FACTORS ENHANCING LOYALTY TO EMPLOYEE FOR ORGANIZATIONS IN THE INDUSTRIAL BUSINESS SECTOR
Keywords:
Structural Equation Model, Loyalty, Organizational Commitment, LeadershipAbstract
The objectives of this research article were to 1) study enhancing loyalty to employee for organizations in the industrial business sector factors, 2) develop a structural equation model of employee for organizations in the industrial business sector factors. This research was a qualitative and quantitative research. The quantitative data was obtained through questionnaire of 500 executives implementing descriptive statistics, inferential statistics, and structure Equation Modeling (SEM). The findings indicated that the levels of importance of loyalty were very significant in all aspects. The highest level of importance of the leadership aspect was that the supervisor created a work manual detailing the structure of the work as an operating practice. The highest level of importance of the union relationship aspect was that organization provided cost - of - living welfare benefits which were suitable for economic conditions. The highest level of importance of the job satisfaction aspect was that supervisors always listened to opinions. The highest level of importance of the job characteristics aspect was that the work performed was necessary and affected others. Lastly, the highest level of importance of the organizational commitment to the organization aspect was to maintain the same corporate values. For the hypothesis testing, it was found that difference in sizes of industrial business recognized is significant difference to the importance of enhancing loyalty to employee for organizations in the industrial business. The analysis of the developed structure equation model showed that it was in accordance and harmony with the empirical data and passed the evaluation criteria. Its Chi - square probability level, relative Chi - square, goodness of fit index, and root mean square error of approximation were 0.101, 1.111, 0.953 and 0.015 respectively. The statistical significance of this study was set at .05.
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