MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HOCHIMINH CITY ------------ BUI AN ANH TUAN INTRINSIC MOTIVATION AND IN-ROLE JOB PERFORMANCE A STUDY IN VIETNAM MASTER THESIS OF BUSINESS ADMINISTRATION HO CHI MINH CITY - 2012 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HOCHIMINH CITY ------------ BUI AN ANH TUAN INTRINSIC MOTIVATION AND IN-ROLE JOB PERFORMANCE A STUDY IN VIETNAM Subject: Master of Business Administration Code: 60.02 MASTER THESIS OF BUSINESS ADMINISTRATION SUPERVISOR: PhD. PHAM QUOC HUNG HO CHI MINH CITY - 2012 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com i ACKNOWLEDGEMENT The achievement of this study is not only my effort but also the valuable contribution of many individuals. I would like to express my thankful feeling and deep memory to all of them. First of all, I would like to thank my supervisor, PhD.
Pham Quoc Hung, for his close attention, suggestion, encouragement from the first step and during my thesis development. He is very kind to help me all materials related to my thesis. Next, I am so happy to have the warmest love from my family who always concerns and supports me in any case. Finally, I am very lucky to receive a large knowledge and enlightened understanding from hundreds of guidelines and comments from my friends.
They are my classmates and my friends who are willing to reply promptly all my relevant questions at any time and everywhere I ask. Importantly, all the right arguments in this study were surely explained with the help of above mentioned individuals, all the mistakes or shortcomings are solely due to my weakness. All comment and suggestion are welcomed. Ho Chi Minh City, October 2012 Student: Bui An Anh Tuan LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com ii COMMITMENT To teachers and readers.
I am Bui An Anh Tuan, student of Master of Business Administration, K19 (EMBA K19) of the University of Economics Ho Chi Minh City. I commit that the thesis “Intrinsic Motivation and In-role Job Performance: A Study in Viet Nam” was carried out and accomplished by my serious study procedure and scientific research. The related literature and quotations used in this study are sourced from books, articles, researches, references. The data in the study was primarily collected from companies in Ho Chi Minh city.
The data analysis and results of the study were conducted and explained scientifically by myself. I declare and commit again that this study is not copied originally from any other study and research. Ho Chi Minh City, October 2012 Student: Bui An Anh Tuan LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com iii TABLE OF CONTENT Acknowledgement. ii Table of content.
iii List of tables. v List of figures. vi CHAPTER 1: INTRODUCTION 1.3 Purpose and significance of the study .4 Delimitation of the study .5 Structure of the study. 4 CHAPTER 2: LITERATURE REVIEW 2.2 Two measures of job performance .4 General Self-Determination Theory .8 Influential factor of social context .9 Motivation and job performance .10 Research model and hypotheses .1 Questions of questionnaire .2 Questionnaire back translation.
24 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.6 In-role Job Performance measurement .5 Data collection and analysis .1 Data cleaning and input method .3 Confirmatory factor analysis .4 Analysis of variance. 32 CHAPTER 4: DATA ANALYSIS 4.3 Scale reliability analysis .4 Confirmatory factor analysis .1 Linear multiple regression .2 Testing assumptions for regression .3 Regression with dummy variable. 50 CHAPTER 5: DISCUSSION AND CONCLUSION 5.3 Limitation and further research. 61 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com v List of tables Table 2.1: Type of extrinsically motivated behavior .2: Normality descriptive statistics .3: Cronbach’s alpha of sub scales .4: Goodness of fit indices .5: Standardized regression weight .6: Gender group statistic .7: Independent Samples Test .8: Marital group Statistics .9: Mean of Groups Analysis.
48 List of figures Figure 2.1: The research model. 39 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com vi Abstract We need people to work at their best effort voluntarily to have the best performance. We have to understand the psychological motivation and create the good condition in which people are motivated. Psychological motivation is of two types: intrinsic and extrinsic.
Intrinsic motivation comes from internal or self stipulation. Extrinsic motivation comes from external or contingent rewards. The study based on Self-Determination Theory that focuses specially on intrinsic motivation and its effect on job performance. The study has carried out a survey of 239 respondents from companies in the Ho Chi Minh city based on the well designed self-reported questionnaire.
Using multiple regression model, three intrinsic motivators – perceived autonomy, perceived competence, perceived relatedness – have showed their positive effects on in-role job performance. Interestingly, relatedness has the strongest effect, autonomy has moderate effect and competence has lowest effect. The mean analysis has not been found statistically significant difference among demographic groups. This study also contributes to the theory of motivation and initially confirms the validation of Self- Determination Theory in the Viet Nam context.
LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 1 CHAPTER 1: INTRODUCTION 1.1 Introduction Many studies have been carried out to understand about the motivation. According to definition of Psychology Today, Motivation is literally referred to the desire of a person to do things (Psychology Today, How to get motivated, 2012). Ryan & Deci asserted that motivation concerns energy, direction, persistence – all aspects of activation and intention. Motivation relates to the person who are managers, teachers, leaders and involves mobilizing others to act (Ryan & Deci, 2000).
Kinicki and Kreiner suggested that motivation presents psychological processes that cause stimulation, persistence of voluntary actions that are goal directed (Kinicki & Kreitner, 2001). Employees that are motivated to work long and hard are normally more productive than that are not motivated (Daniels, J. Motivation is of two general types: intrinsic motivation and extrinsic motivation. As defined by Gagne and Deci (2005), intrinsic motivation refers to internal factors such as interest, enjoyment, choice, perceived competence, relatedness etc.
Satisfaction of these factors causes and maintains intrinsic motivation. Aronson, Wilson and Akert (2002) defined “Extrinsic motivation refers to external factors which can be measured in monetary terms such as salary and bonuses etc” (cited in Mundhra & Jacob, 2011). These are external to the people. According to Ryan and Deci (2000), the term extrinsic motivation is the attainment of separate outcome from the performance of an activity; and intrinsic motivation is the performance of an activity for the inherent satisfaction from the activity itself.
They also mentioned that fun and challenge are of greater significance to an intrinsically-motivated person than external pressures, contingencies and rewards. In this study, based on the Self-Determination Theory proposed by Deci and Ryan (2000), I refer to perceived competence, perceived autonomy and perceived relatedness as three intrinsic motivators to evaluate the motivation of the company on employees. LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 2 Performance has the important concern for the leaders to pay attention and it can be used to evaluate the leadership effectiveness. Performance of an individual depends on his ability and motivation.
There are two types of employee performance in-role and extra-role as the overall motivation. It is used to assess the motivation through perceived performance by himself. As suggested by William and Anderson (1991), a person undertakes his job responsibilities and requirements, he has done his in- role performance. A person takes the actions beyond his job responsibilities and requirements at his voluntary behavior, he has taken extra-role performance (William and Anderson, 1991).
In this study, I refer to in-role performance to measure the overall motivation of employee.2 Problem Statement Morgan (1997) (cited in Mundhra & Jacob, 2011) stated that people are valuable resource that may contribute in several different ways to a company’s outcome provided that the company creates them an appropriate chance to do. Mundhra and Jacob (2011) mentioned that a company needs its employees working at their best effort towards its goals for its success. Employee also have a desire to remain and work for long time in the company. However, according to a report, in average, every three new employees are recruited, there are two current employees leaving the company.
The turnover rate is about 40-50% (Tran, 2011). Also, this paper reported that a survey by Navigos in 208 enterprises in 2005 with 35,000 participants, the job leave rate was very high: 18.2% for management level; 14.8% for experts and 23% for office staff and workers. And research of Kevin and Keri (2006) confirmed that the primary principle for employment loyalty and commitment in the twenty first century is of leadership factors. Moreover, the absenteeism and bad attitude (stress, negative effort, tardiness, stealing) are also important issues for the companies.
Such loyalty and commitment comes from motivation. Motivation has been defined as the amount, quality and direction of the employee, effort that energizes their behavior within the work environment (Perry and Porter, 1982). Schultz (1998) LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 3 stated that motivation is aimed at achieving higher work productivity and job satisfaction as highly motivated persons tend to work harder and perform effectively in their job. From these comments and reports, I realize that motivation, especially intrinsic motivation, is very important and it would affect the performance of employee and ultimately the result of the company.
That is the main reason I decide to investigate relationship between intrinsic motivation and performance in the Viet Nam context (in the area of Ho Chi Minh City).3 Purpose and Significance of the study The success of the company contributes to the prosperity and the wealth of the society and is the desirable purpose of all businesses. All businesses are comprised of people from all levels of the organization and are managed and operated by these people. So, the success or failure of a company is depended on the performance of everybody. The leaders will set the objectives and manage all organizational activities and the employees will undertake the specific tasks related to their job responsibilities and requirements.
However, the leaders will take responsibility for the outcome of the company. The purpose of the study is to investigate the relationship between intrinsic motivation and in-role job performance of the employee. Specifically, I shall investigate the relationships of perceived autonomy and in-role job performance; perceived competence and job performance (from now on, in this research, job performance also is referred to as in-role job performance); and perceived relatedness and job performance. Besides, some other variables of personal respondents are also tested to find any relationship to the job performance or as the influence on intrinsic motivation and job performance.
From the result of the study, we can understand the importance of employee intrinsic motivation and its affect to the job performance of the employee. For theory, it contributes to academic knowledge about motivation and job performance and the relationship between them. It introduces another research LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 4 model of theory. It will create more stipulation for further study for deeper understanding about this field.
For management, the study gives more empirical evidence for managers to understand and apply to their managerial practices. In order to achieve the highest employee job performance, the leaders must understand and know how to motivate intrinsically all people to exert their best ability for the highest result. By understanding the motivation theory, we can mobilize the right motivators to drive the people to the utmost effort and performance. This study will also help test the hypotheses and give some specific findings in the Viet Nam context.4 Delimitations (related theories/concepts/sectors) There are many theories related to the field of motivation and were researched by a number of empirical studies all over the world, from demand theory of Maslow, two factors theory of Henzberg, expectancy theory of Vroom to investment theory and cognitive evaluation theory.