Need-Heirchy theory:

Abraham Maslow developed need-heirchy theory in 1943. According to Maslow, employees

have five levels of needs:

´ Ôhysiological
´ Safety
´ Social
´ Ego
´ Self- actualizing

     
 
     

Maslow said that lower level needs had to be satisfied before the next higher level need.
Abraham Maslow theory can be implemented by management in following way:

Psychological needs: Ôrovide lunch breaks, rest breaks and wages that are sufficient to
purchase the essentials of life.

afety needs: Ôrovide a safe working environment, retirement benefits and job security.

ocial needs: Create a sense of community via team-based projects and social events.

Ego needs: Recognize achievements to make employees feel appreciated and valued. Offer job
titles that convey importance of the position.

elf-Actualization needs: Ôrovide employees a challenge and the opportunity to reach their full
career potential.

To motivate an employee, the manager must be able to recognize the need of level at which
employee is operating and use those need to make employee satisfy with his job

2.3 Vroom's expectancy theory:

Vroom`s theory was presented in 1964. Vroom's theory is based on the belief that employee
effort will lead to performance and performance will lead to rewards. Rewards may be either
positive or negative. The more positive the reward the more likely the employee will be satisfied.
Inversely, the more negative the reward the less likely the employee will be satisfied.
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2.4 kinner's reinforcement theory:

Skinner presented this reinforcement theory in 1953. It simply states those employee`s behaviors
that lead to positive outcomes will be repeated and behaviors that lead to negative outcomes will
not be repeated. Managers should positively reinforce employee behaviors that lead to positive
outcomes. Managers should negatively reinforce employee behavior that leads to negative
outcomes.

2.4 ociety for human resource management:

S.H.R.M-Society for human resource management was found in 1948. In January 2009, society
for human resource management conducted the job satisfaction survey with a sample of
employees. The objective of the job satisfaction survey is to identify and understand factors
important to overall employee job satisfaction. According to the SHRM annual survey of job
satisfaction 2009 there are 5 very important factors for job satisfaction.

´ Job security
´ Benefits
´ Compensation/Ôay
´ Opportunities to use skills/abilities
´ Feeling safe in the work environment

DApA COLLECpION AND ANALY I :

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Society for human resource management has been conducting their annual survey on employee
job satisfaction from 2002. In 2009 their annual report on employee job satisfaction was released
which states that employee job satisfaction has been increasing comparing to the past year.
According to SHRM survey report in 2004 37% people were very satisfied with their job than in
2005 this number of people were 39% which remain 39% in 2006. In 2007 it was decreased to
38% but in 2008 and 2009 it increased and remained at 41%.

In 2009 there were 41 % employees who were very satisfied with their job and 45% employees
who were some what satisfied with their job. In 2009 the number of unsatisfied people was very
less. Only 4% of the employees were very satisfied and 10% were somewhat dissatisfied. These
figures show that managers and organizations are really working hard to make and keep their
employees happy and satisfied.

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In 2009 annual report of society for human resource management through their detail survey
found out those factors that affect job satisfaction. They listed 18 factors that affect job
 
     
 
     

satisfaction among which job security was the factor that contributes highest in job satisfaction
while career advancement opportunities was the factor that contributes lowest in job satisfaction.
Society for human resource management identified those factors that leads to job satisfaction
with their percent that how much they contribute to job satisfaction for employees.

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UMMARY:
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Job satisfaction has been an important aspect for the success of organization. Ôast theories said
that basic needs should be fulfilled first than upper level needs to achieve job satisfaction.
Society for human resource management concluded that the main 5 aspects are

´ Job security
´ Benefits
´ Compensation/Ôay
´ Opportunities to use skills/abilities
´ Feeling safe in the work environment

After this research it is also concluded that opposite of satisfaction is no satisfaction while
opposite of dissatisfaction is no-dissatisfaction. It is a general concept that dissatisfaction is the
opposite of satisfaction which is wrong. Herzberg`s theory cleared the concept. Maslow theory
gave the pyramid of needs that should be satisfied orderly. Vroom`s theory said that every thing
for job satisfaction depends on efforts by the employee. Society for human resource management
concluded with five main aspects for job satisfaction.

Technology and equipment helps in successful business. Efficient employees also serve as an
asset to organization therefore every organization want its employee to work efficiently.
Employees work with their 100% only if they are satisfied with their job. So job satisfaction is a
very important factor of employees in success of an organization.

It is rightly said;

Your employees are your greatest asset and no matter how efficient your technology and
equipment may be, it is no match for the effectiveness and efficiency of your staff.
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REFERNCE :

1. Research Ôaper on Effect of Job satisfaction and Motivation on Organizational

Commitment.
http://ivythesis.typepad.com/term_paper_topics/2008/09/research-pap-10.html

2. The Factors that Effect Job Satisfaction and Employee Motivation.
http://www.uni.edu/yates/Research%20Methods/bib%206.pdf

3. The Factors to Influence Employee Satisfaction.

http://www.humanresources.hrvinet.com/factors-influences-to-employee-
satisfaction/

4. u Hang, Evert Van De Vliert, (Mar 2003): Where Intrinsic Job Satisfaction Fails to
Work: National Moderators of Intrinsic Motivation. Journal of Organization Behaviour,
Vol. 24, No. 2).

5. M. Wiedmer, Stacey, An Examination of Factors Affecting Employee Satisfaction,

Missouri Western State University

6. Understanding the Factors that Make Work Gratifying, (2009): Employee Job
Satisfaction, A Survey Report by Society for Human Resource Management.