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Transcript of SatiEmployee Performance
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CHAPTER ONE
1.0 INTRODUCTION
Statistics serves as a great measure in determining theaverage performance of every business organization.
With the help of statistical models applied, number of
goods/services produced is measured to assess their
profitability ratio, productivity and the growth of a
business. Statistical models are used both at the micro
(small scale business) and macro (public enterprises,
private limited liability companies, etc) business
enterprise level. The statistical models are primarily
application of readily formulated statistical formula
designed for solving problem systems and relating
correlative patterns for solution and decision theory
derivation. Statistical models help to forecast and predict
events in the business economy environment.
Service Delivery is measured based on the following;
Tangibility physical facilities, equipment, and appearance
of employees.
Reliability ability to perform the required service
dependably and accurately.
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Responsiveness willingness to help customers and
provide prompt service.
Assurance knowledge and courtesy of employees and
their ability to
inspire trust and confidence.
Empathy caring and individual attention provided by the
staff.
On the other hand, the concept of satisfaction is more
inclusive than the concept of quality service. Customer
satisfaction is influenced by five variables, namely:
service quality, product quality, price, situation and
personality.
Statistics refer to the collection, arrangement and
representation of numerical (mathematical) data. This
data can be the result of data analysis from various fields.
Almost each and every area of business and industry
uses statistical reporting to understanding business data
for decision making purposes. The organization of datainto a common format provides a benchmark for
historical performance and future benchmarking. The
standardization of data also serves as a common point of
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reference so that interested parties can deduce
meaningful relationships from the data.
Statistics provide the necessary data in a meaningful way
to support strategic decision making. Without the use of
statistics, businesses could not calculate returns on
investment and business decision making would become
a hit and miss affair. Industry and business in general
each have different data and information requirements.
Business statistics can literally be formulated and shaped
according to individual requirements. Ultimately, the data
must be designed to provide meaningful and useful
results. This assists companies and individuals to make
more informed decision that affect business outcomes
and provide a way for ongoing performancemeasurement. For business decision making, it is very
important to understand the composition and breakdown
of business activity. For this, industry statistics provide
data in a meaningful format. Industry statistics define
each and every aspect of a particular industry and assist
business operators to extract and manipulate data to
assist strategic decision making.
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Generally, industry or business organization statistics
include hard data such as production volumes, sales
revenues, employment statistics, accounting records, and
anything to do with industry demographics and industry
trends for service delivery performance. If you are
starting a business or already own one, it is very
importance to have a way to benchmark progress and
assess critical data. The use of industry statistics provides
a consistent framework of reference that allows business
owners to draw meaningful conclusions from data that
has a consistent reporting format. (Agranoff, Robert and
Michael McGuire, 2003). Small Business Statistics
Irrespective of whether a company is small or large,
business statistics provide key performance indicators to
support primary decision making.
Every company wants to reduce costs, increase market
share, maximize return on investment, penetrate new
markets and improve the return on investment for labour
and capital. Standardized business statistics are used to
measure a companys progress on key business activities.
Month to month analysis and quarterly review periods
provide the ideal opportunity for key business managers
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to reflect and analyze data to determine whether
performance is in line with original forecasts. Questions
over sales growth, advertising initiatives and campaign
results provide insight into how successful a company has
been in aligning its business objectives with overall
company goals and objectives. Adjustment or new
strategy formulation ultimately results to drive the
business in the intended business direction.
Modern Business Statistics are used extensively in the
internet marketing space. Traffic analysis, advertising
campaign analysis, organic search traffic and pay per
click campaign provide important insight into consumer
behavior which is used to formulate future strategy for an
organization. Without the use of online bench marketingtools to gather critical business statistics intelligence,
companies would face high degrees of difficulty for
determining advertising direction, marketing spend and
overall online business direction.
A statistical model according to Kaw (2008), is a set of
mathematical equations which describe the behavior of
an object of study in terms of random variables and their
associated probability distributions. If the model has only
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one equation it is called a single-equation model,
whereas if it has more than one equation, it is known as a
multiple-equation model.
In mathematical terms, a statistical model is frequently
thought of as a pair (Y, P) where Y is the set of possible
observations and P the set of possibility distributions on
Y. It is assumed that there is a distinct element of P which
generates the observed data. Statistical inference
enables us to make statements about which element(s) of
this set are likely to be the true one. Through statistical
models the business organization performance is being
sustained and measured in its outcome and as well faults
or break/interruption in production can be easily dictated
and weighed.
According to the endogenous variables and the number
of equations, models can be classified as complete
models and incomplete models. Some other statistical
models are the general linear model, the generalized
linear model, the multilevel model, and the structural
equation model. (Tofallis, C. 2008).
1.1 OBJECTIVES OF THE RESEARCH
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The study is carried out to achieve the following
objectives:
Test to see the rate of sales and employment rate. Test to see the significance of the sold products
Correlation study of the sales and the employment
rate
Trend on the sales of the products
1.2 SCOPE OF THE PROBLEM
The study considered Unilever Nigeria Plc. Unilever
Nigeria Plc, was incorporated as Lever Brothers (West
Africa) Ltd on 11th April, 1923 by Lord Leverhulme, but
the companys antecedents have to be traced back to his
existing trading interests in Nigeria and West Africa
generally, and to the fact that he had since the 19th
century been greatly involved with the soap business in
Britain. Located at No 1 Billings Way Oregun, Ikeja,
Nigeria, Unilever Nigeria Plc started as a soap
manufacturing company, and is today one of the oldest
surviving manufacturing organizations in Nigeria.
After series of mergers/acquisitions, the company
diversified into manufacturing and marketing of foods,
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non-soapy detergents and personal care products. These
mergers/acquisitions brought in Lipton Nigeria Ltd in
1985, Cheesebrough Ponds Industries Ltd in 1988. The
company changed its name to Unilever Nigeria Plc in
2001.
Unilever Nigeria Plc was considered the case study of this
research work because their brands are household
favorites and the company is so deeply committed to
meet the everyday needs of people everywhere inNigeria. Also, they have been a socially responsible and
responsive organization that takes strategic actions for
the improvement of the communities and environments
in which it operates. The company has made provision for
assistance in fields of health, education/children welfare
and potable water/hygiene as part of its social
responsibility programme in the Nigerian
communities. The food and nutrition department of the
company was chosen because of the fast rising growth of
the need of their brands ranging from blue band to lipton
tea, royco cube to knorr seasoning cube, the need growsexceedingly.
1.3 LITERATURE REVIEW
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Materson (1981) concluded that customer service
delivery and customer loyalty goes hand in hand-when a
service is delivered exceptionally it then follows that the
customer will be satisfied and will be loyal to the services
rendered. According to him, customer service deliverance
taps into business, marketing, and psychological research
and practices to provide a satisfied customer. Customer
service delivery also provides a framework for customer
service as a process and an outcome. Customer
expectations, loyalty satisfaction, product versus service
delivery, measurement, brand equity, regional and
cultural differences, and organizational impact are the
factors revolving in the carrying out of a good business
and hence will gain the loyalty of customers.
According to Kelvin (1982), service quality is generally
viewed as the output of the service delivery system,
especially in the case of pure service systems. Moreover,
service quality is linked to consumer satisfaction.
Although there is no consensus in the research
community about the direction of causality relatingquality and satisfaction, the common assumption is that
service quality leads to satisfied customers. He cited an
example of customers leaving a restaurant or hotel and
asked if they were satisfied with the service they
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received. If they answer "no," then we tend to assume
service was poor. Direct service providers, such as
waitresses, also note that at times the best service efforts
are criticized because the customer's perceptions of the
service are clouded by being in a bad mood or having a
disagreement with someone just before arriving at the
restaurant. These service providers recognize that in
practice the influence of service quality on customer
satisfaction is affected by other factors, one of which is
the customers themselves.
Russell and Kabanuk (1983) summarize two studies
conducted to improve the emergency service delivery in
St. Albert, a small city near Edmonton, Alberta. The first
study dealt with selecting the location of a new fire
station. The goals of the study included an assessment of
the performance of the current system, an identification
of the areas) with poor coverage, a selection of a site
among a set of given candidate locations, and an
assessment of the improvement in the system
performance upon the addition of the new fire station. Ageographical information system was used for storing and
displaying the spatial data, computing service areas for
given travel times, and for communicating the results of
the study. The second study considered an evaluation of
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the resources available for emergency service. A
probabilistic model was used to evaluate labor costs for
different platoon sizes and a simulation model was used
to evaluate the adequacy of the current staff and fleet
sizes. They both concluded that there may be
deterioration in the quality of the service in the near
future for the following reasons:
1. The city's population is growing and (perhaps more
importantly) aging. This increases the call rate.
2. Recent changes to the health care system resulted in
patients being discharged earlier from hospitals and
persons with a higher level of acuity being taken care
of at home or in non-hospital care environments. This
results in increased call rates for ambulances.
3. The city is planning an expansion. Three new
developments have been approved. This increases
the total area that has to be covered (as well as the
population).
4. The current Firefighter/EMS staff is aging which
decreases the amount of time they are available
(vacation entitlement and sick leave usage increase
with length of service and age respectively), and age
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may increase risk of injury. In addition, as the current
staff retires, there will be significant loss of
experience.
Nowell (1987) in his publication on improved service
delivery stated that proper service delivery helps
companies deal more effectively with an open,
collaborative and complex service creation environment
by facilitating the development and deployment of new
services from both internal and third-party sources. Healso said that proper service delivery provides the
infrastructure and common business functions that can
drive high performance by helping providers create,
deliver and manage a wide range of products and
services for consumers and enterprises more quickly, and
at lower cost and risk.
Vaux and Vismann (2005) concluded that delivery of
services such as health and education can play an
important role in the context of conflict. The distribution
of resources and their accessibility to different groups can
address existing social inequalities. On the other hand, it
can heighten them. Equity and inclusiveness are critical
to ensuring that service delivery promotes sustainable
peace. They are also indicators of sustainable peace.
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1
However, because peace-building has rarely been an
explicit objective of interventions, it is difficult to gauge
the effectiveness and impact of service delivery in this
regard.
There are a number of issues that can help maximize the
capacity of service delivery to promote sustainable
peace. These include the need for strategic analysis and
an integrated approach, supporting equitable distribution
of, and access to, resources. Also important are:
legitimacy, representing the poor, empowering women
and harnessing non-state actors within a regulatory
framework.
According to them, service delivery does the following:
1. touch on issues of legitimacy.
2. strengthens the representation of poor people
through user groups, parents associations and civil
society organizations.
3. engagement of the poor in decision-making takes
time, particularly when people are most concerned
with meeting their immediate needs.
4. This is particularly true for women, who usually
have responsibility for child-
care and the strongest interest in delivery of
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services, but who may be under-represented in user
groups.
5.Choices between state and non-state actors need to
reflect the interests of poor people.6.Systems of public accountability are required and,
where service delivery is privatized, the state will
need to ensure socially responsible regulation.
Then with regards to conflict, service delivery can
1. Promote sustainable peacebuilding, interventionsneed to be developed through ongoing strategic
analysis of the causes of conflict and the role of
different actors in conflict and development.
2. Enable the identification of indicators to gauge more
accurately the positive and negative impact of the
support provided.
3. Prompt early government prioritization of policy
reform and allocation of resources for service
delivery are critical to development actors.
4. Reform of services as countries emerge from conflict
provides important opportunities for ensuring the
representation of poor people in the formation of
service delivery policy.
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5.Through reform provide opportunities for
strengthening local ownership of these services
through ongoing monitoring.
Parmita and Zhao (2005) in their publication on service
delivery noted that one of the key challenges of the
Internet as a service delivery channel is how they
manage service quality, which holds a significant
importance to customer satisfaction. The purpose of this
research was to gain a better understanding of theservice quality dimensions that affect customer
satisfaction in the Internet banking sector from a
consumer perspective. Based on a detailed literature
review, a frame of reference was developed. Five service
quality dimensions were selected to be tested in the
Internet banking sector in order to explore the
relationship between service quality and customer
satisfaction. A qualitative research approach was used to
get a better understanding of this issue. However, a small
quantitative survey was also conducted to support the
results obtained from the qualitative study. The empiricaldata were gathered through in-depth interviews with four
people by using a semi-structured questionnaire and a
survey were conducted with 25 people. Data presentation
and analysis were done in accordance with the research
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1
questions and the frame of reference. Finally, in the last
chapter findings and conclusions were drawn by
answering the research questions. Nine service quality
dimensions in Internet banking were identified in this
study (i.e., efficiency, reliability, responsiveness,
fulfillment, privacy, communication, personalization,
technology update, and logistic/technical support). The
quality performance of all the nine dimensions was shown
to have a strong impact on customer satisfaction.
Efficiency, reliability, responsiveness, fulfillment, privacy
was found to be the core service quality dimensions in
Internet banking. Finally, technology update and logistical
or technical support was two new dimensions found in
this study.
Karen (2007) reported that the results of a review of the
Chinese- and Englishlanguage literatures on service
delivery in China, asking how well China's health-care
providers perform and what determines their
performance. Although data and methodological
limitations suggest caution in drawing conclusions, acritical reading of the available evidence suggests that
current health service delivery in China leaves room for
improvement, in terms of quality, responsiveness to
patients, efficiency, cost escalation, and equity. The
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literature suggests that these problems will not be solved
by simply shifting ownership to the private sector or by
simply encouraging providerspublic and privateto
compete with one another for individual patients. By
contrast, substantial improvements could be (and in
some places have already been) made by changing the
way providers are paidshifting away from feeforservice
and the distorted price schedule. Other elements of
active purchasing by insurers could further improve
outcomes. Rigorous evaluations, based on richer micro-
level data, could considerably strengthen the evidence
base for service delivery policy in China
Onil (2008) using the method of environmental scan of
peer-reviewed and grey literature was use to select
exemplars of innovation. A case series of organizations
was purposively sampled to maximize variation. He
examined these cases using content analysis and
constant comparison to characterize their strategies,
focusing on business processes.
In his conclusion, he stated that private sector
organizations demonstrate a range of innovations in
health service delivery that have the potential to better
serve the Poors health needs and be replicated.
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1
However, more rigorous evaluations are needed to
investigate the impact and quality of health services
provided and determine the effectiveness of particular
strategies.
Robert (2009)saw delivery as"D" is for Dedicated. The
moment a customer needs help, the dedicated customer
service representative swings into action. "E" is for
Empowered. The empowered customer service
representative is given what he needs to be able toprovide outstanding customer service. "L" is for Linked.
The members of a customer care team must work
together and share information. "I" is for Informed. In the
past the customer service department was often
neglected by management. Representatives, seen as
workers at the bottom of the totem pole, went untrained
and uninformed. Workers of a company should be
informed in all aspects of the company and its products
and services. "V" is for Valued. Before customer service
representatives can value their work and your customers,
you must show them that you value them. "E" is forExperienced. An experienced customer service
representative learns to be knowledgeable but not overly
technical with customers. "R" is for Representative. The
customer service representative should always act in the
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best interests of the company. "Y" is for "Your
Responsibility." The customer service representative
accepts responsibility for his role as a front-line
representative for the company. He knows that to a
customer, he is the company.
According to Jones and Paul (2009) Statistics are used by
all industries and businesses as a standardized unity of
measurement for presenting data in a useful and
meaningful format. Statistics can be used to measure
historical performance and to forecast future targets. For
business managers and leaders, statistics provide insight
into how business units are performing relative to an
organizations goals and objectives. Statistics also
forecast future trends and are in all areas of humanthought an endeavor for planning purposes. Statistics are
used in all areas of trade and commerce. Governments
frequently undertake studies for the purposes of
formulating policy and business use data to identify what
is currently working and what is not. Business initiatives
are altered to improve organizational performance based
on feedback from statistical studies. Advertising
companies use statistics to assess target markets and
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2
formulate campaigns. Marketers use statistics to identify
opportunities for business development.
CHAPTER TWO
2.0 COLLECTION OF DATA
2.1 METHOD OF DATA COLLECTION
The method of data collection used for this research work
is the method of Registration. It is an unpublished data
because it took a lot of time, effort, money and the
required level of confidentiality is very high.
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2
2.2 DATA PRESENTATION
The data collected is the most sensitive data of the
Department of Sales considering its statistical usage is
considered. It comprises of the sum total of the sale of
each brand (Blue band, Lipton, Knorr and Royco) for the
last ten (10) consecutive years and the number of
employed staff in the factory department as well.
Aggregate of Quantity of product sold in carton/month
Years Blue
Band
Lipton Knorr Royco
2000 140016 141040 144042 145093
2001 139709 140004 150011 1473722002 141083 142381 145273 1463652003 142205 143605 146202 1448282004 144018 145679 147213 1463692005 140099 144873 147346 1478682006 143259 143382 147458 1494532007 143910 144691 146444 1463132008 143400 145022 146523 1460012009 144458 146343 148019 147072
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2
Years 200
0
200
1
200
2
200
3
200
4
200
5
200
6
200
7
200
8
200
9Number of
Staff
30 32 32 34 38 43 51 43 40 47
2.3 THE PRODUCTS
2.3.1 Blue Band
BlueBand GoodStart margarine is one of the brands under
the group name - Family Brand in Unilever. Unilever was
the first company to commercially produce margarine in
1878, through its founding Dutch company, Margarine
Unie, as an affordable alternative to butter. Unilever is
the worlds leading margarine manufacturer. Our
products contain high-quality vegetable oils that are a
good source of essential fats and vitamins (A, D, E) whichwe all need to develop and maintain a healthy body and
enjoy a lifestyle full of vitality. Consuming fat does not
necessarily make you fat. If you cut out all the fat in your
diet, your body will derive energy from carbohydrates or
proteins instead. So, without eating fat, you could still be
obese and moreover, you would be depriving your body
of essential fatty acid which your body cannot produce on
its own and the protein it needs t build body cells. As long
as the energy you consume is equal to the energy you
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2
expend, you will not become fat! 15 30 minutes of
physical activity a day is recommended to keep fit and
health and to prevent obesity heart disease and diabetes.
2.3.2 Knorr Cube
Knorr believes that every meal is an opportunity for
family bonding and everyday meals can be just as
magical as special occasions. Food is not just fuel, it
really is the glue of life. This conviction lies at the heart of
Knorr's successit is Unilever's no. 1 brand. A passion for
good food goes right back to Knorr's earliest days. The
business was formed in 1838, when founder Carl Heinrich
Knorr pioneered experiments in drying seasonings and
vegetables to preserve their flavour and nutritional value.
Since then Knorr has become an international brandoffering a wide range of bouillons, soups, seasonings,
sauces, soupy snacks, dressings and frozen and ready
made meals. Knorr products owe their tastes and flavours
to the culinary skills of its chefs. Knorr embodies a truly
global cuisine, which began when the globe-trotting sons
of its founder started importing new ideas from overseas.
The tradition stands today and Knorr's drive for
innovation still centres around its original factory in
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2
Heilbronn where international teams of chefs contribute
to product innovation.
2.3.3 Lipton Tea
Lipton is one of the world's great refreshment brands,
making a big splash in the global beverages market
with tea that is a healthy and refreshing alternative to
soft drinks. Lipton is painting the world yellow with a
marketing campaign that represents all that Lipton
stands for - brightness, vitality and fun with natural
goodness. Born in 1850, Thomas Johnstone Lipton was a
pioneering entrepreneur who, by 1880s, had opened
grocery shops all over the UK. He had a vision of making
tea accessible to all at acceptable prices, with
guaranteed quality. In the 1890s, his Lipton teas enjoyedgreat success in the UK and the US. Lipton first came
to Nigeria in 1959 under the Van Den Bergh Foods
company. In 1972 however, Unilever acquired the world
wide Lipton Tea Business. Lipton became
Unilever Nigerias brand in 1985. The tea blend is
imported from Kenya and packed into teabags in the
factory at Agbara in Ogun State in the Western part
of Nigeria.
2.3.4 Royco
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2
Royco believes that everyone should be able to prepare
and enjoy good food, every single day of the week. Good
food has the magic of touching all our senses, with
exciting aroma, good taste and actually putting smiles on
our faces. A touch of Royco to your meals will definitely
transform every meal moment and make it very special.
You will not know, until you have experienced the New
Royco Goat Meat Flavour. In our quest to provide our
cherished consumers with the best bouillon product, the
new Royco Goat Meat Flavor that is perfect with
vegetable soup was developed. This new product is:
1.) Tastier than ever.
2.) Crumbles smoothly.
3.) Full of flavor and less salty.
The aroma of Royco easily whittles away the miles and
years, so that no matter where you are in the office, at
school, on a business trip, on vacation in a faraway land
you become instantly reunited with the people and
memories you cherish the most. Food is a key ingredient
in the make-up of the home. While it unites the members
of a home, it can also differentiate one home from
another. In other words, food also gives each home its
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2
identity! Only Royco gives that familiar taste of home
cooking.
http://www.unilevernigeria.com/brands
CHAPTER THREE
3.0 DATA ANALYSIS
The rate of service delivery can be measured with the
rate of sales of the product and the number of staff or the
numerical staff strength of the Department of Food and
Nutrition Unilever Nigeria Plc. A steady growth in the rate
of sales and employment depicts good or quality service
delivery, hence, the otherwise.
3.1 Test for Normality
X fi Ui = Xi A
C
fiui fiui2 fiui
3 fiui4
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2
0 142547.
75
-4.5 -641464.88
2886591.94
-12989663.72
58453486.73
1 144274 -3.5 -504959 1767356.5 -6185747.75 21650117.13
2 143775.
5
-2.5 -359438.75
898596.88 -2246492.19 5616230.47
3 144210 -1.5 -216315 324472.5 -486708.75 730063.134 145819.
75
-0.5 -72909.88 36454.94 -2278.43 569.61
5 145046.
5
0.5 72523.25 36261.63 18130.81 9065.41
6 145888 1.5 218832 328248 492372 7385587 145339.
5
2.5 363348.75 908371.88 2270929.69 5677324.22
8 145236.
5
3.5 508327.75 1779147.13
6227014.94 21794552.28
9 146473 4.5 659128.5 2966078.25
13347352.13 60063084.56
M11 = C
1
n
i i
i
f u=
1
n
i
i
f=
= 1 (27072.74)1448610.5
= 0.0187
M21 = C
1
n
i i
i
f u=
2
1
n
i
i
f=
= 1 (11931579.65)1448610.5
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2
= 8.2366
M31 = C
1
n
i i
i
f u=
3
1
n
i
i
f=
= 1 (444908.73)1448610.5
= 0.3071
M41 = C
1
n
i i
i
f u=
4
1
n
i
i
f=
= 1 (174733051.5)1448610.5
= 120.6211
M2 = M21 (M1
1)2
= 8.2366 (0.0187)
2
= 8.2363
M4 = M41 4M1
1 M31 + 6(M1
1)2 (M21 ) 3(M1
1)4
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2
= 120.6211 4(0.0187)( 0.3071) +
6(0.0187)2(8.2366) 3(0.0187)4
= 120.6211 0.023 + 0.0173 0
= 120.6154
4 = M4(M2)
2
4 = 120.6154(8.2363)2 = 1.778
The lower and upper class limits in the table for departure
from normality are 2.83 and 3.18. Hence, 4 = 1.778 does
not lie within the limit, we conclude that the data are not
normally distributed.
Since our data does not follow the normal distribution, we
resort to the non-parametric test to achieve our aims.
3.2.1 Test on the rate of sales
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3
Years (Xi) Yj - Yi Avg. Sales Yi
i j
ve