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1 A study on job satisfaction in the context of SEBL

Introduction
Bank is the life-blood of the modern economy. Bank is a financial institution, which deals with
the money of the people. T r u s t w o r t h i n e s s i s t h e m a i n prerequisite to establish a bank.
Banks are playing major role to the economic development of the country through the creation of
savings, mobilization of savings through lending in the profitable sectors. Besides these two
activities, now a days banks are providing various service toots clients. Specially, assistance in
foreign exchange, discounting bills, creation of loan deposit, collection and payment of money on
behalf of clients, purchase and sale of shares and securities, under-writing shares and debentures,
safe custody of money and wealth, money transfer, counseling and issue of bank solvency
certificate etc. All these activities help an economy to grow faster. People i.e., the employees of
the organization do all these activities. In a bank, there are some critical things to understand. For
this reason, highly educated, efficient and dedicated personnel are required to run a bank in this
competitive era. So, Human Resource Management ( H R M ) i s v e r y i m p o r t a n t t o e v e r
yorganizationincludingbanks.Thesuccessofeveryorganizationd
ependsonhumanresources.Therefore,employeesmustbequalifie
d a n d motivated enough to achieve the mission and vision and to create and retain competitive
position.

Southeast Bank Limited is a second-generation bank that was established in 1995 with a dream
and a vision to become a pioneer banking institution of the country and contribute significantly to
the growth of the national economy. The Banks journey began when it was incorporated as a
Public Limited Company on March 12, 1995. The Registrar of Joint Stock Companies and Firms
issued the Certificate of Commencement of Business of the Bank on the same date. The Southeast
Bank received its Banking License from the Bangladesh Bank on March 23, 1995.
2 A study on job satisfaction in the context of SEBL

Statement of the problem

I intend to investigate the relationship among organizational commitment, Compensation and job
security to job satisfaction within the context of SEBL. In this study, I try to include the factors to
employees job satisfaction. In the context of SEBL no published studies were carried on this
topic. This patronizes the study to explore the relationship among organizational the importance
of job satisfaction is widely recognized in the organizational commitment, Compensation and job
security with job satisfaction.

The importance of job satisfaction is widely recognized in both the organizational and Personnel
point of view. Job satisfaction plays a central role in the organizations efficiency and
Productivity because high level of job satisfaction increases task performance and reduces
absenteeism and turnover (McGue & Gianakis, 1997). The study of Hunt, Chonko, and Wood
(1985) indicates that high commitment among employees leads to lower turnover and higher
organizational performance. According to Davy, Kinicki, and Scheck (1997), job security directly
affects job satisfaction, organizational commitment, and withdrawal cognitions. The research
problem then is stated as follows: The purpose of the study is that the relationship among
organizational commitment, job involvement, and job security to job Satisfaction within the
context of SEBL.

Purpose of the study

The purpose of this study is to present and test the model which will identify the relationship
among organizational commitment, career satisfaction, job involvement, and job security to job
satisfaction. It is commonly known that there is a positive relationship between job satisfaction
and job Performance. According to McGue and Gianakis (1997) low job satisfaction at the
organization Level decreased task performance, increased absenteeism, job turnover, and
deteriorating Organization morale. Organizations with satisfied employees tend to be more
effective than Organizations with unsatisfied employees (Slocum & Woodman, 1995).
3 A study on job satisfaction in the context of SEBL

Significance of the study

Job satisfaction is an important component of employee performance and productivity. This


construct has received a great deal of interest in OB, management, total quality management, and
service industry management researches in recent years. The study will make the following
significant contribution to Social Investment Bank Limited and other banks in Bangladesh.

First, this study will help the researcher extend their understanding of the relationship between
organizational commitment, job involvement, job security, and job satisfaction. The result of this
study will expose the importance and impact of their relationship in SEBL.

Second, the present study will assist the SEBL management to enhance better understanding
about the existing employees level of job satisfaction. Therefore, from the companys perspective
they would come up with new ways to satisfy the existing employees, for example modifying the
existing pay scale, adding new and value added employee welfare programs, and recognizing the
outstanding performances in an efficient way.

Third, besides job satisfaction the present study will help SEBL management better understand
about the existing employees level of organizational commitment, career satisfaction, job
involvement, job security with the SEBL.

Fourth, no such study was conducted to address this concern in the context of SEBL. The study
result will produce a methodology that can be imitated by other banks. Finally, as the researcher
is only considering bank, there is scope for further study in other service organizations like:
airline, hospitals, hotels, and telecommunication companies in Bangladesh.
4 A study on job satisfaction in the context of SEBL

Literature Review

1. Organizational Commitment:

Organizational commitment has long been studied in the management, organizational theory, and
socialization literature. Organizational commitment can be defined as the state in which an
employee identifies with a particular organization and its goals, and wishes to maintain
membership in the specific organization (Robbins, 1998; Greenberg & Baron, 1997). In other
wards in organizational context, it is the level of commitment that workers feel for their
organizations is closely linked to their attitudes and behavior within the workplace (Hislop,
2002).

Penley and Gould (1988) viewed organizational commitment as a kind of organizational


identification. According to them, organizational commitment can be instrumental or affective.
From instrumental perspective, an employee exchanges his or her contributions for the incentive
provided by the organization, where as affective commitment is characterized by the acceptance
of and identification with organizational goals. According to Reichers (1985) in organizational
context, commitment is the process of identification with the goals of an organizations multiple
constituencies that may include top management, customers, unions and/or the public at large.

Relationship between Organizational Commitment and Job Satisfaction:

Job satisfaction is a positive function of organizational commitment. In organizational context,


high level of organizational commitment and job satisfaction both are as a positive work attitude
among the employees (Greenberg and Baron, 1997; George & Jones, 1996; Robbins, 1998;
Slocum &Woodman, 1995). According to George and Jones (1996) both organizational
5 A study on job satisfaction in the context of SEBL

commitment and job satisfaction are employees work attitude composed of their feelings, beliefs,
and thoughts with the organization.

According to Hunt et al. (1985), high level of organizational commitment leads high levels of job
satisfaction and performance. From their point of view, organizational commitment is an
individuals psychological bond to the job, the career, or the organization. Employees with high
level of organizational commitment feel positively about the organizations they work for (Blau &
Boal, 1987). That means, they identify with a particular organization and wish to maintain
membership in it. Okpara (2006) also supported this statement and viewed that job satisfaction is
linked to organizational commitment that reduces turnover intentions and absenteeism.

Newstrom and Davis (2000) viewed organizational commitment as the employees loyalty to the
organization that often reflects the employees belief in the mission and goals of the organization,
willingness to expand effort in their accomplishments, and intentions to continue working there.
Thus, strong organizational commitment is characterized by- strong belief in and acceptance of
the organizational goals and values, willingness to exert considerable effort on behalf of the
organization, and strong desire to maintain membership in the organization (Slocum & Woodman,
1995; Steers & Black, 1994; Shafer, Park, & Liao, 2002). Furthermore, Organizational
Commitment is the employees identification with a particular organization and his or her desire
to maintain membership in the organization (Bigliard et al., 2005) and this construct is used in
this study to define Organizational Commitment.

2. Compensation:

Compensation or salary is a form of periodic payment from an employer to an employee, which is


specified in an employment contract. It is contrasted with piece wages, where each job, hour or
other unit is paid separately, rather than on a periodic basis. From the point of view of running a
6 A study on job satisfaction in the context of SEBL

business, compensation can also be viewed as the cost of acquiring human resources for running
operations, and is then termed personnel expense or salary expense. In accounting, salaries are
recorded in payroll accounts. Pay has been considered an important reward to motivate the
behavior of employees (Taylor and Vest, 1992). All other behavioral factors are important for
enhancing job satisfaction of employees but satisfaction from pay is must.

Figure 1: Compensation depends on job satisfaction & Organizational commitment

Salary satisfaction is a much narrower construct than job satisfaction. However, pay satisfaction is
also an important variable that is linked to some rather significant organizational outcomes. For
example, some evidence suggests that dissatisfaction with pay may lead to decreased job
satisfaction, decreased motivation and performance, increased absenteeism and turnover
intensions, and more pay related grievances and lawsuits.

Pay satisfaction has been shown to influence overall job satisfaction, motivation and
performance, absenteeism and turnover intensions, and may be related to pay-related grievances
and lawsuits (Cable and Judge, 1994).
7 A study on job satisfaction in the context of SEBL

Relationship between Compensation & Job Satisfaction:

All other behavioral factors are important for enhancing job satisfaction of employees but
satisfaction from pay is must. Katzell (1964) stated that pay satisfaction depends on the difference
between perceived pay and the amount of pay a person feels should be received. Salary
satisfaction is a much narrower construct than job satisfaction. However, compensation is also an
important variable that is linked to some rather significant organizational outcomes. For example,
some evidence suggests that dissatisfaction with pay may lead to decreased job satisfaction,
decreased motivation and performance, increased absenteeism and turnover intensions, and more
pay related grievances and lawsuits. Satisfaction of compensation has been shown to influence
overall job satisfaction, motivation and performance, absenteeism and turnover intensions, and
may be related to pay-related grievances and lawsuits (Cable and Judge, 1994). Positive impact of
income satisfaction on job satisfaction can be viewed in every walk of life. Sweet et al., (2005)
stated that the Job satisfaction has little relationship to income and is comparable across most
variables e.g., work setting, professional identity, amount of forensic activity, whereas income
satisfaction has a stronger relationship to actual income, at least at the higher income levels. They
also found that the correlation between job satisfaction and income satisfaction is high, whereas
job satisfaction is not correlated with years in practice.

Positive impact of income satisfaction on job satisfaction can be viewed in every walk of life.
Sweet et al., (2005) stated that the Job satisfaction has little relationship to income and is
comparable across most variables e.g., work setting, professional identity, amount of forensic
activity, whereas income satisfaction has a stronger relationship to actual income, at least at the
higher income levels. They also found that the correlation between job satisfaction and income
satisfaction is high, whereas job satisfaction is not correlated with years in practice. The
traditional thinking of not relating money with the happiness is diminishing.

In fact, these days materialism is an important factor of motivating individuals. Cummins (2000)
has argued that despite the conventional wisdom that money has little relevance to happiness,
data support a different positionwealth provides external resources that buffer individuals
8 A study on job satisfaction in the context of SEBL

against the effects of negative events. With a different, but not necessarily incompatible
perspective, Diener and Seligman (2004) reviewed the relevant literature and concluded that as a
society gathers wealth, differences in well being are less frequently due to income, and are more
frequently due to factors such as social relationships and enjoyment at work. It has been
observed that stability in income in terms of getting monthly income is much desired by the
employees as compared to incentive based pay packages which are variable in nature. Diener and
Seligman (2004) also stated that with the much lower income, job satisfaction and income
satisfaction are actually slightly higher. During the exploration stage, salespeople compensated
via mostly fixed salary display higher levels of job satisfaction and lower turnover intentions than
their counterparts who are paid via mostly incentive pay. During the establishment stage,
salespeople compensated via mostly incentive pay display higher levels of job satisfaction and
lower turnover intentions than their counterparts who are paid via mostly fixed salary. In the
broader sense it can be understood that pay satisfaction and job satisfaction are complementary to
each other. Berkowitz et al., (1987) stated that some job satisfaction measures include pay
satisfaction (usually pay level satisfaction) as a dimension, we control for job satisfaction using a
global measure which taps the extent to which participants like their job and the organization.
Berkowitz et al.'s (1987) also suggested that job satisfaction may influence pay satisfaction
containing actual salary Satisfaction level and job satisfaction significantly increased explained

variance for each dimension of pay satisfaction Apart from affectivity (positive or negative)
satisfaction related to pay can be better explained in the light of individuals thinking style. Way
of thinking seems to be an important aspect of employee related to pay satisfaction. Patchen
(1961) found that refinery workers who chose to com-pare themselves to others thought to be
making more money than themselves were more dissatisfied with their salaries than the workers
who compared themselves to others making the same or less money. Andrews and Henry (1963)
found that people who expect higher monetary rewards in the future are less satisfied with their
present pay. In addition, Lawler and Porter (1967) found that satisfaction with pay seems to be
more a function of where an individual currently slots himself on pay, relative to where he feels
he should be, than of his absolute pay level.

3. Career Satisfaction:
9 A study on job satisfaction in the context of SEBL

Career satisfaction is an intrinsic output of career success that refers to the satisfaction with the
present jobs and advancement potential at the specific job (Emmerik, Euwema, & Schouten,
2006). According to Bigliard et al. (2005) career satisfaction includes satisfaction with pay level,
Promotion rate, status achieved and progresses in achieving career goals. Thus career satisfaction
is the achievement of ones overall career goals that are experiences, positions or jobs that
workers would like to have in their path of careers (George & Jones, 1996). A career which is in
line with your personality can make you adjust to work without any extra effort. Personality
assessment can give you a clear picture about what type of job suits you the most. Natural
abilities should be considered as well while making any decision related to choosing a career.
When you choose the career which is not according to your values, personality and abilities
always pull you back in your career life happiness (McGrimmon, 2010).

Relationship between Career Satisfaction and Job Satisfaction:

Career satisfaction is believed to influence the employees level of job satisfaction with in an
organization. From Bigliard et al. (2005) point of view, job satisfaction has many dimensions and
one of them is career satisfaction.

Based on this, Edem(1999) pointed out that, career satisfaction influences numerous variables
like job satisfaction and productivity. According to Davidson (2010) environment, family
closeness and salary along with personality are influential factors in selecting a career. Borchert
(2002) identified the factors which influence the career choices of high school students. He
indicated that environment, opportunities and personality are the major basic factors in the
process of selection of a career. The most important factor among all factors while choosing any
career stream was their own personal willingness to choose that career. Ferguson (2000) also is of
the view that people should choose their career according to their personality. He identified six
basic vocational interests including social, investigative, realistic, enterprising, artistic and
conventional (SIREAC types) called Holland Typology. He said that people generically fall into
any one of his identified personality types. People should go for those careers which show high
similarities between their per-sonality type and work environment. He concluded that, the higher
10 A study on job satisfaction in the context of SEBL

the compatibility between the interest and work environment, the greater will be the chance of
success satisfaction.

A job satisfaction pyramid by Halen Harkness (Appendix C) explained about that job satisfaction
or unrest, comprises of four level of satisfaction to be evaluate starting from bottom to top as
follows job related, industry related, career content related and career self related. Chaos in the
organization because of bankruptcy, off shoring and global competitiveness made employees
uncertain about their jobs which led to job unrest (Harkness, 2005).

Job satisfaction can be measured in two forms, facet free Items and facet based items. As facet
free items identify the job satisfaction as an overall view, feeling on the whole about the job and
facet based items identify the job satisfaction through different aspects of the job some of them
are intrinsic and some of them are extrinsic in nature (Stellman, 1998).

4. Job Security:

The importance of understanding job securitys role has increased with the emphasis over the Past
decade on employee reactions to major organizational change. Job security or insecurity reflects
the degree to which employees perceive their job to be threatened and feel powerless to Do
anything about it (Kinnunen, Mauno, Natti, & Happonen; 2000). In this multi dimensional
Definition job insecurity is caused not only by the threat of job loss but also by the loss of any
Dimension of the job. According to Davy et al. (1997) job security can be defined as ones
expectation about Continuity in a job situation. From their point of view, it includes concern over
loss of desirable Job features such as lack of promotion opportunities, current working conditions,
and long-term Career opportunities. The importance of job security has been shown in the figure
below:
11 A study on job satisfaction in the context of SEBL

Figure 2: Importance of job security

Relationship between Job Security and Job Satisfaction:

Job security has been included as a fact of job satisfaction in numerous studies (Greenhalgh &
Rosenblatt, 1984). According to Barnett and Brennan (1995) the perception of job security is
strongly associated with job satisfaction or dissatisfaction. Supporting this statement Davy et al.
(1997) presented a model that identified job security directly effects job satisfaction,
organizational commitment, and job involvement. Lambert (1991) identified job security as an
extrinsic comfort that has a positive relation with job satisfaction. According to Moorhead and
Griffin (1989) employees are motivated or satisfied with their job by lots of different motivational
tools including money, benefits, and also including other things like job security. They mentioned
the results of a particular study related to job security conducted by other researchers and the
results indicated that job security and job Satisfaction is related concepts and both are predictors
of employees mental health.

5. Job Satisfaction:

Job satisfaction has been identified as the most intensely studied variable in organizational
Research (McCue & Gianakis, 1997). Job satisfaction is the employees cognitive, affective, and
Evaluative reactions toward their jobs (Greenberg & Baron, 1997). In other words, it is the
General attitude toward ones job or the difference between the amounts of rewards workers
Receive and the amount they believe they should receive (Robbins, 1998). Thus, it is the overall
Positive affect or feelings that individuals have toward their jobs (Arnold & Feldman, 1986).
12 A study on job satisfaction in the context of SEBL

According to McCue and Gianakis (1997) the elements of job satisfaction includes the actual
Work and its outcomes, or the intrinsic job satisfaction; pay, benefits, and other rewards directly
Associated with doing the work, or the extrinsic job satisfaction; and the environment in which
The work is done, including relation with coworkers organizational culture, the organizations
Policies and procedures, participation in decision making, involvement with the organization,
And job status. Newstrom & Davis (2000) viewed job satisfaction as a set of favorable and
unfavorable Feelings or emotions with which employees view their work. Important aspects of
job satisfaction May include- pay, ones supervisors, the nature of tasks performed, an employees
co-workers or Team, and the immediate working conditions (George & Jones, 1996; Smith,
Roberts, & Hulin, 1976; Newstrom & Davis, 2000).

According to Slocum &Woodman (1995) overall job satisfaction is a collection of numerous


attitude toward various aspects of the job, represents a general attitude. Thus, when this attitude is
positive, employees are said to be satisfied and dissatisfied exists when the attitude is negative
(Moorhead & Griffin, 1989). Streers and Black (1994) viewed job satisfaction as a pleasure or
positive emotional state resulting from the appraisal of ones job or job experience. George and
Jones (1996) supported this statement and stated that job satisfaction is a collection of feelings
and beliefs that individuals have about their current jobs. It results from the perception that an
employees job actually provides what he or she values in the work situation (Streers & Black,
1994). Thus, job satisfaction is an organizational work attitude composed of three components:
feelings or the affective component, beliefs or the cognitive component, and thoughts about how
to behave or the behavioral component (George & Jones, 1996).

Development of conceptual framework

The researcher have developed a conceptual framework for this research based on the research
variables, such as organizational commitment, career satisfaction, job involvement, job security,
and job satisfaction. According to Ticehurst and Veal (2002), a conceptual framework indicates
how the researcher views the concept involved in a study especially the relationship among
concepts.
13 A study on job satisfaction in the context of SEBL

Organizational Commitment

Career Satisfaction
Job Satisfaction
Compensation

Job Security

Figure 3: Conceptual framework of research variables and their relationships

Hypotheses

1. There is a significant relationship between organizational commitment and job satisfaction in


context of SEBL

2. There is a significant relationship between career satisfaction and job satisfaction in context of
SEBL.

3. There is a significant relationship between compensation and job satisfaction in context of SEBL.

4. There is a significant relationship between job security and job satisfaction in context of SEBL.

Methodology of the study

Research design:
14 A study on job satisfaction in the context of SEBL

In order to identify the research questions and to test its hypotheses, a relational research design
has been selected as appropriate for this study. I have used exploratory methods for the research
paper. Yes/No type questions have been selected for the questioner.

The representation of the conceptual framework (figure 1) depicted the pattern and structure of
relationships among the set of measured variables. The research questions and hypotheses clearly
support this model. Hence, the purpose of the study was to measure correlations among variables.
The present result will investigate the relationship among the factors, like career satisfaction,
organizational commitment, compensation, job security, and job satisfaction, within the context of
Southeast Bank Limited. Here career satisfaction, organizational commitment, compensation, and
job security are being considered as dependent variable and job satisfaction is considered as
independent variable. The present research has used a relational study to discover or establish the
existence relationship among the measured variables.

Sampling Method:

The sample of this research is formed by the employees of SEBL who are working in
organization for last 1 year. I have used a convenience sampling method to collect data from the
sample of this research. The convenience sample for this study is considered as the employees of
SEBL who are working within the particular organization for at least one year. The sample size
was 25 in this case. In this research, I used a sample size of 25 because of the time limitation and
also for limited access over the bank.

Survey Instrument:

To gather data for this study I have used questionnaire method because this method was appropriate
for this study because of some reason. The reasons were as follows:
15 A study on job satisfaction in the context of SEBL

The samples can fill up the questionnaire without any hesitation.


The researcher found that most of the previous research with large number of sample size has done
by questionnaire method.

Internet survey was not sufficient for this study.

A structured questionnaire used in this research to collect data from the respondents. The
questionnaire was divided into four sections. First section consists of questions on organizational
commitment, second section consists of questions on career satisfaction, third section consists of
question on job security, and the last section consists of the questions on job satisfaction. In most
cases, questions has adapted from previous empirical studies and modified to reflect the local
situation. All questions developed to know the employees level of job satisfaction regarding to the
specific organization. These questionnaires had four sections dealing with organizational
commitment, career satisfaction, job security and job satisfaction.

Data collection procedure:

The questionnaire was administered individually to the 25 employees in the study. Respondents were
assured that it was purely an academic research and that their personal identity would be kept secret.
Any difficulties in understanding the instructions and in the methods of- answering the questionnaire
was made clear and it took 20 minutes to answer the questionnaire. After the questionnaires were
filled in by the respondents, these were collected and checked for consistency.

Scoring of the responses was done following the procedure provided by the author of the
achievement satisfaction scale (Ali, 1979). After collection of data, performance of each
respondent was taken from the concerned bank manager of each subject. The content of the semi-
structured interview consists of question which will be predetermined to gain information about
the way managers saw themselves using power, motivational esteems in relation to their
employees.
16 A study on job satisfaction in the context of SEBL

Data Interpretation:

Reliability:

Scale: ALL VARIABLES

Case Processing Summary


N %
Cases Valid 2 96.2
5
Excluded 1 3.8
Total 2 100.0
6
a. Listwise deletion based on all variables in the procedure.

Reliability Statistics

Cronbach's Alpha N of Items


.982 19

According to Nunnally (1978) the reliability is acceptable if it lies between 0.50-0.60. However,

according to Hair (1998) a coefficient of 0.70 or above is desirable.In this study, the alphas for

the different questionnaire were computed using the reliability procedure in SPSS (version 17.0).

From the table it can be easily seen that the reliabilities of the questionnaire in this study lies

within the acceptable range (0.982).

Descriptive Statistics
N Minimum Maximum Mean Std. Deviation
17 A study on job satisfaction in the context of SEBL

customer id 2 25.00 13.0000 7.35980


5
1.00
Valid N (listwise) 2
5
Here the number of employee who attends the survey was twenty five. All employee works in
Southeast bank at uttara branch.

Descriptive Statistics

N Minimum Maximum Mean Std. Deviation


i am willing to put 2 4.00 5.00 4.5200 .50990
5
i feel very little 2 1.00 2.00 1.440 .50662
5 0
2.00 .78102
i find that my values 2 4.00 3.120 .50000
5 5.00 0
i am proud 2 4.00 1.02794
5.00 4.600
5 0
i find it 2 2.00 3.00
3.160
5 2.00 0
i will lose my job 2 .
2.00 2.200
5 4082
2.00 0 5
i am satisfied 2 4.00
5 3.000 .
5.00
0 6455
i am satisfied with the 2 4.00 3.0800 0
5 2.8000 .
i am satisfied with the 2 2.00 5.00 9539
process 5 4
18 A study on job satisfaction in the context of SEBL

i am satisfied with the 2 3.00 3.4800 .


process meeting 5 7637
6
i am satisfied with the 2 2.00 5.00 3.6400
process meeting goal 5
.
6532
0

1.03602
i am satisfied the 2 2.00 5.00 3.8000 .86603
development 5
your job 2 3.00 5.00 3.5200 .77028
5 3.4400 .71181
your pay 2 3.00 5.00
3.3200 .80208
5 5.00
your coworkers 2 2.00
5
the direction 2 1.00 4.00 2.6800 .90000
5
your peers 2 2.00 5.00 3.2400 1.12842
5 2.00
your career 2 4.00 3.0400 .78951
5 4.00
your chance 2 2.00 3.0000 .81650
5
Valid N (listwise) 2
5
By using SPSS software version 17.0 finds out the descriptive statistics. In this table there are

twenty questions are set, and all questions answer by the employee. To answer their question it

measures the mean and standard deviation of the answer of the question and come to find out

employees perception of the job satisfaction.

Findings from Questionnaires:

Parameswaram, Greenberg, and Bellenger (as cited in Ngansathil, 2001, p.121) stated that there

are two basic requirements of measurement. First, measurement must be an operationally

definable process. Second the outcome of the measurement process must be repeatable
19 A study on job satisfaction in the context of SEBL

(reliability).

Gregory (1996) defined reliability as the extent to which measurements of the particular test are

repeatable. In other words, the measuring procedure should yield consistent results on repeat

tests. The more consistent the results given by repeated measurements, the higher the reliability of

the procedure (Carmines & Zeller).

In here the questionnaires the Mean scores have been computed by equally weighting the mean

scores of all items. On a five point scale mean score for first question I am willing to put is 4.52

(sd =.50990), the second questions mean is 1.4400 (sd=.50662), third questions mean is 3.1200

(sd=.78102) similarly others questions mean and standard deviation measure in the same way. To

find out here all the mean value is almost above average. In that mean most of the employees are

satisfied with their job. Few of the employee circle moderate agree means number four. Few

question answer uncertain and few of question answer moderate disagree by the employees. So

over all findings from the questionnaire are most of the employees from Southeast bank at uttara

branch are fairly satisfied with their job and the environment.

Frequency Table:

i am willing to put
20 A study on job satisfaction in the context of SEBL

Valid Cumulative
Frequency Percent Percent Percent
Valid MA 12 48.0 48.0

46.2
SA 13 52.0 100.0

50.0
Total 25 100.0

96.2
Missing System 1 3.8
Total 26 100.0
i feel very little
Cumulative
Frequency Percent Valid Percent Percent
Valid SD 14 53.8 56.0 56.0
MD 11 42.3 44.0 100.0
Total 25 96.2 100.0
Missing System 1 3.8
Total 26 100.0

i find that my values


Cumulative
Frequency Percent Valid Percent Percent
Valid MD 6 23.1 24.0 24.0
UN 10 38.5 40.0 64.0
MA 9 34.6 36.0 100.0
Total 25 96.2 100.0
Missing System 1 3.8
Total 26 100.0

Frequency Table:
21 A study on job satisfaction in the context of SEBL

For the first question I willing to put MA means moderate agree answered 12 employees so the
percentages are 46.2 of total employees and rest of the employee answered SA means strongly
agree and the percentage are 50 of total employees.

For the second question I feel very little answered strongly agree 14 employees and the total
percentages are 53.8. And moderate agree answered 42.3 percent employee and the valid
percentages are 52.

The third question I find that my value moderate disagree answered 6 employees and the
percentages are 23.1. Another 10 employees answered uncertainty and the percentages are 38.5 of
all employees. 9 employees answered moderate agree that means the percentages are 34.6 of total
employees. Similarly other questions frequencies measured by this way.

Limitation of the study

This study is limited by number of factors. The sample population is limited in terms of its range
and composition. The study is limited to only those employees who were available at the
organization during the data collection period of this study. The convenience sampling method
has been used rather than other sampling procedures in order to simplify the research. I have
limited resources to deal with because of the limited access to the related literature review due to
lack of journals available on the measured variables as well as limited access to the internet
library.
22 A study on job satisfaction in the context of SEBL

Background of the Report

Dr. Shibly Noman Khan, who is my supervisor, has assigned me to prepare an internship report
on A Study on Job Satisfaction in the context of SEBL. As per his instructions and under his
kind supervision I have done this internship report. This report has been designed to provide basic
theoretical knowledge, application of performance measurement tools and desk wise practical
aspects of banking in the context of Bangladesh.

Objective of the Report

Behind every important work there is an objective. Otherwise it will be meaningless to


accomplish a task. I have determined my objectives behind preparing the report on the topic A
Study on Job Satisfaction in the context of Southeast Bank Limited. The implicit objective of the
study is to find out financial strength and business strategies of Southeast Bank Ltd (SEBL). This
study is aimed at providing me invaluable practical knowledge about banking operation system in
Bangladesh. It will also help me to develop my concept of banking and it performance.

The objectives of preparing this report can be divided into two parts:

a) Major Objective:
Primary objective of the report is to know about employees performance & job satisfaction of
SEBL & to acquire practical knowledge about overall banking system.

b) Secondary Objective:
To study the employees perception towards organization.
To study the attitude of the employees towards their works.
To identify the factors that motivates the employees.
To give suggestions for the growth & perspectives of the bank.
23 A study on job satisfaction in the context of SEBL

Southeast Bank Limited: A Flashback

Southeast Bank Limited is one of the fastest growing banks among all the Private Commercial
Banks (PCBs) in Bangladesh. The emergence of Southeast Bank Limited occurred at the juncture
of liberalization of global economic activities, after the URUGUAY ROUND has been an
important event in the financial sector of Bangladesh. The experience of the prosperous
economies of Asian countries and in particular of South Asia has been the driving force and the
strategic operational policy option of the Bank.

The Government of Bangladesh as a Scheduled Bank in the private sector has licensed Southeast
Bank Limited in pursuance of the liberalization of Banking and Financial Services in Bangladesh.
The Bank was established under the bank Company Act 1991 & incorporated as a public limited
company on March12, 1995 under the Companies Act 1994 and commenced banking operations
through the Principal Branch at 1, Dilkusha Commercial Area, Dhaka from May 25, 1995. The
then Finance Minister of the county, Mr. M Saifur Rahman, inaugurated the Branch. The Bank
was established by leading business personalities and eminent industrialists of the country with
stakes in various segments of the national economy. The Authorized Capital of the Bank is Taka
10,000 million and Issued, Subscribed & Paid up Capital is Taka 6,930.84 million.
24 A study on job satisfaction in the context of SEBL

The Board of Directors:

Southeast Bank is run by a team of efficient professionals. They create and generate an
environment of trust and discipline that encourages and motivates everyone in the Bank to work
together for achieving the objectives of the Bank. The culture of maintaining congenial work -
environment in the Bank has further enabled the staff to benchmark themselves better against
25 A study on job satisfaction in the context of SEBL

management expectations. A commitment to quality and excellence in service is the hallmark of


their identity.

Organizational Structure of Southeast Bank Limited


There are 14 levels in the bank. I classified them into 3 parts. Top management, Mid level
management and Lower level management. The organizational structure is given below:
26 A study on job satisfaction in the context of SEBL

Mission & vision

SEBLs Vision:

The vision is to be a premier banking institution in Bangladesh and contribute significantly to the
national economy.

SEBLs mission:

High quality financial services with state of the art technology.


Fast & accurate customer service.
Sustainable growth strategy.
Follow ethical standards in business.
Steady return on shareholders' equity.
Innovative banking at a competitive price.
Attract and retain quality human resource.

Business Objectives of Southeast Bank:

Adoptan appropriate
Ensure
a satisfied Makesound
management
workforce investments
technology

Meetcapital
Ensure100% recovery adequacy Focusonfeebased
of all advances. requirement
at all the income
time
27 A study on job satisfaction in the context of SEBL

Products of Southeast Bank Limited


Southeast Bank has become a synonym of quality banking services and products. It has a diverse
array of products and services tailored carefully to cater to the needs of all segments of customers.
The Banks operational strategies are structured to address the special and often complex needs of
the customers. Southeast Bank is an agile company and works in a competitive environment. It is
gaining ability to prosper further in a rapidly changing business environment both at home and
abroad. It has targeted high performance continuously. Its financial products and services can give
satisfactory solutions to all customer segments. Its products are priced on their value as solutions,
not on their cost to produce. Maximum support and convenience are given to its customers,
suppliers and employees. This enables the bank to bring products to the market rapidly and cost
effectively. Products of Southeast is presented in a table and explained below:
28 A study on job satisfaction in the context of SEBL

Human Resource Performance

Employees are our best assets. They are Southeast Bank Ltds managers, they are its engines of
productivity and they are its partners. This approach, it believes, makes it successful. In human
resource policy, talented people with deep commitment to the Bank are its priority. It believes,
people with right combination of savvy and ambition can afford to shop the right boss, right
colleagues and the right environment. In recruitment, the best is sieved out from the contestants
of many. The best is retained. They are developed as sober and flexible professionals who take
care of companys interest, follow code of ethics, give full days work and work together for a
brighter tomorrow for their institution. They are highly paid, but their compensation is linked to
what they contribute.

It concentrates on managing its people more effectively and efficiently. In the process, it focuses
on pooling skills and building the people on learning and research program. Knowledge is being
effectively managed in the Bank with efficiently connecting those who know with those who
need to know. Personal knowledge is converted into organizational knowledge. The banks people
enjoy the advantages of belonging to the organization in which their mutual commitment builds
continuity of a congenial work environment. The bank deals with its people with respect and
never allows anyone to take advantage of hierarchical position. Its employees believe in
teamwork. There is teamwork in everything they do to achieve corporate objectives.

Consensus is a vital requirement for teamwork which they build through vigorous discussion and
analysis. They help solve problems. They assume responsibility for the whole task assigned to the
team. Resultantly, there is excitement, dedication and commitment. They form into a team and act
within set norms to perform or outperform, to reach or outreach their goals. Their combined effort
always produces tremendous results. The most important resource of a financial institution like
bank is its manpower i.e. human resource. Thus in the modern corporate world, human resource
is considered to be a form of capital, a produced means of production and the product of
investment. Keeping these objectives in mind, the Bank adopted a Human Resource Strategy for
recruitment of employees, acquiring their services, developing their skills, motivating them to
high levels of performance, and ensuring that they continue to maintain their commitment to the
organization to achieve its goals. Southeast bank follows a comprehensive recruitment process
29 A study on job satisfaction in the context of SEBL

regularly to hire talented, spirited, energetic and dynamic fresh graduates/Masters from reputed
universities. Experienced bankers are also recruited at regular intervals on the basis of
requirement to add more productivity in the day to day work. The vision and objective of the
recruitment in each year is to develop Southeast Banks core cadre who would be able to take the
responsibility as senior executives in future. To support banks expansion plan and to fill up
positions created due to retirement and other administrative ground, we have recruited 165
Probationary Officer, Trainee Junior Officer and Trainee Cash Officer during the year of 2010.

Total manpower of the bank as on December 31, 2010 stood at 1613 of which 126 are executives,
1247 are banking officers and staffs, and 240 are subordinate staff. The bank recruited a total 318
employees of which 57 were experienced bankers, 165 were fresh entrants and 96 Bank Guards in
2010. The bank promoted 266 officers during the year 2010. The Bank arranges orientation
program as well as basic training to all fresh entrants to enhance their competencies in the field of
modern Banking. Attracting and retaining quality human resource is the most important aspect of
human resource policy.

In this regard, the Bank always takes appropriate decisions to design satisfactory salary structure
compared to peer banks and declares a good amount of bonus as incentive every year. All
employees of the Bank work with full enthusiasm in a very congenial working atmosphere.

Everybody enjoys the right to express his own opinion or putting up any innovative idea to the
top management of the Bank. To ensure social security, the Bank has different staff benefit
policies like gratuity, contributory provident fund, encashment of unveiled leave, etc. The Bank
takes appropriate and timely action in all disciplinary cases keeping conformity with the service
rules and regulations of the Bank. The Bank follows the following principles for the Employees-

1. It does not discriminate on grounds of religion, sex or race at any stage. It recruits the best on the
basis of merit under a rigorous recruitment policy without any biasness or favoritism to anybody.
2. It pays competitive compensation package with career echelon for the really deserving candidates.
30 A study on job satisfaction in the context of SEBL

3. It cares for the employees and respects them.

4. The Bank has clearly defined duties and responsibilities for every employee. No one is made a
scapegoat for undefined responsibilities.

5. It has a zero tolerance for any act of dishonesty.

6. It provides a congenial work environment.

7. It encourages freedom to the employees to give opinion for both qualitative and quantitative
improvement of the Bank.

Findings of observation

While working at Southeast Bank, Uttara Branch, I have attained to the newer kind of experience.
After the collecting and analyzing of data I have got some findings. These findings are
completely from my personal point of view. Those are given below:

Based on my experience, it can be said that Southeast Bank should reconsider its services
that better satisfy customer needs and requirements Bank should be more tactful in
dealing with the customers and launch new products that fully meet customer
expectations.

Southeast Bank Limited has already established a favorable reputation in the banking
industry of the country. It is one of the leading private sector commercial banks in
Bangladesh. The bank has already shown a tremendous growth the profits and deposits
sectors.
31 A study on job satisfaction in the context of SEBL

The bank successfully stepped in to the 16th year of operations having enjoyed the
complete confidence of the depositors and achieving significant growth in the entire areas
of banking operations.

The bank follows the online banking system to provide the customer better services; but
all the branches of South East bank are not following the online banking system.

The consistent and increasing growth trend of the above mentioned performance
indicators has increased depositors' confidence as well as good will/reputation of the bank
to a great extent and these have contributed to increase the shareholders value.

The bank focused on building high-quality human resources with expertise and
professional skills adopting the Human Resources Re-engineering and Development Plan
with a view to creating an excellent clientele service environment for ultimate
achievement of sustained profit growth making no comprises with the quality asset
creation.

The Banks Human resources Development strategy is to build up quality manpower with
conceptual/managerial Knowledge, skills through designing/arranging of continuous in-
house and outside training programs.

The bank focuses on customer-friendly marketing approaches by offering various


efficient deliveries of personalized banking services at the clients door steps and caters to
the ever-growing financing needs of clientele at a competitive price.

The company philosophy to workout best solutions for customers and clients as a
business and customer friendly Bank.
32 A study on job satisfaction in the context of SEBL

South East bank has an interactive corporate culture the working environment is very
friendly, interactive and informal. And there are no hidden barriers or boundaries while
communication between die superior and the subordinate. This corporate culture provides
as a great motivation factor to the employees.

Discussions and Recommendations

After analyzing the study variables in context of SEBL, the following issues were found to be
Recommended-

Southeast Bank Limited should try to pursuit the cheapest sources of funds and minimize its interest
expenses to control the downward sloping profitability in last year.

Management of Southeast Bank Limited should be more conscious handling provision for taxes and
operating expenses internally.

Using other Banks ATM Machines charges highly from the customers. The Bank should establish
more ATM Booths for the wellbeing of customers.

This Bank is more concentrated in urban areas. Bangladesh has much more prospects to achieve in
rural areas. So, the banks should open some more branches in rural areas. Some SME concentrated
branches for the developing rural areas would be profitable for the bank as well as for the country.

The bank should arrange more training programs for the improvement and motivation of employees
to improve service quality of the bank.

The bank should provide more appealing materials associated with the services to attract customers.
33 A study on job satisfaction in the context of SEBL

Bank should focus on Consumer Financing and Short Term Lending and provide customers
individual attention.
The bank should be able to generate more profit through proper management of internal expenses
and purchase of more earning assets. The cost of fund and tax expenses should also be minimized to
improve financial performance.

Conclusion

Banks play important role in the modern economy; Human Resources Management (HRM) issues
play an important role in every organization and in the banks. No organization can achieve its
goals or can be good, until or unless it satisfies employees. Human Resources/ organizational
members play the role of the crew who convert goals into the reality. In the banking sector, highly
educated & strategic personnel are required to create a competitive position & to retain it for the
long time. Training, principle of equality, job satisfaction, and career development are important
in the bank. The job satisfaction of the employees is more than moderate. Most of the employees
are satisfied here. Bank is also satisfied with its employees. Banks salary is high but not highest
in comparison with other commercial banks. Still comfortable working environment, good
interpersonal relationship, and the benefits of the employees of the SEBL are also satisfactory. It
has been operating since 1983 and its a first generation private sector commercial in Bangladesh.
Finally, bank must introduce modern banking system, adopt new technology, initiate new product,
and train its employees properly to do their job and keep employee satisfied. Banks performance
is good for its satisfied employees. Bank is on the right track. Banks HRM policy is of course
better, it has been able to satisfy the employee.

Organizations with satisfied employees tend to be more effective than organizations with
unsatisfied employees. In the context of service-oriented organization job satisfaction among
employees is very important to ensure better customer service. Because, high level of job
satisfaction increases employees work involvement and task performance. Therefore, from this
study SEBL can get the indications on which of the issues they have to pay more attention to
make their employees satisfy, to make the organization more effective as a whole.
34 A study on job satisfaction in the context of SEBL

A study on job satisfaction in the context of SEBL

From the practical implementation of customer dealing procedure during the whole period of my
practical orientation in SEBL, I have reached a firm and concrete conclusion in a very confident
way. I believe that my realization will be in harmony with most of the banking thinkers. It is quite
evident that to build up an effective and efficient banking system to the highest desire level
computerized transaction is a must. Success in the banking business largely depends on-

Southeast is an emerging Bank. To achieve the confidence of the customers, the Bank must execute
some improvements in its marketing and operational areas-SEBL should try to win customers faith
by providing those efficient and dependable services, credit facility and updating with user friendly
modern technologies. The Bank should redesign all sorts of banking procedures to be more users
friendly, attractive and impressive. Southeast Bank Ltd. started with a vision to be the most efficient
financial intermediary in the country and it believes that the day is not far off when it will reach its
desired goal. SEBL looks forward to a new horizon with a distinctive mission to become a highly
competitive modern and transparent institution comparable to any of its kind at home and abroad.