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1 EXAMINING THE RELATIONSHIP BETWEEN INTELLECTUAL CAPITAL AS WELL AS TRANSFORMATIONAL LEADERSHIP AND JOB SATISFACTION OF EMPLOYERS (THE CASE OF TRANSPORTATION AND TERMINALS OFFICE) Changiz Jahangiri and Mehran Molavi 1 Department of Public Administration, Mahabad Branch, Islamic Azad University, Mahabad, Iran ABSTRACT The aim of the present study is to investigate the relationship between intellectual capital as well as transformational and job satisfaction of employers working at West Azerbaijan Transportation and Terminals office. The statistical population comprises 180 employers working at West Azerbaijan Transportation and Terminals office and 123 people were chosen as samples size using simple random sampling method. Questionnaire is the main instrument used to collect the required data involving transformational questionnaire, job satisfaction, and intellectual capital questionnaire categorized by 20, 40, and 42 items, respectively. The reliability and validity of the questionnaires were assessed. Descriptive and inferential statistics were employed. In inferential section, Kolmogorov-Smirnov test, Pearson correlational coefficient and multivariate regression test were used. Findings of the study revealed that intellectual capital was the most predictive variable to determine the most effect. Also, the results manifested that subscales of intellectual capital and transformational aspects were in positive and significant relationship with job satisfaction of employers. KEYWORDS: intellectual capital, transformational, job satisfaction, transportation and terminals, West Azerbaijan INTRODUCTION In industrial era, goods expenses, machines, equipment and raw materials were taken into account as commercial sections while nowadays, it is effective using of intellectual capital that determines the success or failure of commercial section. Despite the importance of visible capitals in producing goods and services, the economic value and wealth are derived from establishing intellectual capital and not from managing in-hand capitals. It is estimated that 50-90% of value developed by economic-basic companies is provided by managing intellectual capital. So, it is essential to devote a large portion of development to research as well as development section and to train staff and new technology in order to compete in the economic market (Soonier et al., 2007). In addition, transformational is concerned with a type of in which the leaders are gifted and provide spiritual motivation and peaceful consideration of their followers. leaders establish a creative and dynamic perspective which enforces a fundamental change in cultural values for reflecting more innovation. Also, transformational is after establishing a relationship between individual interests and those of groups so that the sub-followers are allowed to proceed for transcend and ultimate goals (Matlabi Asl, 2007). Related studies Intellectual capital The concept of intellectual capital has always been ambiguous and different definitions have been used to interpret this concept. Many tend to make use of terms such as properties, resources or performance motifs instead of capital and they substitute intellectual term with ambiguous word to address the knowledge. Intellectual capital is a capital which measures the organizational capability for establishing wealth. Such a capital is not categorized by tangible and physical nature and it is regarded as an ambiguous capital which has been obtained through making use of capitals related to human resources, organizational performance and outer-organizational connections. All these attributes lead to developing value within the organization and it is no for trade because this is regarded as a local phenomenon (Rosi et al, 205, cited in Mohaamdi & Dastgir, 2009). Bentis & Haland (2002) defines intellectual capitals as follows; intellectual capital is a storage of knowledge which exists in specific time within an organization. The association between intellectual capital and organizational learning has been considered in this definition (Bentis & Hailand, 2008, cited in Dastgir & Mohamadi, 2009). 1 Corresponding author, dr_molavi1967@yahoo.com Volume- 4 Issue- 3 (2015) ISSN: (p); (e) 2015 DAMA International. All rights reserved. 107

2 Currently, organizations face general challenges which has led to their failures in terms of structure. Change in management and styles of organizations is inevitable due to the fact that traditional styles of and management in changeable conditions lack effectiveness (Littwood, 2004, Liontoz, 2004, cited in Amirkabir et al, 2006). is the latest approach developed in relation to and there are a variety of researches conducted in this field. The approach of transformational styles is one of the theoretical framework in the world to be developed by Berens (1978) and Beth (1985). Recent years have seen over a hundred studies conducted in the field of transformational. It was declared by Beth (1990) tat leaders can guide their followers to assumed performance through making use of behavioral attributes of transformational (Mogadami, 2007). Hamshen indicates that is defined as the relationship among individuals and mastery over the sub-follower through establishing association among them in order o develop organizational goals (Elvani, 2006). It is believed by George terry that is the effect-inducing act on people so that people embark on doing group-based activities with their inner incentive (Irannejad Parizi & Sasangohar, 2006). Ivan Serich defines as an association among people who attempt to lead others to a definite gal. Putting into simpler terms, is a process in which the manager endeavors to make incentive and effective relationship in order to develop the goals in an efficient way. Hence, in the rom of organizational concept is not categorized by independent section of ; rather it is taken into account as the main and general tasks (Elvani, 2006). The human resource of every organization is taken into account as playing a great role in proceeding and leading the organizational goals. So, these people s attitudes and perspectives in relation to their jobs are important to yield efficiency. Overall attitude of humankind regarding their jobs is the same as the behavioral phenomena which is termed as job pleasure or job satisfaction. It is claimed nowadays that the more managers are aware if their job satisfaction and staff-related issues, they are more capable of plan logically in addition to increasing the level of job satisfaction on the part of the staff. Hence, a handful of studies have been conducted in this field (Mogimi, 2007). is a set of believes on emotions toward the jobs on the part of people. is considered as an important factor of job success. It is also regarded as increasing factor of efficiency and individual satisfaction. Job satisfaction means getting interest in conditions and instruments of job (Forogi, 2007). Local studies Gorbanian et al. (2010) reported that transformational was in a significant relationship with job satisfaction among the emergency section technicians in Isfahan. Chopani et al. (2012) indicated that there was a relationship between intellectual capital and organizational innovation. Also, the correlation tests manifested that all subscales of intellectual capital were in positive relationship with job satisfaction. Nahrololom et al. (2002) found a relationship between job satisfaction of physical experts and style of transformational although the value of job satisfaction was measured greater than normal. Amikabiri et al. (2006) declared in their study that there was a correlation between transformational styles and organizational commitment of staff. It was concluded that leaders who used transformational style were successful in increasing the level of commitment in relation to organization. Another study showed that there was a significant relationship between four subscales of transformational and three subscales of repercussions across Iran universities and higher educational centers. The highest and lowest correlation was observed between individual satisfaction and spiritual motivations (Norshahi & Yamtidozi Sorkhabi, 2006). International studies Marits (2012) study revealed that transformational had a positive and significant effect on job satisfaction of staff. Riaz and Heidar (2010) concluded that transformational styles had a positive effect on job success and satisfaction (Fateme et al., 2011). Findings of the studies conducted by Ivan et al. (2008), Amarjit et al. (2010) and Adel and Ebrahim (2012) support these results. Accordingly, Skandora and Williams (2004) hypothesized that transformational had an increasing effect on job satisfaction. Also, transformational along with inspiring motivation had a positive and increasing effect on job satisfaction. Volume- 4 Issue- 3 (2015) ISSN: (p); (e) 2015 DAMA International. All rights reserved. 108

3 MATERIALS AND METHODS The study is that of survey. The design used is applied, descriptive and correlational. Simple random sampling method has been used in the resent study. The statistical population comprises of 183 employers working at West Azerbaijan Transportation and Terminals Office and 124 people were chosen as sample size using Cochran formula. The questionnaire involves two sections. The first section includes questions intellectual capital developed on Likert0five item scale. The second section involves question items relevant to transformational developed based on Likert-five item scale. The number of items are categorized by 42 and 22, respectively. The reliability of questionnaires were measured as and 0.922, respectively. Analysis of statistical data 78% and 22% of the participants are male and female, respectively. Age ranges falling into below 25 years of age, years of age, years of age, and years of age are categorized by 19.7%, 45.1%, 23%, and 12.3%, respectively. Levels of education falling into categories of diploma, associate's degree, bachelor of art, master of art are categorized by 9.7%, 33.6%, 39.3%, 17.2%, and 9.8% respectively. Most frequent participants and less frequent participants are distributed as 39.3% and 1.2%, respectively. Also, job experience categories are less than 5 years, 5-10 years, years, years and higher than 20 years highlighted by 27.9%, 33.6%, 26.2%, 9%, and 3.3%, respectively. Studying normality of research variables One of the most important hypothesis in statistical analysis is assuring the normal distribution of data prior to analysis. Using Kolmogorov-Smirnov test, the researchers studied the normality hypothesis of data distribution. Null hypothesis and alternative hypothesis are considered as follows: H0: data of variable are disturbed normally H1: data of variable I are not distributed normally RESULTS Table 1. Kolmogorov-Smirnov test Variable Statistic of Kolmogorov- P-value Result Smirnov Intellectual capital Data are normal Data are normal Data are normal Since the level of significance for all variables is significant and greater than 0.05, so variables follow the normal distribution. Main hypothesis: there is a direct and positive relationship between intellectual capital as well as transformational and job satisfaction. To know what the degree of relationship between the two independent variables is, multivariate regression analysis is used and following is the results: Table 2. Multivariate correlation coefficient and determining factor for the first hypothesis R Determining Balanced Standard error Watson camera factor (R2) determining factor indicator Volume- 4 Issue- 3 (2015) ISSN: (p); (e) 2015 DAMA International. All rights reserved. 109

4 Table 3. Variance analysis of regression model for dependent variables and independent variables Source of change Sum of squares Degree of freedom Mean of squares F Level of significance regression residue total Table 4. T-test and coefficients in regression model Regression model Coefficients prior to standardization Coefficients after standardization B regression SEM measure of B t-test p- coefficients value Multivariate co-linear index tolerance variance inflation Intercept Intellectual capital Findings of regression analysis regarding the main hypothesis show that intellectual capital can predict job satisfaction of employers working at West Azerbaijan Transportation and Terminals. Also, results of regression analysis reveal that transformational can predict employers job satisfaction. Multivariate correlation coefficients between intellectual capital as well as transformational and job satisfaction show that the two variables are correlated with job satisfaction as 27%. F test degree has to do with investigating the effect of intellectual capital as well as transformational and job satisfaction. In other words, the regression test is significant at 0.99% level of confidence. This means that the chosen model in the from of intellectual capital and transformational is significant, so null hypothesis is rejected and null hypothesis is accepted. Hypothesis 1. There is a relationship between intellectual capital and job satisfaction Table 5. Results of Pearson correlation between intellectual capital and job satisfaction Intellectual capital Pearson correlation coefficient Level of significance Number 122 According to the results of the above table, Pearson correlation coefficient is at level of significance. That is to say that intellectual capital has a direct and positive relationship with job satisfaction among the staff working at West Azerbaijan Transportation and terminals Office. Table 6. Results of Pearson correlation between transformational and job satisfaction Pearson correlation coefficient Level of significance Number 122 Volume- 4 Issue- 3 (2015) ISSN: (p); (e) 2015 DAMA International. All rights reserved. 110

5 According to the results of the above table, Pearson correlation coefficient is at level of significance. That is to say that v has a direct and positive relationship with job satisfaction among the staff working at West Azerbaijan Transportation and terminals Office. RESULTS AND DISCUSSIONS The most effective components in relation to job satisfaction were reported as intellectual capital and transformational, respectively. So, it is essential that managers and officials provide the ways for improving these factors so as to obtain higher levels of job satisfaction. Regarding the fact that there is a relationship between transformational and job satisfaction, it is recommended that supreme leaders represent transformational behaviors and are introduced as the paradigms in this field so that another way is provided for transformational behaviors in lower levels across organizations. Also, it is suggested that managers are highly committed to their promises and respect their staff. It is suggested that those people are employed in organization who enjoy the characteristics of transformational and pave the way for establishing effective behaviors among the managers throughout different levels. It is concluded that individual consideration is of lowest relationship with staff job satisfaction. So, it is recommended that managers guide train and support their staff and that they attempt to develop their capabilities within a systematic process. The reason would be that employers who enjoy higher level of individual are highly fluent, produce more innovation, feel more responsibility and learn faster. All of these factors are said to be effective in relation to increasing the level of job satisfaction leading to better performance. Regarding the concept of goal-based characteristics, organization managers, regardless of individual preferences and others, attempt to integrate individual goals and organization from value-based perspective. Managers are recommended to consider the intellectual motivating as a stimulator within followers for reconsidering fundamental assumptions and questioning them as well as viewing issues from different perspectives, considering the quality of accomplishing the tasks, examining reengineering principles. REFERENCES Alvani S. (2006). Public management, Tehran, Nei publications. Amirkabiri A., Khodaiari E., Nazari, F. and Moradi M. (2006). Examing the relationship between transformational styles and organizational commitment. J. Man. Cul. 14: Bahrololom H., Amirtash A., Khabiri M. and Tondnevis F. (2002). The relationship between organizational culture and job satisfaction of physical experts in Tehran. 10 (10): Chopani H., Zare Kh., Mojtaba., Gasemi A. and Gholamzade H. (2012). On the correlation between intellectual capital and organizational innovation (the case of Development Insurance Cooperation). Innovation Creativity Humanities. 2: 1. Dastgir M. and Mohamadi K. (2009). Intellectual capital: everlasting gain of organization. Tadbir J. 214: Forogi et al. (2007). and effective factors from perspective of staff working at Isfahan University of Medicine. Iran. J. Med. Tr Matlabi Asl S. (2007). in organizations: a model inspired by environment. Tadbir J. 18(181). Mogadami M. (2007). Examining affective intelligence of leaders and transformational style MA thesis, Sistan-o Balochestan University. Mogimi S. (2007). Organization and approach-based management. Tehran: Terme publications. Norshahi N. and Yamanidozi Sorkhabi M. (2006). On the bond between repercussions and transformational style among heads of universities and higher education centers. J. Res. Plan. High. Edu. 41: 35. Fatima B., Ahmad U. and Asvir N. (2011). Effect of Leadership on job Satisfaction and Organizational Commitment in Banking Sector of Lahore (Pakistan). Int. J. Bus. Soc. Sci. 2: 18. Marnis A. (2012). The Influence of Leadership on Job Satisfaction, Organizational Commitment, and Employee Performance. Int. Res. J. of Bus. Stu. 5(2): Sonnier B. M., Carson D. C. and P. P. Carson (2007). Accounting for Intellectual Capital: the Relationship Between profitability and Disclosure. J. App. Man. Ent. 12(2): Volume- 4 Issue- 3 (2015) ISSN: (p); (e) 2015 DAMA International. All rights reserved. 111