FACTORS INFLUENCING EMPLOYEES’ JOB SATISFACTION IN

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FACTORS INFLUENCING EMPLOYEES’ JOB SATISFACTION INPUBLIC ORGANIZATIONS IN TANZANIA: A CASE OF TANZANIAELECTRIC SUPPLY COMPANY LIMITEDSAMUEL ALPHONCE KAFYETAA DISSERTATION SUBMITTED IN PARTIAL FULFILLMENT FOR THEREQUIREMENTS FOR THE DEGREE OF MASTER OF BUSINESSADMINISTRATION OF THE OPEN UNIVERSITY OF TANZANIA2015

iiCERTIFICATIONThe undersigned certifies that he has read and hereby recommends for acceptance bythe Open University of Tanzania a dissertation titled: “Factors InfluencingEmployees’ Job Satisfaction In Public Organizations In Tanzania: A Case ofTanzania Electric Supply Company (TANESCO) Limited in Dar es Salaam” inpartial fulfillment of the requirements for the degree of Master of BusinessAdministration of the Open University of Tanzania. .Dr. Augustine Y. Hangi(Supervisor) . Date

iiiCOPYRIGHTNo part of this dissertation may be reproduced, stored in any retrieval system, ortransmitted in any form by any means, electronic, mechanical, photocopying,recording or otherwise without prior written permission of the author or the OpenUniversity of Tanzania in that behalf.

ivDECLARATIONI, Samuel Alphonce Kafyeta, do hereby declare that this dissertation is my ownoriginal work, and that it has not been presented and will not be presented to anyother University for a similar or any other degree award. .Signature . Date

vDEDICATIONI dedicate this dissertation first of all to Jesus Christ, my Lord and saviour seating onthe throne in heaven and controlling both heaven and earth. Secondly, to my belovedparents, my father Mr. Alphonce Kafyeta Kabilima and mother Theresia NzilayinkaKafyeta all living in Kasamwa, Geita. Lastly, to my wife, Apronia Samwel and mychildren Daniel and Eliya as they all played a great role in praying for my success instudy period. They were indeed a source of encouragement throughout this period.

viACKNOWLEDGEMENTIt gives me immense pleasure to complete this dissertation in partial fulfillment forthe award of a Master of Business Administration degree. This dissertation wouldnot have been complete without contribution of several individuals. In view of that Iam using this opportunity to express my gratitude to everyone who supported methroughout my course. I am thankful for their guidance, constructive criticisms andfriendly advice during the dissertation work. I am sincerely grateful to them forsharing their views on a number of issues related to the project.I express my warm thanks to Mr. Robert Magere and Ms. Dorothy Migembe for theirsupport and guidance at TANESCO Head Office Dar Es Salaam. I would also like tothank my project external guide Engineer Ambakisye Mbangula, the Plant Manager,TANESCO Ubungo Gas Plant1, Ms. Nisile Mwakalinga, and Ms. Lilian Chale andall the people who provided me with the facilities being required and conduciveconditions for my MBA study.I am grateful to Open University of Tanzania lecturers for their guidance,commitment, technical and materials support which enabled me to attain the desiredgoal with regard to completion of this dissertation.Special thanks go to my supervisor, Dr. Augustine Y. Hangi for his commitment,guidance, advice, and constructive critic from the initial development of the researchproposal to the final dissertation document

viiABSTRACTThis study determines the factors that influence job satisfaction in publicorganizations in Tanzania, using Tanzania Electric Supply Company (TANESCO)Limited as a case study. The objective of the study is to determine the factors whichinfluence employees‘ job satisfaction at work places. Data were collected usingquestionnaires, oral interviews, and observations. Questionnaires were distributed to210 respondents who yielded a 100 percent response rate. The findings show thatmost of employees were not satisfied with their jobs. The factors observed aresatisfaction from job incentives, employees training and development, workingenvironment, leadership, the extent of employees involvement in decision making,fairness and equality of employees in promotion, and managers leadership. Asregards to management‘s strategies needed to ensure employees job satisfaction atwork places, most employees were not satisfied with adequacy of efforts devoted bytheir organizations. The strategies in use are succession planning, employees mployer‘srecognition,compensational benefits and other allowances. As regards the extent at which jobsatisfaction affects employees performance, the findings are high productivity due tohigh workers morale, employees commitment in their work, minimal employeesabsenteeism, and working culture of employees. Most employees were not satisfiedwith the support given to them by their organizations on fulfillment of these factors.The researcher‘s recommendations are that, public organizations should identifyincentives that increase job satisfaction among employees, secondly, train theiremployees to keep abreast with technological changes in their work settings,

viiiorganizations should have good leaders who can influence their employees toperform to the best of their capabilities. Third, for public organizations to grow andprosper and remain competitive they ought to demonstrate a high level ofcommitment to employees involvement in decision making. With respect to policy,public organizations should design policies that help to raise the level of jobsatisfaction among employees including investing heavily on training anddevelopment of employees, create plenty of opportunities for employees to learn newskills in their work, and putting in place clear succession planning in theorganization.

ixTABLE OF CONTENTSCERTIFICATION . iiCOPYRIGHT . iiiDECLARATION . ivDEDICATION . vACKNOWLEDGEMENT . viABSTRACT . viiLIST OF TABLES . xiiiLIST OF FIGURES . xivLIST OF APPENDICES . xvLIST OF ABBREVIATIONS . xviCHAPTER ONE . 1INTRODUCTION . 11.1Introduction . 11.2Background of the Problem. 11.3Statement of the Problem . 41.4Research Objectives . 51.4.1 General Objective . 51.4.2 Specific Objectives . 61.5Research Questions . 61.6Significance of the Study . 61.7Scope of the Study. 7

xCHAPTER TWO . 8LITERATURE REVIEW. 82.1Introduction . 82.2Theoretical Literature Review . 82.3Empirical Literature Review . 132.4Conceptual Framework . 21CHAPTER THREE . 24RESEARCH METHODOLOGY . 243.1Introduction . 243.2Research Design . 243.3Survey Population (Target) . 253.4Study Area . 253.5Sample Size . 253.6Sampling Procedure . 263.7Data Collection Method . 263.8Instruments of the Study . 263.8.1 Questionnaires . 273.8.2 Oral interviews . 273.8.3 Observations . 273.9Data Analysis Techniques . 28CHAPTER FOUR . 29RESEARCH FINDINGS . 294.1Introduction . 29

xi4.2Descriptive Findings . 294.2.1 Age Distribution of Respondents . 294.2.2 Gender of Respondents . 314.2.3 Education Level . 324.2.4 Work Experience of Respondents . 334.2.5 Employment Terms of the Respondents . 354.2.6 Occupation Specialty and Working Position . 354.3Presentation of Findings and Analysis as Per Study Objectives . 364.3.1 Factors Influencing Employees‘ Job Satisfaction at the Work Places . 364.3.2 Management‘s Strategies Applicable in Ensuring Employees‘ JobSatisfaction at the Work Place . 414.3.3 The extent at which Employees‘ Level of Job Satisfaction AffectsEmployees‘ Performance . 464.4Discussion of the Study Findings based on the Specific Objectives . 494.4.1 Factors Influencing Employees‘ Job Satisfaction at the Work Places . 494.4.2 Management‘s Strategies which are Applicable in EnsuringEmployees‘ Job Satisfaction at the Work Place . 504.4.2.1 Career Ladder Programme . 544.4.2.2 Employee-Employer Voluntary Agreements . 554.4.2.3 Performance Development Plan . 554.4.3 The Extent at Which Employees‘ Level of Job Satisfaction AffectsEmployees‘ Performance . 574.5Summary . 59

xiiCHAPTER FIVE . 60DISCUSSION OF FINDINGS, CONCLUSION ANDRECOMMENDATIONS . 605.1Introduction. 605.2Discussion . 605.2.1 Factors which Influence Employees‘ Job Satisfaction at Work Places . 605.2.2 Management‘s Strategies Needed to Ensure Employees‘ Job Satisfaction AtWork Places . 705.2.3 Extent of the Level of Job Satisfaction in Affecting Employees‘ Performance. 785.3Conclusion . 825.3.1 Factors Influencing Employees‘ Job Satisfaction at Work Places . 825.4Recommendations. 865.4Area of Further Research . 92REFERENCES . 94APPENDICES . 101

xiiiLIST OF TABLESTable 4.1: Age of Respondents . 30Table 4.2: Gender of Respondents . 31Table 4.3: Respondents‘ Education Levels . 33Table 4.4: Work Experience of Respondents . 34Table 4.5: Employment Contract Terms . 35Table 4.6: Occupation Specialty and Working Position . 36Table 4.7: Factors Influencing Employees‘ Job Satisfaction at the Work Places . 37Table 4.8: Management‘s Strategies Applicable in Ensuring Employees‘ JobSatisfaction at the Work Place . 42Table 4.9: The Extent at Which Employees‘ Level of Job Satisfaction AffectsEmployees‘ Performance . 47

xivLIST OF FIGURESFigure 4.1: Summary Factors Influencing Employees‘ Job Satisfactionat the Work Places . 41Figure 4.2: Summary Management‘s Strategies Applicable in EnsuringEmployees‘ Job Satisfaction at the Work Place . 45Figure 4.3: Summary on the Extent to which Employees‘ Level of JobSatisfaction Affects Employees‘ Performance . 49

xvLIST OF APPENDICESAppendix I: Questionnaire . 101Appendix II: Schedule of Allowances & Benefits . 108Appendix III: Tanesco Organisation Structures . 109

xviLIST OF ABBREVIATIONSBSCBalance Score CardKPIKey Performance IndicatorsMBAMaster of Business AdministrationM&EMonitoring and EvaluationMNHMuhimbili National HospitalOMGOne Minute GoalOUTOpen University of TanzaniaPDPPerformance Development PlanPSPFPublic Service Pension FundSPSSStatistical Package for Social SciencesTAFIRITanzania Fisheries Research InstituteTANESCOTanzania Electric Supply Company LimitedUSAUnited States of America

1CHAPTER ONEINTRODUCTION1.1IntroductionThis chapter presents the background of the study, statement of the problem,objectives of the study, research questions, significance of the study, and scope of thestudy.1.2Background of the ProblemJob satisfaction describes how content an individual is with his or her job. Sajio(2011) states that a positive attitude towards one‘s job is called job satisfaction. Jobsatisfaction has been defined as a pleasurable emotional state resulting from theappraisal of one‘s job and effective reaction to one‘s job; and an attitude towardsones job; Weiss (2002). Weiss (2002) argues that job satisfaction is an attitude butpoints out thatresearchers should clearly distinguish the objects of cognitiveevaluation which affect emotion, beliefs and behaviors. This definition suggests thatwe form attitudes towards our jobs by taking into account our feelings, our beliefsand our behaviors.Judge (2008) defines the term job satisfaction as a positive feeling about one‘s jobresulting from an evaluation of its characteristics. A person with a high level of jobsatisfaction holds positive feeling about the job, while a person who is dissatisfiedholds a negative feeling about the job. There are many attributes that may lead anemployee to job satisfaction including good pay, the size of the desk, futuredevelopment prospects, etc. At present, job satisfaction has been an important issue.

2People are interested to work in the organization as well as the services where theyget more satisfaction. It is human behavior. But really how far such job satisfaction isensured in different jobs? It is the interest of the proposed study to analyze jobsatisfaction from organizational perspective.People management is an important aspect of organizational processes. Thisemanated from the recognition that the human resources of an organization and theorganization itself are synonymous (Mahamuda, 2011). A well-managed businessorganization normally considers the average employees as the primary source ofproductivity gains (ibid). These organizations consider employees rather than capitalas the core foundation of the business and contributors to firm development. Toensure the achievement of firm goals, the organization creates an atmosphere ofcommitment and cooperation for its employees through policies that facilitateemployee satisfaction. Satisfaction of human resource finds close links to highlymotivated employees. Motivated employees then develop loyalty or commitment tothe firm resulting to greater productivity and lower turnover rates (ibid).Despite the widespread recognition of the importance of facilitating the jobsatisfaction of employees in a bid to secure organizational commitment, there arevarying perspectives on the means of doing this. The earliest strategy is to use wageincreases to link job satisfaction to organizational commitment (Hi

factors influencing employees’ job satisfaction in public organizations in tanzania: a case of tanzania electric supply company limited samuel alphonce kafyeta a dissertation submitted in partial fulfillment for the requirements for the degree of master of business

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