INTERCONTINENTAL JOURNAL OF HUMAN RESOURCE MANAGEMENT

ISSN:2350-0859 -ONLINE ISSN:2350-0840 -PRINT -IMPACT FACTOR:1.296

VOLUME 3, ISSUE 1, JANUARY 2016

THE STUDY OF EMPLOYEE ENGAGEMENT AND ITS IMPACT ON

TITAN WATCH DIVISION
Dr. SUNIL KUMAR DHAL
Associate Professor, QT & IT, Sri Sri university, Cuttack, Odisha.

Abstract

The academic researchers or consultancy and research institutions are mostly about employees‘
emotions, feelings and psychological attitude about the work and the company. Engaged employees
commit to the companies‘ values, feel fulfilled and enthusiastic in their work, they are focused and
energized in their work. The researcher wants to find out the impact of employee engagement in the
corporate and specifically Titan Watch division. The research has been carried out through a well-
designed questionnaire and applied primary data collection techniques. The reliability and validity of
data and questionnaire has been checked through some statistical tools. Initially the researcher had
identified thirty attributes which has some impact on the employee engagement. The conclusion has
drawn through factor analysis that the eight parameters are having some impact on employee
engagement.

Keywords: factor analysis, reliability test, employee engagement, questionnaire

1. Introduction
Titan Company brought about a paradigm shift in the Indian watch market when it in introduced its
futuristic quartz technology, complemented by international styling. Titan Company is the fifth largest
integrated own brand watch manufacturer in the world. In addition to 'Titan' the watch brand, Titan
Company has also built 'Tanishq' the leading jewellery brand over the past few years. Both these
brands are among the most recognised and loved brands in India.
The success story began in 1984 with a joint venture between the Tata Group and the Tamil Nadu
Industrial Development Corporation. Presenting Titan quartz watches that sported an international
look, Titan Company transformed the Indian watch market. After Sonata, a value brand of
functionally styled watches at affordable prices, Titan Company reached out to the youth segment
with Fastrack, its third brand, trendy and chic. The company has sold 150 million watches world over
and manufactures over 15 million watches every year.
With a license for premium fashion watches of global brands, Titan Company repeated its pioneering
act and brought international brands into the Indian market. Tommy Hilfiger, FCUK, Timberland &
Police as well as the Swiss made watch – Xylys owe their presence in the Indian market to Titan
Company.
Entering the largely fragmented Indian jewellery market with no known brands in 1995,
Titan Company launched Tanishq, India's most trusted and fastest growing jewellery brand. Gold
Plus, the later addition, focuses on the preferences of semi-urban and rural India. Completing the
jewellery portfolio is Zoya, the latest retail chain in the luxury segment.
Titan Company has also made its foray into eyewear, offering a variety of differentiated products to
the end consumer consisting of frames, lenses, contact lenses and accessories. Frames are available in
both international brands (Levis, Esprit, Hugo Boss etc.) and in-house brands – Titan, Eye+ and Dash
which is an offering for children. The company has leveraged its manufacturing competencies and

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branched into precision engineering components & sub-assemblies, machine building & automation
solutions, tooling solutions and electronic sub-assemblies. With over 1100 retail stores across a carpet
area of over 1.5 million sq. ft. Titan Company has India‘s largest retail network spanning over 220
towns. The company has over 400 exclusive ‗World of Titan' showrooms and over 150 Fastrack
stores. It also has a large network of over 740 after-sales-service centres.

2.0 Literature review

Maslach and Leiter (1997) initially defined the engagement construct as the opposite of burnout (i.e.,
someone who is not experiencing job burnout must be engaged in their job.) Maslachet al (2001), six
areas of work-life lead to either burnout or engagement: workload, control, rewards and recognition,
community and social support, perceived fairness and values. Luthans and Peterson (2002)
elaborated on Kahn‘s work on employee engagement, which provides a convergent theory for
Gallup‘s empirically derived employee engagement. They opined that to be emotionally engaged is to
form meaningful connections with others and to experience empathy for them. In contrast, being
cognitively engaged refers to those who are acutely aware of their mission and role in their work
environment Dvir, Eden, Avolio, and Shamir (2002) defined active engagement in terms of „„high
levels of activity, initiative, and responsibility. Towers Perrin (2003), defines a definition of
engagement that involves both emotional and rational factors relating to work and the overall work
experience. The emotional factors tie to people‘s personal satisfaction and the sense of inspiration and
affirmation they get from their work and from being part of their organisation. Holbeche and
Springett (2003), people‘s perceptions of „meaning‟ with regard to the workplace are clearly linked
to their levels of engagement and, ultimately, their performance. They argue that employees actively
seek meaning through their work and, unless organisations try to provide a sense of meaning,
employees are likely to quit. They argue that high levels of engagement can only be achieved in
workplaces where there is a shared sense of destiny and purpose that connects people at an emotional
level and raises their personal aspirations May et al (2004), engagement is most closely associated
with the constructs of job involvement and flow (Csikszentmihalyi 1990). Job involvement is defined
as the degree to which the job situation is central to the person and his or her identity. Flow is the
holistic sensation that, people feel when they act with total involvement. Mount, Harter, Witt, and
Barrick (2004) defined engagement in terms of a ―high internal motivational state.‖ Wellins and
Concelman (2004) suggest that ―Employee engagement is the illusive force that motivates employees
to higher levels of performance. This coveted energy is an amalgam of ―commitment, loyalty,
productivity and ownership.‖ they further added that it includes, ―feelings and attitudes employees
have towards their jobs and their organization.‖
Robinson et al, Perryman and Hayday (2004), defines ―engagement as a positive attitude held by
the employee towards the organization and its values. An engaged employee is aware of the business
context, works with colleagues to improve performance within the job for the benefit of the
organization‖. They further add that organization must develop and nurture engagement which is a
two way relationship between employer and employee. The Corporate Executive Board (2004),
suggested that engagement is ―the extent to which employees commit to someone or something in
their organization, how and how long they stay as a result of that commitment.‖ The Gallup
Organisation (2004) found critical links between employee engagement, customer loyalty, business
growth and profitability. Gallup finds that higher workplace engagement predicts higher earnings per
share (EPS) among publicly-traded businesses. When compared with industry competitors at the
company level, organisations with more than four engaged employees for every one actively
disengaged, experienced 2.6 times more growth in EPS than did organisations with a ratio of slightly

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less than one engaged worker for every one actively disengaged employee. The findings can be
considered as reliable as the variability in differing industries was controlled by comparing each
company to its competition, and the patterns across time for EPS were explored due to a ―bouncing‖
increase or decrease which is common in EPS (Ott 2007). Gallup‘s meta-analyses present strong
evidence that highly engaged workgroups within companies outperform groups with lower employee
engagement levels, and the recent findings reinforce these conclusions at the workgroup level. Lucey,
Bateman and Hines (2005) have deciphered that ―Employee Engagement is how each individual
connects with the company and the customers‖ Development Dimensions International Inc.(DDI)
(2005), head-quartered at Pittsburgh, define employee engagement as ―the extent to which people
enjoy and believe in what they do and feel valued for doing it.‖ There are three aspects of this
definition: enjoyment i.e. people enjoy what they do as a part of their job or otherwise in the
organisation; belief, that in doing so, they are making meaningful contributions to the organisation;
and value i.e. they is being recognized for making such efforts Truss et al (2006), define employee
engagement simply as „passion for work‟, a psychological state which is seen to encompass the three
dimensions of engagement discussed by Kahn (1990), and captures the common theme running
through all these definitions. He found that group in the public sector had a more negative experience
of work, they reported more bullying and harassment than those in the private sector, and were less
satisfied with the opportunities they had to use their abilities.
Saks (2006), a stronger theoretical rationale for explaining employee engagement can be found in
social exchange theory (SET). SET argues that obligations are generated through a series of
interactions between parties who are in a state of reciprocal interdependence. A basic principle of SET
is that relationships evolve over time into trusting, loyal, and mutual commitments as long as the
parties abide by certain „rules‟ of exchange (Cropanzano and Mitchell 2005). He argues that one way
for individuals to repay their organization is through their level of engagement. In other words,
employees will choose to engage themselves to varying degrees and in response to the resources they
receive from their organization. Macey and Schneider (2008) looked at engagement attitudinally and
behaviourally. They distinguished three broad conceptualizations of employee engagement, namely
state, trait, and behavioural engagement. Sarkar (2011) opined that employee engagement is a
barometer that determines the association of a person with the organization
3.0 Research Objective
3.1 General Objective
To analyze and interpret the relation between employee engagement and its impact on productivity in
the organization.
3.2 Specific Objectives
• To analyze and understand how genuine interest in employee‘s well-being, overall
development impacts productivity (career development, work –life balance, learning and
development)
• To understand how relationships are integral to employee engagement and productivity
(relationship with management and peer group)
• To reinstate that rewarding and recognizing employees motivates and infuses enthusiasm,
engages employees and leads to higher retention
• To explore the extent to which engagement in recreational activities helps reduce
absenteeism.

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• To analyze how diverse point of view improves decision making process (communication)
• To explore how employee‘s as assets of the organization leads to high performing
organization
• To study how harnessing incredible power of teamwork affects productivity.
4 Research Methodology
Research is a careful investigation or inquiry especially through search for new facts in any branch of
knowledge. Every research study has its own objectives. The procedure adopted by the Research
which works towards the realization of these objectives is known as Methodology. Methods
compromise the procedures used for generating, collecting and evaluating data. Methods are the ways
of obtaining information useful for assessing explanations.
The Objectives of the study were set up and research methodology was determined. Questionnaire
containing 30 items were distributed to employees of organizations.
The collected data was summarized and organized for further analysis. Data analysis was performed
on SPSS to derive relevant information from the data collected. Data was collected and inferences
were drawn.
4.1: Respondents Details
27 among 67 respondents are from age group of 18-30 (40%) 29 are from the age group of 31-45
(43%)and rest belongs to age group of 46-55(11%) .4 are Female and 63 are Male.
4.2: Research Design
Data collected is primary as it was collected by means of questionnaire from employees of Titan. A
structured questionnaire consisting of close ended questions was used for the purpose of this study. A
Likert Scale a five point scale was used in the questionnaire administered for the studies ranging from
strongly disagree to strongly agree.
4.3: Sampling Frame
Sampling Unit – Employees of Titan (Watches Division), Hosur
Sampling Size – 100
4.4: Tools used for analysis
Data Analysis was conducted using (Statistical Package for Social Science).The collected data is
coded, tabulated and analyzed with the help of SPSS using Kaiser Meyer Olkin sampling adequacy
and factor analysis with varimax rotation.
4.5: Data Source:
Tool for collecting data would be Questionnaire.
Questionnaire will be used as the tool for data collection. Questionnaire is a self-report data collection
instrument that each research participant fills out as part of a research study.
4.6: Data Collection Procedure:
Two types of data are collected for this study. They can be classified as follows:
I. Primary data: Primary data refers to the original data that has been collected specially for the
purpose in mind. In other words, it is called as first hand data.
Source of primary data for this study would:Questionnaire

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Secondary data: Secondary data is the data that has been already collected by and readily
available from other sources.
Sources of secondary data for this study were:
a) Organization manuals of policies , processes and procedures
b) Journals, Articles and Reviews
c) Researches
d) Internet (World Wide Web).
e) Various books.
5. Data Analysis and Interpretation
Analysis means breaking down the complexity structure with simpler elements and putting these
elements together in new combinations so as to discover new relationships or new factors. This can be
achieved only by viewing data from different angles and by representing the data adequately. With 30
different factors to analyse on employee engagement; factor analysis has been used to reduce the data,
remove redundancy and duplication from a set of co- related variable, as it is the statistical method
used to describe variability among observed, co-related variables mainly, in terms of a potentially
lower number of unobserved variables.
Reliability test was first applied on the collected data. Cronbach‘s Alpha coefficient on 34 items has
been found as .933, suggesting that the items have relatively high internal consistency.
Reliability Statistics

Cronbach's Alpha N of Items

.933 34

Factor analysis was employed to confirm the major parameters defining the whole questionnaire. It
was used as a data reduction technique to reduce the number of significant parameters or in other
words to remove redundant variables from the data files.
The Kaiser-Meyer-Olkin Measure of Sampling Adequacy is a statistic that indicates the proportion of
variance in variables that might be caused by underlying factors.KMO measures sampling adequacy
which should be greater than 0.5 for a satisfactory analysis to proceed. High values .797 indicate that
a factor analysis is useful with data.
Bartlett's test of sphericity tests the null hypothesis that correlation matrix is an identity matrix, which
would indicate that variables are unrelated and therefore unsuitable for structure detection. Value less
than .05 reject the null hypothesis and suggest that all items are perfectly correlated with each other
KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling
.797
Adequacy.
Approx. Chi-Square 1304.970
Bartlett's Test of
Df 435
Sphericity
Sig. .000

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Confirmatory factor analysis, out of the 30 factors selected for measuring employee engagement,
eight were found to be having Eigen values greater than 1. 74.16% data is represented by these eight
factors.

Total Variance Explained

Extraction Sums of Squared Rotation Sums of Squared
Initial Eigenvalues Loadings Loadings
Com % of % of
pone Varian Cumulativ % of Cumulativ Varian Cumulativ
nt Total ce e% Total Variance e% Total ce e%
1 11.55 38.525 38.525 11.55 38.525 38.525 4.699 15.662 15.662
7 7
2 2.345 S```` 47.352 2.648 8.827 47.352 4.542 15.142 30.804
3 1.869 6.230 53.582 1.869 6.230 53.582 2.541 8.471 39.275
4 1.692 5.641 59.223 1.692 5.641 59.223 2.416 8.055 47.330
5 1.248 4.161 63.384 1.248 4.161 63.384 2.379 7.929 55.259
6 1.157 3.857 67.241 1.157 3.857 67.241 2.300 7.667 62.926
7 1.045 3.483 70.724 1.045 3.483 70.724 1.886 6.285 69.211
8 1.031 3.436 74.160 1.031 3.436 74.160 1.485 4.948 74.160
9 .881 2.935 77.095
10 .798 2.661 79.756
11 .679 2.265 82.021
12 .625 2.084 84.105
13 .574 1.914 86.019
14 .516 1.719 87.738
15 .494 1.647 89.385
16 .414 1.381 90.765
17 .381 1.270 92.035
18 .353 1.178 93.213
19 .321 1.070 94.282
20 .303 1.009 95.291
21 .253 .842 96.133
22 .224 .745 96.878
23 .190 .632 97.511
24 .163 .545 98.055
25 .149 .497 98.552
26 .127 .424 98.976
27 .108 .359 99.335
28 .086 .285 99.620
29 .066 .220 99.840
30 .048 .160 100.000
Extraction Method: Principal Component Analysis.
The component matrix gives the factor loading .loading above ‗0.6‘ is considered high and below
‗0.5‘ is considered low. Rotated component matrix suppresses all loadings lesser than 0.5 Factor
loadings were identified using rotated component matrix. 8 components were extracted through
Principal Component Analysis have emerged as major factor driving employee engagement

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Rotated Component Matrixa

Component
1 2 3 4 5 6 7 8
material_equipments .210 .657 -.075 .101 .195 .295 .270 .194
expectation .132 .742 .068 .114 .242 .129 .202 .148
workload_distribution .504 .280 .193 -.016 .330 -.125 .045 .482
competency -.026 .794 .083 .122 .122 .277 -.088 .104
proud_of_titan .130 .845 .262 .098 .004 -.011 .012 .121
speak_well_organisation .142 .635 .041 .302 .189 -.021 .432 .010
recognization_and_appreciat .061 .296 -.036 .075 -.024 .121 -.031 .778
ion
welfare_facilities .203 .297 .049 .481 .319 .269 .093 -.128
promotion_awareness .332 .081 .389 .012 .665 -.077 .100 .175
career_path .189 .087 .300 .354 .176 .230 .363 .436
growth_opportunities -.135 .206 .103 .463 .222 .196 .603 .119
training_facilities .213 .053 .112 -.094 .045 .042 .898 -.048
team_work .174 .060 .799 -.007 -.015 -.042 .220 -.006
working_relationship .149 .355 .672 .244 .002 .130 -.125 -.075
fair_treatment .095 .090 .640 .075 .347 .409 .150 .183
problem_sharing .173 .536 .178 .148 .053 .480 -.018 .124
work_related_issues .396 .405 .145 -.031 .106 .607 .167 .079
communication .207 .252 .034 .149 .086 .759 .080 .051
caring_nature .247 .119 .405 .299 .376 .380 -.012 .290
trust .171 .340 -.116 .228 .678 .244 .078 -.036
offer_suggestions .511 .227 -.189 -.089 .456 .259 .124 -.183
opinion_acceptance .795 .184 .074 -.045 .165 .278 .031 .152
management_care .549 .102 .111 .214 .584 .086 .128 .059
comfortable_workplace .299 .271 .047 .776 .098 .092 .055 .165
friends_at_work .343 .354 .434 .561 -.033 -.009 -.093 .107
health_security .313 .602 .193 .363 .020 .316 -.141 .093
flexible_workschedule .667 .106 .252 .440 .196 -.027 .065 -.008
recreational_activities .781 .014 .186 .214 -.063 .247 .186 .142
good_recreational_facilities .748 .205 .106 .282 .123 .169 -.077 -.101

recreational_facilities_retenti .773 .087 .167 .135 .328 .055 .133 .144

on
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 13 iterations.
The eight factors are:
1. Recreational Activities
2. Work
3. Team Work and Immediate Supervisor
4. Quality of Life
5. Opportunities and Immediate Supervisor

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6. Communication
7. Training facilities
8. Rewards and Recognition
6. Conclusion
Employee Engagement is the buzz word term for employee communication. It is a positive attitude
held by the employees towards the organization and its values. Its use and importance in the
workplace impacts organizations in many ways. To improve employee engagement the following
steps can work as a guideline: Identify the problem areas to see which are the exact areas, which lead
to disengaged employees Taking action to improve employee engagement by acting upon the problem
areas Nothing is more discouraging to employees than to be asked for their feedback and see no
movement toward resolution of their issues. Even the smallest actions taken to address concerns will
let the staff know how their input is valued. Feeling valued will boost their morale, motivate and
encourage future input. Taking action starts with listening to employee feedback and a definitive
action plan will need to be put in place finally. We would hence conclude that raising and
maintaining employee engagement lies in the hands of an organization and requires a perfect blend of
time, effort, commitment and investment to craft a successful endeavour.

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