Employee Job Satisfaction Level at Employee Job Satisfaction at Mercantile Bank 37

Internship Report on Employee Job Satisfaction Level at Mercantile Bank Limited. Prepared For: Professor M.A. Ghulam Dastagir Secretary & Professor Internship Supervisor Bangladesh University Prepared By: Shajhan Shiraz ID# 200811119055 Batch: 19th BBA Date: October 5.2011 Bangladesh University Employee Job Satisfaction at Mercantile Bank 37

Eng. Golam Dustogir Senior Lecturer School of Business Bangladesh University Subject: Submission of the final report on Employee Job Satisfaction Level at Mer cantile Bank Limited Dear Sir, I like to express my gratitude to give me an oppor tunity to get oriented into the real job market for the implication of my theore tical knowledge into the practical experience. As a part of my BBA program this internship at Mercantile Bank Limited has given me an opportunity to get hands o n experience in Banking Arena at Bangladesh perspective. I enjoyed preparing the report though it was challenging to finish within the st ipulated time. In preparing this report, I have tried my level best to furnish a ll the relevant information and tried to identify the scope of betterment for th e employee job satisfaction of Mercantile Bank Limited. I am requesting to ackno wledge the report and enable me to fulfill my internship program and oblige ther eby. Thank you Sincerely, Shajhan Shiraz ID# 200811119055 Employee Job Satisfaction at Mercantile Bank 37

Executive Summary A significant portion of the Mercantile Bank Limiteds employees are young people and we know that Young people often have a fall back option that is mostly their parents on which they can depend on to some extent and that plays a role in mak ing them think it is safe to try for another job. Since they are opportunists in nature, they tend to find the earliest chance to grab a promotion and move vert ically upward through the hierarchy. Discriminations between employees and depar tments, the lack of coordination between departments have been a major deal brea ker for the MBL employees. And for the finance people who have been working in t hese financial institutions have quite a number of options when it comes to swit ching jobs. Especially since the employees at Mercantile Bank Limited are paid l ess than the other competitors in the banking industry, they often consider leav ing their jobs. This report looks into the different factors involving the emplo yee dissatisfaction of Mercantile Bank Limited employees and looks to mitigate t he issue to some extent. Employee Job Satisfaction at Mercantile Bank 37

Table of Contents THE ORGANIZATION PART..........................................................7 1.0 NAME, LOCATION AND HISTORICAL BACKGROUND..................8 2.0 FOUNDERS.................................................................... ......9 3.0 MISSION, VISION AND OBJECTIVES......................................10 4.0 ORGANIZATIONAL STRUCTURE............................................13 5.0 THE COMPANYS MAJOR FUNCTIONS, DESCRIPTION OF ITS BUSINESS, AND DETAILED DESCR IPTION OF VARIOUS FUNCTIONAL DEPARTMENTS........................................ ................................14 6.0 THE COMPANYS COMPETITIVE CONDITIONS, INDUSTRY ANALYSIS, AND SWOT ANALYSIS:... ..........................................24 7.0 STRATEGIC, OPERATIONAL AND LEGAL ISSUES FACED BY MBL ....................... .......................................................................29 8.0 MBLS CURRENT STATE OF OPERATIONS AND FUTURE DIRECTIONS....................... .....................................................31 THE PROJECT PART................................................................ ..36 1.0 INTRODUCTION................................................................ ..37 Employee Job Satisfaction at Mercantile Bank 37

2.0 OBJECTIVES OF THE STUDY.................................................39 ................................................................................ ..............41 3.0 SIGNIFICANCE OF THE STUDY..............................................41 4.0 METHODOLOGY................................................................. .56 5.0 HYPOTHESES.................................................................. ...60 6.0 FREQUENCY ANALYSIS........................................................68 7.0 CROSS TABULATION ANALYSIS............................................75 8.0 CORRELATION................................................................. ...90 9.0 REGRESSION ANALYSIS......................................................93 10.0 RECOMMENDATIONS.........................................................96 11.0 LIMITATIONS OF THE STUDY..............................................99 12.0 CONCLUSION................................................................. .100 Employee Job Satisfaction at Mercantile Bank 37

The Organization Part Employee Job Satisfaction at Mercantile Bank 37

1.0 Name, Location Background and Historical Mercantile Bank Limited is a scheduled private commercial Bank established on Ma y 20, 1999 under the Bank Company Act, 1991 and incorporated as a Public Limited Company under Companies Act, 1994. The Bank started commercial Banking operatio ns from June 02, 1999. From then within a short time MBL has established itself in a strong position in the economy of the country. It has earned significant re putation in the countrys Banking sector as Bank and created a wide image in the e ye of the people. The dreams of creating MBL, which is A Bank of 21st Century has become successful because of the initiative of some persons who are the sponsors of MBL. There are 30 sponsors in Mercantile Bank Limited and all of them are hi ghly regarded for their entrepreneurial competence. The Bank has launched a numb er of financial products and services since its inception. Among these, Monthly Savings Scheme, Family Maintenance Scheme, Double Benefit Deposit Scheme, Quarte rly Benefit Deposit Scheme, 1.5 Times Benefit Deposit Scheme, Advance Benefit De posit Scheme, Consumer Credit Scheme, Small Loan Scheme, Lease Finance Scheme, O verseas Employee Job Satisfaction at Mercantile Bank 37

Employment Loan Scheme, Car Loan Scheme, Home Loan Scheme and SME Loan have rece ived wide acceptance among the people. 1.1 Deposit Products 1. Monthly Saving Scheme 2. Monthly Benefit Deposit Scheme 3. Double Benefit Dep osit Scheme 4. Quarterly Benefit Deposit Scheme 5. Times Benefit Deposit Scheme 6. Advance Benefit Deposit Scheme 1.2 Loan Products 1. Consumer Credit Scheme 2. Small Loan Scheme 3. Lease Finance 4. Doctors Cred it Scheme 5. SME Loan Scheme 6. Personal Loan Scheme 7. Car Loan Scheme 8. Home Loan Scheme 9. Overseas Employment Loan Scheme 2.0 Founders Mr. Abdul Jolil (M.P.) is a Bangladeshi politician. He is a former minister of B angladesh Government and the member of Central Committee of Bangladesh Awami Lea gue and current general secretary of Awami League. He is founder Chairman of Mer cantile Bank Limited. He expressed his satisfaction at the achievement of the ba nk during the year 2002 and advised the executives and officers to come forward with new banking products and innovative ideas. He is a current Member of Parlia ment and elected from Naogoan District. Employee Job Satisfaction at Mercantile Bank 37

3.0 Mission, Vision and Objectives 3.1 Mission To become the most caring bank To be focused for equitable growth ba sed on diversified deployment of resources Nevertheless to remain healthy and ga infully profitable Bank. 3.2 Vision MBLs vision is to become the Bank of Choice by transforming the way it does business and developing a truly unique financial institution that delivers superior growth & financial performance and be the most Recognizable Brand in t he financial services in Bangladesh. MBL dreams to become the bank of choice of the general public which includes both the consumer and the corporate clients. T hey want to build such an image that whenever people will think of a bank, they will think of Mercantile Bank. 3.3 Objectives MBL is always ready to maintain th e highest quality to services by upgrading banking technology prudence in manage ment and by applying high standard of business ethics through its established co mmitment and heritage. MBL is committed to ensure its contribution to national economy by increasing it s profitability through professional and disciplined growth strategy for its cus tomer and by creating corporate culture in international banking arena. Employee Job Satisfaction at Mercantile Bank 37

 The objective MBL is not only to earn profit but also to keep the social commitm ent and to ensure its co-operation to the person of all level, to the businessma n, industrialist-specially who are engaged in establishing large-scale industry by consortium and the agro-based export oriented medium & small-scale industries by self-inspiration. MBL is always pre-occupied to encourage the inventors for purchasing its share b y creating the opportunity of long-term investment and increasing the value of s hare through prosperity as developed day by day. MBL is playing a vital role in Socio-economic development of Bangladesh by way o f linkage with rest of the world by developing worldwide network in domestic and international operations. 3.4 Strategies Mercantile Bank Limited will be a world class organization in ter ms of service quality and establishing relationships that will help its customer s to develop and grow successfully. MBL will be the market leader in the concept of Excellence in Banking by providing accurate, reliable and timely services. T hat is the reason it has created some values which support their strategies. The values are given below. Shareholders - Create sustainable economic value for ou r shareholders by utilizing an honest and efficient business methodology. Commun ity - Committed to serve the society through employment creation, support commun ity projects and events and be a responsible corporate citizen. Employee Job Satisfaction at Mercantile Bank 37

Customers Render state-of-the-art service to our customers, offering diversified products and aspiring to fulfill their banking needs to the best of our abiliti es. Employees Be reliant on the inherent merit of the employees and honor our re lationship as a tribute to be a part of the renowned financial institution. Work together to celebrate and reward the unique background, viewpoints, no matter w hat the job is. Accountability As a bank, we are judged solely by the successful execution of our commitments, and we expect and embrace that form of judgment. We are accountable for providing the highest level of services along with meetin g the strict requirements of regulatory standards and ethical business practices . Trust We value mutual trust, which encompasses transparent and candid communic ations among all parties. Employee Job Satisfaction at Mercantile Bank 37

4.0 Organizational structure 4.1 Corporate Hierarchy Employee Job Satisfaction at Mercantile Bank 37

5.0 The companys major functions, description of its business, and detailed descr iption of various functional departments 5.1 Major Functions The functions of commercial Banks are now wide and varied. However, the function s of Commercial Banks may broadly be classified under the following two categori es1. Primary Functions 2. Secondary Functions 5.1.1 Primary Functions: The primary functions of Mercantile Bank Limited are same as other Commercial Ba nks. These functions includesi. Accepting deposits; ii. Lending money; iii. Crea ting credit; iv. Creating medium of exchange. 5.1.2 Secondary Functions: Modern commercial Banks like MBL, besides performing the functions, cover a wide range of financial and on-financial services to meet the growing needs of the t ime. Some of these services are available only to the customers while others are available to the public in general. The subsidiary services provided by a moder n banker may be classified into following three groupsi. Agency Services ii. Gen erally Utility Services Employee Job Satisfaction at Mercantile Bank 37

iii. Foreign Exchange Business 5.2 Divisions of Mercantile Bank Limited: If the jobs are not organized considering their interrelationship and are not al located in a particular department it would be very difficult to control the sys tem effectively. If the departmentalization is not fitted for the particular wor ks there would be haphazard situation and the performance of a particular depart ment would not be measured. Mercantile Bank Limited has nine divisions which are as follows: 5.2.1 Credit Risk Management: Employee Job Satisfaction at Mercantile Bank 37

The primary objective of this division is to evaluate the credit worthiness and debt payment capability of present loan customers and loan applicants. The respe ctive branches send all loans and advances proposals from the prospective borrow ers to the Head office Credit Risk Management (HOCRM) for an approval. If this d epartment finds the loan proposal attractive, it either approves it or sends it for board approval. It is also responsible for keeping track of the credit portf olio by obtaining regular information from the branches. It sets prices for cred its and ensures affecting it at the branches. This department also monitors the various loan accounts of the branches and prepares various statements for Bangla desh Bank. The Credit Risk Management Department is assisted by the Credit Admin istration Department, which is mainly concerned with the post-approval functions of the division. The aspects that are critically tracked and monitored by Credi t Admin are Credit expiry Past dues Excess over limit Document deficiency Report ing Credit Administration is involved in basically 2 broad functions: Loan Monit oring Documentation Loan Monitoring: The important aspects of this part are: Follow approval terms P roper loan disbursement Monitor interest payments Employee Job Satisfaction at Mercantile Bank 37

 Monitor principal repayment Balance with general ledger Documentation: The important functions of this part are: Look at sanction terms Fill up loan documentation checklist Ensure Proper loan documentation Obtain cli ent sign off Filing with the Registered Joint Stock Corporation ( RJSC) Register ed mortgage deed execution 5.2.2 Consumer Banking Division: The mission of Consumer Banking is to serve individual customer throughout every stage of their life stage. The consumer banking activities are being carried ou t through the 50 branches of Mercantile Bank Limited operating countrywide. Amon g these branches 19 branches are located in Dhaka. The broad functions of this d ivision are: Settlement of accounts Building strong relationship with individual customers Identifying individual needs of the customers and thus helping design products that will meet their needs. Providing locker services Providing ancill ary services 5.2.3 Human Resources Division: Employee Job Satisfaction at Mercantile Bank 37

The employees are Mercantile Banks most valuable resource. Having competent and p rofessional employees is becoming increasingly important in todays competitive wo rld, and MBL has a significant competitive advantage in this respect. Also the n ew employees are recruited with sound academic background and given proper train ing after recruitment to groom up for their responsibilities. The broad function s of this division are: Staffing: An important task of the HR division is to pre pare all formalities regarding appointment and joining of the successful candida tes. Training: HR department emphasizes on training and development in order to minimize the knowledge and skill gaps and enhance business awareness among the b ank employees. To this effect, this department arranges various training program s for the bank employees both at the Banks own Training Institute at Purana Palta n and at various outside locations. 5.2.4 Audit and Compliance Division: The main function of this division is to provide legal assistance to the branche s and to ensure strict adherence of rules and policies by all concerned official s of the bank through routine and surprise inspection and audit. The functions o f this division are as follows: Implement rescheduling process of stuck-up loan to the branches for obtaining repayment schedule through strong persuasion and serve final notice etc. as the condition required. Monitor the individual cases with respect to their securitie s, value of securities, and finally review of possibility of recovery of banks stuck-up classified loan. stigate suspicious or irregular matters being directed by higher management. Also conduct such inquiry being requested by affected branch-in-charges. time follow-up of stuck-up advances of branches and keep the branches under constant pressure. Employee Job Satisfaction at Mercantile Bank 37 Inve

Time to

Inspect all branches operations at least once in a year. Carry out surprise audit as felt necessary. 5.2.5 Finance and Accounts Division: Finance and Accounts division is a very important division for any Bank, because its task is to -- Maintain daily liquidity positions, treasury bills, call money , debentures, placement of funds etc. Monthly-accrued interest calculation of all interests bearing acco unts, inter-branch calculation for Head Office, amortization of all fixed and other assets. Prepara tion of statement of accounts and profit and loss account for the bank. Weekly d eposit and advance analysis of the bank. Cost of fund analysis. Maintenance of a ccounts, preparation of annual report of the bank, maintenance of provident fund accounts, maintenance of income and expenditure posting, maintena nce of salaries and wages of the employees etc. Fulfilling reporting requirement s of Bangladesh Bank. 5.2.6 Information Technology Division: With the implementation of Information Technology, the IT division has become a very important contributor to the banks overall efficiency and profitability. At present, the IT department serves the following functions: Development of softwa res for banks operation according to need, their maintenance and purchase of new softwares. Maintenance of computer hardwares and upgrading the PCs whenever requ ired. Training of the staff so that they can perform properly in the automated e nvironment. Employee Job Satisfaction at Mercantile Bank 37

Preparing training materials.

Troubleshooting with the new software.

5.2.7 Administration: This department looks after the administrative matters and procurement and suppl y of all tangible goods to the branches. Some of the main functions of this divi sion are described as follows: Make arrangement for branch opening such as makin g lease agreement, internal decorations etc. Print all security papers and bank stationery. Purchase necessary stationery items. Distribute this stationery to t he branches. Purchase all sorts of furniture and fixtures for the branches. Inst all and maintain different facilities for the branches etc. Issuance of power of attorney to the officers of the branches. Issuance of different circulars of Ba ngladesh Bank and other banks. General correspondence with Bangladesh Bank and o ther banks. Advertise in the different media about tender notice, general meetin gs and public interests. Employee Job Satisfaction at Mercantile Bank 37

5.3 Products and Services 5.3.1 Small & Medium Enterprise (SME) Over the years, continuous time and effort has been put in to understand the tar get market and their needs. The SME unit has worked on risk management system to cover the typical needs that the clients might have and has come up with flexib le payment patterns which will help all the clients in the long run. 5.3.2 Corporate Banking Mercantile Bank Limiteds Corporate Banking team provides banking services as well as financial support to local large and medium organization. Corporate Banking is the most conventional mode of business in low risk sectors. Services that cor porate team provides are: Employee Job Satisfaction at Mercantile Bank 37

5.3.3 Personal Banking MBL exerts special effort to develop and introduce new products and services thr ough extensive market research to meet every facet of modern business. Different products of Personal Banking are as follows: Employee Job Satisfaction at Mercantile Bank 37

5.3.4 Depository Product: 5.3.5 New Product and services The bank has its concentration for new product and services development for sati sfying its customer and increasing its customer base. The bank firmly believes t hat technology based product and services will play significant role in the perf ormance of the bank as people are getting more conscious about their service qua lity. There are some new products and services that Mutual Trust Bank Limited ha s lately introduced. These are: Employee Job Satisfaction at Mercantile Bank 37

6.0 The companys Competitive Conditions, Industry Analysis, and SWOT Analysis: 6.1.1 World Economy- An over view In the era of trade liberalization, globalization has presented new challenges a s well as greater opportunities for countries all over the world. Economic bound aries of nations are being abolished and the world is gradually becoming one glo bal village. E-commerce is becoming the predominant mode of transactions. Revolu tionary changes in the fields of cost control, retail channels, range and delive ry of services, accessibility and reach are being witnessed. 6.1.2 Bangladesh Economy-An over view The macro economic development during financial year 2008-2009 was marked by a h ealthy GDP growth and moderate inflation. For the second year running bumper ric e harvest maintained growth at above 6% and GDP growth during the FY 2008 was at 5.59%. On the other hand, the growth performance in industry was slow with manu facturing growth 7.4% being one of the lowest rates in the recent years. Several unfavorable factors contributed to this situation which included disturbance in the supply of natural gas which in the turn affected the power supply and produ ction activities. Other than that import of raw materials and private sector cre dit also affected the manufacturing growth. Furthermore, labor disputes during t he second quarter of the year badly affected the operation of Chittagong port. I n the services sector, growth in transportation, storage and communication contr ibuted to about 13% to the total GDP but growth in trade sector was slow due to lower import growth. During the year some positive initiative were taken in the banking sector with improvements in the legal and regulatory environment to impr ove loan recovery but unfortunately the high quantum of nonperforming assets and under capitalization continued to plague the entire Employee Job Satisfaction at Mercantile Bank 37

banking sector thus causing a major threat to the macroeconomic stability. The s ize of classified loans increased significantly which contributed to lower profi tability of the banks. 6.1.3 Industry Analysis We know that this is a monopolistic competitive market where a companys main focu s is to have service differentiation. Banks are competing with each other on the basis of service differentiation. Bangladesh economy has been experiencing a ra pid growth since the 90s. Urbanization and lifestyle changes along with the eco nomic development have created a demand for banking products and services to sup port consumer investments in a profitable manner. To meet the overgrowing demand of consumers the number of commercial banks in Bangladesh is increasing day by day. The total number of banks operating in Bangladesh is 49. Out of the 49 bank s, four are Nationalized Commercial Banks (NCBs), 28 local private commercial ba nks, 12 foreign banks and the rest five are Development Financial Institutions ( DFIs). Bangladesh Bank (BB) regulates and supervises the activities of all banks . 6.1.3.1 Nationalized Commercial Banks (NCBs) 1. Sonali Bank 2. Janata Bank 3. Agrani Bank 4. Rupali Bank 6.1.3.2 Private Commercial Banks (PCBs) 1. Pubali Bank 2. Uttara Bank 3. National Bank Ltd. 4. The City Bank Ltd. 5. Uni ted Commercial Bank Ltd. 6. Arab Bangladesh Bank Ltd. 7. IFIC Bank Ltd. 15. Al-A rafah Islami Bank Ltd. 16. Social Investment Bank Ltd. 17. Dutch-Bangla Bank Ltd . 18. Mercantile Bank Ltd. 19. Standard Bank Ltd. 20. One Bank Ltd. 21. EXIM Ban k 37 Employee Job Satisfaction at Mercantile Bank

8. Islami bank Bangladesh Ltd. 9. Al Baraka Bank Bangladesh Ltd. 10. Eastern Ban k Ltd. 11. & Commerce Bank Bank Ltd.) 12. Prime Bank Ltd. 13. South East Bank Lt d. 14. Dhaka Bank Ltd. 22. Bangladesh Commerce Bank Ltd. 23. Mutual Trust Bank Limited 24. First Securi ty Bank Ltd. National Credit 25. The Premier Bank Ltd. Ltd. (NCC 26. Bank Asia Ltd. 27. The Trust Bank Ltd. 28. Shah Jalal Bank Limited (Based on Islamic Shariah) 6.1.3.3 Foreign Banks 1. American Express Bank 2. Standard Chartered Grindlays Bank 3. Habib Bank Ltd. 4. State Bank Of India 5. Credit Agricole Indosuez (The Bank) 6. National Bank of Pakistan 7. Muslim Commercial Bank Ltd. 8. City Bank NA 9. Hanvit Bank Ltd. 1 0. HSBC Ltd. 11. Shamil Islami Bank Of Bahrain EC 12. Standard Chartered Bank 6.1.3.4 Development Banks 1. Bangladesh Krishi Bank 2. RajshahiKrishiUnnayan Bank 4. Bangladesh ShilpaRin Sangstha 5. Bank of Small Industries & Commerce Bangladesh Ltd. 3. Bangladesh Sh ilpa Bank 6.1.3.5 Other Banks 1. Ansar VDP Unnayan Bank 2. Bangladesh Samabai Bank Ltd. (BSBL) 3. Grameen Bank 4. Karmasansthan Bank 37 Employee Job Satisfaction at Mercantile Bank

The banking industry is quite saturated and competitive. Some of the major playe rs in this industry are the Hong Kong and Shanghai Banking Corporation (HSBC), S tandard Chartered Bank (SCB), City bank, Islami Bank Limited, BRAC Bank, Prime B ank Limited, Mercantile Bank Limited and Dutch Bangla Bank Limited. Over the yea rs these banks are significantly holding the market share and continuously exert ing pressure over one another. This highly competitive and profitable industry t herefore inspired others to come forward and thus made this industry even more c ompetitive and tougher. Mercantile Bank Limiteds direct competitors are the: 6.2 SWOT Analysis of MBL SWOT analysis is used to measure views of a single issue from different patterns . From historical data and practical observation, I found the following Strength opportunity, weakness and threat under SWOT analysis of Mercantile Bank Limited : 6.2.1 Strengths Not engaged in unfair business practice. Well-known reputed bank in the market. 37 Employee Job Satisfaction at Mercantile Bank

 Concentrated market. Officers are highly educated and experienced. Deposit is la rger than advance. Attractive credit and deposit schemes than competitive market s. Well-furnished and Air-conditioned Bank. Strictly complies of government bank ing rules, regulations and acts. 6.2.2 Weakness Small market shares in Banking-business. Short time experience in the banking se ctor. Growth is slower than other competitive banks. Training programs to office rs are not so effective and adequate. Lack of advance technology utilization in all aspects. 6.2.3 Opportunities Can provide more attractive and deposit facilities and credit facilities. Take i ncentives to provide high quality service. Can increase the advertising of the B ank to highlight latest services of MBL. Can adopt high technology based inter-branch networking system. 6.2.4 Threats The number competitors in banking sectors are increasing. Governments increasing rules and regulations are not so inspiring. Competitive performance is in high positive flow. Competitors are using more advance technological system. Governme nt tendency of imposing tax and VAT is becoming stricter. 37 Employee Job Satisfaction at Mercantile Bank

7.0 Strategic, Operational and Legal Issues faced by MBL 7.1 Issues to be considered 1. The current era of banking has become more uncertain and challenging. Traditi onal concepts have changed and innovative products and channels of delivery such as: telephone and internet banking are gaining popularity which is resulting in the reduced necessity for the brick and mortar branch banking system. Another t rend that is apparent in the banking sector, is the shifting of focus from corpo rate banking to accommodate retail and SME banking with a view to minimize risk and diversify the portfolio. Another issue that attracts considerable attention is the increase in operating costs due to improved service quality level which h as become compulsory to meet the requirements of the customers. 2. However, apar t from these changes, the major problem that faces Mercantile Bank Limited is th e substantial increase in the inflation level worldwide which can be attributed as the primary reason for the growth of the financial sector. This is because, d ue to sharp changes in industrial inputs and food grains prices, the same volume of imported resulted in higher bills without bringing in proportionate enhancem ent in real economic activity. Another issue to consider for Mercantile Bank is the slowdown in industrial credit because of various socio-political changes. 7.2 Strategies to Address the Issues & Problems 1. The approach that Mercantile Bank Limited should take in addressing the vario us issues and problems is through means of adaptability. But this could only be done if the bank has a motivated pool of competent, talented and trained employe es, who has the Employee Job Satisfaction at Mercantile Bank 37

ability to foresee the changes and devise business directions accordingly. There fore, investment in human resources should be of top priority. 2. In addition, t he management of the bank has already recognized the elements that will pose ris ks in the near future in retaining the banks superior position. And accordingly h ave developed strategies and listed priorities in order to overcome these risks. Employee Job Satisfaction at Mercantile Bank 37

8.0 MBLs Current State of Operations and Future Directions 8.1 Current Operations of MBL The incessant fall out of international credit market due to world economic melt down resulting sluggish growth has put significant pressure on financial perform ance of banks and financial institutions worldwide. MBL has achieved continuous growth in almost all arenas of its business despite this economic crisis, facing intensified competition of the industry. The bank remained in strong financial strong position with its continued focus on the vision of becoming countrys fines t corporate citizen, providing excellent and need based customer service. The re cent fiscal years have all contributed to the achievement of the financial secto r of Bangladesh. This performance was praiseworthy considering the worldwide eco nomic downturn. In this time, Bangladesh Bank has increased the capital adequacy requirement of the banks from 9 percent to 10 percent of RWA (Risk Weighted Ass ets) and has also introduced general provision on Off-balance sheet items in an effort to reduce inflation and strengthen lending facilities of Commercial banks for better asset and liability management. These steps have affected both the b anks and the borrowers. And due to the political situation in recent times, the lack of business confidence and cautionary monetary policy resulted in excess li quidity in the banking sector. The growth of deposits and lending activities has also slowed down from the level of last year. These incidents will result in a reduce return on assets and equity for the sector. The recent trend of the custo mers to be more interest sensitive has led to the lowering of the spread for the banks. Even with all these adverse conditions the Employee Job Satisfaction at Mercantile Bank 37

Private Commercial Banks continued to perform better due to balanced diversifica tion of its assets among the Retail, SME and Capital Market. The recent years ha ve been all been fruitful for Mercantile Bank Limited despite of shocks in the e conomy. The bank was able to make a record operating profit of Tk 1.66 billion i n 2010, an increase of 29.73 percent from the previous year. Net profit attribut able to shareholders reached Tk. 802.52 million. The return on average equity re mained 18.80 percent and earnings per share (EPS) stood at Tk. 37.41 during 2010 . The non-performing loan ratio is 2.54 percent. Capital adequacy ratio was at 1 0.48 percent, which is above the required return of 10 percent. Cost income rati o declined to 32 percent from 34 percent of previous year. This strong performan ce of the bank can be attributed to its continuous growth of loans and deposits and also to the remarkable performance of the merchant banking division. In this time, deposits of the bank rose to 58.30 billion from 49.54 billion in 2010. In dicating a growth of 17.68 percent. Loans and advances stood at 48.30 billion wh ich was 41.99 at the end of year 2009. Percent during the year. The bank transac ted foreign trade to the amount of 137.84 billion indicating a growth of 26 perc ent during the current year. (BDT in million) Particulars Authorized Capital Pai d-up Capital Assets Investments Deposits Advances Import Export 2006 1200.00 319 .77 16383.17 882.47 15150.42 8896.19 15112.50 11377.30 2007 1200.00 639.53 18324 .73 1382.29 16285.19 10775.95 20380.80 15250.60 2008 1200.00 799.41 24098.09 210 7.26 22385.19 17669.29 28325.20 17411.00 2009 1200.00 999.27 28890.48 3517.68 25 727.43 21857.05 33271.90 24108.57 2010 1200.00 1199.12 37159.65 5407.90 33317.64 26842.14 N/A N/A Employee Job Satisfaction at Mercantile Bank 37

Profit after tax Earning Per Share Price earning ratio No. of Branches No. of Em ployees 256.74 70.59 15 663 215.91 57.88 20 879 312.58 31.28 17 times 25 945 386.83 32.26 9 times 28 1,115 494.22 41.22 10 times 31 1315 8.2 Future Directions It is expected that in the years to come, increased remittance flow, good export performance, steady industrial growth, accelerated performance in small and med ium enterprise and consumer loan, implementation of efficient risk management an d corporate governance are the events that will have positive impact on the perf ormance of the banking sector. Mercantile bank is well positioned to meet the ch allenges of the future as it is expected to continue to harness the potential of retail, credit card, SME (Small & Medium Enterprise) and remittance market. The bank will also focus on its large existing customer base to generate more busin ess from them. However, the continued pressure on interest margins, fees, exchan ge earnings and increased provision requirement for Retail, Credit Card, SME, Of f-balance sheet items and implementation of BASEL II by 2009 will pose a challen ge to the financial sector in the near future. Keeping all these in mind, Mercan tile Bank is committed to adhere to good governance and practices and sound risk management policies and strict credit evaluation procedure. 8.3 Employees at Mercantile Bank Employee Job Satisfaction at Mercantile Bank 37

Employee satisfaction is the terminology used to describe whether employees are happy and contented and fulfilling their desires and needs at work. Many measure s purport that employee satisfaction is a factor in employee motivation, employe e goal achievement, and positive employee morale in the workplace. Employee sati sfaction, while generally a positive in an organization, can also be a downer if mediocre employees stay because they are satisfied with your work environment. Factors contributing to employee satisfaction include treating employees with re spect, providing regular employee recognition, empowering employees, offering ab ove industryaverage benefits and compensation, providing employee perks and comp any activities, and positive management within a success framework of goals, mea surements, and expectations. Employee satisfaction is often measured by anonymou s employee satisfaction surveys administered periodically that gauge employee sa tisfaction in areas such as: management, understanding of mission and vision, empowerment, teamwork, communic ation, and Co-worker interaction. MBL believes that employee satisfaction drives the bank work better and therefor e the bank tries to provide every facility it can to the employees. HR policies laid emphasis on the employee benefits as the bank thinks them as valuable asset s and the bank intends to make them more valuable providing them sufficient pecu niary benefits, nurturing their knowledge as well. Good work environment is a ve ry important factor for the employees and MBL does 37 Employee Job Satisfaction at Mercantile Bank

offer a hygenic work environment. Better career growth has been ensured so that the employees can lead a standard life. Attractive compensation bonus, yearly an d festival bonuses, training faclity, retirement facility, providend fund facili ty, gratuity fund, leave fare assistance, disability benefits, health care benef its by permanent doctors and variety of loan facilities at a lower interest rate - these benefits are always available for the employees. Costs incurred for nurs ing the employees in the year 2010 and 2009 are as follows: Employee benefits Basic Salary (BDT in million) Festivals and incentive bonus (BDT in million) All owances (BDT in million) Training expenses (BDT in million) Year 2010 Year 2009 351.43 218.94 243.27 9.09 255.66 165.96 196.42 7.00 Growth 37.45% 31.92% 23.85% 29.85% Employee Job Satisfaction at Mercantile Bank 37

The Project Part Employee Job Satisfaction at Mercantile Bank 37

1.0 Introduction Employee satisfaction surveys provide the information needed to improve levels o f productivity, job satisfaction, and loyalty. There is a direct link between em ployee satisfaction and financial results. In addition to the intrinsic desirabi lity of having employees at the workplace who are satisfied, administrators have also been concerned about the job involvement of employees which enhances the g oal commitment and reduces the turnover of employees. Employees with higher job satisfaction believe that the organization will be satisfying in the long run, c are about the quality of their work, are more committed to the organization, hav e higher retention rates, and are more productive. Job satisfaction, which has b een studied extensively, is a function of several important variables - especial ly the characteristics of the job itself (Hackman and Oldham, 1975), and the org anizational climate (Litwin and Stringer, 1968). Job characteristics have been s hown in many studies to influence the job satisfaction of employees (see for ins tance, the extensive review by Rabinowitz and Hall, 1977). Organizations can ide ntify the root causes of job issues and create solutions for improvements with a n accurate perspective of employee views. There is a need to discover what motiv ates people, what drives loyalty, and what genuinely makes and keeps your employ ees happy. Satisfaction levels will increase when employees know that their issu es are being addressed. This research has been undertaken with objective of: Finding the areas of employ ee satisfaction or in other words what are the factors that employees deem impor tant to him/her. Employee Job Satisfaction at Mercantile Bank 37

Analyzing and identifying the key factors that will achieve employee satisfactio n to optimum levels. 1.1 Purpose of the Research Mercantile Bank Limited is operating in such a market where they have high compe tition as it has become a monopolistic competitive market. MBL is expanding its business and because of this reason they need employees especially when they ope n a new branch. Thats the reason Mercantile Bank Limited is popular among the job seekers but there are plenty of MBL employees who are not satisfied with their job. The purpose of this research is to identify the specific reasons why the MB L employees are dissatisfied with their job. The business reason for this resear ch is that I can provide the information to top level management so that they ca n reduce the employee job dissatisfaction level. 1.2 Research Question What are the reasons behind the job dissatisfaction of MBL employees? Does it ha ve any real impact on the banks performance? In the report I have tried to find o ut answers to the following questions: 1. What is the importance of employee sat isfaction? 2. What are the factors that influence the employee satisfaction? 3. Reasons behind the job dissatisfaction of MBL employees? 4. How can the top leve l management minimize the job dissatisfaction level? 5. What are the roles and r esponsibilities of a branch manager in order to minimize the dissatisfaction lev el? Employee Job Satisfaction at Mercantile Bank 37

2.0 Objectives of the study I tried to finish this specific project based on a survey among the employees of Mercantile Bank Limited. Along with that, to fulfill the requirement of this course (BUS 49 8) in a realistic and practical way, what I guess it will be helpful for me in future. 2.1 Broad objective To find out the reasons behind the job dissatisfaction among the employees of MBL . The general purpose of this study is to determine the influential factors makin g the MBL employees dissatisfied with their job and linking these factors with t he possible problems that MBL can face in future. This broad objective is to fin d out the reason why MBL employees are dissatisfied even though this is a lucrat ive work place for the job seekers. 2.2 Specific objective To present an overview and brief introduction of Mercantile Bank Limited. To fin d out what may occur if employees are dissatisfied. The possible ways to reduce their dissatisfaction level. I decided to pursue my research goal through a questionnaire based survey conduc ted on the employee of Mercantile Bank Limited. My targeted respondents were the employees of MBL who have served MBL for at least one year. The questionnaires were designed as the apparatus with which I could shape this project. They were designed on the basis of Relevance, Accuracy and Consistency. The questionnaires were Relevant in the sense that only the most important questions were entered, Ac curate in the sense that the questions were designed to gather accurate and error free information from the respondents and finally Consistent in the sense that, s ome questions were added simply to verify the consistence in the response patter ns of the respondents and thus verifying whether they actually understood the to pic. Employee Job Satisfaction at Mercantile Bank 37

2.3 Scope of the Study Since the most important factor for any service sector is to retain the trained and experienced employees and hence increase productivity. If majority of the em ployees are dissatisfied then they will eventually quit the company in future an d this is a big threat for a company as they are the people who provide the serv ices and earns profit for the company. This report looks to find out the dissati sfaction level of the employees of MBL and the factors on which the job dissatis faction level depends, which affects the revenue of the bank. The scope is that, this report may give ideas to the management, so that they can take decisions r egarding modifying the strategies of providing incentives to the employees to re duce the current job dissatisfaction level. 2.4 Types of Information The survey gathered information about employee satisfaction level in these key a reas: Employee Job Satisfaction at Mercantile Bank 37

3.0 Significance of the Study The purpose of conducting this research is to find out the employee satisfaction level and the scope of improvement in order to achieve more productivity. This study will help MBL to gain more knowledge about the satisfaction level of the e mployees and will help them to redefine their strategies to increase productivit y. It will also assist in developing new ways to keep the employees motivated an d reduce cost due to arranging training and workshops. We will be able to get a brief overview of the employee satisfaction level in Financial Sectors in Bangla desh especially in MBL. 3.1 Literature Review 3.1.1 Job Satisfaction and Dissatisfaction Hezbergs two factor theory of job satisfaction Hezbergs two factor theory of job satisfaction (Hygiene Theory): Hezbergs two fact or theory attempts to explain satisfaction and motivation in the workplace. Acco rding his theory, 37 Employee Job Satisfaction at Mercantile Bank

satisfaction driven by motivation and dissatisfaction is driven hygiene factors. Motivating factors are considered to be intrinsic to the job, or the work carri ed out. Motivating factors are factors those make people want to perform, and ac hieve. Motivating factors provide people with satisfaction, such as achievements , recognition, promotion opportunities etc. Hygiene factors include aspects of t he working environment such as pay, company policies, and other working conditio ns. According to Hezbergs, adequate fulfillment of Hygiene factor influence emplo yees to be Not dissatisfied and inadequate hygiene fulfillment lead to dissatisfac tion. What causes job satisfaction: Studies have shown that, job satisfaction is strongly correlated with the work itself. Enjoying the work itself leads to highes t level of job satisfaction. Other job satisfaction facts include, pay, coworker s, opportunity for advancement etc. According to this theory, personality plays a very important role. People with positive personality are generally more satis fied. According to research, money motivates and satisfies employees only up to a certain level. After that level, money cannot satisfy an employee. Job Dissatisfaction and Retention Rate If the employees are satisfied then they are not going to switch the job however if they are dissatisfied with their job then in near future they will switch to another organization and this will lead to low retention rate for the company, in this case the company is Mercantile Bank Limited. As we know that trained emp loyees are the valuable resources for a company, if they start switching the job then it can be possible that the company will be collapsed as they are in the s ervice industry and the service providers meaning the employees are leaving the company one by one because of the job dissatisfaction. The more employees will s witch the job the more retention rate will be going down for Mercantile Bank Lim ited. Factors Contributing To Retention Employee Job Satisfaction at Mercantile Bank 37

The literature clearly indicated that there are six keys to retaining personnel. They are recruiting, communications, training, job satisfaction, pay, and benef its. There is a direct link between job dissatisfaction and retention. The other factors also play important role in determining the workplace environment and r etention. Recruiting It is evident that the effort to retain the best personnel begins with recruitin g. Attracting potential candidates and retaining the performers are not two diff erent things, but is the same thing. Both of these require creating and maintain ing a positive reputation, internally as well as externally. By representing the organization realistically, a department will attract those who will be content working within the culture (Marx, 1995). Denton (1992, p.47) follows this up by stating that, The better the match between recruits and the organization the mor e likely you are to retain them. Lynn (1997) believes that you must take time dur ing the hiring process to make wise decisions. The employer must be open and tru thful about the working conditions, responsibilities, opportunities and other de tails to reduce the chances of making hiring mistakes. Taylor and Cosenza (1997) emphasized this thought by noting that it is imperative that companies give pro spective employees a true picture of the organization, if they hope to match the personality type with the climate and culture of the organization so that in fu ture they do not feel cheated and leaves the job. Communications Taylor and Consenza (1997) indicate that it is important to communicate the value s of the organization to its employees in order to increase their level of conse nt, participation, and motivation. The vision of the organization must be shared with the employee as well as the importance the employees play in helping fulfi ll it. Lack of communication may result in gaps between managements perceptions o f quality employment and the employees desired and Employee Job Satisfaction at Mercantile Bank 37

perceived quality of employment (Taylor &Consenza, 1997). There must be a common purpose and trust among employees. People want to feel as if they are a vital p iece of something larger (Carney, 1998). As Denton (1992) points out, managers m ust make sure employees know what they should do and why it is important. (Employ ee Retention, 1999) In the same article (Employee Retention, 1999) Lynn stated t hat communications must be a two way street to be effective. Employers must list en to what employees have to say. An atmosphere needs to be created in which emp loyees feel comfortable making suggestions and trying our new ideas. The literat ure revealed that communication must begin early in the employer/employee relati onship. Organizational values and culture must be made clear to all employees an d their importance within the organization must be continually emphasized. Training It is important that the employee feels like a valued member of the organization which will motivate him to take part actively. And in such cases training helps underscore this message. Training personnel is a way to show that he/she is res pected and have scopes to grow. The department is making an investment in the em ployee by offering training (Marx, 1995). Good training can de-emphasize salarie s and benefits, in part by building a positive work environment and by giving em ployees advancement opportunities (Lynn, 1997). Lynn also states that training h elps strengthen employee loyalty. (Employee Retention, 1999) Training emphasizes to the employee that they are valued and respected and this turn into increased loyalty. Job Satisfaction While an organization must be competitive in terms of compensation and benefits, it is the relationship with the supervisor that is often a crucial factor in de termining whether a person Employee Job Satisfaction at Mercantile Bank 37

stays or goes (Mendonsa, 1998). Employees want more interaction with management, more self-satisfaction on the job, more responsibility and more control over de cisions affecting them. They want their work to make a difference and want to be part of something that matters (Taylor, 1997). Departments should encourage inn ovation by soliciting the advice and input of their staff members, followed by r esponses to ideas, complaints or questions (Taylor, 1997). It is difficult to ke ep people on the job if they have no say in how to do it (Spragins, 1992). Promo ting from within the department shows that there is truly room for advancement a nd growth within the department. Employee involvement, recognition, importance o f work, and career advancement opportunities are all important, when dealing wit h employee satisfaction and retention. Pay and Benefits In general people tend to think that money and benefits are the main reasons peo ple leave their jobs, but this is not always the case. While compensation and be nefits may be an important factor in the final decision-making process, there ar e other important factors that cause people to look for job. Although traditiona l benefits such as vacation and health are still important, todays workers are al so looking for more non-traditional benefits. Benefits such as flexible work hou rs, availability of childcare, tuition assistance programs and other benefits no w top the list. The literature clearly indicates while still factors, money and benefits are not as important as job satisfaction in terms of employee retention . 3.1.2 Importance of Employee Satisfaction Importance of employee satisfaction for organization Increase productivity. Employee Job Satisfaction at Mercantile Bank 37

Increase customer satisfaction Reduce turnover, recruiting, and training costs. Enhance customer satisfaction and loyalty. Improve teamwork. Higher quality prod ucts and/or services. Importance of employee satisfaction for employee Employee will care about the quality of their work. They will create and deliver superior value to the customer. They will be more committed to the organization . Their works will be more productive. 3.1.3 Factors influences to employee satisfaction Organization development factors Brand of organization in business field and comparison with leading competitor. Missions and Vision of organization. Potential development of organization. Policies of compensation and benefits factors Wage and salary Benefits Rewards and penalties Promotions and career development factors Opportunities for promotion. Training program participated or will do. 37 Employee Job Satisfaction at Mercantile Bank

Capacity of career development Work task factors Quantity of task Difficult level of task Treatment to employee

Relationship with supervisor factors Level of coaching Level of assignment for employee

Working conditions and environment factors Tools and equipment working methods Working environment Cooperation culture factors Relationship with coworkers Level of sharing

Competencies, Personalities and Expectations of employee factors Employees personality. Employees expectations from job. 3.1.4 Reasons behind the job dissatisfaction among the employees of Mercantile B ank Limited Organization without a shared mission and goals to achieve Employee Job Satisfaction at Mercantile Bank 37

If a company doesnt share its mission, vision and goals with its employees at tha t time employees will not be feeling that they are the part of this team. Teamwo rk will not be up to the mark at that point and company will be facing coordinat ion problem because all employees will not work in the same direction. Because o f this lack of belongingness employees will be dissatisfied. It is very importan t that whatever the employees will do should lead to the mission or goals that a company is willing to achieve. For this reason the mission, vision and goals sh ould be shared with the employees. In my internship period I have talked with th e employees of MBL and I was surprised to know that no one knows their mission, vision and goals. In some cases they checked it in front of me and that was the first time in their life that they went through these statements. According to t hem, its not really necessary to know these statements because they are the small players in a big game. Lack of sense of belongingness exists among them and it pr oves that they are dissatisfied with their job. Rewards do not match expectations We all know that different people have different needs. It will be wrong if the organization start thinking that every employee wants higher salary. There are s ome employees who prefer to have promotion. In the Mercantile Bank Limited emplo yees are getting less salary compare to their workload. Most of them are dissati sfied because of this reason. However, there is one employee, working in the cas h department in my branch where I have done my internship, who is serving MBL fo r last three years. A few months back she has got an increment of BDT 5000, but she was expecting a promotion also which she hasnt got and because of this reason she was very upset for a few days. This is also a case of job dissatisfaction. Unfair rewards and performance appraisal system Employee Job Satisfaction at Mercantile Bank 37

Favoritism exists in Mercantile Bank Limited. A few days back 18 new employees w ere joined in MBL family. After talking with one of them I came to know that on the basis of favoritism or nepotism most of the employees were selected and this is a trend which they follow form the very beginning. Her uncle is in the top l evel position in the HR department and in the interview board she was asked: How is your father and others in the family? She had no prior experience and she has completed her honors from Jagannath University in second class but she is enjoyi ng BDT 21,000 salary per month as an entry level post; interestingly her major w as in political science. On the other hand an officer, Dhaka University graduate s majoring in finance, who is serving MBL for last two and half year is getting only BDT 24,500. Though he is very productive and smart his salary is very poor because he doesnt have any uncle like her. This officer is also very dissatisfied because of this unfairness. We know that if an employee realizes that the perfo rmance appraisal system is unfair, he will not put in his maximum effort. He per ceives that his effort will not provide the promotion, salary increase, reward, career advancement and personal growth. Employee conflict A significant portion of an employees daily life is spent at the office. They nee d to communicate with the other employees and customers. If employers practice d iscrimination and favoritism at the workplace, employee conflict is likely to ha ppen. This will further lower the staff efficiency and productivity. In MBL, the assistant officer cannot tolerate the front desk officer because sometimes he h as to do some of her office works along with his work which is an extra hassle, according to him. Even some of the higher officer cannot tolerate her supervisor because the supervisor gives her a lot of works. Lack of reinforcement Employee Job Satisfaction at Mercantile Bank 37

An immediate praise for a job well done is motivating. If an employee gets feedb ack on how well he has done his job, he will do better. A superior can acknowled ge an employees performance by personally congratulating him, offering an incen tive or celebrating the success, even in a small way. In my twelve week internsh ip period in Mercantile Bank LimitedI havent seen this happening for single time. In the HR courses we have learned that without reinforcement an employee cant measure his performance and is uncertain of his progress toward the companys ob jective and even his own goals. Inadequate tools, insufficient resources and non-supportive working conditions Having a supportive, safe and clean working condition with adequate tools makes it comfortable to work and provide employee satisfaction. He is able to facilita te a good job in a situation where he can work with ease and perform at his high est level. A supportive supervisor and a cooperative atmosphere allow him to put in the efforts. Giving coaching, training and development programs will educate , encourage and motivate him to perform better. In MBL, it is seen that there sh ortage of some very important tools, i.e. red pens, staplers, calculators and pu nching machines. Some of them have written their names on these tools however be cause of the shortage employees have to share these with each other. Sometime th ey do some serious jokes about this. Once my immediate boss was annoyed on anoth er employee as he took his red pen. Though this was very funny for me to but it happens with them every day and that makes them dissatisfied because at the time of doing a big calculation if someone doesnt find his pen then it will discomfit him. Communication breakdown Employee Job Satisfaction at Mercantile Bank 37

When I was in MBL I have found that most of the time it was one way communicatio n, upward to downward. When employees cant communicate and voice out their opin ions and ideas, either because of an imposed barrier or improper communication s ystem, frustration develops and this creates job dissatisfaction. Lack of trust and integrity If lack of trust and integrity exist in the company then the employees will be d issatisfied. MBL employees are not integrated at all. They act like selfish peop le and they start backbiting about everyone in the company. This is also an indi cation that they are not satisfied with their job. Employee Job Satisfaction at Mercantile Bank 37

3.1.5 How the top level management of MBL can minimize the job dissatisfaction l evel After finding out the possible reasons behind the job dissatisfaction of the MBL employees now its time to have a discussion about how to resolve this problem, i f not possible at least how to minimize the job dissatisfaction level. Because a t this point we all know that it is very necessary for a company to have satisfi ed employees otherwise the company will suffer huge loss in future. It is easier to find out how to minimize the job dissatisfaction level because right now we know what the reasons are because of which the MBL employees are dissatisfied. B ut in reality the difficult part will be to implement these findings as these wi ll increase the total expenses. In short-run this cost may look like a huge expe nse but truly this is going to be the biggest investment as MBL will be earning profits through its satisfied loyal employees in future. For the time being, lets only discuss how the top level management of MBL can minimize the job dissatisf action level and the implementation part will be discussed later. Job specification, roles and responsibilities Every employee of MBL should know their roles, responsibilities and job function s appropriately. They should concisely know what is expected from them. An emplo yee must know these from the start of his employment so that it will be easy for him to decide if he wants to become a part of the establishment. The leadership One of the areas that MBLs top management has to look into if employee dissatisfa ction is prevalent they have to evaluate the performance of their managers and s upervisors. These leaders can make or break the team and the business. Employee Job Satisfaction at Mercantile Bank 37

The Tools MBL should provide the necessary tools and resources to help the employees becom e more efficient and productive. Employees should be encouraged to learn and stu dy more about their work and the banking industry. Top level management should k eep one thing in their mind that- well trained and motivated staffs are the asse ts of Mercantile Bank Limited. Building relationship Business is not only about making profits. Its growth depends on building relati onships with everyone involved meaning the stakeholders. Both the clients and e mployees interests are important to the business. Well-trained, motivated and s atisfied employees render outstanding services and bring satisfaction to clients . Happy clients provide more income and referrals. Building Trust Trust that MBL employees will yee should have a say and the ask. If they feel trustworthy rove what they are capable of do their jobs and that theyll do them well. Emplo power to make decisions relating to his assigned t then they will be feeling satisfied thus theyll p doing.

Working Environment More organized and healthy working environment should be built as employees spen d at least one third of their working hours there. Practicing favoritism, allowi ng backbiting and encouraging gossiping are some of the examples of a bad workin g culture. A healthy workplace with equal opportunities should be given to every one, which will reduce the employee job dissatisfaction. The reward Employee Job Satisfaction at Mercantile Bank 37

Receiving a bonus is always a delight for employees. tion is every workers expectation. Other than this, ments, recognitions, and approval on a regular basis ese boost morale and these make one feel appreciated

Getting a raise and a promo getting or receiving compli are also very important. Th and acknowledged.

Appraisal program Top level management should build the proper evaluation and encourage employees to perform better. Getting or receiving compliments, recognitions, and approval on a regular basis are very important. This boost morale and make one feel appre ciated and acknowledged. Organization development A corporate culture should be built in which employees will be an integral part of the company. This can be an effective way of satisfying them and getting the most from the talents or competencies brought to the company by each employee. Employee Job Satisfaction at Mercantile Bank 37

3.1.6 Roles and responsibilities of a branch manager to minimize job dissatisfac tion level Supervise and manage the overall performance of staff in his branch. Analyzing, reporting, giving recommendations and developing strategies on how to improve th e employee dissatisfaction level. Making sure that everyone in his branch knows their roles and responsibilities. Inclusion of employee career development progr ams, succession planning and periodic training for the employees. Appreciate emp loyees good work which will satisfy them. Communicating with the employees and mi nimize the personal distance. Identifying problems related to job dissatisfactio n and report to the top level management. Employee Job Satisfaction at Mercantile Bank 37

4.0 Methodology This research is cross sectional by nature. At first phase qualitative research was undertaken. It was covered through the secondary literature survey and prima ry qualitative analysis. To assess all the factors related with this topic, a st ructured questionnaire was prepared to test the outcome of the decision and disc ussion. The questionnaire primarily found out the exact reasons because of which the employees are dissatisfied in Mercantile Bank Limited. For the survey about 50 personnel from Mercantile Bank Limited were approached and most of them relu ctantly agreed to take part in the survey. After the survey data were compiled a series of data analysis were conducted of which the frequency distribution, cro ss tabulation and regression were most noteworthy. Thereby, assessing the validi ty of the respondents the dissatisfaction level of the employees is measured. 4.1 Research Design During the proper research paper plan, I had to accumulate, gather and analyze i nformation. It is a framework for the research plane of action. For this researc h purpose, I have done both quantitative and conclusive research design. After d oing exploratory research to find the initial problem, I have done descriptive a nd causal research for the detail and more depth research. Descriptive research also helps to find out the reasons that influence the job dissatisfaction. In re search design, I have precise what data to gather, from whom, how and when to co llect the data, and how to investigate the data obtained. I have formulated the research design plan into few stages. 4.1.1 Problem discovery and definition Employee Job Satisfaction at Mercantile Bank 37

At first, I discovered the problem that MBL employees are dissatisfied. Then aft er going through exploratory research, I have defined the problem more accuratel y by giving rise to the hypothesis Compensation is not the only reason for the jo b dissatisfaction of the MBL employees. 4.1.2 Planning the research design The research is designed in such a way so that we can have accurate answer form the respondents and finally I can come to a decision. 4.1.3 Selecting sample I interviewed some of the employees at the time of doing survey. I have selected a sample where the employees are serving MBL for at least one year. 4.1.4 Gathering data I took 50 respondents for the survey. I have personally collected data from 50 e mployees of the branch. Two of my bosses have helped me too collect the rest of the data as they had to attend the training program in other branches. 4.1.5 Data processing and analysis I have used the SPSS for data analysis part. At first I have prepared the codebo ok by keying the answer options with a specific number then I gave the inputs. 4.1.6 Conclusion and report writing Conclusion is drawn based on the research findings and in-depth interpretation o f the statistical figures. 4.1.7 Survey Employee Job Satisfaction at Mercantile Bank 37

My plan was to develop a questionnaire through which I can ask questions to the targeted sample and I solely dependent on the results of responses. The planning was to deal with quantitative information. The method of managing the questionn aires would be through survey. 4.1.8 Primary data Primary refers to core data that I have got from primary sources such as Survey Questionnaires, Standardized Tests, Observational Forms, etc also known as Raw D ata. The research is mostly based on the primary data, which I have collected fr om the primary sources mostly from the survey. I have also talk with them person ally in order to obtain more information. I have conducted a survey on 50 employ ees to collect the primary data to find out the attitude of the employees of Mer cantile Bank Limited. It was rather difficult to manage and convince the employe es to take part in the survey. It was often asked to take the data from the inte rnal source of MBL which the HR Division was reluctant to share stating it was c lassified and they would prefer to have a new perspective from the research inst ead of inclining the research finding aligned with the internal study. 4.1.9 Secondary data Secondary data refers to literature studies made by others for their own purpose . As secondary data I have search the relevant information from Internet, newspa per, magazines, researched data etc. Different articles were published in the ne wspapers and web sites and intra-net of Mercantile Bank Limited but regarding em ployee satisfaction it was very difficult to get the information because hardly any information were available in the articles. Employee Job Satisfaction at Mercantile Bank 37

4.1.10 Purpose of descriptive research In this research, I have conducted descriptive research to identify 1. Whether e mployee satisfaction is important or not. 2. How different factors influence the employee satisfaction level? 3. Reasons behind the job dissatisfaction of MBL e mployees? 4. Steps that top level management can take to minimize the job dissat isfaction level. 5. How can a branch manager minimize the dissatisfaction level? 4.1.11 Purpose of causal research In this case, we have done causal research to identify weather the change of one variable affect the other variable. 4.1.12 Problem Statement Now a days job satisfaction is an important factor that drives people in workplac es and it is prominent in every sphere of life. In all industries we see job sat isfaction directly related to productivity, attitude and dedication. People leav e jobs for various reasons but when a large number of people leaves or switches jobs in a short period of time that makes people curious to find out the reason behind such behavior. In Mercantile Bank Limited, it is evident that the employe es are dissatisfied though they dont state this to their top level management how ever they express this when they start gossiping with other employees and some o f the customers. This research aims to find out the reasons behind this kind of job dissatisfaction. Considering the above, the main research topic or the probl em statement has been developed as: Employee Job Satisfaction at Mercantile Bank 37

5.0 Hypotheses 5.1 Primary Hypothesis In order to test the primary hypothesis five supporting hypotheses was used so t hat we can know whether we can accept the primary null hypothesis or not. Throug h these series of hypotheses testing it can be found out that compensation is no t the only reason for the job satisfaction of an employee. After testing all sup porting hypothesis, if we at least find out one Employee Job Satisfaction at Mer cantile Bank 37

supporting hypothesiss null hypothesis not being rejected then it implies that ou r primary null hypothesis should not be rejected; meaning that compensation is n ot the only reason for job satisfaction of the MBL employees. In the Discussion o f the Results part the author has described this in details. The Five supporting hypotheses are discussed in the following page. Employee Job Satisfaction at Mercantile Bank 37

Employee Job Satisfaction at Mercantile Bank 37

5.2 Supporting Hypotheses 5.3 Questionnaire Design Employee Job Satisfaction at Mercantile Bank 37

The research was designed to find out the reasons behind the job dissatisfaction of MBL employees. For the research I developed a questionnaire with specific qu estions designed to find out the relationship between the different variables. M ostly, the questionnaire was developed in the Likert scale with several statements being made and with the options ranging from Strongly Agree to Strongly Disagree. T he fundamental reason for conducting this research is to find out the perception of the employees about their job. This is why I added a Likert scale attitude tes t of MBL employees. Later I added a ranking test, in which the respondents are a sked to rank the decisive factors that they consider at the time of looking for a job. Brand name, salary, benefits, promotion opportunities, convenience, natur e of work, work environment, workload, they were provided with these options so that I can know which factor they value most and which one is the least accordin g to them. The reason I kept this for last is because I wanted to see finally ho w my respondents would rate these key areas with respect to job. 5.4 Survey Data Editing Employee Job Satisfaction at Mercantile Bank 37

Data editing is a key segment for survey research. This step is very important t o get an accurate picture of the overall situation. In an effort to improve the quality of the researchwork, my editing considered the three following parts: At first, I conducted pretesting of my questions before finally distributing it to the respondents. During the editing process I checked the data for omissions for legibility for consistency and thus prepared the collected data for coding. 5.5 Survey Data Entry Employee Job Satisfaction at Mercantile Bank 37

I was very conscious about the data entry process and carefully entered the valu es in SPSS. The software allowed me to enter and view data in two different ways : The data view was used to enter the coded data into the software and the variabl e view was used to describe and code the variables. 5.6 Survey Data Summarization Frequency I used frequency distribution tables to summarize the gathered data. This is a p rocess where I recorded the number of times a particular value of a variable occ urs. The mean, standard deviation and other descriptive statistics were also cal culated along with the frequency distribution. Cross tabulation I used cross tabulation, a technique to organize data by groups, categories, or classes, and thus facilitating comparisons, and a joint frequency distribution o f observations on two or more sets of variables. I also conducted cross tabulati on analysis in this research. Hypothesis Testing The hypothesis testing method was applied to analyze the data at hand. By this p rocedure I tried to figure out whether the hypothesis I came up with was justifi ed or not. Employee Job Satisfaction at Mercantile Bank 37

Regression I also performed linear regressions to understand the relationships between the different variables. This helped me to form the composition of my research since linear regression prove or refutes the hypothesis developed. Limitations I faced some problems while conducting the research. The respondents were reluct ant to give any information. Time was the key constrains of my report. Due to la ck of time I had to complete the report in a hurry. There was some uncertainty a bout few responses. There are scope for social desirability bias and deliberate falsification. Employee Job Satisfaction at Mercantile Bank 37

6.0 Frequency Analysis The frequency analysis is basically done in order to find out what percentage of the respondents answered to a specific question. In the frequency analysis part some of the vital questions were analyzed and interpreted accordingly. 6.1 Age Age Frequency Valid 23-27 28-32 33-37 38-42 42+ Total System 7 15 18 6 4 50 72 1 22 Percent 13.9 25.4 18.0 4.9 3.3 65.6 34.4 100.0 Valid Percent 21.3 38.8 27.5 7.5 5.0 100.0 Cumulative Percent 21.3 60.0 87.5 95.0 100.0 Missing Total Employee Job Satisfaction at Mercantile Bank 37

This graph shows the age differences of the respondents. We can observe from the graph that the majority portion of our respondents is aged between 28 and 37. I had the majority 38.8% of the respondents who were aged within the range of 28 to 32. 27.5% respondents were aged within the range of 33 to 37; these people ar e the experienced employees of MBL. Around 21.3% of the respondents were young e mployees of MBL, who are aged between 23-27. Remarks: Majority of the employees were young and these young people if MBL can motivate these people are make them satisfied then they will stay in this bank and make valuable contribution to th is bank. 6.2 Gender Gender Frequency Valid Male Female Total System 34 16 50 42 122 Percent 68.0 32. 0 65.6 34.4 100.0 Valid Percent 71.3 28.8 100.0 Cumulative Percent 71.3 100.0 Missing Total This table shows my respondents gender variability. Here, the graph demonstrates that I have surveyed on 68.0% male and 32.0% female during the research. My main focus was to Employee Job Satisfaction at Mercantile Bank 37

conduct a survey which is independent of any kind of bias effects. In MBL the sp lit between male and female is 70%-30%, my survey was very close to the actual s cenario. Remarks: 68.0% male and 32.0% female respondents will produce a almost bias free , realistic result reflecting employees attitude. 6.3 Job Nature The job I do is interesting Frequency Valid Strongly Disagree Disagree Neutral A gree Strongly Agree Total Missing Total System 8 10 6 20 6 50 72 122 Percent 6.6 8.2 4.9 16.4 4.9 41.0 59.0 100.0 Valid Percent 16.0 20.0 12.0 40.0 12.0 100.0 C umulative Percent 16.0 36.0 48.0 88.0 100.0 From the frequency analysis above it is observed that a greater percentage of th e respondents have agreed to the statement that is 40%, furthermore 12% were str ongly agree. Where only 12% went neutral and 20% disagreed and 16% strongly oppo sed the statement. Typically, the segment of the respondents who disagreed (20+16=36%) does not find their job to be interesting and vice versa. 6.4 Relationship with peers Employee Job Satisfaction at Mercantile Bank 37

The peers/colleagues are friendly with me Frequency Valid Strongly Disagree Disa gree Neutral Agree Strongly Agree Total Missing Total System 7 8 13 11 11 50 72 122 Percent 5.7 6.6 10.7 9.0 9.0 41.0 59.0 100.0 Valid Percent 14.0 16.0 26.0 22 .0 22.0 100.0 Cumulative Percent 14.0 30.0 56.0 78.0 100.0 From the frequency analysis above it is observed that more of the respondents we re neutral (13) about the case and also most of them agreed (11+11=22) to have f riendly relationship with their peers. However, a minor amount (7+8=15) of these respondents indicated of having hostile relationship with peers. Apparently thi s group, no matter what their size is, can be a matter of concern for the organi zation. Employee Job Satisfaction at Mercantile Bank 37

6.5 Utilization of skill in the given position I am fully able to use my skills in this position Frequency Valid Strongly Disag ree Disagree Neutral Agree Strongly Agree Total Missing Total System 7 10 8 17 8 50 72 122 Percent 5.7 8.2 6.6 13.9 6.6 41.0 59.0 100.0 Valid Percent 14.0 20.0 16.0 34.0 16.0 100.0 Cumulative Percent 14.0 34.0 50.0 84.0 100.0 Regarding this Question, the good numbers of responses were positive (34+16 =50% ). Where 14+20=34% disagreed to the statement and 16% remained neutral. Employee Job Satisfaction at Mercantile Bank 37

6.6 Compensation I am happy with my compensation Frequency Valid Strongly Disagree Disagree Neutr al Agree Strongly Agree Total Missing Total System 7 7 7 26 3 50 72 122 Percent 5.7 5.7 5.7 21.3 2.5 41.0 59.0 100.0 Valid Percent 14.0 14.0 14.0 52.0 6.0 100.0 Cumulative Percent 14.0 28.0 42.0 94.0 100.0 Answering the question of compensation a mass number of the respondents replied to be positive about the statement. This is a 58% of the positive responses. How ever, the other responses were 14% for each of them respectively. Employee Job Satisfaction at Mercantile Bank 37

6.6 The Job Satisfaction I am happy with this organization Frequency Valid Strongly Disagree Disagree Neu tral Agree Strongly Agree Total Missing Total System 7 11 12 9 11 50 72 122 Perc ent 5.7 9.0 9.8 7.4 9.0 41.0 59.0 100.0 Valid Percent 14.0 22.0 24.0 18.0 22.0 1 00.0 Cumulative Percent 14.0 36.0 60.0 78.0 100.0 Here comes the most vital question of the research that is, the satisfaction of the employees with the organization. Observing the responses it is found out tha t a mixed number of employees are showing mixed number of feelings towards the j ob satisfaction. The Numbers simply indicates 20 of the respondents answered pos itively where 18 answered negatively and also, 12 remained neutral. Employee Job Satisfaction at Mercantile Bank 37

7.0 Cross Tabulation Analysis 7.1 Hypothesis Testing 7.1.1 Primary Hypothesis Null Hypothesis (H0): Compensation is not the only factor that affects Job Satis faction Alternative Hypothesis (H1): Compensation is the only factor that affect s Job Satisfaction Before discussing further it should be proved that Compensati on is a factor for the job satisfaction of MBL employees. Null Hypothesis (H0): Compensation is a factor for the job satisfaction of MBL employees. Alternative Hypothesis (H1): Compensation is not a factor for the job satisfaction of MBL em ployees. I am happy with this organization * I am happy with my compensation - Cross tabu lation Count I am happy with my compensation Strongly Disagree I am happy with t his organization Strongly Disagree Disagree Neutral Agree Strongly Agree Total 1 2 0 0 7 5 1 0 0 7 4 2 0 0 7 1 5 9 10 26 0 2 0 1 3 11 12 9 11 50 4 Disagre e 1 1 1 Neutral Agree Strongly Agree 0 7 Total Question number 9 and 18 was selected to build this hypothesis thus the cross ta bulation chart was prepared. It is observed that among the fifty respondents 7+7 = 14 of them disagreed, meaning, they are not happy with their compensation in response none of them agreed to be happy with this organization by responding th eir answers either by disagreeing or remaining 37 Employee Job Satisfaction at Mercantile Bank

neutral. Similar thing happens for the cases of those who are happy with compens ation tend to be also happy with the organization. This Crosstab analysis precis ely indicates Compensation is truly the indicator of their happiness in the orga nization. The Chi-Square Test table below was used to determine the probability of obtaini ng the observed results by chance, under the given hypothesis. It is evident fro m the Chi Square test that the P-value for this hypothesis test is .894which is more than 0.05 (alpha value). Obviously, this sample is statistically significan t. In words, these results indicate that the obtained frequencies do not differ significantly from those that would be expected if all cell frequencies were equ al in the population. Hence the null hypothesis will be accepted which is Compens ation is a factor for the job satisfaction of MBL employees. Chi-Square Tests Value Pearson Chi-Square Likelihood Ratio Linear-by-Linear Asso ciation 47.314 a df 16 16 1 Asymp. Sig. (2-sided) .894a .807a .828a 49.812 21.916 Employee Job Satisfaction at Mercantile Bank 37

N of Valid Cases 50 a. 22 cells (88.0%) have expected count less than 5. The minimum expected count is .42. 7.1.2 Supporting Hypotheses From the previous hypothesis test it was determined that Compensation is definit ely a factor of job satisfaction. Now the other supporting hypotheses need to be proved in order to make primary null hypothesis accepted. Supporting Hypothesis 1 H0: MBL employees dont like the nature of their work. H1: MBL employees like t he nature of their work. Supporting Hypothesis 2 H0: MBL employees think that th eir job environment is unfriendly. H1: MBL employees think that their job enviro nment is friendly. SupportingHypothesis3 H0: MBL employees think that their hard work is not appreciated. H1: MBL employees think that their hard work is apprec iated. Supporting Hypothesis 4 H0: Poor relationship with peers is present among MBL employees. H1: Strong relationship exists among the peers of MBL. Supportin g Hypothesis 5 H0: MBL employees dont think that their job has security H1: MBL e mployees think that their job has security Supporting Hypothesis 6 H0: Employees do not have healthy relationship with Superiors Employee Job Satisfaction at Me rcantile Bank 37

H1: Employees have healthy relationship with Superiors Supporting Hypothesis 1 H0: MBL employees dont like the nature of their work. H1: MBL employees like the nature of their work. I am happy with this organization * The job I do is interesting - Cross tabulati on Count The job I do is interesting Strongly Disagree I am happy with this orga nization Strongly Disagree Disagree Neutral Agree Strongly Agree Total 5 1 0 0 8 5 1 0 0 10 0 1 2 2 6 1 8 5 6 20 0 1 2 3 6 11 12 9 11 50 2 Disagre e 4 1 0 Neutr al Agree Strongly Agree 0 7 Total Employee Job Satisfaction at Mercantile Bank 37

Question number 1 and 18 were selected to build this hypothesis thus the cross t abulation chart was prepared. It is observed that among the fifty respondents 8+ 10 = 18 of them disagreed, meaning, they do not find their job nature to be inte resting in response none of them agreed to be happy with this organization by re sponding their answers either by disagreeing or remaining neutral. Similar thing happens for the cases of those who are happy with job nature have a propensity to be happy with the organization. This Crosstab analysis precisely indicates jo b nature is the indicator of their happiness in the organization. Chi-Square Tests Value Pearson Chi-Square Likelihood Ratio Linear-by-Linear Asso ciation N of Valid Cases expected count is .84. 50 a. 25 cells (100.0%) have exp ected count less than 5. The minimum 40.028a 48.938 24.416 df 16 16 1 Asymp. Sig . (2-sided) .542a .502a .521a The Chi-Square Test table above was used to determine the probability of obtaini ng the observed results by chance, under the given hypothesis. It is evident fro m the Chi Square test that the P-value for this hypothesis test is .542which is more than 0.05 (alpha value). Hence the null hypothesis will be accepted which i s MBL employees dont like the nature of their work Employee Job Satisfaction at Mercantile Bank 37

Supporting Hypothesis 2 H0: MBL employees think that their job environment is unfriendly. H1: MBL employ ees think that their job environment is friendly. I am happy with this organization * I am provided adequate facilities to do my j ob - Cross tabulation Count I am provided adequate facilities to do my job Stron gly Disagree I am happy with this organization Strongly Disagree Disagree Neutra l Agree Strongly Agree Total 4 1 0 0 7 3 1 0 0 7 2 3 0 0 7 2 3 4 3 12 0 4 5 8 17 11 12 9 11 50 2 Disagre e 3 2 0 Neutral Agree Strongly Agree 0 7 Total Employee Job Satisfaction at Mercantile Bank 37

Question number 6 & 7 were designed to prove the Supporting Hypothesis No. 2 how ever, question 6 was used in the analysis to prove whether the hypothesis to be accepted or rejected. Question number 6 and 18 were selected to build this hypot hesis thus the cross tabulation chart was prepared. It is observed that among th e fifty respondents 14 of them disagreed, meaning, they do not have adequate fac ilities to do the job in response none of them agreed to be happy with this orga nization by responding their answers either by disagreeing or remaining neutral. Similar thing happens for the cases of those who are happy with job nature have a propensity to be happy with the organization. This Crosstab analysis precisel y indicates job nature is the indicator of their happiness in the organization. Chi-Square Tests Value Pearson Chi-Square Likelihood Ratio Linear-by-Linear Asso ciation N of Valid Cases expected count is .98. 50 a. 25 cells (100.0%) have exp ected count less than 5. The minimum 37.386 a df 16 16 1 Asymp. Sig. (2-sided) .698a .603a .645a 48.254 27.149 The Chi-Square Test table above was used to determine the probability of obtaini ng the observed results by chance, under the given hypothesis. It is evident fro m the Chi Square test that the P-value for this hypothesis test is .698which is more than 0.05 (alpha value). Hence the null hypothesis will be accepted which i s MBL employees think that their job environment is unfriendly Employee Job Satisfaction at Mercantile Bank 37

Supporting Hypothesis 3 H0: MBL employees think that their hard work is not appreciated. H1: MBL employe es think that their hard work is appreciated I am happy with this organization * I am appreciated for my hard work Cross tabu lation Count I am appreciated for my hard work Strongly Disagree I am happy with this organization Strongly Disagree Disagree Neutral Agree Strongly Agree Total 2 0 0 0 5 8 2 0 0 14 1 2 2 1 6 0 6 4 10 20 0 2 3 0 5 11 12 9 11 50 3 4 0 0 Disa gree Neutral Agree Strongly Agree 0 7 Total Employee Job Satisfaction at Mercantile Bank 37

Question number 5 and 18 were selected to build this hypothesis thus the cross t abulation chart was prepared. It is observed that among the fifty respondents 17 out of 19 disagreed, to the statement that MBL employees think that their hard work is appreciated at the same time these respondents none of them agreed to be happy with this organization by responding their answers either by disagreeing or remaining neutral. Similar thing happens for the cases of those who are happy with job nature have a propensity to be happy with the organization. This Cross tab analysis precisely indicates appreciation of hard work is the indicator of t heir happiness in the organization. Chi-Square Tests Value Pearson Chi-Square Likelihood Ratio Linear-by-Linear Asso ciation N of Valid Cases expected count is .70. 50 a. 25 cells (100.0%) have exp ected count less than 5. The minimum 52.628a 61.902 27.509 df 16 16 1 Asymp. Sig . (2-sided) .751a .706a .789a The Chi-Square Test table above was used to determine the probability of obtaini ng the observed results by chance, under the given hypothesis. It is evident fro m the Chi Square test that the P-value for this hypothesis test is .698which is more than 0.05 (alpha value). Hence the null hypothesis will be accepted which i s MBL employees think that their job environment is unfriendly Employee Job Satisfaction at Mercantile Bank 37

Supporting Hypothesis 4 H0: Poor relationship with peers is present among MBL employees. H1: Strong rela tionship exists among the peers of MBL. I am happy with this organization * The peers/colleagues are friendly with me Cross tabulation Count The peers/colleagues are friendly with me Strongly Disagr ee I am happy with this organization Strongly Disagree Disagree Neutral Agree St rongly Agree Total 2 1 0 0 7 5 1 0 0 8 3 4 2 3 13 1 5 3 2 11 0 1 4 6 11 11 12 9 11 50 4 Disagre e 2 1 0 Neutral Agree Strongly Agree 0 7 Total Employee Job Satisfaction at Mercantile Bank 37

Question number 2 and 18 were selected to build this hypothesis thus the cross t abulation chart was prepared. It is observed that among the fifty respondents 13 out of 14 disagreed, to the statement that they have poor relationship with pee rs at the same time these respondents none of them agreed to be happy with this organization by responding their answers either by disagreeing or remaining neut ral. Similar thing happens for the cases of those who are happy with peers have a propensity to be happy with the organization. This Crosstab analysis precisely indicates peer relationship is the indicator of their happiness in the organiza tion. Chi-Square Tests Value Pearson Chi-Square Likelihood Ratio Linear-by-Linear Asso ciation N of Valid Cases expected count is .98. 50 a. 25 cells (100.0%) have exp ected count less than 5. The minimum 40.914 a df 16 16 1 Asymp. Sig. (2-sided) .596a .521a .561a 44.381 26.143 The Chi-Square Test table above was used to determine the probability of obtaini ng the observed results by chance, under the given hypothesis. It is evident fro m the Chi Square test that the P-value for this hypothesis test is .596 which is more than 0.05 (alpha value). Hence the null hypothesis will be accepted which is Poor relationship with peers is present among MBL employees Employee Job Satisfaction at Mercantile Bank 37

Supporting Hypothesis 5 H0: MBL employees dont think that their job has security H1: MBL employees think that their job has security I am happy with this organization * The job security is low - Cross tabulation C ount The job security is low Strongly Disagree I am happy with this organization Strongly Disagree Disagree Neutral Agree Strongly Agree Total 4 1 0 0 7 5 1 0 0 9 0 2 1 1 6 2 8 6 6 22 0 0 2 4 6 11 12 9 11 50 2 3 2 0 Disagree Neutral Agree S trongly Agree 0 7 Total Employee Job Satisfaction at Mercantile Bank 37

Question number 16 and 18 were selected to build this hypothesis thus the cross tabulation chart was prepared. It is observed that among the fifty respondents 1 4 of the respondents were not satisfied with the organization out of 16 who disa greed, to the statement that the job security is low. Similarly no relation in j ob satisfaction and job security was found from this crosstab analysis. This Cro sstab analysis fails to indicate any relationship between job security and job s atisfaction. However by the Chi-square test it will be apparent whether the hypo thesis would be rejected or not. Chi-Square Tests Value Pearson Chi-Square Likelihood Ratio Linear-by-Linear Asso ciation N of Valid Cases expected count is .84. 50 a. 24 cells (96.0%) have expe cted count less than 5. The minimum 39.823 a df 16 16 1 Asymp. Sig. (2-sided) .000 .000 .000 48.466 25.344 The Chi-Square Test table above was used to determine the probability of obtaini ng the observed results by chance, under the given hypothesis. It is evident fro m the Chi Square test that the P-value for this hypothesis test is .000 which is obviously less than 0.05 (alpha value). Hence the null hypothesis will be rejec ted thus the alternative hypothesis becomes true. So, MBL employees think that th eir job has security From this hypothesis testing basically we can refer to anoth er statement which can be written in the light of the primary hypothesis and tha t is, Job security is not a factor that affects the job satisfaction. Employee Job Satisfaction at Mercantile Bank 37

Supporting Hypothesis 6 H0: Employees do not have healthy relationship with Superiors H1: Employees have healthy relationship with Superiors I am happy with this organization * My superior seems to care about me as a pers on - Cross tabulation Count My superior seems to care about me as a person Stron gly Disagree I am happy with this organization Strongly Disagree Disagree Neutra l Agree Strongly Agree Total 4 0 0 0 6 3 2 0 0 10 3 3 0 1 7 1 6 4 4 15 0 1 5 6 1 2 11 12 9 11 50 2 Disagre e 5 0 0 Neutral Agree Strongly Agree 0 7 Total Employee Job Satisfaction at Mercantile Bank 37

Question number 11 & 12 were designed to prove the Supporting Hypothesis No. 6 h owever, question 12 was used in the analysis to prove whether the hypothesis to be accepted or rejected. Here Question 12 and 18 were selected to build this hyp othesis thus the cross tabulation chart was prepared. It is observed that among the fifty respondents 16 of the respondents answered negative about superiors rel ation and 14 of those respondents were not satisfied with the organization. So, Relationship with supervisor is also a factor of job satisfaction. Chi-Square Tests Value Pearson Chi-Square Likelihood Ratio Linear-by-Linear Asso ciation N of Valid Cases expected count is .84. 50 a. 25 cells (100.0%) have exp ected count less than 5. The minimum 48.984 a df 16 16 1 Asymp. Sig. (2-sided) .077a .087a .812a 57.372 30.473 The Chi-Square Test table above was used to determine the probability of obtaini ng the observed results by chance, under the given hypothesis. It is evident fro m the Chi Square test that the P-value for this hypothesis test is .077 which is more than 0.05 (alpha value). Hence the null hypothesis will be accepted which is Employees do not have healthy relationship with Superiors Employee Job Satisfaction at Mercantile Bank 37

8.0 Correlation 8.1 Correlation among three Dependent variables In this phase of analysis three of Dependent variables were correlated using the Bi-variate option. Correlations I am happy with this organization I would like to stay in this organization for long I will encourage my family members & friends to join this organization I am happy with this organization I would like to stay in this organization for long I will encourage my family members & friends to join this organization Pearson Correlation Sig. (2-tailed) N Pearson Correlation Sig. (2-tailed) N Pear son Correlation Sig. (2-tailed) N 1 50 .751 ** .751** .000 50 1 50 .672 ** .783** .000 50 .672** .000 50 1 50 .000 50 .783 ** .000 50 .000 50 **. Correlation is significant at the 0.01 level (2-tailed). From the above table it is seen that there is a High to moderate correlation amo ng the dependent variables. Employee Job Satisfaction at Mercantile Bank 37

8.2 Correlation among Dependents & Independent Variables Correlations I am happy with this organization I am happy with this organization Pearson Correlation Sig. (2-tailed) N The job I do is Pearson Correlation Sig. (2-tailed) N The peers/colleagues Pearson Correlation Sig. (2-tailed) N I am app reciated for my hard work Pearson Correlation Sig. (2-tailed) N **. Correlation is significant at the 0.01 level (2-tailed). .000 50 .000 50 .000 50 50 .000 50 .749** .000 50 .788** 50 .666** .000 50 1 are friendly with me .000 50 .730 ** The job I do is interesting The peers/colleagues are friendly with me I am appreciated for my hard work ** 1 .706 ** .730 .749** .000 50 .788** .000 50 .666** .000 50 .706 ** .000 50 .652 ** 50 1 interesting .000 50 .652 ** 50 1 From the above table most of the variables are having correlations ranging .6 to .8 reflecting Moderate to High level of correlation with each other. Employee Job Satisfaction at Mercantile Bank 37

8.3 Correlation among Dependents & Independent Variables (contd) Correlations I am happy with this organization The job security is low I am happ y with this organization Pearson Correlation Sig. (2-tailed) N The job security is low Pearson Correlation Sig. (2-tailed) N My superiors Pearson Correlation Si g. (2-tailed) N I am provided Pearson Correlation Sig. (2-tailed) N **. Correlat ion is significant at the 0.01 level (2-tailed). .000 50 .000 50 .000 50 50 adeq uate facilities to do my job .000 50 .744** .000 50 .787** 50 .780** .000 50 1 m otivate me to work better .000 50 .789 ** My superiors motivate me to work better ** I am provided adequate facilities to do my job 1 .719 .789 ** .744** .000 50 .787** .000 50 .780** .000 50 .719 ** .000 50 .792 ** 50 1 .000 50 .792 ** 50 1 From the above table most of the variables are having correlations ranging .7 to .8 reflecting High level of correlation with each other. Employee Job Satisfaction at Mercantile Bank 37

9.0 Regression Analysis Regression analysis is a statistical tool for the investigation of relationships between variables. It is a very significant part of this research where the rel ationship between the dependent variables and the independent variables are soug ht out. The correlation helps to draw important conclusion regarding the researc h topic as well as the validity of the entire research procedure. At the time of doing this research I have identified one dependent variable and eight independ ent variables. Employee Job Satisfaction at Mercantile Bank 37

Coefficientsa Model Unstandardized Coefficients B 1 (Constant) The job I do is i nteresting The peers/colleagues are friendly with me I am appreciated for my har d work I am provided adequate facilities to do my job My superiors motivate me t o work better The job security is low .054 .164 .051 .330 .743 a. Dependent Vari able: I am happy with this organization .273 .172 .279 1.586 .120 .140 .146 .149 .960 .342 .207 .177 .186 1.171 .248 .236 .130 .233 1.823 .075 -.001 .053 Std. E rror .333 .156 .051 Standardized Coefficients Beta -.003 .337 .997 .738 t Sig. The above output can be written in the form of a predicted equation as follows: Job Satisfaction, Y= -0.001 + 0.053*(job nature) + 0.236*(peers relationship) + 0.207*(hard work appreciation) + 0.140*(work environment) + 0.273*(superiors rel ationship) + 0.054*(job security) This equation basically suggests that the Job Satisfaction (Y) is affected by these factors. Somehow the Job nature and Job se curity has a little impact on the level of Job Satisfaction showing the smaller coefficient with the variables. From the Regression analysis table it is also se en that all of the factors level of significance are more than 5% or 0.05. That i ndicates the presence of strong relationship between the dependent variable and the Independent factors. Employee Job Satisfaction at Mercantile Bank 37

9.1 Model Variability Model Summary Mode l 1 .844a .712 R R Square Adjusted R Square .672 Std. Error o f the Estimate .782 a. Predictors: (Constant), The job security is low, The peers/colleagues are fri endly with me, The job I do is interesting, I am provided adequate facilities to do my job, I am appreciated for my hard work, My superiors motivate me to work better 9.2 ANOVA ANOVAb Model 1 Regression Residual Total Sum of Squares 65.014 26.266 91.280 6 4 3 49 10.836 .611 1.739 .152 df Mean Square F Sig. a. Predictors: (Constant), The job security is low, The peers/colleagues are fri endly with me, The job I do is interesting, I am provided adequate facilities to do my job, I am appreciated for my hard work, My superiors motivate me to work better b. Dependent Variable: I am happy with this organization By the Test of ANOVA basically the F test will be performed. The calculated F val ue is 1.739 The critical F value for this is dF8, 71= 2.32 Calculated F Value < Cri tical F value. Therefore I cannot reject the null hypothesis which is Compensatio n is not the only factor that affects Job Satisfaction. Employee Job Satisfaction at Mercantile Bank 37

10.0 Recommendations It is seen from the survey that Mercantile Bank Limited has failed to keep its e mployees motivated due to the various reasons. This report point outs the reason s because of which the MBL employees are dissatisfied. Now it will be easier for the MBL to improve this condition as MBL will have the reasons for the job diss atisfaction of their employees. In order to improve in these areas, MBL can take the following measures to improve the condition to some extent. 10.1 Increase the number of Employees It is apparent that the Mercantile Bank Limited is understaffed and as a result each individual has to do work more than ones share of work. The pressure gets i ntense for the employees at the time of budgeting and forecasting. In many cases the employees has to work till 9.00PM at night. This creates dissatisfaction am ong the employees and demotivates them when in return they are not provided with incentives. 10.2 Keep the employees motivated The employees at Mercantile Bank Limited are highly demotivated. Majority of the m actively or passively think of leaving the job and the lack of incentive leave s them desperate. 10.3 Reduce discrimination There are various cases of discrimination which leaves the employees feel small. However the discrimination in terms of salary, bonus and promotion plays a majo r role in the job dissatisfaction of MBL employees. 10.4 Improve department Coordination From the personal interviews it became clear that the lack of coordination betwe en departments results in the job dissatisfaction. Lack of coordination makes th e workplace Employee Job Satisfaction at Mercantile Bank 37

environment unfriendly as there is no bonding between the employees. Top level m anagement should make sure that all of their departments are coordinated otherwi se it will be a major problem for them in future. 10.5 Increase HR involvement with the Employees The HR can play a significant role in ensuring the employees are treated right a nd are motivated. But as seen there is lack of coordination between HR and other departments which is creating more problems internally. 10.6 Create opportunities to be heard Even though it is often seen in the bank that the employees are encouraged to st ep forward if they feel they are not treated right and that they have the right to be heard. But in reality this is not followed in Mercantile Bank Limited. 10.7 A pay rise Majority of the MBL employees are not satisfied with their salary. As living cos t is increasing it is necessary to increase their salary. It is seen that their salary are not adjusted even though every year we are having at least 6% inflati on. It means same money but the value of their money is less. They need to spend more money but they are not earning more. It makes them dissatisfied. 10.8 Appraisal for the better performance I have seen the MBL employees in my internship period. They work like machines, they put their soul in the work but after doing a job they dont get any appraisal for their superior performance. Higher salary is not the only thing that an emp loyee wants, they also need appraisal to feel valued and affirmed in the organiz ation. 10.9 Work-life Balance Employee Job Satisfaction at Mercantile Bank 37

Most of the time MBL employees have to work till 7.00pm at night. I have talked with some employees of MBL. Two of them live in Mohammadpur, they need to catch bus to go to their home and they reach their home around 9.30pm because of traff ic jam. After reaching home they dont get any energy to engage in personal intere st. MBL should hire more employees and reduce the burden form the shoulder of th ese employees so that they can leave their office early and can reach their home soon and this is how they will have the work-life balance. If there is work-lif e balance then MBL employees will be satisfied and will work even better. 10.10 Superior Work Environment As we all know we all like to work in a place where we have people of similar th oughts and whom we can call as friends. Its a psychological effect where people f eel more motivated towards their work and love their workplace. Superior work en vironment should be created to reduce the dissatisfaction level of the MBL emplo yees. Majority of the MBL employees have complains about their current environme nt. Most of the employees work as an individual and they dont open them to the em ployees. But in an organization like Mercantile Bank Limited it is necessary to work collectively. 10.11 Job Rotation Should Take Place Employees do the same thing again and again. This also makes them dissatisfied w ith their job. If job rotation takes place then they will have something new to do. This is how they can enjoy their nature of work and will not be bored. 10.12 Two Way Communications I have observed that majority of the time in MBL there is one way communication. Manager gets order from his superior and he gives orders to his subordinates. T hey also do the same thing. There is a huge communication gap between the top le vel management of MBL and the operation level team. However we know that the ope ration level team deals with the 37 Employee Job Satisfaction at Mercantile Bank

customers, if the top level management dont include them in decision making proce ss then communication gap occurs. Thats when MBL employees start not feeling valu ed and affirmed. So it is very necessary to have two way communications in MBL. 10.13 Training and workshops For MBL employees more training programs and workshops should be arranged. As ma jority of the employees think that they dont have any opportunity to learn new th ings in MBL. By this kind of training programs employees will learn new things a nd thats how they will be updated thus this will reduce their dissatisfaction lev el. 10.14 Necessary materials and equipment should be available Necessary materials and equipments shouldbe available. Majority of the employees face trouble with finding all the necessary resources to do their work properly what is no ways good for any organizations as if you dont put fuel in the machin e then no way that machine can provide you with any useful output the same way i f you dont equip your employees with right sort and amount of equipments then the y will not be of any use too. 11.0 Limitations of the study As the research and survey is limited in area, it will not represent the entire population, in this case all the MBL employees. Limitations that I have faced at the time of preparing this report are discussed below: Result that appear after conducting this study may not reflect the same situation for all the branches o f MBL as this study is only based on the opinions of respondents of three branch es. This research may not contain the actual scenario of the respected topic as the sample size is not that large. Lack of comprehension of the respondents is o ne of the major problems that may create confusions regarding verification of co nceptual questions. Employee Job Satisfaction at Mercantile Bank 37

Every organization has their own secrecy that in not revealed to others. This mi ght be another problem for which the result can be manipulated. Time and cost ar e the key constraints of my report. Due to lack of time and increased cost I cou ld not raise my total sample size. Therefore lower sample size means more estima tion error. The survey may not reflect the true intention of the employees. I co uldnt be sure whether the answers given by the respondents were genuine or vagu e. They might have filled up the questionnaire without getting into the subject matter properly, which created response bias. The research looks at initial pref erences. Further research can take place in creation of a strong brand inquiry. There always remains the uncertainty about the cooperation of people at all leve l of this research. 12.0 Conclusion After doing the research I have found that most of those employees of Mercantile Bank Limited are disappointed with their job are because of several factors. Th e factors are Job nature, relationship with peers, hard work appreciation, facil ities to do the job, relationship with superiors, Job security, and last but not the least, Compensation. A significant portion of the MBL employees are young p eople and we know that Young people often have a fall back option that is mostly their parents on which they can depend on to some extent and that plays a role in making them think it is safe to try for another job. Since they are opportuni sts in nature, they tend to find the earliest chance to grab a promotion and mov e vertically upward through the hierarchy. Discriminations between employees and departments, the lack of coordination between departments have been a major dea l breaker for the MBL employees. It does have its flaws when it comes to employe es satisfaction. In Bangladesh currently there Employee Job Satisfaction at Mercantile Bank 37

are more than 60 banks and a lot more financial institutions are operational. An d for the finance people who have been working in these financial institutions h ave quite a number of options when it comes to switching jobs. Especially since the employees at Mercantile Bank Limited are quite dissatisfied with their job t hey can leave their job for their reasons. It will be a major disadvantage for M ercantile Bank Limited as these employees are trained and experienced. If they s tart quitting then MBL will face significant loss in future. Now its time for MBL to buckle up and make these dissatisfied employees satisfy so that they can rem ain competitive. Appendix Employee Job Satisfaction at Mercantile Bank 37

Strength of the Relationship: Pearsons Correlation Coefficient At this point, w e can identify the direction of a linear relationship (positive or negative). Th e next step is to figure out how STRONG the relationship is between the two vari ables. The most popular way to measure the degree of association between two int erval level variables is the Pearsons correlation coefficient. It is usually re presented by the letter "r" (think "relationship"). This coefficient ranges from -1 to 1, including 0. Each level of measurement has an appropriate test of asso ciation. Ask your evaluator about this. Values closer to +1 indicate a positive relationship. Values closer to -1 indicate a negative relationship. Values close r to 0 represent the absence of a relationship between two variables. Employee Job Satisfaction at Mercantile Bank 37

We have learned that a perfect positive or negative correlation is very rare. In fact, even the strongest correlations we see in the real world fall short of th e ranges suggested in textbooks. Below is a reference on how to interpret correl ation coefficients. Keep in mind that the same interpretation also applies to ne gative correlations. Correlation Coefficient Interpretation .00 .19 Slight, almo st negligible correlation .20 .40 .70 .90 - 1.00 .39 Low, quite small correlatio n correlation correlation .69 Moderate .89 High Very high correlation Internship Proposal Topic: Employee Job Satisfaction Level at Mercantile Bank Li mited Submitted To: Eng. Golam Dustogir Senior Lecturer School of Business Bangladesh University Employee Job Satisfaction at Mercantile Bank 37

Submitted By: Shajhan Shiraz ID# 200811119055 Date of Submission: 23th September 2011 Bangladesh University Introduction I am interested to work on Employee Job Satisfaction Level at Mercantile Bank Lim ited. I have started working with The Mercantile Bank Limited, as an intern from Jully 3rd 2011 to present. During my internship, I worked with the General Banki ng Section, Foreign Exchange Department and Mobile Banking Division of the Bank. I saw the Relationship Managers (RMs) daily workings. I observed on different f unctions regard the credit administrative division, corporate & investment banki ng division, Foreign Exchange Section as well as the General Banking section so I have worked with different people around me during my intern. During my work w ith employees I observed that many of the employees are somehow dissatisfied wit h their job. This has inspired me to work with this topic and measure the Employ ee Job Satisfaction Level at Mercantile Bank Limited. Objectives: Employee Job Satisfaction at Mercantile Bank 37

The objective of the study is to find out the employee job satisfaction at Merca ntile Bank Limited. This study will attempt to establish a linear model between the variables and hence will try to quantify the relationship in a linear equati on. Various other tests will be done in an attempt to identify a proper statisti cal relationship. Moreover, it will help to improve the employees performances. B road objective To find out the reasons behind the job dissatisfaction among the employees of Mercantile Bank Limited. Specific objective To present an overview and brief introduction of Mercantile Bank Limited. To find out what may occur if employees are dissatisfied. The possible ways of reducing the dissatisfaction l evel of the employees of Mercantile Bank Limited. Significance of the study: The study is primarily an internship report but still it will be aimed at helpin g the management to identify the factors that increases the job satisfaction lev el of employees. The statistical relationship will help to determine which facto rs are most important so that the management can focus on those factors. Underst anding these factors will be key success of increasing the satisfaction level of Customers. Moreover the study will help my faculty to understand the factors th at influence employees performance to other factors of the bank. So purpose of co nducting this research is to find out the following factors: This study will hel p MBL to gain more knowledge about the satisfaction level of the employees and w ill help them to redefine their strategies to increase productivity. It will als o assist in developing new ways to keep the employees motivated and reduce cost due to arranging training and workshops. Employee Job Satisfaction at Mercantile Bank 37

We will be able to get a brief overview of the employee satisfaction level in Fi nancial Sectors in Bangladesh especially in MBL. Hypothesis Testing: Primary Hypothesis: Null Hypothesis: H0: Compensation is not the only factor tha t affects Job Satisfaction in MBL. Alternative Hypothesis: H1: Compensation is t he only factor that affects Job Satisfaction in MBL. Supporting Hypothesis (1): Null Hypothesis: H0: MBL employees do not like the nature of their work. Alterna tive Hypothesis: H1: MBL employees like the nature of their work. Supporting Hypothesis (2): Null Hypothesis: H0: MBL employees think that their j ob environment is unfriendly. Alternative Hypothesis: H1: MBL employees think th at their job environment is friendly. Supporting Hypothesis (3): Null Hypothesis : H0: MBL employees think that their hard work is not appreciated. Alternative H ypothesis: H1: MBL employees think that their hard work is appreciated. Supporti ng Hypothesis (4): Null Hypothesis: H0: Poor relationship with peers is present among the MBL employees. Alternative Hypothesis: H1: Strong relationship exists among the peers of MBL. Supporting Hypothesis (5): Null Hypothesis: H0: MBL empl oyees dont think that their job has security. Alternative Hypothesis: H1: MBL emp loyees think that their job has security. Supporting Hypothesis (6): Employee Jo b Satisfaction at Mercantile Bank 37

Null Hypothesis: H0: MBL employees do not have healthy relationship with Superio rs. Alternative Hypothesis: H1: MBL employees have healthy relationship with Sup eriors. Methodology: The study is based on primary data collected from the banks information and allo wances given to employees. Every month an internal MIS report is created so that performance of each branch can be measured. These data have been used in this r eport. Additionally for technical reference, some websites have been quoted in t he report which will help to further clarify the statistical relationship. Prima ry data sources are the questionnaires filled up by the employees of MBL. The se condary data sources are annual reports, manuals, and brochures of The Mercantil e Bank Limited and different publications of Bangladesh Bank. The Eight weeks internship program will take to work in every department in orde r to have an overview of the total corporate banking. My organizational supervis or is helping me a lot while working in every division of the bank. Keeping this view in mind I will prepare a report, which will be divided in two parts. Thus the structure of this report is two folded. 1. Organizational Part. 2. Project P art. The organizational part of this report will composed of a very brief Perfor mances, Activities and satisfaction of employees of the bank. The Project part w ill cover the Employee Job Satisfaction Level at Mercantile Bank Limited Banglad esh. This will refer how the bank will serve the customers in corporate & invest ment banking, Head Office. Employee Job Satisfaction at Mercantile Bank 37

The results of the regression analysis is interpreted and in the Regression Anal ysis, it is observed that the independent variables that affect the dependent va riables (Employees Satisfaction) are Salary Package, Monetary Reward, Job Securi ty, Holiday Planning, Time for friends and family, clearly established career pa th, cooperativeness of subordinates, Cleanliness, Computer facilities etc. Limitations of the Study: The major limitation of the study is that it does not have any primary data. All data have been collected from Consumer Banking division, which have been origin ally collected for a different purpose. Secondly, there might be other factors than the variables mentioned in the repor t that can affect credit card sales. So those variables may be important but mig ht skip this report. So this is another major limitation. Time limitation: The t ime limit to finish the report was 15 days. I could not work on the project duri ng my internship in Mercantile Bank Limited because of the workload there, but l ater continuous strike, uncertainty over meeting key personnel, led to uncertain ty and frustration over the deadline. Data collection: collecting data through a ll the filtering and getting approval to use these data was difficult. Budget of the Study: Financial Budget: Type of Cost Conveyances/ Transportation Printing and Binding Others Estimated C ost (tk) 4000 2000 - 3000 1000 37 Employee Job Satisfaction at Mercantile Bank

Total 8000 Employee Job Satisfaction at Mercantile Bank 37

Time Frame: Report Progress Research Proposal Submission Questionnaire Submission Secondary Data Collection Literature Review Survey Data Analysis Report Writing Draft Subm ission Finalization Report Submission Weeks 1 1 1-2 1-2 1 1-2 2 2 2-3 3 Tentativ e Date 4th April 2011 4th April 2011 4th April 2011 4th April 2011 4th April 201 1 4th - 11th April 2011 11th April 2011 20th April 2011 20th 28th April 2011 28t h April 2011 Submission Date: Before the end of the semester (April 28th, 2011). Employee Job Satisfaction at Mercantile Bank 37

Survey Questionnaire All the information you provide will be used only for academic purpose and your identity will be kept anonymous and confidential. Thanks in advance for your cooperation. Employee Job Satisfaction at Mercantile Bank 37

Employee Job Satisfaction at Mercantile Bank 37

N o. Statements Strongl y Disagr ee Disagr ee Neutr al Agre e Strongl y Agree 01 . 02 . 03 . 04 . 05 . 06 . 07 . 08 . 09 . 10 . 11 . 12 . 13 . 14 . 15 . 16 . 17 . 18 . 19 20 . The job I do is interesting The peers/colleagues are friendly with me I am fully able to use my skills in this position I feel overwhelmed by my responsibilitie s at work I am appreciated for my hard work I am provided adequate facilities to do my job The work environment is wonderful My opinion has value to others I am happy with my compensation My values fit with the organizational values My supe riors motivate me to work better My superior seems to care about me as a person I am given adequate freedom to do my job efficiently I have plans to switch this job I am kept informed about the activities that go on in my organization. The job security is low The workload is too high I am happy with this organization I would like to stay in this organization for long . Employee Job Satisfaction at Mercantile Bank I will encourage my family m embers & friends to join this organization 37

Age: _________ Gender: Male / Female Survey Questionnaire (For Hypothesis Testing) N o. All the information you provide will be used only for academic purpose and your identity will be kept anonymous and confidential. Thanks in advance for you r co-operation. Statements Strongl Disagr Neutr Agre y Disagr 01 . 02 . 03 . 04 . 05 . 06 . 07 . 08 . 09 . 10 . 11 . 12 . 13 . 14 . 15 The job I do is interesti ng The peers/colleagues are friendly with me I am fully able to use my skills in this position I feel overwhelmed by my responsibilities at work I am appreciate d for my hard work I am provided adequate facilities to do my job The work envir onment is wonderful My opinion has value to others I am happy with my compensati on My values fit with the organizational values My superiors motivate me to work better My superior seems to care about me as a person I am given adequate freed om to do my job efficiently I have plans to switch this job I am kept informed a bout the activities that Supporting Hypothesis 6 Primary Hypothesis Supporting H ypothesis 3 Supporting Hypothesis 2 ee Supporting Hypothesis 1 Supporting Hypoth esis 4 ee al e Strongl y Agree Employee Job Satisfaction at Mercantile Bank 37

. 16 . 17 . 18 . 19 . 20 . go on in my organization. The job security is low The workload is too high I am happy with this organization I would like to stay in this organization for long I will encourage my family members & friends to join this organization Supporting Hypothesis 5 Dependent variables Bibliography Retrieved from Mercantile Bank Limited. Website on April 20, 2011 from http://ww w.mblbd.com/ Gruneberg, M. M. (1979). Understanding job satisfaction . New York: Wiley. Hagedorn, L. S. (2000). What contributes to job satisfaction among facul ty and staff . San Francisco, Calif.: Jossey-Bass Publishers. Richardson, P., Mo orhead, G., & Griffin, R. W. (1992). Study guide for Moorhead/Griffin: Organizat ional behavior : managing people and organizations (3rd ed.). Boston: Houghton M ifflin. Griffin and Denisi (2005) Second Ed, Human resource Management. Malhotra , N. K. (2007). Fundamentals of marketing research . Thousand Oaks, CA: Sage Pub lications. Rashid and Archer (1983) Organizational Behavior Mercantile Bank Limi ted Annual Report 2010 Retrieved from BMS Website on March 30, 2011http://bms.co .in/829/ Retrieved from Wikipedia Website on March 30, 2011http://en.wikipedia.o rg/wiki/Two-factor_theory Employee Job Satisfaction at Mercantile Bank 37

 Retrieved from Wikipedia Website on March 30, 2011http://en.wikipedia.org/wiki/J ob_satisfaction Hackman, J. R., & Oldham, G. R. (1976). Motivation through the design of work: T est of a theory. Organizational Behavior and Human Performance, 16, 250-279. Rafaeli, A., & Sutton, R. I. (1989). The expression of emotion in organizational life. Research in Organizational Behavior, 11, 142. Brief, 1998 cited in Weiss, H. M. (2002). Deconstructing job satisfaction: separ ating evaluations, beliefs and affective experiences. Human Resource Management Review, 12, 173-194, p. 174 Bowling, N.A. (2007). Is the Job Satisfaction-Job Performance Relationship Spuri ous: A Meta-Analytic Examination. Journal of Vocational Behavior, 71, 167-185 Judge, T. A., Thoresen, C. J., Bono, J. E., & Patton, G. K. (2001). The job sati sfaction-job performance relationship: A qualitative and quantitative review. Ps ychological Bulletin, 127(3), 376-407. Cote S.,Morgan LM (2002).A longitudinal analysis of the association between emot ion regulation, job satisfaction, and intentions to quit. Journal of Organizatio nal Behavior vol 23, 947962 Saari, L. M., & Judge, T. A. (2004). Employee attitudes and job satisfaction. Hu man Resource Management, 43, 395-407 Retrieved from utexas.edu Website on April 02, 2011 http://www.ma.utexas.edu/use rs/davis/375/popecol/tables/f005.html The effects of employee satisfaction, organizational citizenship behavior, and t urnover on organizational effectiveness: A unit-level, longitudinal study By Koy s, Daniel J Publication: Personnel Psychology Date: Sunday, April 1 2001 Measurement of human service staff satisfaction: Development of the Job Satisfac tion Survey Paul E. Spector Employee Job Satisfaction at Mercantile Bank

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 Job Satisfaction in Banking: A Study of Private and Public Sector Banks Monika T hakur Article provided by IUP Publications in its journal The IUP Journal of Ban k Management. Volume (Year): VI (2007) Issue (Month): 4 (November) Pages: 60-68 Ryan AM, Schmit MJ, Johnson R. (1996). Attitudes and effectiveness: Examining re lations at an organizational level. PERsoNNEL PSYCHOLOGY, 49, 853-882. Ostroff C . (1992). The relationship between satisfaction, attitudes, and performance: An organizational-level analysis. Journal of Applied Psychology, 77, 963-974. Iaffa ldano MT, Muchinsky PM. (1985). Job satisfaction and job performance: A metaanal ysis. Psychological Bulletin, 97,251-273. Employee Job Satisfaction at Mercantile Bank 37