Analysis the Factors impact on the Job Involvement and Organizational Commitment

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1 Analysis the Factors impact on the Job Involvement and Organizational Commitment Ha-Young, Hyun Department of Public Administration Korea University Ⅰ. Introduction Nowadays, the government paradigm has been remarkably changed. From the late 1970s through the 1990s, a revolution swept the world. Changes to the study of public administration tend to follow those in the practice of the administration of government. The major changes include the alleged shift to globalization affecting comparative public administration, the spread of economic rationalism in policy analysis, the new wave of management affecting the study of the public service(christorper hood, 1995). To reflect this trend, in South Korea has made an effort to change the environment of the work place; Creating a government that works better and Cost less. Actually, much of the theory and discourse on public bureaucracies treats them negatively, as if they incline inevitably toward weak performance. And they stressed the people resources of government must be valued more highly and developed more carefully. So Strong leadership, partnership with unions with other levels of government are stressed in Public sector like private sector. If government leaders and the public are serious about demanding better performance from government, they must also be serious about better ideas for the public service(ingraham, 2000). In other words, there is an growing recognition that human capital is an investment and performance is determined by human resource management. Job involvement as an attitude is an important variable that helps in maximizing organizational effectiveness. It may the higher the degree of job involvement, the greater organization s effectiveness. Improving employee behaviors are major aspects of a manager s job. Managers often try to influence work-related attitudes in order to create behavioral changes. This attitude might be related to impact what employees behaviorally do.

2 As we know, however, public and private organizations have significant differences. Although there have been much differences, many studies focused on management of organization in the private sector. However, one important thing is that significant differences exist between public and private organization need to management to their unique traits. New Public Management has premise that there are more similarities than differences in public and private organization(younghan Jun, 2005). The aim of this paper is to analyze empirical test to classify the worker s character in the private and public organization. This paper is structured as follows. First, I compare private and public organization along the work-related attitude and value in the private and public organization and its variation to the time. Second, from the t-test and panel regression model, analyze the impact of the job satisfaction to the organization commitment. Namely research question is: What are important organizational determinants of Job involvement and Job satisfaction?. Ⅱ. Previous Research & Methodology 1. Literature Review In this chapter I provide a review of the theoretical and empirical literature. Job involvement and commitment have each received attention as work-related attitudes and subsequent predictors of work-related outcomes(freund, 2005). Geunjoo Lee and Haeyoon Lee(2007) analyzes the effects of the expectancy for intrinsic and extrinsic rewards, and Pubic Service Motivation (PSM) on the performance level. A sample of 307 public employees in central government is used for regression analysis. Results of the analysis show that public employees tend to prefer intrinsic rewards to extrinsic rewards. Intrinsic rewards have positive and statistically significant effects on performance while the expectancy for extrinsic rewards does not. In addition, public personnel with high level of PSM tend to perform better. Results of analysis support the need for intrinsic rewards in order to improve the performance of public employees. Nutt and Backoff(1987) said that there are critical difference between public and private sectors. Public organization s goal are more vague, ambiguous, and complex and often change and information on achieving goals is weak or

3 unavailable. And the private-sector variables of market volatility and competition should be replaced by the need for action and responsiveness in public settings. Perry and Rainey(1988) focus on the differences and similarities of organizations in these two sectors. The government tends to be more bureaucratic than private organization. They define bureaucratic organizations as having more elaborate hierarchies and greater centralization, standardization, and formalization. So they tend to be more resistant to changes. 2. Analysis Tool <Figure1> Analysis Tool The model will find to predict various work-related behavior s attitude which influence on the job involvement and organizational commitment and further improve job performance. So do the empirical test to find a primary factor of these two organization worker s motivation. This paper is structured as follows. First, I compare private and public organization along the work-related attitude and value in the private and public organization and its variation to the time. Second, from the t-test and panel regression model, analyze the impact of the job satisfaction to the organization commitment. 3. The data & Methodology This chapter is intended as an outline of the methodology and data collection. Again, my interest in this paper is to examine the work-related attitude and value and the factors of

4 job satisfaction, job involvement and organization commitment - difference and similarity of the people who works on the public and private organization. So far, there are no studies of a change of mind of workers on public or private organization with panel data. In addition, it isn t possible measure the impact of analysis of job satisfaction to the job involvement and organizational commitment with cross-sectional data. So in this paper, I used the panel data which was given KLIPS(Korean Labor & Income Panel Study). KLIPS has served as a valuable data source for the microeconomic analysis of labor market activities. Panel data can be used to examine issues that cannot be studied using time series or cross-sectional data alone. Cross-sectional data tell us who is unemployed in a single year, and time series data tell us how the unemployment level changed from year to year. But neither can tell us if the same people are unemployed from year to year, implying a low turnover rate, of if different people are unemployed from year to year. Analysis using panel data can address the turnover question because these data track a common sample of people over several years. Ⅲ. The data and Findings <Table 1>The variables and definition Variable Concept Description Dependent Job Involvement 5 Likert scale variable Organizational 5 Likert scale Commitment Independent Job Satisfaction 5 Likert scale variable Public Officer Control variable Private Worker Age From 18 to 60 sex Female=0, male=1 Education Preschool=1, uneducated=2, elementary school=3, midschool=4, high school=5, two-year collage=6, four-year collage=7, M.A=8, PH.D=9 Occupation casual=0, permanent=1 Research object Workers on public and private organization The data 2003~2006 year

5 1. Dependent Variable 1) Job Involvement Job Involvement is the extent to which an individual is personally involved with his or her work role. These are the survey questions to measure score the worker s job involvement in public and private organization. Job involvement was measured with these survey questions which are calculated with average. <table2> Survey Questions - Job Involvement Job Involvement Survey Questions Answer Do you satisfy your current work? 1Strongly disagree Do you have passion for your job? 2Disagree Do you happy to your current work? 3Neither agree nor disagree Do you feel worth of your work? 4Agree Unless something wrong, you want to continue to your work. 5Strongly agree 2) Organizational Commitment Organizational commitment in the fields of Organizational Behavior and Industrial/Organizational Psychology is a employee's psychological attachment to the organization. It can be contrasted with other work-related attitudes, such as Job Satisfaction, defined as an employee's feelings about their job, and Organizational identification, defined as the degree to which an employee experiences a 'sense of oneness' with their organization. Organizational commitment was measured with these survey questions which are calculated with average. <table3> Survey Questions - Organizational Commitment Organizational Commitment Survey Questions Answer You think, your work palce is not well. 1Strongly disagree You are very pleased to join current organization. 2Disagree You will recommend to your friend who looking for a work. 3Neither agree nor disagree You are boastful of your job. 4Agree Unless something wrong, you want to continue to your work. 5Strongly agree

6 3) Motivation This table shows the motivation that consists of intrinsic and extrinsic incentive factors. And that stimulate people to act at work place. The manager is to set up an environment in which workers are willing to put forth their best effort to master their goals. What is intrinsic motivation? Without extrinsic incentives, why would a worker expend effort? In most employment work place, the intrinsic motivation is high that means the employee desire continue to work. <table4> Survey Questions - Motivation Factors Factor Job satisfaction answer Intrinsic incentives Contents of a work 1Strongly satisfy Extrinsic incentives Network and relationship The revenue 2Satisfy 3Neither satisfy nor dissatisfy The welfare A guarantee of a person s status Developmental possibility 4Dissatisfy 5Strongly dissatisfy. The Results 1) Descriptive Statistics As the result, guarantee status and aptitude to the work are high influence to choose the job and attitude toward one s job. Contrary to expectation, at the private organization guarantee status are also most important thing toward job too. And revenue is fifth condition at the private sector. Figure 2 shows that private employees are willing to guarantee status and that is growing over time. In addition, developmental possibility and revenue of government officers are higher than before and an upward tendency. These represents

7 <figure2>what is your primary condition to chose the job? Private organiztion workers Public organization workers 2) Panel Regression Modle The results of two regression analysis of the job involvement and the organizational commitment tell us how to manage employees to motivate and achieve performances. From this analysis, job satisfaction has the great power to influence to the job involvement and organizational commitment. As previously stated, human capital is an important in global and determine the performance. Therefore, human resource management is needed to achieve high performance at organization.

8 <table5> Impact of the job satisfaction to job involvement Job Satisfaction Job Involvement Organizational commitment Coef. Coef. sex *** age *** ** Education ** *** Occupation Organization *** *** Work contnet *** *** Network and relationship *** *** Revenue *** *** A guarantee of a person s status *** *** Developmental possibility *** *** Performance evaluation *** *** _cons *** *** (within) (between) (overall) N 4313 Region 2038 First, let s see the impact of the job satisfaction to job involvement. Table 5 shows that if each unit increase in the satisfaction of the contents of a work, results in a increase to the job involvement. Each unit increase in the revenue satisfaction, results in a increase in the job involvement. However, as we can see the satisfaction of a work is primary influencing factor to the job involvement and it is twice as much as second factor. There is the list in the order of the factor what is most great influence on the job involvement- Work content(0.31) > Wage(0.14) > Network and relationship(0.13) > Developmental possibility(0.11) > A guarantee of a person s status(0.09) > Performance evaluation(0.08)

9 Next, see the impact of the job satisfaction to the organizational commitment. So we can conclude the greatest impact of both job involvement and organizational commitment results when work content is fit to employees, and second factor is wage. But the The focus of this study is on how employees can move to their satisfaction and what the factor of satisfaction influence to the job involvement, further the organizational commitment. Each unit increase in the work content and wage satisfaction, results in a 0.19 increase in the organizational commitment. However, from the survey result we already saw the aptitude to the work which influences on choice the job is a guarantee of a status. So we can see it is a little different between the attitude toward job and the factor which make person involve to his work and organization. So this analysis will be useful materials to manage the organization to the leader or manager. Ⅳ. Conclusion Since the 1980s governments at all levels have been implementing a series of related reforms that focus on making government more productive, responsive, and focused on performance. For many governments the first stage of reform was adopting private-sector management practices such as strategic planning, performance-based budgeting, cost accounting, and benchmarking. However, we need to move our understanding of strategic management beyond difference how it functions in unique setting to broader. As previously reviewed, public and private organization have significant differences and workers expectations are a little differ too. So if we want to manage the organization efficiently and performance higher, we have to know what they want and what the factor motivate them. My research result represents the impact of the job satisfaction to job involvement and impact of the job satisfaction to organizational commitment. And these analysis may offer worked both private and public ways. If human resource management is stressed and organization leaders use their human capital suitable, that helps to maximizing organizational. In addition thoroughly knowing human capitals what they want may lead to high performance and feeling of satisfaction to the job.

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11 Lynn Jr., Laurence E. (2001). The myth of the Bureaucratic Paradigm; What Traditional Public Administration Really Stood For, Public Administration Review. Vol.61, N0.2, pp Nutt, Paul C., and Robert W. Backoff A strategic management process for public sector and third-sector organizations. American Planning Association Journal 53,no. 1: Pe rry, James L, and Hal G. Rainey. (1998). The Public-private distinction in organizational theory: Critique and research strategy. Academy of Management Review 13,no: 2: Rainey, H.Gm and Bozeman, B. (2000). Comparing Public and Private Organizations: Empirical Research and the Power of the a Priori', Journal of Public Administration Research and Theory, 10, Wamsley, G.L. et al. (1992). A Legitimate Role for Bureaucracy in Democratic Governmece, In Hill, L.B.ed. The State of Public Bureaucracy. M.E.Sharpe Williams, Daniel W. (2000). Reinventing the Proverbs of Government, Public Administration Review, Vol.60, No.6, pp Wilson,, Woodrow. (1887). The Study of Administration, Political Science Quarterly, Vol.2.

Research on the Impact of Public Service Motivation on Job Satisfaction: Taking the Chinese Civil Servants for Example

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