RESEARCH PROJECT (BMBR5103) RESEARCH ABOUT JOB SATISFACTION AT PETRO VIETNAM DRILLING COMPANY STUDENT’S FULL NAME : HUYNH TRAN ANH THU STUDENT ID : CGS00019905 INTAKE : SEPTEMBER 2015 ADVISOR’S NAME & TITLE : DBA NGUYEN THE KHAI HCMC, March 2017 Advisor’s assessment Advisor’s signature Page ACKNOWLEDGEMENTS I would like to sincerely thank all HUTECH and OUM lecturers for their imparted basic knowledge throughout MBA program Especially, I would like to express my gratitude to Dr Nguyen The Khai for his patience and encouragement during my research Without his conscientious instruction, I am unable to complete this research I would like to express my thanks to employees of Petro Vietnam Drilling Company for their valuable time to answer my questionnaire I would like to thank my entire classmate each of whom has a unique contribution that cannot be expressed in words I would like to thank my wife for her continuous patience and support throughout the research Without her nothing would be as good as it is Finally, I would like to express my special thanks to my family for their endless encouragement throughout my education life and endless love throughout my life Huynh Tran Anh Thu Page TABLE OF CONTENTS FIGURE AND TABLE .6 ABBREVIATION .6 ABSTRACT CHAPTER INTRODUCTION 1.1 Company in brief 1.1.1 History 1.1.2 Vision and mission 1.1.3 Organization structure 1.1.4 Contact information 10 1.2 Research problem statement 11 1.3 Purpose of the research 11 1.4 Scope of the research 12 CHAPTER LITERATURE REVIEW 13 2.1 Construct definition .13 2.1.1 Job Satisfaction .13 2.1.2 Organization Commitment 17 2.1.3 Work-Control 20 2.1.4 Job Stress 21 2.1.5 Person-Organization Fit 22 Page 2.2 Relationship between constructs 24 2.2.1 Relationship between organization commitment and job satisfaction 24 2.2.2 Relationship between work-control and job satisfaction 24 2.2.3 Relationship between job stress and job satisfaction 25 2.2.4 Relationship between person-organization fit and job satisfaction 26 2.3 Summary of hypotheses .26 2.4 Conceptual research model 27 CHAPTER RESEARCH METHODOLOGY .28 3.1 Research procedure 28 3.2 Sampling method 28 3.3 Data collection .29 3.4 Data processing method and evaluation criteria 29 3.5 Questionnaire .32 3.5.1 Likert scale definition 32 3.5.2 Scale level 33 3.5.3 Questionnaire .33 3.6 Research participants 35 3.7 Working schedule 36 CHAPTER RESEARCH FINDING AND ANALYSIS 37 4.1 Reliability statistics 37 4.2 Descriptive statistics 37 4.3 Correlations 38 Page 4.4 Hypothesis testing results 39 CHAPTER CONCLUSION AND RECOMMENDATION 41 5.1 Main finding and managerial implication 41 5.2 Limitation and recommendation 42 REFERENCE 44 APPENDIX .46 Appendix 1: Survey questionnaire 46 Appendix 2: Presentation 52 Page FIGURE AND TABLE Figure 1: PVD Organization chart 10 Figure 2: PVD Drilling Rig .12 Figure 3: Maslow's hierarchy of needs .14 Figure 4: Job Characteristics Model 16 Figure 5: Herzberg’s motivator-hygiene theory 17 Figure 6: Conceptual research model 27 Table 1: Cronbach's Alpha Internal Consistency 29 Table 2: Correlation value and relationship 30 Table 3: Survey schedule 36 Table 4: Cronbach's Alpha results 37 Table 5: Descriptive Statistics 38 Table 6: Correlations statistics 38 Table 7: Model summary 39 Table 8: Coefficient 39 ABBREVIATION PVD: PetroVietnam Drilling JCM: Job Characteristic Model MPS: Motivation Potential Score WC: Work Control OC: Organization Commitment JS: Job Stress POF: Person-Organization Fit JSI: Job Satisfaction SPSS: Statistical Package for Social Science Page ABSTRACT This study aimed to examine the impact of organization commitment, work-control, job stress and person-organization fit on job satisfaction in Petro Vietnam Drilling Corporation (PVD) The sample consisted of 296 onshore employees as participants selected from head quarter in Ho Chi Minh City and subsidiaries in Vung Tau to analyze the reliability and validity of each hypothesis Collected data was used to determine significant relationship between variables The results indicated that organization commitment, work-control and person-organization fit were positively correlated with job satisfaction whereas job stress was not negatively correlated with job satisfaction The research findings will assist the organization to have strategy on improving of human resource management Key words: organization commitment, work-control, job stress and personorganization fit, job satisfaction Page CHAPTER INTRODUCTION 1.1 Company in brief 1.1.1 History Petro Vietnam Drilling Corporation (PVD), a member of Vietnam Oil and Gas Group (Petro Vietnam), was founded on 26 Nov 2011 The company is a professional provider of drilling rigs and related onshore and offshore services in Vietnam Over the last decade, PV Drilling has possessed a new modern generation rig fleet including four jack-up rigs (PVD I, II, III, VI), one Tender Assist Drilling Unit (PVD V) and one land rig (PVD XI) Owning six drilling rigs, PV Drilling has developed significantly and become one of the leading subsidiaries of Petro Vietnam and a prestigious contractor in the local and regional market for 15 years PV Drilling is rapidly expanding areas of business activities including drilling services, deep-water techniques, providing professional human resources, pipeline inspection and technical services related of oil and gas production for Vietnam and the world These key services have greatly contributed to the development of PVD Along with professional competence and experience in the field of drilling and wells services, PV Drilling is also one of the leading suppliers who can undertake oil spill treatment thus the company contributes to protection marine environment in Vietnam The primary ingredient that made up the success of PV Drilling is the dedicated and outstanding human resources who incessantly pursue knowledge and perfection in mastering the technology, developing the services and creating added values for clients Therefore, PV Drilling always concentrates on building and Page developing a human resource with great competence and consider it as top priority in the corporate strategy of development To serve such purpose, PV Drilling applies a suitable recruitment policy, a systematic career development plan as well as a competitive compensation and benefits scheme for attracting, developing and maintaining talents PVD always pursues business objectives as a provider of true customer service to obtain the long-term goal as a leading oil and gas drilling services company in Vietnam 1.1.2 Vision and mission Vision To be an internationally reputable and reliable drilling contractor and drilling related service provider in the oil and gas industry Mission Becoming a leading regional drilling service provider and drilling contractor, creating great value added for clients by delivering premium services at competitive prices 1.1.3 Organization structure By the end of 2015, PVD has totally 2147 employees This workforce comes from 12 divisions and 16 subsidiaries of corporation As per figure below, the organizational structure of PV Drilling includes functional divisions and its subsidiaries Page The third hypothesis is not supported meaning that job stress is less negatively correlated with job satisfaction PVD employees are willing to more jobs for company On the other hand, PVD labor union has many social activities such as annual sport tournament, vacation, technical competition for employees to relieve stress and improve their working life The fourth hypothesis is supported meaning that job person-organization fit is positively correlated with job satisfaction People in PVD generally have to work in groups to get their work done The company has paid salary to employee and made promotion based mostly on individual performance The annual salary increments are awarded to successful employees so that their values fit or match this organization When the company has a good year it pays bonuses to the employees 5.2 Limitation and recommendation This research was conducted only on PV Drilling employees who are working onshore at head quarter in Ho Chi Minh City and subsidiaries in Vung Tau There was no research on employees who are working at offshore drilling rigs, fixed platforms and floating production storage offloading units due to unpermitted condition thus this survey does not represent for all PVD workforces Therefore, the findings may not be applicable to other companies in the same business sector Moreover, this survey was conducted in a short time and number of respondents (296 questionnaires) is not significant large Survey content is not clearly translated from English to Vietnamese, it made confusion to answerers Page 42 Further research of job stress and another outcome will be examined to support job satisfaction thus Board of Director will have overview of this issue Based on evaluated results, there are some recommendations to PVD Board of Directors for consideration - First of all, PVD should organize more soft skills training courses for employees It will help them to improve on problem solving, motivating, teamwork, communication, leadership, working attitude and attribute in the organization These trainings will also let employees know and understands the importance of being on time, taking initiative, being friendly, and producing high quality work - In addition, PVD should pay more attention on motivation because highlymotivated individuals and staff have a willingness to get the job done efficiently and effectively, resulting in higher productivity, increased revenue, cost savings and satisfied employees as well - Finally, In order to retain employees, PVD should establish clear performance metrics for evaluating an employee’s contribution to achieving business goals and make employees accountable for delivering Performance reviews can be opportunities to discuss employees’ career goals, obtain input for creating stretch opportunities for them and gain insights into employee’ goals and aspirations Page 43 REFERENCE Guangping Wang Peggy D Lee (2009) Psychological Empowerment and Job Satisfaction An Analysis of Interactive Effects Volume 34 Number 3, June 2009 P.271-296 Group & Organization Management Penn State University.Dessler, G (2005) Human Resource Management Pearson Prentice Hall, or Pearson education Inc.; India, P 410 Dail L Fields (2002) Taking the measure of work: a guide to validated scales for organizational research and diagnosis Regent University Cianci R et al (2003) “Maslow's hierarchy of needs: Does it apply in a collectivist culture” Journal of Applied Management and Entrepreneurship (2): 143-161 C.A Arnolds and C.Boshoff (2002) “Compensation, esteem valence and job performance: an empirical assessment of Alderfer's ERG theory” The International Journal of Human Resource Management Robert J House and Lawrence A Wigdor (2006) “Herzberg's dual-factor theory of job satisfaction and motivation: A review of the evidence and a criticism” Personnel Psychology, Vol 20 (4), P 369-390 Kenrick D T, Griskevicius V, Neuberg S L, Schaller M (2010) “Renovating the pyramid of needs: Contemporary extensions built upon ancient foundations” Perspectives on Psychological Science (3) P.157-163 Kinzl J F (2004) Influence of working conditions on job satisfaction in anesthetists British Journal of Anesthesia, 94, P.211 –15 Page 44 Vancouver JB, Schmitt NW (1991) An exploratory examination of personorganization fit: Organizational goal congruence, personnel psychology, P.333-352 Piar Chand and Hemange Koul (2007) International Journal of Humanities and Applied Sciences (IJHAS) Vol No 2012 ISSN 2277-4386 Williams, L.J., & Anderson, S.E (1991) Job satisfaction and organizational commitment as predictors of organizational citizenship behavior and in-role behaviors Journal of Management, 17(3), 601-617 Kinzl J F (2004) Influence of working conditions on job satisfaction in anaesthetists British Journal of Anaesthesia, 94 (2), P.211 –15 Cawley B D, Keeping L M, Levy P E (1998) Participation in the Performance Appraisal Process and Employee Reactions: A Meta-Analytic Review of Field Investigations Journal of Applied Psychology, 83 (4), P.615-633 https://pvdrilling.com.vn https://pvn.vn Page 45 APPENDIX Appendix 1: Survey questionnaire JOB SATISFACTION SURVEY AT PVD COMPANY INTRODUCTION Dear Sir / Madam, I am a master student of Malaysia Open University in Ho Chi Minh City, Vietnam I am researching factors influencing on job satisfaction of employees in Petro Vietnam Drilling Company I look forward to your support for the problems in the following questionnaire Your contribution is very useful for my research All information gathered from this questionnaire is absolutely confidential and used only for research purposes Information is collected under anonymous basis which means that people will not use the information to identify who provided information I commit to not disclose the information for any purpose other than to use for research Please take a few minutes to circle the number in the box and feedback to me as soon possible My contact information is below: Researcher’ name: HUYNH TRAN ANH THU Mobile phone: 0909359992 Email: mastertiger74@gmail.com Page 46 SURVEY QUESTIONNAIRE How to circle the answer Choose: Cancel: Re-choose: A1 Organization commitment: This measure describes your overall commitment No Question I am quite proud to be able to tell people that I work for my company I sometimes feel like leaving this employment for good opportunity I am not willing to put myself out just to help the organization Moderately agree Strongly agree Strongly disagree Moderately disagree Neutral to your organization 5 5 5 5 Even if the firm were not doing too well financially, I would be reluctant to change to another employer I feel myself to be partofthe organization In my work I like to feel I am making some effort, not just for myself, but for the organization as well The offer of a bit more money with another employer would not seriously make me think of changing my job I would not recommend a close friend to join our staff Page 47 To know that my own work had made a contribution to the good of the organization would please me A2 Work-control: This measure describes the extent to which you have controlled variety of methods you use in completing Much How much control you have over the Fairly 10 Little Question Very little No Very much over numerous aspects of your work environment 5 5 5 5 your work? 11 How much can you choose among a variety of tasks or projects to do? 12 How much control you have personally over the quality of your work? 13 I low much can you generally predict the amount of work you will have to on any given day? 14 How much control you personally have over how much work you get done? 15 How much control you have over how quickly or slowly you have to work? 16 How much control you have over the scheduling and duration of your rest breaks? 17 How much control you have over when Page 48 you come to work and leave? 18 How much control you have over when you lake vacation or days off? 19 5 How much are you able to predict what the results of decisions you make on the job will be? A3 Job Stress: This measurement evaluates your job stress at your working Question 20 Working here makes it hard to spend enough time with my family 21 I spend so much time at work I can't see the forest for the trees 22 Working here leaves little time for other activities 23 I frequently get the feeling I am married to the company 24 I have too much work and too little time to 25 Moderately agree Strongly agree No Moderately disagree Neutral Strongly disagree environment 5 5 5 5 I sometimes dread the telephone ringing at home because the call might he jobrelated 26 I feel like I never have a day off 27 Too many people at my level in the company get burned out by job demands Page 49 28 I have felt fidgety or nervous as a result of my job 29 My job gets to me more than it should 5 A4 Person-Organization Fit: This measure directly assesses a perception of your “match” or fit this organization and the Much To what degree feel your values Fairly 30 Little Question Very little No Very much fit with an organization 5 current employees in this organization? 31 My values match those of the current employees in this organization 32 Do you think the values and “personality” of this organization reflect your own values and personality? A5 Job satisfaction: This measurement assesses your job satisfaction such as satisfaction with the work, co-workers, supervision, promotional opportunities, No Question 33 All in all, how satisfied are you with the persons in your work group? 34 All in all, how satisfied are you with your supervisor? 35 All in all, how satisfied are you with your Page 50 Moderately satisfied Strongly satisfied Strongly dissatisfied Moderately dissatisfied Neutral payment, etc 5 job? 36 All in all, how satisfied are you with this organization, compared to most? 37 5 5 Considering your skills and the effort you put into your work, how satisfied are you with your pay? 38 How satisfied you feel with the progress you have made in this organization up to now? 39 How satisfied you feel with your chance for getting ahead in this organization in the future? Please take a few movements to provide your information B General information of respondent: Gender Male Female Age 24-29 30-35 36-40 41-45 46-49 51-60 High school College University Master Ph.D Other Worker Staff Engineer Supervisor Manager Director Working < year 1-5 years 6-10 years experience 11-15 years 16-20 years > 20 years Education Position THANK YOU VERY MUCH FOR YOUR SUPPORT AND COOPERATION! Page 51 Appendix 2: Presentation Page 52 Page 53 Page 54 Page 55 Page 56 ... conclude that the results indicate that there is a positive correlation between work control and job satisfaction 2.2.3 Relationship between job stress and job satisfaction Job stress and job satisfaction. .. that cause job satisfaction, while a separate set of factors cause dissatisfaction It was developed Page 16 by psychologist Frederick Herzberg, who theorized that job satisfaction and job dissatisfaction... 2.2.2 Relationship between work-control and job satisfaction 24 2.2.3 Relationship between job stress and job satisfaction 25 2.2.4 Relationship between person-organization fit and job satisfaction