Relationship between Employee Involvement and Employee Productivity

1. Relationship between Employee Involvement and
Productivity-Evidence from Banking Industry of
Bangladesh
Presented by:
Md. Moklesur Rahman
ID: EMBA-160343
Supervised by:
Mir Sohrab Hossain
Associate Professor
Business Administration Discipline
Khulna University

2. Introduction
2
Employee Involvement is lead to higher productivity. It
attempts to explain positive linkage traditionally that giving
people more involvement in work decisions for raising
employee’s productivity.

3. Objectives of the Study
3
 The primary objective of the research is to find out the relationship
between employee involvement and employee productivity.
 To analyze whether any significant difference exists in employee
response in terms of gender.
 To analyze whether any significant difference exists in employee
response in terms of Public Bank and Private Bank.

4. Employee Involvement
4
Employee involvement seeks to increase members’ input into decisions that affect
organizational performance and employee well-being. Employee involvement is
the broad term for diverse approaches to gain greater participation in relevant
workplace decisions.
Key Elements of Employee Involvement
Power Information Knowledge and Skill Rewards

5. Employee Productivity
5
Productivity is expressed in terms of cost for a unit of production; “units produced
per employee” or “resource cost per employee”.
Employee Productivity Factors
Rewards
and
Benefits
Communi
cation
Job
Stress
Training Work
Hour
Motivation Workplace
Environment

6. Proposed Hypothesis
EmployeeInvolvementand
Productivity
H1
Relationship Between Employee Involvement and Productivity
H2
Difference in Employee’s Response in terms of Gender
H3
Difference in Employee’s Response in terms of Public Bank ,
Private Bank
6

7. Research Methodology
Methodology At a Glance:
7
Nature Of the Study Quantitative in Nature
Sources of data Primary Data
Technique of collecting data 5 points likert scale for questionnaire
measurement
Population 1428 (BSS-2011)
Sample size 100
Sampling Technique Non-Probability Sampling Method,
Convenience Sampling
Analysis Frequency Analysis, Mean, Standard
Deviation, Independent sample T-test,
Canonical Correlation
Use Formula Taro Yamane Method
Name Description

8. Instrument Design
Section Content of the question Number of question
A Demographic Information 11
B
Employee Productivity 2
Reward And Benefit
Communication 1
Job Stress 2
Training 2
Long Working Hour 2
Motivation 2
Workplace Environment 2
Employee Involvement
Power 2
Knowledge and Skills 2
Reward 1
Information 1
(Structure of the questionnaire)
A 5-point Likert scale has been used to measure the extent of agreement with the statements
regarding the dependent and independent variables where the value 1 is assigned for the
answer strongly disagree, 2 is for disagree, 3 is for neutral, 4 is for agree and 5 is for strongly
agree for answering each question.
8

9. Demographic Data
9
Demographic Group Class Frequency Percentage
Gender Male 85 85%
Female 15 15%
Type of Bank Public Bank 50 50%
Private Bank 50 50%
Education Level SSC
HSC 1 1%
Graduation 8 8%
Post- Graduation 90 90%
Missing 1 1%
Income Level Less Than 20,000tk 2 2%
21,000-30,000tk 12 12%
31,000-40,000tk 20 20%
Above 40,000tk 64 64%

10. Frequency Analysis
Particulars N Mean Standard deviation
Bank offers rewards based on performance: 99 4.12 .786
The communication is effective in this Bank 99 4.36 .826
Power sharing increases my work autonomy 100 4.09 .965
Managers are willing to share decision-making power with
employees
100 4.21 .820
Knowledge sharing would improve work processes in the bank 100 4.41 .698
Bank has an inbuilt system for periodically updating employee
knowledge and skills
100 4.14 .766
Average Mean 4.22
10
At a glance of Employee Involvement

11. Frequency Analysis Conti…
Particulars N Mean SD
Bank offers rewards based on performance 99 4.12 .789
I feel the company's benefits meet my needs 99 4.16 .681
A good communication system leads to high productivity 100 4.44 .820
I feel great stress on my job 100 3.80 1.119
I am often bored with my job 99 3.38 1.267
The training I receive is relevant to my job 100 4.30 .798
Bank provides adequate opportunity for training and professional
development
100 4.28 .712
Bank work hours do not measure within standard process 100 3.60 1.198
Actual work hour and standard work hour sometime do not match 100 3.79 1.241
Proper motivational training always results in higher productivity 100 4.29 .795
Motivation can encourage workers to work in an ethical way 100 4.42 .768
Employees can utilize their knowledge, skills, and ability within the Bank 100 4.31 .734
The general working environment favors my performance & productivity 100 4.37 .774
Average Mean 4.09
11
At a glance of Employee Productivity

12. Hypothesis One
Canonical
Function
Canonical
Correlation
Sig. Redundancy Index
1 .875 .000 .383
2 .694 .000 .252
3 .465 .000 .205
4 .347 .019 .160
So, there is significant relationship between Independent variable- Employee
Involvement and dependent variable-Employee Productivity in banking industry.
So, Null hypothesis is failed to accept.
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Null Hypothesis: There is no significant relationship between Independent variable-
Employee Involvement and dependent variable-Employee Productivity
Alternative Hypothesis: There is significant relationship between Independent
variable- Employee Involvement and dependent variable-Employee Productivity

13. Hypothesis Two
13
Null Hypothesis: There is no significant difference in employee’s response in terms of gender.
Alternative Hypothesis: There is significant difference in employee’s response in terms of
gender.
Factors Levene's Test for
Equality of Variances
(Sig. Value)
t-test for Equality
of Means (Sig.2-
tailed)
Power Equal variances assumed
Equal variances not assumed
.449 .655
.597
Knowledge and skills Equal variances assumed
Equal variances not assumed
.599 .509
.516
Rewards and Benefits Equal variances assumed
Equal variances not assumed
.495 .954
.958
Long working Hour Equal variances assumed
Equal variances not assumed
.168 .609
.667
Motivation Equal variances assumed
Equal variances not assumed
.454 .267
.224

14. Hypothesis Two Conti..
14
Training Equal variances assumed
Equal variances not assumed
.898 .763
.786
Environment Equal variances assumed
Equal variances not assumed
.463 .373
.411
Job Stress Equal variances assumed
Equal variances not assumed
.149 .140
.222
Communication Equal variances assumed
Equal variances not assumed
.491 .415
.382
Information Equal variances assumed
Equal variances not assumed
.183 .124
.064
Rewards Equal variances assumed
Equal variances not assumed
.592 .772
.795
So, it can be said that there is no significant difference in employee’s response in terms of
Gender. So, Null Hypothesis is failed to reject.

15. Hypothesis Three
15
Null Hypothesis: There is no significant difference in employee’s response between
public bank and private bank.
Alternative Hypothesis: There is significant difference in employee’s response
between public bank and private bank.
Factors Levene's Test for
Equality of Variances
(Sig. Value)
t-test for Equality
of Means (Sig.2-
tailed)
Power Equal variances assumed
Equal variances not assumed
.312 .200
.200
Knowledge and skills Equal variances assumed
Equal variances not assumed
.458 .000
.000
Rewards and Benefits Equal variances assumed
Equal variances not assumed
.009 .126
.125
Long working Hour Equal variances assumed
Equal variances not assumed
.021 .962
.962
Motivation Equal variances assumed
Equal variances not assumed
.158 .118
.119

16. Hypothesis Three Conti..
16
So, it can be said that there is significant difference in employee’s response in terms of
Public Bank and Private Bank. So, Null Hypothesis is failed to accept.
Training Equal variances assumed
Equal variances not assumed
.665 .407
.407
Environment Equal variances assumed
Equal variances not assumed
.926 .064
.064
Job Stress Equal variances assumed
Equal variances not assumed
.498 .242
.242
Communication Equal variances assumed
Equal variances not assumed
.001 .027
.028
Information Equal variances assumed
Equal variances not assumed
.106 .008
.008
Rewards Equal variances assumed
Equal variances not assumed
.002 .788
.788

17. Summary of the Findings
 There is significant relationship between Employee Involvement and Employee
Productivity. So, Null hypothesis is failed to accept because all the canonical values
are lower than 0.05 significant level (p < 0.05).
 There is no significant difference in employee’s response in terms of gender (male
and female). So, Null Hypothesis is failed to reject because the significant level is
higher than 0.05 (p > 0.05).
 There is significant difference in employee’s response in terms of Public Bank and
Private Bank. So, Null Hypothesis is failed to accept because some values are higher
than significant level (p > 0.05) and some values are lower than 0.05 significant level
(p < 0.05).
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18. Conclusion
This research was a Quantitative type of research where convenient
sampling method had been applied to conduct the study. Primary data
had been collected through a field survey with a structured
questionnaire. Here, frequency analysis, Canonical correlation and
Independent T- Test analysis have done through the application of
SPSS software. Results of the study indicate that, there is significant
relationship between Independent variable- Employee Involvement
and dependent variable-Employee Productivity.
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