Factors affecting employee motivation at Fancy Solution Co., Ltd

ABSTRACT:

This study investigates the key factors influencing employee motivation at Fancy Solution Co., Ltd., a multinational enterprise operating in Taiwan, China, Indonesia, and Vietnam, specializing in wood import and export. Acknowledging the critical role of employee motivation in organizational success, the research aims to identify specific elements that can boost motivation across diverse cultural settings. Through both qualitative and quantitative analysis, six key factors were identified that positively impact employee motivation: salary, recognition, a flexible working environment, skill development and training, a collaborative working environment, and the application of technology in management. Each of these factors significantly enhances job satisfaction and employee engagement in different operational contexts. This study not only deepens the understanding of employee motivation but also offers a strategic framework for other organizations seeking to improve employee engagement and satisfaction across multiple regions.

Keywords: motivation, employee motivation, Fancy Solution Co., Ltd.

1. Introduction

In the realm of global business, understanding employee motivation is akin to uncovering the fundamental elements that drive enthusiasm, productivity, and satisfaction at work. Motivation stands as the keystone of any successful organization. At Fancy Solution Co., Ltd., a multinational company operating across Taiwan, China, Indonesia, and Vietnam, motivation takes on an even more significant role given the competitive nature of the wood import and export industry. Fancy Solution Co., Ltd. acknowledges that employee motivation extends beyond financial incentives. It embraces a holistic approach that includes acknowledgment, a supportive work environment, opportunities for growth, and the integration of innovative management practices. The intrinsic motivation of each employee - their drive to overcome challenges and achieve professional fulfillment - plays a crucial role in shaping a dynamic and thriving workplace.

Research conducted on employee motivation at Fancy Solutionnot only illuminates the factors that boost employee morale but also provides a practical framework for implementing targeted initiatives. By prioritizing these key areas, Fancy Solutionaims to build a highly motivated workforce that drives the company's growth and success across its global operations. This exploration into employee motivation underscores the importance of recognizing and addressing the diverse needs of employees to cultivate a productive and engaging work environment. As Fancy Solutioncontinues to evolve, its dedication to enhancing employee motivation remains a cornerstone of its strategic objectives, ensuring sustained success in the competitive international market.

2. Theoretical foundation and research methods

2.1. Theoretical foundation

Classical theories such as Maslow (1943) and Herzberg (1959) have provided an important foundation for analyzing the factors that influence work motivation. In the context of the timber import and export industry, which requires a combination of manual labor and supply chain management skills, it becomes especially important to maintain employee motivation. Work motivation not only affects labor performance, but also contributes to employees' long-term commitment to the organization.

Employee motivation consists of internal and external factors driving employees to start, maintain, and direct their efforts towards achieving organizational goals. It includes psychological, emotional, and environmental influences that affect performance and commitment.

2.2. Factors affecting employee motivation

High salary and job security are crucial for motivation, especially in competitive industries. Research by Nguyen Van Du (2019) affirms that competitive salaries, bonuses and stable working conditions are core factors that help increase work motivation and help retain employees in the import-export sector. Meanwhile, Nguyen Van Binh (2020), who conducted research on wood import-export enterprises in Vietnam, said that recognition and creating development opportunities are among the most important factors to retain and motivate employees in this industry. Furthermore, studies by Smith & Thompson (2023) and Costa et. al. (2021) also show that flexible Working Environment reduces stress and increases employee motivation. Additionally, Nguyen Van Hung (2020) and Nguyen Van Binh (2020) provide empirical evidence supporting the importance of a positive and collaborative working environment, support leadership, career development and recognition, and application of digital technology in management.

From the above observations, the group of authors put forward the following research hypotheses:

H1: High salary has a positive impact on employee motivation at Fancy SolutionCo., Ltd.

H2: Recognition has a positive impact on employee motivation at Fancy SolutionCo., Ltd.

H3: Flexible working environment has a positive impact on employee motivation at Fancy SolutionCo., Ltd.

H4: Support from leadership has a positive impact on employee motivation at Fancy SolutionCo., Ltd.

H5: Skills development and training have a positive impact on employee motivation at Fancy SolutionCo., Ltd.

H6: A positive and collaborative working environment has a positive impact on employee motivation at Fancy SolutionCo., Ltd.

H7: The application of digital technology in management has a positive impact on employee motivation at Fancy SolutionCo., Ltd.

Proposed research model: From the above hypotheses, the authors built a research model as shown in Figure 1.

Figure 1: Research model

Source: Author’s study

3. Research methodology

This study uses qualitative and quantitative research methods. Qualitative research methods are used to build models and calibrate scales, and quantitative research methods are used to test models and research hypotheses.

Qualitative Research: Conducted through expert interviews to explore and adjust factors influencing employee motivation. This helps improve the accuracy of measurement.

Using qualitative study methods to (1) propose a study model on factors affecting employee motivation at Fancy Solutions Company; (2) Calibrating the scale of the elements in the model, most of the scales of the elements inherited from overseas studies, therefore, in order for the scale to be suitable to the practical context, it is necessary to carry out the method of hand-to-hand discussion with experts to calibrate the scale.

Quantitative Research: Involves a comprehensive survey of employees at Fancy Solutions Co., Ltd. Collected data will be analyzed using SPSS 23.0 software. Scales will be validated through Cronbach's Alpha coefficient and exploratory factor analysis (EFA). Finally, T-tests and ANOVA will be used to compare differences in motivational factors among employee groups based on personal characteristics. The theoretical model will be tested using linear regression analysis to determine the influence of factors on employee motivation.

4. Research results

4.1. Description of research sample

To conduct this study, the authors conducted a survey of 339 respondents who are employees of departments/divisions of Fancy Solution Co.LTD in countries such as China, Taiwan, Indonesia and Vietnam. The sample size is sufficient to conduct the tests in this study. In the 339 survey samples, the proportion of men and women is quite similar (men account for 52.2% and women account for 47.8%) and the specific age statistics of the employees are: under 28 accounts for 29.2%; from 28 to under 35 accounts for 22.1%; from 35 to 45 accounts for 35.4%, and over 45 accounts for 13.3%. The survey period was conducted from November 10, 2024 to December 10, 2024.

4.2. Cronbach' alpha and EFA test

Table 1. Results of Cronbach' alpha and EFA tests

Source: The authors processed the data

The results of the scale reliability test are presented in Table 1 below:

Cronbach’s Alpha and EFA analysis. The coefficients a > 0.6 and all item-total correlation coefficients > 0.3, indicate that the internal consistency and reliability of the measurement variables are guaranteed (Hair et al., 2010). EFA analysis shows that the Eigenvalues > 1; factor loadings > 0.5; KMO values > 0.6; total variance extracted values > 50% and Bartletts test of sphericity is statistically significant at the 99% level (Hair et al., 2010). Thus, all scales ensure reliability and are used for subsequent analyses.

4.3. Pearson's correlation coefficient test

The results in the correlation matrix table show that at the 99% confidence level, the correlation between the dependent variable and the seven independent variables mentioned above is accepted. Therefore, no variable is excluded from the model to ensure the model's suitability.

The independent variables have relatively strong correlations with the dependent variable, with the correlation coefficient arranging from 0.249 to 0.529, in which the factor of skill development and training has the strongest correlation with the dependent variable.

4.4. Multiple regression analysis

Analysis of the Model Summary table (R and Adjusted R Square values).

The results show that the significance level Sig. is very small and the coefficient of determination R2 = 0.662 and adjusted R2 (Adjusted R square) = 0.654 prove the suitability of the model, that is, all 7 factors explain over 65% of the variation in employee motivation.

Table 2. The Model Fit Determination Coefficient

4.5. ANOVA table analysis

Table 3. ANOVA analysis results

Source: Author's calculation from the survey results

The results in Table 3 show that the statistical test result F = 92.427 with sig value = 0.000 (<0.05) => Reject the hypothesis H0 that all regression coefficients are 0 (except the constant). Thus, the constructed multiple linear regression model fits the data set, the independent variables in the model are related to the dependent variable.

The result of the multiple linear regression model is rewritten as follows:

EM = 0,298*CE + 0,293*FW + 0,290*LS + 0,264*SD + 0,225*DT + 0,210*RC + 0,188SR + 0,033

According to the multiple linear regression equation, the factors Collaborative working environment (CE); Flexible working environment (FW), Leadership support (LS); Skill development and training (SD); Application of technology in management (DT), Recognition (RC) and Salary (SR) in order of importance affect employee motivation at Fancy Solution Co.Ltd.

Model fit testing: In the regression model, all statistically significant standardized coefficients > 0, indicating that the independent variables have a positive impact on the dependent variable of employee motivation. This result confirms that the hypotheses stated in the research model (H1, H2, H3, H4, H5, H6, H7) are accepted and tested appropriately.

5. Conclusion

Research has shown that there are 7 factors that impact employee motivation, which together contribute to creating a supportive and engaging work environment. To improve employee motivation, Fancy Solution Co., Ltd.'s management needs to pay attention to these 7 factors, especially the 4 most influential factors including Collaborative working environment (CE); Flexible working environment (FW) and Leadership support (LS).

When employees are motivated, they are more likely to be satisfied with their jobs, contributing positively to work performance, leading to increased productivity and the overall success of the organization. By prioritizing these factors, Fancy Solutions Co., Ltd. can foster a work environment that not only attracts and retains top talent, but also drives the company to achieve its strategic goals and long-term growth.

REFERENCES:

1. Nguyen Van Binh. (2020). Recognition and career development opportunities in the timber import-export sector: Impacts on employee motivation and retention. Vietnam Journal of Human Resource Management, 12(3), 34-50.

2. Costa, A. C., et al. (2021). Flexibility and job motivation: The impact of work schedule control on employee satisfaction. Journal of Business Research, 124, 1-10.

3. Hair, J.F., Black, W.C., Babin, B.J. and Anderson, R.E. (2010) Multivariate Data Analysis. 7th Edition, Pearson, New York.

4. Herzberg, F. (1959). The motivation to work. John Wiley & Sons, USA.

5. Maslow, A. H. (1943). A theory of human motivation. Psychological Review, 50(4), 370-396.

6. Nguyen Van Du. (2019). The role of work autonomy, employee engagement, and leadership in motivating employees in the wood processing sector. Vietnam Journal of Industrial Relations, 15(2), 78-92.

7. Nguyen Van Hung. (2020). Leadership support and employee motivation in Vietnam’s export sector. Vietnam Journal of Business Studies, 11(2), 67-82.

8. Smith, J., & Thompson, R. (2023). Work motivation in wood import-export businesses: The role of digital transformation and work flexibility. International Journal of Human Resource Management, 34(2), 123-145.

CÁC YẾU TỐ CHÍNH

ẢNH HƯỞNG ĐẾN ĐỘNG LỰC LÀM VIỆC

CỦA NHÂN VIÊN TẠI CÔNG TY TNHH FANCY SOLUTION

• NGUYỄN THỊ THU CHANG¹

• TS. BÙI VĂN THỜI²

¹Giám đốc vận hành, Công Ty TNHH Fancy Solution

Học viên MBA, Trường Đại học Nguyễn Tất Thành

²Phó khoa, Khoa Quản trị kinh doanh, Trường Đại học Nguyễn Tất Thành

TÓM TẮT:

Nghiên cứu này điều tra các yếu tố chính ảnh hưởng đến động lực làm việc của nhân viên tại Công ty TNHH Fancy Solution, một doanh nghiệp đa quốc gia hoạt động tại Đài Loan, Trung Quốc, Indonesia và Việt Nam, chuyên về xuất nhập khẩu gỗ. Mục tiêu của nghiên cứu là xác định các yếu tố thúc đẩy động lực trong bối cảnh văn hóa đa dạng. Qua phân tích định tính và định lượng, nghiên cứu chỉ ra sáu yếu tố chính có tác động tích cực đến động lực làm việc của nhân viên, gồm: lương, sự công nhận, môi trường làm việc linh hoạt, sự phát triển và đào tạo kỹ năng, môi trường làm việc hợp tác, và ứng dụng công nghệ trong quản lý. Những yếu tố này không chỉ giúp nâng cao sự hài lòng của nhân viên trong công việc mà còn tăng cường sự gắn kết giữa các nhân viên. Nghiên cứu này kỳ vọng giúp các công ty, tổ chức có chiến lược phù hợp để nâng cao sự gắn kết và hài lòng của nhân viên ở nhiều bộ phận khác nhau.

Từ khoá: động lực, động lực của nhân viên, Công ty TNHH Fancy Solution.