Proceedings of Annual Tokyo Business Research Conference

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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
Motivational Factors Influencing Job Performance of Employees in
Asia Engineering and Service (Thailand) Co., Ltd.
Sethapol Lieophairot* and Nuttawut Rojniruttikul **
The purposes of this research were 1) To study the job performance level of
employees in Asiaengineering and Service (Thailand) Co.,Ltd. and 2) To study
the motivational factors influencing job performance of employees in
Asiaengineering and Service (Thailand) Co.,Ltd. The sample size was 80
employees in Asiaengineering and Service (Thailand) Co.,Ltd. which were
selected by simple random sampling method. The research instruments were
questionnaires and data were analyzed by statistical program. Statistics for data
analysis were percentage, arithmetic mean, and standard deviation. Multiple
Linear Regression was used to test the hypothesis. The research results were as
follows : 1. In overall, job performance of employees in Asiaengineering and
Service (Thailand) Co.,Ltd. was at high level. 2. Employee Relationship and
Working Environment could influence the job performance of employees in
Asiaengineering and Service (Thailand) Co.,Ltd. at statistical significance level of
0.05.
Field of Research: Operations Management
1. Introduction
The most crucial element of every organization, either public sector or private sector
organizations, is the workers in those organizations. Due the changes in organizational
management and employee needs all the time, the study on the performance of organizational
people has been the issue requiring time taken for endeavor to grasp. In managing
organizations to be viable and efficient, the insight study on the goals of the workers in different
departments has also been essential for furtherance on maximum work efficiency.
Motivation has been an important factor for the individual‟s working and for the organization.
Since each individual has difference motivation, hence, it creates the job satisfaction. However,
if the individuals in the organization have received proper motivation, they will have good
working morale and willing to work beyond their capabilities.
The motivation and working morale building have become essential factors for motivating and
retaining the valuable employees to stay with the organization. Moreover, it helps the
employees to gain more self-development for growth and success of that organization.
With such reason, the researcher is interested on studying the motivational factors influencing
employee job performance. Apart from recognizing on the motivational factors that effect on
performance, the administrator or manager can determines the strategies and policies that
_____________________________________________________________________
*Mr. Sethapol Lieophairot, Administration and Management College, King Mongkut's Institute of Technology
Ladkrabang, Thailand, Email: pol7511@hotmail.com
** Assistant Professor. Dr. Nuttawut Rojniruttikul, Administration and Management College, King Mongkut's
Institute of Technology Ladkrabang, Thailand, Email: krnuttaw@kmitl.ac.th
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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
satisfy the employees‟ needs, in order to create the motivation and result in a better
performance. Moreover, the data collected from this research can be used as the
supplementary data to provide useful guideline in development of personnel to be qualified and
capable for effective working; hence, resulting in competitiveness in world market and retention
of ability for quality human resource to stay with the organization.
2. Literature Review
According to the study on factors influencing job performance for the employees of
Asiaengineering and Services (Thailand) Co., Ltd., the researcher has studied concepts,
theories and research papers relating to motivational factors influencing working through the
collection of motivational factor-related data from the concepts of Herzberg (1950-1959),
Maslow (1954), McClelland, D.C. (1940) and Prasad, P. (2001) that refer to motivational factors
influencing job performance. The motivational factors applicable for research have included job
characteristics, career advancement, reward and compensation, employee relationship and
working environment.
Job Characteristics
Bodnarchuk, M. (2012), job characteristics is the key factor for organization management,
which the idea of its presents scope, purpose and responsibilities of works. Most of companies
use the job characteristics as one of the HR processes as employee recruitment, work
assessment and operation planning. Bodnarchuk argues that the generic format is the
significant task consisting with the fundamental company of job characteristics, which the
templates and forms can be varied depending on different situation. Bodnarchuk mentioned
the portrayed of job characteristics as competency presenting the currently work that it is
necessary to focus on the worker abilities on their position. In this case, Bodnarchuk described
deeply meaning of the competency that individual works are required differently skills and
knowledge that based on job characteristics.
In accordance with Texas State Auditor's Office, job characteristics can be summarized as the
most essential of job features, which demonstrates the ability in order to present the job
performance.
Career Advancement
Career Advancement is a way to develop an individual to work efficiently. This will be beneficial
to both employees and the organization. There should be a set plan for career advancement if
one prefers career advancement. They also should have a good knowledge as well as
understanding in each of the development processes.
According to Janeprakone, C. (2007), there is the concept helping to develop organization‟s
employees to work efficiently and provide them the opportunity on advancement upon their
potential and readiness of each employee. As a result, career advancement or career
development is the tool of human resource development providing benefit to both employees
and organizations. The effect of career advancement is leading the organization to the success
under the mutual objectives between employees and organization.
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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
Reward and Compensation are expenses that organization needs to distribute to each
employee. This may be in the form of salary or it could be in other forms. This will work as job
reward for each employee and their responsibilities. It will motivate employees to work
effectively and efficiently which will provide encouragement to employees. It will also enhance
the livelihood status of employees by providing reward and compensation.
In consonance with Kecharananta, N. (2002), reward and compensation is provision of
economic benefits in various forms including wage, salary, compensation or other benefits
provided by the organization to the organization‟s personnel as the reward of their operations.
Reward and compensation is very important as the tool helping to manage the performance of
the employees. The reward and compensation system has always been developed in order to
optimize the structure of reward and compensation to suit with the organization. This will enable
the performance of the organizational strategies to be successful.
Furthermore, these expenses may be in monetary or non-monetary forms for rewarding to the
employees upon their performance of their responsibilities and duties. Reward and
compensation motivates employees to work efficiently, provides them morale on working, and
improves their quality of life (Thananan, S. 2009).
Employee Relationship
Employee Relationship is a relation between individual employee within organization or people
for each society or community. Employee relationship is needed to achieve the set goals.
There are two characteristics of relationship between employees; which are good relationship
and the bad relationship. The people within organization or society will have satisfaction and
understanding as well as cooperation, support, share, and forgiveness if the relationship is
good. On the other hand, if the relationship is in a bad condition, the people in the organization
or society will have conflict and they will not cooperate and support each other. There may
mistreat each other which will affect the organization and the specific society. Therefore, the
lack of happiness within working environment may affect more or less, the lives of each and
every individual within the organization.
In accordance with Kecharananta, N. (2002), Employee Relationship is very important for all
humans to work with others in every age, either older than them, younger than them, or
“colleagues” or “friends” in the same age. There was a wise man stated that, besides the
support of seniors and juniors, the support of friends and colleagues in the same level is also
necessary for supporting us to be more developed and advanced. As a result, it is necessary to
maintain the good relationship with the colleagues and friends. Moreover, Employee
Relationship may lead to ability of co-operation and good understanding among one another.
The relationship between factors contributing satisfaction and factors contributing
dissatisfaction is compared as the house structure and house basement. The factors
contributing dissatisfaction is compared as the house basement, therefore, when the basement
is stable, factors contributing satisfaction will be able to operate all works smoothly and able to
use their own abilities fully (Vilawan, K. 2002).
Working Environment
Working Environment is everything that surrounds employees within organization. It reflects the
attitude of employees to their jobs as well as their colleagues. The example in the form of
working environment can be defined as supervisors or colleagues. There are also objects such
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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
as, machines, tools, equipment, and chemical substances. Additionally, there is also in the form
of energy; such as, oxygen, light, sound, or heat. These are also factors which affect social
psychology; such as, hour of works, compensation or rewards after the job is completed, the
devotion to work, the ability to provide mental strength and physical strength to work together
and solve problems. Therefore, the result is more effective and efficient. On the opposite, the
working environment may also be factors that could create pressure in work which leads to the
feeling of fatigue.
Wichawut, S. (2011) strongly argues that working environment is another factor influencing on
the efficiency of any action, for example, work performing, book reading, etc. The working
environment would be able to influence the efficient success as same as abilities and
knowledge, for example, If the working environment facilitates the operation but knowledge is
insufficient, the operation may not be completed. On the other hand, If knowledge is sufficient
but the working environment is poor (e.g., low lighting, noisy), this type of working environment
may bring disturbance and inattention leading to unsuccessful or defect working. As a result,
working environment is another factor influencing on the operation. According to Pookpan, P.
(2011), working environment also reinforces and destroys employee‟s morale. As a result, good
working environment according to the principles of sanitation (e.g., clean and ordered
workplace, etc.) may makes the employees have no disturbance and depressed emotion.
Consequently, they will subsequently have good morale. If the working environment lacks of
orderliness, cleanliness, and attractiveness, employees will lack of attention on performing their
works and it may demotivate the employees completely.
Finally, it could be concluded that the working environment means orderly and good
environment with good proportion of workplace, and sufficient equipment and facilities for
working.
Job performance
In part of the element of job performance appraisal, the researcher has reviewed the concept of
Tenner, Arthur R, Detoro, Irving J. (1992) and John J, Dilulio Jr, Geoffrey P (1993) stating that
the element of job performance appraisal is applicable for job performance. it was appeared
that the factors used as appraisal element include quantity of work, quality of work, working
time, work safety, working procedure, working knowledge, teamwork, leadership, company
regulation practice, and activity participation.
3. The Methodology and Model
Research Objectives
1) To study the job performance level of employees in Asiaengineering and Service (Thailand)
Co.,Ltd.
2) To study the motivational factors influencing job performance of employees in
Asiaengineering and Service (Thailand) Co.,Ltd.
Hypothesis : Job Characteristics, Career Advancement, Reward and Compensation,
Employee Relationship and Working Environment influencing job performance of employees in
Asiaengineering and service (thailand) Co.,Ltd.
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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
Theoretical Model: The researchers offered a conceptual model constructed based on
literature review representing the relationship between the motivational factors and job
performance as shown in Figure 1
Figure 1: Conceptual Model
Independent variables
Dependent variables
Motivational Factors
1. Job Characteristics
2. Career Advancement
3. Reward and Compensation
4. Employee Relationship
5. Working Environment
job performance
Scope of Reseach
In this research, The researcher aims to study the factors influencing job performance for the
employees of Asiaengineering and Service (Thailand) Co.,Ltd.
Population and Sample Group
The populations used in this research were total of 100 employees of Asiaengineering and
Service (Thailand) Co.,Ltd.
The sample size derived from the calculation by Yamane‟s formula was 80 people, and Simple
Random Sampling method is used as data collection method.
Research Applied Instrument
The questionnaire was the main instrument used in this research to collect the responses from
the employees of Asiaengineering and Service (Thailand) Co.,Ltd. The questionnaire consists
of both close-ended questions and open-ended question with below details.
Part I is the personal factor-related questionnaire for respondents who have been the
employees of Asiaengineering and Service (Thailand) Co.,Ltd. including gender, nationality,
age, marital status, educational level, type of employment, and work experience.
Part II is the motivational factor-related questionnaire for employees of Asiaengineering and
Service (Thailand) Co.,Ltd. and is the questionnaire in type of Rating Scale according to Rensis
Likert‟s 5-Scale scaling method.
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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
Part III is the job performance questionnaire for employees of Asiaengineering and Service
(Thailand) Co.,Ltd. and is the questionnaire in Rating Scale type according to Rensis Likert‟s 5Scale scaling method.
Part IV is the open-ended question for respondents to express their other opinions and
suggestions that should be additionally improved and developed from status quo for good
employee job performance leading to organizational success.
4. The Findings
Table 1 : Personal factors
Personal factors
Frequency
Percentage
43
37
53.8
46.2
Total
2. Nationality
Thai
Burmese
80
100.0
64
16
80.0
20.0
Total
80
100.0
3. Age
Less than 25 years
25 years to 35 years
35 years to 45 years
More than 45 years
4
25
29
22
5.0
31.3
36.2
27.5
Total
4. Marital Status
Single
Marriage
Widowed / Divorced / Separated
80
100.0
31
41
8
38.8
51.2
10.0
Total
5. Education Level
Junior High School
Senior High School
Diploma
Bachelor degree
Post Bachelor degree
80
100.0
22
25
19
13
1
27.5
31.2
23.8
16.2
1.3
Total
6. Type of employment
Full time
Part time
80
100.0
52
28
65.0
35.0
1. Gender
Male
Female
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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
7. Working Experience
Less than 1 years
1 years to 4 years
4 years to 7 years
7 years to 10 years
More than 10 years
4
20
10
13
33
5.0
25.0
12.5
16.3
41.2
Total
80
100.0
From Table 1, the result shows that most of the employees who have been the respondents of
the questionnaires are male with over 35 years – 45 years of age, married status, educational
level in high school education / vocational certificate, type of full time employment, and over
than 10 years of working experience.
Table 2 : Mean ( X ) Standard deviation (S.D.) Level and Sequence of Motivational Factors
Motivational Factors
Job Characteristics
Career Advancement
Reward and Compensation
Employee Relationship
Working Environment
Total
X
3.858
3.770
3.600
3.730
3.595
4.359
S.D.
Level
Sequence
0.439
0.558
0.665
0.523
0.575
0.411
High
High
High
High
High
High
1
2
4
3
5
-
Table 2 represents that the employees have high level of overall motivational factors with
maximum value of motivational factor in job characteristics and secondary values in career
advancement, employee relationship, reward and compensation, and working environment,
respectively.
Table 3 : Mean ( X ) Standard deviation (S.D.) Level and Sequence of Job Performance of
employees
Job Performance
S.D.
Level
Sequencee
X
Quantity of work
High
8
3.740
0.532
Quality of work
High
5a
3.813
0.538
Working time
High
4
3.858
0.574
Work safety
High
7
3.750
0.571
Working procedure
High
3
3.880
0.603
Working knowledge
High
9
3.693
0.586
Teamwork
High
2
3.983
1.050
Leadership
High
5a
3.813
0.634
Company regulation practice
High
1
4.090
0.594
Total
High
3.846
0.460
Note : a is the equal level
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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
As represents in table 3, the result shows that the employees have high level of overall job
performance with maximum value of job performance in company regulation practice, and
secondary values in teamwork, working procedure, working time, leadership, quality of work,
work safety, quantity of work and working knowledge, respectively.
Table 4 : Multiple Linear Regression Analysis of Motivational Factors Influencing Job
Performance of Employees
Variables
bj
t
p-value
Constant
1.186
2.987
0.004**
Job Characteristics
0.129
1.054
0.295
Career Advancement
0.136
1.407
0.163
Reward and Compensation -0.014
-0.167
0.868
0.252
2.657
0.010*
Employee Relationship
Working Environment
0.212
2.086
0.040*
R = 0.647 ; R2 = 0.418 ; SEE = 0.362 ; F = 10.64 ; p-value = 0.000**
Note. * statistical significance level of 0.05 and ** statistical significance level of 0.01
The result from Table 4 shows that the employee relationship and working environment
statistically significantly influencing overall job performance at the level of 0.05. All motivational
factors could explain variation of job performance at 41.80%.
5. Summary and Conclusions
From data analysis, the finding indicates high level of overall job performance of the
employees in Asiaengineering and Service (Thailand) Co.,Ltd. When considering job
performance level in individual aspects, it shows maximum job performance in company
regulation practice aspect due to restrict company regulation and clear determination of
employee practice guideline, affecting employee working on target determined by the company.
Motivational factor in employee relationship aspect influences job performance. This is
consistent with the research finding of Poloski, N. and Hernaus, T. (2004) that employee
relationship is related to job performance. The researcher opinion is that in working, the
colleagues are directly important for the company operating performance and good colleagues
will cause teamwork harmony, continuous working process, and consultation for mutual
problem solving, affecting effective and good job performance. This is consistent with Dachner
and Alison, M. (2011) who stated that good employee relationship will have positive impact
both on the company and the employees. If the colleagues in the company have positive
thinking, and acquaintance and unanimity, output increase can be driven.
Working environment influences job performance, which is consistent with the research finding
of Razak, A.A. (2012) who mentioned that proper environment factor is the most important
factor directly affecting employee job performance. The researcher suggests that the company
should supervise working environment to be clean with airy atmosphere, which may resulting in
pleasant working of employees. Moreover, the company should facilitate the working by
providing convenient way to travel to work, and providing an fascinating internal environment
which in turns may result in better work performance and higher quality works. This is
consistent with the research finding of Naharuddin, N.M. and Sadegi, M. (2013) that the crucial
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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
variables highly influencing working include mutual employee assistance and internal factory
environment. If good factory environment can be created, particularly physical factory
environment, it will result in good working efficiency.
Job characteristic has no influence on job performance. The employees must work according
to same roles, duties and responsibilities daily and their practical works are repetitive works
without any challenge or learning of new things, which may result in boring situation. This is
inconsistent with the research of Bodnarchuk, M. (2012) stating that solely working makes
every employee work what they love and skillful, resulting in high working motivation; and the
existing jobs done are the jobs that require the use of full knowledge and competency, has
challenging and persuasive characteristic for desire in opening the opportunity to use creative
thinking correspondent to their knowledge and competency.
Career advancement has no influence on job performance due to employee satisfactions on
their positions and responsibilities. However, job performance is not associated with the
consideration on position promotion according to knowledge and competency. In addition, the
opportunity for knowledge and competency support such as continuous education, training and
seminar, will be mostly granted to the supervisor or management levels rather than the
operating level employees. This is inconsistent with the research of Sharma, S. (2012) stating
that the advancement in position and duty highly affects working due to employee working
consideration for yearly regular position promotion. All employees then will have high working
motivation for promotion.
Reward and compensation has no influence on job performance, since reward and
compensation of the company has not yet built motivation for employees to have incentives
and impulsion for better work performance. This is consistent with the research of Mikander, C.
(2010) stating that the salary or compensation has no effect on employee job performance. The
researcher opinion is that true impulsion must be occurred from internal feeling of the
employee. Finally, in order to accomplish the works, fondness and proud of the company are
the key factors that every organization needs to implant.
Recommendation from this Research
The company should emphasize, promote and support activities that will develop employee
relationship in order to have work motivation and love and harmony since employee
relationship will affect determined organizational target or objective achievement.
The company should emphasize on supervising the internal and external factory environment
to be clean, in good order and convenient for working. In addition, the company should
regularly improve and develop environments of different working areas inside the company.
Suggestion for Future Study
The future study on motivational factors influencing job performance for the employees of
Asiaengineering and Service (Thailand) Co.,Ltd. should focus on other aspects of the factors
such as employee working morale factor and employee quality of work life factor, since these
factors are important factors related to work and may affect employee job performance.
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Proceedings of Annual Tokyo Business Research Conference
15 - 16 December 2014, Waseda University, Tokyo, japan, ISBN: 978-1-922069-67-2
The future study should also focus on other factors relating or affecting employee working
motivation through the implementation of the result acquired from this research, such as, the
issues for satisfactions on welfare, organizational policy and participation.
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