MASTER OF BUSINESS ADMINISTRATION INTERNATIONAL PROGRAM —&– RESEARCH PROJECT (BMBR5103) THE IMPACT OF PERFORMANCE APPRAISAL SYSTEM KNOWLEDGE, JOB OVERLOAD, ORGANIZATIONAL COMMITMENT AND OVERALL JOB SATISFACTION ON VINGROUP’S EMPLOYEE ON-THE-JOB BEHAVIOR Ho Chi Minh City, December 2015   Advisor’s Assessment - Advisor’s signature Page of 66   ACKNOWLEDGEMENTS Though only my name appears on the cover of this dissertation, a great many people have contributed to its production I owe my gratitude to all those people who have made this dissertation possible and because of whom my graduate experience has been one that I will cherish forever.My deepest gratitude is to my advisor, DBA Khai Nguyen I have been amazingly fortunated to have an advisor who gave me the freedom to explore on my own and at the same time the guidance to recover when my steps faltered He has devoted her precious time to help me complete this thesis Thanks to his endeavor, I have successfully done this thesis Also, I would like to express gratitude to my family: my parents and my sister, who have loved me unconditionally and support me during this hard time Furthermore, I am thankful to my coleagues – vingroup’s staff who participated in my survey and have been putting so much effort in helping me conduct this survey and complete this research Finally, I am thankful to OUM and HUTECH University for providing me such a lifetime opportunity in doing this thesis Page of 66   Table of Contents ACKNOWLEDGEMENTS    1   LIST  OF  FIGURES    4   LIST  OF  TABLES    5   ABBREVIATIONS    6   ABSTRACT    7   CHAPTER  1:  INTRODUCTION    8   1.1     Company  introduction    8   1.1.1   Company Description    8   1.1.2   History and milestones    10   1.1.3   Organizational structure of Vingroup    11   1.1.4   Personnel structure    12   1.2     Research  introduction    15   1.2.1 Motivation of the study    15   1.1.2   Significance of the study    15   1.1.3   Purpose of the study    16   1.1.4   Question of the study    16   CHAPTER  2:  LITTERATURE  REVIEW    17   2.1         Performance  Appraisal  System  Knowledge    17   2.2         Job  overload    18   2.3         Organizational  commitment    19   2.4         Overall  Job  satisfaction    20   2.5         On-­‐the-­‐job  behavior    21   2.6         The  relationship  between  Performance  Appraisal  System  Knowledge  and    21   On-­‐the-­‐job  behavior    21   2.7     The  relationship  between  Job  overload  and  On-­‐the-­‐job  behavior    22   Page of 66   2.8     The  relationship  between  Organizational  commitment  and  On-­‐the-­‐job  behavior    23   2.9     The  relationship  between  Overall  Job  satisfaction  and  On-­‐the-­‐job  behavior    24   CHAPTER  3:  HYPOTHESES  AND  METHODS    25   3.1     Research  Model    25   3.1.1   Dependent Variables    25   3.1.2   Independent Variables    26   3.1.3   Constructs    26   3.2     Instruments    27   3.3  Hypotheses  development    35   3.4     Procedure  for  Data  Collection  and  Analyze    36   CHAPTER  4:  RESULTS  AND  FINDINGS    38   4.1    Demographic  Characteristics  of  the  respondents    38   4.3    Descriptive  statistic    42   4.4    Correlations  Matrix    43   4.5    Hypothesis  Testing    44   CHAPTER  V:  CONCLUSION    47   5.1    Summary  and  Discussion    47   5.2    Management  Implications    48   5.3   Limitations  and  Further  Research  Recommendation    50   REFERENCES    52   APPENDIX  1    55   APPENDIX  2    61   Page of 66   LIST OF FIGURES   Figure 1: Vingroup’s Profile .9 Figure 2: Vingroup’s Organizational Chart 11 Figure 3: Research model 25 Figure 4: Dependent Variables 25 Figure 5: Independent Variables .26 Figure 6: A summary of demographic characteristics of the respondents 39   Page of 66   LIST OF TABLES   Table 1: Summary of Cronbach’s Alpha of the variables .41 Table 2: Descriptive Statistics 42 Table 3: Summary of Correlations of all variables 43 Table 4: Model Summary of all hypotheses .45 Table 5: Coefficients of all hypotheses 45 Page of 66   ABBREVIATIONS VINGROUP JSC Vingroup Joint Stock Company HRM Human Resource Management SPSS Statistical Packages for the Social Science PASK Performance Appraisal System Knowledge JO Job Overload OC Organizational Commitment OJS Overall Job Satisfaction OTJB On-The-Job Behavior Page of 66   ABSTRACT This study examined the impact of performance appraisal system knowledge, job overload, organizational commitment and overall job satisfaction on Vingroup’s employee on-the-job behavior Data was collected through the use of standardized questionnaires Questionnaires were delivered personally to 250 managerial and non- managerial employees in all over 10 member companies of Vingroup Corporation; there were 238 questionnaires returning, in which 230 completely responses were used for the statistical analysis The collected data were computed and analyzed through factor analysis, Cronbach’s alpha, descriptive statistics, correlation, and multiple regression analysis Result: The results supported the hypothesis that performance appraisal system knowledge, job overload, organizational commitment and overall job satisfaction have significant relationship with employee’s on-the-job behavior Conclusion: The findings in this study would help managers of Vingroup Corporation to formulate strategies that involved work factors such as workload, appraisal to improve the management of human resource development These strategies would have great impact on employee’s performance hence improve job’s efficiency and effectiveness of the organization Therefore, it was worth the effort for the organization to train and educate their managers on the impact of performance appraisal system knowledge, job overload, organizational commitment and overall job satisfaction on the motivation on their employees’ behavior Keywords: performance appraisal system knowledge, job overload, organizational commitment, overall job satisfaction and on-the-job behavior Page of 66   CHAPTER 1: INTRODUCTION 1.1 Company introduction Currently, the world knows Vietnam as a fast growing country To contribution in this recognition, Vingroup has played a great role in leading Vietnam reputation to the worldwide Vingroup Joint Stock Company (“Vingroup”) is a leading private economic corporation in Vietnam, engaging in the fields of tourism and high-end real estate with two strategic brands, Vinpearl and Vincom Joining in the market in 2002, Vincom spared no efforts to become Vietnam’s premier upmarket real estate brand with a number of shopping mall, office and apartment complexes, and large-scale modern mixed-use townships, spearheading the trend of high-end ecological urban zones in Vietnam In the current downturn economy, Vingroup’s projects still stand out from the market thanks to the Group’s commitment to progress and quality, which has established its strong brand and excellent reputation In order to meet the demand for developing speed, human resource management has participated in Vingroup’s success With the workforce of over 500,000 employees, Vingroup has shown the important of managing especially understanding employees’ behavior from that delivered appropriate strategy to gain the devote from its staff This study explored how performance appraisal system knowledge, organizational commitment, overall job satisfaction and job overload influence on Vingroup’s employee on-the-job behavior This chapter also presents the motivation of the study, significant of the study, purpose of the study, and the questions of the study and the key words of study 1.1.1 Company Description After joining the market in 2001, Vingroup has recently begun operating top quality healthcare, and fitness and beauty care facilities under two new strategic brands, Page of 66   REFERENCES Chartered Institute of Personnel and Development (2010a) Overview of CIPD Surveys: A Barometer of Social Trends, CIPD (www.cipd.co.uk; accessed 16.8.2010) Clake, R and V Winkler (2006) The Change Agenda: Reflections on Talent Management, CIPD (www.cipd.co.uk; accessed 9.4.07) Clarke, E (2006) Power brokers, People Management, 18 May, Vol 12, No 10 Donaghy, R (2005) Foreword to ACAS Model Workplace, ACAS Drucker, P (1999) Management Challenges for the Twenty-first Century, Harper Business Emmott, M (2005) CSR laid bare, People Management, Vol 11, No 16, 11 August, 38–40 Faccini, R and C Hackworth (2010) Changes in output, employment and wages during recessions in the United Kingdom, Bank of England Quarterly Bulletin, Q1, Vol 50, No 1, 43–50 Finn, W (2010) The winner Baringa Partners, UK’s Best Workplaces: Special Report, May, Great Place to Work Institute UK, 8–9 French, R (2007) Cross-cultural Management in Work Organisations, CIPD Green, K (1999) Offensive thinking, People Management, Vol 5, No 8, 27 He, H (2009) Stealing cyber veggies thrives in a lonely world, South China Morning Post, 12 December Harrison, R (2002) Learning and Development, CIPD Hofstede, G (1980) Culture’s Consequences: International Differences in Work Related Values, McGraw-Hill Page 52 of 66   Hofstede, G (1997) Cultures and Organisations: Software of the Mind, revised edition, McGraw-Hill Hutton, W (2010) Foreword, UK’s Best Workplaces: Special Report, May, Great Place to Work Institute UK, Industrial Relations Services (IRS) (2000) In-store personnel managers balance Tesco’s scorecard, IRS Employment Trends, May, 13–16 Industrial Relations Services, (2006) Recruiting knowledge workers, IRS Employment Review, 859, 17 November, IRS Kaplan, R.S and D.P Norton (1992) The balanced scorecard – measures that drive performance, Harvard Business Review, January–February, 71–79 Lawrence, F (2007) The miracle of cheap fresh food depends on illegality, The Guardian, Comment and Debate, Thursday 17 July Legge, K (1995) Human Resource Management: Rhetorics and Realities, Macmillan Business McVeigh, K (2007) Asda, Primark and Tesco accused over clothing factories, The Guardian, Monday 16 July Murphy, N (2010) HR roles and responsibilities: the 2010 IRS survey, IRS Employment Review, 22.2.2010, IRS (www.xperthr.co.uk accessed 11.8.2010) Niven, M (1978) Personnel Management 1913–63, IPM Office for National Statistics (2009) Statistical bulletin, National Population Projections: 2008 Based, 21 October, 2–6 (www.statistics.gov.uk; accessed 18.8.2010) Oliver J (2010) The Jamie Oliver Webpage (www.jamieoliver.com; accessed 22.8.2010) Paton, N (2010) Preparing for the upturn, UK’s Best Workplaces: Special Report, May, Great Place to Work Institute UK, 6–7 Page 53 of 66   Penna and the Chartered Institute of Personnel and Development (2008) Gen Up: How the Four Generations Work Together, Joint survey report, September, Penna (www.cipd.co.uk accessed 21.8.2010) Purcell, J., N Rinnie, S Hutchinson (2003) Open minded, People Management, Vol 9, No 10, 31–33 Reilly, P (2007a) The Changing HR Function: Transforming HR? CIPD Reilly, P (2007b) HR transformation: Facing up to facts, People Management, Vol 13, No 19 Scarborough, H (2003) Recipe for success, People Management, Vol 9, No 2, 32– 35 Sheppard, G (2009) The rise and fall of talent management, Personnel Today, 27 October, RBI (www.xperthr.co.uk accessed 5.8.2010) Suff, R (2006) Managing knowledge workers, IRS Employment Review, 861, 15 December, IRS (www.xperthr.co.uk accessed 22.8.2010) The Economist (2009) The long climb A special report on the world economy,3 October,2–28 Ulrich, D and W Brockbank (2005) Role call, People Management, 16 June, Vol 11, No 12, 24–28 Page 54 of 66   APPENDIX QUESTIONNAIRE Dear my colleagues, I am Nguyen Lan Huong – a student of International MBA program I am writing here with undertaking a research project on how on-the-job behavior is affected by performance appraisal system knowledge, overall job satisfaction, organizational satisfaction and job over load You please take your time around 40 minutes to complete below questions All responses you provide for this study will remain confidential and used for survey purpose only When the results of the study are reported, you will not be identified by name or any other information that could be used to infer your identity I would like to express my personal gratitude to you for your great contribution in this study For any matters, not hesitate to contact me as: Ø Hand phone : (+84) 936.700.990 Ø E-mail : huongnl310192@gmail.com Thank you very much for your time and your strong support   55   Please read and answer the following questions by circling the number (O) in the table below indicating the level of agreement to the questions Question Strongly Disagree Neutral Agree Strongly disagree agree I understand the performance appraisal system being used in 5 5 5 my agency My supervisor and I concur on the meaning of the criteria used in the performance appraisal system I understand the objectives of the present performance appraisal system I have a real understanding of how the performance appraisal system works I know the criteria used by my employer to evaluate my performance My employer communicates to clearly me the objectives of the performance appraisal system   56   I would benefit from additional training in the process of the 5 Never Rarely Sometim Often Always appraisal system (R) An attempt should be made to increase employees' understanding of the performance appraisal system (R) Question es often does your job 5 12 Done more work than required 13 Volunteered to work overtime 5 10 11 14 15   How require you to work very fast? How often does your job require you to work very hard? How often is there a great deal to be done? Made attempts to change work conditions Negotiated with supervisors to improve job 57   16 Tried to think of ways to the 5 Strongly Disagree Neutral Agree Strongly job better Question disagree 17 My job is like a hobby to me 18 19 20 21 22 23 I enjoy my work more than my leisure time I feel fairly satisfied with my present job I feel that I am happier in my work than most other people Most of the time I have to force my self to work (R) Most days I am enthusiastic about my work I am disappointed that I ever took this job agree 5 5 5 5 I feel my job is no more 24 interesting than others I could get 25   I am quite proud to be able to 58   tell people who it is that I work for 26 What this organization stands for is important to me 5 5 5 5 5 I work for an organization that 27 is incompetent and unable to accomplish its mission (R) 28 29 I feel a strong sense of belonging to this organization I feel like "part of the family" at this organization The people I work for not 30 care about what happens to me (R) 31 32 33 I am disappointed that I ever took this job (R) I find real enjoyment in my work (Used in six-item version) My job is pretty uninteresting (R) I feel that I am happier in my 34 35   work than most other people I feel that my job is no more interesting than others I could 59   get (R) 36 37 Most of the time I have to force myself to go to work (R) I feel fairly well satisfied with my present job 5 Personal Information Gender ¨ Male ¨ Female Age ¨ Under 24 years old ¨ From 24 to 36 years old ¨ From 36 to 45 years old ¨ Above 45 years old Academic degree ¨ High school ¨ Colleges Degree ¨ Bachelor Degree ¨ Master Degree ¨ Doctoral Degree Working seniority ¨ Under year ¨ From to years ¨ From 3to years ¨ Above years Working position ¨ Direct employee ¨ Office staff ¨ Manager ¨ Senior Manager ¨ Supervisor/Team leader The questionnaire is now complete Thank you very much for your time and cooperation!   60   APPENDIX PRESENTATION  OF  BUSINESS  RESEARCH  METHODS   The factors influence on On-the-job Behaviors in Vingroup Student'name:'NGUYEN'LAN'HUONG! Instructor:'Khai'Nguyen,'DBA'! Student'ID:'CGS'000'18525'! Class:'MBAIOUM'0914K15C! Subject:'Business'research'method! Company(introduc/on(   61   Problem(of(statement( !(Fast(growing(corpora4on(with(huge(workforce,(Vingroup(needs(appropriate( strategy(to(u4lize(the(human(resource(by(understanding(employee's(behavior(( Research Model Performance appraisal system knowledge Job overload Organizational commitment +"H1" '"H2" On-the-job behavior +"H3" +"H4" Overall job satisfaction   62   Measure of variable Variables Performance appraisal system knowledge (PASK) Author Williams and Levy Caplan, Cobb, French, Van Job overload (JO) Organizational commitment (OC) Harrison and Pinneau Marsden, P.V.Kalleberg and A.L Cook Year Number of Items 1992 11 1991 11 1951 Overall job satisfaction (OJS) Brayfield and Rothe 1980 On-the-job behavior (OTJB) Lehman and Simpson 1992 Sample'Collec+on' •  Sample'size:'230' ' •  Two'methods'for'data'collec+on':'Mail'survey' and'paper'survey' ' •  All'qualified'responses'were'coded'and' processed'with'SPSS'   63   Descrip(ve*Sta(s(cs* N Performance appraisal system knowledge Job overload Organizational commitment Overall job satisfaction On-the-job behavior Valid N Minim Maximu um m 230 230 230 230 230 1.56 5.00 2.20 5.00 2.25 4.80 1.80 5.00 2.42 4.75 Mean 3.72 Std Deviation 644 3.57 3.73 539 539 4.07 406 3.72 448 230 Cronbach’s alpha   Variables Cronbach’s Alpha Number of Items Consider Performance appraisal system knowledge 0.797 Acceptable Job overload 0.795 Acceptable Organizational commitment 0.873 Good Overall job satisfaction 0.845 Good On-the-job behavior 0.794 Acceptable 64   Hypotheses Testing Result R2: 0.761 Variable β Sig0 Result Performance appraisal system knowledge 0.808 0.000 Supported Job overload -0.132 0.000 Supported Organizational commitment 0.125 0.001 Supported Overall job satisfaction 0.092 0.015 Supported Discussion Hypothesis 1: Performance appraisal system knowledge relates positively to on-the-job behavior •  Increase exchanging information •  Focus on communicating activities : training, orientation, forum … Hypothesis 2: Job overload relates negatively to on-the-job behavior •  Distribute job reasonably •  Recruit enough workforce Hypothesis 3:Organizational commitment relates positively to on-the-job behavior •  Strengthen organizational culture •  Provide benefit for senior staff Hypothesis 4: Overall Job satisfaction relates positively to on-the-job behavior •  Reward, salary, training policies have to reasonable •  Create a supportive working environment   65   THANKS FOR YOUR LISTENING   66   [...]... Overall Job satisfaction - (5) On -the- job behavior - (6) The relationship between Performance Appraisal System Knowledge and On -the- job behavior - (7) The relationship between Job overload and On -the- job behavior - (8) The relationship between Organizational commitment and On -the- job behavior - (9) The relationship between Overall Job satisfaction and On -the- job behavior 2.1 Performance Appraisal System. .. satisfaction on Vingroup’s employee on -the- job behavior 1.1.4 Question of the study This study addresses some points follow: - How are the impact performance appraisal system knowledge on Vingroup’s employee on -the- job behavior - How are the impact of job overload on Vingroup’s employee on -the- job behavior - How are the impact of organizational commitment on Vingroup’s employee onthe -job behavior - How are the. .. between these two variables On the other hand, Wright (1997) found a negative correlation between measures of organizational commitment and job performance Page 23 of 66   2.9 The relationship between Overall Job satisfaction and On -the- job behavior The relationship between job satisfaction and on -the- job behavior has been critically assessed in a variety of organizational settings Results of these... organizational commitment and overall job satisfaction on Vingroup Corporation’s employee job satisfaction will be collected to see what the being implemented side evaluates the company HRM policies Page 15 of 66   1.1.3 Purpose of the study The purpose of the current study is to investigate the impact of performance appraisal system knowledge, job overload, organizational commitment and overall job satisfaction. .. points of view concerning this relationship Satisfaction causes performance, performance causes satisfaction and rewards cause both performance and satisfaction All of these The Impact of Job Satisfaction on Job Performance PUSHPAKUMARI） 91 three views are supported by various researches Mirvis and Lawer (1977) produced conclusive findings about the relationship between job satisfaction and performance. .. performance appraisal system knowledge, job overload, organizational commitment and overall job satisfaction of Vingroup’s employees * Performance appraisal system knowledge This measure, developed by Williams and Levy (1992), describes the extent to which employees perceive they understand important aspects of the performance appraisal system related to their job Performance appraisal system knowledge... point that change in behavior is a result of difference in level of expectations Therefore, excess of workload and too many demands will lead to fatigue, exhaustion and finally to change in on -the- job behavior One study found a negative relationship between job overload and on -the- job- behavior (Lee & Ashforth, 1996) 2.8 The relationship between Organizational commitment and On -the- job behavior Brett et... are the impact of related overall job satisfaction on Vingroup’s employee onthe -job behavior Page 16 of 66   CHAPTER 2: LITTERATURE REVIEW This chapter presents the body of organizational literature containing the base theory and relevant other theories used in this study This chapter includes the following: - (1) Performance Appraisal System Knowledge - (2) Job overload - (3) Organizational commitment. .. reason, investigating in studying factors affecting to employee s behavior is always the priority of the corporation 1.1.2 Significance of the study This study will be conducted from either managerial employees or non-managerial employees to exclude the bias of self-report The opinion of employees in Vingroup Corporation about the impact of performance appraisal system knowledge, job overload, organizational. .. Number of items Figure 5: Independent Variables 3.1.3 Constructs - Key construct: On -the- job behavior (OTJB) - Other constructs: § Performance appraisal system knowledge (PASK) § Job Overload (JO) § Organizational commitment (OC)) § Overall Job satisfaction (OJS) Page 26 of 66   3.2 Instruments The questionnaire total consists of 40 questions Sections will be designed to collect information about performance ... system knowledge on Vingroup’s employee on -the- job behavior - How are the impact of job overload on Vingroup’s employee on -the- job behavior - How are the impact of organizational commitment on. .. commitment and overall job satisfaction on the motivation on their employees’ behavior Keywords: performance appraisal system knowledge, job overload, organizational commitment, overall job satisfaction. .. This study examined the impact of performance appraisal system knowledge, job overload, organizational commitment and overall job satisfaction on Vingroup’s employee on -the- job behavior Data was