THE FACTORS THAT AFFECTING WORK ENGAGEMENT IN HOSPITALITY INDUSTRY

By

KWAN SOO YEE

Presented To

Department of Business Administration and Management

147 Pages 18,532 Words 1,751 Views PDF Format No. of Chapters: 1 to 5 Chapters

ABSTRACT

This study was designed to investigate the relationship between work engagement and factors such as organizational trust, internal communication, work-life

balance and rewards. Specifically, the study sought to achieve the following: (1) to determine hospitality industry workers' work engagement and to find out what

cause the work engagement of hospitality employee. Data are collected from secondary sources and also primary source by distributing questionnaires.

Statistical Package for the Social Science (SPSS) version 16.0 is used to conduct new findings in the relationship of work engagement and factors such as

organizational trust, internal communication, work-life balance and rewards.

PREFACE

This study is under the subject of UBMZ 3016 Research Project which is usually taken by the final year students of Bachelor of Business Administration (HONs) in

Universiti Tunku Abdul Rahman (UTAR). It is a compulsory subject to take for every student before they are graduating from university. This research project is

carried out for around half of a year. Students learn skills and ways to conduct research and questionnaires in completing this subject.

In this project, we chose "Factors That Affecting Work Engagement in Hospitality Industry" as this research topic. The main objective for this research is to

determine and studying the factors that engage the employee in Malaysia hospitality industry. Thus, this research is conducted to obtain in-depth

understanding about the determinants which can affect the employee's work engagement in order to reduce the employee turnover rate and increase

productivity of employee in hospitality industry.

Work Engagement plays a very important role in an organization to improve the efficiency and effectiveness of organization operations. We identified four

variables which affect the work engagement in this research and we believed that this study will enhance our learning, skills of research and additional knowledge.

Other than that, UTAR also given us a guideline for conducting the research and we make it as an overview of process to investigate in the research.

TABLE OF CONTENTS Page

Declaration ii

Acknowledgement iii

Table of contents - iv

List of Tables x

List of figures xii

List of Abbreviations xiii

List of Appendices xiv

Preface xv

Abstract xvi

CHAPTER 10

Introduction 1

10 Introduction - 1

11 Research Background - 2

12 Problem Statement - - - - 4

13 Research Objectives - - 5

131 General Objective 5

132 Specific Objective - 5

14 Research Questions 6

15 Hypotheses of the Study - 7

16 Significance of Study - - 8

17 Chapter Layout - 10

18 Conclusion - - 11

CHAPTER 20

Introduction - 12

21 Review of the Literature - 12

211 Work Engagement - - - 12

212 Organizational Trust - 15

213 Internal Communication - 19

214 Work-life Balance - 23

215 Rewards 25

22 Review of Relevant Theoretical Model 27

221 Organizational Trust - 27

222 Internal Communication - 30

223 Work-life Balance - 33

224 Rewards 35

23 Proposed Conceptual Framework - 37

24 Hypotheses Development 38

241 Organizational Trust - 38

242 Internal Communications 39

243 Work-life Balance - 39

244 Rewards 40

25 Conclusion - 41

CHAPTER 3

Research Methodology 42

30 Introduction - 42

31 Research Design - - 42

32 Data Collection Methods - - 43

321 Primary Data 43

321 Secondary Data 43

33 Sampling Design 44

331 Target Population - 44

332 Sampling Frame and Sampling Location - 44

333 Sampling Elements 45

334 Sampling Technique - 45

335 Sampling Size 46

34 Research Instrument - 46

341 Questionnaire Design - - 46

342 Pilot Test - 47

3421 Result of Pilot test 48

35 Constructs Measurement 48

351 Nominal Scale 49

352 Ordinal Scale - 49

353 Ratio Scale 50

354 Likert Scale 50

355 Origin of Measure of Construct 51

36 Data Processing - 53

361 Questionnaire Cheking - - 53

362 Data Editing 54

363 Data Coding 54

364 Data Transcribing - 55

365 Data Cleaning - - 55

37 Data Analysis - - 55

371 Descriptive Analysis - 55

372 Scale Measurement-Reliability Test 56

373 Inferential Analysis 57

3731 Pearson Correlations Coefficient 57

3732 Multiple Regression Analysis 58

38 Conclusion - - 60

CHAPTER 4

Research Results 61

40 Introduction - 61

41 Descriptive Analysis 61

411 Respondent Demographic Profile 61

4111 Gender 62

4112 Age - - 63

4113 Number of Changing Job - 64

4114 Service Length in Organization 65

4115 Service Length in Hospitality Industry - 66

4116 Number of Years Working with Current Supervisor - - 67

4117 Education Level 69

412 Central Tendencies Measurement of Construct 70

4121 Work Engagement 70

4122 Organizational Trust - - 73

4123 Internal Communication 74

4124 Work-life Balance - 76

4125 Rewards - 79

42 Scale Measurement - - - - - - - - - 80

421 Reliability Test 80

43 Inferential Analysis 82

431 Pearson Correlations Coefficient - 82

4311 Hypothesis 1 83

4312 Hypothesis 2 85

4313 Hypothesis 3 86

4314 Hypothesis 4 88

432 Multiple Regression Analysis 89

44 Conclusion - - 95

CHAPTER 5

Discussion and Conclusion 96

50 Introduction - 96

51 Summary of Statistical Analyses - 96

511 Descriptive Analyses 96

5111 Scale Measurement - 97

5112 Pearson Correlation 98

5113 Multiple Regressions 99

52 Discussions of Major Findings 100

521 Organizational Trust - 100

522 Internal Communication 101

523 Work-life Balance 102

524 Rewards 103

53 Implications of Study 104

531 Organizational Trust - 104

532 Internal Communication 105

533 Work-life Balance 106

534 Rewards 106

54 Limitations of Study - 107

55 Recommendations 108

56 Conclusion 109

References 110

Appendices 120

LIST OF TABLE Page

Table 1: UNWTO Report (2013) 2

Table 31: Table of Alpha Coefficient 4

Table 32: Origin Sources of Measurement 48

Table 33: Rules of Thumb about Cronbach's Alpha Coefficient Size 53

Table 34: Summary of Reliability Test (Pilot Test) 53

Table 35: Pearson Correlation Coefficient 55

Table 36: Multiple Regressions 56

Table 41: Statistics of Respondent's Gender 58

Table 42: Statistics of Respondent's Age 59

Table 43: Statistics of Respondent's Number of Changing Job 61

Table 44: Statistics of Respondent's Service Length in the Organization 62

Table 45: Statistics of Respondent's Service Length in Hospitality Industry

Table 46: Statistics of Respondent's Number of Years Working

with Current Supervisor 64

Table 47: Statistics of Respondent's Education Level 65

Table 48: Reliability Test for Each Independent Variable and The

Overall Variables 76

Table 49: Pearson Correlation Coefficient 77

Table 410: Correlations between Organizational Trust and Work Engagement

Table 411: Correlation between Internal Communication and Work Engagement

Table 412: Correlation between Work-life Balance and Work Engagement

Table 413: Correlation between Rewards and Work Engagement 83

Table 414: Result of Multiple Regression on Independent Variable and

Dependent Variable (Modal Summary) 84

Table 415: Anova 86

Table 416: Coefficient 86

Table 417: The Ranking of Independent Variables' Contribution 87

Table 51: Significance Level 94

LIST OF FIGURE

Page

Figure 21: Model by Yehuda Baruch, Pawan S Budhwar, Naresh Khatri 24

Figure 22: Model by Van Riel 27

Figure 23 Model by Linjuan Men 28

Figure 24 Model by Geurts, Taris, Kompier, Kikkers,Van Hooff, and Kinnunen

Figure 25: Model by NyamanH, SartiK, Sweins 31

Figure 26: Proposed Theoretical Model 33

Figure 31: Pearson Correlation Coefficient 55

Figure 32: Multiple Regressions 56

Figure 41: Gender 59

Figure 42: Age 60

Figure 43: Number of Changing Job 61

Figure 44: Service Length in the Organization 62

Figure 45: Service Length in the Hospitality Industry 63

Figure 46: Number of Years Working with Current Supervisor 64

Figure 47: Education Level 65

LIST OF ABBREVIATION

SPSS : Statistical Package for Social Science

UWES : Utrecht Work Engagement Scale

UK : United Kingdom

US : United States

ICC : Integrated Corporate Communication

SD : Strongly Disagree

D : Disagree

N : Neutral

A : Agree

SA : Strongly Agree

DV : Dependent Variable

IV : Independent Variables

LIST OF APPENDICES Page

Appendix 11 : Survey Questionnaires 120

Appendix 12 : Result 126

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