concept of job satisfaction

2.0 LITERATURE REVIEW.

2.1 introductions

2.2 concept of job satisfaction

Job satisfaction entails how happy an individual is with his or her job. This means the happier

people are within their job, the more satisfied they are said to be. Generally the most satisfied

workers should be more productive and vice versa. However, as job satisfaction is not the same

as motivation, although they may be clearly linked. A primary influence on job satisfaction is the

application of Job design, which aims to enhance job satisfaction and performance using

methods such as job rotation, job enlargement, job enrichment and job re-engineering. Other

participation and involvement has seen a growing interest from different scholars and Human

resource management. Many organizations are faced with the challenges of managing and

empowering their employees to actively participate in decision making. In this current

tumultuous economic environment, organizations require creative and innovative employees who

can take initiative, embrace change, stimulate innovation and cope with high uncertainty in the

market. Most of the new generation employees want to work in companies that can actively

listen and embrace their ideas. To accommodate the demand of the employees, most companies

have relinquished their centralized control management with the hope of promoting flexibility

and decisiveness as well as subsequent improvement in individual and organizational

performance. The concept of Employees participation has taken many forms, evolving through

rigidity. Employee’s involvement and participation thus contribute immensely to how

organizations make decision and run their businesses. The employee’s participation and

involvement affects both the employees and organization positively and negatively.

2.4.1 Effects of employee involvement in decision making on work output

According to Ackers, Wilkinson & Dundon (2006), employee participation is a process in which

decisions in an organization is shared among individual who are other wise hierarchically

unequal. Participatory management practices involve subordinate staffs and their managers in

sharing information, problem solving and decision making endeavors. Furthermore, employee

involvement is defined more broadly by McCabe and Lewin (2000), as consisting of two

elements. First is the expression of grievances or complaints in a work context by employees to

the top management of the organization. The second element is the participation of employees in

the decision-making processes of the company or organization. Thus employee participation

does not only involve decision making processes but the entire welfare of the employees. Most

countries provide policies and by laws to safe guard employees from harassment and

partnership that bring together positive result to the business, and it humanizers and civilizers the

workplace (Dundon & Grugulis, 2007).Most companies strive to employ and maintain

productive employees in their organizations. Productive employees come up with new ideas and

strategies to enable the organization survive in this tumultuous economic environment.

According to Robinson (2004), productivity is a performance measure that includes both

efficiency and effectiveness. Effective and high performing “organizations have a culture that

performance” (Robinson, 2004, 47).He further argues that managers believe that there is a strong

connection between people and production. People want to be effective in their work and so

these managers create working conditions that are conducive to employee input. They make sure

employees know what is required of them and let them have a say in decisions that affect them.

Well informed employees are more productive since they understand organizational goals.

Through communication, motivation and commitment will flourish. Managers are resources for

the employees and gaining their trust is essential. Conflicts are inevitable when people work

together. Yet, these conflicts provide the opportunity to improve upon the past and should be

faced in an open and honest atmosphere. A high level of concern for people and production

through bringing high quality motivation and working capabilities at times of implementation.

policies that encourages employees involvement aim at providing workers with opportunities to

have the means to acquire the appropriate skills, incentive to expand discretionary efforts and to

have an input in decision making.

Employee involvement has significantly affected the productivity of organizations and

companies in general. According to a research conducted by the World place Representation and

Participation Survey (WRPS) shows that companies that have effective employee involvement

are 17% likely to perform better than companies that lack employee involvement programs in

their organizations. The report further shows that employees who work in companies that have

efficient employee involvement are more satisfied with their job compared to other workers.

Another research conducted by Dundon & Grugulis (2007) on more than 18 different

to come in groups and discuss matters that ranged from market changes, technological changes

and report back their ideas to a plenary session that take further action on their finding. The

report shows that workers in Consultancy Co are more satisfied with the management than other

companies that have centralized system of making decisions. From this statistics it is clear that

Employees participation in management of company improves productivity and employees job

satisfaction (Dundon, Wilkinson, Marchington & Ackers, 2004).

2.4.2 Employee involvement in decision making on quality of work of the employee.

Employee involvement in decision making improves quality work of the employee for instance,

participation in decision making reduces the chances of industrial disputes resulting from better

leading to better and quality work output by the employee.

Millward, Bryson & Forth (2000) argued that many companies lacked proper mechanisms to

communicate effectively with employees. This had both a conflictual and consensual impact to

most companies since employees lacked proper mechanism to express their grievances. On the

other hand Marchington (2004) explains that employee participations in decision making could

lead to a beneficial impact on productivity, quality and deflect problem that would otherwise

explode. Hyman & Thompson explains that the lack of effective mechanism to address workers

issue lead to the creation of trade unions. The trade unions were seen as the best agent to provide

effective voices as they remained independent of the employer.

Employees who are not satisfied engage in unproductive complaining and tend to waste time in

unions have become less powerful and prominent voice channel for workers. This is attributed to

the fact that the membership of trade unions has significantly decreased over the years. The

report further shows that joint consultation and collective bargaining has also decreased in

popularity in many countries. The third strand, which is employee participation/involvement, has

become popular around the world. According to Ackers, Wilkinson & Dundon (2006), most

companies found it imperative to involve employees to their daily decision making activities and

running the organization. Human resource management in most companies discovered that

employees become innovative and commit themselves to their work if they are actively involved

in decision-making. The impact of employee participation/involvement is multifaceted and

organizations give their employees rewards and recognition for performing their duty diligently.

discussed include job satisfaction, employee productivity and employees commitment.

Employee’s job satisfaction plays a vital role in the way they carry their duty and responsibility.

Most employees resign from their job since they feel not satisfied with their responsibility or job

description. According to Walton (1995), job satisfaction is pleasurable or positive emotional

state resulting from the appraisal of job experience. Most scholars consider job satisfaction as the

discrepancy between what an employee values and what the situation provides. Job satisfaction

is viewed by many scholars as the degree of an employee affective orientation toward the work

occupied in the organization. Employee participation and job satisfaction has for long time been

integrated by Human resource management to enhance productivity and develop human capital

(Wood, 1999). Employees feel more pleasant and confidence when the management trusts their

employees become productive, creative and committed to their employers. Employees feel that

they are appreciated and considered part of the organization. According to Human Resource

Manager at Scotchem, argues that it would be impossible to gain significant improvement

without a large element of employee involvement. According to Kruse & Blasi (1997), most

employees want to do much more than just come to work and perform duties that the

management has directed them to do.

Employee involvement creates an environment were the workers can share ideas and innovation

with the management. Kruse (2004) explains that organizations that lack proper employee

involvement are usually faced with shortage of staff and absenteeism of employees is usually

in other organizations that offer effective employee relation.

Wilkinson & Dundon (2006) defines Operational efficiency as what occurs when the right

motivation of employees, process, and technology come together to enhance the productivity and

value of any business operation, while driving down the cost of routine operations to a desired

level. The end result is that resources previously needed to manage operational tasks can be

redirected to new, high-value initiatives that bring additional capabilities to the organization. As

recently as a few years ago, operational efficiency was viewed narrowly and idealistically, as a

way of improving margins.

Employee involvement in decision making increases operational efficiency According to Vroom

(1999), employee participation ensures that the company resources are well utilized to provide

maximum profit. Most companies are faced with the challenge of managing their resources and

will ensure all the employees participate in decision making. Yousef (2000) explains that

employees are responsible for using over 90% of companies resources and time. It is imperative

for the management to involve the employees to come up with effective use of resources that will

enable the organization to save cost of transacting business. According to a research conducted

by Dundon, Wilkinson, Marchington & Ackers (2004) on Bet.com Company showed that

employee involvement can significantly reduce the cost of doing businesses. The company had

several sessions with employees on ways they can improve the procedure for taking bets from

consumers over the phone. The company saved a lot of money since the employees were able to

discover that some customers were able to place after the results were known. The employees

individual employee and the organization whereby the individual identifies with and extends

formulation. Employees feel that they own the goal and objective that they have been actively

involved in formulation. Employee involvement ensures that workers commit themselves to the

responsibility and duty assigned to them. Wagner (1994) explains that employee commit

themselves to goals of organization if they are allowed to come up with ideas and strategy for the

organization. Workers perform their duty not only because they are supposed to perform the duty

but because they have passion and commitment towards the task. All this can only be achieved if

companies can take the initiative and involve employees in decision-making, goal formulation

and policy formulation for the company.

According to Ackers, Wilkinson & Dundon (2006) shows that most employees were found to

commit themselves to company goals that were actively involve in during formulation process.

projects and responsibility affects company efficiency and work output significantly (Yousef,

Hyman & Thompson (2003) explains that employee involvement in decision making has

significantly reduced industrial dispute in many organizations and increased work commitment.

This is attributed to better communication between management and employees. Most

organizations have given the employees freedom to express issues that affect them both in the

work place and at home. Some organizations have gone a step further to provide psychologist to

assist workers to deal with work pressure. This has significantly reduced the cases of strike in

many organizations around the world. Most organizations have come up with strategy that allows

partnership and teamwork. Weaveco replaced its traditional quarterly union-centered JCC with

communicate effectively with the employees directly rather than using the union. The direct

meeting with employees resulted in low levels of absenteeism, better staff retention and

productivity improvement (Dundon, Wilkinson, Marchington & Ackers, 2004). In addition

managers should be aware that the implication of decision-making is more than simply making

choices. It is a five stage process with each stage progressively increasing the employees’

decision-making authority. The authority level is lowest at the first stage when the employees

are only allowed to identify the problem. Employee authority increases to stage two when

employees are granted opportunities to discover alternative solutions. The third stage allows

them to evaluate the pros and cons of those alternatives and stage four permits them to select the

desired solution. Finally, stage five gives employees the responsibility to implement and follow

to democratic rule. They view democratic rule as a threat to their authority towards employees.

Patterson et al (1997) explains that fear of change is a major factor that has prevented most

organization from embracing democratic style of rule. Another factor that has impeded employee

involvement is failure to respond to employee recommendation. Failure to respond to employee

is another sure way to kill an employee involvement. Towers (1997) explain that if the

management lacks to acknowledge employee efforts, they will easy conclude that the

management has no interest with the welfare of employees. The management should take a step

to recognize the improvement of employees even if it is small. Towers (1997) further argue that

self-management signifies the highest degree of employee empowerment. Employees are given

employee to the point where the input of a manager could carry no more weight than the input of

employees may feel that their contributions are not always taken seriously. Tower (1997) further

argues that employee involvement in decision making can not apply on Bureaucratic managers

who conform to traditions, rules and regulations. Standards of performance are minimal; they do

not promote excellence but also do not tolerate poor work. Goals are discussed with employees,

yet they focus on organizational objectives rather than personal goals. Compromise is the

optimal solution for conflicts since the majority of the manager’s effort goes into maintaining

conditions as they have always been. With little exertion, managers seek to keep up a steady

balance between concern for people and concern for production. There is no place for workers to

express themselves and their needs since doing so could get in the way of completing work on

schedule. This manager imposes rules and rigid operating procedures on everyone and does not