brm notes.doc

8/14/2019 BRM NOTES.doc

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National University of Modern Languages (NUML)

Islamabad

Faculty of Management Sciences

Business Research Methods for MB !rd Semester

ug" # $ec %&&'Instructor $r" shraf li

I m portance of the Cou r s e

common e*erience of all organi+ations is that the managers thereof encounter

*roblems big and small each day at ,or-. ,hich they have to solve by ma-ing rightdecisions" /o ma-e right decisions in business the managers should have the ability of

thorough investigation or research of the *roblems. analysis of some data. and ma-e

*ro*osal for the solution in the light of this analysis" /his course includes basic conce*tsof the research methods for business" /he s*ecific study areas include Introduction to

research. -no,ledge about research and managerial effectiveness. scientific

investigations. technology and business research. e*erimental design. data analysis and

inter*retation. conclusion of the findings in the ,ritten research re*ort etc"

A im s a n d Objec t ive s

/he goal of this course is to *rovide students sound basic bac-ground of the businessresearch methods. ,hich ,ould enable them to *ursue research studies at higher levels"

/he students should be motivated to develo* interest for underta-ing com*le research

*ro0ects" /he students should be trained in such a manner that they should feel com*etentto organi+e e*eriments and to *rovide consultancy services to researchers in other fields"

Learning Objective s1" /o ma-e the students learn by conducting e*eriments. collecting and describing data"

%" /o *rovide students ,ith sound -no,ledge of business research methodology andenable them to solve the *roblems confidently"

!" /o e*ose students ,ith *resent day e*erimental ,or-"2" /o *romote understanding of the sub0ect for the *ur*ose of analy+ing data and

dra,ing valid inferences"

3" /o *re*are the students for *ositions 0obs in research organi+ations"4" /o motivate students so as to develo* interest for underta-ing research in the higher

education"

Methodolog y

/he methods of instructions ,ill include ,ee-ly lectures. grou* discussions in the class

room on the to*ics related to the literature and *rofessional e*erience"

Pr a ctica l

5ractical be based on the to*ics of the studied material" Students ,ould be as-ed to

underta-e small e*eriments. analy+e on modern com*uting facilities. and ,riteconducting remar-s and the re*orts"

A s sig n m e nt s


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number of assignments should have to be submitted on the current studied to*ics given

by the course incharge"

G r oup discussion s6/he class should be divided in to small grou*s including 374 students to discuss the

assigned e*erimental ,or-. to collect the literature. to analy+e the data and to ma-e a

final re*ort"

Boos r ec o mm e nde d

1" Se-ran. U" (%&&!) 8Research methods for business9 (2th :dition). National Boo-

Foundation. Islamabad. 5a-istan

%" Marilyn ;" 5elosi. /heresa M" Sandifer. Se-ran. U" (%&&1) 8Research and :valuationfor Business9 Sons Inc"

!" $onald R" ?oo*er and 5amela S" Schindler (%&&!) 8Business Research Methods9 ('th

:dition). Mc@ra,7AillIr,in

2" Ran0it ;umar. 8Research Methodolgy9 Sage 5ublications

3" Ingeman rbonor and B0oran Ber-e. 8Methodology for creating Business;no,ledge9 Sage 5ublications"

4" $am Remenyl. 8$oing Research in Business -no,ledge9 Sage 5ublications" $avid

A" Fol+. 8Survey Research for 5ublic dministration9 Sage 5ublicationsC" ?" =illiam :mory. 8Business Research Methods9 Ir,in

Course Outlin e

! e m e ster " e e Course Content

1st =ee- Introduction to research

%nd =ee- Scientific research

!rd =ee- /echnology and business research

2th

=ee- Research *rocess3th =ee- Research *rocess (contd")

4th =ee- /he broad *roblem area. *reliminary data gathering. *roblem

definition. theoretical frame ,or- and hy*othesis develo*ment.elements of research design"

Cth =ee- :*erimental design

'th =ee- Measurement of variables o*erational definition and scales

Dth =ee- Measurement scaling. reliability. validity

1&th =ee- Mid /erm :ams

11th =ee- Mid /erm :ams

1%th =ee- Sam*ling

1!th =ee- $ata analysis and inter*retation12th =ee- Research 5ro*osal

13th =ee- Research re*ort

14th =ee- Management decision ma-ing and research

1Cth =ee- Management decision ma-ing and research (contd")

1'th =ee- :nd /erm :ams

1Dth =ee- :nd /erm :ams

B u siness #esea r ch Metho d s


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C$AP% '

Introduction(

#esearch methodsprovide the knowledge and skills to solve the problems and meet

the challenges of a fast-paced decision- making environment.

#esearch is simply the process of finding solutions to a problem after a thorough

study and analysis of the situation and data.

ER

#esearch is a systematic inquiry aimed at providing information to solve problems.

We define business research as a systematic inquiry that provides information to

guide business decisions.

ER

Business research is an organized, systematic, data-based, critical, objective,

scientific inquiry or investigation into a specific problem, undertaken with the purpose

of finding answers or solution to it.

ERBusiness research is the process of finding solution to a specific problem encountered

in the work setting.5hysical research is normally conducted under controlled laboratory conditions ,hile

business research seldom is" Business research normally deals ,ith such to*ics as human

attitude. behavior. and *erformance"

%ypes of Business #esearch(

Applied research is research done with the intention of applying the results of thefindings to solve specific problems being experienced in the organization. For eam*le. a

*articular *roduct may not be selling ,ell and the manager might ,ant to find the reason

for this in order to ta-e corrective action"

Basic research is research done mainly to increase the understanding of certain

problems that commonly occur in organization settings. university *rofessor may beinterested in investigating the factor that contributes the absenteeism as a matter of mere

academic interest" fter gathering information on this to*ic from several institutions and

analy+ing the data. the *rofessor may identify factors such as infleible ,or- hours.

inadeuate training of em*loyees. and lo, morale as *rimarily influencing absenteeism"Later on. a manager ,ho encounters absenteeism of em*loyees in his organi+ation may

use this information to determine if these factors are relevant to those *articular ,or-

settings for *roblem solving" It is also -no,n as pure research"


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%he ) al u e of ac*uiring r esea r ch s i lls


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/he -no,ledge of research is im*ortant due tothe follo,ing reasons

/o gather more information before selecting a course of action"

/o do a high level research study"

/o understand research design"

/o evaluate and resolve a current management dilemma"/o establish a career as a research s*ecialist"

!teps in conducting B usiness #esea r ch(

1 5roblem Identification

% Statement of $esired @oal or outcome! Research :vidence and Aard $ata

2 Eutcome

3 Identification of *ossible ?ause4 5ro*osed Solution

t Ste* 1 you identify that a *roblem eists or there is an o**ortunity for im*rovement"/he ob0ective of this ste* is to develo* statement that reflects the current situation"

5roblems or o**ortunities for im*rovement can be identified from customer com*laints.

em*loyee surveys. focus grou*s. brainstorming sessions. ne, regulations. or a variety ofother *laces" For eam*le. the amount of time it ta-es to get a ne, *roduct may be too

long. there may bee too many errors in the billing *rocess. customers may be on hold too

long. or there may be too many returns of a *articular *roduct" ll of these situations

re*resent *roblems andor o**ortunities for im*rovement" Identification of a *roblem isan im*ortant ste* in conducting research" It is the reason for collecting and analy+ing

data" Ether,ise. data analysis occurs in a vacuum and is not connected to business

decision"

Research *rovides the needed information that guides managers to ma-e informed

decisions to successfully deal ,ith *roblems" /he information *rovided could be theresult of a careful analysis of the data gathered firsthand or of data that are already

available (in the com*any. industry. archives. etc)" $ata can be uantitative (as generally

gathered through structured uestions) or ualitative (as generated from the broad

ans,ers to s*ecific uestions in intervie,s. or from res*onses to o*en7ended uestions ina uestionnaire. or through observation. or from already available information gathered

from various sources)"

common e*erience of all organi+ations is that the manager has to solve big and small

*roblems on a daily basis by ma-ing the right decisions" In business. research is usually*rimarily conducted to resolve *roblematic issues in. or interrelated among. the areas ofaccounting. finance. management. and mar-eting"

p r obl e m atic is s ues of r esea r ch in B usiness(


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Accounting budget control systems. *ractices. and *rocedures are freuently eamined"

Inventory costing methods. accelerated de*reciation. time #series behavior of uarterlyearnings. transfer *ricing. cash recovery rates. and taation methods are some of the other

areas that are researched"

+inance the o*erations of financial institutions. o*timum financing. yields on

mortgages. the behavior of the stoc- echange. and the li-e. become the focus of

investigation"

Management research( could encom*ass the study of em*loyee attitude and behavior.

human resources management. the im*act of changing demogra*hics on management

*ractices. *roduction o*erations management. strategy formulation. information system.and the li-e"

Mareting research could address issues *ertaining to *roduct image. advertising. sales

*romotion. distribution. *ac-aging. *ricing. after7sales service. customer *references.ne, *roduct develo*ment. and other mar-eting as*ects"

% ypes of the !t u dies u sed to do r esea r ch(

Re*orting

$escri*tive

:*lanatory

*redictive

Good #esea r ch(

@ood research uses the scientific method, Some of the characteristics of the goodresearch are as fallo,ing

1" Purpose of the research clearly defined( /he *ur*ose of the research. or the

*roblem involved. should be clearly defined and shar*ly delineated in terms as

unambiguous as *ossible" /he statement of the research *roblem should include

analysis into its sim*lest elements. its sco*e and limitations. and *recises*ecifications of the meanings of all ,ords significant to the research"

%" #esearch procedure described in detail( /he research *rocedures used should

be described in sufficient detail to *ermit another researcher to re*eat theresearch"

!" #esearch design thoroughly planned( /he *rocedural design of the research

should be carefully *lanned to yield results that are as ob0ective as *ossible" =hena sam*ling of the *o*ulation is involved. the re*ort should include evidence

concerning the degree of re*resentativeness of the sam*le" uestionnaire ought

not to be used ,hen more reliable evidence is available from documentary

sources or by direct observation" Bibliogra*hic searches should be as thoroughand com*lete as *ossible" :*eriments should have satisfactory controls" $irect

observations should be recorded in ,riting as soon as *ossible after the events"


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:fforts should be made to minimi+e the influence of *ersonal bias in selecting and

recording data"

2" Limitations franly revealed( /he researcher should re*ort. ,ith com*letefran-ness. fla,s in *rocedural design and estimate their effect u*on the findings"

com*etent researcher should be sensitive to the effects of im*erfect design. and

his e*erience in analy+ing the data should give him a basis for estimating theirinfluence"

3" $igh ethical standard applied( /he observance of ethics begins ,ith the *erson

instituting the research. ,ho should do so in good faith. *ay attention to ,hat theresults indicate. and surrendering the ego. *ursue organi+ational rather than self7

interests"

4" Analysis of the data should be sufficiently ade*uate to reveal its significance.

and the methods of analysis used should be a**ro*riate" /he validity andreliability of data should be chec-ed carefully" /he data should be classified in

,ays that assist the researcher to reach *ertinent conclusions" =hen statistical

methods are used. the *robability of error should be estimated and the criteria of

statistical significance a**lied"C" +indings presented unambiguously( /hese should be cleared and should be

0ustified ,ith the hel* of literature"'" Conclusions justified( ?onclusions should be confined to those 0ustified by the

data of the research and limited to those for ,hich the data *rovide an adeuate

basis"D" Greater confidence in the research is -arranted if the researcher is

e.perienced/ has good re*utation in research. and is a *erson of integrity"

Manager a nd #esea r ch (

Managers ,ith -no,ledge of research have an advantage over those ,ithout" /hough you

yourself may not be doing any ma0or research as a manager. you ,ill have to understand.

*redict and control events that are dysfunctional to the organi+ation" For eam*le. a ne,*roduct develo*ed may not be 8ta-ing off9 or a financial investment may not be 8*aying

off9 as antici*ated" Such disturbing *henomena have to be understood and e*lained"

Unless this is done. it ,ill not be *ossible to *redict the future of that *roduct or the*ros*ects of that investment. and ho, future catastro*hic outcomes can be controlled"

gras* of research methods ,ill enable managers to understand. *redict and control

environment"

0no-ledge about research and research methods helps professional manager to(

1" Identify and effectively solve minor *roblems in the ,or- setting"

%" Ae must have a -no,ledge. ho, to discriminate good from bad research"!" ,areness of the multi*le effects of the factors im*inging on a situation"

2" /a-e calculated ris-s in decision ma-ing. -no,ing full ,ell the *robabilities

associated ,ith the different *ossible outcomes"3" 5revent *ossible vested interests from eercising their influence in a situation"

4" Relate to hired researchers and consultants more effectively"

C" ?ombine e*erience ,ith scientific -no,ledge ,hile ma-ing decisions"


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"hen #esearch should be avoided1

=hen information cannot be a**lied to a critical managerial decision"

=hen managerial decision involves little ris-"

=hen management has insufficient resources to conduct a study"

=hen the cost of the study out,eighs the level of ris- of the decision"

%he Manager a nd the Co n sultant 2#esea r che r (

s a manager. you ,ill often need to engage a consultant to study some of the morecom*le. time7consuming *roblems that you might encounter" It is thus im*ortant to be

-no,ledgeable about ho, to locate and select a researcher. ho, to effectively interact

,ith the consultant (the terms researcher and consultant are used interchangeably)"

%he Manager # e sea r cher #elationship

$uring their career. it often becomes necessary for manager to deal ,ith consultant"=hen the manager is -no,ledgeable about research. then the interactions bet,een the

manager and researcher become more meaningful. *ur*oseful. and beneficial both to theorgani+ation and the researcher ali-e" /he manager has to inform the researchers ,hat

ty*es of information could be *rovided to them. and more im*ortant. ,hich of theirrecords ,ould not be made available to them" Such record might include the *ersonal

files of the em*loyees. or the ones ,ith certain trade secrets" Managers ,ho are very

-no,ledgeable about research can more easily foresee ,hat information the researchersmight reuire. and if certain documents containing such information cannot be made

available. they can inform the research team about this at the outset" It is veing for

researchers to discover at a late stage that the com*any ,ill not let them have certaininformation" If they -no, the constraints right from the beginning. the researchers might

be able to identify alternate ,ays of tac-ling the *roblems and to design the research in

such a ,ay as to *rovide the needed ans,ers"

Manage r 3 s Obliga t ions(

S*ecify *roblems"

5rovide adeuate bac-ground information"

ccess to com*any information gate-ee*ers"

#esea r che r 3 s Obliga t ions(

$evelo* a creative research design

5rovide ans,ers to im*ortant business uestions

%he Manager # e sea r cher C o nflict s

Managements limited e*osure to research

Manager sees researcher as threat to *ersonal status

Researcher has to consider cor*orate culture and *olitical situations

ResearcherGs isolation from managers


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Internal Consultants4#esea r chers

Some organi+ations have their o,n consulting or research de*artments. ,hich might becalled the management services de*artment. the organi+ation and methods de*artment. R

> $. or by some other name" Such a unit ,ithin the organi+ation ,ould be useful in

several ,ays. and enlisting its hel* might be advantageous under some circumstances. butnot in others" /he manager often has to decide ,hether to use internal or eternal

researchers" /o reach a decision. the manager should be a,are of the strengths and

,ea-nesses of both. and ,eight the advantages and disadvantages of using either. basedon the needs of the solution"

Adv a ntages(

1" /he internal team ,ould stand a better chance of being readily acce*table by theem*loyees in the subunit of the organi+ation"

%" /he team ,ould reuire much less time to understand the structure. the

*hiloso*hy and climate. and the functioning and ,or- systems of the

organi+ation"!" /hey ,ould be available for im*lementing their recommendations after the

research findings are acce*ted"2" /he internal team might cost considerably less than an eternal team for the

de*artment enlisting hel* in *roblem solving. because they ,ill need less time to

understand the system due to their continuous involvement ,ith various units ofthe organi+ation" For *roblems that are of lo, com*leity. the internal team

,ould be ideal"

5isadv a ntages of Internal Consultants4#esea r chers(

1" In vie, of their long tenure as internal consultants. the internal team may uite

*ossibly fall into a stereoty*ed ,ay of loo-ing at the organi+ation and its

*roblems" /his ,ould inhibit any fresh ideas and *ers*ectives that might beneeded to correct the *roblems"

%" /here is sco*e for certain *o,erful coalitions in the organi+ation to influence the

internal team to conceal. distort. or misre*resent certain facts" In other ,ords.certain vested interests could dominate. es*ecially in securing a si+able *ortion of

the available scant resources"

!" /here is also a *ossibility that even the most highly ualified internal research

teams are not *erceived as 8e*erts9 by the staff and management. and hence theirrecommendations do not get the considerations and attention they deserve"

2" ?ertain organi+ational biases of the internal research team might in some

instances ma-e the findings less ob0ective and conseuently less scientific"

& .ternal C onsultant4#esea r chers(

/he disadvantages of the internal research teams turn out to be the advantages of theeternal teams. and the formerGs advantages ,or- out to be the disadvantages of the

latter"


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Adv a ntages(

1" /he eternal team can dra, on a ,ealth of e*erience from having ,or-ed ,ithdifferent ty*es of organi+ations that have had the same or similar ty*es of

*roblems"

%" /he eternal teams. es*ecially those from established research and consultingfirms. might have more -no,ledge of current so*histicated *roblem7solving

models through their *eriodic training *rograms. ,hich the teams ,ithin the

organi+ation may not have access to"

5isadv a ntages(

1" /he cost of hiring an eternal research team is usually high and is the main

deterrent. unless the *roblems are very critical"%" In addition to the considerable time the eternal team ta-es to understand the

organi+ation to be researched. they seldom get a ,arm ,elcome. nor are readily

acce*ted by em*loyees" $e*artments and individuals li-ely to be affected by the

research study may *erceive the study team as a threat and resist them" /herefore.soliciting em*loyees hel* and enlisting their coo*eration in the study is a little

more difficult and time7consuming for the eternal researchers than for theinternal teams"

!" /he eternal team also charges additional fees for their assistance in the

im*lementation and evaluation *hases"

&thics and Business #esea r ch(

:thic in business research refers to a code of conduct or e*ected societal norm of

behavior ,hile conducting research" :thical conduct a**lies to the organi+ation and themembers that s*onsor the research. the researchers ,ho underta-e the research. and the

res*ondents ,ho *rovide them ,ith the necessary data" /he observance of ethics begins

,ith the *erson instituting the research. ,ho should do so in good faith. *ay attention to,hat the results indicate. and surrendering the ego. *ursue organi+ational rather than self7

interests" :thical conduct should also be reflected in the behavior of the researchers ,ho

conduct the investigation. the *artici*ants ,ho *rovide the data. the analysts ,ho *rovidethe results. and the entire research team that *resents the inter*retation of the results and

suggests alternative solution"


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!cientific #esearch

C$AP% 6

Scientific research focuses on solving problems and pursues a step-by-step logical,

organized, and rigorous (exact) method to identify the problems, gather data, analyzethem, and draw valid conclusions there from.

/he scientific research is not based on hunches. e*erience. and intuition (though these

may *lay a *art in final decision ma-ing). but is *ur*osive and rigorous" Because of therigorous ,ay in ,hich it is done. scientific research enable all those ,ho are interested in

researching and -no,ing about the same or similar issues to come u* ,ith com*arable

findings ,hen the data are analy+ed" Scientific research also hel*s researchers to state

their findings ,ith accuracy and confidence" /his hel*s various other organi+ations toa**ly those solutions ,hen they encounter similar *roblems" Furthermore. scientific

investigation tends to be more ob0ective than sub0ective. and hel*s managers to highlight

the most critical factors at the ,or-*lace that need s*ecific attention so as to avoid.

minimi+e. or solve *roblems" Scientific investigation and managerial decision ma-ing areintegral as*ects of effective *roblem solving" /he term scientific research a**lies to both

basic and a**lied research" **lied research may or may not be generali+e able to otherorgani+ations. de*ending on the etent to ,hich differences eist in such factors as si+e.

nature of ,or-. characteristics of the em*loyees. and structure of the organi+ation"

Nevertheless. a**lied research also has to be an organi+ed and systematic *rocess ,here*roblems are carefully identified. data scientifically gathered and analy+ed. and

conclusions dra,n in an ob0ective manner for effective *roblem solving"

Sometimes the *roblem may be so sim*le that it does not call for elaborate research. and*ast e*eriences might offer the necessary solution" t other times. eigencies of time.

un,illingness to e*and the resources needed for doing good research. lac- of

-no,ledge. and other factors might *rom*t business to try to solve *roblems based onhunches" Ao,ever. the *robability of ma-ing ,rong decisions in such cases is high"

%he $al lm ars 7 Charact ers/ %asdee*/ Mustanid8 of !cientific #esearch(

/he hallmar-s or main distinguishing characteristics of scientific research may be as

follo,

', Purposiveness(

/he manager has started the research ,ith definite aim or *ur*ose" /he focus is on

increasing the commitment of em*loyees to the organi+ation. as this ,ill be beneficial in

many ,ays" n increase in em*loyee commitment ,ill translate into less turnover. lessabsenteeism. and *robably increased *erformance levels. all of ,hich ,ould definitely

benefit the organi+ation" /he research thus has a *ur*osive focus"

6, #igor(

good theoretical base and a sound methodological design ,ould add rigor to a

*ur*osive study" Rigor connotes carefulness. scru*ulousness. and the degree of eactitude

in research investigations"


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4" Objectivity

/he conclusion dra,n through the inter*retation of the results of data analysis should beob0ective6 that is. they should be based on the facts of the findings derived from actual

data. and not on our o,n sub0ective or emotional values" For instance. if ,e had a

hy*othesis that stated that greater *artici*ation in decision ma-ing ,ill increaseorgani+ational commitment. and this ,as not su**orted by the results. it ma-es no sense

if the researcher continues to argue that increased o**ortunities for em*loyee

*artici*ation ,ould still hel*J Such an argument ,ould be based. not on the factual. data7based research findings. but on the sub0ective o*inion of the researcher" If this ,as the

researcherGs conviction all along. then there ,as no need to do research in the first *lace"

Much damage can be sustained by organi+ations that im*lement non7data7based or

misleading conclusion dra,n from research"


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I n duction(

Induction is a *rocess ,here ,e observe certain *henomena and on this basis arrive atconclusions" In other ,ords. in induction ,e logically establish a general *ro*osition

based on observed facts" For instance. ,e see that the *roduction *rocesses are the *rime

features of factories or manufacturing *lants" =e therefore conclude that factories eistfor *roduction *ur*oses"

Both the deductive and the inductive *rocesses are a**lied in scientific investigations"

/heories based on deduction and induction hel* us to understand. e*lain. andor *redictbusiness *henomena"

1 ou *ush the light s,itch and find no light

% ou as- the uestion. =hy no light (induction)! ou infer a conclusion (hy*otheses) to ans,er the uestion and e*lain the fact

that the bulb is burned out" (deduction)

2 ou use this hy*othesis to conclude (deduce) that the light ,ill not go on ,hen

,e *ush the s,itch" =e -no, from e*erience that burned7out bulb ,ill not light"

$ y pothetico ? de d uc t ive m e t hod(

=hen research is designed to test some s*ecific hy*othesi+ed outcome. as for instance. to

see if controlling aversive noise in the environment increase the *erformance of

individuals in solving mental *u++les. the follo,ing ste*s ensue" /he investigator begins,ith the theory that noise adversely affects mental *roblems solving" /he hy*othesis is

then generated that if the noise is controlled. mental *u++les can be solved more uic-ly

and correctly" Based on this a research *ro0ect is designed to test the hy*othesis" /he

results of the study hel* the researcher to deduce or conclude that controlling the aversivenoise does indeed hel* the *artici*ants to im*rove their *erformance on mental *u++les"

/his method of starting ,ith a theoretical frame,or-. formulating hy*otheses. and

logically deducing from the results of the study is -no,n as the hy*othetico7deductivemethod"

/he building bloc-s of scientific inuiry are de*icted in figure and include the *rocessesof initially observing *henomena. identifying the *roblem. constructing a theory as to

,hat might be ha**ening. develo*ing hy*otheses. determining as*ects of the research

design. collecting data. analy+ing the data. and inter*reting the results"

%he seven step process in the $ypothet ico?deduction m ethod(

', Observation(

Ebservation is the first stage. in ,hich one senses that certain changes are occurring.

or that some ne, behaviors. attitudes. and feelings are surfacing in oneGs environment

(i"e" the ,or-*lace)"/he *eo*le7oriented manager is al,ays sensitive to and a,are of ,hat is ha**ening in

and around the ,or-*lace" ?hanges in attitudes. behaviors. communication *atterns

and styles. and a score of other verbal and nonverbal cause can be readily *ic-ed u*

by managers ,ho are sensitive to the various nuances"


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=hen there is indeed a *roblem in the situation. the manager may not understand

,hat eactly is ha**ening. but can definitely sense that things are not ,hat they

should be"Li-e,ise. a dro* in sales. freuent *roduction interru*tions. incorrect accounting

results. lo, yielding investments. disinterestedness of em*loyees in their ,or-. and

the li-e. could easily attract the attention of the manager. though ,hy they may beoccur may be an enigma (*u++le)"

6, Preliminary information gathering(

5reliminary information gathering involves the see-ing of information in de*th. of,hat is observed" /his could be done by tal-ing informally to several *eo*le in the

,or- setting or to clients. or to other relevant sources. thereby gathering information

on ,hat is ha**ening and ,hy" By doing library research. or obtaining information

through other sources. the investigator ,ould identify ho, such issues have beentac-led in other situations"

/hus a mass of information ,ould have been collected through the intervie,s and

library search" /he net ste* is to ma-e sense of the factors that have been identified

in the information7gathering stage by *iecing them together in some meaningfulfashion"

9, %heory formulation(

/heory formation is an attem*t to integrate all the information in a logical manner. so

that the factors res*onsible for the *roblem can be conce*tuali+ed and tested" In this

ste* the critical variables are eamined as to their contribution or influence ine*laining ,hy the *roblem occurs and ho, it can be solved"

@nderstanding %heory( Components and Connections(

=hen ,e do research. ,e see- to -no, 8=hat is9 in order to understand. e*lain. and

*redict *henomena" =e might ,ant to ans,er the uestion. ,hat ,ill be the em*loyeereaction to the ne, fleible ,or- schedule =hen dealing ,ith such uestions. ,e

must agree on definitions" =hich em*loyee =hat -ind of reaction =hat are the

ma0or indicators /hese uestions reuire the use of conce*ts. constructs. anddefinitions"

If one is to understand and communicate information about ob0ects and events. there

must be a common ground on ,hich to do it" ?once*ts are used for this *ur*ose" conce*t is a bundle of meanings or characteristics associated ,ith certain events.

ob0ects. conditions. situations. and the li-e" ?once*ts are created by classifying and

categori+ing ob0ects or events that have common characteristics beyond the single

observation" =e abstract such meanings from reality and use ,ords as labels todesignate them" For eam*le. ,e see a man *assing and thin-. he is running. ,al-ing.

s-i**ing. cra,ling. or ho**ing" /hese movements all re*resent conce*ts"

Construct is an image or idea s*ecifically invented for a given research and theorybuilding *ur*ose" =e build constructs by combining the sim*ler conce*ts. es*ecially

,hen the idea or image ,e intend to convey is not directly sub0ect to observation"

:, $ypothesi=ing(

From the theori+ed net,or- of associations among the variables. certain hy*otheses

or educated con0ectures can be generated" For instance. at this *oint. one might

hy*othesi+e that if a sufficient number of items are stoc-ed on shelves. customer


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13

dissatisfaction ,ill be considerably reduced" /his is a hy*othesis that can be tested to

determine if the statement ,ould be su**orted"

Ay*othesis testing is called deductive research"3" +urther !cientific 5ata collection(fter the develo*ment of the hy*otheses. data ,ith res*ect to each variable in the

hy*otheses need to be obtained", 5ata Analysis(In this ste* the $ata gathered are statistically analy+ed to see if the hy*otheses that

,ere generated have been su**orted"


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14

C$AP% 9

%echnology and

Business #esearch

Information needs of Business(/o run a business. useful. timely. accurate. reliable. and valid data are needed" =hen

data in their ra, form are evaluated. analy+ed. and synthesi+ed. useful information

become available to managers that hel*s them ma-e good business decisions" Foream*le. figures of gross sales. *rofits. and the li-e. are data of a descri*tive nature.

,hich are doubtless informative to the manager"

Commonly used technologies in Business research(

$igital technology has come in handy for research. es*ecially in collecting. storing. and

analy+ing information" /hese include all electronic interactive media such as ?$7REM.

the $$. the bro,ser. the internet and the Intranet. and search engines" ?om*uteri+eddatabases on com*act dis-s are available. es*ecially for research in the finance area"

%he Internet(

/he Internet. ,hich is a vast global net,or- of com*uters connecting *eo*le and

information. has o*ened u* tremendous *ossibilities for advancing research ande*anding the area of business o**ortunities throughout the ,orld"

%he Internet connects us -orld-ide (1) ny needed research data can be collected

from any country through the Internet" (%) Ether information regarding *rices. industry or*ublished material on any to*ic of interest can be collected for each country" (!) =e can

easily do,nload secondary data and *rint them" (2) =e can also conduct com*uter7

interactive survey very efficiently ,ith large global audience. ,here the com*uter ,illseuence and *ersonali+e the uestions as ,e ,ould desire (s-i* uestions and as-

a**ro*riate follo,7u* information)"

&lectronic Mail(

/he Internet also *ermits the echange of electronic mail (e7mail). ,hich has increasingly

become the *rimary mode of business communication both ,ithin and outside the

com*any" (1) /he easy global access to the internet has enabled all organi+ations andmany individuals to have access to e7mail" :7mail is ine*ensive. almost instantaneous.

and has the added advantage of guaranteed delivery sub0ect only to the correctness of the

e7mail address"(%) :7mail is a sim*le and effective ,ay of reuesting and obtaining data on a variety of

to*ics from both ,ithin and outside the organi+ation" (!) Short surveys could also be

conducted via e7mail"

%he Intranet(

/he Intranet is to the internal system of the organi+ation ,hat the Internet is to its

eternal environment" /hat is. it lin-s internal data net,or-s of the com*any. but *revents


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1C

access to others outside the com*any" It also facilitates data gathering from ,ithin the

com*any6 for eam*le. surveys can be easily conducted through the intranet to access

em*loyee morale or the *o*ularity of benefit *ac-ages"

Bro-sers(

Bro,ser soft,are (li-e MicrosoftGs :*lorer and Netsca*e) allo,s even the nontechnicaluser easy access to and navigation through the ,eb" In a sense. bro,ser ignited the

internet revolution" (1) Ergani+ations create ,eb sites to *romote their image.

communicate ,ith customers. build relationshi*s. share information. offer attractiveinducements to *ros*ective customers. and ensure that they -ee* returning" (%) In some

cases they even allo, online *urchases by customers. by*assing the traditional sales

channels" (!) /he built7in audit ca*ability and *ush technology (using coo-ies to trac-

detail of ,eb sites visited) also *rovides feedbac- on the efficiency of the sites"

!ome !oft-are used in Business #esearch(

Group-are( is a soft,are that runs on a net,or- so that teams can ,or- on 0oint*ro0ects. and it allo,s *eo*le from different de*artments to access data 0ointly" For

eam*le. if the accounting. finance. sales. and *roduction de*artments have to coordinatetheir efforts to come u* ,ith a viable *roduct ,ithin a tight budget. they ,ill be served

,ell by grou*,are"

eural et-ors( are designed to trace *atterns in a set of data and generali+e

therefrom" /his soft,are enables sales forecasts. stoc- mar-et *redictions. detection of

,eather *atterns. and the li-e"

CAM4CA5( ?om*uter7aided manufacturing (?M) soft,are hel*s engineers to design

the manufacturing com*onents and directs the *roduction of *roducts" ?om*uter aided

design (?$) soft,are creates and dis*lays com*le dra,ing ,ith *recision. enablinge*erimentation ,ith different designs" ?$?M soft,are that integrates the t,o has

been in use for a long time in manufacturing and *roduction units of organi+ations"

&nterprise #esource Planning( :R5 *ac-ages from soft,are com*anies that offer all7

in7one integrated business a**lications have slo,ly re*laced traditional manufacturing.

finance. and order entry a**lications. ,hich are usually 8home designed9 and do not lend

themselves for easy integration" /he advantage of :R5 *ac-ages is their ca*ability to*rovide com*rehensive solutions to all the needs of an organi+ation in its day7to7day

,or-"

5ata Analytic !oft-are Programs( Some soft,are *rograms are available to obtain.

store. and analy+e ra, data collected through surveys. using S5SS. SS. :cel. and li-e"


19/57


20/57

1D

International 5imensions of Cyberspace(

?ybers*ace is not free of geogra*hical boundaries or cultural nuances" Foreign

governments can use the same fire,all and filtering technology that mericancor*orations use to deter com*uter hac-ers" Some countries ban access to gambling ,eb

sites. and fe, other li-e Singa*ore and Saudi rabia censor the ,eb site contents"

5ata !torage and !urveillance(

!torage of 5atabases(

/here is a need for storing com*any data at more than one site and a,ay from thelocation of business o*erations" $ata is the lifeblood of com*anies and should be

mirrored live in at least t,o other locations. or at least bac-ed u* on ta*e and stored in

other remote locations"

5ata !ecurity(

/o *rotect information from a variety of threats. digital I$s and fire,alls are a fe, of the

security measures used to *revent fraud and unauthori+ed use"

Managerial Advantage of %echnological Advancement(

Information technology and the develo*ment of soft,are to gather. store. and analy+e

information7the result of ,hich facilitate decision ma-ing7are registering advances at ane*onential rate" It is im*ortant for managers to ta-e full advantage of information

technology -ee* abreast of all current advances. and fact. develo* soft,are tailored to the

s*ecial needs of the system"/he soft,are technology can be *ut to effective use in the research *rocess for *roblem

identification. theory building. and collecting data from res*ondents. analy+ing it. and

*resenting the results"

&thics in $andling Information %echnology(

/he Businesses have to balance their information needs against the individual rights of

those they come in contact ,ith. and on ,hom they store data" Second. com*anies alsoneed to ensure that confidential information relating to individuals is *rotected and does

not find its ,ay to unscru*ulous vendors and used for nefarious *ur*oses" /hird. care

should be ta-en to ensure that incorrect information is not distributed across the manydifferent files of the com*any" Fourth. those ,ho collect data for the com*any should be

honest. trust,orthy. and careful in obtaining and recording the data in a timely fashion"


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%&

C$AP% :

%he #esearch Process for applied and basic research

Scientific inuiry in the hy*othetico7deductive mode can be discussed relating to its t,o

distinct as*ects #the process of develo*ing the conce*tual frame,or- and the hy*othesesfor testing. and the design. ,hich involves the *lanning of the actual study. dealing ,ith

such as*ects as the location of the study. the selection of the sam*le. and collection and

analysis of the data" In figure ca*tures the research *rocess in the first five boes" Boes4 and C embody the design as*ects" Bo ' denotes the final deduction from the

hy*otheses are substantiated and the research uestion is fully ans,ered. the researcher

,rites u* the re*orts and ma-es a *resentation. and the manager is able to eamine

different ,ays of solving the *roblem and ma-ing a final decision. as re*resented inboes D. 1& and 11" if ho,ever. several of the hy*otheses are not substantiated. or are

only *artially su**orted. one may go bac- to eamine the reasons for this"

Broad Problem Area(/he broad *roblem area refers to the entire situation ,here one sees a *ossible need for

research and *roblem solving" /he s*ecific issues that need to be researched ,ithin thissituation may not be identified at this stage" Such issues might *ertain to (1) *roblems

currently eisting in an organi+ational setting that need to be solved. e"g" after com*laints

of some issues. (%) areas that a manager believes need to be im*roved in the organi+ation.e"g" already formulated *olicies need to be redefined. (!) a conce*tual or theoretical issue

that needs to be tightened u* for the basic researcher to understand certain *henomena. to

define that conce*t in *recise terms. and (2) some research uestions that a basic

researcher ,ants to ans,er empirically (e*erimentally). the conseuences for theindividuals (e"g". *sychological stress) and organi+ations (*oor *erformance) is e*lored

by gathering data and testing the relationshi*s" /his is a situation ,here some s*ecific

ans,ers are sought to a research uestion":am*les of broad *roblem area that a manager could observe at the ,or-*lace are as

follo,s

1" /raining *rograms are *erha*s not as effective as antici*ated"%" /he sale volume of a *roduct is not *ic-ing u*"

!" Minority grou* members in organi+ations are not advancing in their careers"

2" Inventory control is not effective"

Preliminary 5ata Collection(

ature of data to be gathered(

/he intervie,s and library research ,ould hel* the researcher to define the *roblem mores*ecifically and evolve a theory. delineating *ossible variables that might eert an

influence on it"

/he nature of information needed by the researcher for the *ur*ose could be broadlyclassified under three headings

1" Bac-ground information of the organi+ation7that is. the contetual factors"


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%1

It is im*ortant for the researchers. to be ,ell acuainted ,ith the bac-ground of the

com*any or organi+ation studied. before even conducting the first intervie, ,ith their

officials" Such information may be obtained from various *ublished sources such as trade*ublications. the census of business and industry. directory of cor*orations. several other

business guides and services. records available ,ithin the organi+ation. and the ,eb"

i) /he origin and history of the com*any. ,hen it came into being. business it isin. rate of gro,th. o,nershi* and control. and so on"

ii) Si+e in terms of em*loyees. assets. or both"

iii) ?harter. *ur*ose and ideology"iv) Location. regional. national. or other"

v) Resources. human and others"

vi) Interde*endent relationshi*s ,ith other institutions and the eternal

environment"vii) Financial *osition during the *revious 3 to 1& years. and relevant financial

data"

Information gathered on the foregoing as*ects ,ill be useful in tal-ing -no,ledgeably

,ith others in the com*any during the intervie, and raising the a**ro*riate issues relatedto the *roblems"

%" Managerial *hiloso*hy. com*any *olicies. and other structural as*ects"Information on com*any *olicies. structure. ,or-flo,. management *hiloso*hy. and the

li-e can be obtained by as-ing direct uestions of management" Ouestioning about

managerial and com*any *hiloso*hy offers an ecellent idea of the *riorities and valuesof the com*any. as for eam*le (1) ,hether *roduct uality is really deemed im*ortant

by the com*any or if only li* service is being *aid to the conce*t6 (%) ,hether the

com*any has short7term or long7term goals6 (!) ,hether controls are so tight that

creativity is stifled. or so loose that nothing gets done. or if they are conductive to good*erformance6 (2) ,hether the com*any al,ays ,ants to *lay it safe or is *re*ared to ta-e

calculated ris-s6 and (3) ,hether it is *eo*le7oriented or solely *rofits7oriented"

Ouite freuently. as*ects of structure also influence the *roblem and need to be e*lored"Belo, are some of the structural factors

(i) Roles and *ositions in the organi+ation and number of em*loyees at

each 0ob levels"(ii) :tent of s*eciali+ation"

(iii) ?ommunication channels"

(iv) ?ontrol systems"

(v) ?oordination and s*an of control"(vi) Re,ard systems

(vii) =or-flo, systems and the li-e"

!" 5erce*tions. attitudes. and behavioral res*onses of organi+ational membersand client systems (as a**licable)"

:m*loyeesG *erce*tions of the ,or- and the ,or- environment and their attitudinal and

behavioral res*onses can be ta**ed by tal-ing to them. observing them. and see-ing theirres*onses through uestionnaires" general idea of *eo*leGs *erce*tions of their ,or-.

the organi+ational climate. and other as*ects of interest to the researcher can be obtained

through both unstructured and structured intervie,s ,ith the res*ondents" ttitudinal

factors com*rise *eo*leGs belief about and reactions to the follo,ing


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%%

(i) Nature of ,or-

(ii) =or-flo, interde*endencies

(iii) Su*eriors in the organi+ation"(iv) 5artici*ation in decision ma-ing

(v) ?lient systems

(vi) ?o7,or-ers(vii) Re,ards *rovided by the organi+ation. such as *ay raises and fringe benefits

(viii) E**ortunities for advancement in the organi+ation"

(i) Ergani+ationGs attitudes to,ard em*loyees family res*onsibilities() ?om*anyGs involvement ,ith community. civic. and other social grou*

(i) ?om*anyGs tolerance of em*loyees ta-ing time off from the 0ob"

?ertain ty*es of information such as the bac-ground details of the com*any can beobtained from available *ublished records. the ,eb sites of the com*any. its archives. and

other sources" Ether ty*es of ,ritten information such as com*any *olicies. *rocedures.

and rules can be obtained from the organi+ationGs records and documents" $ata gathered

through such eisting sources are called secondary data" Some secondary sources ofdata are statistical bulletins. government *ublications. and information *ublished or

un*ublished and available from either ,ithin or outside the organi+ation. data availablefrom *revious research. case studies and library records. online data. ,eb sites. and the

internet"

?ertain other ty*es of information such as the *erce*tions and attitudes of em*loyees are

best obtained by tal-ing to them6 by observing events. *eo*le. and ob0ects6 or by

administering uestionnaires to individuals" Such data gathered for research from the

actual site of occurrence of events are called primary data,

Literature !urvey(

/he library is a rich storage base for secondary data. and researchers used to s*end

several ,ee-s and sometimes months going through boo-s. 0ournals. ne,s*a*ers.

maga+ines. conference *roceedings. doctoral dissertations. mastersKs theses. government*ublications. and financial. mar-eting. and other re*orts. to find information on their

research to*ics"

#easons for Literature !urvey(

/he *ur*ose of the literature revie, is to ensure that no im*ortant variable that has in the

*ast been found re*eatedly to have had an im*act on the *roblem is ignored" If there are

variables that are not identified during the intervie,s. but influence the *roblem critically.then research done ,ithout considering them ,ould be an eercise in futility" In such a

case. the true reason for the *roblem ,ould remain unidentified even at the end of the

research"

good literature survey ensures that

1" Im*ortant variables that are li-ely to influence the *roblem situation are not left

out of the study"


24/57

%!

% clearer idea emerges as to ,hat variables ,ould be most im*ortant to consider

(*arsimony). ,hy they ,ould be considered im*ortant. and ho, they should be

investigated to solve the *roblem" /hus. the literature survey hel*s the develo*ment ofthe theoretical frame,or- and hy*otheses for testing"

!" /he *roblem statement can be made ,ith *recision and clarity"

2" /estability and re*licability of the findings of the current research are enhanced"3" Ene does not run the ris- of 8reinventing the ,heel9 that is. ,asting efforts on

trying to rediscover something that is already -no,n"

4" /he *roblem investigated is *erceived by the scientific community as relevant andsignificant"

Conducting the literature survey(

Based on the s*ecific issues of concern to the manager and the factors identified duringthe intervie, *rocess. a literature revie, needs to be done on these variables" /he first

ste* in this *rocess involves identifying the various *ublished and un*ublished materials

that are available on the to*ics of interest. and gaining access to these" /he second ste* is

gathering the relevant information either by going through the necessary materials in alibrary or by getting access to online sources" /he third ste* is ,riting u* the literature

revie,"

Identifying the relevant sources(

Basically. three forms of databases come in handy ,hile revie,ing the literature. as

indicated belo,

1" /he bibliogra*hic database. ,hich dis*lay only the bibliogra*hic citations. that is.

the name of the author. the title of the article (or boo-). source of *ublication. year.volume. and *age numbers"

%" /he abstract databases. ,hich in addition *rovide an abstract or summary of the

articles"!" /he full7tet database. ,hich *rovide the full tet of the article"

&.tracting the relevant information(

ccessing the online system and getting a *rintout of all the *ublished ,or-s in the area

of interest from a bibliogra*hical inde ,ill *rovide a com*rehensive bibliogra*hy on the

sub0ect. ,hich ,ill form the basis for the net ste*" /he abstract of such articles that seem

to be relevant can then be obtained through the online system"

"riting up the literature revie-(

/he documentation of the relevant studies citing the author and the year of the study is

called literature revie, or literature survey" /he literature survey is a clear and logical*resentation of the relevant research ,or- done thus far in the area of investigation"

P r ob l e m 5 e finition(

fter the intervie,s and the literature revie,. the researcher is in *osition to narro,

do,n the *roblem from its original broad base and define the issue of concern more

clearly"


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%2

*roblem does not necessarily mean that something is seriously ,rong ,ith a current

situation that needs to be rectified immediately" 85roblem9 could sim*ly indicate an

interest in an issue ,here finding the right ans,er might hel* to im*rove an eistingsituation" /hus. it is fruitful to define a problem as any situation where a gap exists

between the actual and the desired ideal states.

For eam*le ,e ,ould ideally li-e to see +ero defects. lo, inventory of unsold goods.high share uotation in the stoc- mar-et. and son on" /hus *roblem definitions could

encom*ass both eisting *roblems in current setting. as ,ell as the *uest for idealistic

states in organi+ations"

Problem definition or problem statement(

is a clear. *recise. and succinct statement of the uestion or issue that is to be

investigated ,ith the goal of finding an ans,er or solution"

&.amples(

1" /o ,hat etent has the ne, advertising cam*aign been successful in creating the

high uality. customer centered cor*orate image that it ,as intended to *roduce%" Ao, has the ne, *ac-aging affected the sales of the *roduct

!" Aas the ne, advertising message resulted in enhanced recall2" Ao, do *rice and uality rate on consumersG evaluation of *roducts

3" $oes e*ansion of international o*erations result in an enhancement of the firmsG

image and value4" =hat are the effects of do,nsi+ing on the long7range gro,th *atterns of

com*anies

C" =hat are the s*ecific factors to be considered in creating a data ,arehouse for a

manufacturing com*any'" =hat net,or- system is best suited for ; 5harmaceuticals

&thical issues in the preliminary stages of investigation(

Ence a *roblem is sensed and an investigation is decided on. it is necessary to inform all

em*loyees. *articularly those ,ho ,ill be intervie,ed for *reliminary data gathering

through structured and unstructured intervie-s of the *ro*osed study" /hough it is notnecessary to ac*uaint them ,ith actual reasons for the study (because this might bias

res*onses). letting them -no, that the research is intended to hel* them in their ,or-

environment ,ill enlist their coo*eration" It is also necessary to assure em*loyees that

their res*onses ,ill be -e*t confidential by the intervie,ers and that individualres*onses ,ill not be divulged to anyone in the organi+ation" /hese t,o ste*s ma-e the

em*loyees comfortable ,ith the research underta-en and ensure their coo*eration"

@nstructured Intervie-s does not enter the intervie, setting ,ith *lanned seuence of

uestions to be as-ed of the res*ondent" /he ob0ective of the unstructured intervie, is to

bring some *reliminary issues to the surface so that the researcher can determine ,hatvariables need further in7de*th investigation" In the discussion of the 8Broad *roblem

area9 the manager might entertain a vague idea of certain changes ta-ing *lace in the

situation ,ithout -no,ing ,hat eactly they are" Such situations call for unstructured

intervie,s ,ith the *eo*le concerned" In the initial stages. only broad. o*en7ended


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%3

uestions ,ould be as-ed. and the re*lies to them ,ould inform the researchers of the

perceptions of the individuals" /he ty*e and nature of the uestions as-ed of the

individuals might vary according to the 0ob level and ty*e of ,or- done by them" Forinstance. to* and middle7level managers might be as-ed more direct uestions about their

*erce*tions of the *roblem and the situation" :m*loyees at lo,er levels may have to be

a**roached differently"

?lerical and other em*loyees at lo,er levels may be as-ed broad. o*en7ended uestions

about their 0obs and the ,or- environment during the unstructured intervie,s"Su*ervisors may be as-ed broad uestions relating to their de*artment. the em*loyees

under their su*ervision. and the organi+ation" /he follo,ing uestion may be *ut to them

during the unstructured intervie, stage

!ell me something about your unit and department, and perhaps even the organizationas a whole, in terms of work, employees, and whatever else you think is important."

Structured Intervie,s are those conducted ,hen it is -no,n at the outset ,hat

information is needed" /he intervie,er has a list of *redetermined uestions to be as-ed

of the res*ondants either *ersonally. through the tele*hone. or through the medium of a5?" /he uestions are li-ely to a focus on factors that had surfaced during the

unstructured intervie,s and are considered relevant to the *roblem"


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%4

%he #esearch Process

!teps : and ;

%heoretical +rame-or

$ypothesis 5evelopment

C$AP% ;

eed for a theoretical frame-or

fter conducting the intervie,s. com*leting a literature survey. and defining the *roblem.

one is ready to develo* a theoretical frame,or-" theoretical frame,or- is a conce*tualmodel of ho, one theori+es or ma-es logical sense of the relationshi*s among the several

factors that have been identified as im*ortant to the *roblem"

From the theoretical frame,or-. then. testable hy*othesis can be develo*ed to eamine,hether the theory formulated is valid or not" /he hy*othesi+ed relationshi*s can

thereafter be tested through a**ro*riate statistical analyses" By being able to test andre*licate the findings. ,e ,ill also have stronger conviction in the rigor of our research"

/hus. the entire research rests on the basis of the theoretical frame,or-" :ven if testable

hy*otheses are not necessarily generated (as in some a**lied research *ro0ects).develo*ing a good theoretical frame,or- is central to eamining the *roblem under

investigation"

Since the theoretical frame,or- offers the conce*tual foundation to *roceed ,ith theresearch. and since a theoretical frame,or- is none other than identifying the net,or- of

relationshi*s among the variables considered im*ortant to the study of any given *roblem

situation"

)ariables(

variable is used to re*resent a characteristic of each member of the *o*ulation" variable is any thing that can ta-e on differing or varying values" /he values can differ

at various times for the same ob0ect or *erson. or at the same time for different ob0ects or

*ersons" :am*les of variables are *roduction units. absenteeism. and motivation"

%ypes of )ariables(

1" /he de*endant variables (also -no,n as the criterion variables)

%" /he inde*endent variables (also -no,n as the *redictor variables)!" /he moderating variables

2" /he intervening variables

5ependent variables(

/he de*endent variable is the variable of *rimary interest to the researcher" /he

researcherGs goal is to understand and describe the de*endent variable. or to e*lain its

variability. or *redict it" /hrough the analysis of the de*endent variable (i"e" finding ,hat


28/57

%C

variables influence it). it is *ossible to find ans,ers or solutions to the *roblem" For this

*ur*ose. the researcher ,ill be interested in uantifying and measuring the de*endent

variable. as ,ell as the other variables that influence this variable"

manager is concerned that the sales of a ne, *roduct introduced after test mar-eting it

do not meet ,ith his e*ectations" /he de*endent variable here is sales" Since the sales ofthe *roduct can vary7can be lo,. medium or high7 It is a variable6 since sales is the main

focus of interest to the manager. it is the de*endent variable"

vice *resident is concerned that the em*loyees are not loyal to the organi+ation. and

fact. seem to s,itch their loyalty to other institutions" /he de*endent variable in this case

,ould be organi+ational loyalty"

Independent variable(

n inde*endent variable is one that influences the de*endent variable in either a *ositive

or negative ,ay" /hat is. ,hen the inde*endent variable is *resent. the de*endent variable

is also *resent. and ,ith each unit of increase in the inde*endent variable. there is anincrease or decrease in the de*endent variable also"

Research studies indicate that successful ne, *roduct develo*ment has an influence on

the stoc- mar-et *rice of the com*any" /hat is. the more successful the ne, *roduct turns

out to be. the higher ,ill be the stoc- mar-et *rice of the firm" /herefore. the success ofthe ne, *roduct is the inde*endent variable. and stoc- mar-et *rice the de*endent

variable" /he degree of *erceived success of the ne, *roduct develo*ed ,ill e*lain the

variance in the stoc- mar-et *rice of the com*any"

Ne, 5roduct success 777777777777 Stoc- mar-et *rice

(Inde*endent ariable) ($e*endent ariable)

/here is at least one inde*endent variable (I) and a de*endent variable ($) in each

relationshi*" It is normally hy*othesi+ed that in some ,ay the I 8causes9 the $ to

occur" For sim*le relationshi*. all other variables are considered etraneous and areignored" /hus. ,e might be interested in a study of the effect of the four7day ,or-,ee-

on office *roductivity and hy*othesi+e the follo,ing

!he introduction of the four-day workweek #$%& will lead to increased office

productivity per worker-hour #'%&.

Moderating variable(

moderating variable is a second inde*endent variable that is included because it isbelieved to have a significant contributory or contingent effect on the originally stated I7

$ relationshi*" For eam*le one might hy*othesi+ed that

!he introduction of the four-day workweek #$%& will lead to higher productivity#'%&, especially among younger workers #(%&.

=hether a given variable is treated as an inde*endent or a moderating variable de*ends

on the hy*othesis" If you are interested in studying the im*act of length of ,or-,ee-.


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you ,ould ma-e the length of ,ee- the I" If you ,ere focusing on the relationshi* of

age of ,or-er and *roductivity. you might use ,or-,ee- length as a moderating variable"

It has been found that there is a relationshi* bet,een the availability of Reference

Manuals that manufacturing em*loyees have access to. and the *roduct re0ects" /hat is.

,hen ,or-ers follo, the *rocedures laid do,n in the manual. they are able tomanufacture *roducts that are fla,less"

lthough this relationshi* can be said to hold true generally for all ,or-ers. it is

nevertheless contingent on the inclination or urge of the em*loyees to loo- into theManual every time a ne, *rocedure is to be ado*ted" In other ,ords. only those ,ho

have the interest and urge to refer to the Manual every time a ne, *rocess is ado*ted ,ill

*roduce fla,less *roduct" Ethers ,ho do not ,ill. not be benefited and ,ill continue to

*roduce defective *roducts" /his influence of the attributes of the ,or-er on therelationshi* bet,een the inde*endent and the de*endent variable can be diagrammed as

in Figure

vailability of Reference Manuals P of Re0ects(I) ($)

Interest > Inclination(M)

=or-force diversity Ergani+ational effectiveness(I) ($)

Manager e*ertise

(M)

Intervening variable(

/he intervening variable may be defined as that factor ,hich theoretically affects the

observed *henomenon but cannot be seen. measured. or mani*ulated6 its effect must beinferred from the effects of the inde*endent and moderator variables on the observed

*henomenon"

In the case of the ,or-,ee- hy*othesis. one might vie, the intervening variable (I) tobe 0ob satisfaction. giving a hy*othesis such as

!he introduction of a four-day workweek will lead to higher productivity by

increasing job satisfaction #$%%&.

Ether eam*les illustrating the relationshi* involving inde*endent. moderating.controlled etraneous and de*endent variables" /he management of a ban- ,ishes to

study the effect of *romotion on savings" It might advance the follo,ing hy*othesis

*romotion cam*aign (I) ,ill increase saving activity ($). es*ecially ,hen free*ri+es are offered (M). but chiefly among smaller savers (control)" /he results come

from enhancing the motivation to save (I)"

&.traneous )ariables(

n almost infinite number of etraneous variables eists that might conceivably affect a

given relationshi*"


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Using the eam*le of the four7day ,or-,ee-. one ,ould normally thin- the im*osition

of a local sales ta. the election of a ne, mayor. a three day rainy s*ell. and thousands of

similar events and conditions ,ould have little effect on ,or-,ee- and office*roductivity"

Ao,ever. there may be other etraneous variables to consider as *ossible confounding

variables to our hy*othesi+ed I7$ relationshi* bet,een length of ,or-7,ee- andeffective *roductivity" For eam*le. one might thin- that the -ind of ,or- being done

,ould have an effect on any ,or-,ee- length im*act on office *roductivity" /his might

lead to our introducing a control as follo,sIn routine office ,or- (control). the introduction of a four7day ,or-,ee- (I) ,ill lead to

higher *roductivity ($). es*ecially among younger ,or-ers (M)"

In this eam*le. ,e attem*t to control for ty*e of ,or- by studying the effects of the

four7day ,ee- ,ithin grou*s *erforming different ty*es of ,or-"

%heoretical +rame-or

Aaving eamined the different -inds of variables that could o*erate in a situation and

ho, the relationshi*s among these can be established. it is no, *ossible to see ho, ,ecan develo* the conce*tual model or the theoretical frame,or- for our research"

$ypothesis 5evelopment(

Ence ,e have identified the im*ortant variables in a situation and established the

relationshi*s among them through logical reasoning in the theoretical frame,or-. ,e arein *osition to test ,hether the relationshi* that have been theori+ed do in fact hold true"

By testing these relationshi*s scientifically through a**ro*riate statistical analyses. or

through negative case analysis in ualitative research ,e are able to obtain reliable

information on ,hat -inds of relationshi* eist among the variables o*erating in the*roblem situation" /he results of these tests offer us some clues as to ,hat could be

changed in the situation to solve the *roblem" Formulating such testable statements is

called hy*otheses develo*ment"

hypothesis can be defined as a logically con0ectured relationshi* bet,een t,o or more

variables e*ressed in the form of a testable statement"

5irectional and nondirectional $ypotheses(

If. in stating the relationshi* bet,een t,o variables or com*aring t,o grou*s. terms such

as *ositive. negative. more than. less than. and li-e are used. then these hy*otheses aredirectional because the direction of the relationshi* bet,een the variables

(*ositivenegative) is indicated"

:am*le /he greater the stress e*erienced in the 0ob. the lo,er the 0ob satisfaction of

em*loyees"

=omen are more motivated than men"

Nondirectional hy*otheses are those that do *ostulate a relationshi* or difference. but

offer no indication of direction of these relationshi*s or differences" In other ,ords.

though it may be con0ectured that there ,ould be a significant relationshi* bet,een t,o


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variables. ,e may not be able to say ,hether the relationshi* ,ould be *ositive or

negative"

:am*le /here is a relationshi* bet,een age and 0ob satisfaction"

/here is a difference bet,een the ,or- ethic values of merican and sian em*loyees"

ull and Alternate $ypotheses(

/he null hy*othesis (Ao) is used for testing" It is a statement that no difference eists

bet,een the *arameter and the statistic being com*ared to it"

%he alternate hypothesis(

/he alternate hy*othesis (A1) ,hich is the o**osite of the null. is a statement e*ressing a

relationshi* bet,een t,o variables or indicating differences bet,een grou*s"

%he !teps to be follo-ed in hypothesis testing are(

1" State the null and the alternate hy*othesis"%" ?hoose the a**ro*riate statistical test"

!" $etermine the level of significance desired (* "&3. or more. or less)"2" See if the out*ut results from com*uter analysis indicate that the significance

level is met"

3" =hen the resultant value is larger than the critical value. the null hy*othesis isre0ected. and the alternate acce*ted" If the calculated value is less than the critical

value. the null is acce*ted and the alternate re0ected"


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%he #esearch Process

!teps &lements of #esearch 5esign

/he research design constitutes the blue *rint for the collection. measurement. and

analysis of data"Research design is the *lan and structure of investigation so conceived as to obtain

ans,ers to research uestions" /he *lan is the overall scheme or *rogram of the research"

It includes an outline of ,hat the investigator ,ill do from ,riting hy*otheses and theiro*erational im*lications to the final analysis of data"

/he research design involves a series of rational decision7ma-ing choices" /hese are

issues relating to decisions regarding

1" the *ur*ose for the study (1 e*loratory. % descri*tive. ! hy*othesis testing. 2?ase Study nalysis).

%" its location (i"e". the study setting). 1) ?ontrived and %) Noncontrived!" ty*e of investigation 1) ?ausal relationshi*. %) ?orrelation. 2) @rou*

differences. ran-s etc

2" the etent to ,hich it is mani*ulated and controlled by the researcher (etentof researcher interference). Minimal. Moderate and ecessive Interference

3" its tem*oral as*ects (time hori+on). Ene7Shot (?rosssectional) and

Longitudinal4" and the level at ,hich the data ,ill be analy+ed (unit of analysis).

are integral to research design"

In addition. decisions have to be made as1" to the ty*e of sam*le to be used (sam*ling design).%" ho, the data ,ill be collected (data collection method).

!" ho, variables ,ill be measured (measurement).

2" and ho, they ,ill be analy+ed to test the hy*otheses (data analyses)"

Purpose of the study( &.ploratory/ 5escriptive/ $ypothesis testing 7Analytical and

Predictive8/ Case study analysis,

&.ploratory !tudy(

research study ,here very little -no,ledge or information is available on the sub0ect

under investigation"

In such cases. etensive *reliminary ,or- needs to be done to gain familiarity ,ith the

*henomena in the situation. and understand ,hat is occurring. before ,e develo* a modeland set u* a rigorous design for com*rehensive investigation"

Some ualitative studies (as o**osed to uantitative data gathered throughuestionnaires. etc) ,here data are collected through observation or intervie,s. are


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e*loratory in nature" =hen the data reveal some *attern regarding the *henomena of

interest. theories are develo*ed and hy*othesis formulated for subseuent testing"

5escriptive !tudy( is a research study that describes the variables in a situation of

interest to the researcher" For eam*le. one might ,ant to -no, and be able to describe

the characteristics of the organi+ation that im*lement fleible manufacturing systems(FMS) or that have a certain debt7to7euity ratio"

$ypothesis %esting(

Studies that engage in hy*otheses testing usually e*lain the nature of certain

relationshi*s. or establish the differences among grou*s or the inde*endence of t,o or

more factors in a situation" Ay*othesis testing is underta-en to e*lain the variance in thede*endent variables or to *redict organi+ational outcomes"

&.ample( mar-eting manager ,ants to -no, if the sales of the com*any ,ill increase

if he doubles the advertising dollars" Aere. the manager ,ould li-e to -no, the nature of

the relationshi* that can be established bet,een advertising and sales by testing thehy*othesis$f advertising is increased, then sales will also go up.

Case !tudy Analysis

?ase Study involve in de*th. contetual (bac-ground) analysis of matters relating to

similar situations in the organi+ations" ?ase Studies that are ualitative in nature areuseful in a**lying solutions to current *roblems based on *ast *roblem7solving

e*eriences" /hey are also useful in understanding certain *henomena. and generating

further theories for em*irical testing"

%ype of investigation( Causal versus Correlational(

/he Study in ,hich the researcher ,ants to delineate the cause of one or more *roblems

is called a casual study" =hen the researcher is interested to delineating the im*ortantvariable associated ,ith the *roblem. the study is called a correlational study"

casual study uestion $oes smo-ing cause cancer correlational study uestion re smo-ing and cancer related

Er re smo-ing. drin-ing and che,ing tobacco associated ,ith cancer If so. ,hich of

the these contributes most to the variance in the de*endent variable

&.tent of #esearcher Interference -ith the study(

/he etent of interference by the researcher ,ith normal flo, of ,or- at the ,or-*lace

has a direct bearing on ,hether the study underta-en is casual or correlational" correlational study is conducted in the natural environment of the organi+ation ,ith

minimum interference by the researcher ,ith the normal flo, of ,or-" For eam*le. if a

researcher ,ants to study the factors influencing training effectiveness (a correlationalstudy). all that the individual has to do is develo* a theoretical frame,or-. collect the

relevant data. and analy+e them to come u* ,ith the findings"


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/he researcherGs interference in the routine functioning of the system is minimal as

com*ared to the caused during causal studies"

In studies conducted to establish cause7and7effect relationshi*s. the researcher tries to

mani*ulate certain variables so as to study the effects of such mani*ulation on the

de*endent variable of interest" For eam*le. a researcher might ,ant to study theinfluence of lighting on ,or-er *erformance. and hence mani*ulates the lighting in the

,or- situation to varying intensities" Aere. there is considerable researcher interference

,ith the natural and normal setting"

Minimal Interference(

hos*ital administrator ,ants to eamine the relationshi* bet,een the *erceived

(su**osed) emotional su**ort in the system and the stress e*erienced by the nursingstaff" In other ,ords. he ,ants to do a correlational study"

Aere the researcher ,ill collect the data from nurses (*erha*s through a uestionnaire) to

indicate ho, much emotional su**ort they get in the hos*ital and to ,hat etent they

e*erience stress" By correlating the t,o variables. the

Moderate Interference(

&.cessive interference(

!tudy !etting(

Contrived and noncontrived !etting(

/he organi+ational research can done in the natural environment ,here ,or- *roceeds

normally (that is. noncontrived setting) or in artificial. contrived settings" ?orrelational

studies are invariably conducted in noncontrived settings. ,hereas most rigorous causalstudies are done in contrived lab settings"

?orrelational studies done in organi+ations are called field studies" Studies conducted to

establish cause7and7effect relationshi* using the same natural environment in ,hichem*loyees normally function are called field e.periments" n e*erimental design set

u* in an artificially contrived setting ,here controls and mani*ulations are introduced to

establish cause7and7effect relationshi*s among variables of interest to the researcher is

called Lab e.periment"

@nit of Analysis(

/he unit of analysis refers to the level of aggregation of the data collected during thesubseuent data analysis stage" For eam*le. If the *roblem statement focuses on ho, to

raise the motivational levels of em*loyees in general. then ,e are interested in individual

em*loyees in the organi+ation and ,ould have to find out ,hat ,e can do to raise theirmotivation" Aere the unit of analysis is the individual" =e ,ill be loo-ing at the data

gathered from each individual and treating each em*loyeeGs res*onse as an individual

data source"If the researcher is interested in studying t,o7*erson interactions. then several t,o7*erson

grou*s. also -no,n as dyads. ,ill become the unit of analysis"


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If the *roblem statement is related to grou* effectiveness. then the unit of analysis ,ould

be at the group level"

%ime $ori=ons(

Cross?sectional !tudies(

study can be done in ,hich data are gathered 0ust once. *erha*s over a *eriod of daysor ,ee-s or months. in order to ans,er a research uestion" Such studies are called one7

shot or cross?sectional studies"

In some cases. ho,ever. the researcher might ,ant to study *eo*le or *henomena at more

than one *oint in time in order to ans,er the research uestion is called Longitudinal

Studies"

Importance to consider basic design issues before conducting the study(

;no,ledge about research design hel*s the manager to understand ,hat the researcher is

attem*ting to do"

Ene of the im*ortant decisions a manager has to ma-e before starting a study *ertains to

ho, rigorous the study ought to be" ;no,ing that more rigorous research designsconsume more resources. the manager is in a *osition to ,eigh the gravity of the *roblem

e*erienced and decide ,hat -ind of design ,ould yield acce*table results in an efficient

manner"


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brm notes.doc

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