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International Journal of Management Studies (IJMS) Vol. 18, No. 2 December 2011

Antecedents and Consequences of Employee Loyalty towards the Organization: Empirical Evidence from Indian Software Industry
Sreejesh S. &  Tavleen. Nagra
University of Hyderabad, India
Abstract Ɩ  Full Text
Although substantial differences exists between employee commitment and loyalty, none of the studies made an attempt to understand these constructs separately and analyse the causes and consequences of employee loyalty. In this context, the present study attempts to investigate the antecedents and consequences of employee loyalty in the software industry context. The findings of this paper indicate that employee engagement, satisfaction and commitment have positive and significant impacts on employee loyalty and are considered to be the significant causes for predicting employee loyalty; at the same time the consequences of employee loyalty such as absenteeism and intention to quit do not have any significant effect. However, the study finds that employee satisfaction has a significant effect on the intention to quit via employee absenteeism. The paper shows that, from the managerial perspective, it is necessary for employers and policy-makers to know the causes and consequences of employee loyalty to retain the employees in the long run. The findings of the study suggest that, in order to develop commitment and thereby loyalty, the employer should create a congenial atmosphere for employee engagement and should create satisfied employees. At the same time, this created satisfaction will reduce employee absenteeism and the intention quit. Thus, the attention of the software-employee management should fruitfully focus on the development of employee engagement, satisfaction and commitment, which will ultimately lead to employee loyalty.
Keywords: Customer engagement, job satisfaction, commitment, loyalty, absenteeism, intention to quit.

Competitiveness of Malaysia: A Comparative Study
P. R. Bhatt
UUM College of Business
Universiti Utara Malaysia
Abstract Ɩ  Full Text
The objective of this paper was to study the competitiveness of Malaysia in comparison with some countries like Indonesia, the Philippines, Singapore, Thailand, and Vietnam. The study analysed the competitiveness of Malaysia in terms of four parameters viz. Global competitive index ranking; Total, labour and capital productivity; Foreign direct investment inflows, and Trade competitiveness in terms of the cost of production. It is found that the domestic cost of production of exports of Malaysia has become competitive in 2007 and 2009. The study shows that Malaysia’s competitiveness has improved especially in the later part of 2000. There is a need to improve the competitiveness of Malaysia by focusing on research and innovation which can be achieved through collaboration of research institutions and industry.
Keywords: Malaysia, competitiveness, productivity, mergers and acquisition, price index.
JEL classifi cations: F10, F13

Customer Loyalty: The Case of Mobile Phone Users in Universiti Utara Malaysia
Meguellati Achour
Institute of Graduate Studies
Universiti Malaya
Nor Pujawati Md. Said
UUM College of Business
Universiti Utara Malaysia
Ali Boerhannoeddin
Faculty of Economics and Administration
Universiti Malaya
Abstract Ɩ  Full Text
This research attempts to examine the relationships between service quality, switching barriers and brand image and customer loyalty in the Universiti Utara Malaysia sector. Based on the theoretical model, a comprehensive set of hypotheses were formulated and a methodology for testing them was outlined. These hypotheses were tested empirically by means of questionnaires to demonstrate the applicability of the theoretical model. The results indicate that service quality, switching barriers, and brand image are separate constructs that combine to determine loyalty, with service quality and switching barriers exerting a stronger influence than brand image. Hypotheses H1, H2 were supported, while hypothesis H3 was rejected.
Keywords: Customer loyalty, brand image, switching barriers, service quality.

Acquiring International Knowledge and Experience: Internationalization of Small and Medium Enterprises (SMEs)
Shankar Chelliah
School of Management
Universiti Sains Malaysia
Mohamed Sulaiman
Kulliyyah of Economic and Management Sciences
International Islamic University Malaysia
Abstract Ɩ  Full Text
Purpose – This paper intends to understand the importance of acquiring international knowledge and experience and its relationship in the internationalization of Small and Medium Enterprises (SMEs) in the Malaysian context. Within this scope, this study sets out to further the discussion by comparing the global orientation of SMEs in Malaysia with their different levels of firm size. In a nutshell, the study further understands the moderating effect of firm size between the relationship of international knowledge and experience, and internationalization of SMEs.
Design/Methodology/Approach – The study is based on literature review in the areas of SMEs internationalization, international knowledge and experience, and the firm size. The data was collected using a survey instrument among 300 internationalized enterprises located in the northern region of Malaysia.
Findings – The results suggest that those firms that acquire international knowledge and experience have no significant relationship with firm internationalization. However, when firm size is used as a moderating factor, acquiring international knowledge and experience shows some importance for internationalization of firms. Interestingly, international knowledge and experience are important for relatively smaller firms. In other words, firm size is significant when relatively smaller SMEs acquire international knowledge and experience. It poses some implications for managers and policy makers.
Originality/Value – This study explores the use of the index of internationalization to measure the internationalization of SMEs in Malaysia.
Keywords: International knowledge and experience, index of internationalization, firm size.

Food Security: Self–Sufficiency of Rice in Malaysia
Fatimah Mohamed Arshad, Emmy Farha Alias & Kusairi Mohd Noh
Institut of Agricultural and Food Policy Studies
Universiti Putra Malaysia
Muhammad Tasrif
School of Architecture, Planning and Public Policy
Institute Technology Bandung, Indonesia
Abstract Ɩ  Full Text
Malaysia’s stance on food security is largely translated in terms of achieving self-sufficiency in rice production at about 65-70% of the local consumption. Since Malaysia does not have the comparative advantage in rice production, it implements a wide range of market interventions to achieve the intended level of rice production. The policy instruments include among others: guaranteed minimum price for paddy, price control, price and input subsidies and import monopoly. These interventionist instruments may not be sustainable in the long-term as they incur a high budgetary burden to the government, misallocation of resources and liberalization demand from WTO. The industry faces challenges in terms of land competition for urbanization and industrial uses and declining soil fertility due to heavy use of chemical fertilizer. This paper examines the influence of the fertilizer and the cash subsidies, as well as land conversion and fertility on the level of self-sufficiency in rice. A system dynamics model is applied to analyse the causal and feedback relationships of these variables in the paddy production system framework. The study shows that Malaysia may not be able to sustain the targeted self-sufficiency level without adequate R&D to address the production constraints particularly below-optimum productivity and the threats of climate change. The consumption of rice on the other hand continues to rise due to the increase in population.
Keywords: Paddy and rice, Malaysia, system dynamics, policy analysis.

The Economic Impact of the Economic Transformation Plan (ETP) On Malaysian Economy by the Year 2020: An Input-Output Analysis
Ahmad Fauzi Puasa, Zakariah Abdul Rashid & Raja Zarina Raja Mohamad
Malaysian Institute of Economic Research (MIER)
Abstract Ɩ  Full Text
Since independence, Malaysia has gradually built a robust and resilient economy, which has sustained strong economic growth. We have almost eradicated hardcore poverty, and at the same time, have been able to provide the society near universal access to basic health, education, communications and other public services. As a result, the quality of life for the vast majority of Malaysians has improved. However, achieving our bold aspirations of Vision 2020, by the year 2020, will be challenging. Despite the resilient economic condition, Malaysia still belongs to the middle-income group. In order to join the high-income nations, Malaysia needs to transform economically. This government is committed in pursuing this strategy to achieve high-income status. We have embarked on an Economic Transformation Programme (ETP) to propel our economy to 2020. The ETP builds upon the policy directions, strategies and programmes of the 10th Malaysia Plan incorporated in the New Economic Policy. In this ETP strategy programmes have laid out the long-term budget in order to achieve the vision 2020 objectives. Using these figures, this study has forecasted the expected economic impact on Malaysia in the year 2020 using the input-output analysis technique. The results of the study reveal that, by year 2020 Malaysia is expected to produce a total output estimated at RM1,603 billion, increase the total household income to RM 138.365 billion, and create 9.784 million employments for the Malaysian.
Keyword: Economic transformation programme, economic impact, inputoutput analysis.

Effects of Cooking Oil Subsidy Removals on Related Markets in Malaysia: A Comparative Static, Multicommodity, Multi Stage Production Approach
Jamal Othman & Yaghoob Jafari
Faculty of Economics and Management
Universiti Kebangsaan Malaysia
Abstract Ɩ  Full Text
Malaysia is contemplating removal of most of her subsidy support measures including subsidies on cooking oil which is largely palm oil based. This paper aims to examine the effects of cooking oil subsidy removals on the competitiveness of the oil palm subsector and related markets. This is done by developing and applying a comparative static, multi-commodity, partial equilibrium model with multi-stages of production function for the Malaysian perennial crops subsector which explicitly links different stages of production, primary and intermediate input markets, trade, and policy linkages. Results partly suggest that export of cooking oil will increase by 0.2 per cent due to a 10 per cent cooking oil subsidy reduction, while domestic output of cooking oil may eventually see a net decline of 1.97 per cent. The results clearly point out that the effect of reducing cooking oil subsidies is relatively small at the upstream levels and therefore it only induces minute effects on factor markets. Consequently, the market for other agricultural crops is projected to change very marginally.
Keywords: Multicomodity, comparative statics, partial equilibrium model, output supply-factor markets linkages, effects of cooking oil subsidy removals.

Issues of Commercialization Activities of Biotechnology-Related Researches in Malaysian Research Universities
Noorulsadiqin Azbiya Yaacob & Risyawati Mohamed Ismail
UUM College of Business
Universiti Utara Malaysia
Ahmad Hanis Mohd Shabli
UUM College of Arts and Sciences
Universiti Utara Malaysia
Amran Md Rasli
Faculty of Management and Human Resource Development
Universiti Teknologi Malaysia
Abstract Ɩ  Full Text
This study aims to explore issues of commercialization activities of research results among academic researchers who work in biotechnology-related researches in Malaysian Research Universities. Accordingly, the conceptual framework based on the ‘Innovation Implementation’ model has been assessed for its applicability in describing the phenomenon under study. Through interviews, elements as specified in the ‘Innovation Implementation’ model were found in this case study. Significant patterns and themes were also identified that suggest local industries, funding for research, development and commercialization as well as leadership, political interference, researcher’s attitude, transition management and legal perspectives are considered as the contextual factors that affect the commercialization activities of research results. Finally, the revised framework of commercialization-activities implementation based on the findings from qualitative analysis was recommended.
Keywords: Commercialization activities, research results, biotechnology, academic researchers and qualitative analysis.

Persekitaran Stesen Kerja dan Niat Untuk Berhenti
Zafir Mohd Makhbul
Fakulti Ekonomi dan Perniagaan
Universiti Kebangsaan Malaysia
Fazilah Mohamad Hasun
Fakulti Pengurusan dan Muamalah
Kolej Universiti Islam Antarabangsa Selangor
Abstract Ɩ  Full Text
Penyelidikan ini bertujuan memberikan bukti empirikal tentang perhubungan antara faktor persekitaran stesen kerja dengan niat untuk berhenti. Sampel seramai 500 operator pengeluaran telah dipilih daripada sebelas organisasi perkilangan elektronik yang berdaftar dengan Malaysian International Chamber of Commerce and Industry (MICCI) dengan menggunakan kaedah persampelan rawak berstrata berkadaran. Kaedah soal selidik digunakan dalam proses pengumpulan data kajian ini. Analisis regresi linear berbilang menunjukkan 59.1 peratus perubahan dalam niat untuk berhenti disebabkan oleh hubungannya dengan persekitaran stesen kerja. Analisis regresi linear berbilang secara terperinci menunjukkan hanya faktor reka bentuk ruang kerja dan tempoh masa bekerja sahaja yang signifi kan dengan niat untuk berhenti (p<0.01). Faktor pengudaraan, sistem bunyi dan pencahayaan tidak signifi kan dengan niat untuk berhenti. Penemuan kajian ini menunjukkan bahawa faktor reka bentuk ruang kerja dan tempoh masa bekerja memainkan peranan penting dalam meminimumkan niat untuk berhenti daripada organisasi. Persekitaran stesen kerja yang selesa boleh meningkatkan tahap daya saing pekerja dan menjamin modal insan yang cekap dan berkesan.
Kata kunci: Stesen kerja, ergonomik, stres, niat untuk berhenti, perkilangan.

Pelaporan Kewangan Menerusi Internet: Tinjauan Kajian Lepas
Mohd Noor Azli Ali Khan
Fakulti Pengurusan dan Pembangunan Sumber Manusia
Universiti Teknologi Malaysia
Noor Azizi Ismail
UUM College of Business
Universiti Utara Malaysia
Abstract Ɩ  Full Text
Makalah ini mengulas sorotan literatur berkaitan penyelidikan pelaporan kewangan menerusi Internet (PKMI). Hasil kajian menunjukkan bahawa penggunaan terma, dimensi dan penklasifi kasian berkaitan PKMI tidak konsisten dalam kalangan penyelidik. Perbezaan ini menyumbang kepada perbezaan dapatan kajian dan seterusnya gagal menerangkan dengan jelas faktor penentu yang mempengaruhi PKMI. Penelitian terhadap kajian PKMI turut mendapati sedikit sahaja kajian yang memberi fokus kepada pembinaan indeks pelaporan bagi menerangkan tahap PKMI. Pengajaran yang dapat dicungkil daripada perbincangan dan ulasan tersebut ialah perlunya satu kajian yang lebih komprehensif bagi membincangkan isu berkaitan PKMI.
Kata kunci: Terma, dimensi, faktor penentu dan pelaporan kewangan menerusi Internet.

Jangka Masa Keluar Daripada Kepompong Kemiskinan dan Ketermiskinan: Kajian Kes di Kedah Darul Aman, Malaysia
Siti Hadijah Che Mat
UUM College of Business
Universiti Utara Malaysia
Roslan Abdul Hakim
Othman Yeop Abdullah Graduate School of Business
Universiti Utara Malaysia
Abstract Ɩ  Full Text
Malaysia mencatatkan pengurangan kemiskinan yang memberangsangkan semenjak merdeka hingga kini. Kadar kemiskinan telah berkurangan daripada 52.4% pada tahun 1970 kepada 3.8% pada tahun 2009. Dalam Rancangan Malaysia ke Sepuluh (2010–2015), negara mensasarkan agar pada tahun 2015, purata pendapatan bagi 40% golongan isi rumah yang mempunyai pendapatan terendah meningkat daripada RM1440 pada tahun 2009 kepada RM2300 dan kadar kemiskinan dikurangkan kepada 2.0% pada tahun 2015. Persoalannya, berapa lamakah purata masa yang diperlukan untuk membebaskan mereka yang berada dalam kepompong kemiskinan untuk keluar daripada kepompongnya itu. Makalah ini cuba untuk menganggarkan tempoh masa yang diperlukan oleh isi rumah yang berada dalam kelompok kemiskinan dan ketermiskinan untuk keluar daripada kepompong kemiskinan dan ketermiskinannya dengan menggunakan beberapa anggaran pertumbuhan pendapatan. Kajian kes ini, ditumpukan kepada isi rumah petani di negeri Kedah Darul Aman. Satu kaji selidik secara bersemuka ke atas 384 responden dilakukan antara bulan April hingga Disember 2008. Analisis kajian menggunakan pendekatan seperti yang diperkenalkan oleh Morduch (1998). Dapatan menunjukkan pada kadar pertumbuhan pendapatan lima peratus, purata jangka masa yang diperlukan adalah lebih kurang 10 tahun untuk membebaskan mereka yang miskin (PGK: RM700.00) daripada kepompong kemiskinannya. Manakala isi rumah petani yang dalam keadaan ketermiskinan (PGK: RM430.00 pula mengambil masa selama lapan tahun untuk membebaskannya daripada kepompong ketermiskinannya. Kesimpulannya, sasaran untuk mencapai ketermiskinan sifar atau miskin tegar sifar adalah pada tahun 2021 dengan mengandaikan pertumbuhan pendapatan berlaku pada kadar tiga peratus setahun. Namun tempoh masa itu boleh dipendekkan apabila kadar pertumbuhan dicapai lebih tinggi. Sebagai contoh, miskin tegar sifar tercapai pada tahun 2016 apabila kadar pertumbuhan pendapatan berlaku pada kadar lima peratus setahun.
Kata kunci: Kemiskinan, ketermiskinan, tempoh masa keluar kemiskinan, Malaysia.

Pengaruh Sikap dan Norma Subjektif Terrhadap Niat Gelagat Kepatuhan Cukai Jualan Tempatan
Zainol Bidin, Zolkafli Hussin & Shalihen Mohd Salleh
UUM College of Business
Universiti Utara Malaysia
Abstract Ɩ  Full Text
Literatur cukai lalu menyentuh tentang banyak pemboleh ubah yang boleh mempengaruhi gelagat kepatuhan cukai terutama yang berkaitan dengan cukai langsung. Namun begitu, pemboleh ubah niat gelagat tidak banyak digunakan sebagai tumpuan utama sedangkan ia dikenal pasti sebagai pemboleh ubah anteseden bagi gelagat kepatuhan. Justeru, kajian ini dijalankan untuk mengenal pasti pemboleh ubah yang mempengaruhi niat gelagat kepatuhan cukai jualan tempatan, iaitu salah satu komponen cukai tidak langsung. Teori Tindakan Beralasan (Theory of Reasoned Action) yang dibangunkan oleh Fishbein dan Ajzen (1975) digunakan sebagai asas kajian. Sejumlah 338 pelesen cukai jualan tempatan di Semenanjung Malaysia telah terlibat sebagai responden kajian. Kaedah regresi berganda digunakan bagi melihat hubung kait antara sikap dan norma subjektif terhadap niat gelagat kepatuhan. Hasil kajian mendapati bahawa pemboleh ubah sikap dan norma subjektif masing-masing mempengaruhi secara positif dan signifi kan terhadap niat gelagat. Sikap dan norma subjektif dapat menerangkan 64% varian dalam niat gelagat kepatuhan cukai jualan tempatan. Implikasi dan cadangan terhadap pembuat dasar turut dibincangkan.
Kata kunci: Sikap, norma subjektif, niat gelagat, cukai jualan tempatan.

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