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Summary of Doctoral thesis: The impact of corporate culture on employee commitment in Vietnamese businesses

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INTRODUCTION

average, companies with less attractive recruiting brands must pay 30% - 50% higher
salaries to attract talent for the same position from reputable recruitment companies.

1. Background of research
One of the top concerns of business leaders is how to maintain the enthusiastic
participation and the desire for the dedication of staff for businesses. These employees
will help customers become more satisfied, creating loyal employees for enterprise,
thereby maintaining sustainable business operations for enterprise. In other words, this
is the way to help enterprises increase their competitive advantage, contributing to the
profitability of the organization.
In the world today, the problem of increasing the level of employee
commitment in the enterprise has attracted many researchers and managers. In which
the research direction is based on analyzing the elements of corporate culture affecting
the commitment of employees in the organization is an important approach.
In Vietnam, the researches related to the consideration of the impact of
corporate culture on employee commitment in the organization are still very limited.
The research has only been done in the aspect of analyzing the elements of corporate
culture affecting the satisfaction of employees in enterprises but not comprehensive
research on the elements of corporate culture affecting all factors that are critical to
employee commitment to an organization.
Due to the business environment of Vietnam, in-depth studies on corporate
culture as well as the importance of employee commitment have not been given
adequate attention. Many business leaders also have short-term business thinking, so
they have not focused on building and developing culture for their organizations.
Besides, with a short-term vision of business operations, leaders only focus on saving


costs, finding measures to promote sales, but not properly investing to develop human
resources of enterprise.
However, along with the trend of globalization in all aspects of social life,
Vietnam's economy is not out of that inevitable trend. Facing the increasingly
competitive business environment, the problem of retaining talents, creating a loyal
business team, willing to sacrifice for the organization, always focus on completing
the assigned work, they think businesses are like a family. Today, businesses that have
such employees are more important than ever.
In previous years, an important reason for employees to stick in the
organization is the salary and bonus regime. In recent years, the expectations of
workers on this group are decreasing year by year. Specifically, according to the
survey results of some companies on employment consulting services, the results
showed that there is a movement trend in Vietnam, which is the company with good
image of recruitment will collect effectively attracting talent more than 1.5 times, it
has a commitment of 30% higher employee engagement than other companies. On

In other words, the current trend of employees in the selection process and
long-term commitment to the organization is that they care about corporate reputation,
a stable working environment and good welfare to ensure public work, not come to
big business. Besides, there are many researches that confirm that companies with a
high proportion of committed employees always achieve higher business efficiency
than other companies, namely: customer satisfaction is increase more than 10%, profit
is higher than 22%, the performance is 21% higher. At the same time the rate of other
factors is lower such as: the rate of leave is reduced (25% compared to 65%), the
employee vacation rate is 37% less (Gallup 2012).
Therefore, the dissertation has focused on studying the impact of corporate
culture factors on the commitment of employees in the organization, especially the
influence of this relationship will affect the operational efficiency of businesses. It is a
meaningful contribution to the theoretical as well as practical aspects of Vietnamese
enterprises today.


2. Objectives and research questions
- Objectives of the study:
The research objective of the dissertation is to assess the impact of the elements
of corporate culture on the commitment of employees in different types of businesses
in Vietnam, thereby making recommendations to improve commitment of employees
to businesses through the improvement of elements of corporate culture.
- Research question:
To find out the answers to the above research objectives, the dissertation aimed
to find solutions for the following three main research questions:
1. What model of corporate culture is used to assess the impact of corporate
culture factors on employee commitment?
2. How are the impacts of corporate cultural factors on the commitment of
employees in different types of businesses in Vietnam?
3. What suggestions can help Vietnamese businesses improve their employees'
commitment to the organization through adjusting corporate cultural factors?

3. Subjects, scope and research methods of the dissertation
- Research subjects: The research object of the dissertation is the impact of corporate
culture factors on employee commitment in Vietnamese enterprises.


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CHAPTER 1

- Research scope
+ Research content:
The elements of corporate culture have influenced the commitment of

employees, in the scope of the study of this dissertation, the author focuses on
studying the elements: Involvement, Consistency, Mission, Adaptability belong to the
corporate culture (according to Denison's model) that affects the commitment of
employees in Vietnamese businesses.
+ Research location:
Data collection to test the impact of corporate culture factors on the
commitment of employees in Vietnamese enterprises was conducted to take random
samples at enterprises in Hanoi City and Vinh City. In particular, the author will study
all types of businesses in these two cities.
+ Study timetable:
The study of the impact of corporate culture factors on employee commitment
in Vietnamese enterprises through interviews and surveys has been carried out from
June 2016 to the end of December 2016.
- Research Methods:
Research using methods: analytical method, synthesis method, quantitative
method (survey by questionnaire), interview method (interviewing some experts to
correct research model).
4. Structure of the dissertation
In order to achieve the objectives of the dissertation and answer the research
questions, the layout of the dissertation in addition to the introduction and conclusion,
it includes four chapters as follows:

Chapter 1 - Literature review of corporate culture and employee commitment in the
organization
Chapter 2 - Design and research methods
Chapter 3 - Research results
Chapter 4 - Research results and recommendations

LITERATURE REVIEW OF CORPORATE CULTURE AND EMPLOYEE
COMMITMENT IN ORGANIZATION

1.1. Overview of foreign studies
The corporate culture: The field of research on corporate culture has attracted a
large number of scholars in the world since the 1980s with more and more complete
and diverse studies, especially the Barney's research, 1986; Clark, 1972; Deal &
Kennedy, 1982; Denison, 1990; Ouchi, 1981; Pettigrew, 1979; Schein, 1985, 1992.
Although it has not been explicitly delineated, the research works clearly show two
main research directions: The first is to focus on finding and discover cultural factors
in corporate governance; representing this direction are the researchs of Deal &
Kennedy, 1982; Boje et al., 1982.
The second study focuses on the impact of cultural factors on businesses,
especially for enterprises with an organized or multi-cultural operating environment;
Representing this research direction are the works of Cameron & Quinn, 2006;
Denison, 1980. The two directions of corporate culture all said that for a new-style
organization, it is always towards sustainable development and it needs to build and
develop culture to suit organization; Today, corporate culture is a new resource to help
organizations create competitive advantages.
The field of research on employees' commitment to the organization has also
received much attention from scholars around the world, focusing on the relationships
formed between employees and their organizations, Allen & Meyer (1990; Hult
(2005); Lok & Crawford (2004); Meyer, Allen & Smith (1993); Mowday (1998);
Mowday, Steers & Porter (1979); Rashid et al. (2003). The increase of related studies
is due to demonstrating the manifestations of organizational commitment (extra - role
behavior) such as denial, performance, absence... It can be used to predict the results
of work, Allen & Meyer (1990); Cohen (2007); Hogg & Terry (2001); Mathieu &
Zajac (1990); Porter et al (1974); Rashid et al. (2003); Wasti (2003); Yu & Egri
(2005); Silverthorne (2004) stated that with the intention to stay with the organization,
employee participation is also directly related to commitment to the organization.
Greenberg & Baron (2003) agreed with the results above and affirmed that an
employee's behavior could be used to predict future commitment to the organization,
and it was a useful forecast. DI Akintayo (2010) found that personal factors of

workers such as marital status and gender also influence the level of employee
commitment to the organization. The increase in research is an important factor that
helps organizations have a better understanding of the commitment by this factor that
directly affects their organizations, employees, and the whole society, Mowday, Porter
& Steers (1982); Mathieu & Zajac (1990). Organizations want their employees to
commit to the organization because it reduces the ability to replace employees and
cause delays in work, Mathieu & Zajac (1990). Employees benefit because


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organizations often value those who demonstrate commitment to the organization with
both material and spiritual rewards, Mathieu & Zajac (1990). Society is like a large
organization so it also benefits from employee organizational commitment because
job changes will decrease, and work productivity or quality will increase, Mathieu &
Zajac (1990).

Up to now, there has not been any formal study to mention the impact of corporate
culture on the three levels of employee commitment in the organization.

The impact of corporate culture on the commitment of employees in the
organization: Continuing the research direction of economists ahead, in recent years
continue to have researches to confirm the close relationship between corporate
culture and employee commitment in the organization. A number of studies have
confirmed that the factors affecting the employee's commitment to the organization
include the working environment, remuneration regimes, corporate governance
policies, Ooi keng Boon, 2009; Jack Henry Syauta et al, 2012; even employees from
different cultures have different influences on the level of employee commitment in

the same organization, which means that employees with different national cultures
also there will be differences in awareness of the level of their commitment in the
organization, Sultan Al-Rasheedi, 2012.
In addition, there have been many studies that have used Denison's corporate
culture theory framework to study the effects of corporate culture factors on employee
commitment in the organization with factors based on Meyer & Allen's theoretical
framework such as: Research by Ezekiel Saasongu Nongol & Darius Ngutor
Ikyanyon, (2012), Maryam Khalili (2014), Ali Asghar Firuzjaeyan et al (2015),
Yadollah Hamidi (2017). These authors have made important contributions: they have
demonstrated a positive relationship between corporate cultural factors and the
commitment of employees in the organization, but with different factors it will have
different impacts and relationships for each element in organizational commitment.
1.2. Literature review of domestic research
About corporate culture: summarizing the studies in Vietnam, most of these
studies have approached macro towards corporate culture, notably Duong Thi Lieu
and Nguyen Hoang Anh (2004). Besides, there is an in-depth study of the
characteristics of corporate culture, by Thang V. Nguyen et al. (2005). There is also a
study of applications of corporate culture to be applied to businesses, research by
Trinh Quoc Tri (2009), one of the tools to measure corporate culture in accordance
with practical business environment in Vietnam. Thus, Vietnamese researchers have
now really had serious research projects with the aim of applying them to businesses
to find new competitive advantages for businesses.
Research on the commitment of employees in the organization: the authors of
Vietnam from the study of factors affecting the loyalty of employees with
organization by Tran Kim Dung, 1999, study the the impact of employee commitment
in the organization on the operational efficiency of enterprises by Do Huu Hai, 2016.

Research on the relationship between corporate culture and employee
commitment in the organization: Vietnamese authors have continued to expand the
direction of studying the effects of corporate culture with organizations such as

studying the impact of organizational culture on employee commitment, including
researches: Do Thuy Lan Huong (2008), Truong Hoang Lam, Do Thi Thanh Vinh
(2012), Phan Thi Truc Linh (two thousand and thirteen). By using Ricardo's and
Jolly's theory of corporate culture to study to influence the commitment of employees
in the company, the authors have contributed significantly to the discovery and advice
for Corporate executives aim to promote cultural elements in the business, increasing
the commitment of employees to their organizations.
In particular, the study of Nguyen Thi Hong Ha (2016) has used 4 independent
variables of corporate culture: leadership style, working environment, satisfaction
with payment regime (salary/bonus) and the appropriateness between individuals and
organizations to consider the impact on the dependent variable is "organizational
commitment" and has affirmed that these four factors have different impacts on
organizational commitment in the enterprise. Besides, the study of Cao Viet Hieu
(2019), this study also examined the impact of corporate culture on four elements of
the Denison model on the commitment of employees in the enterprise. The author has
discovered that the four variables of corporate culture all have different effects on
employee commitment in the enterprise.


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1.3. Research model and research hypotheses

- H11: Adaptability factor has a positive relationship to Continuance Commitment

1.3.1. Research model of the dissertation

- H12: Involvement factor has a positive relationship to Continuance Commitment


type of business

Mission

Affective
commitment

1.3.3. The scale of corporate culture and the commitment of employees in the
organization
Name of
Scale

Adaptability
Normative
commitment

Corporate
culture

Factors
Mission

Code

The content of the observed variable

SM1

The decisions made by the managers are the

most accurate.

SM2

Leaders and managers often work as they
said.

SM3

"Our strategy has led other companies to
change the way they compete in that
industry."

SM4

Our business has a clear mission, it helps
our work to have meaning and direction.

SM5

“Mọi người đều hiểu rằng mình cần làm gì
để đạt được thành công bền vững.

SM6

"The vision of the business has created
excitement and motivation for employees."

Consistency
Continuance

commitment
Involvement

Age, Position, Number
of labor, Literacy

Adaptability KNTU1
1.3.2. Research hypothesis
- H1: Mission factor has a positive relationship to Affective Commitment

KNTU2

Businesses
have
always
opportunities to apply new ideas.

KNTU3

New ideas have always been supported in
the enterprise.

KNTU4

Customers have always influenced the
decisions of our business.

KNTU5

Our business has always considered failures

to be lessons for improvement.

KNTU6

Our business has competed well with other
businesses and other changes in the business
environment.

- H2: Consistency factor has a positive relationship to Affective Commitment
- H3: Adaptability factor has a positive relationship to Affective Commitment
- H4: Participation factor has a positive relationship to Affective Commitment
- H5: Mission factor has a positive relationship to Normative Commitment
- H6: Involvement factor has a positive relationship to Normative Commitment
- H7: Adaptability factor has a positive relationship to Normative Commitment
- H8: Involvement factor has a positive relationship to Normative Commitment
- H9: Mission factor has a positive relationship to Continuance Commitment
- H10: Consistency factor has a positive relationship to Continuance Commitment

All members of the organization are
encouraged to be creative.
created


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Name of
Scale

Factors

Code


Consistency TNQ1

The content of the observed variable
We have consensus and support each other
even when dealing with the most difficult
problems.

TNQ2

We have a clear agreement on how to work
together.

TNQ3

The working method of the business is very
consistent and planned.

TNQ4

The goals between management levels are
adjusted to fit together.

TNQ5

Not paying adequate attention to the core
values of the company will make you
difficult.

Involvement STG1


The company always encourages a spirit of
cooperation between various departments
within the organization.

STG2

Commitment

10

The capacity of employees in the company
is improved.

STG3

Employees believe that they have a positive
impact on the organization.

STG4

The work in the organization is organized so
that employees can see the relationship
between their work and the organization's
goals.

STG5

The employees work as a member of a
group/team.


STG6

The business plan is planned and everyone
is involved in this process at a certain level.

Affective CKTC1
commitment

I was very happy to develop my career in
my current organization.

CKTC2

I like to discuss my organization with
outsiders.

CKTC3

I do not feel that I "like a part of the family"
in my organization.

Name of
Scale

Factors

Code

The content of the observed variable


CKTC4

I do not feel attached to my organization.

CKTC5

I don't see a strong feeling
commenting on my organization.

CKTC6

I am proud of my work and position in the
organization.

Continuance CKTT1
commitment

It is difficult for me to leave the
organization right now, even if that's what I
want.

CKTT2

One of the main reasons I continue to work
for my current organization is that I have
made a significant sacrifice, another
organization may not fit the common
interests that I have here.


CKTT3

If I don't put too much of my own problems
into this organization, I might consider
working at another organization.

CKTT4

Too many problems in my life will be
broken if I decide to leave my organization
now.

CKTT5

I am not afraid of what might happen if I
quit my job without some replacement
staffs.

CKTT6

I believe that those who have been trained in
my career have a responsibility to stay in
that job.

Normative CKDD1
commitment

I believe that at present, employees change
companies are frequent.


CKDD2

One of the main reasons I continue to work
for this organization is because I believe that
loyalty is important and so I feel I have a
moral sense and obligation to stay here.

CKDD3

If I get an offer for a better job at another
organization, I won't feel right when I leave
my organization.

when


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Name of
Scale

Factors

Code

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CHAPTER 2

The content of the observed variable

DESIGN AND RESEARCH METHOD

CKDD4

I do not believe that a person must always
be loyal to his organization.

CKDD5

I do not feel any obligation to the leader
when I leave the organization.

CKDD6

I really feel that the problem of the
organization is also my problem.

2.1. Research design
2.1.1. Research Methods
To achieve the research goal, the author has used two research methods: (1)
qualitative research and (2) quantitative research.
(1) Qualitative research used to examine, adjust and supplement independent
variables, new factors that make sense to the proposed model, and also to check the
appropriateness of survey questionnaires. Qualitative research methods are conducted
by in-depth interviews with 5 experts who have research in the field of corporate
culture and the commitment of employees, 18 people working in enterprises
(including 3 senior leaders and 15 any staff in selected enterprises for in-depth
interviews). The study period was conducted from January 2016 to April 2016.
(2) With the quantitative study, since it had the results of the qualitative
research step and the review of studies related to organizational commitment, the
author conducted research on a large scale, It allows to skip the preliminary
quantitative research step. The study period was conducted from May 5/2016 to

December 2016.
2.1.2. Sample selection for research:
In order to complete the research objectives of the dissertation, with the limited
resources and time, the author has chosen a convenient method with the limit of
sampling objects including employees working full time at Vietnamese enterprises
which are established and managed by Vietnamese people in two positions, these are
Hanoi City and Vinh City, including State-owned enterprises and non-state
enterprises, excluding enterprises with foreign elements, cooperatives, individual
economic households.
To minimize the limitations of the convenient sampling method, the author has
studied and reviewed studies related to the topic to develop research models and
questionnaires to ensure high reliability that has been demonstrated from previous
studies. After that is the consultation from experts to ensure the second time about the
content and reliability to be done.
Finally, in order to obtain data that met the standards, the author hired trained
and skilled investigators to collect data. Data collection was done by sending 1000
questionnaires in which 500 questionnaires were emailed with the desired response
rate of 15 to 20%, 500 other questionnaires were broadcast live. to respondents and
achieved response rates ranged from 40% to 50%. The results obtained 315 surveys,
of which 289 valid votes for research.


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CHAPTER 3

2.2. Results of qualitative research:
Through this research, the author has proposed to add control variables
including: age, working position, education level and number of workers in the

research model to consider the impact of the factors has just been proposed to 4
factors of corporate culture and 3 factors of organizational commitment.
At the same time, it has agreed on some of the concepts used in the survey
process, keeping all elements in the proposed research model. In particular, through
qualitative research, it conducted questionnaires to respondents and clarified specific
content.
2.3. Official quantitative research:
After collecting data, the author imports data into IBM SPSS 20 software
(version for Windows) to conduct initial data analysis with analysis including
descriptive analysis (to describe the properties of the survey sample groups such as:
gender, age, educational level, work experience, place of work, ...), analyze and assess
the reliability of the scale (Cronbach Alpha ), factor analysis. The results from SPSS
analysis were used in the next analysis step with CFA method in analyzing linear
structure model (SEM) using software: AMOS 20.
The standards have been used in analyzing the reliability of scale, factor
analysis and CFA analysis as follows:
- Analyzing and evaluating the reliability of the scale: eliminating unreliable
observed variables (with total variable correlation coefficient <0.3); At the same time,
the Cronbach Alpha coefficient from 0.6 to 1 was accepted in this study.
- Factor analysis: KMO index is greater than 0.5; the factor loading value is
less than 0.5 so it will be removed and only the variables with factor loading> 50%
will be retained; In factor analysis (EFA), Principal Axis Factoring method with
Varimax rotation and stop point when extracting elements with Eigenvalue is 1, and it
allows determining the weight of the observed variables (factor loading) to advance
Compare removal or retention in research. This step helps determine the number of
factors in the scale of corporate culture and commitment to the organization. This
procedure also helps to form some new groups of factors based on combining and
combining the observed variables of the factors included in the analysis.
- CFA analysis: Chi-Square index (Chi square-CMIN) has a value: P ≥ 0,05;
Chi-Square index adjusted according to degrees of freedom (CMIN / df) ≤ 2

(according to Carmines&Mciver -1981, in some cases CMIN/df ≤ 3 can be accepted);
GFI indicators (Goodness of Fit Index), TLI (Tucker&Lewis Index), CFI
(Comparative Fit Index) ≥0,9; RMSEA index (Root Mean Square Error
Approximation) ≤ 0.08, RMSEA ≤ 0,05 case according to Steiger is considered very
good.

RESEARCH RESULTS

3.1. Sample descriptive statistics of the study
- Gender: Statistics describing the sample show that there are 132 men, and 157
are women, who are participants in answering the survey questionnaire and are not
excluded.
- Age: the age structure of the research sample includes under 20 years old: 6
people, accounting for 2.1%, from 21 to 35: 201 people, accounting for 69.7%, from
36 to 45: 70 people, accounting for proportion 24.1%, over 46 years old: 12 people,
accounting for 4.1%.
- Working position: 161 survey participants are employees, accounting for
55.8%; 43 survey participants are managers, accounting for 14.9%; There are 42
people who are heads of departments / branches participating in the survey,
accounting for 14.5%; 43 people are the leaders of the companies participating in the
survey, accounting for 14.9%.
- Education level of respondents: There are 68 survey participants graduated
from high school or vocational secondary school, accounting for 23.7%; 35 people
have graduated from College, accounting for 12%; 156 people who graduated from
university participated in the survey, accounting for 53.9%; 14 people with
postgraduate qualifications participated in the survey, accounting for 5%, there were
16 people with other education levels, accounting for 5.4%.
- Labor size of enterprises participated in the survey: There are 66 enterprises
participating in the survey with a total of less than 10 employees, accounting for
22.8%; There are 37 enterprises participating in the survey with a total workforce of

10 to 200 people, accounting for 12.9%; There are 41 enterprises participating in the
survey with a total workforce of 200 to 300 people, accounting for 14.1%; There are
145 enterprises participating in the survey with a total workforce of over 300 people,
accounting for 50.2%.
3.2. Assessing the reliability of scale:
3.2.1. Testing reliability of scale:
For the Mission factor: The observed variables used to measure this factor have
a correlation coefficient of the total variable>0.3 and the Cronbach Alpha coefficient
of the Mission factor of 0.807, which is considered reliable.
For the Adaptability factor: The observed variables used to measure this factor
have a correlation coefficient of the total variable>0.3 and the Cronbach Alpha
coefficient of the Adaptability factor reaches 0.896, which is to achieve reliability. .


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For Involvement factor: The observed variables used to measure this factor
have a correlation coefficient of the total variable>0.3 and the Cronbach Alpha
coefficient of the Involvement factor reaches 0.816, it is reliable.

organizational commitment value in 4 types of enterprises reaches above average level
and quite high, and there are also differences between different types of businesses.
Overall, Normative Commitment is the most appreciated of the three aspects of
organizational commitment in four types of businesses, then to Affective Commitment
and finally Continuance Commitment. However, in each type of commitment, the
value of each of these factors is different.

For the Consistency factor: The observed variables used to measure this factor

have a correlation coefficient of the total variable>0.3 and the Cronbach Alpha
coefficient of the Consistency factor reaches 0.881, it is reliable.
For the Affective Commitment factor The observed variables used to measure
this factor have a correlation coefficient of total variables>0.3 and Cronbach Alpha
coefficient of the Affective Commitment factor reaches 0.812, it is reliable.
For the Continuance Commitment factor: The observed variables used to
measure this factor have a correlation coefficient of the total variable>0.3 and the
Cronbach Alpha coefficient of the Continuance Commitment factor of 0.832, it is
reliable.
For the Normative Commitment factor: The observed variables used to
measure this factor have a correlation coefficient of the total variable>0.3 and the
Cronbach Alpha coefficient of the Normative Commitment factor of 0.878, which is
reliable.
3.2.2. Result of factor analysis:
Scale of corporate culture:
The total index "Rotation Sums of Squared Loadings" reached a high value of
59.58%. That said, using four factors representing 23 observed variables can explain
59.58% of data variation. Thus, it is possible to use four factors to reflect the
information provided from 23 observed variables. Through EFA analysis results,
variables have factor loading>0.5 so no variables are excluded from the corporate
culture scale. Thus, the scale of corporate culture includes 23 observed variables
divided into 4 factors including Mission, Adaptability, Consistency and Involvement.

- Testing the difference in the average value of age, education level, employees'
position for corporate cultural aspects and organizational commitment. The age of
employees affects variables: Mission, Adaptability, Affective Commitment and
Continuance Commitment; The current position of the employee affects variables:
Mission, Adaptability, Consistency and Continuance Commitment; Employee
qualification factors affect variables: Mission, Adaptability, Consistency, Continuance
Commitment;

- Testing the difference in the average value of labor factor for corporate
culture and organizational commitment. The number of employees in the enterprise
(firm size) affects variables: Adaptability, Consistency, Involvement.
4.2.3. Scale test by confirmatory factor analysis (CFA)
CFA scale of corporate culture factors (Mission, Adaptability, Consistency,
Involvement):
Chi-square/df=1,826;
GFI=0.896;
TLI=0.942;
CFI=0,950;
RMSEA=0.059, demonstrating a scale model of satisfactory corporate culture
elements and consistent with market data.
CFA scale of factors of commitment to organizations: Chi-square/df=2,171;
GFI=0.908; TLI=0,937; CFI=0.948; RMSEA=0.070, showing that the scale model of
organizational commitment factors is satisfactory and consistent with market data.

Commitment scale

Measurement model: Chi-square/df=1,795; GFI=0,870; TLI=0,929;
CFI=0.938; RMSEA=0.058, demonstrating that the scale model of corporate cultural
factors is satisfactory and consistent with market data and it confirms the unidirectionality of the employee's Affective Commitment concept scale.

KMO and Bartlett's testing in factor analysis with 18 observable variables of
the scale The commitment shows a high KMO index (0,833) with a zero significance
level (sig = 0.000). Thus, KMO index greater than 0.5 indicates that the application of
exploratory factor analysis for this scale is appropriate.

Verification of the official theoretical model: SEM result of theoretical model
(Figure 1.5) is shown in Figure 3.6: Chi-square/df=1,593; GFI=0,838; TLI = 0,925;
CFI=0,931; RMSEA=0.050, demonstrating that the theoretical model is satisfactory

and suitable for market data.

Through EFA analysis, variables have factor loading>0.5 so no variables are
excluded from the scale. Thus scale the commitment of 18 observable variables is
divided into 3 factors including affective commitment, normative commitment and
continuance commitment.
- Testing the difference in the average value of the research sample of the
organization's commitment by type of enterprise, the results show that the


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Results of testing the causal relationship between concepts in the formal theory model
(standardization)

CHAPTER 4

Relationship

Estimate

S.E.

C.R.

P

CONCLUSION AND RECOMMENDATIONS


Label

CKTC

<--- SM

0.318

0.061

11.12

***

4.1. The conclusion

CKDD

<--- SM

0.628

0.050

7.39

***

CKTT


<--- SM

0.675

0.048

6.81

***

CKTC

<--- KNTU

0.478

0.057

9.19

***

Through a survey of more than 1,000 employees from enterprises in two areas
(Hanoi and Vinh City), the author has successfully verified the impact of the 4
elements of the corporate culture model on the commitment of employees in their
business.

CKDD


<--- KNTU

0.276

0.062

11.65

***

CKTT

<--- KNTU

0.572

0.053

8.07

***

CKTC

<--- TNQ

0.278

0.062


11.62

***

CKTC

<--- STG

0,133

0,053

1,962

0,050

CKDD

<--- STG

0,149

0,044

2,202

0,028

CKTT


<--- STG

0.454

0.058

9.47

***

CKDD

<--- TNQ

0.661

0.049

6.98

***

CKTT

<--- TNQ

0,165

0,059


2,105

0,035

The weights are positive (+) and statistically significant (p≤0.05), it shows
factors: Mission (SM), Adaptability (KNTU), Consistency (TNQ), Involvement
(STG) has a positive impact on Commitment (CK) and is statistically significant
(P≤0.05), which proves that:
- H1: Mission factor has a positive relationship to Affective Commitment
- H2: Consistency factor has a positive relationship to Affective Commitment
- H3: Adaptability factor has a positive relationship to Affective Commitment
- H4: Participation factor has a positive relationship to Affective Commitment
- H5: Mission factor has a positive relationship to Normative Commitment
- H6: Involvement factor has a positive relationship to Normative Commitment
- H7: Adaptability factor has a positive relationship to Normative Commitment
- H8: Involvement factor has a positive relationship to Normative Commitment
- H9: Mission factor has a positive relationship to Continuance Commitment
- H10: Consistency factor has a positive relationship to Continuance Commitment
- H11: Adaptability factor has a positive relationship to Continuance Commitment
- H12: Involvement factor has a positive relationship to Continuance Commitment
That means, hypotheses: H1, H2, H3, H4, H5, H6, H7, H8, H9, H10, H11, H12 are
accepted.

The results of the study showed that:
+ The corporate culture variables include: Mission (SM), Adaptability
(KNTU), Consistency (TNQ), Involvement (STG) all have the same impact on three
aspects of organizational commitment (Affective commitment (CKTC), Continuance
commitment (CKTT), Normative commitment (CKDD).
+ For Affective commitment, factors that influence from strong to weaker are:
Adaptability (0.478) that influences the Affective commitment of employees; Mission

(0.318) impacts the employee's Affective commitment; Consistency (0.278) affects
the Affective commitment of employees; Involvement (0.133) affects Affective
commitment.
+ For the Continuity commitment variable, the factors that influence from
strong to weaker are: Mission is the most powerful factor (0.675) to the employee's
Continuity commitment, in other words, Mission is the most important factor (it is the
highest value and position) creating a Continuance commitment for employees in
Vietnamese businesses; Adaptability (0.572) affects the staff's commitment;
Involvement (0.454) affects the employee's continuing commitment; Consistency
(0.165) affects the employee's continuing commitment;
+ For the Normative investment variable, the factors that influence from
stronger to weaker are: Consistency (0.661) affects the employee's Normative
commitment; Mission (0.628) affects the employee's Normative commitment;
Adaptability (0.276) affects the employee's Normative commitment; Involvement
(0.149) affects the employee's Normative commitment.
+ This study provides evidence that in Vietnamese enterprises, the Normative
commitment factor is the most appreciated among the three aspects of commitment.
+ The control variables of the research model have a certain impact, and have
different influences on each factor of the independent and dependent variables of the
model.


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4.2. Some suggestions and recommendations:
Enhance employee Affective engagement levels for organizations and business
managers need:
Building Mission of the organization clearly with breakthrough strategies, more
importantly, core values and goals of the organization need to be built in Mission must
be shared with all employees in the enterprise. The important task of leaders is to

create these values, but equally important is the duty of managers, managers must find
ways to fully implement the content in the Mission of the enterprise for all employees
to understand. An organization can make its employees understand that when the
mission of the business is done, it is also the goal of the employee to complete.
Employees will stick with organizations more because they know that leaders really
care about employees 'thoughts, care about employees' interests. In fact, with the
mentality of most individuals, it is that once we are sympathetic to any organization,
every next job becomes easier, they will have more positive thoughts and the ability to
work will be higher to complete the job.
Managers also need to be aware that the initial mission to be built will be
extremely suitable for the organization and it has created the trust of employees with
the enterprise, however, with the change of the environment business, the most
sustainable factors in the business (mission...) also need to have a certain adaptation.
Trust and affection of employees in the organization are the same, the concern of the
enterprise is to create trust, loyalty of employees through the system of values in the
mission but to maintain that loyalty, prove to employees that they have placed faith,
loyalty in the right place, and that is more difficult. Therefore, leaders need to prove
that businesses always have timely adaptation, always learning and moving forward.
In doing so, employees will try to devote to the business.
Businesses need to have a way of arranging work for employees so that they
can participate in other activities in the organization appropriately. This means that the
organization needs to facilitate the development of skills, capabilities of employees,
clearly define powers and responsibilities for positions in the business. Enterprises
should consider the appropriateness between the knowledge, experience and
qualifications of employees with the job to maximize the ability of each employee.
When employees are working with their strengths, they will be more loyal and
committed to the organization.
To enhance the level of the Continuity commitment and Normative commitment
of business employees, business leaders/managers should focus on Mission,
Adaptability, Involvement and Consistency in the corporate culture system.

To meet the needs of current business practices, Vietnamese enterprises have
had a fundamental change in business thinking, businesses have shifted from short-

20
term business thinking to long-term business thinking with sustainable development
goals. Therefore, businesses with leadership teams can turn the mission, the objectives
on the theory by specific plans, leading businesses with decisions and actions in
practice, not just words say, those businesses will win the trust of employees.
At that time, if employees think they want to leave the organization, they have
to make very difficult considerations, it is difficult for employees when they intend to
find an organization with similar capabilities, and they feel that they are a part to
fulfill that organization's mission, they feel deeply that this is truly an organization
worthy of their loyalty.
- Suggestions for leader/business owners on measures to improve the level of
commitment factors of employees in the organization through impacting on the
personal factors of employees.
The results of the dissertation confirmed that the elements of: age, education
level have different understandings about the elements of corporate culture and
organizational commitment. Test results have concluded that employees in different
age groups have different understanding of Mission, Adaptability, level of Affective
commitment and Continuance commitment. According to the results of in-depth
interviews with workers and leaders, it shows that the age factor is divided into
employee life and the number of years working at the enterprise. According to the
findings, for newly recruited employees (with few years of working in the business),
the group of 21-35 years of age is less interested in mission, Adaptability and
commitment factors of enterprise. Enterprises need to have training sessions for
employees to understand the goals and systems of values that businesses are aiming at,
so that businesses also give specific requirements on the commitment of employees in
organized so that they have a future work orientation. At the same time, businesses
need to pay attention to the training, staff development in team work as well as

independent work to achieve high results in any form of work. Various forms of
training are categorized according to different criteria, such as: training, task guidance
for employees; training and skills training; technical and professional training; on-site
mentoring; training at work or outside the workplace; new training; retraining; Most
employees want to develop skills for future jobs. When they solve these problems
well, employees will increase the level of engagement with businesses, they will have
to calculate carefully if there is a new job opportunity. And of course, when
businesses focus on investing in employees, while giving a clear and feasible future
vision, employees have more reasons to stay with the organization. The psychology of
most employees will be worrying when I move to a new organization, they are afraid
there will be no working conditions and the ability to develop well in the future as the
current organization.
According to the survey results, employees with different levels of education
have different perceptions of Mission, Consistency, Adaptation and the Continuance
commitment. When conducting in-depth interviews representing a number of


21

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employees, the results show that with employees with a high level of education, they
have a greater understanding of the above factors. This is also a suggestion to help
leaders in the recruitment process. Many businesses (especially small and mediumsized private enterprises) often save wages when recruiting people with low education
levels. Leaders often take the view that, for current job requirements, it is not
necessary to recruit employees with higher education than that job requirement,
businesses need to focus on development orientation for the future of business. This
leads to businesses often saving a cost of wages, but in fact, the productivity of these
employees is unlikely to increase as expected of businesses, in particular, they may be
suitable consistent with the current situation, they will cause difficulties in human

resource management if the business is oriented to increase sales in the future.
Besides, according to the results of the dissertation, it is shown that the employees
with low education level, their awareness of factors such as mission, system of values,
consensus and commitment to organization will also be low. This will be a major
obstacle if businesses want to create a high quality workforce as a core in the
competitive advantage of the organization. Therefore, the dissertation suggests to the
leaders in recruitment issues: managers need to consider the elements of corporate
culture, future development goals of the company associated with job requirements in
order to recruit employees appropriately, it is preferable to recruit employees who are
still capable of undertaking future tasks of the organization. Consider carefully the
cost of recruiting or retraining employees compared to saving salaries due to
recruiting employees with lower education levels. Especially, the training process
needs to be taken into account to raise awareness about organizational culture and
levels of employee commitment to the organization.

managers communicate about businesses is that they often say super things that they
have little direct relationship to the specific benefits and responsibilities of each
department - individual. Often, individuals who pay more attention to specific costs
than abstract benefits, immediate benefits rather than long-term benefits, to loss rather
than growth potential. Therefore, leaders need to pay attention to help them have a
more balanced view.

- Suggestions to leader/managers about solutions to improve the level of
commitment of employees in the organization through impacting on the
characteristics of the business.
According to dissertation, it is said that for the position of work, the total
number of employees in the enterprise also affects the level of awareness and access
to issues of corporate culture and team commitment. According to the results of the
in-depth interviews, each employee's position in the enterprise has a different
hierarchy of information that the employee has access to. That is, the more employees

are in positions that are closer to the leadership positions (junior, middle and senior
managers), the level is updated and knowing the information is clearer. This is an
image often seen in the system of Vietnamese enterprises that dissertation has
investigated. Thus, there is a large force of workers who have no access to the
information, so they have a very vague understanding of the mission of the
organization they are working on, do not know the objectives, the values that the
organization is aiming for, they also have less emotional, loyalty, and trust
relationships for the organization. Leaders need to make employees realize their value
at the position they are contributing to the organization. In addition, managers and
leaders need to communicate long-term benefits to all individuals. One mistake when

At the same time, managers need to show employees their future when commit
to the organization through the establishment of clear directions and development
strategies of businesses. This represents the organization's long-term vision and it has
positive implications for employees. The business strategy must determine the
priorities of the operations of the business, the capacity and resources to be developed,
the target customers and the products and services the business will provide to that
customer, from there, enterprises will create successful competitive advantages in the
industry and realize the objectives. Strategic thinking also shows that businesses must
have a long-term commitment to strategies and businesses should not let short-term
decisions affect long-term strategies. Predicting the future of businesses plays an
important role, especially in today's rapidly changing conditions. The directions for
the future are the foundation to help organizations realize their goals, businesses need
specific and appropriate plans and it needs changes to link with the activities of the
organization. In order to ensure the ability to successfully implement strategies, each
unit, as well as each member of the business must understand what they need to do to
contribute to the implementation of that strategy. Sharing the strategies and objectives
of the business helps employees better understand the organization's activities, they
will feel they are part of the organization, from which each employee will be aware of
the role and work what they are doing, they are contributing to the overall success as

well as being ready to do their best for the future of the organization.
4.3. Macro recommendations:
The authorities need to build and improve the environmental laws to facilitate
the development of businesses, on that basis, it helps businesses develop culture in
enterprises such as intellectual property law, trademark protection law. Besides, the
government needs to help businesses register for protection of domestic and foreign
brands. The government needs to improve and strictly manage the implementation of
social insurance law, labor law to protect the rights of workers, the government
encourages businesses to raise their sense of respect and protection dynamic. When
businesses create trust with employees by respecting and protecting the rights of
workers, employees will commit to serve with businesses, and commitment to the
organization will be strengthened.
The government needs to develop a stable, long-term, clear and transparent
strategy to create conditions for businesses to operate; The government should
consider reducing or exempting VAT for a number of domestic products to help
businesses reduce selling prices, solve inventories, recover capital to reproduce, create


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4.5. Proposing future research direction:

more revenue; the government needs to have preferential capital and interest rates,
policies to help businesses access capital for business development, from which it can
create a stable working environment for workers and it can create More jobs for new
workers. This is a way to help workers stabilize their lives and work, thereby
increasing their commitment to businesses.

First, to ensure greater generalization and reliability, future studies need to

expand the sampling size and use more scientific sampling methods.

The government should encourage the formation and development of advisory
associations and centers on corporate culture through measures such as: approving fast
operation licenses, reducing income tax for certain years of centers and association of
corporate culture. Industry associations need to support enterprises to raise awareness
about corporate culture and business culture through specific activities such as
propaganda on the mass media, organizing seminars, training programs, study tours or
propose projects on business culture and corporate culture. In addition to the award for
cultural entrepreneurial gold cup, the government needs more awards for cultural
enterprises to encourage, corporate culture day ... it is to motivate and honor
entrepreneurs and businesses invest in building a strong culture, making an example
for other businesses to learn.

Thirdly, future research should conduct qualitative research in combination
with quantitative research methods to better understand the factors in the research
model to match the reality of the business environment in Vietnam.

4.4. Limitations of dissertation
First, the research sample:
The convenient sampling of dissertation is still limited, it is only taking
samples in two cities, Hanoi and Vinh City, although the author tried to collect data in
different types of businesses. face on the two cities above, it is still not possible to
ensure high representativeness and generality.
The second limitation, the ability to standardize some concepts:
Although it has been tried very hard but due to the complexity and nature of the
foreign concept, it is difficult to find the equivalent concept in Vietnamese to fully
convey the content of the original concept of English. Therefore, the author still uses
both Vietnamese and English concepts for readers to follow.
The third limitation, dissertation has not adequately explained the results in

qualitative research.
This study has found the impact of 4 factors in corporate culture on each
factors of employee commitment in the organization that has not explained why; It
does not explain why in each of the different types of businesses the degree of
influence of each factor of corporate culture on the factors of employee commitment
will be different; A new contribution of dissertation is that it has discovered control
variables including age, educational level, working position, and number of
employees that have different effects on corporate culture as well as their commitment
to the organization, but it only stopped at the angle of discovery that had an influence
that did not explain the cause of that influence.

Second, future research needs to carry out further research to explain the causes
of differences between levels of employee commitment in different types of
businesses; Future research should explain why control variables can affect different
levels of both corporate culture (four factors) and employee commitment (including
three factors).



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