Tài liệu Staff satisfaction at aviva vietnam life insurance company limited

ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH --------------------- NGUYỄN QUỲNH MAI STAFF SATISFACTION AT AVIVA VIETNAM LIFE INSURANCE COMPANY LIMITED SỰ HÀI LÒNG CỦA NHÂN VIÊN TẠI CÔNG TY TNHH BẢO HIỂM NHÂN THỌ AVIVA VIỆT NAM LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH HÀ NỘI - 2020 ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH --------------------- NGUYỄN QUỲNH MAI STAFF SATISFACTION AT AVIVA VIETNAM LIFE INSURANCE COMPANY LIMITED SỰ HÀI LÒNG CỦA NHÂN VIÊN TẠI CÔNG TY TNHH BẢO HIỂM NHÂN THỌ AVIVA VIỆT NAM Chuyên ngành: Quản trị kinh doanh Mã số: 60 34 01 02 LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH NGƯỜI HƯỚNG DẪN KHOA HỌC: TS. TRẦN HUY PHƯƠNG HÀ NỘI - 2020 DECLARATION The author confirms that the research outcome in the thesis is the result of author‟s independent work during study and research period and it is not yet published in other‟s research and article. The other‟s research result and documentation (extraction, table, figure, formula, and other document) used in the thesis are cited properly and the permission (if required) is given. The author is responsible in front of the Thesis Assessment Committee, Hanoi School of Business and Management, and the laws for above-mentioned declaration. Date………………………….. ACKNOWLEDGEMENT Foremost, I would like to express my sincere gratitude to my supervisor Dr. Tran Huy Phuong for his continuous support of completing my research, for his patience, motivation, enthusiasm, and immense knowledge. His guidance helped me in all the time of research and writing of this thesis. Besides my supervisor, I would like to thank the staffs and managers of Aviva Vietnam Life Insurance Company Limited who provided me insight and expertise that greatly assisted the research and shared with me a lot of useful information as well as opinion in relation to Aviva Company‟s business operation, human resources and performance. I would like to extend my sincere thanks to the staffs of Aviva Vietnam Life Insurance Company Limited who spent their time on completing my long questionnaire and be patient to correct or satisfy my questions. Last but not the least, I would like to thank my family for supporting me spiritually throughout my life and encouraging me to complete the thesis. <…………, ………/………/……… > Nguyen Quynh Mai CONTENT INTRODUCTION ................................................................................................................. 1 1. Rationale ........................................................................................................................ 1 2. Literature review............................................................................................................ 2 3. Aims of research ............................................................................................................ 4 4. Objects of research ........................................................................................................ 5 5. Scope of research ........................................................................................................... 5 6. Research methodology .................................................................................................. 5 7. Thesis structure .............................................................................................................. 7 CHAPTER 1. THEORETICAL BACKGROUND ON STAFF SATISFACTION IN ENTERPRISES ..................................................................................................................... 8 1.1. Theoretical background on staff satisfaction .............................................................. 8 1.1.1. Staff satisfaction .................................................................................................. 8 1.1.2 Theory of staff satisfaction ................................................................................... 9 1.2. Factors affecting on staff satisfaction ....................................................................... 20 1.2.1. Job characteristics .............................................................................................. 20 1.2.2. Training and promotion ..................................................................................... 20 1.2.3. Leadership ......................................................................................................... 21 1.2.4. Colleagues ......................................................................................................... 22 1.2.5. Salary/ income ................................................................................................... 22 1.2.6. Working condition ............................................................................................. 25 1.2.7. Welfare .............................................................................................................. 26 1.3. Research model......................................................................................................... 26 CHAPTER 2. ASSESSING CURRENT STAFF SATISFACTION AT AVIVA VIETNAM LIFE INSURANCE COMPANY LIMITED ...................................................................... 30 2.1. Overview about Aviva Vietnam Life Insurance Company Limited......................... 30 2.1.1. Establishment and development ........................................................................ 30 2.1.2. Organizational structure of Aviva Vietnam Life Insurance Company Limited 30 2.1.3. Business results of Aviva Vietnam Life Insurance Company Limited in the period of 2016-2018 .................................................................................................... 32 2.2. Overview of human resources of Aviva Vietnam Life Insurance Company Limited ......................................................................................................................................... 34 2.2.1. Statistics of human resources of Aviva Vietnam Life Insurance Company Limited ........................................................................................................................ 34 2.2.2. Labor structure by age ....................................................................................... 36 2.2.3. Labor structure by gender .................................................................................. 37 2.2.4. Labor structure by education ............................................................................. 37 2.3. Factors affecting staff satisfaction at Aviva Vietnam Life Insurance Company Limited ............................................................................................................................ 38 2.3.1. Job characteristics .............................................................................................. 41 2.3.2. Training and promotion ..................................................................................... 43 2.3.3. Leader ................................................................................................................ 47 2.3.4. Colleague ........................................................................................................... 49 2.3.5. Salary/ income ................................................................................................... 50 2.3.6. Working condition ............................................................................................. 57 2.3.7. Welfare .............................................................................................................. 61 2.4. Overall assessment about staff satisfaction at Aviva Vietnam Life Insurance Company Limited ............................................................................................................ 65 2.4.1. Achievements .................................................................................................... 65 2.4.2. Limitations ......................................................................................................... 66 2.4.3. Causes of limitations ......................................................................................... 68 CHAPTER 3. PROPOSAL ON SOLUTIONS TO IMPROVE STAFF SATISFACTION AT AVIVA VIETNAM LIFE INSURANCE COMPANY LIMITED ............................... 69 3.1. Orientation and general targets at Aviva Vietnam Life Insurance Company Limited ......................................................................................................................................... 69 3.2. Orientation and general targets of staff satisfaction at Aviva Vietnam Life Insurance Company Limited ............................................................................................................ 70 3.3. Some solutions to improve staff satisfaction at Aviva Vietnam Life Insurance Company Limited ............................................................................................................ 70 3.2.1. Improving salary and bonus for employees ....................................................... 70 3.2.2. Supplementing welfare ...................................................................................... 72 3.3.3. Innovating training and promotion for employees ............................................ 73 3.2.4. Increasing recognition of employees‟ achievements ......................................... 78 3.2.5. Improving the environment and working conditions ........................................ 80 3.2.6. Improving the layout and arrangement of work for employees ........................ 81 CONCLUSION ................................................................................................................... 84 REFERENCES .................................................................................................................... 85 APPENDIX ......................................................................................................................... 89 LIST OF ABBREVIATIONS CEO Chief Executive Officer JDI Job Descriptive Index HR Human Resources NPL Non-performing Loan VND Vietnam Dong LIST OF TABLES Table 2.1: Business result of Aviva Vietnam from 2016-2018 ........................................... 33 Table 2.2: Labor structure by age of Aviva Vietnam in 2018 ............................................. 36 Table 2.3: Labor structure by gender of Aviva Vietnam in 2018 ....................................... 37 Table 2.4: Labor structure by education of Aviva Vietnam in 2018 ................................... 38 Table 2.5: Job evaluation table of Aviva Vietnam .............................................................. 54 Table 2.6: Salary table of positions for administrative and sales staff at Aviva Vietnam .. 55 Table 2.7: Welfare regulations of Aviva Vietnam .............................................................. 64 Table 2.8: Plan for organizing collective exchanges and vacation trips of Aviva Vietnam 65 LIST OF FIGURES Figure 1.1: Maslow's Needs Theory (1943) ........................................................................ 10 Figure 1.2: Victor Vroom's theory of expectations (1964).................................................. 14 Figure 1.3: Proposed model to measure staff satisfaction at Aviva Vietnam Life Insurance Company Limited ................................................................................................................ 27 Figure 2.1: Organizational structure of Aviva Vietnam ...................................................... 31 Figure 2.2: Statistics of human resources of Aviva Vietnam from 2016-2018 ................... 35 Figure 2.3: Gender structure of Aviva Vietnam‟s respondents ........................................... 39 Figure 2.4: Age structure of Aviva Vietnam‟s respondents ................................................ 39 Figure 2.5: Education structure of Aviva Vietnam‟s respondents....................................... 40 Figure 2.6: Department/division structure of Aviva Vietnam‟s respondents ...................... 40 Figure 2.7: Seniority structure of Aviva Vietnam‟s respondents ........................................ 41 Figure 2.8: Staff satisfaction about job characteristics at Aviva Vietnam .......................... 42 Figure 2.9: Staff satisfaction about training and promotion at Aviva Vietnam .................. 43 Figure 2.10: Staff satisfaction about leader at Aviva Vietnam ........................................... 48 Figure 2.11: Staff satisfaction about colleague at Aviva Vietnam ...................................... 49 Figure 2.12: Staff satisfaction about salary/income at Aviva Vietnam ............................... 51 Figure 2.13: Staff satisfaction about working condition at Aviva Vietnam ........................ 58 Figure 2.14: Office of Aviva Vietnam in Ho Chi Minh headquarters ................................. 60 Figure 2.15: Office of Aviva Vietnam in Hanoi headquarters ............................................ 61 Figure 2.16: Staff satisfaction about welfare at Aviva Vietnam ......................................... 62 INTRODUCTION 1. Rationale Human resources are an important factor for an organization's success. The job satisfaction of employees helps them to work hard to contribute to the company. Job satisfaction measurement is aimed at determining the factors impacting employee satisfaction most; thereby helping the company better understand the level of employee satisfaction. Accordingly, there are more accurate decisions to improve the working environment, use the right people in the right jobs, exploit human resources in the company and bring the highest satisfaction to employees. The market economy is increasingly developing and opening up many job opportunities for employees. The competition among businesses is getting higher and higher, but people are an important resource in creating competitive advantages for businesses. The pressures from the economy and competitive market force businesses to pay more attention to the human element in the organization, including the problem of employee satisfaction. Today's business trend most businesses take customers as business philosophy. And the component in direct contact with customers, making customers happy is none other than employees. The main staff is intermediaries for businesses to satisfy customers. When employees are satisfied they will have positive attitudes and behaviors to improve sales and build business reputation. For businesses, in the period of economic integration, increasingly fierce competition, human resources play an important role in creating competitive advantages. Especially for businesses that are on the rise, seeking and asserting a foothold in the market as Aviva Vietnam Life Insurance Company Limited now needs to pay attention to employee satisfaction. Promoting the development of the Company today, it is very helpful to evaluate the employee's job satisfaction with the company. This research can make initial data, as a benchmark for comparison in the process of development of the company in the future, will increase employee satisfaction? This is the first step for the organization to increase employee loyalty towards the company. Therefore, the topic "Staff satisfaction at Aviva Vietnam Life Insurance Company Limited" is conducted to understand and evaluate the current status of job satisfaction including full-time and part-time employees at Aviva Vietnam Life Insurance Company Limited, and find out the factors that influence this satisfaction; thereby helping businesses have the appropriate orientation, policies in the use of employees, in order to retain appropriate employees, long-term commitment to the company. 1 2. Literature review Research of Foreman Facts: Following the approach of Foreman Facts (1946), employee satisfaction is related to ten factors: (1) Skillful discipline, (2) Empathy for individual workers' issues, (3) Interesting work, (4) Interacting and sharing at work, (5) Safety labor, (6) Working conditions, (7) Salary, (8) Fully assessed work performed, (9) Personal loyalty to superiors, (10) Promotion and promotion career development. Research by Weiss, Dawis, England & Lofquist Weiss, Dawis, England & Lofquist (1967) built a MSQ (Minnesota Satisfaction Questionnaire) model with 20 items (corresponding to 20 factors) to assess the overall satisfaction level of each aspects: (1) Usability (the opportunity to do something to promote the capabilities of workers); (2) Achievements (a feeling of good accomplishment that workers gain from work); (3) Activity (ability to maintain busyness most of the time); (4) Promotion (promotion opportunity in this job); (5) Rights (opportunity to tell others what to do); (6) Company policy (the way the company sets policies and puts them into practice); (7) Compensation (wages and large amounts of work done); (8) Colleagues (the way colleagues show off to others); (9) Creativity (an opportunity to try each person's methods on his work); (10) Independence (the opportunity to work alone at work); (11) Safety (job stability); (12) Social services (opportunity to do things for others); (13) Social position (opportunity to become "someone" in the community); (14) Moral value (can do things that are not contrary to conscience); (15) Recognition (recognition of good work); (16) Responsibility (the freedom to use your opinion); (17) Supervision - the person (the way the leader operates the employee); (18) Supervision - technology (leadership decision-making); (19) Diversity (opportunity to do different things); (20) Working conditions. Smith et al's research: The JDI job description scale established by Smith et al in 1969 is one of the most valuable and reliable scales in theory and practice. This scale consists of five factors: (1) The nature of the job, (2) Opportunity for promotion training, (3) Leadership, (4) Colleagues, (5) Salary. Later, Crossman and Bassem (2003) added two more components, namely welfare and the working environment. Schemerhon's research: With his research, Schemerhon (1993) gave eight factors that affect employee satisfaction, including: (1) Job position, (2) Supervision by superiors, (3) Relationship with colleagues, (4) Content of work, (5) Remuneration, (6) Advancement, (7) Physical conditions of the working environment, (8) Organizational structure 2 Spector's research: The Spector's JSS (Job Satisfaction Survey) model (1997) was built to apply to businesses in the service sector, including nine factors to evaluate satisfaction and attitude, that are: (1) Salary, (2) Opportunity for promotion, (3) Working conditions, (4) Supervision, (5) Colleagues, (6) Interested in work, (7) Communication believe, (8) Surprise rewards, (9) Welfare. Research by Nasir Mehmood et al. (2012): Mehmood et al. (2012) conducted a study on factors affecting job satisfaction of employees in service industry in Pakistan with a sample of 324. The independent variables selected are: Wages and benefits, Promotions, Working conditions, Autonomy. Statistical results show that independent variables such as wages and benefits, promotions, working conditions and autonomy affect employees' job satisfaction. In measurement, working environment factors predominate in job satisfaction. Research by Ethica Taijeen (2013): Ethica Taijeen (2013) studied factors affecting the job satisfaction of telecommunication industry in Bangladesh. The research model of employee satisfaction at work includes factors: working conditions, freedom or autonomy, job security, relationship with superiors, relationship with colleagues, salary, opportunities for career advancement. The results show that, in general, the factors leading to the highest satisfaction are working conditions, job security, relationships with colleagues and wages. The factors that lead to the lowest satisfaction are freedom, relationships with superiors and advancement. The study "Research on employee satisfaction level for jobs at Vietnam - Korea Friendship Information Technology College" was conducted by Nguyen Thanh Hoai in 2013. The objective of this study is to identify 6 factors that affect employee satisfaction, maintain the team and contribute to the overall development of the school. Research "Research on job satisfaction of employees of Vietnam Tourism Joint Stock Company - Vitours Danang" was conducted by Phan Hoang Thuy in 2013. The objective of this study is to identify the factors that influence on the job satisfaction of employees of Vitours Company - Da Nang; develop and validate a scale of factors to suit the company's context; measure the influence of impact factors; compare job satisfaction among employees with differences in gender, age, working time, education level, job position ... The study "Research on employee satisfaction level at Hai Duong Power Company" was conducted by Pham Tuan Ngoc in 2013. The objective of this study is to identify factors that affect the satisfaction of employees with the work of Hai Duong Power Company staff and assess the employee satisfaction level. The author used JDI model to 3 design questionnaires and collect and analyze data in this study. The study results showed 5 factors affecting employees' job satisfaction: job; promotion opportunities; leader; colleague; salary. Weiss and his colleagues' model and Foreman Facts are more detailed, but the weakness is too long. Schemerhon and Spector have proposed tidier models, but if applying the research, it needs to be adjusted accordingly. Although Smith et al's JDI model did not cover all factors that affect satisfaction and there is no overall scale, based on this model, there have been many studies for the evaluated high results in value and reliability. Later, when Crossman and Bassem added two more factors made the model more complete. In Vietnam, the JDI model is also used by many authors as the basis for employee satisfaction research, such as Tran Thi Kim Dung (2005) and colleagues by surveying about 500 employees working full-time under the theme "Needs, satisfaction of employees and level of engagement with the organization", using a scale of seven factors showing: the satisfaction level of salary with negative relationship with the level of effort of the staff. This paradox is explained by businesses lacking knowledge and skills on the market salary system, not knowing how to design a system of payrolls scientifically. The salary payment is usually emotional and arbitrary without clear policy. As a result, people with more efforts and contribution to the organization are dissatisfied with the current wage policy. Vu Khac Dat (2009) measured the satisfaction of office workers of Vietnam Southern Airlines using a six-factor scale; Nguyen Tran Thanh Binh (2009) conducted a study on employee satisfaction at Long An Mechanical Engineering Joint Stock Company using a six-factor scale. In addition, a number of studies of the above authors have shown that employee satisfaction at work differs due to personal factors such as age, gender, education level, seniority, position, department and income. 3. Aims of research The final research aim is to recommend and improve staff satisfaction at Aviva Vietnam Life Insurance Company Limited. To address the above research objective, the research focuses on clarifying the following duties: - Systematizing the theoretical basis of staff satisfaction in enterprises; - Analyzing and evaluating the current staff satisfaction at Aviva Vietnam Life Insurance Company Limited in the period of 2016-2018; 4 Proposing solutions to enhance staff satisfaction at Aviva Vietnam Life Insurance Company Limited in the coming time. 4. Objects of research Research object: The thesis focuses on measuring staff satisfaction at Aviva Vietnam Life Insurance Company Limited. Object: 200 employees at Aviva Vietnam Life Insurance Company Limited. 5. Scope of research + Space: Aviva Vietnam Life Insurance Company Limited. + Time: The thesis analyzes the current staff satisfaction at Aviva Vietnam Life Insurance Company Limited in the period of 2016-2018 and proposes the recommendations up to 2025. + Content: The staff satisfaction at Aviva Vietnam Life Insurance Company Limited. 6. Research methodology * Data collection method: - Secondary data Secondary data are data widely researched and published in books, newspapers, magazines, Internet, etc. These data are used for analysis and clear illustration of research content that the author has studied. These secondary data are cited by the author in the "References" section. Specifically, secondary data the author collected in this study include: + Books, newspapers, magazines, theses, theses, research programs have been published and published by research agencies, domestic and foreign scientists, documents posted on the Internet,. .. related to staff satisfaction. + Figures, data and reports related to the personnel situation; business operation results; development directions and objectives; policies, remuneration, recruitment, ... of Aviva Vietnam. + Circulars, directives and decisions of the Government and the competent authorities of the State; The figures have been published by central statistics agencies, research institutes, universities, journals, specialized newspapers and scientific reports related to staff satisfaction. - Primary data 5 For primary data, this is the type of data collected by the questionnaire through face-to-face interviews and is used to conduct the necessary analysis to answer research questions. + Content of survey: Satisfaction of employees at Aviva Vietnam. + Survey subjects: Officials and employees working at Aviva Vietnam. + Quantity: 200. + Duration: 01 month, from October 1, 2019 - October 1, 2019. + Survey form: Currently, the author is an employee of Aviva Vietnam. Therefore, the author chooses the form of direct and email survey. Survey respondents who can answer directly in the questionnaire are directly instructed by the author to fill out the survey information. Officers and staff are busy, unable to answer directly, the author sends emails by completing the questionnaire. For these officials and employees, after one week after sending emails, the author sends emails, Zalo messages, phone messages or calls reminds them to take time to complete the questionnaire. * Questionnaire design + Part I: The questionnaire is made on the basis of the selected scale and group discussion on employee satisfaction with the job. The content and observed variables in the components are adjusted accordingly. A 5-point Likert scale used to rank from small to large is more agreeing with the statement (1. Completely dissatisfied; 2. Dissatisfies; 3. Neutral; 4. Satisfied; 5. Completely satisfied). The mean score follows the following scales: 1.00-1.80: Completely dissatisfied 1.81-2.60: Dissatisfied 2.61-3.40: Neutral 3.41-4.20: Satisfied 4.21-5.00: Completely disatisfied + Part II: Personal information to classify interview subjects such as gender, age, working time at hotel, working department, level, current income. * Data processing methods After 01 month, the author collected 190/200 questionnaires, of which 190 were valid, reaching 95%. 190 is the final data used by the author throughout this study. For secondary and primary data collected, the author used methods of comparison, analysis, synthesis to process and clarify these data. Inside: 6 The comparison method is used to compare the current situation of Aviva Vietnam's staff satisfaction with other units in the same field; thereby, we learned the strengths and limitations of the remuneration and regimes for employees of Aviva Vietnam. Methods of analysis and synthesis: After collecting the data, the author proceeds to process and analyze to clarify the necessary attributes such as information of the survey subjects (age, gender, time workspaces, departments, ...) and the answers obtained. After analysis, the author synthesized into a system to have the most comprehensive and objective view of the meanings behind those numbers and data; thereby, helping the author analyze the current staff satisfaction. In addition, with the research issues in the thesis, the author also seeks to break down the research content to be able to carefully analyze each content, thereby better understanding their nature, advantages and limitations. Then, the author generalized the issues to get the most complete and general understanding of the results collected. 7. Thesis structure In addition to Introduction, Conclusion and List of references, the thesis includes 03 chapters as follows: Chapter 1: Theoretical background on staff satisfaction in enterprises Chapter 2: Assessing current staff satisfaction at Aviva Vietnam Life Insurance Company Limited Chapter 3: Proposal on solutions to improve staff satisfaction at Aviva Vietnam Life Insurance Company Limited. 7 CHAPTER 1. THEORETICAL BACKGROUND ON STAFF SATISFACTION IN ENTERPRISES 1.1. Theoretical background on staff satisfaction 1.1.1. Staff satisfaction 1.1.1.1. Definition Staff satisfaction is a unified concept of researchers stemming from different perspectives, different research fields. Kusku (2003) argues that staff satisfaction reflects individual needs and desires and the level of employees' perceptions of their work. This definition is derived from Maslow's demand scale theory (1943), which states that employees are satisfied with low to high demand. Wright and Kim (2004) also suggested that staff satisfaction is the match between what employees expect from work and what they feel from work. Some other researchers think that staff satisfaction is a positive emotional state of workers with jobs that show their behaviors and beliefs (Vroom, 1964; Locke, 1976; Quinn and Staines, 1979; Weiss et al, 1967). Ellickson and Logsdon (2002) suggest that staff satisfaction is the degree to which employees like their jobs, which are attitudes based on employees' perceptions (positive or negative) of work or their working environment. According to Quinn & Staines (1979), staff satisfaction is a positive response to work. According to Kreitner & Kinicki (2007), staff satisfaction mainly reflects the level of an individual who loves his or her job, which is the employee‟s emotions or feelings for the job. Luddy (2005) argued that staff satisfaction is an emotional response to different aspects of work. Luddy emphasized the causes of job satisfaction including job position, supervision of superiors, relationship with colleagues, job content, remuneration and rewards including: advancement, the physical condition of the working environment and organizational structure. Some other researchers claim that staff satisfaction is satisfaction with different job aspects. The level of job satisfaction with employees affects employee attitudes and perceptions, typically Smith et al. (JDI) study (1969 cited by Luddy, 2005). In the study of Smith et al, staff satisfaction is expressed through five main groups of factors: (1) job, (2) promotion opportunities, (3) leadership, (4) colleagues and (5) salary/income. The consideration of satisfaction in many aspects of Smith's work is also recognized by many other researchers in different studies (Spector, 1997; Tran Kim Dung, 2005; Luddy, 2005). 8 According to Smith, Kendal and Hulin (1969), the level of satisfaction with the components or aspects of a job is the attitude that influences and acknowledges employees' different aspects of work (nature of work, training and advancement opportunities, leadership, colleagues and salaries). There are generally two trends that define staff satisfaction (1) considering staff satisfaction as a general variable of the emotional nature (positive and negative) of workers to work that may affect to the beliefs and behaviors of workers; (2) considering staff satisfaction under various job aspects. In this study, staff satisfaction is considered under both aspects of job and overall staff satisfaction with work in general. In this research, staff satisfaction is understood as definitions by Smith, Kendal and Hulin (1969). Accordingly, staff satisfaction is “the attitude that influences and acknowledges employees' different aspects of work (nature of work, training and advancement opportunities, leadership, colleagues and salaries)”. 1.1.1.2. Benefits from staff satisfaction Human resources are a decisive factor in the development of organizations (Wheeland, 2002). To create loyalty and attachment to the organization, it is necessary to create employee satisfaction with the work they are doing. Satisfying and creating loyalty will help the organization reduce the costs of hiring, training and reduce errors in the process of working from new employees. Highly skilled and experienced staffs often finish their work effectively in a shorter time than new and inexperienced employees at work. The influence of the quality of work and the competence of the human resources has been recognized by quality researchers. Quality experts in the US such as Deming, Juran think that job satisfaction will lead to productivity and performance of the company. Japanese quality experts such as Ishikawa (1985) always emphasize the importance of the "human element" to create a high quality working environment. Ishikawa believes that effective quality control must be based on people management. Research by Saari and Judge (2004) also shows that job satisfaction affects employee performance. In general, such studies show that job satisfaction will make workers more loyal, less likely to quit their jobs or reduce strikes or increase union activities (Saari and Judge, 2004). 1.1.2 Theory of staff satisfaction 1.1.2.1. Maslow's Needs Theory (1943) According to Maslow, individuals are ready to act according to the level of increasing demand. According to Maslow's hierarchy of needs, there are five types of needs: 9 Level 1: Basic/physiological needs include needs for eating, drinking, physiologically satisfying housing, and other physical needs. Level 2: Safety needs are security needs and are protected from physical and spiritual harms as well as ensuring physical needs continue to be satisfied. Level 3: Social needs are emotional needs, acceptance and friendship. Level 4: Esteem needs are internally respected factors such as self-esteem, autonomy, achievements and externally respected factors such as status, recognition. Level 5: Self-actualization or the need to affirm yourself is to promote and achieve what you can and to satisfy yourself; needs to help them improve themselves. Figure 1.1: Maslow's Needs Theory (1943) These five levels of human needs are described in two groups as low-level needs (level 1 and 2) and high-level needs (levels 3, 4 and 5). The difference between the two groups is based on the assumption that high-level needs are usually satisfied from the inside, while low-level needs are mostly satisfied from the outside. Maslow's demand theory was widely recognized and applied in practice during the 1960s and 1970s (Robins et al, 2002). The weakness of Maslow's theory is that it does not give empirical evidence for the theory and some studies to validate it have failed (Robins et al, 2002). This is the theory of human needs and it is considered and applied in this study because only when the needs of employees are met, they can have staff satisfaction. The needs in this theory are addressed in the form of different variables. For example, physiological and safety satisfaction can be expressed in variables measuring company income and welfare. Similarly, satisfaction with social needs and self-esteem are expressed 10