Xavier Institute of Management

Bhubaneswar

SRM PROJECT
Effect of different factors on Employee Satisfaction

Course Instructor: Dr. Prahlad Mishra

Submitted By: Group 1,

Section A

TABLE OF CONTENTS

Sl.

Topic

No

Pag
e No

Introduction

UM140
01
UM140
04
UM140
24
UM140
25
UM140
29
UM140
32
UM140
36
UM140
37
UM140
38
UM140
56

Abhijeet Dash
Abinash Mallick
Esha Epsita
Tarakshewar
Rao
Krishna Kumari
Kundan
Mohapatra
Nitika Baralia
Padmalaya
Mallick
Goutam Prasad
Rao
Sukanya Dash

2
3
4
5
6
7
8
9
9.1.
9.2.
10
11

.
Objective and hypothesis
Apriori Reasoning..
Hypothesis..
Methodology
Findings & Analysis
Univariate Analysis...
Cross Tabulation.....
Multivariate Analysis..
Cluster Analysis..
Factor Analysis
Conclusion...
Recommendation.

5
5
5
5
6
7
11
14
14
15
19
19

Appendix.

21

ACKNOWLEDGEMENT
We would like to express a whole-hearted gratitude to all those who have helped with the report
or have been associated with the report in any which way and made it a worth-while experience.
We are greatly indebted to our batch mates and our seniors for having shared their invaluable
experience that went a long way in the successful completion of our report.
Our group would like to acknowledge and thank the people who participated and contributed to
the successful completion of this project. We are really thankful to the participants of the survey
for their time and patience, their help is much appreciated
We would also like to thank our esteemed faculty and guide for this project Dr. Prahlad Mishra
whose guidance was instrumental in the projects successful completion.
Thank you.

1. INTRODUCTION:
Employee satisfaction has been defined in many different ways. Some believe it is simply
how content an individual is with his or her job, in other words, whether or not they like the
job or individual aspects or facets of jobs, such as nature of work or supervision. Others
believe

it

is

not

as

simplistic

as

this

definition

suggests

and

instead

that

multidimensional psychological responses to one's job are involved. Researchers have also
noted that job satisfaction measures vary in the extent to which they measure feelings about
the job (affective job satisfaction) or cognitions about the job (cognitive job satisfaction).
Employee satisfaction is of utmost importance for employees to remain happy and also
deliver their level best. Satisfied employees are the ones who are extremely loyal towards
their organization and stick to it even in the worst scenario. They do not work out of any
compulsion but because they dream of taking their organization to a new level. Employees
need to be passionate towards their work and passion comes only when employees are
satisfied with their job and organization on the whole. Employee satisfaction leads to a
positive ambience at the workplace. People seldom crib or complain and concentrate more on
their work.
Various factors exist in an organisation that contributes to area of employee satisfaction. The
brand name of the organisation is of utmost importance to the employees and it is considered
when employee satisfaction is considered. The aims and objectives of the organisation where
an employee works are likely to affect employee satisfaction. Salary and wage is one of the
most important factors behind employee satisfaction. The salary should always be in
accordance to the position of the employee in the company. Rewards and penalties are other
important things that affect level of satisfaction of an employee in his job. The kind of
treatment given by the supervisor to the employee largely determines his satisfaction level. It
is always desired to treat employees in a good manner. Working methods of the organisation
determines the satisfactory level of an employee. It is true that every organisation has its own
3

working methods but some freedom should also be given to the employees. It is essential to
check that the personality of the employee matches the type of job being allotted to him.
Expectations of the employee should also be in accordance to the level of organisation in
which he or she is working.

2. OBJECTIVE AND HYPOTHESIS

The objective of this project was to gather and analyse information on employee satisfaction in
organizations using various social research and data analysis tools. The survey focuses on how
employees feel about their job description, position within the company, relationship with
colleagues and superiors, promotion and career opportunities and overall satisfaction in the
organisation they are working in.

3. A PRIORI REASONING
Employee satisfaction is a very obscure concept to study as it involves multidimensional
psychological responses of a person towards his job. The overall employee satisfaction is a
difficult quantity to quantify. But upon interacting with few employees of different organisations
we got to find that few aspects like communication between the employees, the facilities and
benefits provided by the company, job description, promotion and career opportunities play a
very vital role in gauging the satisfaction level among the employees.

4. HYPOTHESIS
Null Hypothesis - Ho: There is no relationship between overall employee satisfaction and
gender, age group, income level, no. of years in the organization, appraisal and degree of
freedom of the employee.
Alternative Hypothesis - H1: There is a relationship between overall employee satisfaction
and gender, age group, income level, no. of years in the organization, appraisal and degree of
freedom of the employee.

5. METHODOLOGY
1.
2.
3.
4.

Selection of a research problem

Preparation and updating questionnaire according to feedback
Survey conducted
Analysis of the collected data:
a) Univariate Analysis
b) Bivariate Analysis
4

c) Multivariate Analysis
Cluster Analysis
Factor Analysis
5. Findings and Analysis

6. FINDINGS
Sample:

Survey conducted where responses were taken from people

Data Collected:
Questionnaire for survey:

outside the XIMB campus

Appendix 1
Appendix 2

7. UNIVARIATE ANALYSIS:
Demographic Profile of the Respondents
GENDER
Gender
Male
Female
Total

No. of Respondents
81
40
121

Percentage
66.94 %
33.06 %
100 %

MARITAL STATUS
Marital Status
Married
Single
Total

No. Of Respondents
44
77
121

Percentage
36.36 %
63.64 %
100 %

CROSS TABLE FOR GENDER AND MARITAL STATUS

Marital
Status

Married

Unmarried

TOTAL
5

Gender

No. of
Respondents

Male

29

Female

15

TOTAL

44

No. of
%
Respondents
23.97
%
52
12.40
%
25
36.36
%
77

No. of
%
Respondents
42.98
%
81
20.66
%
40
63.64
%
121

%
66.94
%
33.06
%
100.00
%

AGE (in years)

Age Group
20 30
30 40
40 50
50 Plus
TOTAL

No. Of Respondents
85
21
10
05
121

Percentage
70.25%
17.35%
8.27%
4.13%
100%

CROSS TABLE FOR AGE AND GENDER

Gender
Age
Group

Male
No. of
Respondents

20-30

54

30-40

15

40-50

50 plus

TOTAL

81

%
44.63
%
12.40
%
6.61
%
3.31
%
66.94
%

Female
No. of
Respondents

TOTAL
No. of
Respondents

31

%
25.62
%

4.96%

21

%
70.25
%
17.36
%

1.65%

10

8.26%

0.83%
33.06
%

4.13%
100.00
%

40

85

121

ANNUAL INCOME (in Rupees)

Income Level
< 5 lakhs
< 5 10 Lakhs
< 10 15 Lakhs
< 15 20 Lakhs
> 20 Lakhs
TOTAL

No. of Respondents
31
45
28
10
7
121

Percentage
25.62%
37.19%
23.14%
8.26%
5.79%
100%

CROSS TABLE FOR AGE GROUP AND ANNUAL INCOME

7

NO. OF YEARS IN THE PRESENT ORGANIZATION

No. of Years in the
Organization
Less than a year
1 - 3 years
4 - 6 years
More than six years
TOTAL

No. of Respondents
16
64
24
17
121

Percentage
13.22%
52.89%
19.84%
14.05%
100%

POSITION IN THE ORGANIZATION

Position in the
Organization
Management Trainee
Junior engineer
Senior Engineer
Entry-level manager
Mid-level manager
Executive
Other
TOTAL

No. of Respondents
5
23
37
15
18
14
9
121

Percentage
4.13%
19.01%
30.58%
12.40%
14.88%
11.57%
7.44%
100%

DEPARTMENT CURRENTLY WORKING IN

8

Department Currently
Working In
Operations
Finance
Sales
Marketing
Strategy
Procurement
Other
TOTAL

No. Of Respondents
29
14
3
7
8
6
54
121

Percentage
23.97%
11.57%
2.48%
5.79%
6.61%
4.96%
44.63%
100%

PRIMARY WORK LOCATION

Primary Work Location
Delhi
Chennai
Mumbai
Bangalore
Kolkata
Pune
Hyderabad
Bhubaneswar
Others
TOTAL

No. of Respondents
17
7
13
29
9
7
11
9
19
121

Percentage
14.05%
5.79%
10.74%
23.97%
7.44%
5.79%
9.08%
7.44%
15.70%
100%
9

Interpretation and Description of the Sample

After collecting the responses through a method of online convenient sampling, the
sample respondents can be described as

Of the 121 respondents, 81 were male (66.94%) and 40 female (33.06%).

Of the 81 male respondents, 29 were married (23.97%) and 52 (42.98%)
were unmarried and of the 40 female, 15 were married (12.4%) and 25
(20.66%) were unmarried which brought the total married respondents to be
44 (36.36%) and unmarried to be 77 (66.64%).
85 respondents (70.25%) belonged to the age group of 20-30 years of which
54 were male (44.63%) and 31 female (25.62%). 21 (17.36%) of them were
from the age group of 30-40 years with 15 male (12.4%) and 6 female
(4.96%). Of the 10 (8.26%) belonging to the age group of 40-50 years, 8
(6.61%) were male and 2 (1.65%) female.
The average age of the respondents was 29.63 years with a standard
deviation of 19.91 years.
The respondents had varied annual income. 31 (25.62%) respondents had an
annual income less than INR 5 lakhs. 45 (37.19%) of them had an annual
income between INR 5 to 10 lakhs while 28 (23.14%) had an annual income
of INR 10-15 lakhs. Of the remaining, 10 (8.26%) had an annual income of
INR 15-20 lakhs while the rest 7 (5.79%) had an income greater than INR 20
lakhs per annum.
Majority (52.89%) of the respondents had been working in their present
organization for 1 to 3 years while 13.22% had been working for less than 1
year, 19.84% for 4 to 6 years and 14.05% for more than six years.
The survey has captured people working at various positions in the
organization like 30.58% as senior engineers, 19.01% as junior engineers,
10

14.88% as middle level managers, 12.4% as entry level manager and 11.57%
as executive level managers.
The respondents had their primary work location at various cities like
Bangalore (23.97%), Delhi (14.05%), Mumbai (10.74%), Chennai (5.79%),
Kolkata (7.44%), Hyderabad (9.08%), Bhubaneswar (7.44%) and Pune
(5.79%) among others.

8. CROSS TABULATION
1. INCOME LEVEL VS SATISFACTION

2. EXPERIENCE VS SATISFACTION

11

3. INVOLVEMENT IN APPRISAL PROCESS VS SATISFACTION

4. DEGREE OF FREEDOM OF WORK VS SATISFACTION

12

INTERPRETATION

As the income level goes in increasing, the satisfaction level of the respondents moves
towards neutral, somewhat satisfied and extremely satisfied

As the number of experience level in the organization increases, people probably tend to
settle with the organization and hence their satisfaction level increases.

We observe that with an increase in involvement of the employee in the appraisal process,
the satisfaction level moves towards somewhat satisfied from somewhat dissatisfied

We observe that as the degree of freedom provided by superiors to the employees in idea
generation and its application increases, the satisfaction level increases.

From the above cross tables, there appears to be a positive relationship between income
level, number of years in the organization, involvement in appraisal process and degree of
freedom provided in idea generation and application and the overall satisfaction level of
employee in the company

13

9. MULTIVARIATE ANALYSIS:
9.1. Cluster Analysis:

Cluster analysis or clustering is the task of assigning a set of objects into groups
(called clusters) so that the objects in the same cluster are more similar (in some sense

or another) to each other than to those in other clusters

Variables for clustering are
o Gender
o Marital status
o Age
o Income level
o Current position in the company
o Department of the company
o Years in the company
o Primary work location

Summary Table
Variable
Gender
Marital Status
Age
Income Level
Current Position
Department
Years in company
Work Location

9.2.

Cluster 1
Male
Married
40-50
15-20
Executive
Sales
4-6 years
Chennai

Cluster 2
Male
Single
20-30
5-10
Senior Engineer
Operations
1-3 years
Kolkata

Cluster 3
Female
Single
20-30
<5
Entry Level Manager
Other
1-3 years
Kolkata

FACTOR ANALYSIS

Factor analysis is a statistical method used to describe variability among observed,

correlated variables in terms of a potentially lower number of unobserved,

uncorrelated variables called factors.

The latent variable employee satisfaction is explained by 35 manifest or observable

variables.
These manifest variables were measured to understand the four main aspects of
employee satisfaction, those are Mission Clarity, Opportunities in the job,

14

Relationship with superior and seniors and Benefits and Facilities available in the
company.
The results were as follows:Mission Clarity

The aspect of Mission Clarity was observed through seven variables which upon rotation got
grouped into 4 different components or factors.
Factors Formed
1) Intercommunication in the company
Communication from employee to the manager
Communication from the manager to the employee
2) Clarity of Mission to the Employees
Mission Clarity to the employees
Agreeability of employees with the companys mission
3) Job Alignment of the employee
Job Alignment with the mission
Feeling being a part of the company
4) Mission Clarity to the clients
Mission Clarity to the clients of the company
Opportunities in the Job

15

The aspect of Opportunities in the Job was observed through ten variables which upon rotation
got grouped into 4 different components or factors.

Factors Formed
1) Recognition and Advancement Opportunities
Right recognition for work
Awareness of advancement opportunities in work
Utilization of talent in the job
2) Inter departmental communication
Easiness of getting along with colleagues
Inter department communication
3) Availability of resources
Right resources to do the job
Right training to do the job
4) Work pressure
Reasonability of work expectation
Relationship with superior and seniors

16

The aspect of Relationship with superior and seniors was observed through eight variables which
upon rotation got grouped into 4 different components or factors.

Factors Formed
1) Role of superior in my job
Overall superior does a good job
Superior listens to my suggestions actively
Superior enables me to perform at my best
Superior is able to answer all my queries and doubts
2) Evaluation by superior
Regularity of work evaluation by superior
Superior provides with actionable suggestions
3) Superiors clarity on my work expectation
4) Superior promotes teamwork
Benefits and facilities available in the company

17

The aspect of Benefits and facilities available in the company was observed through ten variables
which upon rotation got grouped into 4 different components or factors.
Factors Formed
1) Progress in career
Rate of Career progression till date
Future career progression chances
Appraisal process
Promotion process
2) Monetary benefits received
Pay Package
Bonus
3) Extra benefits received
Healthcare benefits
Other benefits
4) Holiday available
Vacation time

10. CONCLUSION

From the factor analysis we find that variables like communication from employee to
manager and mission clarity to the clients play a major role in employee satisfaction
18

as the employee has the ease of saying his needs to his employer and the ease of

transacting business with the client helps him do work at a faster pace and accurately.
From the factor analysis variables like work expectation from an employee, right
training to the employee and proper communication in the department play an
important role because this shows that an employee enjoys his work if the work
atmosphere is cordial and warm. The right expectation and proper training also ensure

he does his work properly and enjoy it as he will not be burdened with work.
Evaluation of work and constructive suggestions from superiors helps an employee
enjoy his work and is satisfied with his work. This is because the employee gets to
know regularly the progress of his work and he is not held at certain point due to lack

of his knowledge.
Healthcare benefits and vacation time keeps employees satisfied with a certain job.

11. RECOMMENDATIONS

19

APPENDIX

1.

Questionnaire :
Questionnaire.docx

2.

Data (Master table) :

data.xlsx

3.

Bivariate Analysis
(Data Set)
Bivariate Data
Set.doc

4.

Cross Tabulation :
cross tabulation.doc

5.

Cluster Analysis:
cluster.docx

6.

Factor Analysis:
factor_analysis_clust
er1.doc

factor_nnalysis_clust
er2.doc

20