After having looked at the research methodologies used in this study in the previous chapter, this data analysis section will present the findings of the questionnaire that was used to collate data from respondents. Employees of the Techcom (pseudonym) were targeted for this research and the questionnaire used was in paper and online formats. A thorough statistical analysis of the findings is presented. The relevant sections of the questionnaire will be discussed separately. This chapter will intend to present the findings in tabular form and provide analytical comments on the observed trends and patterns. A regression and exploratory factor analysis of the findings is also present which will lead to an indication of how strongly the hypotheses mentioned in Chapter 2 have been proved.
5.2 Demographics
5.2.1 Gender
Table 5.1 illustrates the number of males and females that participated in this research.
Table 5.1 - GENDER
Gender
Frequency
%
Cumulative %
Male
73
74.5
74.5
Female
25
25.5
100.0
Total Responses
98
98.0
Missing
2
Total
100
100.0
The above table 5.1 shows the responses collated in the gender section of the questionnaire. The respondents were asked to specify their gender in terms of Male or Female. The table shows that a significant majority of the respondents were male, accounting for 74.5% of the responses. The female respondents accounted for 25.5% of the total responses. The variance in responses could be attributed to sampling bias in terms of distributing the paper questionnaires. The online questionnaire however was sent to multiple E-mail addresses. Sampling bias therefore for the online version reduces considerably.
5.2.2 Age
Table 5.2 - AGE
Age
Frequency
%
Cumulative %
18-24
34
34.7%
34.7%
25-34
43
43.9%
78.6%
35-44
13
13.3%
91.9%
45-54
5
5.1%
97%
Over 55
3
3.1%
100%
Here, respondents were asked to specify their current age. The above table 5.2 shows the ranges of the respondents that filled in the questionnaire. It presents the ages from 18 to over 55. The age range with highest frequency is 25-34 at 43.9% of total respondents followed by the range 18-24 at 34.7% of total respondents. This portrays the majority of young and middle age respondents in the organisation. Only 8 respondents were aged 45 and over.
5.2.3 Marital Status
Table 5.3 - MARITAL STATUS
Status
Frequency
%
Cumulative %
Single
52
53.6%
53.6%
Married
41
42.3%
95.9%
Divorced
1
1.0%
96.9%
Widowed
1
1.0%
97.9%
Preferred not to answer
2
2.1%
100%
Total
97
100.0%
Respondents were asked to specify their marital status. The above table 5.3 shows that there are two clear groups of respondents, which supersede the other groups. The "single" respondents consist of more than half of all respondents at 53.6%, with "married" respondents second at 42.3% of total respondents. 2 respondents preferred not to answer .
5.2.4 Employment period
Table 5.4 - HOW LONG HAVE RESPONDENTS BEEN EMPLOYED WITH TECHCOM
Years
Frequency
%
Cumulative %
More than 5 years
50
52.1%
52.1%
3-5
14
14.5%
66.6%
1-2
26
27.1%
93.7%
Less than 1 years
6
6.3%
100%
Total
96
100.0%
Respondents were asked to specify how long they have been employed with Techcom. The above Table 5.4 shows the responses collated for this question. The analysis shows that the employees working with Techcom tend to stick with the company for long term.52.1% of the employee have been with company for more than 5 years.
5.2.5 Education
Table 5.5 - EDUCATION
Education
Frequency
%
Cumulative %
Primary
1
1.0%
1.0%
GCSE/A Level
11
11.2%
12.2%
Undergraduate/Degree
35
35.7%
47.9%
Postgraduate/Masters Degree
44
44.9%
92.8%
PhD
6
6.1%
98.9%
Other
1
1.0%
99.9%
Total
98
100.0%
Respondents were asked to specify their level of education. The education range with the highest number of responses is Postgraduate level at 44.9% of total respondents. The second range is the Undergraduate level at 35.7% of total respondents. There are 11 entries for GCSE/A Level and 6 entries for PhD level. The total percentage of respondents educated to Postgraduate and Undergraduate/Degree levels stands at 80.6% which is a very significant figure. Around 80% of the sample population is educated at least to a degree level or above. This is a considerably favourable figure as the final conclusions of the study will compare the level of awareness of SHRM and understanding of the organisations mission, policies, strategies and objectives amongst the employees.
5.2.6 Position in the Hierarchy
Table 5.6 - Position in the Hierarchy
LEVEL
Frequency
%
Cumulative %
Operational level
29
29.9%
29.9%
Executive Level
29
29.9%
59.8%
Middle Level Management
23
23.7%
83.5%
Higher
Level Management
8
8.2%
91.7%
Top Management
7
7.2%
98.9%
Other
1
!.0%
99.9 %
Total
97
100.0%
Respondents were asked to specify their current position in the hierarchy of the organization. The results show 29.9% of the respondents were from operational level, 29.9% were from executive and 23.7% from middle management and only very few were from higher and top level management, which is good as the operation level, executive level and the middle level management are the levels which experience the execution of the policies and are also greater in number as compared to the higher and top level members.
5.2.7 Income
Table 5.7 - INCOME
Income
Frequency
%
Cumulative %
Under £2000
38
39.6%
39.6%
£2001 - £3000
23
24.0%
63.6%
£3001 - £4000
17
17.7%
81.3%
£4001 - £5000
2
2.1%
83.4%
Over £5000
16
16.7%
100%
Total
96
100.0%
Respondents were asked to indicate their current levels of income in this question. The highest recorded frequency was for the lowest income group i.e. "Under £2000" at 39.6% of total respondents. This correlates with the findings in Table 5.6 showing that 29.9% of total respondents were operational level and another 29.9% were executive level; hence the large number of low-income earners. Respectively the second highest frequency was recorded in the next income level of "£2001 - £3000" at 24.0% of total respondents and so forth for the next income level of "£3001 - £4000" at 17.7% of total respondents. The "Over £5000" income level group however was the level at 16.7% of total respondents. These findings indicate that there the general income levels of respondents are low.
5.3.1 Awareness of Organisational Policies
Table 5.8 - Awareness
Assess the following statements:
True
False
Do Not Know
Total Responses
SHRM helps in supplying competitive intelligence that may be useful in the strategic planning process?
22 (22.7%)
3 (3.1%)
72 (74.2%)
97
The HR managers have keen role in the effective planning and implementation of the policies and decisions that in tune with the business changes.
47 (49.0%)
5 (5.25%)
44 (45.8%)
96
The commitment of the entire senior management team is vital to the organisational performance.
18 (18.6%)
4 (4.1%)
75 (77.3%)
97
SHRM do not help in aligning individual goals of an employee to the mission of the organisation
23 (23.7%)
2 (2.1%)
72 (74.2%)
97
Techcom adopts sound SHRM policies.
16 (16.5%)
2 (2.1%)
79 (81.4%)
97
The above Table 5.8 presented the awareness of the employees participated. Participants were then asked to indicate whether they thought the statements to be true, false, or do not know. These findings suggest that the current level of awareness of SHRM and Mission and objectives of the company is very low amongst the employees.
5.4.1 Exploratory Factor Analysis and Scale Reliabilities
The purpose of exploratory factor analysis is to make sure that all of the items used in this study load onto their respective variables and to confirm whether items loaded correctly to their corresponding factors such as identified by previous research.
Therefore, all of the 12 items from question 6 were subjected to exploratory factor analysis with principle axis factoring and un-rotated factor analysis. The un-rotated factor revealed the existence of 3 factors (38.5%, 14.875% and 13.27% variation explained by each factor respectively). Having found that there are 3 factors available; the next step was to compute a Varimax Rotated solution. Findings confirmed the existence of 3 factors each having 27.18%, 19.886% and 19.547 % over and above the Eigen value of 1. These were labelled as Organisational Performance, HR Practices and Strategic Planning. Furthermore, Cronbach Alpha coefficients were computed to quantify the scale reliability of each of the factors identified. The results indicate that the alpha scored were above the minimum level of 0.70 indicating that the data is reliable and valid for this study.
After this, all of the 8 items from question 7 were subjected to exploratory factor analysis with principle axis factoring and un-rotated factor analysis. The un-rotated factor revealed the existence of 2 factors (57.56% and 14.71% variation explained by each factor respectively). Having found that there are 2 factors available; the next step was to compute a Varimax Rotated solution. Findings confirmed the existence of 2 factors each having 47.386% and 24.886% over and above the Eigen value of 1. These were labelled as EPA and Monitory Benefits. Furthermore, Cronbach Alpha coefficients were computed to quantify the scale reliability of each of the factors identified. The results indicate that the alpha scored were above the minimum level of 0.70 indicating that the data is reliable and valid for this study.
Table 5.9 - EXPLORATORY FACTOR ANALYSIS
Item
Organisational
Performance
HR Practices
Strategic Planning
EPA
Monitory Benefits
Alpha
Percentage Variance (%)
E4
0.723
E8
0.733
E9
0.847
E10
0.881
E11
0.590
E12
0.408
0.841
27.182
E5
0.823
E6
0.845
E7
0.819
0.837
19.986
E1
0.865
E2
0.877
E3
0.672
0.794
19.549
G1
0.761
G2
0.683
G3
0.868
G4
0.817
G5
0.851
G6
0.690
0.896
47.386
G7
0.945
G8
0.856
0.857
24.886
5.3.2. Regression Analysis
In order to test the impact of EPA, Monitory Benefits, HR Practices and Strategic Planning on Organisational Performance, a multiple regression was computed with EPA, Monitory Benefits, HR Practices and Strategic Planning as independent variables and Organisational Performance as a dependent variable. The regression equation was also tested for multi-co linearity using Variance Inflation Factor (VIF) and tolerance for each of the independent variables. The results are presented in Table 5.10
According to the Table 5.10, the regression results indicated significant and strong beta weights for HR Practices and Strategic Planning indicating that there exists a strong and significant relationship between HR Practices and Organisational Performance and between Strategic planning and Organisational Performance. However, the beta weights for EPA and Monitory Benefits were neither high nor significant. Therefore, the findings of this study suggest that there is no relationship between EPA and Organisational Performance and between Monitory Benefits and Organisational Performance. The adjusted R square value of 0.243 suggested that 23.4% of variation in Organisational Performance scores is explained by the four independent variables studied in this research. An observation of VIF and tolerance for each of the independent variables suggest that multi-co linearity is not a problem for this data set. Given the findings of this study, H1, and H2, are both accepted but H3 and H4 are rejected.
Table 5.10 - Regression Analysis with ORGANISATIONAL BEHAVIOUR as a Dependant Variable
Item
Adjusted R²
F Value
Sig.
Beta
t Value
Sig. value
Tolerance
VIF
EPA
0.243
7.498
0.000
-.137
-1.174
.244
0.690
1.449
Monitory Benefits
0.243
7.498
0.000
-.077
-.656
.514
0.684
1.462
HR Practices
0.243
7.498
0.000
.319
3.139
.002
0.906
1.104
Strategic Planning
0.243
7.498
0.000
.267
2.615
.011
0.899
1.112
This chapter provides the observations of the questionnaire that was used in the quantitative data gathering approach. The primary data gathered with the use of questionnaires provides the core material to be analysed in this study. All the individual question answers are presented in a tabular form, and are reviewed with data analysis. Data analysis techniques used in this chapter included statistical analysis, multiple regression analysis, and exploratory factor analysis. Comments are also provided at the end of each section of the questionnaire discussing the common trends and patterns observed. The next chapter will conclude the study with a thorough examination of the results and the extent to which the research questions and hypotheses mentioned in Chapter 2 have been proved. It will also discuss any limitations and recommendations for further research.
Chapter 6
Conclusions, Limitations & Recommendations
Chapter 6 - Conclusions, Limitations and Recommendations
This chapter will attempt to conclude the research undertaken in this study. The research questions posed in Chapter 2 will hope to be answered generally through the course of the final analysis and conclusive arguments. Any apparent limitations are mentioned. Recommendations for the industry are amalgamated into the conclusions section, while separate recommendations for further research are provided under a separate heading.
6.1 Inferences
The research questions posed was:
What SHRM factors influence organisation performance?
This study primarily set out to examine and explore importance of SHRM on the performance of the organization. The aim was to identify and analyze the SHRM factors that influence the organizational performance. After the data collection and data analysis processes have been completed, it can be safely concluded that the data collected fits the hypothesized model as illustrated in Figure 6.1.
Figure 6.1: Revised Conceptual Model
HR PRcatices , H1, (+)
Strategic Planning, H2, (+)
ORGANISASTIONAL
PERFORMANCE
Monitory Benefits, H3, (-)
Employee Personal, H4, (-)
Attributes
H1: Strategic Planning is significant in organisational performance.
From the research it is evident that, strategic planning is very important aspect of the SHRM, which result in the better performance of the organisation especially for an IT organisation. Data from Techcom provide the necessary evidence that proves that strategic planning influences the organisational performance.
H2: Good HR practices have a positive relationship with the performance of the organisation.
SHRM AND RE-ENGINEERING
The significance of an organisational design is emphasized by all normative models of human resource management. As discussed previously, the traditional model of HRM deals with work designs which support horizontal and vertical compression of responsibilities and greater autonomy for the worker. There are various terms given to the redesign of work companies namely HPWS or high performing work systems, high commitment management, and business process reengineering. The research stresses on principle features of this approach to organizational management and design that include decentralized form of decision making, a flattened chain of command or hierarchy, a tough leadership and a bunch of practices of HR which make the employee behaviour more compatible with company performance and goals.
SHRM and leadership
The managerial leadership concept ingrains and designs the practice and theory of work firms and gives an understanding of SHRM. From a general perspective, a managerial leadership throws light on the assumption that it entails a process wherein a certain influence is exerted by an individual upon others in the context of a firm. The leadership style is adopted by the managers which will enhance the company's human bequest and cultivate flexibility, commitment and change. Explicit connections can be made between organizational change, leadership and learning. The leadership competencies might look like bit of constraint on the enhancement of resource based strategic HR model. As it seems, many of the failures in re-engineering are rooted form the subdivision in leadership. The motor that drives the change in the company is predominantly just leadership. In real meaning, the popular models of leadership commend the followers the requirement for working for common good and beyond the economic contract. In modern day jargon, empowering the workers is the leader of transformation. Rather, such leadership models usually move the focus away from the control of the managerial process and individualisation of relationship of the employee.
SHRM and learning in workplace
Informal and formal learning related to work has become a key player within many formulations of strategic HRM. This can help the managers to realize the concrete goals of HRM with regards to quality, flexibility and commitment.
H3: Organisational Performance is directly proportional to the monitory benefits given to the employees.
The analysis in the chapter 5 shows that, from the collected data it is evident that as compared to other significant factors there is no significant direct relationship between monitory benefits given to the employees and organisational performance. It was observed that most of them preferred higher responsibility and authority instead of hike in their salaries; the employees believed that such things motivate them more. And enhanced motivation means, more efforts and better results i.e. increment in the organisational performance.
H4: Employees Personal Attributes is important to the organisational performance.
Similarly, as the hypothesis 3 the hypotheses 4 was also rejected as the results showed that as compared to the other factors, employee's personal attribute did not prove very significant in the better performance of the organisation.
6.2 Limitations
The limitations specifically related to the data collection and questionnaire, are based around the questionnaire design and sampling bias already mentioned earlier. There is a difficult choice to be made by the researcher in such a study in regards to the length, language and the suitability of the questions. The sampling bias mentioned previously can be reduced or eliminated by exercising a more careful approach when distributing the questionnaire. The type of people approached to complete the questionnaire may affect the overall quality of the responses. The other main limitation was the short span of time that this study was completed in. The main body of this study may have considerably enhanced if more time was available for its completion. The total number of responses (100) was lower than what was originally planned. Although a satisfactory number of responses were received in order to analyze and interpret the data, it is always felt that a larger sample size will provide a more relevant account of intended analysis. Another aspect of this research is that the target participants were a mixture of lower level, middle level and top level employees. This target sample was deliberately chosen to incorporate a wide array of consumer responses.
6.3 Recommendations
The present study primarily focused on quantitative research methods investigating the importance of SHRM on the Organisational Performance taking in account a case study of an IT organisation. Further research could focus on quantitative analysis that could include interviews with industry insiders and consumer focus groups or depth interviews. Choosing purely a particular level of employees and drawing from a larger population sample may be useful. The study may be re-constructed using different variables chosen for the conceptual model used in this study.
6.4 Conclusion
The objective of this research and analysis was to relate large areas of concepts between organizational performance and strategic HRM with the purpose of building the notion of fit a bit more open both with regards to the consistency within the systems of HRM, and their fit with the goals of the organization. It is pertinent to note that HR efficiency does not come in one bundle but rather several various bundles based on the environment of the task and strategy. This can be an exercise of best fit which give rise to best practices under radial situations. By designing bundles of HR and compiling them into strategies of HR will prove to be productive.
As global business competition shifts from efficiency to innovation and from enlargement of scale to creation of value, management needs to be oriented towards the strategic use of human resources. Strategic human resources management practices enhance employee productivity and the ability of agencies to achieve their mission. Integrating the use of personnel practices into the strategic planning process enables an organization to better achieve its goals and objectives. Combining human resource practices, all with a focus on the achievement of organizational goals and objectives, can have a substantial affect on the ultimate success of the organization. To manage future operations effectively, it is essential that companies produce "business leaders" and "innovators" through SHRM Approach.
