Evaluating job satisfaction of employees at Minh An Hue Wood Processing Limited Company

PART 1: PROBLEM STATEMENT

1. Reason for choosing the topic:

Human resources play an important role in all activities, and are the key factor determining the success or failure of a business. Because any business with modern production technology, good service quality, and developed infrastructure, but without an effective workforce, it is difficult for that business to survive in the long term and create a competitive advantage. In order for each business to survive and develop in today's fiercely competitive environment, in addition to satisfying external customers, who buy their products on the market, it must also pay close attention to the satisfaction of its staff, its internal customers. However, most businesses only focus on customer satisfaction with products and services, and pay little attention to whether employees are satisfied with their jobs or not.

Human resources are an important factor for the success of a business, because according to experts, competitors can "copy" strategies, business methods, products and services, but talent cannot be "copied". However, the current economic recession has led to a decline in revenue, a narrowing market, and many problems with human resources:

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Brain drain and job-hopping rates are high: According to Anphabe's labor market research, the rate of employee resignation in 2018 reached its highest level in the past 3 years. According to this assessment, on average, a company loses up to 95% of its potential talent; 51% of employees tend to "job-hopping" and the remaining 31% are not really committed to the organization.

Labor strikes continue to occur: according to a quick report from trade unions at all levels of the People's Newspaper, as of February 7, 2021, there were 33 collective work stoppages and strikes nationwide, a decrease of 10 compared to the period before Tet 2020. The nature and scale of collective work stoppages and strikes are not as complicated as in previous years.

The main reasons are: Late salary payment, salary arrears, failure to pay social insurance, health insurance, social insurance arrears, failure to adjust regional minimum wage, failure to implement Tet bonus...

In today's period of international economic integration, competition for human resources is always an important issue for each company. When many companies offer good policies on work, salary, benefits, ... to attract capable and highly qualified workers for the organization. Therefore, in order to compete with competitors in the market, Minh An Hue Wood Processing Company Limited needs to offer better policies to make workers satisfied and can make them loyal to the Company for a long time. From there, the Company can optimally exploit the ability of workers, improve production and business efficiency. There are many reasons leading to employee dissatisfaction that can stem from dissatisfaction with the company's policies, changes in working conditions, workers feel insecure about their future, etc.

Based on the above reasons, I chose the topic: " Assessing the job satisfaction of employees at Minh An Hue Wood Processing Company Limited " hoping to contribute a small part to improving and perfecting policies to increase the company's production efficiency and be a reference source for those who are interested in this issue and want to learn about Minh An Wood Processing Company Limited. The results will help the company adjust inappropriate policies to ensure both employee satisfaction and the company's interests.

2. Research objectives:

2.1. General objectives:

Based on research and analysis of factors affecting employee job satisfaction, solutions are proposed to improve employee satisfaction at Minh An Wood Processing Company Limited.

2.2 Specific objectives:

+ Systematize the theory of job satisfaction of employees.

+ Identify factors and evaluate their impact on customer satisfaction.

Workers at Minh An Wood Processing Company Limited.

+ Propose solutions to improve job satisfaction of employees.

Workers at Minh An Wood Processing Company Limited.

2.3 Research questions:

- Employee satisfaction level at Minh An Wood Processing Company Ltd.

how?

- What factors affect employee satisfaction at Minh An Wood Processing Company Limited?

- What measures does Minh An Wood Processing Company need to take to improve employee satisfaction with the company?

3. Research objects and scope:

3.1 Research subjects:

The topic focuses on studying factors affecting employee satisfaction at Minh An Wood Processing Company Limited.

Survey subjects: workers at Minh An Wood Processing Company Limited.

3.2 Scope of research:

Research space: At Minh An Wood Processing Company Limited Branch. Address: 37 Thuan Hoa Street, Phu Bai Ward, Huong Thuy Town, Thua Thien Hue Province.

Research period: Secondary data used in the article was collected during the period from 2018-2020. Primary data was collected during the period from January 2021 to March 2021.

4. Data collection method:

4.1 Secondary data:

Secondary data sources for the research process are theoretical bases and selected documents. Sources for collecting theories and information for secondary data are taken from:

Relevant textbooks and university theses are available at the University library.

Hue University of Economics. Articles, e-magazines, websites, ... about satisfaction on specialized websites.

Collect information and data related to Minh An Wood Processing Company Limited in the period of 2018 - 2020 from the company's departments (Administrative - Human Resources Department, Accounting Department)

+ Company organizational structure

+ The company's production and business performance during the year

2018 – 2020

+ Labor situation, labor structure by gender, job position, qualifications

education period 2018 - 2020.

+ Company's salary and benefits

4.2 Primary data

Survey method : Data was collected by directly surveying employees at the Company through a designed survey form. The questionnaire was designed based on a 5-level Likert scale with each level as follows: 1 - Completely disagree, 2 - Disagree, 3 - Neutral, 4 - Agree, 5 - Completely agree. The survey form includes main questions and a section asking for additional personal information of employees.

The design questionnaire includes 3 parts:

Part I: Introduction to research objectives.

Part II: Includes questions and criteria on factors affecting employee satisfaction. The main question includes questions for employees to evaluate their level of satisfaction with the nature of the job, working conditions, training and promotion opportunities, salary and benefits, and relationships with colleagues on a scale of 1 - Completely disagree, 2 - Disagree, 3 - Neutral, 4 - Agree, 5 - Completely agree.

Part III: Employees will be asked to answer information related to their personal characteristics (gender, age, occupation, etc.).

Selection method : According to Hoang Trong and Chu Nguyen Mong Ngoc (2008), the sample size must be at least 4 or 5 times the number of observed variables. Thus, in this study, the author uses the number of research questionnaires corresponding to 25 observed variables and 5 components: 5*25=125 observations. However, with the current number of employees of the Company being 125 people, a full survey will be conducted.

Survey method: Directly distribute survey forms during workers' lunch break from 11:30 to 12:30 in each workshop and start from February 25, 2021 to February 27, 2021. In case workers do not take a lunch break at the workshop, the forms will be reissued 15 minutes before the end of shift. Directly guide and support workers in filling out the survey forms. Collect survey forms as soon as workers fill in all the information in the form. Summarize information and save results after each time the form is distributed.

4. Data analysis and processing methods:

After collecting enough employee survey forms, the collected data is compiled and pre-processed on Excel software and analyzed using SPSS 20 software to analyze and compile primary data. The data analysis and processing method is as follows:

Descriptive statistics : Descriptive statistics is a method that uses a combination of measurement, description, and data presentation methods applied in the economic field to show the characteristics of the survey sample structure. In this study, descriptive statistics are used to describe the characteristics of the survey sample in terms of demographics: Income, years of work, age, etc. Statistics are taken and only the values of Frequency (frequency), valid percent (%) and mean (average value) are taken in the statistical table.

Exploratory factor analysis EFA : Used to reduce a set of multiple interdependent observed variables into a smaller set of variables so that they are more meaningful but still contain most of the information of the original set of variables (Hair et al., 1998). Number of factors: Determined based on the Eigenvalue index representing the portion of variation explained by each factor.

Kaiser Criterion: This criterion is used to determine the number of factors extracted from the scale. Less important variables or factors are eliminated, only important factors are retained by considering the value: Eigenvalue. Eigenvalue represents the part of the variation explained by each factor. Only factors with Eigenvalue greater than 1 are retained in the analysis model.

Variance extraction criterion: Factor analysis is appropriate if the total variance extracted is not less than 50%

KMO coefficient (Kaiser-Meyer-Olkin) ≥ 0.5 with Bartlett test significance level ≤ 0.05. Factor loading ≥ 0.5

The scale is accepted when the total variance extracted is ≥ 50% and the Eigenvalue coefficient is >1. The difference in factor loading coefficients of an observed variable between factors must be large.

than 0.3 to ensure discriminant validity between factors.

Regression analysis

Regression analysis aims to determine the impact level of factors on the objective function.

We have the following linear regression equation:

Yi = β0 + β1iX1i + β2iX2i +... + βkXki+ ei

In which: Yi: Value of dependent variable; Xi: Value of independent variable; β0: Intercept coefficient (constant); βi: Partial regression coefficients corresponding to independent variables; ei: Error of regression equation.

Regression analysis needs to satisfy the following conditions:

- Check the correlation between independent variables and dependent variables based on the correlation value r and significance level sig.

- Adjusted R2 is used to determine the model's suitability. The closer the adjusted R2 is to 1, the more suitable the model is; the closer it is to 0, the less suitable the model is.

- The Durbin - Watson coefficient (d) is used to test the most significant correlation of the model with a value varying between 0 - 4. If the quantity d varies between (dU; 4-dU), the model has no correlation.

- Variance Inflation Factor (VIF) < 10 means the model has no multicollinearity. (According to Hoang Trong and Chu Nguyen Mong Ngoc (2005))

5. Outline of the topic

In addition to the introduction, conclusion, references and appendix, the main content of the thesis includes 3 chapters:

Chapter 1: Scientific basis of employee satisfaction assessment.

Chapter 2: Analysis of factors affecting employee satisfaction

working at Minh An Wood Processing Company Limited.

Chapter 3: Orientation and solutions to improve customer satisfaction

Workers at Minh An Wood Processing Company Limited.

PART II: RESEARCH CONTENT AND RESULTS CHAPTER 1: SCIENTIFIC BASIS OF THE ISSUE OF ASSESSMENT

EMPLOYEE JOB SATISFACTION

1.1 Concept of job satisfaction:

Job satisfaction is an inconsistent concept among researchers from different perspectives and different research fields:

Some other researchers believe that job satisfaction is a positive emotional state of employees with their work that reflects their behavior and beliefs (Vroom, 1964; Locke, 1976; Quinn and Staines, 1979; Weiss et al, 1967).

Kotler (2001) believes that job satisfaction is a person's emotional state that results from comparing the results obtained from the person's expected product.

Kusku (2003) argues that job satisfaction reflects the extent to which individual needs and desires are met and the extent to which employees feel about their jobs. This definition is derived from Maslow's (1943) hierarchy of needs theory, which states that employees are satisfied when their needs are met from low to high.

Wright and Kim (2004) also argued that job satisfaction is the match between what employees want from their jobs and what they perceive they get from their jobs.

Some other researchers believe that job satisfaction is satisfaction with different aspects of work. The level of satisfaction with job aspects affects employees' attitudes and perceptions, typically the study of the job description index (JDI) by Smith et al (1969 cited in Luddy, 2005).

In the study of Smith et al., job satisfaction is expressed through five main groups of factors: (1) work, (2) promotion opportunities, (3) leadership, (4) colleagues and (5) salary/income. Smith's consideration of satisfaction under many aspects of work is also acknowledged by many other researchers in different studies (Spector, 1997; Tran Kim Dung, 2005; Luddy, 2005).

According to Kreitner and Kinicki (2007), job satisfaction primarily reflects the extent to which an individual enjoys his or her job. It is the employee's feelings or emotions toward his or her job.

In general, there are two trends in defining job satisfaction: (1) considering job satisfaction as a general variable of employees' emotional (positive and negative) feelings towards their jobs that can affect their beliefs and behaviors; (2) considering job satisfaction under various aspects of work. In this study, job satisfaction is considered under both aspects of work and employees' overall satisfaction with their jobs in general.

1.2 Importance of employee satisfaction:

Human resources are the decisive factor in the development of organizations (Wheeland, 2002). To create loyalty and commitment to the organization, it is necessary to create employee satisfaction with the work they are doing.

Satisfying and creating loyalty will help the organization reduce recruitment and training costs and reduce errors in the work process from new employees. Highly skilled and experienced staff often

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