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UNIVERSITI TEKNOLOGI MARA

Factors affecting Employee Job Performance: A Study In Majlis Bandaraya Shah Alam (MBSA)

FIDZARUL ASYRAF BIN MOHD FADZIL (2012451438)

Thesis submitted in fulfillment of the requirements for the degree of B.Sc. (Hons) International Business

Faculty of Business Management

June 2015

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i

AUTHOR’S DECLARATION

We declare that the work in this thesis was carried out in accordance with the regulations of Universiti Teknologi MARA. It is original and is the results of our own work, unless otherwise indicated or acknowledged as referenced work. This thesis has not been submitted to any other academic institution or non-academic institution for any degree or qualification.

We, hereby, acknowledge that we have been supplied with the Academic Rules and Regulations for Post Graduate, Universiti Teknologi MARA, regulating the conduct of our study and research.

Name of Students : Fidzarul Asyraf Bin Mohd Fadzil Students I.D. No : 2012451438

Programme : B.Sc. (Hons) International Business

Faculty : Business Management

Thesis : Factors affecting Employee Job Performance: A Study In Majlis Bandaraya Shah Alam (MBSA)

Signature of Student : ……….

Date : June 2015

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ii

ABSTRACT

Employees are the key factors that determine the successful of a business in an organization. As such, how to sustain the morale of these employees to be more committed towards their job is in fact, a challenging task for the top management to ensure that their subordinates are satisfied with the overall benefits that the organization offer which is in this case is salary, reward and working environment. Thus, the purpose of this study is to investigate on how employee job performance can be simultaneously boosts and enhanced through supporting factors mentioned earlier. The research question is do these factors have the capabilities to contribute towards worker job performance? Is there a strong positive relationship between these variables towards employee job performance? This study is carried out in Majlis Bandaraya Shah Alam (MBSA).

In particular, this research concentrates on the factors affecting employee job performance in a setting of the mentioned company. During the process of the research, A self-administered questionnaire survey collected 50 respondents, who are the employees of the respective company. The results of the descriptive analysis revealed the importance of a sufficient salary, reward system and comfortable working environment give by the organization in exchange for employee’s morale and commitment in increasing job performance. The findings of the study also highlighted that study should be conducted to other public sector setting so that the results can be generalize to entire Malaysia employees that work in the public sector.

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iv

TABLE OF CONTENTS

Pages

AUTHOR’S DECLARATION i

ABSTRACT ii

ACKNOWLEDGEMENTS iii

TABLE OF CONTENTS iv

LIST OF TABLES vii

LIST OF FIGURES viii

CHAPTER ONE: INTRODUCTION

1.1 Introduction 1

1.2 Background of the Study 2

1.3 Problem Statement 3-4

1.4 Research Objective 4

1.5 Research Question 4

1.6 Structure of the Study 5

1.7 Significance of the Study 6

1.7.1 Benefits to the Researcher 6

1.7.2 Benefits to the Organization 6

1.7.3 Benefits to the Public 6

1.8 Limitation of the Study

1.8.1 Inexperience in Conducting a Proper Research 7

1.8.2 Financial Constrains 7

1.8.3 Availability of Confidential Data

1.8.4 Level of cooperation 7

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v CHAPTER TWO: LITERATURE REVIEW

2.1 Introduction 8

2.2 Job Performance (Dependent Variable) 9-10

2.3 Independent Variables 11

2.3.1 Salary 11-12

2.3.2 Reward 13-14

2.3.3 Working Environment 15

2.4 Theoretical Framework 16

2.4.1 Variables 16

2.5 Development of Hypotheses 18

2.5.1 Hypotheses 1 (Salary) 18

2.5.2 Hypotheses 2 (Reward) 19

2.5.3 Hypotheses 3 (Working Environment) 20

CHAPTER THREE: METHODOLOGY

3.1 Introduction 21

3.2 Research Design 21-22

3.2.1 Unit of Analysis 23

3.2.2 Time Horizon: Cross-Sectional Study 23-24

3.3 Sample and Population 24

3.4 Instrument Development 25

3.5 Questions Used in the Questionnaires 26-28

3.6 Data Collection Process 29

3.7 Sampling Design 29

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