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Chapter 5
Discussion and Conclusion
5.1 Discussion
This study empirically tested whether these group interaction functions
by transformational leadership affected employee job satisfaction for two types
in addition to the exploratory finding of the general type. The significant result
supported that group maintain had a positive impact on the intrinsic type (
= .142, p < .10). The rational explanation was that while the function is closed to
interaction relationship maintenance including the consideration and
maintenance for membership character and give the members a change to be
heard, the level of intrinsic type was raised since the function given them the
chance for the job participation and involvement which makes use of their
abilities to firm. The significant result also supported group goal achievement
which had a stronger impact on the extrinsic type ( = .658, p < .01) than either
the intrinsic ( = .473, p < .01) or the general type ( = .629, p < .01). The
logical interpretation for the highest level of the extrinsic type ( = .658, p < .01)
was that while the function was relative to task behavior as defined as keeping
the members attention on the goal and evaluating the quality of group job done,
the level of extrinsic type was uplifted since the function encourage the member
interdependences for job done and thus given a higher chance for job
advancement toward the interest in them. The empirical evidence also showed
that the function was associated with the second highest level of general type (
= .629, p < .01). The reasonable explication for the level was that while the
function manner was suggested as the technique function of group goal
achievement emphasized on considering group production-orientation fulfilment
and keeping group goal attainment, the level of the general type was elevated
since the function supported members a job participation and involvement so
that they believed the chance for job advancement could be reached. The
empirical evidence also suggested that the function had a positive effect on
intrinsic type ( = .473, p < .01). The possible explanation for this relationship
was that when this function was considered as group production emphasis,
objective attainment, and effectiveness performance, the function provided the
members the chance to use their abilities to firms. As result, the function
enhanced the level of the intrinsic type by their reflection to the feelings of job
accomplishment as well as the praise for job done.
This study empirically tested and support Yukls (1998) conceptual
complementarity that the interaction effect of group maintenance and goal
achievement functions had a stronger impact on the intrinsic type ( = .593, p
< .01) than either group goal achievement ( = .473, p < .01) or group
maintenance ( =142, p < .10). The reasonable understanding for this important
finding was that these two functions were distinct conceptually, but in practice,
any function incident has implications for these two functions simultaneously.
This finding suggested that while the complementarity included both function
characteristics in term of group employee- and production-orientation
concurrently, the level of the intrinsic type was more enhanced than singly one
of the two functions since the complementarity together dealt with the chance
for members ability utilization, the understanding for their feelings, attitudes,
and motives from group work, and providing task techniques for conducting a
specialized group job done. Although no empirical evidence statistically
supported the influence of group maintenance on general job satisfaction (
= .025, p = .729), this study still found that complemenarities had a stronger
impact on general job satisfaction ( = .636, p < .01) than group goal
achievement ( = .629, p < .01). Overall, this study empirically support that
complementarity had a stronger impact on the intrinsic type than singly one of
them. Moreover, the result indicated that the complementarity enhanced a higher
level of general job satisfaction than group goal achievement. Based on these
significant findings, this study suggested that including the complementarities of
group maintenance and goal achievement functions will lead to a more accurate
prediction of its employee intrinsic and extrinsic job satisfaction relative to a
competitive advantage as objective.
Since employee job satisfaction was one of the most significant work
attitudes to effect outcomes of employees in organizations (Yukl, 1998), some
RBT studies have much emphasized on employee-related variables such
employee job satisfaction as internal process factor (Kirca, Jayachandran, and
Bearden, 2005) and thus treated the satisfaction as an important concept for
measuring the competitive advantage (Barney, 1991) impacts of
transformational leadership capability (Bass, 1985; Podsakoff and Mackenzie,
1990, 1996). For example, the investigations of organizational citizenship
behavior (OCB) by transformational leader focus on why some employees
engage in actions through their job satisfaction beyond their normal
responsibilities to help the firm prosper (Podsakoff, MacKenzie, Paine, and
Bacharach, 2000; Podsakoff and MacKenzie, 1990, 1996). Podsakoff and
Mackenzie (1990, 1996) and Podsakoff et al, (2000) empirically tested the
transformational leadership model showing how the leader capacities influenced
both employee trust and general satisfaction. Similar results have been reported
that transformational leader capacities are positively related to employee
satisfaction and job performance by Howell and Frost (1989). Hsu (1982) found
that leader task behavior was associated positively with employee job
satisfaction in Chinese society while leader define more clear tasks for each
member of the group. Dorfman et al. (1997) found that all the behaviors such as
directive, supportive, charismatic, and participative leadership in Taiwan had
significantly increased employee satisfaction. More recently, Conway and
Monks (2008) significantly found that transformational leadership was passively
associated with employee satisfaction with worklife balance. In general, some
previous researches support transformational leadership can raised for the better
level of employee satisfaction. With taking RBT and HRM issues into the
account of transformational leadership topic, this study treated employee job
satisfaction as an important concept for measuring the competitive advantage
due to facilitate the reduction of internal process costs (Barney, 1991) impacts of
transformational leadership capability (Bass, 1985; Podsakoff and Mackenzie,
1990, 1996). In the current study, we have examined and contributed to these
relationships in RBT, enabling an evaluation of the RBT perspective through the
modeling of these three dependent valuables on employee job satisfaction. For
example, the significant result of group goal achievement and the
complementarity could enhance the employees two types (in addition to general
one) job satisfaction while group maintenance was supported to raise employee
intrinsic job satisfaction. From these results, a significant correlation emerged
between transformational leadership capabilities and employee job satisfaction,
so that competitive advantage was suggested with increasing a relative to the
higher level.
In this paper, we have used sales employees from the four bigger life
insurance firms as samples. This is suitable since the life insurance systems
examined were involved in the areas of sales managers group interaction
functions of transformational leadership, the intrinsic, extrinsic, and general
types of sale employees job satisfaction, and RBT, all relevant HRM to the
study of competitive advantage. In general, bigger firms usually have more
competitive advantage based on the followings:
1) greater rich internal HRM competence to being relative less fixed cost of its
organizational processes;
2) more organizational complex;
3) aspiring to growth through organizational interdependence, corporation, and
collaboration.
This helped for this study to analyze how transformational leadership as
heterogeneity capability resulted in competitive advantage since the leadership
in these bigger firms examined were uncovered in the fields as: a unique
historical conditions under which missions, visions, and goals of firms were
created; a causally ambiguous relationship, such as leader-member interactions
developed over time, were developed and thus enabled employees to be more
job satisfaction. Since transformational leader motivates employee to perform by
encouraging them to be team players (Podsakoff and Mackenzie, 1990, 1996;
Yukl, 1998), this can be an expectance to know that transformational leader can
raise employee attitudes by adopting the group interaction functions and their
complementarities. This also helps understand how these two functions make
employee cohesively work together for their reactions as a group to collect and
share for dynamic job knowledge and them respond to dynamic job environment
by their more speedily and flexibility. Thus, it was essential in this study to
examine the effect of sales managers group interaction functions of
transformational leadership on the three types of the job satisfaction with the
sales employees from the four bigger life insurance firms.
Our results stand up to validity testing (Kaiser, 1974; Nunnally, 1978)
based on the following:
1) each scales KMO exceeded the recommended level of 0.5;
2) each scales Bartlett 2 was statistically significant;
3) each scales reliability exceeded Nunnallys recommended level of 0.7;
4) the percentage of variance explained by each scale exceeded the level of 50%;
39
5) each factors eigenvalue exceeded Kaisers recommended level of 1.000, and
each items factor component exceeded the level of .500.
5.2 Conclusion
This paper has shifted beyond these previous RBT studies, and our new
finding of insight/fact has contributed the literatures by enabling an evaluation
of the RBT perspective through our modeling of HRM on competitive
advantage. Overall, this study empirically support that complementarity had a
stronger impact on the intrinsic type than singly one of them. Based on these
significant findings, this study suggested that including the complementarities of
group maintenance and goal achievement functions would lead to a more
accurate prediction of its employee intrinsic and extrinsic job satisfaction
relative to a competitive advantage as objective. These bigger firms were placed
in a dynamic environment and it was so highly necessary to reach a key source
of competitive advantage by the dynamic capability development through
integrate, build, and reconcile internal and external competencies (Doving and
Gooderham, 2008; Teece et al., 1997). Transformational leader has played as a
challenge role involving the change-oriented competencies, such as scanning
and interpreting external dynamic events and proposing innovative strategies so
that the leader can help employees react positively change (Bass, 1985;
Podsakoff and Mackenzie, 1990, 1996). The suggestion that integrating both
transformational leadership and change-oriented actions into employee
satisfaction has not been tested before, but it would be very useful for future
60
researchers and practitioners. Thus, it should be explored further in the future.
5.3 Limitations of the study
There are several limitations of the research may be pointed out. As
follows:
The first limitation of this study has to do with the extent to which the
research findings can be generalized beyond the samples studied. The number of
samples is limited (four life insurance firms in Taiwan) for broad generalizations
but the result of this study is still meaning for firms in Taiwan.
The second limitation of this study that is the data collection was
collected and interpreted by mail questionnaire survey. Although mail
questionnaire survey has some advantages such as less costly or can show
visuals but mail questionnaire is also has limitation. Mail questionnaire is a slow
method of securing information.
In addition, time and capability are also limitations associated with this
study. The survey was just implemented in a part of the Taiwan country. Because
the research object is the insurance industry only, its not easy to generalize the
research result to other industry.
The foregoing are some limitations in this study that should be addressed
as a means for improvement or potential strategies for further research. Although
there were some limitations in this research but the result of this study is still
work.
61
5.4 Future study
Yukl (1998) indicated that the change-oriented actions by scanning
external dynamic events and proposing innovative strategies was a vital facet on
the satisfaction since TL was expected to help employees react positively
change (Bass, 1985). However, the actions into the satisfaction have not been
tested before, but it would be very useful for future researchers and practitioners.
Moreover, while the satisfaction was known to positively correlate with
performance expectancy, organizational commitment, and problem-solving
behavior (Hart, 1999), the insights could be expected for the future study to
extent the RBT link from CA to performance issue (Barney, 1991).
62
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71
APPENDIX 1
QUESTIONNAIRE
Dear all respondents,
Thank you for taking the time to complete this survey. This is a survey
about your perception toward transformational leadership for sale managers,
employee group interaction, and employee job satisfaction at your company.
Please complete all three sections in the questionnaire and answer as accurately
as possible. We assure that your opinions will be used for this research only.
Once again, thank you very much for your cooperation.
For any feedback or questions, please contact at: phantulinh@gmail.com
Phan Thi Tu Linh
Shu-Te University, Kaohsiung, Taiwan.
Part A:
Questionnaire Guide
Each question in this survey notices a perceived opinion or evaluation.
There are 5 levels of the opinion, from strongly disagree to strongly agree or
from strongly dissatisfied to strongly satisfied for you to choose. Therefore, you
could point the level, which is most suitable to your thinking and opinion.
For example, with the question My sales manager has charismatic
leadership for inspiring me to have confidence for a better future of the
company the answer will be interpreted as following:
72
Strongly
Disagree
Disagree Neutral Agree
Strongly
Agree
1 2 3 4 5
If you agree with this question, you mark X in square under number 4 as
presented above. In making your ratings, please remember the following points:
- Be sure to answer all items, do not omit any
- Never mark more than one number on a single scale
- Some of the questions may appear similar, but they do address some
different issue. Please read each question carefully.
73
The questionnaire starts here.
Part B:
Demographic questions
1. Gender
1.1 Male 1.2 Female
2. Age
2.1 Under 24 2.2 25- 29 2.3 30- 34
2.5 35- 39 2.5 Over 40
3. Marital status
3.1 Single 3.2 Married
4. Educational level
4.1 Junior college 4.2 High school
4.3 Graduated 4.4 Master
5. Seniority
5.1 Under 3 years 5.2 4-6 years
5.3 7-9 years 5.4 Over 10 years
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,
I
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l
80
This is the end of this questionnaire.
Thank you so much for your cooperation!