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Title Page
By
Florian Ferret
University of Surrey
School of Management
May 2009
This research has for objectives to investigate on the possible relationship of job
service quality. From the literature review a conceptual model was design and
validated instruments. The result obtained was statically significant and strongly
satisfaction and service quality was found. Further test were made to in order to
I
DECLARATION OF ORIGINALITY
I declare that my work entitled "Job Satisfaction and Product and Service
Quality: A study of the Mauritian textile industry” for the degree of Master of
programme.
own work which is not part of the submission for this degree.
II
LIST OF TABLES
III
Table 26: Multiple Regression Analysis between Extrinsic Satisfaction and
Attitudinal Commitment................................................................................65
Table 27: Multiple Regression Analysis between Extrinsic Satisfaction,
Behavioural Commitment and Service Quality.............................................66
Table 28: Multiple Regression Analysis between Extrinsic Satisfaction, Attitudinal
Commitment and Product Quality ................................................................67
IV
LIST OF FIGURES
V
TABLE OF CONTENTS
Title Page 1
ABSTRACT ...........................................................................................................I
DECLARATION OF ORIGINALITY......................................................................II
LIST OF TABLES................................................................................................III
LIST OF FIGURES .............................................................................................. V
TABLE OF CONTENTS ..................................................................................... VI
ACKNOWLEDGEMENTS .................................................................................. IX
LIST OF ABBREVIATIONS ................................................................................ X
VI
2.4.3 Product Quality...............................................................................28
2.4.4 Quality and value ...........................................................................30
2.4.5 Employee Commitment, Product Quality and Service Quality........32
2.5 Conclusion ........................................................................................35
VII
4.5 Correlation Tests between Main Constructs .....................................57
4.6 Bivariate Regression .........................................................................60
4.6.1 Hypothesis H1: Job Satisfaction and Organisational Commitment 60
4.6.2 Hypothesis H2: Organisational Commitment and Product Quality .62
4.6.3 Hypothesis H3: Organisational Commitment and Service Quality..63
4.6.4 Sub-Hypothesis H4: Relationship between Intrinsic Satisfaction and
Behavioural Commitment .........................................................................64
4.6.5 Sub-Hypothesis H5: Relationship between Extrinsic Satisfaction and
Attitudinal Commitment ............................................................................65
4.6.6 Sub-Hypothesis H6: The relationship between Extrinsic Satisfaction
and Service Quality is influenced by Behavioural Commitment ...............66
4.6.7 Sub-Hypothesis H7: The relationship between Extrinsic Satisfaction
and Product Quality is influenced by Attitudinal Commitment ..................67
4.7 Interpretation of Findings ..................................................................68
4.7.1 Job Satisfaction and Organisational Commitment..........................70
4.7.2 Organisational Commitment and Product Quality ..........................72
4.7.3 Organisational Commitment and Service Quality...........................73
4.7.4 Job Satisfaction and Product/Service Quality.................................74
VIII
ACKNOWLEDGEMENTS
This journey would not have been possible without the support of my parents and
Mrs Varina Koon.
IX
LIST OF ABBREVIATIONS
α Level of Significance
IM Internal Marketing
X
Chapter 1 : INTRODUCTION
In the 1970’s the Mauritian Export Processing Zone (EPZ) was formed in order to
help the diversification of the economy which was mainly based on sugar
industry (Joomun, 2006). The EPZ Act of 1970 gave opportunities to foreign
investors to beneficiate from incentives such as:
Three decades later, the Mauritian economy has evolved considerably and was
cited as a “success story” (M.C.C.I., 2003) and this success story was mainly due
1
to the preferential treatment offered by the European Union (Bhujun, 2006,
Hurreeram, 2007).
The industry was forced to react to these changes and therefore, much effort
were put to remain competitive in terms of reducing production cost, adopting a
quality culture, been flexible, deliver in promised time, been innovative
(Hurreeram, 2007). As these textile factories are more cost conscious, they are
doing their best to control wastage, exterior factors such as the constant increase
in crude oil forces the Mauritian organization, such as CIEL textile, Soniawear Ltd
to switch from mass market segment to intermediate and eventually high end
market and also most organizations are now shifting from a defensive strategy
(Rosunee 2005, UNCTAD/WTO, 2006) to an offensive strategy (UNCTAD/WTO,
2006).
2
Table 1: Quality Components of Textile Companies
Light Knits
Apparel Knitwear Bottoms Shirts
(T-shirts)
Employment 10000 20000 10000 10000
The Mauritian textile industry has to survive in this new business world, i.e.
organisations have to fight against global companies. Unfortunately all the raw
materials are imported, and then transformed into garments, thus, making it quite
impossible to compete with low cost countries in this new business era.
customers’ expectation, it is important to select and recruit employee who has in-
born characteristics and behaviour that would fit the organisation values (Broady-
3
Unfortunately, it is now that some of the textile factories in Mauritius are starting
CIEL textiles sent potential candidates to sit for an MBTI test and based on the
supervisors and operators are still been recruited after a simple interview with the
departmental manager and the human resource manager. The reason why MBTI
test is not done for all potential employees is the cost incurred in doing so.
Today, Mauritian textile factories have to bear with a workforce who has not
The Mauritian textile sector needs to deliver product and service of high quality,
pleasant environment would eventually adopt a quality culture and hence, deliver
high-perceived value. The main focus of this study is to see the employees’
perception of value when they are satisfied and committed to their job.
establish a relationship among them for the textile industry. Chapter 1 gives an
4
overview of the challenges the Mauritian textile industry has to face and the
variables and the possible relationship that exist between them. Chapter 3
research work.
5
Chapter 2 : LITERATURE REVIEW
2.1 Introduction
Product and service quality is vital for the Mauritian textile industry to stay afloat.
It is a fact that resources such as technology, finance, raw materials and labour
are easily accessible for emerging countries such as China, India and some
South American countries. Consequently, the Mauritian textile manufacturers
need to bank on their labour forces to do things right first time, implying that the
human assets intervention can be a competitive advantage as performance is not
only driven by machines. In that respect, it is important to have committed
employees who are satisfied of their jobs and who in turn would deliver quality,
however if those employees do not believe in their participation to quality, it
would be difficult to sustain value delivered to textile buyers.
Lee (1993) based on Edwards (1979, p17) said that in order to achieve such
behavior that an employee would deliver high-quality work and follows
instructions in order to contribute to an organization success, firms need to
employ mechanisms that would motivate people in doing so. In this research
work the author would investigate on the possible relationship of job satisfaction
6
and employee commitment to foster a quality culture that would impact on
perceived value.
According to (Herzberg, Mausner et al., 1967) cited in ( Long and Swortzel, 2007,
p42) the reasons to evaluate job satisfaction is to answer the question “What
odes the worker want from his/hers job?”. Such question is useful to managers
7
because bad attitudes and behaviours can be one factors reducing
organisational performance (McKenna, 2000). Management applying new
motivating methods in playing on a particular facet of job satisfaction valued by
the employee would influence employee’s feelings (Locke, 1976, Long and
Swortzel, 2007), creating a proper environment for the employee to be more
efficient (Scott, Swortzel et al., 2005, Long and Swortzel, 2007).
As mentioned above there are various factors that can influence a person's level
of job satisfaction (Mullins, 2005). Workers attitudes towards each of these
factors may differ(Behling, Labovitz et al., 1968) and job satisfaction can be seen
as the sum total of all the positive and negative attitudes an employee held
towards aspects of his/ her work (Torrington, Hall et al., 2005).
(Hodgetts, 1991) cited in (McKenna, 2000, p277) identified some factors one
could consider to be drivers of job satisfaction.
1 Pay and benefits - Fair promotion and pay policies are likely to encourage
employees to adopt a positive attitude.
3 Job - This covers the skills required and the challenging nature of the job.
Employees are more productive and satisfied in the job when their interests
match the job requirements.
8
4 Leadership - It is suggested that people centred or a leadership style is an
important factor.
5 Workgroup- Better personal and social relationships in the working group are
a contributing factor towards the maintenance of high morale and favourable
attitude. Good teamwork and supportive colleagues prevents job’s
dissatisfaction to emerge, as there is a sense of belonging and a better
feeling of job satisfaction.
Arvey et al. (1994) pointed out that people’s attitudes to their job are related to
genetic inheritance which could account up to 30% of job satisfaction incidents.
Other researchers have argued that this research has not taken into account all
the environmental factors, which can impinge significantly on it (Crossman and
Harris, 2006) and also individual characteristics would influence job satisfaction
(Judge, Locke et al., 1998).
Lefkowitz (1994) and Clarke (1996) have identified age, gender and education
factors to influence job satisfaction. According to (Briner, 1999), recognition and
praise are also important factors in improving job satisfaction. Feldman and
Arnold (1985) cited in (McKenna, 2000) added that the personality factor could
also influence job satisfaction. Judge et al. (1998) in his four Core Self-
evaluations Model argued that it is self-esteem, general self-efficacy, locus of
control, and neuroticism which determine one’s disposition towards job
satisfaction. A higher level of self-esteem, a general self-efficacy, an internal self-
efficacy and a low level of neuroticism lead to higher job satisfaction and
motivation.
9
Herzberg, Mausner et al. (1959) in their research work develop the dual factor
theory. This widely use well know theory was subject too some controversy as
the experimenter used a different approach in their survey compared to what was
conventionally expected to be used; that is to measure overall job satisfaction
on a scale afterward to relate these scores to factors creating job satisfaction
(Behling, Labovitz et al., 1968).
In his research work on motivation he found out that people could report about
what made them satisfied or dissatisfied with their job (Armstrong, 2001). He
continued on saying that job satisfiers were related to the job content and that
job dissatisfiers were related to the job context (Armstrong, 2001). Afterwards he
denoted that satisfiers are motivators and dissatisfiers are hygiene factors, now
well know as the two-factor theory (Hackman and Lawler, 1972, Steers and
Mowday, 1977, Luthans, 1995).
factors construct
According to Herzberg Motivator Factors are intrinsic to the job and Hygiene
factors are extrinsic factors to the job (Steers and Mowday, 1977). These
motivating factors such as pay, company policies, supervisory practices, and
other working conditions are considered to be intrinsic to the job (Lacy and
Sheehan, 1997).
The theory does not consider individual differences, conversely predicting that all
employees will react in an identical manner to changes in motivating/hygiene
factors is difficult (Hackman and Lawler, 1972). However this theory support the
idea what intrinsic factors leads to satisfaction and on the other hand what
extrinsic factors lead to dissatisfaction (Behling, Labovitz et al., 1968).
10
Figure 1: Herzberg’s Two-Factors Theory Models
In his research work (Lichtenstein, 1984) raised out that according to previous
studies physicians in Organized setting were often dissatisfied, consequently
there was a high turnover. Further more he said that for such professional
workers job satisfaction may perhaps positively correlated to performance hence
11
impact on quality of care. Therefore he wanted to demonstrate that by changing
identified job factors producing the greatest amount of dissatisfaction would
improve job satisfaction; hence one can deduce reducing turnover; improving
performance and quality of care.
Buitendach and White (2005) investigated the possible relationship between job
insecurity, job satisfaction and organisational commitment of maintenance
workers in a parastatal organisation. He used The Minnesota Satisfaction
Questionnaire’s (MSQ) of (Weiss et al, 1967) to demonstrate how employees
were satisfied or dissatisfied with their job. According to the result obtained; the
MSQ confirmed the two dimensions, that is intrinsic and extrinsic factors, and
were statistically and practically significantly correlated. The results also
suggested that “higher levels of job satisfaction will result in higher levels of
affective commitment to the organisation” (Buitendach and Witte, 2005, p31).
Among a series of hypothesis he formulated; two were dealing with the
differential impact of job insecurity on both components of job satisfaction. A
higher score for job insecurity is correlated to a lower score for extrinsic job
satisfaction and that job insecurity is not correlated to intrinsic job dissatisfaction.
However according to (Ostroff, 1992) cited in (McKenna, 2000, Hwang and Chi,
2005) organisation with more satisfied employees tend to have higher performer
than organisations with less satisfied employees. It was found out by Presley
(1999) that poor performance is significantly related to high turnover and higher
12
job satisfaction is associated to lower employee turnover (Lee and Mowday,
1987). Further more dissatisfied employees are likely to absent themselves for
unexplained reasons (Luthans, 1995).
Textile/Apparel Percentage
Supplier of Time Quality
Performance Shipment
Three related factors and when combined in a multiplicative manner they reflect
the employee’s desire or motivation to perform the task.
13
In their research work on hotel performance, Hwang and Chi (2005) established
a positive relationship between job satisfaction , performance and internal
marketing (IM). IM concept is to have employees been treated as customers
whose needs are to be satisfied. In doing so organizations are in a better
position to pass quality to customers (Ahmed and Rafiq, 2003).
2.3 Commitment
According to Kanter (1968) social systems are there to meet systematic “need”.
People who form part of it tend to react positively or negatively, emotionally and
intellectually to situations. Therefore according to him, employee working
positively in association and interact positively with the system tend to attached
to it. (Peters and Waterman, 1982, Meyer and Herscovitch, 2001) argued that
commitment is a multidimensional construct, which has various definitions and
can be measured in different ways.
14
Wechsler (1996) commitment is the degree to which an employee identifies
himself to the organisation goals, values and enclose loyalty, job involvement, job
attachment, job commitment and moral commitment.
Actually employees who are so strongly bond to organisation will feel pride to be
part of the organisation and obviously will defend the organisation’s interest
(Balfour and Wechsler, 1991).
15
AL-Hussami (2008), in his study on the relationship of nurses' job satisfaction to
organizational commitment, found out that there is a significant relationship
between those two variables. Also, commitment can impact positively on
employee relationship at work as organizations are made up of a number of
factions with different agendas and conflicting objectives (Reichers, 1985).
Mowday (1998) focused on what binds an employee to organisational goals.
O’Reilly and Chatman cited in (Garvin, 1986) focused mainly on attitudes and
behaviour of employees, binding them to organisation objectives. (Meyer and
Allen, 1991) based their research on three forms of organisational commitment,
affective, continuance and normative commitment. However, attitudes and
behaviours are closely related to emotion. Emotion can be valued by the
employee depending if his expectations are obtained from the organisation
(Farber and Hall, 2007).
According to (Mowday, Steers et al., 1979, Meyer and Allen, 1991) the nature of
commitment has two distinct perspective, attitudinal and behavioural and those
two parameters are well define in organisational commitment literature.
16
2.3.3 Attitudinal commitment
For Mowday et al., (1982, p.26) cited in (Meyer and Allen, 1991, p62) attitudinal
commitment, also known as affective commitment, relates to the degree an
employee identifies himself to an organisation (Porter, Steers et al., 1974).
Attitudinal commitment “focuses on the process by which people come to think
about their relationship with the organisation” Mowday et al., (1982, p.26) cited in
(Meyer and Allen, 1991, p62).
In many ways it can be thought as a mind set in which individuals consider the
extent to which their own values and goals are congruent with those of the
organisation. For Mottaz (1989, p144) “from this perspective, commitment refers
to an affective response (attitude or orientation) resulting from an evaluation of
the work situation which links or attaches the individual to the organisation.”
Commitment is an area which has received significant research attention (Jaussi,
2007); like Meyer and Herscovitch (2001) developed a three-component
conceptualisation model of organisational commitment which consists of three
different employees’ mindsets to characterize their commitment to their
organisation which include the affective, continuance and normative forms of
commitment. However according to (Jaussi, 2007) there are some
inconsistencies across some research work as “ operational and definitional
omissions increase the potential for omitted variable biases in study results.” For
Jaussi (2007) attitudinal commitment is a three dimensional concepts which are:
17
models. However data were collected within a single corporation in the petroleum
industry.
Powell and Meyer (2003) expected that affective commitment should have the
strongest positive impact on behaviours that is performance and organizational
citizenship behaviour.
Performance
Personal Affective
Characteristics Commitment
Turnover
In their research Powell and Meyer (2003) found out that there is a strong
correlation between satisfying conditions and commitment, hence, on
performance and quality (Meyer and Allen, 1991). A loving organisation will foster
a positive commitment hence would surely be in position to develop a quality
18
culture. Those individual employees would take ownership over the quality of
their work (Bowen, 1996).
Performance
Satisfying Condition Affective Commitment
19
However Pate, Martin et al., (2003) made a study on the possible impact of
psychological contract on employee attitudes and behaviours in a medium-sized
textile company in a small town of Britain. They found out according to
quantitative data that employee did adjusted their attitudes towards the
organisation but they could not find significant changes in behaviours though the
hard contextual factors prevailing at the time of their research work. According to
them possible reasons is the power difference between the employer and
employee would influence the employee not to display negative behavioural
attitudes due to fear redundancy and possibly the relationship between attitudes
and behaviours is more complex than most common literatures would suggest.
It is interesting to note in their findings that employees made a clear difference
between the job itself and their negative feelings towards the employer.
20
2.3.6 Employee Commitment
People, who are self-discipline, who can manage their own performance and
make the organization’s objectives a priority, are crucial for an organisation
(Balfour and Wechsler, 1991, Dessler, 1993) and moreover, Mayer and
Herscovitch (2001) argued that no organization can survive this competitive
world unless employees are committed to the organizations objectives and works
in effective team spirit. Bergmann, Lester et al. (2000) argued that committed
employee contributes to a great extent to organizational performance and
creates wealth for shareholders and stakeholders.
Beardwell and Holden (1994) states that high commitment derived from
behavioural commitment and high-quality employees impact directly on the
quality of the goods and services provided. Retaining such individuals and
attracting developing others like them is crucial (Bearwell and Holden, 1994). It is
therefore important to secure the commitment of employees to organisation’s
goals and purposes (Peters and Waterman, 1982). For such organisation,
potential are enormous and any threats would be viewed as a challenge where
each member of the organisation would perform beyond expectation to overcome
those challenges (Balfour and Wechsler, 1991).
21
Jackson (Ancharaz, January 2004) argued that the commitment of employee to
quality is fundamentally important in manufacturing and service sector.
Omachonu and Ross (1995) argued that interaction between employees and
buyers in the service sector would impact on buyers satisfaction and such
interaction is usually found between merchandisers and buyers in the textile
sector. He also argued that in manufacturing sector, controlling quality in terms of
waste, rework and returns would ensure a good product value.
Vilares and Coelho (2003) in their research work found that there is a correlation
between employee commitment and product/service quality. However according
to Balfour and Wechsler (1991) and Mowday (1998), committed employees do
not necessarily mean they would make that extra effort for the benefit of the
company.
.
2.4 Quality
22
Rice (1990) argued that this useful concept can be used to gain competitive
advantage which allows the firm to remain in the market place. Actually when an
organisation has compromised on quality and allowed its constant degradation ,
buyers have switched to other alternatives (Zeithaml, 1988). Therefore, it is
crucial for organisations to consider the dynamic needs of their buyers in order to
compete effectively (Shepetuk, 1991). According to Kotler (2001) the issue is to
design a product with a performance and conformance fitting the buyer’s need
and to exceed the competitors’ performance level at the same time.
Product and service quality are two distinct aspect but essential to combine them
together in order to create product differentiation (Kotler, 2001). Those two
aspects of quality have characteristics which are important in order to satisfy
buyers’ expectations (Kotler, Keller et al., 2006) and for them if their expectations
are close to their perceptions, buyers would be delighted(Jones and Kutsch,
2006).
Actually Feigenbaum (1991, p7) defined quality as “the total composite product
and services characteristics of marketing, engineering, manufacturing, and
maintenance through which the product and service in use will meet the
expectations of the customer.” It is an issue to meet customers, expectation and
to continually satisfy it is another one. The strategic concern of this is branding as
in the end premium price can be charge (Huber, Holbrook et al.). Therefore, it is
important to develop and sustain quality oriented culture in an organization and
this would only be possible through managers who adhere to quality culture and
23
who do not feel threatened by changes (Waller and Ashire, 1996). Hence, quality
can be measured through internal customers’ satisfaction where superior quality
is the product of the wealth and happiness of all employee involved in the
process of delivering satisfaction to buyers hence value (Setijono and Dahlgaard,
2007).
Quality culture was developed due to the rapid changes in buyers needs,
numbers and behaviours (Draaijer, 1992). Hence, managers need to view
product and service quality as one of the major issues in an organisation where
effort should be made to promote such a culture that would enhance quality
resulting in an alignment between customers’ and managers’ view of the firm’s
product/service quality (Rust, Zahorik et al., 1995; Waller and Ashire, 1996).
Such culture that should fit the organisation’s purpose (Rust, Zahorik et al., 1995)
and failures can occur for organisations which made only cosmetic changes
without grasping the need to change the fundamental cultural mentality (Grant,
Shani et al., 1994).
24
Managers have therefore a key role in creating a quality culture which will bring
along higher productivity, improved customer satisfaction and employee co-
operation resulting in achieving company’s goals (Larson and Sinha, 1995) thus
creating employee commitment which will favour communications between
buyers and employees in order to adjust strategic goals and continuous
improvement (Waller and Ashire, 1996).
Guest (1989) cited in (Torrington, Hall et al., 2005, p33) developed the
Universalist Approach where four HR policy goals are expected to produce
desirable organisational outcomes and they are:
25
Crosby, Grisaffe et al. (1994) argued that it is important to have truly motivated
employees with the desire to deliver work of quality. Meaning internal service
quality will impact on the desired value delivered to buyers as it is expected that
internal service quality will improve external service quality (George, 1990).
However, according to (Rust, Zahorik et al., 1995) some organisations did run
out of financial difficulties since they were overspending on customers service,
consequently, it is important to have a good balance between those two. Internal
marketing is an important approach for fostering a service- and customer-
oriented culture in an organization. Having customer-conscious employees is a
necessary but not sufficient condition of effective service delivery.
Organisations are driven by the need to survive (Zeithaml, Berry et al., 1996) and
therefore, to remain competitive, service provider should constantly look for
potential gaps in the market in order to improve service delivery in order to retain
26
customers (Coulthard, 2004; Agus, Barker et al., 2007). However, service quality
has unique features, such as being intangible, inseparable, perishable, can not
be stored and heterogeneous making it complex (Quester, 1997).
Edvardsson (1998, p144) states “ service quality is that the service should
correspond to the customers’ expectations and satisfy their needs and
requirements”. However, to achieve such level, human error should be kept as
low as possible and many organisations fails to consider that in fact the human
element is part of any service transaction; therefore managing the internal
actions would facilitate the consistency in delivering such high service quality
(King and Grace, 2005).
According to (Ballantyne, 2000, p3) any functional organisation will tend to result
in a “silos effects” in turn would impact on the internal actions within the
organisation. This situation is very common in the textile factory in Mauritius
where each functional group preserves its own hegemony (Ballantyne, 2000)
meaning impeding on the service delivered and for him, to avoid this cross-
functional constraint each employee should treat each other as internal
customers.
27
2.4.3 Product Quality
The empirical study conducted by Jacobson and Aaker (1987) found that product
quality has a positive influence on ROI, market share, and price. In addition, the
empirical study conducted by Phillips et al. (1983) rejected the hypothesis that
higher quality comes only at a cost premium. These studies indicate that there
are positive effects associated with better quality; therefore, they show an indirect
relationship between actual quality and customer-perceived quality. The thinking
is that if customers did not see the relationship, the above results would not be
observed.
Although there is indirect empirical evidence that higher quality products are
perceived to be of higher quality by customers, it does not mean that managers
believe that the link is valid. If they do not think the link is valid, they will have
less motivation to improve quality. It has been found that product quality has a
positive influence on ROI (Waller and Ashire 1996), market share, and price
(Jacobson and Aaker, 1987).
Organisations which have been able to implement and sustain a quality culture
would surely not loose track in achieving product characteristics. Actually with
new and ever changing product specification employees need to adapt to
situations where small batches of customized orders should be produced in a
very short delay (Baffour, 1999).
28
According to Garvin (1988) cited in (Wang, Lo et al., 2003) there are eight
characteristics to product quality which should be correctly balanced in order to
make that composite “which provides the intended functions with the greatest
overall economy” (Feigenbaum, 1991, p7) and they are;
2) features: the additional features or the “bells and whistles” of the product
5) durability: the amount of use the customer gets from a product before it
physically deteriorates or until replacement is preferable
29
”It would seem plausible for managers to think that: product quality should be a
major focus of quality efforts; and customers view of the firm’s product quality will
be commensurate with the managers’ perception of their firm’s product quality”
(Waller and Ashire, 1996).
Value is mostly defined by the customer’s point of view where the provider
should identify the set of actions which creates value, that is beginning with the
appropriate selection of raw materials to the different manufacturing process and
finally to the delivery of the products to the buyers (Jones and Kutsch, 2006).
Wang and Lo (2002, p53) defined it as” the emotional bond established between
a customer and a producer after the customer has used a salient product or
service produced by that supplier”. In the textile industry, value cannot be
perceived only in terms of fitness for use anymore, but it is the perception of the
superior quality of the products and services offered to meet customers’
satisfaction (Setijono and Dahlgaard, 2007).
30
Setijono and Dahlgaard (2007) argued that value is inherent in the design and
inherent in the conformance to that design meaning improving design quality
and conformance quality will likely increase value. Consequently, (Setijono and
Dahlgaard, 2007) in their research work wanted to identify the best pathway to
deliver value to customer, hence try to identify simultaneously how to improve
product quality.
Jones and Kutsch (2006) stated that even if manufacturers believe they are
delivering quality does not mean they are meeting buyers’ requirements, hence
expected value. However, Vilares and Coelho (2003) based on their Employee-
customer links in the ECSI model argued that employees’ commitment,
satisfaction and hence participation, are directly related to quality. Therefore,
value depends on employees’ willingness to produce added value product and
services (Waller and Ashire, 1996). In fact, the degree of employees’ involvement
in quality efforts depend significantly on rewards (Bowen, 1996). Kotler (1997)
cited in (Wang, Lo et al., 2004) pointed out that customer value has more to do
with product, service , employee and image value which is more from the
organization point of view not the customers’.
31
Actually most research work studied value through the customers’ point of view
which would be the normal approach (Vilares and Coelho, 2003) (Rust, Zahorik
et al., 1995) rather from the employees’ perception. Referring to (Kotler, 1997)
value is related to employee value also ,therefore, for this research value would
be assessed through the point of view of the employee. Value creating system
depends greatly on each members who work together in order to create and
deliver value which is a strategy in order to be a key player in the market place
(Walters and Lancaster, 2000).
Quality
Successful organisations need to keep pace with dramatic changes which are
driven by the growing rate of change itself, technological advances and changes
in buyers demand (Howard, 1995) cited in Jackson, 2004) implied that committed
employee is fundamental for organisations where those kind of dedicated
employees are willing to deliver high quality of work, resolves customers’
problems and highly recommend company’s products (Crosby, Grisaffe et al.,
1994).
32
Furthermore, (Teng and Jaramillo, 2005) argued that to enhance product and
service value, textile manufacturers need to continually improve their operations
supply chain process, thus, retaining actual textile buyers or even bringing
additional buyers. He added that in this competitive world, textile buyers are
constantly relentlessly seeking for new suppliers with better service and product
at a competitive cost. In the same view, relating to their supplier performance
evaluation matrix one can deduce that delivery speed, flexibility, cost, quality and
reliability would impact on buyers’ retention.
Cost
Speed
Textile/apparel
supplier Quality Buyers Retention
performance
Delivery
Flexibility
Reliability
33
Omachonu and Ross (1995, p130) argued, according to their profitability and
customer retention model, that there is a relationship between internal service
quality, employee retention external service quality and customer satisfaction and
those variables would impact on customer retention. Hence, as committed
employee would tend to remain with the organization and that employee
retention would impact on customer satisfaction, there should be a relationship
between employee commitment and buyers’ satisfaction.
Internal Service
Quality
Customer
Satisfaction
34
2.5 Conclusion
35
Chapter 3 : METHODOLOGY
3.1 Introduction
The literature in the previous chapter has enabled the definition of the research
questions, the statement of variables and their conceptual interaction in a
conceptual framework. This framework has been further refined into a number of
hypotheses stated in operational terms that need to be tested through an
appropriate research approach. This chapter discusses the proposed conceptual
model, the hypothesis statement, the study design, the population of
respondents, sample design, measurement and scaling, the data collection
method, the statistical analysis used, test performed on the collected data as well
as problems encountered during the survey and their solutions.
The proposed conceptual model (Figur 9) has been derived from a combination
of Herzberg’s Two-Factors Theory Models; Barry M. Staw Intrinsic
Motivation/performance Model cited (Steers and Mowday, 1977) p654; Meyer
and Allen (1991) three conceptual model; Powell and Meyer (2003) evaluation
performance model; Omachonu and Ross (1995) Profitability and customer
Retention model; Teng and Jaramillo (2005, p509) evaluation and selection of
suppliers model, in view to study the relationship between Job Satisfaction,
Employee Commitment, Product Quality and Service Quality. Hence to evaluate
which aspect of job satisfaction and organizational commitment relationship in an
organisational set up that would channel employee effort towards the creation of
desired value expected by buyers?
36
Figure 9: Conceptual Model of the Study
Herzberg’s Two-Factors Theory Models and Barry M. Staw Intrinsic and Extrinsic
Motivation cited in (Steers and Mowday, 1977) debates on the relationship of job
satisfaction, motivation at work and performance. Meyer and Allen (1991), Powell
and Meyer (2003) studied the nature of commitment and its relationship with
employee retention and performance. Omachonu and Ross (1995) argued on the
relationship between internal service quality, employee retention and external
service quality. Teng and Jaramillo (2005) showed the importance of supplier
performance on buyers retention.
37
3.3 The Independent variable
38
the determinant (Teng and Jaramillo, 2005). Based on the literature review
service quality can be unique as it is delivered by employees. Therefore both
dependant variables combined together would tend to retain buyers. However it
is the client who would judge the product and service quality and according to
Schneider and Bowen (1985) cited in (Harber, Ashkanasy et al., 1997) there is a
correlation between employees’ perception and customers’ perception on the
service quality delivered hence value meaning a good employee perception on
quality would lead to a good customers perception on quality delivered (Vilares
and Coelho, 2003). Therefore, it would be interesting to investigate on
employees’ perceptions of product and service quality.
3.4.1 Hypotheses
39
al., 1998). In addition there is no clear view on which comes first. In the present
environmental context of the Mauritian textile industry it is possible to have a
different result compared to past research as the variables would differ. Hence
the hypothesis is formulated as follows:
Mowday, Steers et al., (1979) and Mottaz, (1989) argued that high levels of
employee commitment are likely to spend extra effort for organizational values
and performance and eventually, based on Mowday et al. (1962) work, may
maintain and attract good employees. Good employees are assets that would
drive performance which in turn will drive quality culture as according to
(Buchanan, 1974) commitment is assumed to lead to particular work-related
behaviour. Those employees will deliver expected quality as they are willing to
do that extra effort (Crosby, Grisaffe et al., 1994). Hence the hypothesis is
formulated as follows:
40
3.4.4 Organisational Commitment and service quality
41
Hence the following hypothesis is formulated:
In the literature review extrinsic job satisfaction if not met would lead to
dissatisfaction and attitudinal commitment to the employee.
In the literature review it is clearly set out that job satisfaction and performance is
closely linked. However there is no clear evidence that there is a direct
relationship between job satisfaction and service quality. As example Hwang and
Chi (2005) demonstrated that job satisfaction and internal marketing has a
positive impact on performance. Consequently service quality is measured by
performance (Zeithaml, Berry et al., 1988).
42
Therefore the hypothesis is set out as follows:
H60: The relationship between Extrinsic Job Satisfaction and Service Quality is
not influenced by Behavioural Commitment
H61: The relationship between Extrinsic Job Satisfaction and Service Quality is
influenced by Behavioural Commitment.
There is no clear link between job satisfactions and product quality but it is for
sure the product quality is important for buyers (Chakraborty, Srivastava et al.,
2007) in the textile industry. Actually Guimareas (1996) cited in (Chakraborty,
Srivastava et al., 2007) argued that job satisfaction refers to employee
recognition that they are effectively contributing to overall organizational
performance. Hence as product quality is a target that a textile organization
should achieve; it would be interesting to see if there is a positive relationship
between job satisfaction and product quality. Therefore the hypothesis is
formulated as follows:
H70: The relationship between Extrinsic Job Satisfaction and Product Quality is
not influenced by Attitudinal Commitment
H71: The relationship between Extrinsic Job Satisfaction and Product Quality is
influenced by Attitudinal Commitment.
43
3.6 Survey Methodology
44
respondent to be at ease in answering question as they can make quick decision
(Sekaran, 2003). The questionnaire consists of 46 questions and addressed at
first demographic characteristics, job satisfaction, organizational commitment,
perceived product quality and internal service quality. It was set in English and
was distributed to heads of department in textile factories. Some interviewer
reported they had to translate the wordings but most of the interviewee could
understand the question. This method was adopted as this allows the survey to
take a shorter time than if the survey was personally administrated.
The population consists of textile organisation in the apparel sector EPZ exports
categories.
6% Apparel
6%
4%
Others
1%
7% Watches & Clocks
Jewellery
76%
Fish & fish Preparations
45
The sample was drawn in respect to 76% of population employment size in the
EPZ sector by gender which is 18021 male and 31083 female.
Enterprise Employment
Employment size
Number Percentage Cumm.% Number Percentage Cumm.%
Under 10 135 31 31 344 1 1
10 - 50 147 34 65 3,749 6 7
51 - 100 54 12 77 3,934 6 13
101 - 300 53 12 89 8,907 14 27
301 - 500 18 4 93 6,689 10 37
501 - 1000 11 3 96 7,854 12 49
More than 1000 16 4 100 33,132 51 100
TOTAL 434 100 64,609 100
A pilot study was done in five textile factory, where access to employees was
easier granted, which ranged from 301 to 500 employees and 501 to 1000
employees. 40 pilot questionnaires were delivered to textile organizations’
46
department heads in the morning and 60% were collected in the end of
afternoon. The rest were collected on the next day. All questionnaires were all
properly filled and this was due to the fact that the interviewers could understand
each question as they were familiar with English and also could direct an
interview. This pilot study would have been more time consuming if the
questionnaire were personally administered and also access was easily granted.
No of
Variables Coeff. Alpha
questions
Job Satisfaction 20 .89
Employee commitment 15 .76
Product Quality 5 .81
Service Quality 22 .93
Source: Research Study, 2009
47
Table 5: Summary of Hypotheses in Study
48
Chapter 4 : PRESENTATION, ANALYSIS AND DISCUSSION
OF FINDINGS
The population consisted of 148 men and women in the Mauritian textile industry.
63 percent were women and 54 percent were men. Their age range was
between 18 and above 60 years. Seventy seven percent of employees were
under the age of 40 years and the rest were above forty.
49
In the population, 66 percent were married and 27 percent were single. The rest
were divorced.
From the tables below, it can be concluded that there is a substantial group of
young employees (30 percent) with up to 5 years of experience in the company.
Moreover, the same percentage (30 percent) has up to 10 years experience in
the industry. 23 percent has between 10 to 20 years experience and 14 percent
has over 20 years experience in the industry.
50
Table 10: Number of years in company
No years in company No %
upto 1 year 14 9%
1 to 5 44 30%
5 to 10 44 30%
10 to 15 14 9%
15 to 20 18 12%
20 and above 14 9%
Total 148 100%
It can be concluded that there are still young comers to the industry and only 6
percent which has moved from another company to their present one in the same
industry. However, it is commendable to note that 28 percent of employees have
more than 15 years of service in the industry.
51
The population can be described as equally distributed among semi-skilled,
skilled and technical workers.
The Cronbach’s alpha for the variables in the study were obtained and are as
presented in Table 13 below.
As all results were above 0.60, then the reliability of the measuring instrument
can be considered as valid for the study (Sekaran, 2003).
52
4.3 Frequency Distributions of responses on the Likert scale
Job Satisfaction
The Job Satisfaction Questionnaire was set with twenty questions. Respondents’
answers were somewhat oriented towards being either satisfied or strongly
satisfied (fifty percent of employees). Twenty five percent of employees seemed
to be not satisfied with their employment and twenty five percent has no opinion.
53
Organisational Commitment
54
Product Quality
The Product Quality questionnaire was set with five questions. It is very striking
to note that most employees agreed to the product meeting technical
requirements.
Service Quality
Twenty two questions were set for the Service Quality questionnaire. Fifty
percent of respondents agreed that they delivered a good quality of service. It is
to be noted a significant amount of employees have a good perception that there
is a clear communication among them, more dedicated to work within a group
and they have the necessary knowledge to sustain that service quality. See
Table 17 next page.
55
Table 17: Service Quality Responses
56
4.4 Measures of Central Tendencies and Dispersion
The summary above shows that the mean response of Job Satisfaction,
Organisational Commitment and Service Quality are above average (3.4, 3.7 and
3.6 respectively). The mean of 4.3 for Product Quality indicates a rather high
perception of employees about the product quality.
Histograms for each variable were produced and are as shown in Appendix V
Furthermore, Normality graphs (Appendix VI) for the four measures were
generated and examination of the P-plots suggested a normal distribution.
SPSS for Windows was used to compute correlation data between the four
variables and the results are shown in Table 19 next page.
57
Table 19: Correlation statistics for main constructs
Correlations
JSAT OCOM PQUAL SQUAL
JSAT Pearson Correlation 1.00 0.49 0.09 0.70
Sig. (2-tailed) - 0.00 0.27 0.00
N 148.00 148.00 148.00 148.00
OCOM Pearson Correlation 0.49 1.00 0.28 0.43
Sig. (2-tailed) 0.00 - 0.00 0.00
N 148.00 148.00 148.00 148.00
PQUAL Pearson Correlation 0.09 0.28 1.00 0.24
Sig. (2-tailed) 0.27 0.00 - 0.00
N 148.00 148.00 148.00 148.00
SQUAL Pearson Correlation 0.70 0.43 0.24 1.00
Sig. (2-tailed) 0.00 0.00 0.00 -
N 148 148 148 148
** Correlation is significant at the 0.01 level (2-tailed).
Following Cohen’s (1988) guidelines, the values of the correlation have been
interpreted as follows;
A table showing the detailed statistics for each main hypothesis follows next
page:
58
Table 20: Statistics for main hypotheses
Independent Dependent
Hypothesis R Sig.
variables variable
Organisational
H1 Job Satisfaction 0.49 0
Commitment
Organisational
H2 Product Quality 0.28 0
Commitment
Organisational
H3 Service Quality 0.43 0
Commitment
Level of Sig. = 0.05
Source: Research Study, 2009
The computed values show that Job Satisfaction is moderately positively related
to Organisational Commitment (r = 0.49). Organisational Commitment is weakly
positively correlated with Product Quality (r = 0.28). Organisational commitment
is moderately positively correlated with Service Quality.
59
Table 21: Correlation statistics for sub-hypotheses
Correlations
Intinsic Extrinsic Attitudinal Behavioural
PQUAL SQUAL
Satisfaction Satisfaction Commitment Commitment
Bivariate Linear Regression tests were done for each main hypothesis in the
study.
Commitment
Following are results of the linear regression for hypothesis H1. The p-value is
0.000. Consequently, hypothesis H1 is supported. Thus, Job Satisfaction
60
influences Organisational Commitment. As R2 is 0.238, meaning that 24 percent
of Organisational Commitment is explained by Job Satisfaction.
Change Statistics
Adjusted Std. Error of R Square
Model R R Square R Square the Estimate Change F Change df1 df2 Sig. F Change
1 .488a .238 .233 .43217 .238 45.542 1 146 .000
a. Predictors: (Constant), JSAT
b. Dependent Variable: OCOM
ANOVAb
Sum of
Model Squares df Mean Square F Sig.
1 Regression 8.506 1 8.506 45.542 .000a
Residual 27.269 146 .187
Total 35.775 147
a. Predictors: (Constant), JSAT
b. Dependent Variable: OCOM
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.257 .223 10.128 .000
JSAT .437 .065 .488 6.748 .000
a. Dependent Variable: OCOM
61
4.6.2 Hypothesis H2: Organisational Commitment and Product
Quality
Change Statistics
Adjusted Std. Error of R Square
Model R R Square R Square the Estimate Change F Change df1 df2 Sig. F Change
1 .282a .079 .073 .54927 .079 12.571 1 146 .001
a. Predictors: (Constant), OCOM
b. Dependent Variable: PQUAL
ANOVAb
Sum of
Model Squares df Mean Square F Sig.
1 Regression 3.793 1 3.793 12.571 .001a
Residual 44.048 146 .302
Total 47.841 147
a. Predictors: (Constant), OCOM
b. Dependent Variable: PQUAL
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 3.065 .347 8.843 .000
OCOM .326 .092 .282 3.546 .001
a. Dependent Variable: PQUAL
62
4.6.3 Hypothesis H3: Organisational Commitment and Service
Quality
Change Statistics
Adjusted Std. Error of R Square
Model R R Square R Square the Estimate Change F Change df1 df2 Sig. F Change
1 .425a .181 .175 .57238 .181 32.243 1 146 .000
a. Predictors: (Constant), OCOM
b. Dependent Variable: SQUAL
ANOVAb
Sum of
Model Squares df Mean Square F Sig.
1 Regression 10.564 1 10.564 32.243 .000a
Residual 47.833 146 .328
Total 58.397 147
a. Predictors: (Constant), OCOM
b. Dependent Variable: SQUAL
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 1.518 .361 4.203 .000
OCOM .543 .096 .425 5.678 .000
a. Dependent Variable: SQUAL
63
4.6.4 Sub-Hypothesis H4: Relationship between Intrinsic
The p-value is 0.091, which is greater than the α-value of 0.05. Consequently,
hypothesis H4 is not substantiated. This suggests that Intrinsic Satisfaction is not
a predictor of Behavioural Commitment of employees.
Change Statistics
Adjusted Std. Error of R Square
Model R R Square R Square the Estimate Change F Change df1 df2 Sig. F Change
1 .139a .019 .013 .47199 .019 2.893 1 146 .091
a. Predictors: (Constant), IntinsicSatisfaction
b. Dependent Variable: BehaviouralCommitment
ANOVAb
Sum of
Model Squares df Mean Square F Sig.
1 Regression .645 1 .645 2.893 .091a
Residual 32.524 146 .223
Total 33.169 147
a. Predictors: (Constant), IntinsicSatisfaction
b. Dependent Variable: BehaviouralCommitment
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 3.870 .254 15.239 .000
IntinsicSatisfaction .124 .073 .139 1.701 .091
a. Dependent Variable: BehaviouralCommitment
64
4.6.5 Sub-Hypothesis H5: Relationship between Extrinsic
The p-value is 0.000, which is less than the α-value of 0.05. Consequently,
hypothesis H5 is substantiated. This suggests that Extrinsic Satisfaction is a
predictor of Attitudinal Commitment of employees. As R2 is 0.204, it is concluded
that 20.4 percent of the dependent variable Attitudinal Commitment is explained
by the predictor Extrinsic Satisfaction, which is not a weak percentage.
Change Statistics
Adjusted Std. Error of R Square
Model R R Square R Square the Estimate Change F Change df1 df2 Sig. F Change
1 .457a .209 .204 .47818 .209 38.606 1 146 .000
a. Predictors: (Constant), ExtrinsicSatisfaction
b. Dependent Variable: AttitudinalCommitment
ANOVAb
Sum of
Model Squares df Mean Square F Sig.
1 Regression 8.828 1 8.828 38.606 .000a
Residual 33.384 146 .229
Total 42.211 147
a. Predictors: (Constant), ExtrinsicSatisfaction
b. Dependent Variable: AttitudinalCommitment
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.518 .183 13.722 .000
ExtrinsicSatisfaction .337 .054 .457 6.213 .000
a. Dependent Variable: AttitudinalCommitment
65
4.6.6 Sub-Hypothesis H6: The relationship between Extrinsic
Behavioural Commitment
Change Statistics
Adjusted Std. Error of R Square
Model R R Square R Square the Estimate Change F Change df1 df2 Sig. F Change
1 .676a .456 .449 .46789 .456 60.877 2 145 .000
a. Predictors: (Constant), BehaviouralCommitment, ExtrinsicSatisfaction
b. Dependent Variable: SQUAL
ANOVAb
Sum of
Model Squares df Mean Square F Sig.
1 Regression 26.654 2 13.327 60.877 .000a
Residual 31.743 145 .219
Total 58.397 147
a. Predictors: (Constant), BehaviouralCommitment, ExtrinsicSatisfaction
b. Dependent Variable: SQUAL
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) .979 .372 2.628 .010
ExtrinsicSatisfaction .559 .054 .644 10.402 .000
BehaviouralCommitment .169 .082 .128 2.060 .041
a. Dependent Variable: SQUAL
66
Checking the Sig. value, both predictors made a unique and statistically
significant contribution to the prediction of Service Quality, as the Sig. value is
less than α = 0.05. Thus Hypothesis H6 is supported.
The model explains 45.6 percent of the variance in Service Quality. Of these two
variables, Extrinsic Satisfaction makes the largest unique contribution (beta =
0.644), although Behavioural Commitment also made a statistically significant
contribution (beta = 0.128).
Attitudinal Commitment
Change Statistics
Adjusted Std. Error of R Square
Model R R Square R Square the Estimate Change F Change df1 df2 Sig. F Change
1 .288a .083 .071 .55000 .083 6.575 2 145 .002
a. Predictors: (Constant), AttitudinalCommitment, ExtrinsicSatisfaction
b. Dependent Variable: PQUAL
67
ANOVAb
Sum of
Model Squares df Mean Square F Sig.
1 Regression 3.978 2 1.989 6.575 .002a
Residual 43.863 145 .303
Total 47.841 147
a. Predictors: (Constant), AttitudinalCommitment, ExtrinsicSatisfaction
b. Dependent Variable: PQUAL
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 3.186 .319 9.978 .000
ExtrinsicSatisfaction .128 .070 .164 1.829 .069
AttitudinalCommitment .185 .095 .174 1.948 .053
a. Dependent Variable: PQUAL
Checking the Sig. value, both predictors made did not make a unique and
statistically significant contribution to the prediction of Service Quality, as the Sig.
values are more than α = 0.05. Thus Hypothesis H7 is not supported.
The figure next page shows the correlation and the pathway between each
variable. Job satisfaction components impact directly and positively on attitudinal
commitment and on service quality.
68
Figure 11: Main supported relationships in study
0.70
0.45 0.38
Intrinsic Attitudinal Service
Satisfaction Commitment Quality
0.46
Extrinsic
Satisfaction
0.66
69
4.7.1 Job Satisfaction and Organisational Commitment
Most research work has established the significant positive correlation between
job satisfaction and organizational commitment (Lalopa, 1997). However
between those two variables the chicken-and-egg debate still exist (Steers, 1977,
Glisson and Durick, 1988). According to the result obtained, a positive correlation
has been established, but only 24 percent of Organisational Commitment in
Mauritian textile factory is explained by Job Satisfaction. It was expected that job
satisfaction would have been a higher predictor of employee commitment
(Steers, 1977, Lalopa, 1997).
70
also job satisfaction is more related to an attitude influenced by working
conditions, facets or aspect of the job itself (Wiener, 1982) compared to
commitment which is more related to a global response to an organisation
(Mowday, Porter et al., 1982).
71
4.7.2 Organisational Commitment and Product Quality
However from Table 16 most of the respondent strongly agreed that the product
meet the expected requirements. This could be explained by; for employees in
the Mauritian textile factories product quality does not depend entirely on them;
as product quality can be affected by equipment. For Gelade, Dobson et al.
(2006) there is strong evidence of the positive correlation between high level of
commitment and organisational outcomes “performance” which in turn is
associated to higher sale and customers satisfaction. Therefore if the level of
organizational commitment in the Mauritian textile industry was higher then the
results obtained should have been higher.
72
industry dissociates quality and there personnel attachment with the company.
If the relationship between attitudinal and product is not so evident, it seams
according to Appendix XI the relationship between extrinsic satisfaction and
product quality is proportionally correlated though this relationship is not so
significant.
According to (Ballantyne, 2000, p3) any functional organisation will tend to result
in a “silos effects” in turn would impact on the internal actions within the
organisation meaning that co-workers relationship would be threatened. In the
research work it is clearly set that the internal relationship between co-workers
stands right.
Actually service delivered is strongly attached to the person delivering the service
(Rotfeld, 2001) as the human element is part of any service transaction (King and
Grace, 2005). Further more according to Appendix XIII Attitudinal commitment
there is directly proportional to service quality. For (Elmadag, Ellinger et al.,
2008) attitude and behaviours greatly influenced the service quality delivered. In
table employees’ respondent positively attitudinal commitment question where
variables such as: make extra effort, praise work, loyalty and company support
received the highest marking.
73
4.7.4 Job Satisfaction and Product/Service Quality
74
Chapter 5 : CONCLUSION AND RECOMMENDATIONS
The Mauritian textile industry is facing great difficulties to survive in this highly
competitive world. We are assisting presently many shut down of companies
who can not subsist as the selling price of that product does not match the quality
offered. More and more buyers like are shifting their production to countries such
as Bangladesh, India or China consequently most of the Asian manufactures
relocated their factory to those areas.
Customers are very difficult regarding quality and delivery service. The orders
are not any more bulky for mass market but small one for higher segment with a
lot of added product value. Example Soniawear does a lot of small batch
compared to Saint Malo export which does a lot of basic product with relatively
low added value for mass market. Their respective clients are from different
75
countries and segment. However they both have the quality issue as product and
service quality depends on dedicated employees.
Job satisfaction and employee commitment are two constructs which contributes
to employee performance hence organizational goals. In this research job
satisfaction is precursor to organizational commitment. It has also been
established that job satisfaction is significantly positively moderately correlated to
organizational commitment. However organisational commitment failed to
establish a clear significant relationship with product and service quality.
The intrinsic part of satisfaction has the best response among employees in the
textile sector with variables such as: Work Status, Values compared to extrinsic
part where pay condition and working condition were the highest de motivators.
However there is a strong positive relationship between job satisfaction and
service quality. Once can deduce that even if even if important hygiene variables
such as pay and work condition are not so well serviced the correlation between
intrinsic and extrinsic satisfaction and service quality. In the Mauritian textile
organisations even salary are considered to be unsatisfied by employee,
organisation can still expect service quality to be delivered by the employees.
Even though job satisfaction can not be considered as the precursor of product
quality it factual that dissatisfaction will tend to affect negatively product quality.
If the product quality is not at an acceptable by buyers, organizations will have to
fear that they would loose business. Now would be a good strategy to deliver an
fair product with low service quality. Those two constructs though distinct must
be combined together in order to attract and withhold buyers. The difficulty
resides on how to deliver consistently the same service quality standards.
For product quality it a different issue as machinery will tailor the product
according to set standards. Employee’s task regarding product quality would be
only to see that the equipment is performing to set standards and if not that
76
particular equipment is being removed of the actual production line or if a bigger
machinery, maintenance has to fix the problem. It was expected that
organisational commitment would be a strong precursor to service quality which
would in phase with most literature. This did not show up in this research work
but attitudinal commitment shows some degree of correlation to Service quality.
This relationship could have been negatively affected by the bad response
employees have regarding the participation.
Most literature and research work have associate job satisfaction with turnover,
intention to leave or stay and absenteeism. Some researches agreed on saying
that without job satisfaction it would be difficult to yield performance. Actually
according to this research work there is a strong positively correlation between
job satisfaction and Service quality. The Intrinsic variables of job satisfaction
were a higher contributor to service quality than extrinsic variables. This research
work has demonstrated that there is a direct relationship between job satisfaction
and service quality. In Mauritian textile organisation where there is a high rate of
turnover and absenteeism there would be a low level of service quality and
obviously product quality.
77
leave or stay (Becker 1960). Between those two construct it is attitudinal which
would correlate to service quality as attitudinal is mostly correlated to the
intention to leave or stay. Actually most employee responded positively to
attitudinal commitment than behavioural.
According to this research work even employees are not satisfied with their
salary; managers could still influence the intrinsic variables of job satisfaction and
still keep the level of service quality. Salary increase or any other form of
monetary motivation can impact seriously on the organization profitability.
Therefore it would be interesting for managers to unveil which variables of Job
satisfaction will create that pleasant atmosphere which will foster quality. Not
knowing them could be lethal as one can impact negatively on one particular
variable without knowing what he is doing.
Consequently Managers will try to the most important element in the hygiene
factors are pay benefits. Money can be good motivators but in actual present
78
condition can be a disaster for Mauritian textile factories. However the company
need to advance
This research did not take into consideration job satisfaction at a managerial and
supervisory level. It would be interesting to asses’ job satisfaction in regards to
that level. Those person will actually drive job satisfaction and hence all
outcomes that will derive from it. Apart of been the driver they also have their
own beliefs. They have to drive satisfaction and at the same time been satisfied
themselves with the job.
This research also does not really asses the customers view on service and
product quality. What make this part more difficult is most the Mauritian Textile
buyers are abroad. To make these survey possible questionnaires would to be
send abroad. What would it very interesting is that it would possible to asses the
whole chain up to the buyers therefore allows a better view of the situation and
able mangers to take corrective measure if any
79
5.6 Conclusion
80
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APPENDIX
Appendix I
94
Appendix I (Contd.)
95
Master of Business Aministration Survey Questionnaire
Sex Zome Fame Lage
Status Single Divorcer Marier ou vive Ensame
Education Primaire Form1 Jiska Form 4 SC/HSC Formation
8 Mo travay garanti
Appendix II
96
Master of Business Aministration Survey Questionnaire
Organizational Commitment Questionnaire
Strongly Somewhat Neither Somewhat Strongly
Disagree Disagree Agree Agree Agree
Nor
Disagree
21 I am willing to put a great deal of effort beyond that normally
expected in order to help this organization be successful a
22 I talk up this organization to my friends as a great organization
to work for a
23 I feel very little loyalty to this organization (reversed scored) a
24 I would accept almost any type of job assignment in order to
keep working for this organization a
25 I find that my values and the organization’s values are very
similar a
26 I am proud to tell others that I am part of this organization a
27 I could just as well be working for a different organization as
long as the type of work was similar (reversed Scored) b
28 This organization really inspires the very best in me in the way
of job performance. a
29 It would take very little change in my present circumstances to
cause me to leave this organization (Reverse Scored) b
30 I am extremely glad that I chose this organization to work for
over others I was considering at time I joined a
31 There’s not too much to be gained by sticking with this
organization indefinitely. (reverse scored) b
32 Often, I find it difficult to agree with this organization’s policies
on important matters relating to its employees. (reverse scored)
a
33 I really care about the fate of this organization a
34 For me this is the best of all possible organizations for which to
work a
35 Deciding to work for this organization was a definite mistake on
my part (Reverse Scored) b
97
Appendix II (Contd.)
98
Appendix III
99
Appendix IV
100
Appendix IV (Contd.)
101
Appendix V
Error!
Appendix I (Contd.)
102
103
Appendix VI
2
Expected Normal
-2
-4
Observed Value
104
Appendix VI (Contd.)
1
Expected Normal
-1
-2
Observed Value
2
Expected Normal
-2
-4
1 2 3 4 5
Observed Value
105
Appendix VII
AttitudinalCommitment
4.00
3.00
2.00
IntinsicSatisfaction
Appendix VIII
4.00
AttitudinalCommitment
3.50
3.00
2.50
2.00 3.00 4.00
ExtrinsicSatisfaction
106
Appendix IX
4.00
SQUAL
3.00
2.00
ExtrinsicSatisfaction
Appendix X
4.00
SQUAL
3.00
2.00
IntinsicSatisfaction
107
Appendix XI
5.00
4.75
PQUAL
4.50
4.25
4.00
ExtrinsicSatisfaction
Appendix XII
5.00
4.50
PQUAL
4.00
3.50
3.00
AttitudinalCommitment
108
Appendix XIII
4.00
SQUAL
3.00
2.00
AttitudinalCommitment
109