PROCEEDINGS JOURNAL OF INTERDISCIPLINARY RESEARCH

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1 PROCEEDINGS JOURNAL OF INTERDISCIPLINARY RESEARCH Open Access Presented in 2 nd Interdisciplinary Research Regional Conference (IRRC) International Research Enthusiast Society Inc. (IRES Inc.) October 9-10, 2015 Effects Of Job Rotation On The Employees Of Cantilan Bank Inc. (A Rural Bank): An Assessment Michelle P. Yu, MBA, Riza L. Rubi, Cristyjane L. Pontillo, Jacelyn Q. Ocumas, Joan V. Malmis, Rose Ann M. Rosales, And Ronald Mago Surigao Del Sur State University Cantilan Campus,Cantilan, Surigao Del Sur Abstract The study assessed the effects of job rotation in the employees of Cantilan Bank, Inc.( A Rural Bank) both in Cantilan and Madrid Branches. Three (3) research questions were posed to guide the study.there were two (2) parts of the questionnaire. Part one was about the personal information of the employee in Cantilan Bank, Inc. (A Rural Bank). Part two includes the different positions that have been rotated in the employees and the effects of job rotation in the employees in terms of Job performance, Working Condition, Knowledge, and Internal Control. Random Sampling technique was used to acquire the desired data and a total of 25 respondents were studied in that institution. The study observed a descriptive survey design which the data for the study was collected through an instrument (questionnaire). The content and face validity of the instrument was adequately handled. Mean rating and percentage were employed to analyze research questions. Findings revealed that most likely, the respondents were matured enough either a male or female within the age of years old. Thus, they can do the managing, adjust and have the capacity to perform multi-tasking. Based on the findings, discussions and conclusions were drawn; recommendations made amongst others were that the employees should be rotated to the other job positions within the organization in order for them to be motivated to become effective and efficient workers. Thus, prepare them for their future career growth as well as to aid the organization s human resource planning. Keywords: Job rotation, Knowledge, Working Condition, Internal Control, Career growth, Human Resource Planning queen_misyel@yahoo.com.ph* *Corresponding Author

2 Introduction Job rotation or cross training is one of the many forms of on the job training and a formal effort of executive development. (Zeira, 1974; Beatty, Schneier and McEvoy, 1987). Job rotation can be defined as lateral transfer of employees among a number of different positions and task within jobs where each requires different skills and responsibilities. Individuals learn several different skills and perform each task for a specified time period. (Beatty, Schneier & McEvoy, 1987). Employees a resifted between two or more assignments or jobs at regular intervals of time in order to expose them to all vertical positions of an organization. This is to test the employee skills and competencies in order to place him or her at the right place. The practice of job rotation contributes at least to skill variety and task identity. In addition, employees see job rotation as a way of acquiring the skills needed for promotions and as an investment by the employers in their development. Rotating employees to different positions is an excellent way to motivate them, give them a sense of belonging, reduce boredom and fight off a back commitment. (Campion et. Al 1994). There are both positive and negative effects involved with job rotation that need to be taken into consideration when a company decision to use this technique. Organizations that use job rotation tend to be successful innovative companies and organizations with a growth and development agenda. Job rotation is also a control to detect errors and fraud. It reduces the risk of collusion between individuals. Organizations dealing with sensitive information or system (e.g bank) where there is an opportunity for personal gain can benefit by job rotation also helps business continuity as multiple people are equally equipped to perform a job function if an employee is not available other can handle his or her position with similar efficiency. The significance of this study is for both the management and the employees; they are able to discover their hidden potentials. It helps management in discovering the talent of employees and determining what he or he is best at. On the other hand, it gives an individual a chance to explore his or her own interest and gain experience in different fields or operations. Job rotation is also practice to allow qualified employees to gain more insights into the processes of a company and to increase job satisfaction through job rotation. Job rotations give the employee a bit of a break and hopefully increase job satisfaction and motivation. This enhances their working commitment and job involvement also increases an employee s knowledge, skills and perspective. It is often used as a means to groom an employee for future leadership positions within the organization. Statement of the Objectives/Problems This study will assess the effects of Job Rotation on the employee in Cantilan Bank Inc. The study specifically sought to answer the following. 1. What is the demographic profile of the employees in terms of: a) Age b) Gender c) Highest Educational Attainment d) Nature of work e) Years of Experience 2. What are the bank s positions being rotated? 3. What are the effects of job rotation in terms of: a. Job performance b. Working condition c. Knowledge d. Internal control 4. Based on the findings, what recommendations and intervention program will be suggested? Methodology The descriptive survey method of the research was utilized in this study using questionnaire as the main instrument in gathering data of the study. This method is a fact finding investigation which gathers data, based on the present condition when study was conducted. The subject and respondents of the study are composed of the employees in Cantilan Bank,Inc. Cantilan Branch and Cantilan Bank Madrid branch. For the purpose of collecting data 25 of 35 respondents are considered. 234

3 The instrument used in data gathering was questionnaire. The constructions of the questionnaire were developed accurately by the researcher s in a way that the respondent may understand the question clearly. There were two (2) parts of the questionnaire. Part one was about the personal information of the employee in Cantilan Bank with reference to their Name, Age, Sex, Highest Educational Attainment, Nature of work, and years of experience. Part two includes the different positions that have been rotated in the employees and the effects of job rotation in the employees in terms of Job performance, Working Condition, Knowledge, and Internal Control. The researchers sent a letter of request asking permission from the participants.they distributed the questionnaires before examining the effects of job rotation on the employees of Cantilan Bank, Cantilan and Madrid Branch. The researchers gave the participants the option to answer it while they wait or the researchers would retrieve the questionnaires the next day. Upon the retrieval of the questionnaires, the researchers examined it and were able to analyze the effects of job rotation in the employees of Cantilan Bank. Results and Discusions What is the demographic profile of the employees in terms of: Age Table 1 will show the distribution of the respondents age. AGE Frequency (f) Percentage (%) % % % % % % Total N=25 100% Table 1 clearly presented the distribution of the respondents age. It showed that most of the employees are years old which has 40%. There is only 1 (4%) who belongs to years old frequency group. Gender Table 2 will reveal the distribution of gender of the respondents. Gender Frequency (f) Percentage (%) Male 12 48% Female 13 52% Total % Table 2 showed that 48% of the employees are male and 52% of them are female employees. Gender distribution indicated that males are outnumbered by the female employees of Cantilan Bank. Nature of work Table 3 will show the present nature of work of the employees of Cantilan Bank. Nature of Work Frequency (f) Percentage (%) New Accounts 2 8% Teller 5 20% Account Officer 9 36% Bookkeeper 3 12% Loan Officer 1 4% Cashier 2 8% Manager 1 4% Vault Custodian 1 4% Loan Processor 1 4% BMA 1 4% Total % Table 3 showed that 36% were account officers and the least frequency were Manager, Vault Custodian, Loan Processor, and Branch Marketing Assistant(4%). 235

4 Years of Experience Table 4 will reveal the profile of the respondents with regards to their work experience. Years of Experience Frequency (f) Percentage (%) 1 month-1 year 4 16% 1 year above-2 years 4 16% 2 years above-3 years 5 20% 3 years above-4 years 4 16% 4 years above-5 years 2 8% 5 years above-10 years 4 16% 10 years above-15 years 2 8% Total % As shown from the table above, it showed that 20% of the respondents are working for 2 years above to 3 years. Whereas, the least frequency of the respondents profiled through their work experience, are working 10 years above to 15 years (8%). What are the bank s positions being rotated? Table 5 presents the positions in the bank that were being rotated by the employees. Nature of Work Frequency (f) Percentage (%) New Accounts 14 56% Teller 14 56% Accounting Officer 12 48% Bookkeeper 3 12% Loan Officer 4 16% Cashier 5 20% Manager 2 8% Loans Bookkeeper 2 8% Branch Marketing Assistant 1 4% Table 5 showed the positions within the workplace which has been rotated. The New Accounts and Teller are the positions which garnered 56% and obviously highest percentage of positions being rotated. The least position being rotated is the Branch Marketing Assistant with 4%. Effects of job rotation in terms of: Job Performance Table 6 will show the effects of job rotation in the job performance of the employees Weighted Mean Verbal Interpretation Ranking I find myself more productive when there s a job rotation Strongly Agree 1 Job rotation makes me confuse with my job Disagree 2 It gives me hard time to learn new task Disagree 3 I don t find myself productive when I m being assigned to other jobs. 2.2 Disagree 4 This leads me to low performance Disagree 5 Table 6 revealed that employees strongly agreed on the notation that I find myself more productive when there s a job rotation which has the highest weighted mean of However, on the idea that Job rotation leads me to low performance has the lowest weighted mean of The analysis of this research question coincides with a study conducted by Weichel et. al. (2010) in an automotive industry observed the relationship of job rotation and aging workforce and impaired employees. The results show that older employees and impaired workers rotated less. Workers who rotated more assess their job performance higher than the aging and impaired employees who rotated less. The more that an employee participates in job rotation, the less is his absenteeism. Higher absenteeism, lower job performance and lower health score are observed among the aging workforce and impaired employees who rotated less. 236

5 Working Condition Table 7 presents the effects of job rotation in the working condition of the employees within their workplace. Weighted Mean Verbal Interpretation Ranking Job rotation improves my working condition Strongly Agree 1 My new environment and coworkers motivates me to work harder Agree 2 It decreases boredom in my usual job Neither Agree nor Disagree 3 This gives me physical and emotional stress Disagree 4 Job rotation decreases my concentration towards new task Disagree 5 Table 7 vividly showed the effects of job rotation in terms of the employees working condition. It presented that the employees strongly agreed on the concept that Job rotation improves my working condition which has a weighted mean of While the idea of Job rotation decreases my concentration towards new task was disagreed by the respondents with a weighted mean of It conformed with a study which has a conclusion that job rotation not only increases professional knowledge and experiences, also individual s performance in different positions and responsibilities is the best criterion for evaluation and measurement of his capabilities especially his working condition (Esmaili, 1999). Knowledge Table 8 will indicate the effects of job rotation in the field of employees knowledge. Weighted Mean Verbal Interpretation Job rotation gives me opportunity to learn new things and develop them. 5.2 Strongly Agree Job rotation expands my knowledge, accomplishment, reach impact and potentially influence a different aspect of the organization Strongly Agree I learned different jobs that require new skills and provide different responsibilities. 4.4 Strongly Agree I acquire professional growth with job rotation Strongly Agree It builds my organizational knowledge and ability to get things done. 2.8 Neither Agree nor Disagree Table 8 showed that the highest weighted mean when it comes to the effects of job rotation in the knowledge of the employees is the notion that Job rotation gives me opportunity to learn new things and develop them with a weighted mean of 5.2. The concept which emphasizes that It builds my organizational knowledge and ability to get things done garnered the lowest weighted mean. In connection with the analysis above, a study confirmed it. That study revealed that one of the effects of job rotation in this company have on the employees are improved knowledge and skills. The knowledge and skills are categorized into technical (accounting and finance), business (how the company operates in the national and international milieu) and administrative (communications, planning and computers). Likewise, rotated-employees perceive an improvement in their skills acquisition, career satisfaction and motivation, networking, strategic issues, and personal awareness (their strengths, values and management styles). The observed costs in job rotation are increased workload and decreased productivity and learning curve. (Khan, 2010) Internal Control Table 9 will show the effects of job rotation to the internal control of the employees. 237

6 Weighted Mean Verbal Interpretation This leads to effective operations and to produce quality products and services stated in our organization s vision and mission Strongly Agree 1 Job rotation helps the organization with regards to internal control Strongly Agree 2 By job rotation we work together to provide a level of comfort to an organization. 4.4 Strongly Agree 3 I become more cautious in doing my job Agree 4 These minimize the possibility to operational failure, over spending or other actions inconsistent with policy Agree 5 Ranking Table 2.9 clearly showed the effects of job rotation in the internal Control of employees. The concept with the highest weighted mean is This leads to effective operations and to produce quality products and services stated in our organization s vision and mission with a weighted mean of And the lowest weighted mean is These minimize the possibility to operational failure, over spending or other actions inconsistent with policy with a weighted mean of Thus, job rotation is effective in the internal control of the employees. It corresponded to the study which found out that job rotation is a useful experience for education of individuals whom have potential talent for holding senior organizational positions. Thus, it is necessary for them to work in different organizational units in order to acquire essential organizational knowledge for fulfillment of future responsibilities and duties (Abtahi, 1997, p: 93). Conclusion Based on the results and findings of the study, conclusions are hereby drawn. 1. All of the respondents involved in this study were qualified to handle the position being assigned to them. 2. All of the respondents are flexible enough to easily cope and adjust to their new job and co-workers. 3. Majority of the respondents learned new skills and provide different responsibilities when they are being rotated. 4. By job rotation employees learned to synergize to others to effective operation and to produce quality product and services. 5. All of the respondents stated that job rotation is a very good strategy used by the institution to develop their skills and be more knowledgeable. Recommendations Based on the findings and conclusion the following recommendations are presented: 1. The employees should be rotated to the other job positions within the organization in order for them to be motivated to become effective and efficient workers. Thus, prepare them for their future career growth as well as to aid the organization s human resource planning. 2. The institutions must also clearly identify and discuss the advantages of Job rotation to the employees for individual career development especially in employees knowledge, working condition, job performance and internal control. 3. Organizations must also give emphasis on job rotation which evidently has given not only an improved employee career development but also helped the organization in moving towards their organizational goals as well as in the direction of their vision and mission by addressing skills that are not enhanced by the program through specific training programs and management coaching. 4. Job rotation must also be used in every organization especially with internal control problems to at least minimize and consequently eliminate fraud and deviation of organization s operation and system policies. 5. Organizations must proactively use job rotation for all employees as well as for those in professional or managerial jobs to give special attention on equal employment opportunity. This may be of great worth for developing employees in all types of jobs. 6. Implement specific methods of maximizing benefits and minimizing costs of rotation like increasing employee career and benefits awareness by ensuring them that they are reflected on their specific career development plans, decreasing also workload costs by managing the job rotation timing which also supports the operation of the business to run smoothly with the existent job rotation. 238

7 7. Organization should also link the rotation with the employees specific career development plans. 8. Future researches can also be conducted for further investigation on the effects of job rotation on the employee as well as on the organization and can adapt job rotation design that will enhance the effectiveness of job rotation. References Alagse, N.(2011) Importance of Job Rotation. Retrieved January 12, 2015, from Vitan, F.(2011) 10 Ways That Job Rotation Improves Job Satisfaction. Retrieved January 14, 2015, from Beatty, R. W., Schneier, C. E., & McEvoy, G. M. (1987). Executive development and management succession. Research in personnel and human resources management Campion, M. A., Cheraskin, L., & Stevens, M. J. (1994). Career-related antecedents and outcomes of job rotation. Academy of Management Journal Coney. P. (2011) Effects of Job Rotation. Kaymaz, K. (2011) Performance Feedback: Individual Based Reflections and the Effect on Motivation Dhaliwal and Magas (1973) Increased Productivity. Retrieved February 8, 2015 from Rothwell and Kazanas,(1994) Job Rotation. 239

CHAPTER 4 RESULTS AND DISCUSSIONS

CHAPTER 4 RESULTS AND DISCUSSIONS The study tried to assess HRD practices and challenges in selected regional in Yangon International Airport. In this chapter the major findings of the study were analyzed