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Master Thesis

Level: master’s program Perceived Work-related Factors and Turnover Intention - A Case Study of a South Korean Construction Company

Author: Jinseok Yang and Philip Wittenberg

Supervisor: Lenka Klimplova

Examiner: Tao Yang

Subject/main field of study: Master’s thesis in Business Administration/ Strategic HRM

Course code: FÖ 3027

Credits: 15

Date of examination: June 13th, 2016

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Purpose – Employee turnover entails considerable costs and is a major problem for the

construction industry. By creating an extensive framework, this study aims to examine

whether perceived work-related factors affect turnover intention in South Korean

construction companies.

Research design – The paper is based on the results of a questionnaire of 136 employees

that was conducted and provided by a Korean construction company. Research

hypotheses were tested via correlation analyses. The most influencing work-related

factors, as well as differences among job levels, were determined by multiple regression

analyses.

Findings – Communication, immediate leaders, organizational commitment, and

organizational pride substantially affect turnover intentions. All of these factors can be

considered as relational factors. The most influencing factors differ among job levels.

Discussion/practical implications – Immediate leaders should be aware of their role in

retaining employees and enhance communication, organizational commitment and pride.

This study shows how the importance of certain variables differs for groups of employees.

Theoretical implications/limitations– This study is based on a sample of employees from

a Korean construction company. Therefore, the generalizability of the findings has to be

tested. Future research should test the proposed framework with other factors or resources.

Originality/value – This study shed light on the turnover subject in the South Korean

construction industry. It shows that different factors can influence turnover intention

among job levels. A framework was created, which is based on 16 work-related factors

including organizational factors, HRM practices and job attitudes.

Keywords Employee turnover, Turnover intention, Work-related factors, Job level,

Construction, South Korea, Organizational pride, Organizational commitment,

Communication, Immediate leader

Paper type – Master thesis

Contents

1. INTRODUCTION ........................................................................................................................... 1

2. CONCEPTUAL FRAMEWORK .................................................................................................... 5

2.1 Theoretical background .............................................................................................................. 5

2.1.1 Social Exchange Theory ...................................................................................................... 5

2.1.2 Turnover and turnover intention .......................................................................................... 5

2.1.3 Job level and turnover reasons ............................................................................................. 6

2.2 Creating the framework: Work-related factors influencing turnover intention ......................... 7

2.2.1 Organizational factors .......................................................................................................... 8

2.2.2 HRM practices ................................................................................................................... 14

2.2.3 Job attitudes ....................................................................................................................... 19

3. RESEARCH DESIGN ................................................................................................................... 25

3.1 Research strategy ...................................................................................................................... 25

3.2 Data collection .......................................................................................................................... 27

3.3 Data description ........................................................................................................................ 28

3.4 Data analysis methods .............................................................................................................. 29

3.5 Data quality, limitations and ethical considerations ................................................................. 30

4. FINDINGS ..................................................................................................................................... 32

4.1 General description................................................................................................................... 32

4.2 Correlation analysis .................................................................................................................. 34

4.3 Multiple regression analysis ..................................................................................................... 35

5. DISCUSSION & PRACTICAL IMPLICATIONS........................................................................ 41

6. CONCLUSION .............................................................................................................................. 45

References .......................................................................................................................................... 47

Appendix ............................................................................................................................................ 62

1

1. INTRODUCTION

Employee turnover continues to be a serious problem for organizations even though it has

been researched for more than 60 years (March & Simon, 1958; Nawaz & Pangil, 2016). Turnover

is defined as the individual movement across the membership boundary of an organization (Price,

2001). It is closely related to the loss of competitive advantages. According to the resource-based

view (RBV), competitive advantages originate from strategic resources which are scarce and

difficult to imitate and transfer (Wernerfelt, 1984; Grant, 1991; Amit & Schoemaker, 1993).

Numerous scholars have pointed out that human resources are one of the strategic resources which

lead companies to competitive advantages. For example, Boxall and Purcell (2011) contended that

the special quality of human resources can lead companies to a sustainable market leadership

position. Additionally, they argued that competitive advantages based on human resources are

superior and hard to copy by competitors (Boxall & Purcell, 2011). McWilliams, Van Fleet and

Wright (2001) also asserted that a highly skilled and motivated workforce has great potential to

create a source of sustainable competitive advantages. The assurance that human capital is

strategically important to a firm’s viability and success implies how crucial it is to prevent high

skilled employees from leaving organizations.

Not only is turnover closely related to the loss of firms’ competitive advantages, it can also

cause monetary and non-monetary costs for the firm. Monetary costs arise through the hiring

process of new employees (Haider, Rasli, Akhtar, Yusoff, Malik & Aamir, 2015), such as

advertising, screening, verifying credentials, interviewing and the training of new employees (Nair,

2009). Additional costs are caused through time and administration necessary for exit interviews

(Korsakienė, Stankevičienė, Šimelytė & Talačkienė, 2014). Non-monetary costs occur in form of

the loss of specific knowledge, know-how, skills (Yamamoto, 2011; Mitchell, Holtom & Lee, 2001),

customers and contacts, productivity (Shaw & Dewald, 2011) and social capital (Sutherland &

Jordaan, 2004). In the future, these lost attributes are likely to be transferred to competing

organizations, enabling them to gain competitive advantages (Ramlall, 2003). Overall, it can be

concluded that the loss of employees can negatively impact the competitive advantages of a firm

(Shaw, Gupta & Delery, 2005) and cause relevant costs (Haider et al., 2015; Yamamoto, 2011).

Thus, it can be maintained that understanding employees’ turnover behavior is crucial for an

organization’s viability.

Various turnover determinants have been revealed since March and Simon’s (1958) study,

which is one of the earliest turnover studies. Porter and Steers (1973) identified several work-

related and personal factors as crucial determinants of turnover. For example, they mentioned

2

extrinsic rewards and advancement opportunities as work-related factors and family responsibilities

as a personal factor. However, Baysinger and Mobley (1983) criticized the previous turnover

studies which focused on personal factors. They suggest that turnover studies should focus on

factors that can be influenced by HR managers (human resources managers) and organizations.

Based on this point of view and in order to suggest practical implications for organizations, the

scope of this study is limited to work-related factors such as organizational communication,

performance appraisal, and organizational trust. Since the reasons to leave an organization may

differ according to job levels (Hausknecht, Rodda & Howard, 2009), the present research will

highlight differences in turnover behavior of both managerial and non-managerial employees. The

fact that job level differences have not been extensively studied in the literature (Hausknecht et al.,

2009), further motivates this intention.

Turnover is a relevant topic for organizations all over the world. According to Khatri,

Budhwar, and Chong (2010), most organizations in Asian countries such as Malaysia, Singapore,

Hong Kong, Taiwan and South Korea have been facing the same turnover problems as Western

countries. South Korea in particular, has gone through dramatic changes in economic and business

environment since the Asian financial crisis in 1997. Since the crisis, the South Korean labor

market has experienced massive layoffs in many organizations (Lee, 1998). Following the request

of the International Monetary Fund (IMF), South Korea's economy was opened to foreign

investment capital in order to receive a financial package to revive its economy (Kim, Lee & Lee,

2013). Furthermore, South Korean firms adapted ‘Western Human Resource Management (HRM)’

models, following the trend of other Asian Pacific regions (Rowley, 1997). Based on these models,

the previously established seniority system that had guaranteed long-term employment was replaced

by a more flexible and performance-oriented system (Rowley & Bae, 2002). This process of change

affected the employee perception of employment contracts. Employees realized that an employment

contract could be broken at any time by the employer as well as by the employee (Kim et al., 2013).

It also became apparent that the adoption of ‘Western HRM’ does not necessarily mean that these

HR practices yield the same outcomes as in Western countries. Benson and Rowley (2003) stated

that unique cultural characteristics are regarded as a crucial component in restraining the

convergence of HRM practices. Accordingly, significant cultural differences between western

countries and South Korea resulted in the incomplete integration of HRM practices (Kim et al.,

2013). The development that initiated from the Asian financial crisis and the mentioned cultural

differences make it necessary to conduct further research on factors influencing turnover intention

of South Korean employees.

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The need for research is especially necessary in the South Korean construction industry

since the sector has one of the highest voluntary employee turnover rates (Appendix 1). According

to the statistical data from the Ministry of Labor in South Korea (2016), the average voluntary

turnover rate between 2011 and 2015 was 2.1% in South Korea. The average rate in the

construction industry during the same period was 3.6%. It had the third highest rate, compared with

17 other industries in South Korea. Only two industries, namely accommodation and food services

(5.2%) and business facilities management and business support services (3.9%), had higher

turnover rates during this period (Employment Labor Statistics Korea, 2016). Another reason for

studying employee turnover in the construction sector is the fact that human capital is the most

important source to successfully accomplish projects. Tupenaite, Kanapeckiene and Naimaviciene

(2008) claimed that tacit knowledge is an essential determinant of successful performance and a

competitive edge in the construction industry. Tacit knowledge refers to the inexpressible

knowledge that people acquire. It is difficult to codify and has both subjective and personal

characteristics (Hislop, 2005). Thus, it can be argued that retaining skilled and knowledgeable

employees is a critical factor in the construction industry. It is therefore valuable to conduct

research in this particular sector. While turnover studies in South Korea have been conducted in

other industries, such as nursing (Moon & Han, 2011), hospital (Sung, Seo & Kim, 2012), nonprofit

(Kang, Huh, Cho & Auh, 2014) and IT (Chang, 2008), to our knowledge, no such research has been

carried out in the construction sector. Hence, the study aims to examine whether perceived work-

related factors affect turnover intention in South Korean construction companies. To fulfill this aim

the two research objectives are formulated. The first objective is to examine the relationship

between work-related factors and turnover intention among job levels. The second is the

determination of the most influencing work-related factors among job levels. To reach these

objectives, a case study of a South Korean construction company will be conducted.

This study will contribute to both literature and practitioners. On the one hand, it will enrich

the empirical sources of the specific topic of turnover in the South Korean construction industry. On

the other hand, it may offer help to management and HR managers in the South Korean

construction industry, to understand their employees’ turnover intentions better. It might finally

help organizations reduce turnover rates. In order to achieve the aim, this paper is structured as

follows. First, based on a literature review, the relevant theoretical background will be introduced.

Moreover, the framework for this study will be illustrated in the chapter conceptual framework. The

research design chapter will cover research strategy, data collection, data analysis methods and data

quality and limitations. The results of the analyses are presented in the next chapter. In the

following chapter, the discussion regarding the result of analyses, as well as practical implications

4

will be presented. Finally, the paper will conclude with a summary of the study, with theoretical

implications and suggestions for further research.

5

2. CONCEPTUAL FRAMEWORK

In this chapter the conceptual framework of this study, as well as relevant theoretical background is

presented.

2.1 Theoretical background

2.1.1 Social Exchange Theory

This study is based on the fundamental concepts of social exchange theory. Social exchange

theory implies an ‘exchange’ process between two parties, that is mutually contingent, and mutually

rewarding (Emerson, 1976). According to this theory, various social exchange relationships exist

between members of an organization (Cropanzano & Mitchell, 2005). Numerous studies (Gilhs,

2008; Ko, 2005; Rice, 2009; Schakett, 2009; Swift, 2007) adopted this theory to explain the

relationship between employees behavior and a diversity of organizational aspects. According to

Wayne, Shore and Liden (1997), high level of social exchange can contribute to building a sense of

attachment and commitment towards the organization.

Furthermore, when employees have a positive perception of a social exchange relationship

with their employers, they are less likely to leave their organizations (Nawaz & Pangil, 2016). For

instance, Abubakar, Chauhan and Kura (2015) indicated that employees have a tendency to stay at

their current job when they are satisfied with the salary, performance appraisal, training and

development and career growth in their organizations. In addition, the greater employees

satisfaction with organizational support, the more likely they will feel a responsibility to reward

their organization (Eisenberger, Huntington, Hutchinson & Sowa, 1986; Eisenberger, Stinglhamber,

Vandenberghe, Sucharski & Rhoades, 2002). One way to do this is by remaining in and staying

loyal towards the organization. Thus, social exchange theory suggests that organizations and

managers can provide organizational support to achieve desirable attitudes and behaviors from

employees, for example, low turnover intention (Gould-Williams, 2007; Gould-Williams & Davies,

2005; Spencer, Buyens & Taylor, 2012).

2.1.2 Turnover and turnover intention

Turnover describes the rotation of employees around the labor market; between jobs, firms

and between the states of unemployment and employment (Abbasi & Hollman, 2000). Various

different factors that cause employees to quit are mentioned in the literature, including a decrease in

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satisfaction with the organization, compensation, organizational communication, and a declining of

reputation (Doh, Smith, Stumpf & Tymon, 2011; Cotton & Tuttle, 1986).

The causes for turnover can be involuntary or voluntary. Involuntary turnover reflects the

decision of an employer to terminate the employment contract of an employee (Shaw, Delery,

Jenkins & Gupta, 1998). Additionally, uncontrollable reasons like injury, sickness and death can

also cause involuntary turnover. Voluntary employee turnover explains that individual perception of

employees can actually result in turnover (Javed, Khan, Yasir, Aamir & Ahmed, 2014). Voluntary

employee turnover can be influenced by the following factors: the perception of work quality

(Jackofsky & Peters, 1983), and job satisfaction (Law, 1995).

Turnover is closely related to turnover intention, as the actual turnover behavior depends on

the individual’s intention to leave the company. It is defined as a cognitive process by which one

considers resigning from work (Mobley, Griffeth, Hand, & Meglino, 1979). In other words, it is an

employee’s unexpressed plan to quit work within a certain time period (Lambert & Hogan, 2009).

Various researchers found that turnover intention is the most immediate determinant of actual

turnover behavior (Bluedorn, 1982; Igbaria & Greenhaus, 1992; Mobley et al., 1979). This present

research assigns turnover intention as a dependent variable and examines the influence of work-

related factors on this intention.

2.1.3 Job level and turnover reasons

Steel, Griffeth and Hom (2002) indicated that organizations should tailor their retention

strategies to specific employee groups rather than adopting identical strategies to all employees.

Within an organization employees can be divided into groups according to their job level. It is

therefore suggested, to examine the factors that motivate employees to stay in their organization at

different job levels (Griffeth & Hom, 2001). Hausknecht et al. (2009) revealed that the reasons to

stay in organizations among job levels vary based on different psychological contracts. The

psychological contract refers to individual's perceptions and beliefs about the terms and conditions

of a mutual exchange agreement between that body and another party (Rousseau, 1989). According

to Hausknecht et al. (2009), employees at different job levels have distinctive psychological

contracts with organizations, such as transactional and relational contracts. The findings of the

study indicated that employees in high job positions are generally more likely to have relational

reasons, such as promotion opportunities, organizational commitment, and organizational pride to

stay at their present organization. Contrarily, employees at lower job positions have transactional

reasons including compensation and flexible working hours, to stay at their current employer.

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Accordingly, it can be assumed that the most impacting work-related factors might not be identical

for managerial and non-managerial level employees.

2.2 Creating the framework: Work-related factors influencing turnover

intention

Various authors (Ø gaard, 2006; Muchinsky & Morrow, 1980; Branham, 2005) conducted

research to evaluate the influence of work-related factors on turnover intention. By examining

turnover literature, it was observed that the work-related factors included in previous studies can be

classified into following categories: organizational factors, HRM practices, and job attitudes.

However, previous studies seem not to include various factors from all three categories (Appendix

2). A need for future research in this field has been also expressed by a number of authors (Juhdi,

Pa'wan & Hansaram, 2013; Abubakar, Chauhan & Kura, 2014; Cotton & Tuttle, 1986; Nawaz &

Pangil, 2016). In order to create an extensive view of turnover intention in an organization, the

framework for this study will include factors from all three categories. The work-related factors

were chosen based on a review of turnover studies and meta-analyses of turnover. Most frequently

used work-related factors were compiled and aligned with the data used for the study. However, in

order to make this study feasible, the number of chosen work-related factors is limited to 16.

Employees’ perception of the 16 factors will be measured and these perceptions will be

assigned as the independent variables. Perception is a process by which individuals interpret and

organize their impressions in order to give meaning to their environment (Robbins & Judge, 2014).

What an individual perceives, however, can be significantly different from objective reality. The

employee perception provides an important view of the organization through the eyes of employees

(Klaur, 2015). It is therefore a kind of discreet feedback that can be utilized for meeting and

understanding employee needs (Klaur, 2015). To measure the employee perception is important for

the study because employees’ behavior, in this particular case, their turnover behavior, is based on

their personal perception (Robbins & Judge, 2014). In the following part the factors chosen for this

study, which are assigned to each of the three categories, will be explained. Based on the literature

review, the South Korean context was also considered to formulate hypotheses. The hypotheses will

test the relationship between the employee perception of each factor and turnover intention.

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2.2.1 Organizational factors

The organizational factors include: goals and direction, immediate leader, communication,

company’s reputation, culture towards risk taking and collaboration.

Goals and direction

Strategic planning is the organizational process of defining its goals or direction, and

making decisions on allocating its resources to achieve them (Business Dictionary- strategic

planning, 2016). Empirical evidence suggests that the establishment of clearly defined

organizational objectives and goals decrease employee turnover intention and increase job

productivity (Moncarz, Zhao & Kay, 2009). Furthermore, organizations with effective and well-

communicated mission and goals were found to experience lower turnover rates (Moncarz et al.,

2009). In order to ensure that the defined objectives are achieved, individual employee’s efforts

should be linked to the organizational goals (Lee & Conrad, 2009). Not only does this help reach

goals and objectives, it also increases employee job satisfaction (Ostroff, 1992). To conclude,

clearly established organizational goals that are understood by employees and are linked to their

individual efforts do not only increase the overall job satisfaction, but also influence the turnover

intention. Therefore, the framework of this paper includes questions that intend to evaluate whether

or not the employees understand the company's vision and business goals. Additionally, they are

asked if their individual goals are linked to the goals of the team and the company. Lastly, the

employee perception of their department’s mission and goals is evaluated. According to a recent

report by the Korean Chamber of Commerce and Industry (KCCI) and McKinsey (2016),

employees and management in South Korean companies had significantly different perceptions of

the goals and the directions of their companies. Employees had a low perception of goals and

directions while management perceived them as high, communicating these within the organization.

Based on the social exchange theory, it can be assumed that the low perception of South Korean

employees regarding goals and directions leads to increase turnover intention. Accordingly, the

following hypotheses are formulated. It is expected that a high perception of goals and direction

will decrease the intention to leave and vice versa.

H1a: The perception of goals and direction has a negative relationship with turnover intention among the

employees of South Korean construction companies.

H1b: The perception of goals and direction has a negative relationship with turnover intention among non-

managerial employees of South Korean construction companies.

9

H1c: The perception of goals and direction has a negative relationship with turnover intention among


Immediate leader

An effective organizational leadership can help prioritize aims for employees and can

provide guidance toward achieving the overall corporate goals (Business Dictionary –

organizational leadership, 2016). It has been observed that dissatisfaction with immediate leaders is

a contributor to turnover (Christmas, 2008). An early review of turnover studies by Cotton and

Tuttle (1986), indicated that the satisfaction with supervision or the immediate leader was utilized

as an independent variable in several studies. Furthermore, various studies examined factors that

influence the employee’s satisfaction with their supervisors. Sušanj and Jakopec (2012) stated that

fairness is one important factor which increases employees’ satisfaction with their immediate leader.

This means, for example, that immediate leaders evaluate employees’ performance consistently,

rationally and objectively. Trust and satisfaction can further be increased if employees are pleased

with their leader’s communication. More precisely, when leadership listens to what team members

say and reflect opinions into decision making (Podsakoff, MacKenzie, Moorman & Fetter 1990).

Folkman (2010) further revealed that consistent behavior of immediate leaders is a crucial factor

that influences employee satisfaction, commitment and trust towards immediate leaders. To sum up,

satisfaction with immediate leadership has a direct impact on employee’s turnover intention.

Fairness, transparency and satisfying communication affect the employee’s satisfaction with

leadership, and are therefore analyzed in this study. Since the relationship with supervisors has been

verified as a negative determinant of turnover intention in previous research in South Korea and

China (Kim, Lee & Lee, 2013; Kim, 2015), a similar result can be expected in South Korean

construction companies. Accordingly, the following hypotheses are formulated. It is expected that a

high perception of immediate leader will decrease the intention to leave and vice versa.

H2a: The perception of immediate leader has a negative relationship with turnover intention among the


H2b: The perception of immediate leader has a negative relationship with turnover intention among non-


H2c: The perception of immediate leader has a negative relationship with turnover intention among


10

Communication

Organizational communication can be referred to as communication among different

hierarchic levels, as well as communication between employees in the organization (Turkalj &

Fosić, 2009). Studies have shown that communication is an important determinant that significantly

influences turnover intention of both management and non-management personnel (Moncarz et al.,

2009). It is not only important that the management is able to clearly communicate with their

employees (downward communication), but also relevant that employees can easily deliver

messages to their leaders (upward communication) (Turkalj & Fosić, 2009). Additionally, easy

communication within and between teams or departments (sideward communication) also increases

the perceived satisfaction of communication (Turkalj & Fosić, 2009). In summary, communication

that has been proven to be an important influencer for turnover consists of downward-, upward- and

sideward communication. The satisfaction of employees regarding these three communication

forms will be measured within this research. The satisfaction of employees regarding these three

communication forms will be measured within this research. South Korean companies, compared to

other global companies, have an underdeveloped organizational communication (Korea Chamber of

Commerce & Industry, 2016). This is represented by one-way communication from top to bottom.

Based on the social exchange theory, it can be assumed that the low perception of South Korean

employees concerning communication in organizations leads to an increase in turnover intention.

Accordingly, the following hypotheses are formulated. It is expected that a high perception of

communication will decrease the intention to leave and vice versa.

H3a: The perception of communication has a negative relationship with turnover intention among the


H3b: The perception of communication has a negative relationship with turnover intention among non-


H3c: The perception of communication has a negative relationship with turnover intention among


Company’s reputation

Organizational prestige is known as a potentially important turnover factor (Muchinsky &

Morrow, 1980). Reputation is closely linked to the prestige of an organization (Fombrun & Shanley,

1990). Organizational reputation reflects the effort by organizations to retain and attract high skilled

employees (Branham, 2005). Accordingly, it is important to communicate and emphasize the

11

competitiveness of organizations to current and potential employees (Branham, 2005). In order to

be known as competitive, organizations need to adapt to changing market conditions, especially in

the era of globalization, new technologies and high transparency (Reeves & Deimer, 2011).

Employees therefore are asked about their perception regarding the competitiveness of their

organization as well as its ability to adapt to a changing environment. Finally, it is evaluated

whether they generally believe the organization is a good place to work for. Previous research in

South Korea (Kwon & Rupp, 2013) presented negative relations between a company’s reputation

and turnover intention, especially among high performers in organizations. An identical correlation

can be expected in South Korean construction companies. Accordingly, the following hypotheses

are formulated. It is expected that a high perception of company’s reputation will decrease the

intention to leave and vice versa.

H4a: The perception of company’s reputation has a negative relationship with turnover intention among the


H4b: The perception of company’s reputation has a negative relationship with turnover intention among

non-managerial employees of South Korean construction companies.

H4c: The perception of company’s reputation has a negative relationship with turnover intention among


Culture towards change and risk-taking

Organizational culture that can be defined as “a complex set of values, beliefs, assumptions,

and symbols that define the way in which a firm conducts its business” (Barney, 1986, p. 657), can

be a source of sustained competitive advantages (Barney, 1986). It further has a significant

influence on the retention of management or non-management personnel (Moncarz et al., 2009). A

change-oriented culture (development, initiative, creativity, openness) is positively related to

employee satisfaction and retention (Meyer & Topolnytsky, 1990). An organization with strong

change-related values is expected to implement HRM practices that encourage creativity and

innovation. Further, it is likely to have a very flexible structure, reward practices for risk-taking and

decentralized decision making (Meyer & Topolnytsky, 1990). To identify whether a change-

oriented culture is embedded in the researched organization, the employees are asked if change is

initiated, decision making is decentralized and risk-taking is rewarded. According to previous

research in South Korea (Park & Kim, 2009), a culture that encourages employees to take risks and

initiate innovations reduces turnover intention. This result can be expected in South Korean


12

high perception of culture towards change and risk-taking will decrease the intention to leave and

vice versa.

H5a: The perception of culture towards change and risk-taking has a negative relationship with turnover

intention among the employees of South Korean construction companies.

H5b: The perception of culture towards change and risk-taking has a negative relationship with turnover

intention among non-managerial employees of South Korean construction companies.

H5c: The perception of culture towards change and risk-taking has a negative relationship with turnover

intention among managerial employees of South Korean construction companies.

Collaboration

Collaboration can be defined as an arrangement in which two or more parties (which may or

may not have had any previous relationship) work collectively towards a common goal (Business

Dictionary – Collaboration, 2016). Internal collaboration focuses on cooperation within an

organization (Hillebrand & Biemans, 2003). Pinkerton (2005) conducted a study which related poor

internal collaboration to turnover in the nursing sector. Furthermore, Christmas (2008) observed

that dissatisfaction with management and departmental relationships are contributors to turnover.

The employee perception concerning collaboration in teams and with other departments thus is

evaluated. Additionally, the perceived effectiveness of sharing information and ideas within the

organization is examined. Since the strong negative correlation between collaboration and turnover

intention has been previously verified in research in South Korea (Park & Kim, 2009), the identical

result can be expected in South Korean construction companies. Accordingly, the following

hypotheses are formulated. It is expected that a high perception of collaboration will decrease the

intention to leave and vice versa.

H6a: The perception of collaboration has a negative relationship with turnover intention among the


H6b: The perception collaboration has a negative relationship with turnover intention among non-


H6c: The perception of collaboration has a negative relationship with turnover intention among managerial


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To sum up, a high perception of the six chosen organizational factors is expected to decrease

the turnover intention of employees. Thus, a negative relationship between the organizational

factors and turnover intention is anticipated. The relationship between the organizational factors and

turnover intention are illustrated in Figure 1.

Figure1: The negative relationship of organizational factors and turnover intention

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2.2.2 HRM practices

The HRM practices include the factors performance appraisal, compensation, promotion, hiring,

training and career development and job design.

Performance appraisal

Performance appraisal refers to a series of managerial activities including identifying,

monitoring, evaluating, recording and developing the employees’ performance (Swanepoel,

Erasmus, van Wyk & Schenk, 2000). It has a significant role in enhancing employees’ contribution

and commitment towards the organization (Armstrong-Stassen & Schlosser, 2010). If employees

are dissatisfied with the performance appraisal, this can negatively affect their attitudes towards

their work and productivity, and finally it will affect turnover intention. Ahmad and Lemba (2010)

stated that performance appraisals that are biased and allow sanctions could increase employee’s

turnover intention. Thus, it is important to evaluate the employees’ performance objectively and

fairly based on their actual achievement, to prevent employees from being dissatisfied or leaving

the organization. A number of relevant studies are in accordance with this assertion (Kee & Aafaqi,

2000; Whiting & Kline, 2007; Guchait & Cho, 2010). A well-designed linkage between

performance appraisal and compensation can align employees with the long-term goals of the

company and facilitate retention of employees (Delery and Doty, 1996). In addition, Wright (2004)

stated that employees are more satisfied when the appraisal process is easy to understand, well

prepared and planned. To measure the satisfaction of the performance appraisal, the framework of

this research will include three questions regarding performance-based evaluation, linkage between

performance appraisal and compensation, and simplicity of the process. Performance appraisal is

one of HRM practices which, in previous research in East and Southeast Asian countries including

South Korea, shows a negative relationship with turnover intention (Yalabik, Chen, Lawler & Kim,

2008). In addition, the researched company also adopted Western HRM practices, as did other

Korean companies. Based on the result of performance appraisal, compensation and promotion are

implemented in the company. Thus, it can be assumed that performance appraisal has a negative

relationship with turnover intention. Accordingly, the following hypotheses are formulated. It is

expected that a high perception of performance appraisal will decrease the intention to leave and

vice versa.

15

H7a: The perception of performance appraisal has a negative relationship with turnover intention among

the employees of South Korean construction companies.

H7b: The perception of performance appraisal has a negative relationship with turnover intention among


H7c: The perception of performance appraisal has a negative relationship with turnover intention among


Compensation

Compensation is another crucial factor in HR practices that it is closely related to turnover

intention. A number of empirical findings proved that compensation plays a key role regarding

turnover intention and retention (Lawler & Rhode, 1976; Chew & Chan, 2008). According to Chan

and Kuok (2011), more than 90% of firms acknowledge that salary is a dominant reason for

employees’ turnover in the hospitality and tourism industry in Macau. Dissatisfaction with salary

leads to employees moving to another company for better financial gains (Chan & Kuok, 2011).

Hence the implication that organizations need to offer competitive compensation packages to

reduce turnover intention. In addition, employees expect that their skills, experience and knowledge

are appropriately reflected in a compensation system (Long, Perumal & Ajagbe, 2012). Hence, the

framework of this research includes questions regarding the employees’ satisfaction with their

compensation, considering the cost of living, the labor market pay level, and their performance.

Since previous research in South Korea verifies that compensation has a negative relationship with

turnover intention (Choi, Jeong & Kim, 2015), the identical result can be expected in South Korean


high perception of compensation will decrease the intention to leave and vice versa.

H8a: The perception of compensation has a negative relationship with turnover intention among the


H8b: The perception of compensation has a negative relationship with turnover intention among non-


H8c: The perception of compensation has a negative relationship with turnover intention among managerial


16

Promotion

According to Cotton and Tuttle’s (1986) meta-analysis and review, 16 studies revealed that

promotional opportunity is correlated to employee turnover. Recent studies still consider promotion

as a determinant of employee turnover. Lack of advancement opportunity was one of the most

influencing turnover factors (Korsakienė et al., 2014). Cafaro (2001) also stated that promotion and

work design are the major reasons for employees’ deciding to join, remain or leave a company.

Concerning promotion, fairness is a critical point for employee satisfaction (Parker, Nouri & Hayes,

2011). A strong link between job performance and promotions leads to a high perception of justice

and satisfaction of employees (Parker et al., 2011). Studies revealed that transparent promotion

criteria are another crucial factor of employees’ perceived fairness (McEnrue 1989; Saal & Moore,

1993; Pearce, Branyiczki & Bakacsi, 1994; Kaplan & Ferris, 2001). Being able to communicate

during the promotion process contributes to employee satisfaction (Lind, Tyler & Huo, 1997;

Folger & Cropanzano, 1998). Hence, linkage to job performance, transparency of the criteria, and

appropriate feedback are chosen as criteria for the measurement of employees’ perception regarding

promotion. Since, based on previous research in South Korea (Korea Institute of Local Finance,

2014), promotion is claimed to have a negative relationship with turnover intention, this result can

also be expected in South Korean construction companies. Accordingly, the following hypotheses

are formulated. It is expected that a high perception of promotion will decrease the intention to

leave and vice versa.

H9a: The perception of promotion has a negative relationship with turnover intention among the employees

of South Korean construction companies.

H9b: The perception of promotion has a negative relationship with turnover intention among non-


H9c: The perception of promotion has a negative relationship with turnover intention among managerial


Hiring

Hiring can be a starting point for retaining qualified people. Selective hiring procedures

result in increasing the retention of talented people and reducing employee turnover (Huselid, 1995;

Huselid & Becker, 1999). Moncarz et al., (2009) stated that pre-employment tests are one of the

methods that can be applied for selecting qualified employees during the hiring procedure. In

addition, the employees who passed pre-employment tests, such as skill-based-tests, will most

17

likely have high organizational commitment (Cho, Woods, Jang & Erdem, 2006). Accordingly, the

framework includes questions measuring the degree as to how employees perceive their company’s

hiring procedures. The questions will in particular emphasize the validity and suitability of the

hiring practice. Previous research in East and Southeast Asian countries including South Korea

(Yalabik, Chen, Lawler & Kim, 2008) shows that hiring has a negative relationship with turnover

intention. This result can also be expected in South Korean construction companies. Accordingly,

the following hypotheses are formulated. It is expected that a high perception of hiring will

decrease the intention to leave and vice versa.

H10a: The perception of hiring has a negative relationship with turnover intention among the employees of

South Korean construction companies.

H10b: The perception of hiring has a negative relationship with turnover intention among non-managerial


H10c: The perception of hiring has a negative relationship with turnover intention among managerial


Training and career development

Training practices contribute to a high-skilled workforce and reduce turnover (Huselid,

1995). Through training, companies can ensure a high quality of performance and, at the same time,

employees are able to acquire new skills and knowledge, being able to work more effectively (Long,

Perumal & Ajagbe, 2012). Walsh and Taylor (2007) stated that a lack of opportunity for

professional growth and development was a major turnover factor, besides dissatisfaction with

compensation. The questions in the framework are therefore related to opportunities and

organizational support for training and career development. Kim (2015) contended that South

Korean companies need to provide employees with opportunities for training and career

development to reduce turnover intention. Based on this argument, the following hypotheses are

formulated. It is expected that a high perception of training and career development will decrease

the intention to leave and vice versa.

H11a: The perception of training and career development has a negative relationship with turnover

intention among the employees of South Korean construction companies.

H11b: The perception of training and career development has a negative relationship with turnover

intention among non-managerial employees of South Korean construction companies.

18

H11c: The perception of training and career development has a negative relationship with turnover intention

among managerial employees of South Korean construction companies.

Job design

Previous studies found that employees who perceive their work as meaningful and

interesting are most likely to remain in their organization (Walsh & Taylor, 2007; Samuel &

Chipunza, 2009). How much discretion employees have in their work is a critical aspect of turnover

behavior. A job which allows independent work and leeway of freedom increases the employees’

intention to stay in a company (Kinnear & Sutherland, 2000). The discretion of planning and

autonomously executing tasks play a major role in increasing employee retention (Korsakienė et al.,

2014). The efficient allocation of work in a team is another influencer of employee turnover.

According to the study of De Pierro (2003), the three top reasons for the high turnover rate among

267 New Jersey special education administrators was workload. Another study indicated heavy

workload as one of the critical factors influencing turnover intention (Chan & Morrison, 2000).

Therefore, it can be assumed that efficient work allocation affects turnover intention by contributing

to the solution of the workload problem. Thus, the research includes questions regarding

meaningful and interesting work, job discretion and job allocation in order to measure the employee

perception of their job design. The negative correlation between employees’ satisfaction of their job

design and turnover intention was verified in previous research in South Korea (Park & Kim, 2009).

An identical result can be expected in South Korean construction companies. Accordingly, the

following hypotheses are formulated. It is expected that a high perception of job design will


H12a: The perception of job design has a negative relationship with turnover intention among the employees

of South Korean construction companies.

H12b: The perception of job design has a negative relationship with turnover intention among non-


H12c: The perception of job design has a negative relationship with turnover intention among managerial


To sum up, a high perception of the six chosen HRM practices is expected to decrease the

turnover intention of employees. Thus, a negative relationship between the HRM practices and

turnover intention is anticipated. The relationship between the HRM practices and turnover

intention are illustrated in Figure 2.

19

Figure 2: The negative relationship of HRM practices and turnover intention

2.2.3 Job attitudes

Job attitudes include organizational pride, organizational commitment, trust and job involvement.

Organizational pride

Various studies have found that the concept of organizational pride essentially influences

turnover intention (Gouthier & Rhein, 2011; Helm, 2012; Hodson, 1998; Kraemer & Gouthier,

2014). Organizational pride is related to organizational performances, such as providing a positive

and encouraging work environment (Kraemer & Gouthier, 2014). In order to establish

organizational pride, a high identification between employees and organization is required

(Kraemer & Gouthier, 2014). The projection of the company’s image on the public can be a source

20

of pride to the employee. The way the company is seen and recognized in the external environment

will establish solidarity and commitment within the organization (Alvesson, 1992). In addition,

organizational pride implies that employees gladly recommend this organization's products or

services to friends and family (Truss, Alfes, Delbridge, Shantz & Soane, 2013). To sum up, how

employees perceive organizational pride essentially influences their turnover intention. In order to

measure the employee perception, they are asked if they are proud of the company's name, if they

are proud to work in the company and if they would recommend this organization's products or

services to friends and family. In a recent study in South Korea (Kim, 2015), the negative

correlation between organizational pride and turnover intention was verified. Thus an identical


hypotheses are formulated. It is expected that a high perception of organizational pride will


H13a: The perception of organizational pride has a negative relationship with turnover intention among the


H13b: The perception of organizational pride has a negative relationship with turnover intention among


H13c: The perception of organizational pride has a negative relationship with turnover intention among


Organizational commitment

Organizational commitment, along with job satisfaction, represents one of the most widely

studied antecedents of turnover (Griffeth, 2000). It can be defined as the employee’s identification

with and involvement in an organization (Mobley et al., 1979). Mobley et al., (1979) suggested that

committed employees are expected to stay with their organization because they are willing to

undertake efforts on their company’s behalf and believe in the goals and values. Organizational

commitment is affected by the perception of care and support by organizations (Eisenberger et al.,

1986). When such favorable supportive treatment is observed, employees feel obliged to repay the

organization with extra effort and loyalty (Eisenberger, Armeli, Rexwinkel, Lynch & Rhoades,

2001). Cultures that support values of teamwork and respect individual members enhance loyalty

with and commitment towards all employees in the organization (Kerr & Slocum, 1987). In order to

evaluate the organizational commitment of the employees, they are asked if they feel a sense of

responsibility for the company's future, if they can identify with the company’s success and if they

would stay in this company even when offered employment elsewhere. Previous research in South

21

Korea (Moon & Han, 2011) shows that organizational commitment is a determinant of turnover

intention. This result can be expected in South Korean construction companies. Accordingly, the

following hypotheses are formulated. It is expected that a high perception of organizational

commitment will decrease the intention to leave and vice versa.

H14a: The perception of organizational commitment has a negative relationship with turnover intention

among the employees of South Korean construction companies.

H14b: The perception of organizational commitment has a negative relationship with turnover intention

among non-managerial employees of South Korean construction companies.

H14c: The perception of organizational commitment has a negative relationship with turnover intention

among managerial employees of South Korean construction companies.

Trust

Trust refers to “one party's willingness to be vulnerable to another party based on the belief

that the latter party is competent, open, concerned and reliable” (Mishra, 1996. p. 265). Casta (2003)

demonstrated that trust plays a main role for the social relations between individuals and

organization. The social bounds based on trust are likely to increase an employee’s intention to stay

in a long-term relationship with the organization (Barrick & Zimmerman, 2009). Trust towards

management has often been examined in literature, because it strongly affects employees’

performances (Balkan, Serin & Soran, 2014). Employees are motivated for high performance when

they trust and respect the leader (Reychav, Sharkie, 2010). In contrast, employees who distrust their

leaders tend to feel worried, which results in low job satisfaction (Knoll & Gill, 2011). Further

studies contend that positive internal relations lead to high retention rates (Hausknecht et al., 2009;

Ulrich, Lavandero, Hart, Woods, Leggett & Taylor, 2006; Christmas, 2008). The questions

therefore aim to measure perceived trust in management, supervisors and colleagues in the

organization. Trust within organizations was proven to have a negative correlation with turnover

intention in previous research in South Korea (Lee, Kim, Kim, Kwon & Cho, 2013). The identical


hypotheses are formulated. It is expected that a high perception of trust will decrease the intention

to leave and vice versa.

H15a: The perception of trust has a negative relationship with turnover intention among the employees of

South Korean construction companies.

22

H15b: The perception of trust has a negative relationship with turnover intention among non-managerial


H15c: The perception of trust has a negative relationship with turnover intention among managerial


Job involvement

Various studies showed evidence that involved employees are inclined to be motivated and

proud in their work. Moreover, the employees have a sense of individual fulfilment and they

experience the same given worktime as relatively shorter than others do (Biggs, Brough & Barbour

2014; Ryan & Deci 2001; Saks 2006). The employees can experience the feeling of mastery

through individual accomplishment and this empowers them to confront challenges (Carlson,

Kacmar, Wayne & Grzywacz, 2006). The empowerment of workers helps organizations avoid a

lack of competent employees by reducing turnover (Laschinger & Finegan, 2005). Furthermore,

research has proved that engaged workers are less likely to seek alternative employment (Maslach,

Schaufeli & Leiter, 2001; Schaufeli, 2004; Timms & Brough, 2013). The questions therefore try to

measure the extent of the employees’ proactive attitude to their job. The negative correlation

between job involvement and turnover intention was verified in previous research in South Korea

(Lee & Shin, 2005). The identical result can be expected in South Korean construction companies.

Accordingly, the following hypotheses are formulated. It is expected that a high perception of job

involvement will decrease the intention to leave and vice versa.

H16a: The perception of job involvement has a negative relationship with turnover intention among the


H16b: The perception of job involvement has a negative relationship with turnover intention among non-


H16c: The perception of job involvement has a negative relationship with turnover intention among


To sum up, a high perception of the four chosen job attitudes is expected to decrease the

turnover intention of employees. Thus, a negative relationship between the job attitudes and

turnover intention is anticipated. The relationship between the job attitudes and turnover intention

are illustrated in Figure 3.

23

Figure 3: The negative relationship of job attitudes and turnover intention

To conclude, three categories namely organizational factors, HRM practices and job

attitudes were included to the study in order to gain a broad view of the organization. Between four

to six work-related factors that influence turnover intention were assigned to each category.

Employee perception of each factor is expected to have a negative relationship with turnover

intention. Accordingly, sixteen hypotheses (each consisting of one for the employees, one for

managerial employees and one for non-managerial employees of a Korean construction company)

were formulated. In order to conduct our analyses, turnover intention is defined as the dependent

variable and the 16 work-related factors as independent variables. In addition, the non-managerial

and managerial groups will be analyzed separately to examine differences between two groups.

Based on the above mentioned, the conceptual framework of the research and the Hypotheses are

formulated as below. The sixteen chosen work-related factors and their negative relationships to

turnover intention are illustrated in Figure 4.

24

Figure 4: The negative relationship of all work-related factors and turnover intention

25

3. RESEARCH DESIGN

In this chapter the research design of this study is presented, discussing the research strategy,

methods of data collection and analyses, as well as the issues concerning the data quality.

3.1 Research strategy

The purpose of this research is to examine whether perceived work-related factors affect

turnover intention in South Korean construction companies. In order to fulfil this aim, the study is

designed as quantitative research. One way to distinguish quantitative and qualitative research is to

differentiate between numeric data (e.g. numbers) and non-numeric data (e.g. words) (Saunders,

Lewis & Thornhill, 2012). Accordingly, quantitative research is commonly used as a synonym for

data analysis procedures (e.g. statistics) that generate and utilize numerical data or data collection

techniques such as questionnaires. Since this research is based on secondary data which is numeric

and in form of questionnaires, quantitative research is a suitable approach. However, the study also

contains some qualitative attributes because it is based on the perception and opinions of employees

(Saunders et al., 2012).

Quantitative research is usually associated with a deductive approach (Saunders et al., 2012).

This approach consists of building a hypothesis from existing theory that can be accepted or

rejected (Gronvius & Lernborg, 2009). The framework and hypotheses were in the previous chapter.

In the framework, employees’ turnover intention is utilized as dependent variable and perceived

work-related factors as independent variables. In addition, job level is used as a control variable to

examine differences between the non-managerial and managerial employees.

The case study strategy is employed to conduct the research. The case strategy allows us to

take a closer look at the organization analyzed. Hamel, Dufour and Fortin (1993, p. 34) emphasized

the descriptive nature of the case study method when they describe it as “the in-depth study of one

particular case”. However, this study does not intend to focus on a holistic reflection of the

researched organization. Instead, it explores the potential relationships between different variables

in the specific case of a South Korean construction company.

The researched company is a construction company which belongs to the top 10

conglomerates in South Korea (KFTC, 2016). As the data utilized for this study includes sensitive

information, the company required anonymity and is therefore not named. The group in which the

researched company is included consists of 69 companies to this day. Accordingly, the group’s

business area is significantly broad, from the energy to the retail sector as well as the construction

26

industry. Considering the financial outcome and the number of its employees, the company is of a

medium size compared to other companies in the group. However, all of them have similar HRM

policies and practices, so that employees can experience comparable working conditions and

benefits. As all of the 69 companies belonging to the group operate under similar circumstances, the

results of this study do not only reflect upon the situation of the researched company, but on the

situation of all companies in the group. Bloomberg reported that the sales volume of the Top 10

conglomerates in South Korea reached up to 84 percent of South Korea’s GDP (Gross domestic

product) in 2012 (The CEO daily, 2016). This not only influenced economics, but also significantly

affected South Korean society. The influence of the major conglomerates was even perceived as

being stronger than that of governmental organizations such as prosecutors and Constitutional

Courts (EAI, 2016).

According to the law in South Korea, the construction business is divided into two

categories, namely comprehensive construction and specialized construction (National Law

Information Center, 2016). The former refers to construction work, including exhaustive activities

such as planning, managing and controlling a project. More specifically, comprehensive

construction companies are in charge of the execution of entire projects. Specialized construction

indicates the construction work which involves a specific area of a construction project. Operators

of this category are usually specialists in the specific area such as electricity and piping. The

researched company has been operating their business in various specialized areas, which lets them

stand out compared to its competitors. Operators of specialized construction generally conduct their

business in only one or two specialized construction areas. However, the researched company has

been operating in multiple specialized construction areas such as communication infrastructure,

plant facilities, electric machinery, and information technologies for more than 40 years. It achieved

a sales’ volume of approximately 650,000,000 USD in 2014 and 423 employees were in the

company at the time the questionnaire was conducted. The company is specialized in a variety of

areas, maintaining a good reputation and a proving to be strong corporate brand. Nonetheless, it

experienced a fluctuation of employees towards comprehensive construction companies who

offered the employees more favorable conditions. In addition, as mentioned earlier, tacit knowledge

is crucial for the success of construction projects. If the company consistently loses employees with

core competency in construction fields, such as site managers and cost controllers, it will strongly

influence the outcome of the company. Further, it can negatively influence the company’s

reputation in the long term perspective. It might appear to be a bad place to work, if a lot of

employees quit their jobs. Under these circumstances, the turnover issue can be crucial for the

short-term and long-term success of the company. Thus, diagnosing the issues of this phenomena

and finding solutions are vital for the company.

27

3.2 Data collection

To achieve the aim of this study, standardized data needs to be collected measuring

employees’ turnover intention and their perception of work-related factors. Standardized data is

collected in a common format that enhances the comparison progress (IBM, 2014). As both the

employee perception towards work-related factors and their turnover intention are based on the

individual’s interpretation, the data can be categorized as opinion-based information. In addition,

factual information is required since the results are controlled for job levels.

Secondary data was utilized in this study. Data that has already been collected for another

purpose is referred to as secondary data (Saunders, 2012). This data can be further analyzed to

provide different or additional knowledge. The main advantages of using secondary data is that

resources, in particular money and time can be saved (Saunders, 2012). Additionally, it enables the

access to large amounts of data and coverage of a broad scope of individuals (Vartanian, 2010).

Using secondary data as a main source in this study offers the advantage to conduct the research in

a limited time period include a high number of variables, measured in numbers.

The data of the research is based on an anonymous questionnaire conducted by a South

Korean construction company. According to Saunders et al., (2012), a questionnaire is an

appropriate method to examine the relationship between different variables. Questionnaires are

essential instruments of data collection (Kratina, Zamfirescu, Trepanier, & Marques, 2015) as they

allow the collection of standardized data from a large amount of respondents, which is suitable for

statistical analysis (Denscombe, 2010). Furthermore, questionnaires are regarded as cost effective

and time efficient and they allow the collection of standardized data (Denscombe, 2010). Therefore,

the large amount of standardized data from the form of questionnaire is suitable to achieve the aim

and the objectives of this study. Due to the fact that one of the researchers had previously been

employed at the organization, the data from the questionnaires was provided, allowing authors to

conduct this research. Through the study, the company expects the authors to provide a new

perspective by conducting an in-depth analysis focusing on turnover. This kind of study is highly

appreciated, as it may enable the company to increase their competitiveness. According to Hinkin,

Holtom and Klag (2007), academic research that is conducted in cooperation with organizations that

actively participate with the researchers, will most probably result in meaningful outcomes. This is

based on the expectation that the involvement of the participating organization forms the foundation

of knowledge and trust that will facilitate the research (Baruch & Holtom, 2008). Therefore, it is

expected that the present research can have aforementioned positive effects since it is based on

cooperation with the researched organization which conducted the questionnaire.

28

3.3 Data description

The questionnaire was conducted from January to March in 2012 by the researched

company. Originally the questionnaire was designed and conducted to measure general satisfaction

of employees towards the company. It consisted of 18 categories, such as performance evaluation,

organizational culture and work process. Each category had between 4 to 21 questions assigned to

evaluate the employee satisfaction. In addition, questions were asked regarding overall satisfaction,

employees’ motivation, and turnover intention. Although the data represents the circumstance of the

company from four years ago, it is still considered as meaningful because no significant changes of

vision, mission, core values, policies and HRM practices in the company have taken place.

The questionnaire was posted on the company’s intranet, allowing all 423 employees to

access and answer it. The respondents were allowed to fill out the questionnaire during their

working time in order to increase the response rate. Additionally, all employees were asked via

email to fill out the questionnaire as soon as it was released. Periodically, team leaders and

managers were encouraged to inform their team members to fill out the questionnaire. Anonymity

was guaranteed in order to get honest and insightful feedback that employees might not be

comfortable mentioning otherwise (Wright, 2005). The only personal information collected was job

level (manager or non-manager) and age. The questionnaire did not include gender, as just 10 out of

the 423 employees are female employees. Questions were formulated in Korean which is the

corporate language in the participating organization.

The research population for this study is defined as all employees of the company at the time

the survey was conducted. The research can be referred to as total investigation, since the survey

was accessible to each of the 423 employees. Saunders et al. (2012) contended that it is an

advantage to collect data from the entire population. Among the entire population, 234 employees

(55%) were managers and 189 non-managers (45%). The questionnaire was filled out by 150

employees, which constitutes the response rate of 35.7%. However, as respondents’ personal

information was missing in 14 questionnaires, they were excluded from the research. The final

response rate was therefore adjusted to 32.3% (136 respondents). The distribution of the job level

was as following: 79 managers (58%), 57 non-managers (42%). This corresponds with the

distribution of the population and increases the reliability of the data.

The age of the total sample of respondents ranged from 28 to 53 years, with the mean of

39.96 years (standard deviation 6.28). Out of the total sample 57 respondents (41.91%) are

employed at a non-manager level. Their age ranges from 28 to 52 years, with the mean of 36.23

years (standard deviation 6.61). The other 79 respondents (58.09%) are employed at a manager

29

level. The managers’ age ranges from 33 to 53 years, with the mean of 42.65 years (standard

deviation 4.40). The samples’ job level distribution is in line with the distribution within the entire

organization in which 45% of the employees are employed at the non-manager level and 55% at the

manager level. With an average age of 42.65 years, employees at the manager level are

approximately six year older than employees at the non-manager level. The respondents’ age and

job level is represented in Table 1.

Obs Percent Age

Mean Std. Dev. Min. Max

Total sample 136 100 39.96 6.28 28 53

Non-manager 57 41.91 36.23 6.61 28 52

Manager 79 58.09 42.65 4.40 33 53

Table 1: Age and Job level

To measure the employee perception towards the 16 work-related factors, three questions

were extracted from the original questionnaire for each factor. Answers to the questions were given

on a five point Likert scale: (1) “strongly disagree”, (2) “disagree”, (3) “neither agree nor disagree”,

(4) “agree”, (5) “strongly agree”. The Likert scale, in which the respondent is asked how strongly

he/she agrees or disagrees with a comment or statement, is very common for rating questions

(Saunders et al., 2012). The turnover intention of employees was measured by the question “How

high is your intention to leave the company (in percentage)?”. As mentioned before, the intentions

to leave are related to the actual turnover and are regarded as its strongest predictor. Answers were

given on a five-point scale in percentage: (1) “0%”, (2) “25%”, (3) “50%”, (4) “75%”, (5) “100%”.

3.4 Data analysis methods

The analyses methods employed in this study are those of correlation and multiple

regression. A correlation analysis is suitable because it quantifies the strength of the linear

relationship between two numerical variables (Saunders et al., 2012). Through the analysis, the

relationship between turnover intention and each work-related factor will be examined. The results

of it will allow testing the hypotheses and achieving the first objective of this research. Within this

study, the relationship is defined according to the values of the correlation coefficient by Hair,

Black, Babin, Anderson and Tatham (2006), and ranges between perfect negative to perfect positive

(see Appendix 3). In order to determine the most influencing factors of turnover intention in two

30

different job levels, the study will employ the multiple regression analysis. The employees’

intention to leave the employer is selected the dependent variable and the perception regarding the

work-related factors are the independent variables. As the data was measured in a non-natural

metric (Likert scale), it is unclear whether a one-unit change is "large" or "small" according to the

scale (Menard, 2004). However, using a standardized coefficient instead of an unstandardized

ensures that the amount of change in the independent variable should be adequate to produce

significant change in the dependent variable (Menard, 2004). Furthermore, standardized coefficients

are beneficial when comparing the relative influence of different independent variables (Menard,

2004). Therefore, standardized coefficients are used in order to determine the most influencing

factors of turnover intention. The data from the questionnaires is inserted into Excel and the mean

of the answers for three questions, which are assigned to each independent variable, is calculated.

The value is regarded as the perception of each factor. The data is transferred to STATA in order to

conduct the analyses. In addition, descriptive statistics in the form of mean, standard deviation and

Cronbach’s alpha will be utilized to describe the distribution of the data (Denscombe, 2010).

3.5 Data quality, limitations and ethical considerations

The success of a questionnaire is evaluated in terms of the quality of the collected data, and

depends to a great extent on how well the questionnaire was designed (Gronvius & Lernborg, 2009).

In a well-designed questionnaire the content of the questions is clear. A pilot test was conducted in

the HR department of the company to ensure the validity of the questionnaire (Saunders et al.,

2012). Eight members in the department, who participated in the test, detected ambiguity as well as

minor errors, and thereby the content and clarity of the questions could be improved. Although the

original questionnaire contained more than 200 questions, 136 respondents fully answered all

questions and the overall response rate was relatively high (32.3%). Reasons for this might be that

the company conducted the questionnaire, encouraged their employees to fill it out during their

working time and made it easily accessible (Baruch & Holtom, 2008). The relatively high response

rate and completion of the questionnaire led to high quality data and validity of research. Validity

reflects the accuracy of the data that is the precision of the measurements (Denscombe, 2010). The

questions in the questionnaire are related to the formulated hypothesis. The indicators used to

measure the employees’ perception of each factor have concrete theoretical support and also relate

to the hypothesis. Thus, the purpose of this research is strongly linked to the hypothesis.

Additionally, the high response rate increases the possibility that data is evenly distributed and

reliable, reliability meaning consistency and stability of the results (Denscombe, 2010). A

Cronbach’s alpha of 0.9 and above indicates a high degree of internal consistency (Connelly, 2011).

31

As all 16 factors have a Cronbach’s alpha of 0.9 and above, the samples’ responses are internally

consistent. It is thus to be expected that the data can provide in-depth explanations regarding the

topic of this paper.

The following additional limitations in the research need to be acknowledged. First, this

study is based on a questionnaire that was developed and conducted by the researched organization.

Thus, no influence could be made on the design of the questionnaire. It could actually have been

useful to include additional questions. Second, the data from the questionnaire is self-reported and

therefore subjective. This implies the possibility of common method variance (Chen, Huang &

Hsiao, 2010). Conducting research within a single company as well as following the case study

strategy can influence the potential of generalizing the results (Saunders et al., 2012). As the

researched company represents a typical case, implications for practitioners and researchers can be

derived, even though the case study strategy allows no statistical generalization. Using data

collected within one organization allows for better control and could improve the validity of the

research (Fu, 2009). A large number of respondents from a single organization are likely to fully

represent a specific context (Gold & Arvind Malhotra, 2001). A study based on a small number of

respondents from multiple organizations might have the contrary result. Certain limitations might

also occur when using secondary data. The data variables might not be suitable for the research, the

quality of the data cannot really be controlled and the data may have been collected several years in

the past (Saunders, 2012). The data utilized for this research was originally collected to measure

employees’ general satisfaction within the organization. As the turnover intention was also part of

the research, a large proportion of the original questionnaire proved suitable for this study. Based on

previously mentioned reasons, such as the high response rate and the pilot test that was conducted,

the quality of the data is regarded as sufficient to reach the aim of this study. The fact that the data

was collected in 2012 could be regarded as a limitation; however no major differences should be

expected in a new collection of data. (Reason e.g. the situation of the employees has not changed

since 2012.)

As the results of the questionnaires include sensitive information regarding the researched

company and its employees, it is critical to assure these ethical considerations (Saunders et al.,

2012). The anonymity of respondents was guaranteed when the questionnaire was conducted by the

company. As requested by the firm, the name of the company is not revealed in this paper. In

addition, it is guaranteed that all information provided by the company is used for the purpose of

this study only, the authors being the sole persons dealing with it.

32

4. FINDINGS

In this chapter the findings of this study are presented, by describing the data and conducting

correlation and regression analyses.

4.1 General description

The turnover intention was measured on a scale from 1 to 5 (1=0%, 2=25%, 3=50%, 4=75%,

5=100%). Overall, the distribution of results for the turnover intention of the two job levels show

similar tendencies, especially when comparing the response for the scale of 50%, 75% and 100%.

The 25% scale was selected by the majority of both groups. Remarkably, no respondents chose the

scale 5 which represents a turnover intention of 100%. The biggest difference between the groups

was observed at the 0% scale. The proportion of managerial employees’ responses (24.05%) for this

scale was approximately 5% higher compared to that of non-managerial employees (19.30%).

Notably, the non-managerial level had an approximately 3% higher proportion of responses at the

25% scale of turnover intention. To sum up, 77.94% (N=106) out of the total sample considered the

possibility of turnover, whereas 22.06% respondents (N=30) did not intend to leave the company

Overall, it was observed that the proportion of non-managerial employees who had the intention to

leave the company is 4.75% higher than that of managerial employees. The turnover intention of the

respondents is represented in Table 2.

Turnover Intetion Total sample Non-manager Manager

Freq. Percent Freq. Percent Freq. Percent

0% 30 22.06 11 19.30 19 24.05

25% 69 50.74 30 52.63 39 49.37

50% 21 15.44 9 15.79 12 15.19

75% 16 11.76 7 12.28 9 11.39

100% - - - - - -

Total 136 100 57 100 79 100

Table 2: Turnover Intention

The mean represents the respondents’ perception of the factors. It represents the average

responses of three questions assigned to each factor. The higher the score, the higher the perception.

The results of the total sample indicate that the three factors with the highest rating are

33

organizational commitment (Mean = 3.98, SD = 0.55), organizational pride (Mean = 3.72, SD =

0.73) and job involvement (Mean = 3.71, SD = 0.42). The three factors that the non-managerial

employees rate the highest are organizational commitment (Mean = 3.82, SD = 0.59),

organizational pride (Mean = 3.58, SD = 0.72) and goals and direction (Mean = 3.50, SD = 0.51).

Managerial employees rate organizational commitment (Mean = 4.10, SD = 0.50), organizational

pride (Mean = 3.82, SD = 0.73) and goals and direction (Mean = 3.78, SD = 0.49) the highest. Both

job levels highly rate the same three factors, however when observing the results of the total sample,

it is noticed that job involvement is rated higher than goals and direction. However, the mean of

goals and direction (Mean = 3.66, SD = 0.51) was the fourth highest of the total sample. Thus, the

perception of both job levels and of the total sample all show the same tendencies. On the other

hand, in all groups, three HRM practices, namely performance appraisal, compensation and

promotion were perceived to be considerably low, as was communication. In other words,

employees of the company are not satisfied with some HRM practices such as performance

appraisal, compensation and promotion, as well as communication. These results are represented in

Table 3.

Table 3: Cronbach’s alpha, mean and SD for total, non-managerial and managerial employees

Work-related factors Alpha Total sample Non-manager Manager

Mean SD Mean SD Mean SD

Org.

factors

Goals and direction 0.90 3.66 0.51 3.50 0.51 3.78 0.49

Immediate leader 0.91 3.29 0.83 3.39 0.76 3.22 0.87

Communication 0.90 2.79 0.68 2.76 0.63 2.81 0.73

Company's reputation 0.90 3.26 0.69 3.09 0.74 3.38 0.66

Culture towards risk taking 0.90 3.21 0.49 3.15 0.53 3.25 0.44

Collaboration 0.90 3.44 0.53 3.30 0.51 3.54 0.52

HRM

practices

Performance appraisal 0.91 2.88 0.63 2.84 0.67 2.90 0.60

Compensation 0.91 2.80 0.67 2.68 0.65 2.89 0.68

Promotion 0.90 2.75 0.62 2.68 0.68 2.80 0.57

Hiring 0.91 3.32 0.08 3.30 0.08 3.22 0.07

Training and career development 0.91 3.57 0.64 3.46 0.66 3.64 0.62

Job design 0.90 3.33 0.57 3.21 0.50 3.41 0.60

Job

attitude

Organizational pride 0.90 3.72 0.73 3.58 0.72 3.82 0.73

Organizational commitment 0.90 3.98 0.55 3.82 0.58 4.10 0.50

Trust 0.90 3.34 0.61 3.29 0.58 3.39 0.56

Job involvement 0.91 3.71 0.42 3.29 0.67 3.74 0.43

34

4.2 Correlation analysis

Inter-correlations between the variables are presented in Appendix 5 (total sample),

Appendix 6 (non-manager) and Appendix 7 (manager). Negative correlations indicate that

employees with a higher perception of the factors tend to show less intention to leave the

organization than those with lower perceptions. Within the total sample, all factors are negatively

correlated to turnover intention with statistical significance (p ≤ 0.05), with the exception of hiring.

Even though hiring shows a negative coefficient, it is not statistically significant. Thus, 15 out of 16

work-related factors, among the total sample, were proved to have a negative correlation to turnover

intention. These results therefore provide support for hypothesis 1a, 2a, 3a, 4a, 5a, 6a, 7a, 8a, 9a,

11a, 12a, 13a, 14a, 15a and 16a. Differences were observed within the non-manager analysis. Here,

hiring, as well as training and career development have no statistically relevant correlation to

turnover intention. Thus, 14 out of 16 work-related factors among the non-manager sample proved

to have a negative correlation to turnover intention. Therefore, hypothesis 1b, 2b, 3b, 4b, 5b, 6b, 7b,

8b, 9b, 12b, 13b, 14b, 15b and 16b can be supported. Within the managerial employees all factors

are negatively correlated to turnover intention. However, the factors goals and direction,

performance appraisal, compensation, hiring, training and career development have no significant

correlation. Thus, 11 out of 16 work-related factors have a negative correlation to turnover intention

and the hypothesis 2c, 3c, 4c, 5c, 6c, 9c, 12c, 13c, 14c, 15c and 16c can be supported. As illustrated

in table 4, among the manager group the fewest factors proved to be negatively correlated to

turnover intention.

Within the total sample the largest correlations with turnover intention emerged for

communication (-0.55), company’s reputation (-0.53) and organizational pride (-0.50). The largest

correlations with turnover within the analysis of non-managerial employees were company’s

reputation (-0.75), organizational pride (-0.72) and goals and direction (-0.58). Lastly, the analysis

of the managerial employees’ results indicate that the largest correlations with turnover intention

were communication (-0.54), immediate leader (-0.50) and job design (-0.48). Thus, differences

among the results can be observed. Apart from the two results of the non-managerial employees

concerning company’s reputation (-0.75) and organizational pride (-0.72), which are strongly

negatively correlated to turnover intention, the other mentioned factors have a moderate negative

correlation (see Appendix 3).

35

Work-related factors Total sample

(a) Non-manager

(b) Manager

(c)

Organizational

factors

H1 Goals and direction X

H2 Immediate leader

H3 Communication

H4 Company's reputation

H5 Culture towards risk taking

H6 Collaboration

HRM

practices

H7 Performance appraisal X

H8 Compensation X

H9 Promotion

H10 Hiring X X X

H11 Training and career development X X

H12 Job design

Job attitudes

H13 Organizational pride

H14 Organizational commitment

H15 Trust

H16 Job involvement

Table 4: Negative relationships of work-related factors ( = supported; X = not supported)

4.3 Multiple regression analysis

The inter-correlations between the independent variables ranged from +0.03 to +0.72 (total

sample), -0.06 to +0.78 (non-managerial level) and -0.03 to +0.67 (managerial level). Strong inter-

correlations indicate multicollinearity among the independent variables (Asher, 1983). The results

of multicollinearity can be that the coefficient estimates are less reliable and more difficult to

interpret (Alin, 2010). Further, the statistical power of the analysis can be reduced and the

coefficients can switch signs, making it more difficult to specify the correct model (Basics of best

subsets regression, 2016). Multicollinearity can be detected if the Pearson correlation coefficient

exceeds 0.7 (Collis & Hussey, 2009). If the absolute value of Pearson correlation is 0.7±0.1,

multicollinearity is likely to exist (Lin, 2007). As shown in the correlation analysis tables

(Appendix 5, 6, 7), various independent variables are strongly correlated with the Pearson

correlation coefficient exceeding 0.6 or 0.7. Thus, the existence of multicollinearity is assumed.

Another, approach to measure multicollinearity, is to analyze the variance inflation factor (VIF) of

the independent factors (Cranley & Surles, 2002). The results of this analysis are provided in Table

5. The VIF varies from 1.09 to 3.34 (total sample), 1.66 to 5.46 (non-manager) and 1.11 to 3.38

36

(manager). According to the literature, there is no agreement on a formal criterion for VIF cutoff

values. Suggestions in literature are 3.33 (Diamantopoulos & Siguaw, 2006) and 5 or 10 (Craney &

Surles, 2002). This research employed the lowest criteria among them, namely 3.33, since

significant correlations among independent variables were observed by the conduction the

correlation analyses above. Accordingly, as all three analyzed groups show at least one VIF value

exceeding 3.33, multicollinearity problems need to be solved in order to reduce its negative effects.

VIF

Variable Total sample Non-manager Manager

Goals and direction 2.63 3.40 2.27

Immediate leader 1.71 1.66 2.13

Communication 2.42 2.89 2.61

Company's reputation 2.82 4.63 2.64

Culture towards risk taking 2.61 3.86 2.35

Collaboration 1.83 2.22 2.06

Performance appraisal 1.75 2.65 1.72

Compensation 1.59 1.70 1.86

Promotion 2.32 2.91 2.50

Hiring 1.09 1.29 1.11

Training and career development 1.55 2.01 1.91

Job design 2.49 2.13 3.25

Organizational pride 3.34 5.46 3.38

Organizational commitment 2.63 3.88 2.28

Trust 2.73 4.52 2.59

Job involvement 2.18 2.22 2.88

Table 5: VIF (variance inflation factor)

In order to reduce these negative effects, best subsets regression is conducted. This is an

analysis that identifies the best suited regression models by selecting the smallest subsets that fulfill

certain statistical criteria (King, 2003). The benefit of using a subset of variables instead of a

complete set is that the subset model could actually estimate the regression coefficients with smaller

variance than the full model using all predictors (Basics of best subsets regression, 2016). The

results of the best subset regression are provided in Table 6. The adjusted R-squared shows a range

from 0.30 to 0.44 and the Bayesian information criterion (BIC) from 302.99 to 350.75. The BIC is a

criterion for model selection among a finite set of models (Niezrecki, 2015). The BIC can be useful

37

to assess model selection uncertainty and to evaluate parameter importance (Anderson & Burnham,

2002). When choosing from several models, the one with the lowest BIC is preferred (Niezrecki,

2015).

Numbers of

factors

Total sample Non manager Manager

Adj R2

BIC Adj R2 BIC Adj R

2 BIC

1 0.30 319.01 0.55 110.17 0.29 190.26

2 0.38 306.87 0.59 108.05 0.33 188.21

3 0.41 302.99 0.63 105.27 0.35 190.25

4 0.43 303.61 0.64 105.97 0.37 191.10

5 0.43 306.32 0.65 107.26 0.38 193.10

6 0.43 309.44 0.66 109.04 0.39 194.65

7 0.44 312.32 0.67 111.04 0.40 196.86

8 0.44 315.47 0.67 113.64 0.40 200.07

9 0.44 319.01 0.67 116.47 0.39 204.21

10 0.44 323.10 0.67 119.17 0.38 208.45

11 0.44 327.56 0.66 122.72 0.37 212.71

12 0.44 331.86 0.66 126.10 0.37 216.95

13 0.43 336.32 0.65 130.09 0.36 221.26

14 0.43 340.94 0.64 134.12 0.35 225.56

15 0.42 345.84 0.64 138.14 0.34 229.88

16 0.42 350.75 0.63 142.18 0.33 234.21

Table 6: Best subset regression

Accordingly, for the total sample the third model, that contained the three factors immediate

leader, organizational pride and communication was chosen for the most suitable regression model

for our analysis. The results of this analysis are provided in Table 7. The variance explained by the

regression model was 41% (Adj R-squared). This result shows no significant differences compared

to the Adj R-squared (42%) of the regression model including all 16 factors (see Table 6). Even

though the factors included into the regression were reduced from 16 to 3, this model has almost the

same explanatory power and reduced multicollinearity. The three variables significantly predicted

turnover intention of employees (p-value ≤ 0.05). Based on the beta score of the model,

organizational pride (-0.339) is the most influencing factor of turnover intention. The second one is

immediate leader (-0.265), followed by communication (-0.258). In order to confirm reduced

multicollinearity of this regression, VIF values are recomputed and provided in the Table. The

38

highest detected value VIF is 1.73 which is lower than the adopted VIF cutoff value. Notably,

higher turnover intentions were predicted with negative perceptions of immediate leader,

organizational pride and communication, and vice versa.

Table 7: Multiple regression of total sample

For the non-manager sample, according to Table 6, the third model which contained the

three factors immediate leader, organizational pride and company’s reputation was chosen for our

analysis. The results of this analysis are provided in Table 8. The variance explained by the

regression model was 63% (Adj R-squared). This result shows no differences compared to the Adj

R-squared (63%) of the regression model including all 16 factors (see Table 6). The three variables

significantly predicted turnover intention of non-managerial employees (p-value ≤ 0.05). With a

beta score of -0.431, company's reputation was the most influencing factor of turnover intention,

followed by organizational pride (beta score = -0.357) and immediate leader (beta score = -0.215).

The highest detected VIF value is 1.76 which is lower than the adopted VIF cutoff value. Hence,

low perceptions of company’s reputation, organizational pride and immediate leaders are strongly

associated with higher turnover intention of the employees.

Number of obs = 136

R-squared = 0.42

Adj R-squared = 0.41

Turnover Intention Coef. Std. Err. T P> |t| Beta VIF

Immediate leader -0.290 0.084 -3.46 0.001 -0.265 1.34

Organizational pride -0.423 0.095 -4.45 0.000 -0.339 1.34

Communication -0.342 0.115 -2.97 0.004 -0.258 1.73

_cons 5.651 0.372 15.18 0.000

39

Table 8: Multiple regression of non-managerial employees

For the manager sample, according to Table 6, the most suitable regression model for our

analysis contained the two factors communication and immediate leader. The results of this analysis

are presented in Table 9. The variance explained by the regression model was 33% (Adj R-squared),

which is similar to the Adj R-squared (33%) of the regression model including all 16 factors (see

Table 6). The two variables significantly predicted turnover intention of managerial employees (p-

value ≤ 0.05). With a beta score of -0.381, communication is the most influencing factor of

turnover intention, followed by immediate leader (beta score = -0.286). Both VIF values are 1.49

which is lower than the adopted VIF cutoff value. Thus, low perceptions of communication and

immediate leader are strongly associated with higher turnover intention of the employees.

Table 9: Multiple regression of managerial employees

Number of obs = 79

R-squared = 0.35


Turnover Intention Coef. Std. Err. t P> |t| Beta VIF


Organizational pride -0.449 0.164 -2.74 0.008 -0.357 1.58

Company's reputation -0.522 0.159 -3.27 0.002 -0.431 1.76

_cons 6.293 0.472 13.34 0.000

Number of obs = 57

R-squared = 0.65


Turnover Intention Coef. Std. Err. T P> |t| Beta VIF

Communication -0.481 0.142 -3.38 0.001 -0.381 1.49


_cons 4.459 0.371 12.02 0.000

40

The comparison of the results (Table 10) shows that immediate leaders are included in all

three analyses. Organizational pride is the most influencing factor in the total sample. However, it

is ranked second in the non-manager sample. It is not included in the model for the manager sample.

Company's reputation is only included in the non-managerial employees’ model. Communication

can be found in the results of the managerial employees and in those of the total sample. Therefore,

the result provides evidence to support previous study’s findings mentioned in the literature review

chapter, namely that there are differences in the most influencing factors of turnover intention

among job levels. Furthermore, in relation to the beta value, the factor which has the higher

absolute value has stronger influence. For instance, among the managerial employees in the

company, communication is 1.33 times (0.381/ 0.286) strongly influence to turnover intention.

Total sample Non-manager Manager

Factors Beta Factors Beta Factors Beta

Organizational pride -0.339 Company’s reputation -0.431 Communication -0.381

Immediate leader -0.265 Organizational pride -0.357 Immediate leader -0.286

Communication -0.258 Immediate leader -0.215

Table 10: Standardized coefficients (beta scores) of the most influencing factors

41

5. DISCUSSION & PRACTICAL IMPLICATIONS

This study contributes to the expanding literature on employee turnover intention by

developing and testing an extensive framework among a sample of 136 employees in the South

Korean construction industry. The above mentioned findings make it necessary to reflect upon the

following five aspects. To start off with, most of the work-related factors (total sample = 15, non-

manager = 14, manager = 11) are negatively related to turnover intention, with statistical

significance (p ≤ 0.05). As all statistically relevant factors have a negative correlation to turnover

intention, these findings are in line with the literature and the expectations that a low perception of

these factors increases employee turnover intention. However, as some factors showed no statistical

significance, this study cannot verify the relationship between these factors and turnover intention.

Overall, these results meet the expectations and verify most of the hypotheses which were based on

the social exchange theory. The positive perception of the work-related factors, in other words, the

positive perception of a social exchange relationship between employees and their employers leads

to a lower turnover intention.

Secondly, according to the correlation analysis, the factors that show no statistical

significant correlation to turnover intention belong to HRM practices, except for goals and

directions. As indicated by overall low correlations, the company’s HRM policies and practices did

not substantially influence turnover intention. In addition, no HRM practice was determined as the

most influencing factor of turnover intention. Employees might consider HRM practices as

subordinate components of the company. Although they had a relatively low perception of HRM

practices, especially performance appraisal, compensation and promotion, it did not seem to

increase their turnover intention. As indicated in the literature (Benson & Rowley, 2003; Kim et al.,

2013), unique cultural characteristics of South Korea may restrain the convergence of HRM

practices and result in the incomplete integration of HRM practices in the company. This can be one

of the reasons which caused the result. While the employees have a relatively low perception of

HRM practices, they have a comparably high perception of organizational pride and organizational

commitment. As shown in Table 3, organizational pride and organizational commitment, which are

both related to loyalty, had the highest means among all three sample groups. For example,

employees showed a high perception for the statements: “I am proud of my company’s name.”

(Organizational pride), “I feel a sense of responsibility for the company's future.” (Organizational

commitment). Organizational pride in particular was one the most influencing factors of turnover

intention among the total and non-managerial employees. The employees tend to identify

themselves strongly with the company and feel proud to work for it. A strong loyalty among South

42

Korean employees, compared to western employees, is widely acknowledged in literature, and can

influence the results (Kirk, 1994; Ungson, Steers & Park, 1997; Franke, 2000). In addition, people

in a collectivist culture which encourages strong bonds among social members (Hui & Triandis,

1986), tend to highly consider each other’s opinions and views (Park & Jun, 2002). Since South

Korea is regarded as one of the countries which have collectivist culture (Park & Jun, 2002), this

can be the reason why company’s reputation belongs to the most influencing factors of turnover

intention in the company. These results might be related to the fact that the researched company is

part of a well-known business conglomerate in South Korea. As stated earlier, business

conglomerates in South Korea have long influenced the society. The strong influence and awareness

of the company brand might make the employees sense loyalty and identify themselves with the

company even though they are not satisfied with other factors (e.g. HR practices) to an extent.

Thirdly, this research revealed that the work-related factors which influence turnover

intention the most differ among job levels. This is in line with the findings of the previous study by

Hauknecht et al. (2009), namely that there are differences in the most influencing factors of

turnover intention among job levels. However, in a certain aspect, the results were not in line with

this study. Hauknecht et al. (2009) explained the differences among job levels based on a

psychological contract. Employees in lower positions tended to stay because of transactional

reasons, such as compensation and flexible working hours. Those in higher positions tended to be

more concerned about the relational reasons, such as organizational commitment and pride. In the

present study, it was observed that the most influencing factors of both levels (non-manager and

manager) are organizational pride, immediate leader, communication and company’s reputation. All

of these are closely associated with relational reasons, not transactional reasons. It can be assumed

that the Asian cultural context affected these results. As mentioned earlier in this paper, the

employment in South Korea used to be based on close and trustful relationships between the

employees and the employer, as well as long-lasting employment. Even though companies have

adopted western HRM practices and experienced significant changes in its labor market since 1997,

it can be pointed out that relationship between employees and employers remains a crucial factor.

Thus, it can be assumed that this contextual background led to the findings that there are no

differences regarding psychological contracts among the two different job levels.

Fourth, immediate leader was one of the most influencing factors in all three sample groups.

The importance of immediate leaders has been indicated in a number of previous studies (Liden,

Bauer & Erdogan, 2004; Truss, 2001). They are generally associated with the role of an interpreter

of policies and representative of an organization (Boxall & Purcell, 2011). Furthermore, employees’

perceptions of the company’s culture and its practices can be significantly influenced by their

43

immediate leaders (Boxall & Purcell, 2011). It can thus be assumed that these important roles of

immediate leaders influence the result, namely that the employees of both job levels indicated that

their leaders are one of the most influencing factors of turnover intention. Furthermore, in the South

Korean context, the relationship with immediate leaders has more meaning than in the Western

context. For South Korean employees, good relationships with their immediate leaders are a critical

criterion of career success (Yoon & Lim, 1999). It can be the reason that immediate leaders were

determined as the most influencing factors in all three samples in the company.

Lastly, the results of the total and of the managers’ sample indicate the importance of

communication in terms of turnover behavior. As shown in Table 3, communication is the second

lowest factor in all three sample groups. It indicated the employees are poorly satisfied with

organizational communication in the company. This finding is in line with a recent report by the

Korea Chamber of Commerce and Industry (KCCI) and McKinsey (2016). It was revealed that

South Korean companies, compared to other global companies, have an underdeveloped

organizational communication. The report indicated that problems such as inefficient meetings, too

frequent reporting and one-way work order from top to bottom resulted in chronic overtime work. It

can thus be implied that inefficient and ineffective communication can be a major obstacle in

retaining employees, not only in this particular company, but in any other in South Korea.

The following practical implications can be drawn from the results. Firstly, managers need

to tailor possible retention strategies to each group of employees. This is based on the fact that the

factors affecting turnover intention can differ among job levels. By listening to and understanding

the voices of employees from different job levels, managers are able to design adjusted retention

strategies for each groups. Not only does this help increasing employees’ overall satisfaction, but

also retaining employees. Secondly, organizations can allocate resources effectively by considering

the beta values of the influencing factors of turnover intention. For example, the company can

manage the turnover intention of managerial employees 1.33 times more effectively by controlling

communication (0.381) than by controlling immediate leaders (0.286) as long as the costs of

allocated resources are same. Thirdly, international companies that operate their business in foreign

culture contexts should be aware of cultural differences since they can influence turnover intention.

The most influencing factors are expected to differ according to the cultural context a company

operates in. Especially, international companies operating in South Korea should consider the

importance of relational factors, instead of relying solely on HRM practices to reduce turnover.

Next, organizations need to support the immediate leaders in accomplishing their crucial roles

successfully. This is especially important, because the leaders can influence the perception of

employees directly, while delivering companies’ strategies and policies (Boxall & Purcell, 2011;

44

Liden et al., 2004). Relationships with their immediate leaders can be a major criterion for career

success in South Korea (Yoon & Lim, 1999). Lastly, companies could analyze their communication

procedures and policies in order to restructure them to allow efficient work. Thus, by supporting

immediate leaders and by enhancing effective communication, employee turnover might be reduced,

and competitive advantages maintained.

45

6. CONCLUSION

Although turnover studies have been conducted for several decades, the fact that the loss of

employees causes relevant costs and can lead to the loss of competitive advantages stresses the

importance of studying the subject. Based on the problem that turnover studies have not been

conducted in the South Korean construction sector, this study intends to shed light on this field. In

order to do this, a framework was created that allowed the analysis of the perception of employees

towards work-related factors. Through conducting this analysis, the relationship between these

factors and turnover intention was evaluated. Most of the work-related factors are negatively related

to turnover intention with statistical significance. Thus, most of the Hypotheses were accepted.

Additionally, the first objective, namely to examine the relationship between work-related factors

and turnover intention among job levels has been fulfilled. However, as the factors are highly

correlated to each other, suitable models that explain the case appropriately with reduced

multicollinearity had to be created. The findings of the analysis indicate that the most influencing

factors of turnover intention differ between the job levels. The non-managers’ turnover intention is

significantly influenced by the factors company’s reputation, organizational pride and immediate

leader. On the other hand, the most influencing factors for the managers are communication and

immediate leader. The reason that immediate leader was included in both job levels could be related

to the important roles of the leaders in the organization. As the most influencing work-related

factors among job levels have been determined, the second objective was achieved. By fulfilling the

objectives, the aim of this research ‘how perceived work-related factors affect turnover intention in

South Korean construction companies’ is accomplished. Although different factors were determined

between the job levels, all the determined factors can be associated with relationship rather than

transactional issues. Overall, HRM practices were not among the most influencing factors against

the expectations based on previous western turnover studies. Surprisingly, a large amount of

turnover studies solely include HRM practices as influencing factors of turnover intention. This

might be appropriate in the western context, where HRM practices such as compensation and

promotion are regarded as more crucial.

This study can contribute the following theoretical implications. To begin with, when

conducting similar research, it is recommended to include a wide range of factors. This allows the

narrowing down of factors during the analyzing process and thus increases the probability of

determining all relevant factors. The results of this study support the use of an extensive framework,

as the most influencing factors can be assigned to the categories organizational factors and job

attitudes rather than in HRM practices. If this research had only included HRM practices, the

present findings could not have been revealed. This shows the importance of including factors from

46

a range of categories. Secondly, in order to examine whether perceived work-related factors affect

employee turnover intention, the research design of this study can be replicated.

By using the framework, future researchers can reveal the relationships between work-

related factors and turnover intention, and also identify the most influencing factors. Furthermore, a

suitable regression model can be found to explain the turnover intention of employees. Lastly, this

study shed light on the turnover subject in the South Korean context. It revealed that relational

factors play a crucial role in reducing turnover intention even though western HRM practices have

been adopted by various South Korean companies. In addition, as only few studies in construction

industry on turnover intention exist, this study enriches the literature by providing empirical and

meaningful outcomes.

Based on the limitations of this study, the following recommendations for future research

are presented. First, this study focuses on differences among the job levels; manager and non-

manager. Future studies should include a higher variety of job levels or groups of employees to

identify further differences regarding turnover intention. Second, a limitation was the fact that the

present study was conducted in only one construction organization located in South Korea. To

validate the findings of this study and increase the credibility of any conclusions drawn from it,

research in different countries, industries, and a number of organizations is required. Third, this

study is based on secondary data in the form of questionnaires that were developed and conducted

by the researched organization. The limitation of not being able to actively participate in the design

of the questionnaires should be avoided when conducting future research. This will allow the

inclusion of an increased number of turnover influencers and questions measuring the perception of

employees towards them. Upcoming studies could, for example, include turnover influencers

beyond work-related factors. Lastly, as the questionnaire was conducted in the year 2012, future

researchers are recommended to conduct further studies of turnover intention in South Korea, to

validate the results of this study and reflect upon the present situation.

Human resources are the core of each company. Reducing turnover is an obvious aim and is

necessary to remain competitive. In each company, it is crucial to achieve the highest possible level

of job satisfaction among the employees. Through the results of this research, one important step

towards these goals has been taken.

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62

Appendix

Appendix 1: Voluntary turnover rates in Korean Industries

Industry 2011 2012 2013 2014 2015 Average

(‘11-’15)

Total 2,2 2,1 2,1 2,3 2,1 2,1

Mining and quarrying 2,1 1,4 1,5 1,7 1,8 1,7

Manufacturing 2,2 1,9 1,9 2,1 2,0 2,0

Electricity gas steam and water supply 0,3 0,2 0,3 0,2 0,1 0,2

Sewerage waste management materials recovery

and remediation activities 1,6 1,4 1,6 1,5 1,4 1,5

Construction 3,5 4,2 3,8 3,8 2,6 3,6

Wholesale and retail trade 2,4 2,0 2,2 2,4 2,2 2,2

Transportation 1,7 1,6 1,5 1,6 1,6 1,6

Accommodation and food service activities 5,2 5,2 4,6 5,5 5,4 5,2

Information and communications 1,6 1,6 1,5 1,7 1,7 1,6

Financial and insurance activities 0,5 0,5 0,5 0,5 0,4 0,5

Real estate activities and renting and leasing 2,0 1,3 1,3 1,5 1,6 1,5

Professional scientific and technical activities 1,7 1,5 1,6 1,5 1,5 1,5

Business facilities management and business

support services 3,5 3,5 3,8 4,1 3,9 3,8

Public administration and defense; compulsory

social security 0,5 0,4 0,4 0,4 0,3 0,4

Education 1,0 0,8 0,9 0,9 0,8 0,9

Human health and social work activities 2,2 1,9 1,9 2,0 2,1 2,0

Arts sports and recreation related services 2,6 2,8 2,7 2,8 2,5 2,7

Membership organizations repair and other

personal services 1,9 1,9 2,1 3,0 2,4 2,3

Appendix 1: Voluntary turnover-rates of Korean industries (Monthly Labor Statistics Survey 2016)

63

Appendix 2: Overview of work-related factors included in previous studies

Categories Article

● Organizational factors ● Galit (2013)

● Griffin, Hogan & Lambert (2013)

● Korsakienė et al. (2014)

● HRM practices

● Abubakar et al. (2014)

● Chan and Kuok (2011)

● Cheng & Waldenberger (2013)

● Haider et al. (2015)

● Judhi et al. (2013)

● Long et al. (2012)

● Nawaz & Pangil (2016)

● Watty-Benjamin & Udechukwu (2014)

● Job attitudes ● Javed et al. (2014)

● A'yuninnisa & Saptoto (2015)

● Lambert, Griffin, Hogan & Kelley (2014)

Appendix 2: Categories included to turnover-studies

Appendix 3: The values of the correlation coefficient

Appendix 3: The values of the correlation coefficient (Hair et al. 2006)

64

Appendix 4: Questions for measuring the employee perception of work-related factors

1. Organizational factors

Factors Question

Goals & direction

Q1: I fully understand the company's vision and business goals.

Q2: The missions and goals of our department are clearly established.

Q3: My goals are closely linked to the goals of the team and the company.

Immediate leader

Q4: My immediate leader is evaluating performance fair and rationally.

Q5: My immediate leader is listening to team members’ voice and reflects opinions into

decision making.

Q6: My immediate leader is acting and behaving consistently and not biased.

Communication

Q7: Top to bottom communication is efficient.

Q8: Bottom to top communication is efficient.

Q9: Communication between teams and departments is efficient.

Company’s reputation

Q10: Our company has competitive advantages compared to its competitors.

Q11: Our company proactively responds to changing conditions in the business

environment.

Q12: Our company is known as a good work place.

Culture towards

change & risk taking

Q13: I recognize myself as an initiator of change.

Q14: Decentralized decision making is implemented through empowerment.

Q15: Our company appropriately rewards me when risk are taking during work and the

job is completed successfully.

Collaboration

Q16: Collaboration between team members is efficiently implemented.

Q17: Efficient collaboration with other departments and divisions is in place.

Q18: Information & ideas are easy to share within the organization.

65

2. HRM practices

Practices Question

Performance appraisal

Q19: The performance appraisal in this company is easy to understand.

Q20: The performance appraisal is well designed to reflect individual’s performance.

Q21: The outcome of the performance appraisals is clearly linked to compensation.

Compensation

Q22: My current compensation in relation to my work performance is satisfying.

Q23: My current compensation is appropriate compared with the labor market and the

living costs.

Q24: My compensation rate is adjusted corresponding based on changes in the labor

market and living costs.

Promotion

Q25: Promotion is implemented based on high competencies and performance.

Q26: The criteria for promotion are transparent.

Q27: Appropriate feedback is provided to the employees who were not promoted.

Hiring

Q28: Suitable skilled employees are hired for the right positions.

Q29: Our company has appropriate standards and procedures in order to hire qualified

employees.

Q30: The hiring interviews are appropriate to screen for qualified employees.

Training & Career

development

Q31: Our company provides sufficient opportunities for job related education.

Q32: Our company supports obtaining professional certificates.

Q33: My career develops naturally by doing my job.

Job design

Q34: A considerable degree of independence and discretion is guaranteed during my

work.

Q35: The work of our team is properly distributed to individuals.

Q36: I find my job interesting and meaningful.

66

3. Job attitudes

Factors Question

Organizational pride

Q37: I am proud of my company’s name.

Q38: I'm proud to work in my company.

Q39: I speak highly about the company to friends and family

Organizational

commitment

Q40: I feel a sense of responsibility for the company's future.

Q41: The company's success makes me happy. Bad news let me feel sorry.

Q42: Provided the conditions are the same, I would stay in this company even though I

could move to another employer.

Trust

Q43: I highly trust in decision making and improvement efforts of the management.

Q44: A highly level of trust exists between managerial and non-managerial employees.

Q45: A highly level of trust exists between colleagues.

Job involvement

Q46: I am always giving my best for my work.

Q47: I voluntary and ambiguously fulfill all tasks.

Q48: I have a high willingness of taking additional work for the company’s

development.

67

Appendix 5: Correlation (total sample)

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10

)(1

1)

(12

)(1

3)

(14

)(1

5)

(16

)(1

7)

(1)

Tur

nove

r In

tent

ion

1.0

0

(2)

Go

als

and

direc

tion

-0.3

6*

1.0

0

(3)

Imm

edia

te le

ader

-0.4

3*

0.2

5*

1.0

0

(4)

Co

mm

unic

atio

n-0

.55*

0.5

2*

0.4

9*

1.0

0

(5)

Co

mp

any'

s re

put

atio

n-0

.53*

0.5

7*

0.2

5*

0.5

3*

1.0

0

(6)

Cul

ture

to

war

ds

risk

tak

ing

-0.4

6*

0.5

3*

0.3

3*

0.6

3*

0.5

4*

1.0

0

(7)

Co

llab

ora

tion

-0.3

7*

0.5

6*

0.2

6*

0.4

2*

0.4

1*

0.4

9*

1.0

0

(8)

Per

form

ance

ap

pra

isal

-0.2

3*

0.3

7*

0.1

9*

0.3

6*

0.3

2*

0.5

0*

0.3

3*

1.0

0

(9)

Co

mp

ensa

tion

-0.2

3*

0.3

3*

0.1

30.3

0*

0.3

5*

0.3

7*

0.3

1*

0.4

3*

1.0

0

(10

) P

rom

otio

n-0

.31*

0.5

0*

0.2

0*

0.4

9*

0.5

3*

0.5

8*

0.3

1*

0.5

0*

0.5

3*

1.0

0

(11

) H

irin

g-0

.04

0.1

8*

0.1

00.1

10.1

40.1

60.0

90.0

70.0

30.0

61.0

0

(12

) T

rain

ing

and

car

eer

dev

elo

pm

ent

-0.1

8*

0.4

4*

0.1

60.3

4*

0.3

6*

0.3

5*

0.4

4*

0.4

3*

0.3

2*

0.2

9*

0.0

81.0

0

(13

) Jo

b d

esig

n-0

.46*

0.5

5*

0.4

9*

0.5

5*

0.5

4*

0.4

5*

0.5

2*

0.3

8*

0.3

1*

0.3

9*

0.1

8*

0.4

5*

1.0

0

(14

) O

rgan

izat

iona

l prid

e-0

.50*

0.5

9*

0.1

20.4

8*

0.6

9*

0.4

6*

0.4

3*

0.2

8*

0.3

2*

0.5

3*

0.1

00.3

7*

0.4

9*

1.0

0

(15

) O

rgan

izat

iona

l co

mm

itmen

t-0

.42*

0.6

0*

0.1

10.3

9*

0.6

1*

0.4

3*

0.4

1*

0.2

9*

0.2

0*

0.3

7*

0.1

8*

0.3

7*

0.4

9*

0.7

2*

1.0

0

(16

) T

rust

-0.4

7*

0.5

9*

0.3

8*

0.6

2*

0.6

7*

0.6

2*

0.4

6*

0.3

9*

0.3

8*

0.5

2*

0.1

9*

0.3

6*

0.4

5*

0.5

5*

0.5

2*

1.0

0

(17

) Jo

b in

volv

emen

t-0

.36*

0.5

9*

0.4

0*

0.5

3*

0.4

2*

0.5

2*

0.4

0*

0.2

1*

0.1

60.3

7*

0.0

80.3

5*

0.5

2*

0.5

2*

0.4

1*

0.5

0*

1.0

0

68

Appendix 6: Correlation (non-manager)

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

(11)

(12)

(13)

(14)

(15)

(16)

(17)

(1)

Tur

nove

r In

tent

ion

1.0

0

(2)

Goal

s an

d d

irec

tion

-0.5

8*

1.0

0

(3)

Imm

edia

te le

ader

-0.3

3*

0.2

11.0

0

(4)

Com

mun

icat

ion

-0.5

6*

0.6

0*

0.3

5*

1.0

0

(5)

Com

pan

y's

reput

atio

n-0

.75*

0.6

6*

0.1

80.6

7*

1.0

0

(6)

Cul

ture

tow

ards

risk

tak

ing

-0.4

6*

0.5

4*

0.2

10.6

9*

0.6

3*

1.0

0

(7)

Colla

bora

tion

-0.4

6*

0.5

0*

0.1

30.3

7*

0.4

5*

0.5

2*

1.0

0

(8)

Per

form

ance

appra

isal

-0.3

1*

0.4

1*

0.1

70.5

1*

0.4

6*

0.6

2*

0.4

0*

1.0

0

(9)

Com

pen

satio

n-0

.27*

0.2

40.0

90.2

10.2

40.2

9*

0.2

7*

0.4

8*

1.0

0

(10)

Pro

motio

n-0

.39*

0.5

2*

0.1

70.5

7*

0.5

8*

0.6

1*

0.1

90.4

8*

0.4

4*

1.0

0

(11)

Hirin

g0.0

20.2

10.1

50.1

00.1

10.1

80.1

20.1

7-0

.00

0.0

51.0

0

(12)

Tra

inin

g an

d c

aree

r dev

elopm

ent

-0.2

10.4

0*

0.1

00.2

00.2

8*

0.1

80.4

0*

0.5

2*

0.4

0*

0.2

10.0

11.0

0

(13)

Job d

esig

n-0

.45*

0.5

5*

0.4

3*

0.4

0*

0.5

2*

0.4

1*

0.3

2*

0.3

8*

0.1

60.3

5*

0.3

1*

0.3

6*

1.0

0

(14)

Org

aniz

atio

nal p

ride

-0.7

2*

0.6

0*

0.1

10.5

1*

0.7

8*

0.4

1*

0.3

2*

0.2

10.0

90.4

9*

0.0

50.1

70.4

1*

1.0

0

(15)

Org

aniz

atio

nal c

om

mitm

ent

-0.5

7*

0.6

5*

0.0

40.4

7*

0.6

6*

0.4

5*

0.4

1*

0.3

5*

0.1

80.4

2*

0.2

40.3

0*

0.4

5*

0.7

8*

1.0

0

(16)

Tru

st-0

.56*

0.7

4*

0.2

9*

0.6

9*

0.7

1*

0.6

9*

0.5

5*

0.5

5*

0.3

2*

0.6

5*

0.2

10.3

8*

0.4

7*

0.5

8*

0.6

5*

1.0

0

(17)

Job in

volv

emen

t-0

.36*

0.5

4*

0.3

7*

0.4

8*

0.4

3*

0.4

4*

0.1

20.1

7-0

.06

0.3

8*

0.1

80.0

20.4

0*

0.5

1*

0.3

9*

0.4

6*

1.0

0

69

Appendix 7: Correlation (manager)

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

(11)

(12)

(13)

(14)

(15)

(16)

(17)

(1)

Tur

nove

r In

tent

ion

1.0

0

(2)

Goal

s an

d d

irec

tion

-0.2

11.0

0

(3)

Imm

edia

te le

ader

-0.5

0*

0.3

4*

1.0

0

(4)

Com

mun

icat

ion

-0.5

4*

0.4

9*

0.5

7*

1.0

0

(5)

Com

pan

y's

reput

atio

n-0

.35*

0.4

5*

0.3

5*

0.4

5*

1.0

0

(6)

Cul

ture

tow

ards

risk

tak

ing

-0.4

7*

0.5

2*

0.4

4*

0.6

1*

0.4

4*

1.0

0

(7)

Colla

bora

tion

-0.3

0*

0.5

5*

0.3

9*

0.4

5*

0.3

2*

0.4

5*

1.0

0

(8)

Per

form

ance

appra

isal

-0.1

60.3

4*

0.2

10.2

5*

0.1

70.3

8*

0.2

7*

1.0

0

(9)

Com

pen

satio

n-0

.20

0.3

5*

0.1

70.3

5*

0.4

1*

0.4

1*

0.3

0*

0.4

0*

1.0

0

(10)

Pro

motio

n-0

.24*

0.4

8*

0.2

4*

0.4

4*

0.4

7*

0.5

5*

0.4

0*

0.5

2*

0.6

0*

1.0

0

(11)

Hirin

g-0

.07

0.1

10.0

90.1

10.1

40.1

30.0

3-0

.03

0.0

20.0

61.0

0

(12)

Tra

inin

g an

d c

aree

r dev

elopm

ent

-0.1

60.4

4*

0.2

3*

0.4

3*

0.4

0*

0.4

9*

0.4

4*

0.3

5*

0.2

3*

0.3

6*

0.1

21.0

0

(13)

Job d

esig

n-0

.48*

0.5

2*

0.5

6*

0.6

3*

0.5

5*

0.4

8*

0.6

1*

0.3

8*

0.3

6*

0.4

2*

0.0

60.4

8*

1.0

0

(14)

Org

aniz

atio

nal p

ride

-0.3

4*

0.5

6*

0.1

50.4

7*

0.6

0*

0.5

0*

0.4

7*

0.3

2*

0.4

4*

0.5

6*

0.1

0.5

0*

0.5

1*

1.0

0

(15)

Org

aniz

atio

nal c

om

mitm

ent

-0.3

0*

0.5

1*

0.2

3*

0.3

4*

0.5

1*

0.3

9*

0.3

5*

0.2

3*

0.1

60.3

1*

0.0

70.3

8*

0.4

9*

0.6

7*

1.0

0

(16)

Tru

st-0

.39*

0.4

7*

0.4

7*

0.5

8*

0.6

2*

0.5

3*

0.3

8*

0.2

4*

0.4

2*

0.3

9*

0.1

60.3

4*

0.4

4*

0.5

2*

0.3

8*

1.0

0

(17)

Job in

volv

emen

t-0

.35*

0.6

3*

0.4

3*

0.5

5*

0.4

1*

0.5

8*

0.5

7*

0.2

4*

0.2

8*

0.3

6*

-0.0

10.5

8*

0.5

8*

0.5

2*

0.4

2*

0.5

4*

1.0

0

Master Thesis - diva-portal.org940094/FULLTEXT01.pdf · Master Thesis Level: master’s program...

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Transcript of Master Thesis - diva-portal.org940094/FULLTEXT01.pdf · Master Thesis Level: master’s program...