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The copyright © of this thesis belongs to its rightful author and/or other copyright owner. Copies can be accessed and downloaded for non-commercial or learning purposes without any charge and permission. The thesis cannot be reproduced or quoted as a whole without the permission from its rightful owner. No alteration or changes in format is allowed without permission from its rightful owner.

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COMPENSATION MANAGEMENT AND ITS RELATION ON JOB SATISFACTION:

A STUDY ON EMPLOYEE AT CIMB CALL CENTER IN KUALA LUMPUR

By

REZA IVANNA BINTI ABDULLAH

Thesis Submitted to

Othman Yeop Abdullah Graduate School of Business, Universiti Utara Malaysia,

in Partial Fulfillment of the Requirement for the Master of Human Resource Management

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i PERMISSION TO USE

In presenting this dissertation/project paper in partial fulfillment of the requirements for a Post Graduate degree from the University Utara Malaysia (UUM), I agree that the Library of this university may make it freely available for inspection. I further agree that permission for copying this dissertation/project paper in any manner, in whole or in part, for scholarly purposes may be granted by my supervisor(s) or in their absence, by the Dean of Othman Yeop Abdullah Graduate School of Business where I did my dissertation/project paper. It is understood that any copying or publication or use of this dissertation/project paper parts of it for financial gain shall not be allowed without my written permission. It is also understood that due recognition shall be given to me and to the UUM in any scholarly use, which may be made of any material in my dissertation/project paper.

Request for permission to copy or to make other use of materials in this dissertation/project paper in whole or in part should be addressed to:

Dean of Othman Yeop Abdullah Graduate School of Business Universiti Utara Malaysia

06010 UUM Sintok Kedah Darul Aman

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ii ABSTRACT

Compensation management is a process that provides monetary value to employees and this process includes base salary, performance bonuses, health insurance and retirement plans. This study aims to know the compensation management on employee job satisfaction at the CIMB call center in Kuala Lumpur. Besides that, the researcher would like to determine the factors by which have an essential impact on their job satisfaction, such as compensation policy design, compensation packages and management and communication. The objectives of this study are to determine the level of job satisfaction among employee at CIMB call center in Kuala Lumpur and the relation with several factors in compensation management. The discussion covered the topics of compensation policy design, compensation package, and management and communication and relation towards job satisfaction. About 160 call center employees involved in this study. This finding of research discovered that all independent variables have significant relationships and affect job satisfaction.

Keywords: job satisfaction, compensation policy design, compensation package, management and communication

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iii ABSTRAK

Pengurusan pampasan adalah proses yang memberikan nilai kewangan kepada pekerja. Ini termasuk gaji asas, bonus prestasi, insurans kesihatan dan rancangan persaraan. Tujuan kajian ini adalah untuk mengetahui pengurusan pampasan mengenai kepuasan kerja pekerja di pusat khidmat pelanggan CIMB di Kuala Lumpur. Di samping itu, penyelidik juga ingin menentukan faktor- faktor yang memberikan kesan penting terhadap kepuasan kerja mereka seperti reka bentuk dasar pampasan, pakej pampasan dan pengurusan dan komunikasi. Objektif kajian ini adalah untuk menentukan tahap kepuasan kerja di kalangan pekerja di pusat khidmat pelanggan CIMB di Kuala Lumpur dan hubungan dengan beberapa faktor dalam pengurusan pampasan. Perbincangan merangkumi penentuan hubungan antara topik reka bentuk pampasan, pakej pampasan dan pengurusan dan komunikasi terhadap kepuasan kerja Kira-kira 160 pekerja pusat panggilan yang terlibat dalam kajian ini. Hasil dari kajian ini mendapati bahawa semua pembolehubah bebas mempunyai hubungan yang signifikan dan pengaruh terhadap kepuasan pekerja.

Kata kunci: kepuasan kerja, reka bentuk dasar pampasan, pakej pampasan, pengurusan dan komunikasi

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iv ACKNOWLEDGMENT

Above all to Almighty God, for the spiritual enlightenment, the wisdom and constant flow of ideas, which help a great deal: for lighting up the lamp of hope, encouragement, courage and patience to the success of this undertaking to the finish. For all these graces, my prayers of thanks.

Writing this thesis has been both difficult and fun to do. There have been many late nights and early mornings, and after all the work I can finally conclude that the dissertation is finished. With boundless love and appreciation, I would like to extend my heartfelt gratitude and appreciation to the people who helped me bring this study into reality. I would like to extend my profound gratitude to the following:

My advisor, Dr. Bidayatul Akmal whose expertise, consistent guidance, ample time spent and consistent advice that helped me bring this study into success. Thanks to my second supervisor, Dr. Zurina for helping me to vet through the write-up.

My completion of this project could not have been accomplished without the support of my friends and buddies especially to Fiqqa for sharing the experience. My fellow colleagues for the understanding and cooperation – whois directly and indirectly contributed to the success of this study.

To all my close friends and family for helping me survive all the stress and not letting me give up.

I also dedicated this dissertation to Mama and Abah for continuous support throughout the process.

I will always appreciate all you have done for me – especially for taking care of my kids whenever I had to be away for classes and discussions. The countless times you helped me throughout my journey as a part-time student. Your encouragement when the times got rough is much appreciated.

It was a great comfort and relief to know that you were willing to provide everything you can give even though I know I might pester you a lot.

Most of all, I am fully grateful to my other half – Mohd Firdaus Khamshah. You are the pillar of strength in my life. Thank you so much for your understanding, wisdom, patience and encouragement and for always pushing me farther than I thought I could go. I will not be this stronger without you by my side.

Finally, my deepest thanks and a special shout out goes to my kids; my everything.. – Aleesya &

Zafran, for enduring semester after semester and many, many, many “Don’t disturb! Mummy busy...” moment. Mummy loves you both so much and thanks for being the joy of my life!

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v TABLE OF CONTENT

Page

PERMISSION TO USE i

ABSTRACT ii

“ABSTRAK” iii

ACKNOWLEDGMENT iv

TABLE OF CONTENT v

LIST OF TABLES viii

LIST OF FIGURES ix

LIST OF APPENDICES x

LIST OF ABBREVIATIONS xi

Chapter 1 INTRODUCTION 1

1.1 Background of Study 1

1.2 Problem Statement 3

1.3 Research Questions 6

1.4 Research Objectives 7

1.5 Scope of Study 8

1.6 Significance of the Study 9

1.7 Organization of the Thesis 9

Chapter 2 LITERATURE REVIEW 11

2.1 Introduction 11

2.2 Job Satisfaction 11

2.3 Compensation Policy Design 13

2.4 The Relationship Between Compensation Policy Design

and Job Satisfaction 14

2.5 Compensation Package 16

2.5.1 Direct Compensation 16

2.5.2 Indirect Compensation 17

2.6 The Relationship Between Compensation Package and

Job Satisfaction 20

2.7 Management and Communication 23

2.8 The Relationship between Management and Communication 25 and Job Satisfaction

2.9 Theories Related to the Research 27

2.10 Summary 30

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vi

Chapter 3 METHODOLOGY 32

3.1 Introduction 31

3.2 Research Framework 31

3.3 Hypotheses 32

3.4 Research Design 33

3.4.1 Type of Study 34

3.4.2 Data Analysis 34

3.4.3 Statistical Base 34

3.4.4 Source of Data 35

3.4.4.1 The Primary Data 35

3.4.4.2 The Secondary Data 36

3.4.5 Population Frame 36

3.4.6 Sampling Method 37

3.5 Operational Definition 38

3.6 Measurement 38

3.6.1 Questionnaire Structure 38

3.6.2 Questionnaire Design 38

3.6.3 Pilot Test 40

3.7 Data Collection and Administration 40

3.8 Data Analysis Techniques 41

3.8.1 Descriptive Analysis 41

3.8.2 Reliability Test 41

3.8.3 Mean Analysis 42

3.8.4 Inferential Analysis 43

3.8.4.1 Pearson Correlation Analysis 43

3.8.4.2. Multiple Regression 44

3.9 Summary 44

Chapter 4 RESULTS AND DISCUSSION 45

4.1 Introduction 45

4.2 Testing the Research Instruments 45

4.2.1 Reliability Test 45

4.2.2 Validity Test 47

4.3 Testing the Research Data 47

4.3.1 Normality Test 47

4.4 Descriptive Analysis 48

4.4.1 Demographic Variables 49

4.4.2 Mean’s Test 52

4.5 Inferential Analysis (Hypothesis Testing) 53

4.5.1 Pearson Correlation 54

4.5.2 Multiple Regression 58

4.6 Summary 60

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vii

Chapter 5 CONCLUSION AND RECOMMENDATIONS 62

5.1 Introduction 62

5.2 Overview of the Study 62

5.3 Discussion of Key Findings 63

5.3.1 Job Satisfaction Level 63

5.3.2 Compensation Policy Design and Job Satisfaction 64 5.3.3 Compensation Packages and Job Satisfaction 65 5.3.4 Management and Communication and Job Satisfaction 67 n5.3.5 Significant Effect on Job Satisfaction 68

5.4 Implication of Study 69

5.4.1 Managerial Implication 69

5.4.1.1 Employer 70

5.4.1.2 HR Management 70

5.4.2 Higher Learning 71

5.5 Limitation 72

5.6 Conclusion 73

5.7 Future Research Recommendations 74

5.7.1 Give a Proper Education about Compensation to the

Employee 75

5.7.2 The Presence of Software for Compensation Management 76 5.7.3 Social Events and Other Non-Financial Compensation 76 5.7.4 Attention Towards Specific Compensation Packages 77

REFERENCES 76

APPENDICES 82

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viii LIST OF TABLES

Table 1 Employee Job Satisfaction and Engagement – Pay Element 21 Table 2 Employee Job Satisfaction and Engagement – Benefits 23

Table 3 CIMB Branches in Kuala Lumpur 37

Table 4 Structure of Variables in the Questionnaires 39

Table 5 Reliability Result of Pilot Study 40

Table 6 Reliability that Adapted from Mahlangu and Kruger 42

Table 7 Mean Score that Adapted from Izham et al. 42

Table 8 The Coefficient Range that Adapted from Mahlangu and Kruger 43 Table 9 Cronbach Alpha Value for Pilot and Main Study 46 Table 10 Result of Skewness and Kurtosis for Every Variable 48

Table 11 Summary of All Demographical Factors 50

Table 12 Mean, Media, Mode and Cut-Off Points for Level of Job Satisfaction 52

Table 13 Range for Every Level of Job Satisfaction 53

Table 14 Result of Pearson Correlation Analysis 55

Table 15 Correlation between Compensation Role and Job Satisfaction 56 Table 16 Correlation between Compensation Policy Design and Job Satisfaction 56 Table 17 Correlation between Compensation Packages and Job Satisfaction 57 Table 18 Correlation between Management and Communication and Job

Satisfaction 57

Table 19 Multiple Regression Analysis 59

Table 20 Summary of the Hypotheses Results 61

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ix LIST OF FIGURES

Figure 1 New Hire by Age Group of CIMB Malaysia in the Period 2016-2017. 2 Figure 2 Employee Turnover Rate of CIMB Malaysia by Age Group and Gender 4

Figure 3 Herzberg’s Motivator Hygiene Theory 28

Figure 4 Research Framework on the Effect of Compensation Management on

Employee Job Satisfaction 32

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x LIST OF APPENDICES

Appendix A Questionnaire 82

Appendix B Demographic Analysis 88

Appendix C Description Analysis 91

Appendix D Reliability Test 94

Appendix E Mean Test 101

Appendix F Pearson Correlation Analysis 103

Appendix G Regression Analysis 104

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xi LIST OF ABBREVIATIONS

SHRM Society Human Resource Management CPD Compensation Policy Design

ACP Awareness of Compensation Packages CP Compensation Packages

CM Communication and Management

SPSS Statistical Package for the Social Sciences Software IVs Independent Variables

DV Dependent Variables

HR Human Resource

CIMB Commerce International Merchant Bankers Berhad EPF Employees Provident Fund

SOCSO Social Security Organization JS Job Satisfaction

SPM Sijil Pelajaran Malaysia

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1 CHAPTER 1

INTRODUCTION

1.1 Background of Study

In the banking sector, call center employees play a vital role in serving their customers. The quality of service that they offer depends entirely on their employees’ capability to handle every possible problem. They are the front-liner and the representative of the bank. To achieve quality services, the employees first needed to have high job satisfaction. According to Nazir (2013), the fact confirmed that high of job fulfillment has encouraging behavior works. Therefore, employees with a high level of job satisfaction will demonstrate positive attitudes in their work.

In recent years, the majority of the employee is coming from Gen Y and X generation. Their needs are different compared to the earlier generations. Research done by the Society of Human Resource Management reported that there is a slight difference in job satisfaction’s contributions and engagements between these generations (Gurchiek, 2016). It is because Gen Y and Gen X employees believed that compensation is the main factor for job satisfaction (Miller, 2016). Gen Y employees are actively planning their career development because they are more knowledgeable about their career and interest (Deloitte, 2011). Figure 1.1 shows the new hires by age group in CIMB.

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78 REFERENCES

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Ahmed, M., & Ahmed, A. B. (2014). The Impact of Indirect Compensation on Employee performance: An Overview. Public Policy and Administration Research, 4(6), 27–31.

Anya, C. (2017). Impact of Effective Compensation on The Employees Performance (A Case Study of General Cotton Mill Onitsha Anambra State). Project Writers Nigeria. Retrieved

October 17, 2017,from https://afribary.com/works/a-case-study-of-general-cotton-mill- ltd-onitsha-anambra-state-2849

Arshadi, N., & Shahbazi, F. (2013). Workplace Characteristics and Turnover Intention: Mediating Role of Emotional Exhaustion. Procedia - Social and Behavioral Sciences, 84(2001), 640 645.

Aziri, B. (2011). Job Satisfaction: a Literature Review. Management Research and Practice, 3(4), 77–86.

Bhattacharya, M. S., & Sengupta, N. (2014). Compensation management. Excel Books, 17-26.

Bhatti, K. K., & Qureshi, T. M. (2015). Impact of Employee Participation on Job Satisfaction, Employee Commitment and Employee Productivity. International Review of Business, 3(2), 54–68.

Burma, Z. A. (2014). Human Resource Management and Its Importance For Today’s Organizations. International Journal of Education and Social Science, 1(2), 85–94.

Business Dictionary. (2017). Compensation Packages. Retrieved October 17, 2017, from http://www.businessdictionary.com/definition/compensation-package.html

Cambridge Dictionary. (2017). Awareness. Cambridge University Press. Retrieved November 1, 2017, from https://dictionary.cambridge.org/dictionary/english/awareness

Company LLC. (2014, May 2012). Why Total Compensation Statements Work. Benefit Administration Company LLC. Retrieved November 1, 2017, from https://www.benefitadministrationcompany.com/blog/why-total-compensation- statements-work/

Coakes, S.J. (2013). SPSS: Analysis Without Anguish. Version 20.0. John Wiley and Sons Australia, Ltd

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79 Dessler, G. (2011). Human Resource Management, 12th Edition. New Jersey: Prince Hall

Employees provident Fund. (2012). Overview of The EPF. Retrieved October 23, 2017, from http://www.kwsp.gov.my/portal/en/about-epf/overview-of-the-epf

Feigenbaum, E. (2017). Effective Management Communication. Retrieved October 1, 2017, from http://smallbusiness.chron.com/effective-management-communication-3186.html Gallo, A. (2016, April 09). How To Discuss Pay With Your Employees. Harvard Business Review.

Retrieved October 1, 2017, from https://hbr.org/2014/04/how-to-discuss-pay- with-your employees

Gardon, A., Kaswin, L.J. (2010, May 31). Effective Compensation Incentive Plans: Features and Implementation Process. Cornell HR Review. Retrieved October 2, 2017, from http://www.cornellhrreview.org/effective-employee-incentive-plans-features-and implementation-processes/

Grazulis, V. (2011). Successful Socialization of Employees–Assumption of Loyalty to Organization. International Journal „Human Resources, V, 132–134.

Green, S.B., Sulkind, N.J. (2011). Using SPSS for Windows and Macintosh: Analyzing and Understanding Data. Sixth Edition. Prentice-Hall

Grimsley, S. (2018). Direct, Indirect and Non-Financial Compensation Strategies. Study.com.

Retrieved October 2, 2017, from http://study.com/academy/lesson/direct-indirect-non- financial-compensation-strategies.html

Güngör, P. (2011). The relationship between the reward management system and employee performance with the mediating role of motivation: A quantitative study on global banks.

Procedia - Social and Behavioral Sciences, 24, 1510–1520.

Halcomb, Z.C. (2016, September 15). Fundamentals of Descriptive Statistics. Routledge, Taylor and Francis Publishing

Hinton, P.R., Mc Murray, I., Brownlow. C. (2014). SPSS Explained. Second Edition.

Routledge. Taylor and Francis Publishing

Hrcouncil.ca. (2017). Compensation and Benefits Compensation System: Design and Goals.

Retrieved October 8, 2017, from http://hrcouncil.ca/hr-toolkit/compensation-systems.cfm Human Resource Management Practice. (2017). Difference Between Direct, Indirect and Non

Financial Compensation. Retrieved October 5, 2017, from http://hrmpractice.com/difference-between-direct-indirect-and-non-financial-

compensation/

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80 Ibrahim, I.I, & Boerhaneoddin, A. (2010). Is Job Satisfaction Mediating the Relationship Between Compensation Structure and Organizational Commitment? A Study in the Malaysia Power Utility. Journal of Global Business and Economics, Global Research Agency, vol. 1(1), 43-61.

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Global Disclosure of Economics and Business, 4(10), 2305–9168.

Izham, M., Hamzah, M., Juraime, F., Mansor, A. N., & Hamzah, M. I. M. (2016). Malaysian Principals’ Technology Leadership Practices and Curriculum Management. Creative Education, 7(7), 922–930.

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Retrieved December 17, 2017, from http://work.chron.com/effective- communication between-management-employees-11299.html

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Michael ’ S Catholic Hospital, Pramso, (July), 1–80.

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forecasting/research-and-surveys/Documents/2016-Employee-Job-Satisfaction-and Engagement-Report.pdf

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81 Naukrihub.com. (2012). Indirect Compensation. Retrieved November 2, 2017, from

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82 APPENDIX A- QUESTIONNAIRE

COMPENSATION MANAGEMENT AND ITS RELATION ON JOB SATISFACTION: A STUDY ON EMPLOYEE AT CIMB CALL CENTRE IN KUALA LUMPUR

I am Reza Ivanna Abdullah student from Northern University of Malaysia (UUM) Master’s in Science Human Resource Management are conducting a survey on the effect of Compensation Management and Its Relation on Job Satisfaction among Call Centre Department At CIMB, Kuala Lumpur. This questionnaire was adopting by Larbi (2014) and be adapted in this questionnaire. I believe that your participation in this study will contribute to the findings of our research. It will take you about 10 minutes to complete the survey. We are really interested in your feedback and participation of the topic. Please complete the questionnaire and return back to us. We really hope that you will complete the questionnaire at your earliest convenience. All responses are confidential and will be used only for this study. Any report of the data will be aggregated and will not identify the respondent. If you have any question about this study, we will most happy to clarify. We thank you for your cooperation and wish you all the best.

Reza Ivanna Abdullah

Othman Yeop Abdullah Graduate School of Business University Utara Malaysia, Kuala Lumpur

Lecturer:

Dr Bidayatul Akmal

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83 Part A: Personal Profile

Please kindly answer all question and tick (/) the appropriate box.

1. Gender

Male Female

2. Malaysian Nationality

Yes No

3. Races

Indian Malay

Chinese Others

4. Age

18-28 years old 39-48 years old

29-38 years old > 48 years old

5. Level of Education

SPM Degree

Diploma Others

6. Income

Below RM 1000 RM 2001- RM 3000

RM 1000-RM 2000 RM 3001- Above

7. Marital Status

Single Single Parent

Married

8. Length of Service

Less than 1 Year 1-5 years

5-10 year Above 10 Years

9. Which CIMB branch do you work?

Kampung Kerinchi Bangsar

Jalan Melaka Bukit Tunku

10. Distance of your home to work place

Less than 2 Kilometre 2-4 Kilometre

4-10 Kilometre Above 10 Kilometre

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84 PART B: SECTION 2: Importance of compensation management on employees’ Job

Satisfaction

Kindly indicate your level of agreement or disagreement with each of the statements using the following scale:

2.1 The level of Job Satisfaction of employee and compensation role in your organization.

STRONGLY

DISAGREE DISAGREE UNCERTAINTY AGREE STRONGLY AGREE

1 2 3 4 5

1 2 3 4 5

1 My work gives me a feeling of personal accomplishment 2 I like the kind of work I do

3 The people I work with cooperate to get the job done

4 I am satisfied with the recognition that company rewards for doing an excellent job

5 I am satisfied with the opportunity to get a better job in the company 6 I am satisfied with the information I received from the management on

what's going on in the company

7 Compensation package offered is meant to meet the employer's legal obligation

8 Compensation package offered is to encourage employees to work hard 9 Compensation package offered is meant to help employees meet their basic

needs

10 Compensation package offered in the organization I work is meant to enhance the organization's image.

STATEMENT

NO SCORING

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85 2.2 Employees’ opinion on how effective compensation management influences employee Job Satisfaction. The satisfaction relationship between Direct Compensation and Job Satisfaction and the satisfaction relationship between Indirect Compensation and Job Satisfaction

Kindly indicate your level of agreement or disagreement with each of the statements using the following scale:

STRONGLY

DISAGREE DISAGREE UNCERTAINTY AGREE STRONGLY AGREE

1 2 3 4 5

NO STATEMENT

1 2 3 4 5

11 Motivates employees to perform better 12

Improves employee punctuality to work and and reduces employee absenteeism

13 Improves employee willingness to do extra work and go the extra mile 14

Makes employees committed to the organization and tehrefore commitment to work increase

15

Increases employees’ readiness to learn new skills and preparedness to transfer skills onto the job

16

Creates a healthy environment for work and improves the health (soundness) of employees

17

Creates very good working relationship between management and employees to improve employee satisfaction

18 Makes employees feel appreciated and they give their best 19 Attracts and motivates qualified personnel to work better 20 Rewards hardworking employees to sustain high performance

SCORING A welll-designed compensation policy and its effective management and

implementation has an effect on employee Job Satisfaction in the following

ways:

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86 PART C: SECTION 3: Employees awareness of compensation packages and satisfaction with management of compensation packages in policy manuals.

3.1 To what extent are you satisfied with the compensation packages you have selected above and their management in your organisation?

Please tick appropriately as follows.

3.2 Challenges in the management of Compensation:

TO LITTLE EXTENT

TO LESS

EXTENT NEUTRAL TO SOME EXTENT

TO A GREAT EXTENT

1 2 3 4 5

1 2 3 4 5

1 Vehicle maintenance allowance 2 Extra duty allowance

3 Free recreation 4 Provident fund

5 Retirement Benefit Package 6 Fuel Allowance

7 Rent Allowance

8 Career Development Opportunity 9 Pension Scheme

10 Vacation Leave 11 Study Leave

12 Free Medical Services 13 Free Medical Insurance 14 Regularity of Promotion 15 Car & Motorcycle Loan 16 Long Service Awards 17 Free Training Workshops 18 Maternity Leave 19 Sick Leave

20 Free Accommodation 21 Free Transportation

NO STATEMENT SCORING

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87 To what extent do you agree with the following statements as they apply and as listed below?

Kindly indicate according to the rating as follows:

3.5 Briefly suggest ways in which the compensation Packages can be better managed.

………

………

3.6 In your opinion how do you think the challenges in compensation management can be overcome to towards the Job Satisfaction of employees?

………

………

Thank you for your time.

NO STATEMENT

1 2 3 4 5

1 The packages of compensation are managed well

2 Employees receive adequate notice and information on any changes that will affect their compensation packages

3 Compensation is managed to ensure that all employees receive equal compensation for the same kind of work

4 My colleague in another department with the same qualification receives more compensation than I do

5 The managers of compensation packages are well trained to do so 6 Communication of issues concerning compensation is generally good in

the organization

7 Every detail of available Compensation packages is well communicated to the employees

8 Employees are well informed and involved in the formulation, discussion and implementation of policies concerning compensation

9 I do not know what is going on as far as compensation is concerned in this organization

10 The compensation packages are well defined and explained to employees

SCORING Management and Communication

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88 APPENDIX B – DEMOGRAPHIC ANALYSIS

Gender Frequency Percent

Valid Percent

Cumulative Percent

Valid Male 72 45.0 45.0 45.0

Female 88 55.0 55.0 100.0

Total 160 100.0 100.0

Age

Frequency Percent

Valid Percent

Cumulative Percent

Valid 18-28 Years old 54 33.8 33.8 33.8

29-38 Years Old 62 38.8 38.8 72.5

39-48 Years Old 29 18.1 18.1 90.6

48 Years old and

above 15 9.4 9.4 100.0

Total 160 100.0 100.0

Level of Education Frequency Percent

Valid Percent

Cumulative Percent

Valid SPM 42 26.3 26.3 26.3

Diploma 54 33.8 33.8 60.41

Degree 61 38.1 38.1 98.1

Master 3 1.9 1.9 100.0

Total 160 100.0 100.0

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89 Income

Frequency Percent

Valid Percent

Cumulative Percent Valid RM1000-RM

2000 7 4.4 4.4 4.4

RM 2001-RM

3000 66 41.2 41.2 45.6

RM3001-Above 87 53.4 53.4 99.0

Total 160 100.0 100.0

Marital Status Frequency Percent

Valid Percent

Cumulative Percent

Valid Single 106 66.3 66.3 31.3

Married 50 31.3 31.3 96.9

Single Parent 4 2.5 2.5 99.4

Total 160 100.0 100.0

Length of Service Frequency Percent

Valid Percent

Cumulative Percent Valid Less than 1

Year 45 28.1 28.1 28.1

1-5 years 78 48.8 48.8 76.9

6-10 years 27 16.9 16.9 93.8

Above 10 Years 10 6.2 6.2 100.0

Total 160 100.0 100.0

(28)

90 Which CIMB Branch you work

Frequency Percent

Valid Percent

Cumulative Percent Valid Kampung

Kerinchi 76 47.5 47.5 47.5

Jalan Melaka 13 8.1 8.1 55.6

Bangsar 57 35.6 35.6 91.2

Bukit Tunku 14 8.8 8.8 100.0

Total 160 100.0 100.0

Distance of your home to workplace Frequency Percent

Valid Percent

Cumulative Percent Valid Less than 2

Kilometre 35 21.9 21.9 21.9

2-4 Kilometre 52 32.5 32.5 54.4

5-10 kilometre 40 25.0 25.0 79.4

Above 10 Kilometre 33 20.6 20.6 100.0

Total 160 100.0 100.0

(29)

91 APPENDIX C- DESCRIPTION ANALYSIS

Demographic Profile

Descriptive Statistics N

Minimu m

Maximu

m Mean

Std.

Deviation Statistic Statistic Statistic Statistic

Std.

Error Statistic

Gender 160 1 2 1.55 .039 .499

Nationality 160 1 1 1.00 .000 .000

Races 160 1 4 2.22 .066 .839

Age 160 1 4 2.03 .075 .948

Level of Education 160 1 4 3.04 .065 .823

Income 160 1 4 3.23 .071 .897

Marital Status 160 1 4 1.73 .042 .537

Length of Service 160 1 4 3.19 .074 .935

Which CIMB Branch

you work 160 1 4 2.54 .088 1.109

Distance of your home

to workplace 160 1 4 2.31 .090 1.133

Valid N (listwise) 160 Dependent Variables

Descriptive Statistics N

Minimu m

Maximu

m Mean

Std.

Deviation Statistic Statistic Statistic Statistic

Std.

Error Statistic

JS1 160 1 5 2.19 .079 1.004

JS2 160 1 4 2.11 .076 .962

JS3 160 1 5 2.11 .070 .890

JS4 160 1 5 2.39 .089 1.127

JS5 160 1 5 2.34 .088 1.111

JS6 160 1 5 2.19 .081 1.025

Valid N

(listwise) 160

(30)

92 Independent Variables

Descriptive Statistics N

Minimu m

Maximu

m Mean

Std.

Deviation Statistic Statistic Statistic Statistic

Std.

Error Statistic

CPD1 160 1 5 1.90 .072 .906

CPD2 160 1 4 1.96 .065 .823

CPD3 160 1 5 2.05 .072 .910

CPD4 160 1 4 2.04 .069 .878

CPD5 160 1 5 1.98 .064 .812

CPD6 160 1 5 2.06 .076 .963

CPD7 160 1 5 1.95 .080 1.008

CPD8 160 1 5 2.03 .076 .961

CPD9 160 1 5 1.95 .076 .957

CPD10 160 1 5 1.94 .077 .979

CP1 160 0 5 1.57 .087 1.102

CP2 160 1 5 2.89 .116 1.471

CP3 160 1 5 1.14 .051 .649

CP4 160 0 5 .70 .118 1.491

CP5 160 0 5 1.48 .150 1.900

CP6 160 0 5 .47 .095 1.197

CP7 160 0 5 .26 .075 .955

CP8 160 0 5 1.17 .135 1.709

CP9 160 0 5 .71 .120 1.516

CP10 160 0 5 .78 .118 1.496

CP11 160 0 5 .54 .108 1.364

CP12 160 0 5 3.22 .150 1.892

CP13 160 0 5 2.96 .161 2.031

CP14 160 0 5 .41 .099 1.256

CP15 160 0 5 1.64 .143 1.807

CP16 160 0 5 .59 .113 1.429

CP17 160 0 5 1.29 .155 1.957

CP18 160 0 5 2.68 .157 1.982

CP19 160 0 5 3.74 .111 1.407

CP20 160 0 5 .37 .097 1.227

CP21 160 0 5 .24 .082 1.032

MC1 160 1 5 3.73 .073 .923

MC2 160 1 5 3.67 .067 .845

(31)

93

MC3 160 1 5 3.51 .075 .945

MC4 160 1 5 3.21 .082 1.042

MC5 160 1 5 3.26 .084 1.061

MC6 160 1 5 3.29 .081 1.019

MC7 160 1 5 3.26 .084 1.067

MC8 160 1 5 3.33 .080 1.008

MC9 160 1 5 3.15 .082 1.041

Valid N

(listwise) 160

(32)

94 APPENDIX D – RELIABILITY ANALYSIS

Job Satisfaction

Reliability Statistics (Pilot Study)

Cronbach's Alpha

Cronbach's Alpha Based

on Standardized

Items

N of Items

.948 .948 6

Reliability Statistics (Main Study)

Cronbach's Alpha

Cronbach's Alpha Based

on Standardized

Items

N of Items

.932 .933 6

Item Statistics v Mean

Std.

Deviation N

JS1 1.78 .974 40

JS2 1.78 .920 40

JS3 1.98 .832 40

JS4 2.05 .846 40

JS5 1.85 .864 40

JS6 1.83 .903 40

(33)

95 Item Statistics (Main Study)

Mean

Std.

Deviation N

JS1 2.19 1.004 160

JS2 2.11 .962 160

JS3 2.11 .890 160

JS4 2.39 1.127 160

JS5 2.34 1.111 160

JS6 2.19 1.025 160

Item-Total Statistics (Main Study) Scale Mean

if Item Deleted

Scale Variance if Item Deleted

Corrected Item-Total Correlation

Squared Multiple Correlation

Cronbach's Alpha if Item

Deleted

JS1 11.14 20.023 .792 .641 .921

JS2 11.22 19.962 .844 .729 .915

JS3 11.22 21.342 .731 .617 .929

JS4 10.94 18.670 .843 .719 .915

JS5 10.99 18.906 .829 .721 .916

JS6 11.14 19.968 .778 .698 .923

Compensation Policy Design

Reliability Statistics (Pilot Study)

Cronbach's Alpha

Cronbach's Alpha Based

on Standardized

Items

N of Items

.953 .953 10

Reliability Statistics (Main Study)

(34)

96 Cronbach's

Alpha

Cronbach's Alpha Based

on Standardized

Items

N of Items

.952 .952 10

Item Statistics (Main Study) Mean

Std.

Deviation N

CPD1 1.90 .906 160

CPD2 1.96 .823 160

CPD3 2.05 .910 160

CPD4 2.04 .878 160

CPD5 1.98 .812 160

CPD6 2.06 .963 160

CPD7 1.95 1.008 160

CPD8 2.03 .961 160

CPD9 1.95 .957 160

CPD10 1.94 .979 160

Item-Total Statistics (Main Study) Scale Mean

if Item Deleted

Scale Variance if Item Deleted

Corrected Item-Total Correlation

Squared Multiple Correlation

Cronbach's Alpha if Item

Deleted

CPD1 17.98 48.855 .762 .623 .948

CPD2 17.91 49.640 .776 .705 .948

CPD3 17.83 48.284 .807 .748 .946

CPD4 17.83 48.921 .783 .679 .947

CPD5 17.89 49.857 .767 .621 .948

CPD6 17.81 48.128 .768 .653 .948

CPD7 17.93 46.988 .819 .713 .946

CPD8 17.84 47.667 .808 .732 .946

CPD9 17.93 47.579 .820 .765 .946

CPD10 17.93 47.121 .836 .738 .945

Compensation Packages

(35)

97 Reliability Statistics (Pilot Study)

Cronbach's Alpha

Cronbach's Alpha Based

on Standardized

Items

N of Items

.923 .931 21

Reliability Statistics (Main Study)

Cronbach's Alpha

Cronbach's Alpha Based

on Standardized

Items

N of Items

.858 .889 21

Item Statistics (Main Study) Mean

Std.

Deviation N

CP1 1.58 1.102 160

CP2 2.89 1.471 160

CP3 1.14 .649 160

CP4 .70 1.491 160

CP5 1.48 1.900 160

CP6 .48 1.197 160

CP7 .26 .955 160

CP8 1.17 1.709 160

CP9 .71 1.516 160

CP10 .78 1.496 160

CP11 .54 1.364 160

CP12 3.22 1.892 160

CP13 2.96 2.031 160

CP14 .41 1.256 160

CP15 1.64 1.807 160

CP16 .59 1.429 160

CP17 1.29 1.957 160

CP18 2.68 1.982 160

CP19 3.74 1.407 160

CP20 .37 1.227 160

(36)

98

CP21 .24 1.032 160

Item-Total Statistics (Main Study) Scale Mean

if Item Deleted

Scale Variance if Item Deleted

Corrected Item-Total Correlation

Squared Multiple Correlation

Cronbach's Alpha if Item

Deleted

CP1 27.29 242.080 .607 .489 .848

CP2 25.97 250.100 .255 .200 .859

CP3 27.72 249.119 .711 .792 .851

CP4 28.16 243.860 .387 .289 .854

CP5 27.38 233.181 .471 .362 .851

CP6 28.39 237.346 .687 .704 .845

CP7 28.60 242.405 .699 .817 .847

CP8 27.69 238.591 .428 .339 .853

CP9 28.16 238.007 .509 .432 .850

CP10 28.09 237.590 .526 .444 .849

CP11 28.32 242.697 .460 .437 .852

CP12 25.64 241.627 .321 .402 .858

CP13 25.90 244.933 .237 .424 .863

CP14 28.45 234.714 .723 .770 .844

CP15 27.22 239.458 .382 .263 .855

CP16 28.27 234.110 .639 .738 .845

CP17 27.57 235.090 .420 .288 .854

CP18 26.18 250.703 .151 .124 .867

CP19 25.12 252.915 .206 .408 .860

CP20 28.49 237.333 .669 .797 .846

CP21 28.62 240.363 .708 .792 .846

Management and Communication

Reliability Statistics (Pilot Study)

Cronbach's Alpha

Cronbach's Alpha Based

on Standardized

Items

N of Items

.863 .874 9

(37)

99 Reliability Statistics (Main Study)

Cronbach's Alpha

Cronbach's Alpha Based

on Standardized

Items

N of Items

.878 .880 9

Item Statistics (Main Study) Mean

Std.

Deviation N

MC1 3.73 .923 160

MC2 3.67 .845 160

MC3 3.51 .945 160

MC4 3.21 1.042 160

MC5 3.26 1.061 160

MC6 3.29 1.019 160

MC7 3.26 1.067 160

MC8 3.33 1.008 160

MC9 3.15 1.041 160

(38)

100 Item-Total Statistics (Main Study)

Scale Mean if Item Deleted

Scale Variance if Item Deleted

Corrected Item-Total Correlation

Squared Multiple Correlation

Cronbach's Alpha if Item

Deleted

MC1 26.69 33.587 .586 .535 .867

MC2 26.75 33.421 .673 .618 .861

MC3 26.91 32.533 .676 .572 .860

MC4 27.21 34.504 .418 .263 .882

MC5 27.16 31.152 .712 .649 .856

MC6 27.13 30.777 .786 .776 .849

MC7 27.16 30.246 .795 .744 .848

MC8 27.09 32.420 .634 .538 .863

MC9 27.27 35.280 .351 .311 .888

(39)

101 APPENDIX E – MEAN TEST

Job Satisfaction

Compensation Policy Design

Statistics

CPD1 CPD2 CPD3 CPD4 CPD5 CPD6 CPD7 CPD8 CPD9

CPD1 0

N Valid 160 160 160 160 160 160 160 160 160 160

Missi

ng 0 0 0 0 0 0 0 0 0 0

Mean 1.90 1.96 2.05 2.04 1.98 2.06 1.95 2.03 1.95 1.94

Compensation Packages

Statistics C

P 1

C P 2

C P 3

C P 4

C P 5

C P 6

C P 7

C P 8

C P 9

CP 10

CP 11

CP 12

CP 13

CP 14

CP 15

CP 16

CP 17

CP 18

CP 19

CP 20

CP 21 N Vali

d 1 6 0

1 6 0

1 6 0

1 6 0

1 6 0

1 6 0

1 6 0

1 6 0

1 6 0

16 0

16 0

16 0

16 0

16 0

16 0

16 0

16 0

16 0

16 0

16 0

16 0 Mis

sing 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Mean 1.

5 8

2.

8 9

1.

1 4

.7 0

1.

4 8

.4 8

.2 6

1.

1 7

.7 1

.7 8

.5 4

3.

22 2.

96 .4

1 1.

64 .5

9 1.

29 2.

68 3.

74 .3

7 .2

4 Statistics

JS1 JS2 JS3 JS4 JS5 JS6

N Valid 160 160 160 160 160 160

Missing 0 0 0 0 0 0

Mean 2.19 2.11 2.11 2.39 2.34 2.19

(40)

102 Management and Communication

Statistics

MC1 MC2 MC3 MC4 MC5 MC6 MC7 MC8 MC9

N Valid 160 160 160 160 160 160 160 160 160

Missing 0 0 0 0 0 0 0 0 0

Mean 3.73 3.67 3.51 3.21 3.26 3.29 3.26 3.33 3.15

(41)

103 APPENDIX F: PEARSON CORRELATION ANALYSIS

Correlations

JS CPD CP MC

JS Pearson Correlation

1 .511** -.256** -.421**

Sig. (2-tailed)

.000 .001 .000

N 160 160 160 160

CPD Pearson Correlation

.511** 1 -.267** -.320**

Sig. (2-tailed)

.000 .001 .000

N 160 160 160 160

CP Pearson Correlation

-.256** -.267** 1 .412**

Sig. (2-tailed)

.001 .001 .000

N 160 160 160 160

MC Pearson Correlation

-.421** -.320** .412** 1

Sig. (2-tailed)

.000 .000 .000

N 160 160 160 160

**. Correlation is significant at the 0.01 level (2-tailed).

(42)

104 APPENDIX G: REGRESSION ANALYSIS

Model Summary Mod

el R

R Square

Adjusted R Square

Std. Error of the Estimate

Change Statistics R Square

Change

F

Change df1 df2

Sig. F Change

1 .579a .336 .323 4.36566 .336 26.273 3 156 .000

a. Predictors: (Constant), MC, CPD, CP

ANOVAa Model

Sum of

Squares df Mean Square F Sig.

1 Regression 1502.236 3 500.745 26.273 .000b

Residual 2973.207 156 19.059

Total 4475.444 159

a. Dependent Variable: JS

b. Predictors: (Constant), MC, CPD, CP

Coefficientsa

Model

Unstandardized Coefficients

Standardized Coefficients

t Sig.

B Std. Error Beta

1 (Constant) 14.906 2.264 6.585 .000

CPD .286 .048 .415 5.943 .000

CP -.011 .024 -.032 -.447 .655

MC -.228 .061 -.275 -3.722 .000

a. Dependent Variable: JS

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