Interdisciplinary Journal of Contemporary Research in Business

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VOL 2, N O 5 INTERDISCIPLINARY JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS ISSN 2073-7122

Vol .2, No. 5 September 2010

Interdisciplinary Journal of Contemporary Research in Business Double Blind Peer Reviewed Journal

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Editorial Board IJCRB is a peer reviewed Journal and IJCRB Editorial Board consists of Phd doctors from all over the world including USA, UK, South Africa, Canada, European and Asian countries.

Prof. Renee Pistone Harvard University, Lifetime Fellow - Harvard URI. 706 McCormick Dr Toms River, New Jersey USA Voice: 732.668.4533

Lord David K

Oxford University , St Catherine's College, Oxford, OX1 3UJ www.stcatz.ox.ac.uk/ , www.ox.ac.uk/ Phone: +44 1865 271700 , Fax: +44 1865 271768 Dr. Kenan Peker Department of Agricultural Economics, University of Selcuk, http://www.selcuk.edu.tr/ University of Selcuk, 42079 Konya, Turkey, Tel: 90-332-231-2877 Dr. A. Sathiyasusuman Senior Lecturer, Dept. of Statistics, University of the Western Cape, South Africa Dr Mahdi Salehi Assistant Professor, Accounting and Management Department, http://www.znu.ac.ir/ Zanjan University , D.N 1 Nagilo Alley, Hidaj City, Zanjan Province, Zanjan, Iran , Tel: 98-9121-425-323 Dr Heryanto Regional Development Bank of West Sumatra Jalan Pemuda No. 21 PO Box 111 Padang 25117 West Sumatra Indonesia Tel: +62-8126771699 Dr. Dave Hinkes Assistant Professor of Managment & Marketing Sam Walton Fellow , Lincoln Memorial University , Harrogate, TN ,UK Tel 423.869.6441 Dr. Francis A. Ikeokwu Sr., Ph.D., MAC, MBA, CFC Adjunct Professor, American Intercontinental University http://www.aiuniv.edu/ Dr Charles C. Dull Sr. MBA, Ph.D. American Intercontinental University http://www.aiuniv.edu/


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Dr Cara Peters Assistant professor of marketing , Winthrop University , Rock Hill, South Carolina. PhD in business administration , University of Nebraska Peer-reviewer of the Journal of Consumer Psychology; Consumption, Markets, and Culture; and Journal of Academy of Marketing Science. Dr Mahmoud M. Haddad PhD in Finance 214 Business Administration Building University of Tennessee-Martin ,Martin, TN 38238 Tel No +1731-881-7249 Dr G.A. Abu Department of Agricultural Economics, College of Agricultural Economics, Extension and Management Technology, University of Agriculture, P.M.B.2373, Makurdi, Benue State, Nigeria. Phone: +234-803-607-4434; fax: +234-44-534040 Dr.Rashid Rehman Associate Professor , College of Business Studies Al Ghurair University , Dubai, UAE. Dr Ebrahim Soltani Lecturer in Operations Management Kent Business School University of Kent , UK Dr Pu Xujin Business School, Jiangnan University, Jiangsu Wuxi,P.R.China ,214122 Tel: (86510) 85913617 , FAX: (86510) 62753617 , Mobile: (86) 13616193600 Dr. E. B. J. Iheriohanma Ph. D. Sociology Directorate of General Studies, Federal University of Technology, Owerri Imo State Nigeria. Tel +2348037025980. Dr Etim Frank Departmentof Political Science-University of Uyo-Akwa Ibom State-Nigeria Phd (Political Science/Public Administration) University of Calabar SL Choi University Teknologi Malaysia School of Business Management Southern College Malaysia Dr. Nek Kamal Yeop Yunus Senior Lecturer, Department of Business Management Faculty of Business & Economics, Universiti Pendidikan Sultan Idris, Tanjong Malim, Malaysia.


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Dr. S. I. Malik PhD Bio Chemistry & Molecular Biology (National University of Athens) NHEERL. Envrironmental carcinigenei division RTP Complex NC 27713, US Environmental protection Agency , 919-541-3282 Dr. Bhagaban Das Reader, Department of Business Management Vyasa Vihar, Balasore-756019 Orissa T. Ramayah http://www.ramayah.com Associate Professor , School of Management ,University Sains Malaysia, Tel 604-653 3888 Dr. Wan Khairuzzaman bin Wan Ismail Assoc. Professor International Business School, UTM International Campus Jalan Semarak 54100 Kuala Lumpur, MALAYSIA Zainudin Hj Awang Faculty of Information Technology and Quantitative Sciences, MARA University Technology MARA Kelantan 18500, Malaysia ,Tel: 60-9-9762-302 Ravi Kiran Associate Professor, School Of Management & Social Sciiences, Thapar University. Dr.Suguna Pathy Head, Department of Sociology, VNSG University, Surat Birasnav M Assistant professor, Park Global School of Business Excellence, Kaniyur, Coimbatore Dr. C.N. Ojogwu Phd Education Management - University of Benin, Benin City, Edo state, Nigeria. Senior lecturer - University of Benin.

Dr. Nik Maheran Nik Muhammad General Conference Co-Chair, GBSC 2009, www.nikmaheran.com Dr. A. Abareshi Lecturer, School of Business IT and Logistics RMIT University, Melbourne, Australia Office: +61 3 99255918 Dr Ganesh Narasimhan Lecturer, Management Sciences ,Sathyabama University Board of Advisor - AN IIM Alumina Initiative & International Journal Economics, Management, & Financial Markets Denbridge press, New York, USA


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Contents Title

Page

The Choice of Business Strategy and New Organizational Forms: Model and Instrument Development Ahmad Abareshi

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Job Satisfaction and Employees Turnover Intention (Case Study of NWFP Pakistan Based Banking Sector) Nazim Ali, Qadar Bakhsh Baloch

39

Strategic Human Resource Management and its issues A study of Telecom sector of Pakistan Muhammad Haroon, Muhammad Zia ur Rehman Asif Kiyani, Mohammad Arif Khattak

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Karachi Stock Exchange: Testing Day of the Week effect Nousheen Zafar, Faiza Urooj, Sohail Amjed

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A Systems Approach in Analyzing Material Constraining Factors to Construction Project Management Success in Nigeria Dr. C.C Nwachukwu, Mr. F. I. Emoh

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Factors Influencing the Price-earnings Multiples and Stock values in the Karachi stock exchange Dr. Muhammad AZAM

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Identification of Motivational Teaching Methods at Higher Education Level in Pakistan Dr. Safdar Rehman Ghazi ,Gulap Shahzada, Muhammad Tariq

140

Accounting and Analysis of Research and Development Costs in Jordanian Industrial Companies (A Field Study on the employees of the Jordanian Industrial Companies) D. Mohammad Nadeem Debaghiya, D. Ibrahim khalil Alsadi

148

How Organizations Evaluate their Trainings? An evidence from Pakistani organizations Ishfaq Ahmed , Muhammad Musarrat Nawaz, Ahmad Usman Muhammad Zeeshan Shaukat, Naveed Ahmed, Wasim-ul-Rehman

162

Impact of IMF policies on Structuring Reforms in Pakistan Naveed Ali Narejo, Dr Amir Ahmed Khuhro, Dr Noor Shah Bukhari

180


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Title

Page

An empirical study of cultural Comparisons onAsian Four Little Dragons Jung-Tsung Tu

189

Rise & Fall of Talibans: An Analysis Dr. Syed Noor Shah Bukhari, Dr. Amir Ahmed Khuhro

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United Nations, critical Analysis and Suggestions for Reforms Dr. Syed Noor Shah Bukhari, Dr. Amir Ahmed Khuhro

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Challenges of Sustainability Education: The Case of Private Universities in Bangladesh Farid Ahammad Sobhani , Dr. Amirul Shah Md. Shahbuddin Dr. Azlan Amran, Shafiqur Rahman

231

Satisfaction as an outcome of communication and organizational structures: An outcome based approach Zulfqar Ahmad, Liaqat Ali, Nazir Ahmad, Zafar Ahmad, Ishfaq Ahmed, Muhammad Musarrat Nawaz

249

A Comparison of Financial Performance in the Jordanian Commercial Banks Ghassan AL Taleb, Faris Nasif AL- Shubiri

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Service Quality SERVQUAL model in Higher Educational Institutions, What factors are to be considered? Tahir Masood Qureshi, Muhammad Zeeshan Shaukat, Syed Tahir Hijazi

281

How the Relationship between the Real Estate 291 Market and Amman Stock Market Exchange can affect the Decision's Making Process in the Jordanian Organizations Dr. Ahmad Yousef Areiqat, Dr. Nidal AL-Salhi, Dr. Mohamad Noor Al-Jedaiah The Impact of Information Technology (IT) on Decision-Making Process in the Public Sector Dr. Mohamad Noor Al-Jedaiah

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Teacher s Intention to Accept Online Education: Extended TAM Model Mahwish Waheed, Farooq Ahmed Jam

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Student Satisfaction in English Language Course: A Case of Pakistan Miss. Shazia Iqbal Khalid, Dr. Kashif-Ur-Rehman

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Outsourcing of recruitment and selection is beneficial for an organization [Individual Analysis of Ten Banks Including Local and Multinational] Ms.Ume-Amen

355


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Title

Page

An Investigation on the Impact of FADAMA II Project Implementation in Imo State. Echeme Ibeawuchi I. ,Dr. C.C Nwachukwu

384

The Effects of Sense of Meaningfulness and Teaching Role Attributes on Work Outcomes Using the Insight of Job Characteristics Model Nurita Juhdi, Ahmad Zohdi Abd Hamid, Mohd Saeed bin Siddiq

404

How Privatization Affected the Performance and Strategies of Jordanian Companies? A Case Study: Jordan Telecom Dr. Mahmud. H. Al Ataibi

429

Factors Explaining the Choice of Finance major: Students Perception towards Finance Profession Ahmed Imran Hunjra, Dr. Kashif-Ur-Rehman, Abrar Ahmad Dr. Nadeem Safwan, Ijaz-Ur-Rehman

439

Designing a mathematical model of management techniques (TQM, BPR) in Zahedan , weave fishing net industries Dr.Baqer Kord, Dr. Habibollah Salarzehi, Hamed Aramesh

456

Corporate Social Responsibility: Future Research Directions Dr. Sarwar M. Azhar , Rubeena Tashfeen

468

Motivators for the Intention to Use Mobile TV in Pakistan Abdul Rehman, Muhammad Zia-ur-Rehman, Muhammad Usman Saeed, Irfan Raza

485

Social Marketing and Public Health Campaigns in Nigeria. Jackson Olusegun Olujide ,Rotimi Ayodele Gbadeyan Mukaila Ayanda Aremu

512

Struggle for identity: A Case of Sindhi Nationalist Movement 1947-1955 Sultan Mubariz Khan, Dr. Ishtiaq Ahmed

532

On the Question of Gambling in Giving Prizes to the Holders of Savings Certificates: An Islamic Analysis on Malaysian Practice Mohd. Fuad Md. Sawari, Razi Hassan, Md. Faruk Abdullah

560


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The Choice of Business Strategy and New Organizational Forms: Model and Instrument Development Ahmad Abareshi School of Business IT & Logistics, RMIT University, Melbourne, Australia Abstract Several studies have investigated the evolution of new organizational forms (NOFs). The literature has emphasized on the role of government regulations, top management attitudes, environmental condition, and globalization. Despite relatively wide range of research have been conducted in the field of NOFs evolution there is no consensus on the antecedents of NOFs. Among different factors which influence the evolution of NOFs business strategy plays an important role. This paper discusses a holistic and theoretically constructed model that identifies business strategy gesture that might affect the volution of NOFs. With a survey of 312 Australian companies a research-ready instrument is provided whose properties are validated. The instrument can be used as a decision tool to identify the gesture of business strategy and measure the attributes of NOFs. Keywords: Business Strategy, New Organizational Forms, Organizational Evolution

1. Introduction Organizations in recent decades have experienced substantial changes in different dimensions, mainly due to emerging new organization theories and environmental changes. Consequently traditional organizational forms are no longer viable for all environments, as organizations have moved from the criterion of efficiency to that of effectiveness (Mukherji 2002). In other words, today s competitive pressures require both efficiency and effectiveness, and organizations must come to terms with the massive competitive innovations while simultaneously controlling their costs (Snow, Miles et al. 1992). In the classification of organizations, a variety of arrangement can be recognized. However, there is no commonly accepted classification scheme. Perhaps the most important and basic step in conducting any form of scientific inquiry involves the ordering, classification, or other grouping of the objects or phenomena under investigation. If we accept the arguments of those who claim that the study of organizations has evolved to where it can be considered a science (McKelvey 1975), then it is relevant to assess the current state of the


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discipline in terms of its classificatory schemas. This section presents such an assessment by reviewing the major generic types of organizational classification systems that have been advanced by writers in the field of organization theory. Contemporary researches believe that organizations are moving from traditional forms of organizing to meet new demands for flexibility, speed, and uncertainty. Despite the fact that the concept of NOFs has been described as being ill-defined at the core and fuzzy at the edges, it has attracted a great deal of interest from different fields and disciplines (Foss 2002). Technological innovations have changed the value-creating basis of organizations from one based on physical assets to one based on information (and indeed, knowledge) assets. Therefore, the conventional basis for categorizing organizational forms has been dramatically transformed. Some of the major characteristics of NOFs are: i.

The decreased importance of the traditional organizational hierarchy.

ii.

Communication and coordination activities are much more horizontal rather vertical.

iii.

The increasing role of ICTs as the main infrastructure for supporting NOFs (Desanctis and Jackson 1994).

iv.

The reduced importance of middle management (Fulk and Desanctis 1995).

v.

The advent of the Network organization as one of the dominant structures of NOFs.

vi.

The change in traditional authority relations and the difficulty in defining the company s boundaries in terms of the ownership of physical assets.

In another study, Heydebrand (1989, p 237) sums up the generic features of NOFs in terms of a "general, simplified profile of the typical post-industrial organization ... small or located in small subunits of larger organizations; its object is typically service or information, if not automated production; its technology is computerized; its division of labor is informal and flexible; and its managerial structure is functionally decentralized, eclectic, and participative . .. ". This study employs a deductive approach in which a theoretical model and hypotheses are developed and tested. The research hypotheses are based on the causal relationships among the research constructs. Therefore they concentrate on either the effects of type of business strategy on one specific aspect of organization form.

Therefore this paper seeks to contribute to the literature on the organization relationship by pursuing the following goals:


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i.

To identify the features of new organizational forms.

ii.

To develop an underlying model that relates features of NOF to business strategy.

iii.

To develop and test an instrument that aids in operationalising the model.

2. Theoretical Framework 2.1 Metamorphosis of Organizational Forms Perhaps one of the most important issues in conducting any form of organization study is the generalizability of research findings to a broader population of organizations. Clearly, it is impossible to conduct research without having a clear classification for cases. However, many organizational researchers conduct their studies as if organizations were all alike (McKelvey 1982). Authors tend to generalize their results to all organizations even though their studies are based on a narrow sample of organizations (Sanchez 1993). Furthermore many organizational classifications are heuristic and include a few aspects of organizational life as the basis for classification and squeeze these into as few categories as possible (Rich 1992). Carper and Snizek (1980) asserted that such classifications fail to pass even the most elementary test of logic and are little more that tautologies. hile admitting that arriving at a comprehensive definition for organizational form is a tough job, Creed and Miles (1996) believe that organizational form refers to the combination of strategy, structure, internal control, and coordination systems that provides an organization with its operating logic, resource allocation rules, and corporate governance mechanism. In another definition, organizational form refers to those characteristics of an organization that identify it as distinct entity and, at the same time, classify it as a member of a group of similar organizations (Romanelli 1991). Structure, systems, management style, cultures, roles, responsibilities, skill, etc. are among the different dimensions of organizational form. Among the reasons for the evolution of new forms of organizing are included: removing traditional organizational boundaries. organizations are no longer isolated, and overlap in many areas. Despite lots of research there is no consensus on any unique and optimum combination of these dimensions. However, Whittington et al. (1999) suggest that organizational variations tend to cluster in particular ways, and have systematically mapped the nature of changes in NOFs in three dimensions, namely structure, process, and boundaries. Their work is a part of the INNFORM project on innovative forms of organizing for the twenty-first century.


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The notion of NOFs began to develop a few decades ago. organizations began to experience and adopt new ways of defining their boundaries and their internal organization. The adoption of organizational practices, such as Total Quality Management (TQM), Business Process Reengineering (BPR), ecommerce and outsourcing, indicated that top management has changed its perspective on organizational structures (Bowman and Singh 1993). This trend has been attributed (among other things) to the advent of the knowledge economy or new information economy (Halal 1998). Researchers have focused on how and why new forms of organizations evolve and change over time (e.g. Miller 1990; Romanelli 1991; Aldrich 1999; Lewin, Long et al. 1999). Most studies on organizational evolution focus on the rise and decline of industries and not on the emergence of NOFs (Lewin, Long et al. 1999). According to these theories, new industries emerge as result of entrepreneurial activity of new entrants, or as a consequence of radical socioeconomic changes (Carroll and Huo 1986). However, introducing the concept of M-Form of organization, Chandler (1962) proposed that the evolution of NOFs is the result of major environmental transformations. NOFs were seen as characteristic ways of organizing in the knowledge age (Miles, Snow et al. 1997). These new organizational forms have acquired a variety of labels including: adhocracy (Mintzberg 1983; Malone and Rockart 1991), technocracy (Burris 1993), the internal market (Malone, Yates et al. 1987), heterarchy (Hedlund 1986), knowledge-linked organization (Badaracco 1991), platform (Ciborra 1996), T-form (Lucas 1996), cellular (Miles, Snow et al. 1997), post-bureaucratic (Heckscher 1994), virtual organization (Davidow and Malone 1992), and network organization (Ghoshal and Bartlett 1990; Powell 1990). Aldrich and Mueller (1982) believed that entrepreneurial nature of newcomers would lead to the evolution of new forms. Others (Carroll and Huo 1986) proposed that new forms of organization would be reactions to radical socioeconomic changes. However, other researchers believed that technological innovations have been among the important reasons for the evolution of new forms and have led to the creative destructive of industries . In other words, NOFs are a consequence of technological innovation that leads to creative destruction of industries (Schumpeter 1950; Tushman and Anderson 1986). In sum it should be noted that the progression toward new organizational forms has been gradual in some firms, dramatic in some, and non existent in others (DiMaggio and Powell 1983; Applebaum and Batt 1994).


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2.2 Attributes of NOFs Although there is no consensus on a comprehensive list of attributes of NOFs, it is believe that using as many dimensions as possible would serve to build a basis through which NOFs could be recognized. Fulk and Desanctis (1995) proposed vertical control; horizontal coordination; and communication cultures as the main attributes of NOFs.

organizations have moved toward new organizational forms through restructuring and reengineering programs designed to reduce overhead, delayer, divest underperforming businesses and redesign core business processes. The dependent variable in this research is the NOF, which refers to the combination of strategy, structure, internal control, and coordination systems that provides an organization with its operating logic, resource allocation rules, and corporate governance mechanisms. As discussed in more detail in Chapter 2, different organizational dimensions can be employed to operationalise NOFs. All these dimensions fall into two overall categories: intra-organizational and inter-organizational dimensions. To operationalise NOFs, the first dimension, intra-organizational, was employed. This was due to the fact that NOF was part of an overall theoretical model and it was expected to provide a parsimonious and at the same time comprehensive instrument which would be able to cover the underlying dimensions of the constructs. Hence, for the purpose of this study, the emphasis was put on intra-organizational dimensions. The instrument items were then designed according to the above dimensions. These dimensions cover the areas of hierarchy, organizational size, horizontal coordination, and virtual organization.

NOF refers to the combination of strategy, structure, internal control, and coordination systems that provides an organization with its operating logic, resource allocation rules, and corporate governance mechanisms. Key dimensions of organizational forms can be investigated (Fulk and Desanctis 1999) over three dimensions of vertical control, horizontal coordination, and type of connection. 2.3 Vertical Control There are no simple answers to the questions relating to the forms of control employed in NOFs. However, the question of the degree of centralization in NOFs is among the most important.


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Centralization refers to the extent to which decision making authority is dispersed or centralized in an organization (Pfeffer 1981). Traditionally, external and internal information are the domain of top management, however owing to increased global competition in recent decades, many organizations have moved decision making to lower levels of their organization to take advantage of specialized staff (Fulk and Desanctis 1999). Centralization is the application of technology to rationalize tasks and monitor processes and outputs. In this regard, Executive Information Systems (EIS) act as monitoring devices and summarizers of information for top management (George, Nunamaker et al. 1992). Decentralization through a variety of vehicles such as emails, computer conferencing, and discussion groups, enable lower and middle managers to stay better informed about status of organization (Argyres 1999). The alternative label used for decentralization in NOFs is empowerment (Malone 1997). 2.4 Horizontal Coordination Reduction in formal vertical mechanisms would result in an increase in horizontal coordination mechanisms (Fulk and Desanctis 1999). As a result of the increase in the need for more coordination and flexibility, a new form of organization has evolved, named coordination intensive structure in which organizational issues are handled by cross-functional teams with heavily reliance on electronic coordination (Malone and Rockart 1991; Miles and Snow 1995). Traditionally, physical and organizational proximity are a necessity to achieve organizational coordination (Fulk and Desanctis 1999). Matrix organizations are communication-intensive structures designed to coordinate the work of different groups. Traditional production systems were totally based on sequential processes. However, as a result of electronic coordination, organizations are now able to take advantage of concurrent engineering in which all people engaging in organizational processes can be simultaneously involved and coordinated (Davidow and Malone 1992). 2.5 Conceptualizing Business Strategy The relationship between strategy and organizational dimensions has received a great deal of attention in the organizational literature. The notion that strategy is hierarchically related to structure is widespread (Mintzberg 1990; Harris 2000). Mintzberg (1990) argued for what he called the design school of strategic management promoting the notion that strategy begets


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structure. Schumpeter s theory (1950) posits that new organizational forms result from innovative processes that lead to "creative destruction of industries". To operationalise business strategy, the scale developed by Venkatraman was employed. Venkatraman (1999) identified six different but interrelated typologies of a business strategy based on the patterns

resource deployment

that organizations employ to achieve their objectives. These are aggressiveness,

analysis, defensiveness, futurity, riskiness, and proactiveness. In the aggressive profile, the way in which businesses implement resource allocation for pursuing aggressive strategies is emphasized. In the analysis strategy, the tendency is to search for and develop the best possible alternatives in organizational decision-making. The defensive strategy maintains the current position and defends the right to play in the market, employing such strategies as cost reduction. The futurity refers to the extent of futurity reflected in key strategic decisions, in terms of emphasis of an effectiveness consideration versus an efficiency focus. It focuses more on areas such as forecasting sales and customer preferences. The Riskiness dimension refers to the extent of risk associated with resource allocation decisions. And finally proactiveness refers to active participation in emerging industries and a continuous search for market opportunities to anticipate and predict the future in both business and technology markets. The operational definitions of variables/constructs are summarized in Table 1. Table 1: Operational definitions of variables/constructs Variables Business Strategy Aggressivene ss Analysis Defensive

Innovative Proactiveness

NOFs

Description

Number of Item

References

The ways in which businesses implement resource allocation for pursuing aggressive strategies. Tendency to search and develop the best possible alternatives in organizational decision-making Maintaining the current position and defending the right to play in the market, say by employing cost reduction strategies The development and early adoption of innovations Active participation in emerging industries and a continuous search for market opportunities to anticipate and predict the future in both business and technology markets. It covers the areas of organization structure, internal control, resource allocation rules, corporate governance mechanism, division of labor, coordination systems, communication, and centralization of decision-making.

5

(Venkatraman 1989; Chan, Huff et al. 1997; Hussin, King et al. 2002; Pierce 2002; Chan, Sabherwal et al. 2006)


4 4

4 5

20

(Woodward 1970; Zuboff 1988; Heydebrand 1989; Quinn 1992; Hammer and Champy 1993; Nohria and Berkley 1994; Bowman, Singh et al. 1999; Fulk and Desanctis 1999; Moller and Rajala 1999; Dewett and Jones 2001)

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3. Research Method This research is explanatory and deductive in nature. It emphasizes the role of business strategy within leading Australian organizations. As research on NOF focuses on populations of organizations (Romanelli 1991), a cross-sectional survey was chosen as the research method with a structured questionnaire being used to gather data from a sample of organizations. It was also decided to collect data across sectors and industries. This was because the boundaries of organizations can change so quickly that the usage of longitudinal data can be difficult and in some cases even misleading. Secondly, as high level of generalizability of the findings was a matter of interest in this study, a sufficient numbers of organizations in different industries were targeted so that the research findings could be generalized to a broader range of organizations. The instrument was initially reviewed for ambiguities and face validity by five academics and practitioners. A pre-test was performed in order to discover unforeseen problems in the construction and administration of the questionnaire. As this study aimed to reach as many Australian companies as possible, a web-based questionnaire survey was used. The research methodology is based on field data collected from CEOs and CIOs working in different types of organizations in an Australian context. A two-step approach was employed to first, assess the quality of the research measures and then, to test the research hypotheses. In this chapter, the development of the instrument is discussed including such areas as: specifying the domain of constructs, generating a sample of items, and conducting a focus group and panel of experts. Next chapter the instrument validation is discussed in much more detail. Following calls from among others Boudreau and Gefen (2001) to increase efforts in regard to reliability and validation and to reduce measurement errors in the instruments, the well-known process of instrument development put forward by Churchill (1979) was adopted. Online field surveys have several advantages over traditional paper-based mail surveys. These include lower costs, faster responses, and a geographically unrestricted sample (Tan and Teo 2000). The research is aimed at a broad sample of private and public sector organizations in Australia. The questionnaire-based survey was administered across a sample of practitioners. In choosing the population sample for the study, the following criteria were applied: Focus on seven selected industry groups of the ANZSIC industry classification including government administration and defense, manufacturing, electricity gas and water supply, construction, communication services, finance and insurance, health and community services.


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The generalizability of the study relied on the representativeness of the respondents. Therefore, a representative selection of these seven industries was made from a mailing list. A mailing list of the names and addresses of CEOs, from medium to large Australian-based organizations, was purchased from a commercial research organization, ImpactList, for one-time use. It included the name, title, organization, and email address of the CEOs of 4079 organizations based in Australia.

4. Instrument Development The previous literature on information systems has recommended a step-by-step process of instrument validation in order to develop new multi-item scales with high reliability and validity (Smith, Milberg et al. 1996). The instrument development process usually includes three overall steps: item creation, scale development, and instrument testing (Moore and Benbasat 1991). Instrument validation is conducted as follows: pretesting the instrument, then ensuring its validation (validation for construct validity and validation for reliability), followed by a pilot test of reliability and construct validity, and then the convening panel of experts and finally the conduct a full scale survey. In order to reduce the completion time for the survey, most of the questions were developed for each factor using five-point Likert scales. A lack of sufficient attention to common methods bias is a common problem in organization studies. Common methods bias is the divergence between observed and true relationships among constructs (Doty and Glick 1998). Therefore, questions were worded and ordered with the goal of minimizing the risk of common method bias. This was particularly important in this case since cost precluded soliciting more than one response from the same firm. In addition, care was taken to ensure a high degree of content validity. To accomplish this, the questionnaire was designed with the assistance of a panel of experts and practitioners (Laugen, Acur et al. 2005). 4.1 Specify Domain of Construct A construct is a way of defining something. It was difficult to conceptualize all dimensions of NOFs and to determine all variables that could affect the evolution of NOFs. Therefore only those variables that to some extent were related to information and communication technologies


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were considered. After reviewing the literature and conducting a pilot study with five industry experts and academics, the initial model was extended into the following constructs to investigate the interrelationships between business strategy and NOFs. Business strategy (BS) Attributes of NOFs (NOF)

The relationships between business strategy and NOFs are illustrated in the conceptual framework shown in Figure 1 where each of constructs is represented in a circle. Table 5.1 summarizes the definitions of variables for each construct. The domains of these constructs are discussed in turn below.

Figure 1: The Proposed Research Model 4,2 The pilot Study A pilot test is usually performed to fine-tune the instrument and to establish face validity. The main purpose of the pilot study is to ensure of the rigorousness of the model and of the content, scope, and purpose (content validity) of the initial instrument. Once the initial questionnaire was generated, a pilot study with five participants was conducted to refine the instrument and to ensure that informants understood the instructions, questions, and response scales of the study in the intended ways. They were provided with the initial research model and the proposed


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variables to establish the basic validity of the model. No modification was made at the end of this stage. The pilot study enabled the researcher to gauge the clarity of the tasks, to assess whether the instrument was capturing the desired phenomena, and to verify that important aspects had not been omitted. Feedback served as a basis for correcting, refining and enhancing the experimental scales. Overall, the experts indicated that the questionnaire was relatively clear and easy to complete. A number of suggestions were made about the wording of several items and the overall structure of the questionnaire, and these were incorporated into the revised instrument. 4.3 The panel of Expert An important research technique employed was the use of a survey of a panel of experts academics, and business practitioners. The purpose was to pre-test the relevance and reliability of the instrument and to gain additional feedback on the questionnaire. Respondents were asked to provide comments on its content and structure. A HTML version of the questionnaire was developed to give potential respondents the option of responding electronically. The survey was kept to three pages in length in order to minimize any adverse effects of length on response rates (Church 1993). The initial questionnaire was sent to 307 internationally recognized academics in the field of organization, and to practitioners who were randomly selected from a rented database. The participants were asked to judge the degree of relevance of individual items using a five point Likert scale ranging from not relevant (1) to extremely relevant (5). The participants were omitted from the final data collection, and the collected data were not included in the final analysis. Participants were told that the information they provided would be treated confidentially and that only aggregated data would be reported. The total duration of the period of data collection from the focus group was one month. Of 307 questionnaires sent to the participants, 36 responses were received. Of the 36 responses, four responses were incomplete and were dropped. This left were 32 usable responses, with an effective response rate of 10.4 percent. The response rate was considered reasonable for the purpose of this study (Wang and Tang 2001). Open comments were encouraged and 18 such comments provided by the respondents. 4.4 Survey Response Of the 3248 surveys emailed, 317 were completed and returned. Of the 317, five questionnaires were rejected because many items were left blank. Usable responses totalled 312, thus, the final


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response rate was 9.6 percent. The response rate is acceptable for email surveys (Dillman 2000). While a higher response rate is desirable in any research Endeavour, this response rate is reasonable, given the comprehensiveness, length of the instrument, and the target respondents. Table 2 depicts the characteristics of the organizations studied.

Table 2: The Summary of Data Collected Communications Services

Type of Industry

29

9.29

Electricity, Gas, and Water Supply

7

2.24

Construction

37

11.86

Government Administration

39

12.5

Finance and Insurance

51

16.35

Health and Community Services

39

12.5

Manufacturing

82

26.28

None

25

8.01

309

99.04

3

0.96

312

100

Total System Total

A one way ANOVA further revealed no significant differences between the groups of industries in terms of revenue and the number of employees. Table 3 represents these results. Table 3: One- Way ANOVA analysis for Industry groups Sum of Squares Number of Employees

Annual Revenue

Between Groups

Mean Square

df

8.331

7

1.190

Within Groups

201.688

301

.670

Total

210.019

308

Between Groups

10.225

7

1.461

Within Groups

236.228

301

.785

Total

246.453

308

F

Sig.

1.776

.092

1.861

.076

4.5 Exploratory Factor Analysis The sampling adequacy index, Kaiser Meyer

Olkin (KMO), of the factor analysis of the

remaining items was conducted. This index ranges from 0 to 1 with 0.80 or above being considered meritorious; 0.70 or above, middling; 0.60 or above, mediocre; 0.50 or above, miserable; and below 0.05 unacceptable. The items met the conditions for tests of factor analysis with a Kaiser Meyer Olkin score of 0.71 (Hussin, King et al. 2002). Therefore, EFA was employed to establish convergent and discriminant validity of primary constructs. In other


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words, no EFA was conducted for the remaining constructs- the dimensions of business strategy as they were adopted from the previous validated instruments.

Using principle component extraction technique and varimax rotation method three factors were identified for NOFs. The analysis was conducted using SPSS (ver. 15). Two criteria were applied to decide the number of factors that can be identified: eigenvalues greater than 1.0 and factor loadings greater than 0.50 (Hair 2006). Item analysis was also used to ensure that each item was assigned to its proper factor. In order to maximize the correlations of each item on a factor, Direct Oblimin rotation method was used, as it was assumed that there were correlations among the underlying components. Each of the extracted factors was present in the component pattern matrix. Those items with factor loadings greater than 0.50 on two or more factors were dropped from the final instrument. After six iterations the final factor structure containing twenty items were obtained; twelve items for NOFs in three underlying factors. Cronbach s alpha coefficients for all factors were above the acceptable level. Table 4 presents three categories of attributes of NOFs. The findings from the analysis were as expected. All items loaded correctly on the instrument for which they were hypothesized. The factor analysis of NOFs resulted in three factors that resembled the hypothesized structure. Vertical control, horizontal coordination, and communication culture were hypothesized dimensions of NOFs (Fulk and Desanctis 1999). Hence, the factor analysis presented in Table 4 shows three emerging factors for NOFs together accounting for 70 percent of the variation, with item communality ranging between 0.55 and 0.86. The first factors of NOFs (Factor 2) with four items refer to the importance of the level of coordination among different parts of organization. Second emerging factor in Table 4 (Factor 3) relates to the forms of control employed in NOFs. Not to mention that the question of the degree of centralization in NOFs is among important ones.

Although external and internal information were the domain of top management however due to the global competition, many organizations have moved decision making to lower level of their organization to take advantage of specialized staff (Fulk and Dutton 1984).


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Table 4: The results of Exploratory factor Analysis for the Research Constructs Items

N3 N2 N4 N1 N7 N6 N10 N5 N13 N12 N15 N14

Factor 1

Factor 2

Factor 3

Factor 4

Factor 5

0.84 0.79 0.77 0.72 0.91 0.86 0.73 0.72 0.87 0.83 0.75 0.73

And the last factor in NOFs (Factor 4) emphasizes on the degree of trust, a high degree of shared vision, and broad communication about the corporate strategy among organization employees. These features in NOFs facilitate the information flow among people, many of whom they may never have met each other Heckscher (1994). All these emerging factors were in accordance with the attributes of NOFs developed by (Fulk and Desanctis 1999).

4.6 Data Screening As SEM technique is very sensitive to the soundness of the dataset, data screening methods including measurement scale, missing data, outliers, linearity, and normality were addressed. These methods are recommended by SEM literature (Byrne 2001; Schumacker and Lomax 2004; Kline 2005; Holmes-Smith 2007) to reduce influence of the data on the model. Measurement and scaling of the variables have influenced the type of statistical analyses. Most of the observed variables were ordinal values. As indicated, five cases were identified as having missing values and then removed. After removing the missing values, descriptive and exploratory statistical analyses were run against the dataset. As indicated by Tabachnick (2007), there are three fundamental causes of outliers and extreme values: (a) having a survey taken by a non-member of the population (b), data entry errors, and (c) having a participant who is different from the rest of the sample set.


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4.7 Reliability Based on the domain sampling model, the measurement of a given phenomenon would be possible by including all the items in the domain in question. However, in practice, it is not possible to include all these items. Hence, we need to have a sample of items to measure the score of a phenomenon. Therefore it would become crucial whether the sample of items in scale varies together when applied to a group of respondents. In this situation, it is necessary to establish internal consistency of a set of items (Litwin 1995). Internal consistency measures estimate how consistently individuals respond to the items within a scale. Measures of internal consistency are often called measures of "internal consistency reliability" or even "reliability," but this merges the distinct concepts of internal consistency and reliability, which do not necessarily go together. Among different measures of internal consistency, including Tarkkonen's measure of scale reliability, Loevinger's H and Kuder-Richardson Formula 20, the most common estimate of internal consistency of items in a scale is Cronbach s alpha ( ) popularized in a 1951 article by Cronbach (1951). Alpha is a measure of level of mean intercorrelation weighted by variances. Coefficient alpha and item-scale correlation coefficients were used to identify those items that did not have a common core. The widely-accepted cut-off is that alpha should be .70 or higher for a set of items to be considered a scale in social science (Kline 2005). While some researchers use .75 or even .80, others are as lenient as .60. When alpha is .70, the standard error of measurement will be over half (0.55) a standard deviation. According to Hair et al. (2006), a cut-off point of 0.60 is satisfactory for exploratory studies. Hence, in this study 0.6 was considered a threshold value for determining factor reliability. Low internal consistency reliability can be improved by adding new items or by re-examining the existing items. Another index employed to ensure of reliability is item-scale correlation coefficient. The threshold for the cut-off point for item-scale correlation coefficient, is quite judgmental (Molla and Licker 2005), however to ensure that the items were adequate measures of the constructs, a high cut-off value of 0.4 was used for item-scale correlation coefficients. Therefore items with a correlation coefficient below 0.4 were dropped from the instrument. Reliability analysis was conducted for all construct including five dimensions for business strategy and NOFs. All remaining correlations with the corrected item-scale (r

0.4) were significant at

= 0.05 with

the exception of one item. Item B18 was slightly less than the cut-off point however, it was COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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decided to keep this item. Table 5 shows means, standard deviations, reliability coefficients and item-total correlation coefficients for scales used in measuring the research constructs. It lists the results and shows that all constructs exceed the cut-off point of 0.6 (minimum 0.65). The high Cronbach s alpha values imply that the measurements of these constructs are reliable.

4.8 Validity To ensure of the strength of the constructs used to test the research model, the relationships between the constructs and the items should be examined. To do this test, the convergent and discriminant validity of the research instrument were conducted. Because multi-item variables measure each construct, a confirmatory factor analysis (CFA) was employed to test the convergent and discriminant validity of all constructs. To ensure of the validity of the instrument three components of validity were employed to address the validity of the measurement for the research dimensions. These are 1. Content validity 2. Convergent validity 3. Discriminant validity. A brief description of these components follows in the next paragraphs.

4.8.1 Content validity Content validity represents the sufficiency with which a specific domain of content (construct) was sampled (Lewis-Beck 2004). Content validity is subjective and judgmental but is often based on two standards: Does the instrument contain a representative set of measures, and were sensible methods of scale construction used? Table 5 The Reliability of STROBE, NOFs Instruments Dimension Items Aggressiveness

Mean

S.D

4.35

0.16

No of Internal Consistency items (cronbach Alpha) 5

0.88 0.71 0.68 0.70 0.65 0.79

B1 B2 B3 B4 B5 4.3

Analysis

0.05

2

0.75

B6 B7 Defensiveness

0.60 0.60 4.4

0.17

4

0.78

B8 B9 B10 B11 Innovativeness

Item-Total Correlation

4.2

0.28

2

0.72

B12


0.40 0.58 0.67 0.73 0.57 0.57

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B13 Proactiveness

4.1

0.29

5

0.67

B14 B15 B16 B17 B18 Horizontal Coordination

0.49 0.48 0.41 0.43 0.39 4.1

0.08

4

0.79

N1 N2 N3 N4 Vertical Control

0.52 0.62 0.69 0.60 4

0.06

4

0.83 0.56 0.74 0.82 0.54

N5 N6 N7 N10 Communication Culture

3.8

0.19

4

0.81

N12 N13 N14 N15

0.69 0.72 0.55 0.59

As explained in Chapter 5, the survey instrument was reviewed by a number of experts to help gauge content validity. In this study, the correspondence between the individual items and the concept through theoretical and practical considerations was considered. First, the questionnaire was pre-tested by gathering data from five experts followed by a focus group of 300 organizations. 4.9 Aggressiveness As a dimension of business strategy concept, aggressiveness is hypothesized to be captured using five indicators as shown in Figure 2 AMOS program was employed to estimate the model. The resulting estimates were: Chi-square (d.f = 5) = 20.81; p = 0.001. Table6 presents the results of testing model of aggressiveness shown in 2 along with the AMOS estimates and significance levels for five indicators.


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B1 1

B2

1 e1 1 e2 1

Aggressiveness

B3 B4 B5

e3 1 e4 1 e5

Figure 2 Path diagram for Aggressiveness congeneric model B1 B2 B3 B4 B5

We prefer to cut prices to increase market share. Our investments are generally aimed at increasing our sale growth rate. We have attempted to be among top five firms in industry Our operations can be generally characterized as high risk. We have a conservative view when making major decisions (rev. scored).

As it is shown in Figure 2 the latent variable aggressiveness has been given a scale by fixing its variance to 1. All square multiple correlations (item reliabilities) were greater than 0.5 for five indicators. This suggests that the latent constructs accounted for more than 50 % of the variance in each of the four indicators. However, an examination of the model estimates in Table7 showed that with Chi-square = 20.808, Degrees of freedom = 5, and probability level = .001 this model does not fit. Also the value of RMSEA= 0.18 was indicative of a poor fit of the model to the data. Thus, it was apparent that some modification in specification was needed in order to develop a model that would better fit the data. Table 7 Standardized Regression Weights for Aggressiveness SMC P B3 t0.05 (104) = 1.654, we reject HO1 and conclude that project funding is a limiting factor to successful delivery of Fadama II projects. 7.2 Hypothesis II (Ho2): Local Government Support does not contribute to the successful implementation of Fadama II projects. tc = 1.612

while

t0.05(104) = 1.645

The result shows that at 5% level of significance, local government support is not significant to the successful implementation of Fadama II projects. 7.3 Hypothesis III (Ho3): Community Sensitization and Participation do not have any positive effect on the implementation of LEEMP development projects tc = 2.030

while

t0.05 (101) 1.654,

tc > t0.05(101), so we reject HO3 and conclude that community sensitization and participation have a positive effect on the implementation of Fadama II development projects.

7.4 Hypothesis IV (Ho4): The depressed economic environment does not have a significant impact on the successful implementation of micro- projects. tc = 2.030

while

t0.05 (101) 1.654,

tc > t0.05(101), so we reject HO4 and conclude that depressed economic environment is significant to the implementation of Fadama II micro-projects. 7.5 Hypothesis V (Ho5):


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The level of capacity building does not have any positive impact on the level of Fadama II micro-projects. tc = 2.401

while

t0.05 (101) 1.654,

tc > t0.05(101), so we reject HO5 and conclude that the level of capacity building have positive impact on the implementation of Fadama II projects implementation. Testing for the inclusion of the five critical factors affecting FADAMA II performance in the model; HO: PF = LGS = CS = DEE = CB

..bK = 0

HA: not all bK = 0; k = 1, 2 The regression analysis (ANOVA) shows calculated F-test value of 5.161. At 5% level of significance, F(5,104)=2.21 implying that HO is rejected and we confirm the significance of the inclusion of the five variables in the model: From the analysis above, it means that, these five critical factors contributed to the high level of project abandonment witnessed in FADAMA II projects all over Nigeria.

8. Conclusion The study reveals that the success level of Fadama II project delivery is 38.4%. The five factors identified mostly interacted to achieve the low level. From the findings of the analyzed data, the following conclusions can reasonably be drawn. i) Timely and sufficient injection of funds is critical for proper project implementation. But most times Fadama experience late and insufficient supply of fund from the recipient communities. ii) Local Government Councils should be admonished to assist the poor communities in their localities in paying their counterpart funds. iii) Adequate orientation and participation of the benefiting communities are needed for successful implementation of rural projects. Unfortunately, this is not sufficient in some Fadama intervention communities, hence resulting to misunderstanding between Fadama officials, FCAs/FUGs and Town Union members.

iv) The level of personnel with requisite accounting, skills available is too low to promote efficient project planning and implementation.


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9. Recommendations The study therefore recommends as follows: That sufficient sensitization of the communities to make the community counterpart funding a priority and pay on time. This will help to ensure prompt disbursement of project funds. Again, the Local Government Councils should be admonished to assist the poor communities in their localities in paying their counterpart funds. That Fadama and other rural development promoters should enhance their orientation programmes to properly create awareness among the selected communities. This will create a sense of understanding among the rural dwellers. They will see the project as their own, and hence contribute to its successful implementation. That the use of non-professionals in the management of rural development projects should be reevaluated by Fadama. Project management is best where it is really employed, will result in outstanding performance. Fadama should build up the capacity of their project support teams/ officials, FCAs and FUGs by training and re-training them in relevant areas such as procurement and project management.


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References Agu, V. C. (2007): Accessing Project Resource, A Paper presented at Facilitators Seminar, NUT House, Owerri, May 15. Ephraim M. et al (2008): An Assessment of Fadama II Project; PCU

NFDO, Federal Ministry

of Agriculture and Rural Development, Abuja Facilitation Guide (2008): Guidelines for subproject; project implementation manual facility, vol. 2 annex. Fadama Handbook (2009): The Paradigm shift under Fadama Developemnt Project; Internet search: www.fadama.org, extracted on 15th May. Fadama Project Coordinating Unit (2003): Terms of Reference for Judiciary staff mgt; Fadama Publication Gwagwalada, Abuja, FCT, November. Imo state Fadama II Status Report (2008), A report presented to Fadama Stakeholders, 16th

18th

April. Oredipe, A. A. (2005); Poverty Reduction and Increased Producivity Through Empowerment PCU

NFDO, Fadama Development Projects, October, pp.4

Oredipe, A. A. (2007): Second National Fadama Development Project:The Journey so far, pp.1 Nworuh, G.E. (2001): Fundamentals of Applied Quantitative Techniques for Management Decision, Nigeria , Bon Associates

HRDC, pp . 90


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Appendix I

Questionnaire TITLE OF THE STUDY: A Situational Analysis of Project Implementation in FADAMA II Development Projects in Nigeria. Please spare a few minute of yours to attend to the following questions as accurate. The aim is to determine the effects of project funding and community sensitization/support on project implementation. Your response will strictly be used for the research purposes. INSTRUCTION: Indicate your level of agreement or disagreement with the statements below: (SD=strongly disagreed; D=disagreed; N=neutral; A=agreed; SA=strongly agreed); SD D N A SA Project Funding (PF) 1 Delays in disbursement of project funds impact negatively on the project implementation of rural development project. 2 Late payment of counterpart funds by the benefiting communities makes project implementation difficult. 3 Releasing funds directly to the FCAs and FUGs enforces commitment to the project success. 4 Project funding is a major problem to development projects in Nigeria. 5

1 2 3 4

5

Adequate and timely disbursement of project fund is required for project implementation.

Local Government Support(LGS) SD D N A Political instability, insecurity of life and property, adversely affect project implementation. Government financial support of development projects promotes successful delivery. Government commitment to project supervision facilitates project implementation. Government at the local level should build a framework that will monitor the smooth implementation of development projects. Local government areas should embrace external development aid and assist in creating awareness, planning & implementation of their projects.


SA

398

1 2 3 4 5

1

2

3

4 5

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SD Community Sensitization/Support (CS) The benefiting communities should be well informed of the project objectives. The value of the project should be discussed with the recipient communities. Communities are allowed to choose and prioritize their needs. Low capacity building among the rural dwellers makes project implementation difficult. Remuneration of the Community Project Management Committee (CPMC) members enhances commitment and smooth project implementation.

Depressed Economic Environment (DEE) SD The low level of infrastructure provided by the government, contributes to the high cost of project implementation. The tax structure and policies of federal, state and local governments have negative influence on project planning and implementation. Frequent changes in government policies create uncertainty and makes project planning and implementation difficult. Government policies and the regulatory activities do not in real terms promote development progress. The level of empowerment of the citizens contributes to success in development project implementation.


D N A

D N A

SA

SA

399

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Capacity Building (CB) SD Fadama Project team personnel understand their roles and responsibilities in project implementation There is sufficient manpower to plan and implement Fadama development projects. Training of personnel on technical and/ or managerial tasks improves project implementation. Job description for team members should be written, distributed and is understood. The personnel on the project team must understand how their performance and project performance are evaluated

D N A

Successful Project Implementation(PI) SD D N 1 Project implementation is achieved under proper funding 2 Project implementation is carried out in an environment of stable policies and favorable regulatory activities. 3 Successful project implementation is easier if project team clearly understand the project objectives. 4 Proper training of the project team members are necessary for proper project implementation. 5 A skilled project manager is vital for a proper rural development implementation. 6 The level of information and communication systems available promotes proper project implementation. 7 Adequate technical and management staff are required for project implementation. 8 Detailed project plan and contingency plan are required in project implantation. 9 The low level of indigenous technology, processes and skills limits implementation of rural development projects. 10 Project implementation is completed within budget, time, and technical specification.


A

SA

SA

400

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Appendix II

Questionnaire Result Relation of Project Funding (PF), Local Government Support (LGS), Community Sensitization/ Support (CS), Depressed Economic Environment (DEE), Capacity Building (CB), to Successful Project Implementation (SPI).

Respondents PF 1 15.00 2 13.00 3 15.00 4 11.00 5 14.00 6 11.00 7 12.00 8 13.00 9 11.00 10 11.00 11 13.00 12 12.00 13 13.00 14 11.00 15 13.00 16 14.00 17 13.00 18 12.00 19 12.00 20 13.00 21 13.00 22 13.00 23 14.00 24 14.00 25 12.00 26 10.00 27 10.00 28 15.00 29 13.00 30 13.00 31 12.00 32 11.00 33 12.00 34 12.00 35 14.00

LGS 10.00 9.00 13.00 13.00 12.00 11.00 12.00 6.00 10.00 11.00 5.00 11.00 11.00 13.00 14.00 8.00 10.00 14.00 12.00 10.00 13.00 11.00 12.00 14.00 11.00 11.00 11.00 11.00 6.00 14.00 11.00 5.00 9.00 12.00 13.00

CS 15.00 15.00 15.00 13.00 14.00 13.00 12.00 12.00 13.00 13.00 13.00 14.00 14.00 12.00 11.00 10.00 9.00 13.00 13.00 12.00 11.00 12.00 13.00 14.00 10.00 12.00 11.00 14.00 13.00 14.00 12.00 12.00 14.00 5.00 13.00

DEE 11.00 12.00 13.00 11.00 11.00 13.00 11.00 10.00 9.00 11.00 14.00 13.00 9.00 12.00 13.00 13.00 10.00 14.00 14.00 12.00 10.00 10.00 8.00 13.00 10.00 12.00 11.00 12.00 12.00 14.00 11.00 10.00 9.00 5.00 13.00


CB 13.00 12.00 12.00 13.00 13.00 13.00 14.00 14.00 12.00 10.00 10.00 15.00 13.00 13.00 12.00 11.00 12.00 12.00 14.00 15.00 11.00 14.00 12.00 13.00 13.00 11.00 12.00 11.00 13.00 5.00 5.00 13.00 13.00 14.00 13.00

SPI 29.00 16.00 27.00 19.00 24.00 23.00 25.00 23.00 22.00 21.00 26.00 24.00 25.00 25.00 26.00 25.00 18.00 20.00 22.00 25.00 19.00 20.00 20.00 24.00 28.00 19.00 19.00 25.00 25.00 23.00 25.00 24.00 21.00 22.00 25.00

401

36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79

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11.00 13.00 14.00 15.00 13.00 13.00 11.00 12.00 11.00 13.00 10.00 12.00 12.00 13.00 14.00 13.00 12.00 12.00 13.00 13.00 13.00 14.00 14.00 12.00 11.00 10.00 13.00 13.00 13.00 12.00 11.00 12.00 13.00 14.00 13.00 15.00 11.00 14.00 13.00 14.00 15.00 15.00 14.00 5.00

13.00 11.00 12.00 14.00 5.00 5.00 12.00 12.00 13.00 12.00 9.00 12.00 10.00 11.00 14.00 13.00 9.00 12.00 10.00 11.00 11.00 11.00 5.00 12.00 12.00 14.00 14.00 8.00 11.00 11.00 11.00 15.00 14.00 13.00 12.00 14.00 11.00 13.00 13.00 11.00 12.00 11.00 11.00 12.00

13.00 11.00 12.00 14.00 11.00 11.00 11.00 11.00 13.00 14.00 11.00 12.00 14.00 9.00 13.00 13.00 11.00 12.00 9.00 8.00 8.00 10.00 11.00 10.00 15.00 15.00 13.00 13.00 12.00 13.00 15.00 15.00 15.00 12.00 13.00 12.00 13.00 6.00 6.00 8.00 11.00 14.00 10.00 10.00

13.00 11.00 12.00 11.00 12.00 5.00 11.00 12.00 13.00 14.00 13.00 12.00 12.00 13.00 13.00 13.00 10.00 14.00 12.00 11.00 11.00 15.00 14.00 15.00 5.00 14.00 12.00 13.00 13.00 11.00 12.00 14.00 15.00 13.00 14.00 15.00 13.00 13.00 11.00 11.00 15.00 14.00 9.00 13.00


12.00 12.00 13.00 13.00 13.00 14.00 14.00 12.00 11.00 10.00 15.00 13.00 13.00 12.00 11.00 12.00 13.00 14.00 11.00 12.00 11.00 14.00 13.00 14.00 15.00 15.00 14.00 5.00 13.00 13.00 11.00 12.00 14.00 11.00 11.00 11.00 11.00 13.00 14.00 15.00 15.00 14.00 5.00 13.00

24.00 24.00 21.00 24.00 18.00 19.00 23.00 23.00 25.00 23.00 22.00 26.00 26.00 24.00 25.00 25.00 19.00 25.00 24.00 21.00 22.00 25.00 19.00 24.00 21.00 24.00 28.00 19.00 21.00 25.00 25.00 24.00 25.00 23.00 21.00 22.00 25.00 24.00 24.00 21.00 24.00 28.00 19.00 23.00

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80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105

13.00 13.00 11.00 12.00 14.00 11.00 11.00 11.00 11.00 10.00 14.00 12.00 12.00 10.00 15.00 13.00 13.00 11.00 12.00 14.00 12.00 13.00 14.00 15.00 13.00 13.00

14.00 13.00 13.00 14.00 15.00 13.00 13.00 11.00 12.00 14.00 13.00 12.00 14.00 11.00 13.00 13.00 10.00 11.00 11.00 11.00 12.00 12.00 12.00 11.00 13.00 11.00

10.00 11.00 13.00 12.00 13.00 14.00 9.00 12.00 10.00 11.00 13.00 13.00 11.00 12.00 14.00 13.00 12.00 14.00 15.00 13.00 13.00 11.00 11.00 11.00 13.00 9.00

14.00 12.00 13.00 13.00 11.00 12.00 14.00 15.00 11.00 14.00 15.00 13.00 13.00 6.00 6.00 8.00 11.00 14.00 10.00 10.00 10.00 11.00 13.00 12.00 13.00 15.00


13.00 11.00 12.00 14.00 12.00 12.00 14.00 11.00 13.00 13.00 7.00 11.00 14.00 13.00 13.00 12.00 10.00 11.00 11.00 11.00 11.00 12.00 12.00 14.00 14.00 8.00

28.00 20.00 22.00 25.00 24.00 20.00 20.00 24.00 18.00 23.00 24.00 25.00 25.00 26.00 25.00 25.00 21.00 22.00 25.00 26.00 20.00 20.00 24.00 28.00 25.00 20.00

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The Effects of Sense of Meaningfulness and Teaching Role Attributes on Work Outcomes

Using the Insight of Job Characteristics Model

Nurita Juhdi (Corresponding author) Faculty of Business Administration, Tun Abdul Razak University Jalan SS6/12, 47301, Kelana Jaya Selangor, Malaysia

Ahmad Zohdi Abd Hamid Faculty of Business, Al Hosn University PO Box 38772, Abu Dhabi, United Arab Emirates

Mohd Saeed bin Siddiq Graduate School of Business, Tun Abdul Razak University Capital Square, No. 8, Jalan Munshi Abdullah, 50100 Kuala Lumpur, Malaysia

Sponsor: Tun Abdul Razak University Malaysia

Abstract

The present study sought to examine the effects of teaching role attributes and sense of meaningfulness to work outcomes. In previous studies that examined the relationship between job attributes and work outcomes, the mediating variable was underrepresented and excluded from the model. Teaching role attributes was measured by combining four major teaching roles (pedagogical, managerial, technical and subject-designing) into an index. The work outcomes examined were internal motivation, job satisfaction and perceived work effectiveness. Sense of meaningfulness was hypothesized as the mediating variable in the relationship between teaching role attributes and the work outcomes. Two hundred and ninety two lecturers teaching in Malaysia tertiary educations were involved in this study. Questionnaires were used to solicit their


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responses which were distributed using various means; online, personal visits and regular mails. The measurement items were mainly adapted from Job Diagnostic Survey. The results from the findings indicated that sense of meaningfulness mediated the relationships between teaching role attributes and the work outcomes. It showed that to maximize teachers work outcomes, they must experience the sense of meaningfulness in their jobs. Keywords: Sense of Meaningfulness, Role Attributes, Work Outcomes, Teachers,

Job

Diagnostic survey 1. Introduction The study employed theoretical framework developed by Hackman and Oldham (1980) that proposed positive relationships between job characteristics and the work outcomes. The five job characteristics are skill variety, task significance, task identity, autonomy and feedback from the job. This theory has been greatly discussed and tested and the majority studies lend consistent results that support the theory (Buys, Olckers and Schaap, 2007; Wegge, Van Dick, Fisher, Wecking and Moltzen, 2006; Lee-Ross, 2005; Boonzaier, Ficker and Rust, 2001; Barnabe and Burns, 1994). The theory also proposes certain variables mediate the relationships among the variables in the framework. According to Hackman and Oldham (1980), three critical psychological states (CPS) mediate the respective job characteristics effects on work outcomes.

Renn and Vandenberg (1995) were critical about the significance of the mediating role of CPS on job characteristics and work outcomes. Their concern about the mediating role of CPS rose due to the fact that not many studies that employed the Job Characteristics Model (JCM) included testing the CPS mediation hypotheses (e.g. Fox and Feldman, 1988; Kiggundu, 1980, Tiegs, Tetrick and Fried, 1992). Two studies were conducted to test the extent of mediating influence of CPS. The findings indicated that all the three CPS attributes were not necessary to be experienced to maximize work outcomes. There is evidence that other states are possible to mediate the relationship between job characteristics and work outcomes. This is consistent with the findings of Johns, Xie and Fang (1992) that indicated the three CPS indicators were seldom necessary to maximize work outcome predictions. However, as contended by Johns et al., there is not enough evidence to support the exclusion of the CPS from the model.


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Behson, Eddy and Lorenzet (2000) conducted a review that was based on thirteen previous independent studies with the purpose to examine the importance of the three CPS in the JCM. The concern is similar to those expressed by Renn and Vandenberg (1995) on the omission of the CPS from JCM investigations used in various studies. The results from this meta-analysis suggested that failure to incorporate CPS into the JCM could lead to misdirected results. Important information may be lost if the CPS are not included. Nevertheless, as noted by Behson et al. (2000), using structural equations modeling, the two-stage model (direct relationship between job characteristics and work outcomes by excluding the CPS from the model) demonstrated a better fit to the available data than the three-stage model originally proposed by Hackman and Oldham (1980).

Fried and Ferris (1987) in a meta-analysis, conducted a review of nearly 200 relevant studies on the JCM. In general, the meta-analysis lent further support to the relationships between job characteristics and the three CPS, between the CPS and work outcomes as well as between job characteristics and work outcomes. There was also evidence that some corrections and modifications were needed. The mediating effects of CPS were also well supported but to varying degrees. In their review of the relationships between job characteristics and the CPS, it was found that only one state; i.e. knowledge of results, was related to its specific dimension (i.e. job feedback). The other two states (experienced meaningfulness and experienced responsibility) were found to be related not only to their respective specific dimensions but also related to other unspecified dimensions. Fried and Ferris suggested that the summary job index (i.e. Motivating Potential Score or MPS) serves as a better predictor of the dependent variables than is any of the individual job dimensions alone.

Johns et al. (1992) who tested the mediating effects based on a sample of 300 lower level managers, also found consistent findings with Fried and Ferris (1987). They further suggested that the three CPS indicators were well tied to their corresponding job characteristics. However, one CPS indicator, i.e. experienced meaningfulness, appeared to be well connected to unspecified job characteristics (autonomy and feedback). The researchers also employed a set of alternative tests in order to examine the mediating effect of the CPS. The five job dimensions were summed into MPS and the three CPS into one index. These two variables were then tested


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against the work outcomes. Results showed that the total CPS has a formal mediating role between the job characteristics and work outcomes. However, they were not always necessary to maximize work outcomes. Inconsistent findings of the mediating effect of CPS therefore need further examination. More studies need to be conducted in order to find more evidence either to support the inclusion of CPS in predicting work outcomes.

The present study also aimed to examine the different roles of teachers that have been widely discussed by the scholars. They have been writing on diverse tasks and roles of teachers mainly in planning, delivering, designing and assessing students progress. Major teacher roles have been widely discussed but they are examined using qualitative research methods and these methods are lacking in the capacity to test the distinctiveness of each role (such as the works of Ryan, Carlton and Ali, 2004; Bennet and Lockyer, 2004; Jaffee, 2003; Barker, 2002; Goodyear, Salmon, Spector, Steeples and Tickner, 2001). There is still limited evidence found in the literature that empirically tests the distinct roles of teachers. The present study used validated measurement instruments to assess the complexity of each role and all the four teacher roles are measured in terms of their attributes using items adapted from the Job Diagnostic Survey developed by Hackman and Oldham (1980). This instrument was used to assess the role intricacies in terms of their skill variety, task significance, identity, autonomy and feedback. Given the complexity of the different roles, it is pertinent to test whether they are empirically distinct from each other as proposed by the previous scholars.

2. Objective of the Study Given the inconsistent support to the inclusion of mediating effects of CPS, the present study took the challenge to test whether CPS is a significant mediator. Some researchers (such as Behson et al, 2000; Johns et al, 1992) fully supported that job characteristics are highly correlated with CPS but CPS does not necessarily maximize the work outcomes. In other studies (e.g. Fox and Feldman, 1988; Kiggundu, 1980, Tiegs, Tetrick and Fried, 1992), CPS were excluded altogether and this has raised concern among other scholars who argued that such exclusion might lead to misleading results. Therefore, the present study sought to examine the mediating influence of critical psychological states (CPS) on the teaching job characteristics and


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the levels of internal motivation, job satisfaction, and perceived work performance of teachers in universities.

The present study chose to focus on teaching job characteristics because there have been ample studies done to investigate how teachers job characteristics in tertiary education influence work outcomes (such as Steele and Fullagar, 2009; Zembylas and Papanastasiou, 2006; Tepstra and Honoree, 2004; Winter and Sarros, 2002; Oshagbemi, 1997; Iiacqua and Schumacher, 1995). All these studies indicated positive relationships between job attributes and the work outcomes. Those who perceive themselves as having high autonomy and job significance report high levels of motivation and satisfaction. Given the original model proposed by Hackman and Oldham (1980) that posits mediating effect of CPS on the relationship between job characteristics and work outcomes, it is therefore imperative to investigate to what extent that CPS plays its mediating role when the model is tested on university teachers.

Another objective of the study was to measure all the different teachers role attributes using quantitative method. Previous research indicates that these role attributes are distinct but they have never been tested empirically and therefore, it is pertinent to find out whether they are truly distinct from each other.

3. Literature Review 3.1 Job Characteristics Model According to Hackman and Oldham (1980), there are five different job attributes that influence employee satisfaction and motivation; 1) skill variety; 2) task identity; 3) task significance; 4) autonomy; and 5) feedback. The authors proposed that the first three characteristics contribute to the overall meaningfulness of the job. Experienced meaningfulness of a job is when a person feels that his job performance has a significant impact on the safety or well being of others. For instance, an instructor is expected to be able to facilitate class discussions, design course materials and use computer technology to perform his job. This would require various skills and new responsibilities that may influence his work outcomes.


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An employee who is given more autonomy or freedom in how he wants to conduct a job will get the feeling of experienced responsibility. For example, someone who is responsible to decide important matters pertaining what tools or methods to use for his class and he is personally responsible for any failure or success of the learning activity. Finally, feedback from the job gives an employee the information of how good or bad he is performing. Such information provides the person with the knowledge of the results. These attributes are likely to influence the worker s job satisfaction and internal motivation. The more positive feelings and experience an employee derives from a job, the more satisfied and motivated he will be. It is thus expected that the person would continue the good performance and eventually the internal rewards would serve as incentives for continuing to do well in the future.

3.2 Teachers Roles There have been numerous discussions and research done to study the roles of teachers (see Bennet & Lockyer, 2004; McMann, 1994; Goodyear et al., 2001; Bunker & Vardi, 2001; Harden & Crosby, 2000). Different scholars and researchers in the area used their own classification of the roles and responsibilities of teachers. Therefore, to capture the different roles and responsibilities and at the same time to attain some degree of parsimony, this study proposed to classify teaching roles and responsibilities into four groups: pedagogical, managerial, technical and subject-designing.

3.2.1 Pedagogical Role The traditional role of a teacher is to be the sage on the stage and act as the authority figure who perceives himself as the source of knowledge. Instructions come from the teacher and students are expected to listen and receive information. It is further noted by Miller and King (2003) that the key to success in most courses, regardless of the type of technology or method used, is the teachers pedagogical skill. Even if a teacher has the technical skill and competency, the lack in such a skill would result in frustration and disappointment (Knowlton & Weiss, 2000). This role is very significant because the teachers are expected to teach and impart knowledge to students. Their communication skill is crucial and they should be able to give instructions, provide support and directions (Merrit, 1985). Facilitation and consultation are among the main parts of this role that requires instructors to be able in assisting students,


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stimulating their thinking, giving advice and more importantly guiding students in their learning process (Gregory, 2002). In a face-to-face setting where the physical context is there, the facilitation role may not be that challenging as compared to in an online setting. When the students are geographically dispersed, the teachers should be able to teach and facilitate online classes. The level of feedback they get may also differ. In a physical classroom, the teachers can gauge their teaching effectiveness from students bodily expressions and verbal feedback. The immediate feedback is important for the teachers as a measure of their ability to perform this pedagogical role.

3.2.2 Managerial Role According to Sadker and Sadker (1991), an effective teacher must be a good manager who will organize the academic content and students records. Anderson (1993) further mentioned the importance of maintaining teaching portfolios. As a teacher, he is responsible to regulate and administer the learning environment by formulating rules, regulations, policies as well as timelines to ensure the smooth running of the course (Flake, Kuhs, Donnelly & Ebert, 1995). Monitoring and disciplining students are one of his duties but that should not be the only focus because as noted by Evertson and Harris (1992), educators nowadays have shifted from controlling students behavior to creating and maintaining an environment that supports learning. The managerial role of teacher then requires skills to administer and organize learning resources and environment. Given the responsibility to monitor and discipline students behavior and learning, instructors have to admit that their roles are very important and significant. In some universities, the role to manage and organize resources is not only confined to managing the students as the instructors may as well be required to coordinate students in different geographical locations. In some cases, the remote students are taught by their respective teachers (or tutors). This adds more responsibility for teachers in the main campus to coordinate the activities of the students as well as to administer the remote tutors. Thus, teachers have to have independence and freedom to perform their tasks. At this juncture, the level of feedback they get from the job is important so that they know how effective and efficient they are performing.


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3.2.3 Technical Role To have effective classroom instructions, most teachers use various teaching aids such as visuals, handouts, audiocassettes and power point slides (Bennet & Lockyer, 2004; Noe, 2005, Goodyear et al, 2001). Nowadays, there are more varieties available for use ranging from the least sophisticated like transparencies, television and audiocassettes to the more sophisticated ones like video conferencing and online tutorial. It is thus important for teachers to have the skills in using different teaching aids. However, it should be noted that teachers do not have to master the technology as being a competent technology user is different from knowing how to use it effectively (Salmon, 2000). Given the various teaching aids, teachers should be able to assess the suitability of the media with the lessons, practicality and students readiness. Mismatch between these aspects would result in ineffective teaching. For example, Gordon (1970) noted that inability for teachers to use television as a medium to teach resulted in resistance among the students and teachers. This is further supported by Yusup s (1998) survey that indicated despite the availability of such resources in higher learning institutions, the level of usage was still relatively low. Goodyear et al (2001) contended that teachers should have the technical skills to assess the capability and weaknesses of certain media before deciding to choose which medium. Therefore, teachers should have the skill in assessing which aids to use and exercise their autonomy to choose which technology that is practical for teaching. Their role in this aspect is very significant due to the fact that students readiness to learn highly depends on the teachers ability to guide them (Miller & King, 2003).

3.2.4 Subject-Design Role Another important role performed by teachers is designing or planning the course (Jaffee, 2003; Black & Holford, 2002; Bennet & Lockyer, 2004). Even though some aspects of the course planning is beyond their control (such as university timelines, course syllabus and faculty policies), they still have the opportunity to use their discretion in how to design the course for the semester. For instance, teachers are responsible to design the course activities throughout the semester. They should allocate the time for classroom instructions, discussions, consultations, excursions and other students activities. The course content should be developed according to students readiness and the type of suitable teaching aids should also be determined. Another factor that should not be taken for granted is the change in pedagogy from teacher-centered to


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student-centered (Ahmed, 2003). The shift requires teachers to be knowledgeable in designing courses that promote interactive learning and critical thinking. This may influence the type of teaching approaches and teaching aids. Teachers role at this juncture is becoming very significant and their ability to exercise their independence in making choices is highly required. Another major issue is the emergence of more sophisticated technology in teaching (such as online method) that may also influence teachers experience in their role performance. 4. Hypotheses Formulations In their JCM, Hackman and Oldham (1980) suggest that for the work outcomes to occur, employees should experience the CPS first. The person should experience knowledge of the results of the work, experience responsibility for the results and experience the work as meaningful. Findings from previous studies (for example Johns et al., 1992; Renn and Vandenberg, 1995; Barnabe and Burns, 1994) show strong support for this theory. Thus, for the present study, it is important to examine the mediating effect of the CPS. Since the present study used the summary index of teaching role attributes, the CPS was measured using an index that sums the values of the three states. This method has been used by Johns et al., (1992). As described by Johns et al. (1992), the total CPS is used so that it is in line with the summary measure of job characteristics. In order to further justify the use of total CPS and summary measures of teaching role attributes as indicated in the meta-analysis by Fried and Ferris (1987), it is proposed in the JCM that the individual CPS has its own corresponding job characteristics, the literature showed that the CPS are also related to other unspecified job attributes. Thus, using the total CPS is empirically justified. Despite the strong mediating effect of the CPS, it was found that the CPS has a weak effect on self rated work performance (Johns et al., 1992). Thus, it is interesting to examine the mediating effect of CPS on the overall teaching role attributes and work outcomes of teachers in higher education. The following hypotheses are forwarded:

Hypothesis 1: CPS mediates the relationship between overall teaching role attributes and internal motivation. Hypothesis 2: CPS mediates the relationship between overall teaching role attributes and job satisfaction. Hypothesis 3:

CPS mediates the relationship between overall teaching role attributes and

perceived work effectiveness.


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5. Research Methodology 5.1 Samples and Data Collection All public and private institutions of higher learning in Malaysia were identified and samples were drawn from faculties/department of interest. In each faculty, teachers were chosen using simple random sampling. As this study was about teaching roles and responsibilities, only those academic staff or faculty members who have a teaching load of at least 50 percent of their total work load were included in the study. Questionnaires were distributed through online, regular mail and personal visits. Online survey yielded the lowest response rate (only 80 online responses) and thus regular mail survey had to be employed. This method generated 137 responses. The subsequent method used was to personally distribute the questionnaire and this technique resulted in 75 responses. In total, 292 responses were collected and it took about 6 months to complete.

5.2 Measurement Instruments and Statistical Techniques 5.2.1 Independent Variables The instrument used to measure teachers teaching role attributes in the study was adopted from the Job Diagnostic Survey (JDS) developed by Hackman and Oldham (1980). There are 15 items (3 items to measure each of the 5 characteristic dimensions

skill variety, task

significance, task identity, autonomy and feedback from the job) that are used to measure each teaching role attributes (pedagogical, managerial, technical and subject designing). All the items are expressed on 7-point scales, where 1 is low and 7 is high. Brief explanations on each of the four teaching role attributes were provided to ensure respondents understood the survey objectives and to make it clear to the potential respondents that they were required to evaluate the teaching role attributes individually across the 15 items. There are two alternative techniques to measure job characteristics as proposed in JDS; first alternative is simply combining all the 15 items into their respective dimensions (skill variety, task significance, task identity, autonomy and feedback from job) and then all these five dimensions are subsequently combined into an index called Motivating Potential Score or MPS. The formula is illustrated below: MPS = Skill variety + Task identity + Task Significance X Autonomy X Feedback 3


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The second alternative that was commonly used by other scholars (Dunham) The second alternative is to use factor analysis to separate the items into their respective dimensions. In many other studies that used JDS (such as Dunham, Aldag and Brief, 1977; Fried and Ferris, 1986; Idaszak and Drasgow. 1987; Kulik, Oldham and Langner, 1988; Cordery and Sevastos, 1993), factor analyses were used to summarize the structure of the sets of items. Based on the factor analysis output, the items can be combined into their respective constructs. In this study, the second alternative way was used considering the rigorous manner of determining the constructs. And this method was considered appropriate because the researchers could empirically determine whether all the four teacher role attributes (pedagogical, managerial, technical and subject-designing) were really distinct from each other.

Using factor analysis however, it should be expected that the items would not fall into their respective specified dimensions. This is due to unclear cut factor loadings. Similar findings were found in many other studies (such as Dunham et al, 1977; Fried and Ferris, 1986; Idaszak and Drasgow, 1987; Kulik et al, 1988; Cordery and Sevastos, 1993). In these studies, the factor analyses indicated items for one dimension were collapsing with items in other dimensions to form a common factor and thus were deemed to be empirically the same. Consequently, these studies propose that the dimensionality of job characteristics could be determined from a one to five-factor solution. In the present study, the factor analysis was expected to produce the main four dimensions that represent the attributes of pedagogical role, managerial role, technical role and subject design role. However, as mentioned earlier, the study only sought to measure the index of all the four teaching role attributes. Therefore, the teaching job index is obtained by using the following method:

Overall Teaching Job Attribute = Mean score (Pedagogical Role+ Managerial Role + Technical Role + Subject Design Role)/4

5.2.2 Mediating Variables The original JCM has presented three psychological states (CPS) as the mediating variables between the job dimensions and the work outcomes. Theoretically, the three states correspond to their respective job dimensions. The first state, experienced meaningfulness is contributed by


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skill variety, task identity and task significance. The second state; experienced responsibility is contributed by autonomy and the third state; knowledge of results is contributed by job feedback. Since the present study used the total collective attributes of teaching roles, all the three CPS were combined by adding up all the values as proposed by Johns et al (1992). The feasibility of using this technique was empirically tested.

5.2.3 Dependent Variable The dependent variables of interest in this study are three work outcomes; internal motivation, job satisfaction and perceived work effectiveness. Internal motivation and job satisfaction are measured using items used in the JDS. Since perceived work effectiveness is not assessed by the JDS, the variable is measured using items adapted from Kyriakides, Campbell and Christofidou (2002). The authors have proposed a number of items to conceptualize teaching effectiveness. Some of the items used are I always set clear objectives for my courses , All my work is well planned , I am confident with my teaching skills and I manage classroom time effectively . More items can be viewed in Table 1.

The respondents were asked to indicate the extent to which the statements were applicable to them on a ranked scale ranging from 1 (strongly disagree) to 7 (strongly agree). The mean score of a set of items for each variable represented the extent to which the respondents related to the variables. Table 1 describes the operationalization of the dependent variables.

Statistical Package for the Social Sciences (SPSS) 15.0 for Windows was used to analyze the data. One-way ANOVA test and multiple linear regressions were used to examine the relationships between variables.

6. Results 6.1 Respondents Demographic Analysis A total of 292 university teachers participated in the study. The majority of the respondents were from public universities (48.6%), 28.1% were from private university colleges, 22.6% from private universities and the rest (0.7%) were from public university colleges. In terms of teaching experience, 29% of the instructors had more than 11 years, 36.3% have between 6 to 10


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years and 34.6% have 1 to 5 years. Out of the 292 respondents, 176 of them (60.3%) possessed Master degree, 19.9% with doctorate, and 19.2% with bachelor degree. Majority of the respondents were from the age group of 30 to 39 years old (52.4%), 21.2% in age group of 40 to 49 years, 19.5% were between 20 to 29 years old and only 6.8% were those above 50 years of age.

6.2 Factor Analysis and Reliability Tests Due to the large number of items, factor analyses were used to reduce the items to a smaller set of underlying factors that summarize the essential information contained in the variables. All the items were analyzed using principal components extraction with an orthogonal (varimax) rotation. Besides relying on visual observation of the scree plot in deciding on the number of factors to be extracted, latent roots criterion (eigenvalues greater than 1) was also used. At the initial stage, all items (items 1 to 101) were factor analyzed at once but the factor solutions did not provide a clear factor structure with clear cut factor loadings. In order to produce a more meaningful and interpretable results, items that measured teachers teaching role attributes (items 1 to 60), and items that measured work outcomes (items 61 to 101) were factor analyzed separately.

The first factor analysis on items 1 to 60 that measured instructors four teaching role attributes resulted in 11 factors, which explained 71.21% of the total variance. An examination of the correlation matrix indicated that a considerable number of correlations exceeded 0.3 and so the matrix was suitable for factoring. The Bartlett test of sphericity is significant and that the KaiserMeyer-Olkin measure of sampling adequacy is 0.917 which was far greater than 0.6. Inspection of the anti-image correlation matrix revealed that all the measures of sampling adequacy were well above the acceptable level of 0.5. In selecting items for each scale, two criteria were used. First, items on a single factor with factor loading of .3 or less were dropped (Hair et al, 1998), and second, to improve scale reliability, items with less than 0.3 item-to-total correlations were deleted from the scales (Nunnally, 1978).

The factor analysis output failed to yield the anticipated factors that reflected the five job characteristics as mentioned by Hackman and Oldham (1980) in their Job Characteristics Model.


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The five elements were skill variety, task significance, task identity, autonomy and feedback from job. The output indicated unclear cut factor loadings and the factors did not appropriately loaded in the expected groups. Nevertheless, despite previous studies that succeeded in finding consistent results that yielded the five dimensions (such as Pokorney, Gilmore and Beehr, 1980; Lee and Klein, 1982; Johns et al., 1992), there were several evidences from previous research that failed to yield the expected results (such as Dunham et al, 1977; Fried and Ferris, 1986; Idaszak and Drasgow, 1987; Kulik et al, 1988; Cordery and Sevastos, 1993). In these studies, the factor analyses indicated items for one dimension were collapsing with items in other dimensions to form a common factor and thus were deemed to be empirically the same.

Based on the results from the factor analysis that indicated factors with collapsing items, the first technique prescribed by JDS (using MPS) could not be used. For the sake of the present study, regardless of the dimensionality, factors with items which indicated common roles were used for further analyses, instead of trying to segregate the five dimensions and combining them into one index using the MPS formula. Furthermore, the present study only sought to measure the overall index of all the five dimensions and thus, instead of using the MPS formula, the scores for each teaching role attributes was obtained by simply averaging the items within the respective factors.

Factor one was labeled Subject Design Role Attributes that consisted of ten items. This set of items correlated with each other since they represented a similar aspect that described the attributes of the subject designing role of teachers. The reliability of the scale, as measured by Cronbach s coefficient alpha, was 0.936. Factor two that contained eight items was labeled Pedagogical Role Attributes. All the items in the factor reflected the attributes of the pedagogical role of teachers. The reliability coefficient for the scale was 0.907.

Items in factor three represented the attributes in the teachers technical role. Thus, it was named as Technical Role Attributes. The factor consisted of six items and the reliability coefficient was 0.885. Factor five was labeled Managerial Role Attributes as all the items depicted attributes in teachers managerial role. This factor consisted of eight items and the reliability coefficient was 0.894.


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All other factors (factors 4, 6, 7, 8, 9, 10 and 11) were dropped as they did not provide meaningful interpretation. Despite the high loadings, since all the items within the respective factors were not appropriately loaded in the expected group, all these factors had to be dropped for further analyses.

In the second factor analysis that factor analyzed items that measured teachers work outcomes and the CPS items (i.e. items 61 to 101), eight factors were produced that explained 72.25% of the total variance.

An examination of the correlation matrix indicated that a considerable

number of correlations exceeded 0.3 and thus the matrix was suitable for factoring. The Bartlett sphericity is significant and that the Kaiser-Meyer-Olkin measure of sampling adequacy is 0.913 which is far greater than 0.6. Inspection of the anti-image correlation matrix revealed that all the measures of sampling adequacy were above the acceptable level of 0.5. In selecting items for each scale, similar criteria were used as in the first factor analysis.

The factor solution for factor one provided a clean factor structure with reasonably clear-cut factor loadings. The factor was labeled as Perceived Work Effectiveness; all the ten items were clearly loaded on that factor. The reliability coefficient was 0.93. The factor analysis output was expected to produce factors that reflected three CPS dimensions (experienced meaningfulness, experienced responsibility and knowledge of results). These dimensions portray CPS as depicted in the Job Characteristics Model by Hackman and Oldham (1980). Factors three, four and five contained items that reflect the CPS but they were not loaded in their respective groups. However, unlike items in factors three and five, that only reflected two dimensions, items in factor four contained items that mirrored all three dimensions in CPS. However, this outcome did not affect the objective of the study because its main intention is to examine the overall CPS as a mediating variable. Therefore, there was no need to find factors that gave clear cut dimensions for the CPS. It was observed that factor four was considered the best representations of the total CPS and the factor was labeled Sense of Meaningfulness. The reliability coefficient was 0.887.

Both factors six and seven gave clean factor structure with clear cut factor loadings. Factor six was labeled Internal Motivation and consisted of 6 items and factor seven was labeled Job Satisfaction; it contained five items. Their reliability coefficients were 0.912 and 0.784


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respectively. All other factors (Factors 2, 3, 5 and 8) were dropped as they did not provide meaningful interpretation. Despite the high loadings, since all the items within the respective factors were not appropriately loaded in the expected groups, all these factors had to be dropped from further analyses.

6.3 Hypothesis Testing Sense of meaningfulness (was formerly intended to be CPS) was expected to mediate the relationship between overall teaching role attributes and work outcomes. To test the mediating effect, stepwise regression analysis was employed. According to Baron and Kenny (1986), there are basically three conditions to be met in considering the mediating effect of a variable. First, the predictor and the dependent variable must be correlated; second, the predictor must be significantly correlated with the mediator variables; third, both predictor and mediator variables must be correlated with the dependent variable. If the effect size of the predictor variable is reduced to non-significant after the mediator variable is controlled, then it is considered a complete mediator. However, if the effect size of the predictor variable is reduced but is still different from zero after the inclusion of mediator variable, then it is considered to be partial mediator.

In Hypothesis 1, overall teaching role attributes being mediated by sense of meaningfulness was expected to have a significant relationship to internal motivation. To test the hypothesis, the evaluation on the MLR assumptions was conducted and it was found that there were no serious violations. MLR analysis was then carried out and the results are shown in Table 2. Model 2 in Table 2 showed that the two predictors (overall teaching role attributes and sense of meaningfulness) contributed 37.9 percent of the variance in internal motivation.

As displayed in Model 1, overall teaching job attributes were positively and significantly correlated to internal motivation ( =0.565, t=11.660, p=0.000), accounting for 31.9 percent of the variance in internal motivation. The inclusion of the mediator variable (i.e. sense of meaningfulness) revealed that it was a partial mediator between overall teaching role attributes and internal motivation. Before the inclusion of the mediator variable into the equation, overall teaching role attributes was significantly correlated to internal motivation ( =0.565, t=11.660,


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p=0.000). But, as shown in Model 2, after the inclusion of the mediator variable, the previous significant relationship did not change to non-significant but the strength of the relationship was decreased ( =0.489, t=10.076, p=0.000). This evidence indicated that the sense of meaningfulness served as a partial mediator between overall teaching motivation and internal motivation. Based on these results, Hypothesis 1 was fully supported when the sense of meaningfulness was found to give significant mediating effect between overall teaching role attributes and internal motivation.

In Hypothesis 2, overall teaching role attributes being mediated by the sense of meaningfulness was expected to have a significant relationship to job satisfaction. To test the hypothesis, the evaluation on the MLR assumptions was conducted and it was found that there were no serious violations. MLR analysis was then carried out and the results are shown in Table 3. Model 2 showed that the two predictors (overall teaching role attributes and sense of meaningfulness) contributed 25 percent of the variance in job satisfaction.

As displayed in Model 1, overall teaching role attributes was positively and significantly correlated to job satisfaction ( =0.429, t=8.093, p=0.000), accounting 18.4 percent of the variance in job satisfaction. The inclusion of the mediator variable (i.e. sense of meaningfulness) indicated that it was a partial mediator between overall teaching role attributes and job satisfaction. Before the inclusion of the mediator variable into the equation, overall teaching role attributes was significantly correlated to job satisfaction ( =0.429, t=8.093, p=0.000). But, as shown in Model 2, after the inclusion of the mediator variable, the previous significant relationship did not change to non-significant but the strength of the relationship was decreased ( =0.350, t=6.558, p=0.000). This evidence indicated that the sense of meaningfulness served as a partial mediator between overall teaching role attributes and job satisfaction.

In Hypothesis 3, overall teaching role attributes being mediated by the sense of meaningfulness were expected to have significant relationship to perceived work effectiveness. To test the hypothesis, the evaluation on the MLR assumptions was conducted and it was found that there were no serious violations. MLR analysis was then carried out and the results are shown in


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Table 4. Model 2 indicated that the two predictors (overall teaching role attributes and sense of meaningfulness) contributed 32.3 percent of the variance in perceived work effectiveness.

As displayed in Model 1, overall teaching role attributes were positively and significantly correlated to perceived work effectiveness ( =0.557, t=11.429, p=0.000), accounting for 31.1 percent of the variance in perceived work effectiveness. The inclusion of the mediator variable (i.e. the sense of meaningfulness) indicated that it was a partial mediator between overall teaching role attributes and perceived work effectiveness. Before the inclusion of the mediator variable into the equation, overall teaching role attributes was significantly correlated to perceived work effectiveness ( =0.557, t=11.429, p=0.000). But, as shown in Model 2, after the inclusion of the mediator variable, the previous significant relationship did not change to nonsignificant but the strength of the relationship was decreased ( =0.523, t=10.322, p=0.000). This evidence indicated that the sense of meaningfulness served as a partial mediator between overall teaching role attributes and perceived work effectiveness.

7. Discussions and Implications of the Study

The finding has shed some lights on several aspects. One, the results indicated that the overall teaching role attributes gave significant positive influence to all the three work outcomes and this is consistent with the ones in previous research (Wegge et al., 2006; Lee-Ross, 2005; Rosser, 2005; Iiacqua and Schumacher, 1995; Delle Fave and Massimini., 2003; Dinham and Scott, 1996; Kim and Loadman, 1994; Ostroff, 1992; Hackman and Oldham, 1980). The teachers perceived that the higher the level of their role attributes (in terms of skill variety, autonomy, task importance, level of feedback and task identity) in their pedagogical, managerial, technical and subject design aspects, they experience higher degree of work outcomes.

Two, the findings indicated that internal motivation, job satisfaction and perceived work effectiveness could only be maximized if the instructors experienced a sense of meaningfulness in the teaching job. This is consistent with the previous findings (Renn and Vandenberg, 1995; John et.al, 1992; Behson et. al, 2000; Fried and Ferris, 1987). More importantly, the finding provides support to the JCM theory proposed by Hackman and Oldham (1976, 1980). In general,


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it could be concluded that the work outcomes are well predicted by the attributes of teachers overall teaching job but they could be maximized if teachers could experience the sense of meaningfulness of the teaching role. Therefore, exclusion of the mediator effect on the relationship between job attributes and the work outcomes is not justified as it would result in misleading conclusions.

Three, previous scholars suggest that teachers perform various roles and these roles are distinct from each other (Bennet & Lockyer, 2004; McMann, 1994; Goodyear et al., 2001; Bunker & Vardi, 2001; Harden & Crosby, 2000). However, the distinctiveness has never been tested empirically. The factor analysis on the items used to measure the four teacher role attributes (pedagogical, managerial, technical and subject-designing) indicated that each role attribute has its own distinctive factor. This can be used a proof that each role attribute is indeed unique and it is in line with what has been theoretically discussed in the literature. The research contributes to teachers teaching job literature by identifying and measuring the major roles of instructors, particularly their roles in teaching aspects which have been widely discussed and studied. Given the fact that all the writings in the literature on teachers roles which have been based on qualitative research method, the present study steps forward by examining and measuring all these roles using instruments that allow the measurement of their attributes. Using the Job Diagnostic Survey instrument developed by Hackman and Oldham (1980) allows more sophisticated analysis in assessing the distinct attributes of each role. The study results indicated that the influence of the teachers teaching role attributes on their work outcomes was further enhanced by the sense of meaningfulness which served as the mediating variable. The mediating variable was commonly under-represented in studies that employed the Job Characteristics Model (JCM) proposed by Hackman and Oldham. As noted by Behson et al. (2000), most studies excluded testing the effect of the mediating variable and thus resulted in misleading findings as important information could have been lost. The results of the research that support the mediating effects of sense of meaningfulness provide additional evidence for the importance of including the variable in the model. It suggests that to further increase the influence of teachers teaching role attributes on work outcomes, first and foremost they have to experience the sense of meaningfulness in their job. Neglecting this aspect might reduce the impact of efforts in increasing the degree of instructors teaching job attributes.


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Annexure Table 1: The Dependent Variables - Measuring the Work Outcomes of Instructors Dependent Variables Internal Motivation

Job Satisfaction

Perceived Effectiveness

Work

Measurement My opinion of myself always goes up when I do this job well. I feel a great sense of personal satisfaction when I do this job well. I feel bad and unhappy when I discover that I have performed poorly on this job. My own feelings generally are not affected much one way or the other by how well I do on this job. Most people on this job feel a great sense of personal satisfaction when they do the job well. Most people on this job feel bad or unhappy when they find that they have performed the work poorly. Generally speaking, I am very satisfied with this job. I am generally satisfied with the kind of work I do in this job. I frequently think of quitting this job. Most people on this job are very satisfied with the job. People on this job often think of quitting. I always set clear objectives for my courses. I always evaluate myself for my own improvement. I will make sure my classroom environment is managed and organized. All my work are well planned. I keep my subject updated with the current issues. I am confident with my teaching skills. I manage classroom time effectively. I develop independent learning in my students. I develop critical thinking in my students. I help students to realize their potential. I develop students across a range of dimensions. Generally speaking, I am an effective instructor.

Sources: 1) Hackman, J. R. and Oldham, G. R. (1980).Work Redesign, Addison-Wesley Publishing Co. 275-301; 2) Kyriakides, L., Campbell, R.J. and Christofidou, E. (2002) Generating Criteria for Measuring Teacher Effectiveness Through a Self-Evaluation Approach: A Complementary Way of Measuring Teacher Effectiveness . School Effectiveness and School Improvement, 13(3), 291-325

Table 2: Regression Results for Internal Motivation (N=292) Model

Independent Variable

Beta

T

Sig.

1

(Constant) Overall teaching role attributes

4.834 .565*

50.073 11.660

.000 .000

1.000

1.000

(Constant) Overall teaching role attributes Sense of Meaningfulness

3.799 .489* .256*

17.522 10.076 5.274

.000 .000 .000

.912 .912

1.096 1.096

2

Collinearity Statistics Tolerance VIF

Model 1: R Square: 0.319; Std. Error of the Estimate: 0.72580; F value:135.947; F change: 0.000; * significant at p=0.05 Model 2: R Square:0.379; Std. Error of the Estimate: 0.69440; F value: 88.167; F change: 0.000; * significant at p=0.05


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Table 3: Regression Results for Job Satisfaction (N=292) Model


Beta

T

Sig.

1


4.197 .429

34.565 8.093

.000 .000

1.000

1.000


2.955 .350 .268

10.788 6.558 5.014

.000 .000 .000

.912 .912

1.096 1.096

2


Model 1: R Square: 0.184; Std. Error of the Estimate: 0.91297; F value: 65.501; F change: 0.000; *significant at p=0.05 Model 2: R Square:0.250; Std. Error of the Estimate: 0.87720; F value: 48.045; F change: 0.000; *significant at p=0.05

Table 4: Regression Results for Perceived Work Effectiveness (N=292) Model


Beta

T

Sig.

1


4.951 .557

59.889 11.429

.000 .000

1.000

1.000


4.556 .523 .115

23.643 10.322 2.264

.000 .000 .024

.912 .912

1.096 1.096

2


Model 1: R Square: 0.311; Std. Error of the Estimate:0.62161; F value: 130.627; F change: 0.000; *significant at p=0.05 Model 2: R Square:0.323; Std. Error of the Estimate: 0.61723; F value: 68.806; F change: 0.024; *significant at p=0.05


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How Privatization Affected the Performance and Strategies of Jordanian Companies? A Case Study: Jordan Telecom Dr. Mahmud. H. Al Ataibi Al Taif University

Abstract This study aims at evaluation of the privatization of Jordan Telecom. The privatization process has positive impact on the performance of Jordan Telecom either operational or managerial. And the Jordanian citizen has benefited from these procedures in many areas such as; shorten the time to have a landline, reducing the prices of mobile phone services through, the Jordan Telecom establishing of MobileCom Company as a subsidiary for the mother company, and expanding the use of internet in the Jordanian community. Finally the study represents the following recommendations: (a) Urging the government to continue in the privatization process for the enterprises that managed by the public sector. (b) Encouraging the partnership between the public sector and the private sector, in order to improve the quality of the civil services. (c) Using the privatization rewards in reducing the internal and external debts, and creating new profitable services. Keywords: Privatization , Performance , Strategies, Jordanian Companies,Jordan Telecom 1. Introduction Privatization is part of the economic restructuring processes that are implemented by governments to improve the economic efficiency and competitiveness. Because the Jordanian economy is one of the economies of developing countries, given the scarcity of available natural resources, in addition to Jordan suffered from successive migrations, whether in 1948, or 1967, or 1991, and the influx of huge numbers of displaced to Jordan, all of this has led to increased pressure on the public services, increase the number of unemployed. And then, during the

US-

Iraq War, Jordan has been affected socially and economically to a large degree, where they were shutdown gulf markets to Jordanian exports, and was besieging the port of Aqaba, the only maritime outlet of Jordan. This has resulted in higher prices, and a decline in the purchasing power of the Dinar, and an increase in the rate of inflation. Year 1989 is not far from the memory, as happened in Jordan, a major economic shock caused by the very complex factors, including: The increase of external indebteness and the flight of national capital abroad, causing


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the result to float the exchange rate of the Dinar, and then tie it with the U.S Dollar under the legislation issued by the Central Bank of Jordan. Therefore, the privatization process in Jordan is part of a package of integrated economic, sponsored by the government since the beginning of the nineties of the last century under the program of economic reform, and self-reliance in the wake of the economic crisis that befell the national economy. This study will focus on the effects of privatization on the Jordanian institutions that have been privatized, through a case study: Institute for Telecommunications. 2. Privatization: Concept and definition The radical transformation that the world has witnessed, included globalization of the economy, which means; freedom and a speed of movement whether for information or goods and services, and money, across the world. It recognized that the Nordic countries has a capacity of financial, economies, and often beyond the resources owned by the south, as well as that enjoyed by the Nordic countries, freedom of movement, and simplicity of procedures. All of this, making the developing countries to think about ways and means to enable them to catch up with the acceleration witnessed by the world these days. Since the capital is always looking for a safe place, away from risk, and at the same time achieve to the owners a reasonable rate of return, so, this money will not be invest in countries governed by restrict laws that not characterized in any flexible, and are subject to routine government procedures, of varying intensity from one country to another. Hence, developing countries wishing to attract foreign investment, to advance development, shifting from purely governmental system, to economic systems run by the private sector. Thus, the process of transition from government control of economic sectors, to involve the private sector in management, or ownership of these sectors, was named privatization (Khresat, 2007). There are several concepts of privatization can be viewed in two dimensions: The narrow sense of the privatization: This means the shift of certain right such as the right of ownership, and/or management, and/or operations, and/or lease, from the public sector to the private sector, in whole or in part through various means (wwww.css.jordanorg/ Arabic/activities/workshop/privatization.htm). This means that the government would relinquish some of the rights granted to them under the general corporation law, which is run by. Accordingly, this concept of privatization reduces the government's contribution to gross domestic product, and employment.


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The overall concept of privatization; it means the expansion of private sector activity in various economic activities, without necessarily mean the erosion of public sector activity, so that reliance on the erosion of public sector activity, so that reliance on the private sector to meet the needs of the community (Center of Strategic Studies, 2002).

3.

Ways of implementing the privatization

Privatization can be implemented in three ways: i. Issuing shares and selling them in the stock market: This way affects in expanding and deepens the local capital market, and enhances the liquidity and economic growth desired, but if the local capital markets were not sophisticated and advanced sufficiently, it would be difficult to find buyers enough to buy shares in addition to the possibility of higher cost, so we find that many governments have chosen a well-developed markets for a public listing, such as; Euro Next, London Market, New York Market and Hong Kong Market (Sheshinki and Calva, 1999).. ii. The sale of assets of an enterprise, or sale of the whole or in part, to a strategic investor or a strategic partner as he is known now. Usually, resorting to this method occurs in the case of increasing political risk and currency risks. This way is the most common in developing countries. the strategic partner is usually a company or several companies have the expertise and the managerial technology, and the added value from all aspects to become a partner in the work, activity or industry where he developed and provide solutions to bottlenecks facing a certain activity, and then take a big and effective role in his managing to increase productivity and thus to spread marketing and promotional (Investment Dictionary, PP. 10-11). iii. Distribution of property to all citizens, either free or at very low prices, and often, this method apply in transformational economies, such as; Russia, Poland, the Czech Republic and Slovakia, where they were applied to the socialist system (AL-Mashal, 2003). In Jordan, it had been adopted two of the key concepts of the term privatization: First: According to the government's statement to parliament in March, 1998, privatization means "re-distribution or roles between the private sector and the public sector.


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Second: According to article number 3 from the privatization low number one for the year 2000, privatization means "Adoption of an economic approach is to strengthen the role of the private sector in economic activity to include public sector projects that their nature requires to be managed on a commercial basis", in other words, the privatization method applied, is the one who controls the quality of the right transferred from the public sector to the private sector (wwww.css.jordanorg/Arabic/activities/workshop/privatizationhtm). 4.

Privatization Law in Jordan and justifications of its implementations:

Jordan's economy is one of the economies of developing countries; in addition to suffering permanent scarcity, limited natural resources in Jordan, where Jordan's economy began to slowdown in the early eighties of the last century, due to a general decline which hit the economies of the Arab region at that time, then this slowdown has developed to enter a critical phase, almost like a stage of establishing the new economical projects especially the biggest projects (Nasrawi, et. al. 1990 P. 648). Although, Jordan has completed implementation of the plan's five-year economic and social development for the years 1981-1985, which aimed at advancing the development and increase local production by 69% during the five years plan and an annual increase of 11%, to reach GDP to 1.193 million Dinars in 1985 compared with 705 million Dinar in 1980. But difficulties that face Jordan

during the years of the plan such as declining the international prices of oil which

resulted in economic recession in the whole region , and the continuing of Iraqi - Iranian but difficulties that faced Jordan during the years of the plan such as declining the international prices of oil which resulted in economic recession in the whole region , and the continuing of Iraqi - Iranian war , and declining in remittances of the Jordanian expatriates, especially those who are working in Arab oil

states war , and declining in remittances of the Jordanian

expatriates, especially those who are working in Arab oil states. In addition to the declining of the Arab financial assistance to Jordan, from about 1000 million annually to 500 million since the year 1983, all of those factors led to reduce of achieving the desired goals (Arab economic report, 1987, P. 95 . All of these obstacles and difficulties have affected on

the economic sectors in Jordan, the

external commerce where became relies only on re-export, and this period witnessed issuing many constraints aiming to protect the local industry and to reduce the pressure on foreign currencies reserve which has decreased from 354 million in 1981 to 137 million in the end of the


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first quarter of 1985. While the industrial sector received a special attention by the Jordanian Government, through issuing several procedures during the year 1984 which call to limit of import, and

exemption the manufactured goods locally from the income tax . Also the

government has encouraged the establishment exhibitions for the Jordanian industries abroad, in spite of these efforts,

big industries , have faced marketing difficulties during this period ,

because they depend on external markets , cement production ,for example suffered from increase in offered quantities over the local demand, which resulted from the recession of housing industry in the country. All of these conditions and obstacles , in addition to the growing of the role of the private sector in economic life , and the increase the entrepreneurial spirit among Jordanian business men and investors either inside Jordan or outside , from the first side , and the increase of economical and social and legislative' s burdens of the Jordanian Government, had led the government to move towards the privatization policy in the beginning of the first quarter of 1985. In order to provide the appropriate legislative context, the law number 25 of the year 2000, was issued with clear rules for organizing and facilitating the privatization process, in addition to included its articles rules and mechanisms which add

more transparency and clarity on the implementation of

privatization, through mechanisms controlled by the government. The most important items included in this law are (Privatization Law No. 25, 2000): i. Formation of a Higher Council of Privatization under the Chairmanship of Prime Minister and membership of the Finance Minister, Minister of Industry and Trade, Minister for Planning, Minister of Justice, Central Bank Governor, President of Executive Privatization Commission, Chairman of Audit Bureau, and the appropriate Minister when it comes to his Ministry or any institution associated with it, and three people with experience appointed by the Council of Ministers upon the recommendation of the Prime Minister. ii. Establishment of the Executive Privatization Commission and the most important goals of this body to study and follow up the implementation of restructuring and privatization process. iii. The establishment of Privatization Proceeds Funds which is overseen by the Supreme Council for Privatization. iv. Give the government the ability of voting by a distinct golden share, which authorizes the challenge of the decisions of the Board of Directors of the Company or its General


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Assembly,

if

the

Supreme

National

interest

required

it

(wwww.asc.com.jo/

ar/pages.php?menu-id=208local). Through the previous items we can observe that the privatization law , has ensured the national interest, through the non -cancellation of the government role , where the supreme commission members are from Jordanians , therefore the decision will be Jordanian and takes into account the interest of Jordan and its national economic, the government still practices its controlling role, and this represented by two aspects; firstly, the existence of the chairman of Audit Bureau in the Higher Council of Privatization, and all of us know the role of audit bureau. Secondly, the government still has the ability of voting through the golden share that means the ability of the government to reject any decision taken by the board of directors, or the general assembly. The justifications for implementation the privatization in Jordan were a group of circumstances and challenges that have faced Jordan and still facing the Jordanian economic, these justifications can be summarized as follows: i.

The failure of the programs of the economic sectors restructuring which began in the seventies of the past century.

ii.

Developing and changing the economic Jordanian thought, which represented by the changing of property to improve the performance of the companies.

iii.

The inability of the government to widen the investment due to the deficit suffered by the budget of the state

iv.

The inability of the public sector to keep pace the local and foreign private sector in the production process in many sectors.

v.

To reduce the burden on the budget through stopping support and reducing of internal and external debt and reduce borrowing.

vi.

Government's desire to reduce monopoly practiced by some public sector institutions in several sectors

vii.

Stopping the governmental intervention in the productive process because of the increasing conviction that the governmental intervention impedes the expansion the investment and improving productivity.

viii.

The need of the Kingdom to attract foreign currencies that support the balance of payments through the direct and indirect foreign investments. In addition to the lower of the performance of the public institutions


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5.

The impact of privatization on the performance of privatized enterprises: A case

study: The institute for Telecommunications. It has become clear from the foregoing review in this study, that privatization has a lot of positives and few negatives. These positives were reflected on the managerial development which was achieved in he privatized institutions, especially as private sector management bears in mind that the institution or organization represents an integrated system, comprises sub systems that interact together, and depend on each other. And because they are open systems, they interact with the surrounding environment. The managerial units inside the privatized institution, each of them is responsible for its own tasks which affect other units. For example, the procurement department purchases the needed raw materials, equipment and supplies through requesting quotations from suppliers located in the external environment, also it obtains the needed information about quality and quantity from other departments in the institution, and after the purchasing process, the financial department receives the invoice in order to pay the supplier. Therefore, we can say that there is a continuous, and strong, and mutual relationship among the departments in one organization, and between these departments and the environment. And because the private sector is keen in managing the institution on achieving the goals , and the most important one of them is; maximizing the owners' equity, through achieving the higher rate of return , the privatization process contributes effectively in developing the institutional performance, and providing information to the users in a high level of quality Furthermore, the transferring the management from the public sector to the private sector increases the enthusiasm of the new management to proof its efficiency Many authors and researchers have pointed out the privatization has it main role in improving the organizational performance, in his study (Alrasheed, 2006), under the title "managing the partnership between the two sectors, public and private, the author summarized the aspects of development of operational and managerial in Jordan Telecom These improvements has presented by the following: i.

Control has been signed with France Telecom, to manage Jordan Telecom for five years, and the Board of Directors membership was distributed, as the most of the members of board are, from Jordanians and the most of executives are from the French. This distribution aims to attract the managerial and technical experiences in the communications fields.


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On the operational level, this partnership led to improve the existing services and to create new services. Jordanian citizen has been seen this transformation through several services provided by the company. And when these activities were entrusted to the public sector, the process of obtaining a landline was very complex process, and takes a long time which may extend to months, but now it became very easy to obtain a landline.

iii.

Increase the reliability of the communications network of Jordan, after linking with global lines.

iv.

Operation of a network data transmission and internet services, according to international standards, which led to the deployment of internet culture in Jordan.

v.

MobileCom, Mobile Phone Company was created as an independent phones company, subsidiary of Jordan Telecom, in order to break the monopoly of Fastlink (Now Zain), which led to reduce this service prices, and encouraged people to use mobile phones.

vi.

Improvement of services systems and customer care, and the development of billing, in addition to developing the performance levels in the different areas either, technical or managerial.

vii.

Deepen of the interaction with the local community, and sponsoring many activities and programs in many private institutions.

The financial indicators for the year 2007 compared by 2006 (2006 represents; before the completion of privatization, and 2007 represents; the first year after privatization) (Integrated Network Economics, 2009) The table below shows some of these indicators: Items

2006

2007

Change

Rate

Services Revenue

362.9

397.9

35

%9.6

Services Cost

123.3

135

11.7

%9.5

Operating Income

169.1

170.3

1.2

%0.7

87

93.7

6.7

%7.7

0.348

0.378

0.03

%8.6

Shareholders Equity

401703981

411536078

9832097

%2.4

Total assets

596665015

664791204

68126189

%11.4

Net Income Earnings Per share

Source: Annual Report, 2007, Jordan Telecom.


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Recommendations i. Urging the government to continue in the privatization process for the enterprises that managed by the public sector.

ii. Encouraging the partnership between the public sector and the private sector, in order to improve the quality of the civil services. iii. Using the privatization rewards in reducing the internal and external debts, and creating new profitable services.


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References Alrasheed, Adel (2006) Managing the Partnership between the two Sectors, Private and Public, Jordan: Alyarmouk University. AL-Mashal, Falah (2003) The Role of Strategic Partner in contributing in the Economical Restructuring, Iraq. Annual Report (2007), Jordan Telecom. Arab economic Report (1987 . Center of Strategic Studies (2002). Integrated Network Economics (2009). Investment Dictionary. Khresat, Samer (2007) Why Privatization in Jordan. Nasrawi, Abbas, et. al. (1990) Private Sector and Public Sector in Arab World, Lebanon: Center of Arab Union Studies. Privatization Law (2000). Sheshinki, E. and Lopoz-Calva (1999) Privatization and its Benefits: theory and Evidence, Harvard Institute of International Development. www.css.jordanorg/Arabic/activities/workshop/privatizationhtm. wwww.asc.com.jo/ ar/pages.php?menu-id=208local.


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Factors Explaining the Choice of Finance major: Students Perception towards Finance Profession

Ahmed Imran Hunjra (Corresponding Author) MS Scholar Iqra University Islamabad Campus, Pakistan Dr. Kashif-Ur-Rehman Associate Professor, Iqra University Islamabad Campus, Pakistan Abrar Ahmad Associate Professor, Iqra University Islamabad Campus, Pakistan Dr. Nadeem Safwan Assistant Professor, Foundation University Rawalpindi, Pakistan

Ijaz-ur-Rehman MS Scholar SZABIST Islamabad Campus, Pakistan Abstract This study examines the role of university students perception towards banking and finance profession and explores the relationship between profession and perception. This study provides groundbreaking scholarly work in the field of banking that provokes those who have done their major in finance. The sample consisted of 300 students studying in Islamabad and Rawalpindi universities. Convenient sampling method was used to collect the data. The results reveal that majority of the students find it an absorbing course and finance major is profit driven, accurate and an analytical field. The finance major is effective and flexible and also creates new ideas. Finance major is a quite effective way to get a successful status in life. We recommend aligning the finance major contents with the banking and financing profession and it should be in consonance with real practices. Keywords: Absorbing Course, Analytical, Effective, New Ideas, Interest, Individualistic, Precision, Structure,


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1. Introduction Finance major is becoming a passion, a competitive edge over the other fields of majors. Finance students can secure their position in the industries on a fast track vis-à-vis other disciplines (Hart et al., 1999). In the Present, the accounting and financial tools, techniques, theories and models are changing with respect to the system that increase the interest of the students and satisfies them according to their needs. The importance of finance and its role in the study is the major factor in differentiating perception and ground realities regarding the finance as their major (Byrne & Flood, 2005). Students with finance major focus on mathematics, statistical analysis, technology, and moral values. Finance is gaining more and more importance among the students of different areas all over the world. Finance is more focused than accounting and requires the development and use of vital thinking, as well as problem solving skills (Didia & Hasnat, 1998; Dynan & Rouse, 1997). An important question that revolves around the perceptions of banking and finance professions is: how the relationship is developed between the profession and studies to solve the problems that occur while performing different tasks and also identify the nature of the problem. These functions also reveal the importance of their role while selecting the major courses. When Finance is compared to accounting it is generally treated as being more mathematical and conceptual than accounting. Accounting has a background, which deals with the microeconomics. Finance has more focus on the market information and financial statement, which helps in decision-making and apparently look more applied when compared to the economics. The finance is considered as a more attractive alternative relative to accounting (Albrecht & Sack, 2001). Balachandran et al (2006) reported in their study two different introductory finance subjects would be more effective. The core subject at the finance major campus (Caulfield) follows a traditional structure with more emphasis on finance theory, whereas the new subject at the non-finance campus (Peninsula) places greater emphasis on applications. There is a need of better quantitative skills when students tend to select accounting or finance as their majors. Whereas in other theoretical subjects like economics, marketing, human recourse management and computer sciences there are less quantitative skills required than finance or


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accounting. These skills exert an impact on their studies and performance (Worthington & Higgs, 2003). There are a number of fields for the upcoming graduates in Pakistan but more students are now a day s opting for finance. Choosing finance as major is now becoming a trend because the banking industry in Pakistan enjoyed the boom for the last decade. If students feel interest in the subject, then they select that subject as their majors. It is logically proved that students feel more ease in their major subjects rather than their core courses. There is natural interest, which leads to their satisfaction. Students work hard in these subjects owing to occupational prospects and future education. Students chosen majors are positively associated with their career paths. There is a difference between the practical field and the material they study during the finance curricula. It is critical that analysis based on major be conducted to understand and study the perceptions and characteristics of choosing finance majors. This paper examines perception, attitude, over all interest towards professionalism and precision about profession and behavior of a local student and satisfaction of a student choosing finance as major for his/her future. It further focuses on the students choice for adopting banking and finance as their major Profession. The rest of this paper is organized as follows: Section II discusses review of literature and III section is about the methodology. Empirical results and discussions of the study are explained in section IV. Finally, conclusions, limitations and future research are drawn in part V. 2. Literature Review Finance provides various tools for the practitioners to achieve their targets and goals. It helps them to provide professional service to firms, employers for making quick decisions and for corporate finance departments. This thing must exert a strong influence on the disciplinary literature for handling the issues related for choosing the finance majors (Albrecht & Sack, 2001). The theme, which has been discussed earlier, also provides the compatibility with the personalities of the students and is also related to their characteristics (Saemann & Crooker, 1999). Generally, finance major does not relate to the particular interest for creating the individual s interest related to their professional careers (Myers & McCaulley, 1985). While selecting the majors; judging, sensing and thinking personalities had a bias with the selection of


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the finance (Booth & Winzar, 1993). It has been found that finance students are considered innovators when compared to the business majors students (Wolk & Ctaes, 1994). Introverted students are more suited for becoming the accounting professionals because it has been proved that because of their introvert nature they prefer to work individually rather working in the groups (Gul & Fong, 1993). Earlier studies showed that students who are enrolled in the business schools are considered being less creative when compared to the general ones of the universities. This is also found that accounting students have the same level of creativity as business students have while performing their tasks (Saemann & Crooker, 1999). It is found in the other theme that when more attention is provided to the students at any level, their interest level is also increased in that particular field (Lewis & Norris, 1997). This fact also plays a positive role while the selection of the major courses (Dynan & Rouse, 1997). It has been identified that the importance of the perception and interest of the profession are the factors for determining the selection of the majors for the students (Jensen & Owen, 2000). It has been concluded that interest and the aptitude of the students towards the subjects can appear as the driving forces behind their choice of selecting finance as a major (Forting & Amernic, 1994). There intrinsic values such as loyalty, independence in action and techniques for solving the problems also play their roles for the selection of the majors and motivate students for their concentration. In many cases, students perceive accounting as objective, non-controversial and numerical subject having a relation with the statistics and mathematics (Mladenovic, 2000). It has been confirmed that the students do not perceive accounting positively and students are less attracted towards this field. This factor increased the lack of interest and creativity among the students (Jense & Owen, 2000). Some evidence from studies of students, indicate that majority of the students decide on their career choices as early as the last two years of high school (Karnes et al., 1997; Jackman and Hollingworth, 2005). A suitable framework for examining the factors that influence students academic major decisions has been studied and is used by both Cohen & Hanno (1993) and Allen (2004) to examine the factors that affect students decisions to major or not to major in accounting. Mathematics effect by performing empirical studies, based on their own tests, relating to the presence of basic mathematics skills in undergraduates taking business (Standing,


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2006;

Standing et al., 2006), education (Peard, 2004), economics (Ballard & Johnson, 2004)

and mathematics itself (Belward et al ., 2007) and how these affect performance at university s students choosing their major as finance. With the exception of Peard (2004), these studies have found that newly enrolled undergraduates mathematical skills were inadequate for the subjects they elected to opt for finance related subjects. Alcock et al (2008) stated as mathematics effect is significantly stronger than the effect of other business-related secondary subjects, such as economics or marketing on banking and finance profession.

Financial accounting and

introductory finance are improved with mathematical background. It has been concluded that generally- students believe that the finance course is challenging and difficult. This impression has also been developed that finance- related courses are heavily theoretical and quantitative (Krishnan et al., 1997). It is found that when students withdraw from introductory finance courses, it happens because the personality traits does not match with skills require for handling finance courses (Henebry & Diamond, 1998). Students usually get failed to provide such kind of skills which were required at that level, and then student did not like to select accounting as their majors (Lawrence & Taylor, 2000). It has been discussed on the salary structure of academic economist and the finance professionals. It tells that finance professional is not well paid at the entry level of their profession, which can lead to the decreasing trend in the interest for the selection of their majors (Albrecht & Sack, 2001). 3. Method 3.1 Sample The sample size consisted of 300 students from universities located in Islamabad and Rawalpindi. The potential respondents were the students of business discipline. Both male and female with the age range of 18-33 years are the participants. 3.2 Instrument and measures The questionnaire comprised of two sections; the first section contained general information about respondents including gender, age, and major. The second section is about the perception of students of finance major and their interest in the profession, their perception about the profession and the structure of banking and finance industry. The survey included instrument to measure students perceptions of the banking and finance profession and divided it into four COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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parts, Interest (four items), Individualistic (four items), Precision (ten items) and Structure of banking and finance profession (ten items). The scale to measure the perception on banking and finance profession was based on existing research (Worthington & Higgs, 2003). Worthington & Higgs (2003) used two instruments, first instrument Gough s 30-item Creative Personality Scale (Gough, 1979) was to measure students inherent creativity and second instrument to measure perceptions of the banking and finance profession and they used 36 variables in their study. In this study section one (first three questions) were measured on nominal scale. In order to measure the perception of the finance profession in section two of the questionnaire, Likert scale ranking (5-Point likert scale) was used where 5 is most degree of agreement and 1 is least degree of agreement. The statistical package social sciences program (SPSS) is used for the analyses. 3.3 Procedure The survey was self-administered and distributed among 350 respondents. Out of 350 questionnaires 300 were retrieved .Before distributing the questionnaires; all the questions were explained to the respondents so that they could fill the questionnaire easily. The sample was limited to university students of Islamabad and Rawalpindi, Pakistan. It was difficult to distribute the questionnaire to a large number of respondents because of the time limitation, lack of resources and budget. Keeping in mind the limitations, convenience sampling method was used. 4. Results and Discussion This section discusses the results of the study and compares those results with earlier work. 4.1 Results Insert Table 1 Here Table 1 reveals that out of 300 respondents 208 or 69.3% are male and 92 or 30.7% are female respectively. The table further reveals the age group data. Out of 300 respondents 142 or 47.3% are in between 16-21 years, 66 or 22% with age bracket 22-27 years and 92 or 30.7% are in between 28-33 years. Insert Table 2 Here Table 2 demonstrates that out of 300 respondents there are 28 or 9.3% accounting major whereas 14.7% having economics and 45% are interested in finance majors, 51 or 17% are pursuing that COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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they are interested in marketing major and 42 or 14% respondents are from other business majors. It is evident from the analysis that most students like finance as major. Insert Table 3 Here Table 3 shows the overall degree of agreement of students with respect to variables under study. The table further shows that with respect to Interest in profession that finance major is absorbing , 200 students agree with the statement, where 94 respondents do not (Mean=3.53) (SD=1.46). The data depicts that majority of students are towards the positive side. The second statement that finance major is boring , out of 300 subjects, 217 respondents disagreed with the statement, whereas 29 are neutral and 54 agree (Mean=2.08) (SD=1.15). The degree of agreement regarding the third statement that finance major is dull , results show that 28 participants are agreed, 47 are neutral, where as 225students disagreed with the statement, (Mean=1.89) (SD=0.99). It is evident from the above analyses that students like finance as major. The last statement of interest in finance that finance major is fascinating , majority of the respondents i.e. 226 reply positively, where as 36 remain neutral and only 38 disagreed. (Mean=3.86) (SD=1.14). Insert Table 4 Here The table shows that with respect to Finance major benefits society , 246 students agree with the statement, where as 18 are neutral and 36 disagree with the statement (Mean=3.96) (SD=1.09). It is evident from the analysis that majority of the participants are towards the positive side. The second statement that finance major involves interaction with others , out of total 300 students, 246 respondents agree with the statement; whereas 28 are neutral and 26 respondents disagreed with the statement. (Mean=3.97) (SD= 0.93). The analysis further reveals that finance major is people oriented , data depicts that 261 subjects are agreed, 9 are neutral, where as 30 participants disagreed. (Mean=4.07) (SD= 1.01). It is evident from the above analysis that finance major is people oriented. When asked that finance major is profit driven , majority of participants i.e. 241 reply positively, where as 20 remain neutral and only 39 disagreed with the statement, (Mean=3.91) (SD=1.08). Insery Table 5 Here The table 5 demonstrates that with respect to finance major is accurate , 192 students agree with the statement, where 18 are neutral and 90 disagree, (Mean=3.41) (SD=1.42). It is evident COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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from the analysis that majority of the student are towards that finance major is accurate. In the response to finance major is ambiguity , out of 300 respondents 148 agree with the statement, where 41 are neutral and 111 students disagree with the statement. (Mean=3.11) (SD=1.39). The degree of agreement regarding the third statement that finance is analytical , data depicts that 230 students agree, 20 are neutral and whereas 50 respondents disagreed with the statement, (Mean=3.73) (SD=1.21). The table further analyze with respect to

finance major is

challenging , 270 participants agree with the statement, whereas 25 students disagree with the statement, (Mean=4.11) (SD=0.94). It is evident from the above analysis that majority of the students find finance major is challenging course. The statement finance gives the details , results show that 252 students agree, 16 are neutral, where 32 respondents disagree with the statement. (Mean=4.00) (SD=1.05). The survey of 300 respondents with respect to finance major is mathematical , reveals that 237 participants agree with the statement, 11 are neutral and 52 do not (Mean=3.76) (SD=1.18). When asked that finance major is planned , the analysis reveals that 259 respondents agree with the statement, 15 are neutral, whereas 26 students disagree with the statement. (Mean=4.02) (SD=0.96). So more than two third of respondents agree that finance major is planned. The analysis further shows that finance major is practical , majority of respondents i.e. 261reply positively, whereas 15 are neutral and only 24 disagree with the statement, (Mean=4.11) (SD=1.01). The degree of agreement regarding the statement finance major is precise results show that out of 300 respondents 246 agree with the statement, 25 are neutral, where 29 students do not (Mean=3.99) (SD=0.99). The last statement of precision about finance major that finance major is stable , majority of students i.e. 234 reply positively, whereas 19 remain neutral and only 47 respondents disagree with the statement. (Mean=3.75) (SD=1.14). Insert Table 6 Here The table 6 reveals that with respect to finance major is abstract , 260 students agree with the statement, where as 19 are neutral and 21 disagree (Mean=4.06) (SD=0.89). It is evident from the analysis that most of the student are towards that finance major is abstract. In the response to finance major is adoptable , out of 300 respondents 234 agree with the statement, where 35 are neutral and 31 students disagree with the statement. (Mean=3.91) (SD=0.96). The degree of agreement regarding the third statement that finance is changing , data depicts that 233 students


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agree, 35 are neutral and where 32 do not (Mea=3.91) (SD=1.03). The table further analyze that with respect to finance major has creative solution , 230 participants agree with the statement, whereas 47 students disagree with the statement, (Mean=3.79) (SD=1.28). It is evident from the above analysis that majority of the students find finance major has creative solution. The statement finance is effectiveness , results show that 236 students agree, 16 are neutral, where as 35 respondents disagree with the statement. (Mean=3.92) (SD=1.00). The survey of 300 respondents with respect to finance major has efficiency reveals that 220 participants agree with the statement, 32 are neutral and 48 disagree with the statement. (Mean=3.78) (SD=1.21). When asked that finance major is flexible , the analysis reveals that 240 respondents agree with the statement, 21 are neutral, whereas 39 do not (Mean=3.92) (SD=1.15). So more than two third of respondents are agreed that finance major is flexible. The analysis further shows that finance major gives new ideas , majority of respondents i.e. 249 reply positively, where 21 are neutral and only 30 disagreed with the statement, (Mean=3.96) (SD=1.01). The degree of agreement regarding the statement finance major is routine , result shows that out of 300 subjects 256 agree with the statement, 15 are neutral; whereas 29 students disagree. (Mean=4.15) (SD=1.02). The last statement of the structure of banking and finance profession that finance major has uniform standard , majority of respondents i.e. 217 reply positively, whereas 25 remain neutral and only 58 respondents disagree with the statement. (Mean=3.71) (SD=1.23). 4.2 Discussion The results of present study is in line (Worthington & Higgs, 2003) there is a need of better quantitative and analytical skills when students tend to select accounting or finance as their majors. These skills exert an impact on their studies and performance. In earlier study it has been found that finance students are considered innovators when compared to the business majors students (Wolk & Ctaes, 1994) and in our study approximately half of the students are having finance major. ). Balachandran et al (2006) reported in their study finance subjects would be more effective and present study support that finance major is effective, 236 students have the most degree of agreement. The results of this study with respect to the interest and perception about the profession support (Jensen & Owen, 2000) that the importance of the perception and interest of the profession are the factors for determining the selection of the majors for the students and in another study has been concluded that interest and the aptitude of the students


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towards the subjects can appear as the driving forces behind their choice of selecting finance as a major (Forting & Amernic, 1994). In our study more than two third of the students have most degree of agreement that mathematical skills are very important for choosing banking and finance profession for their future, Alcock et al (2008) stated as mathematics effect is significantly stronger than the effect of other business-related secondary subjects, such as economics or marketing on banking and finance profession.

Financial accounting and

introductory finance are improved with mathematical background. It has been concluded that generally- students believe that the finance course is challenging and difficult. This impression has also been developed that finance- related courses are heavily theoretical and quantitative (Krishnan et al., 1997). 5. Conclusions and Future Research 5.1 Conclusion This research is conducted on finance major students. The purpose of the research is to determine factors that influence the student in choosing finance as their major subject. It is found through the questionnaires that how students take the banking and finance profession. The first section concludes that 30.7% of the total respondents are female and 69.3% are male participants. Majority of the respondents are having finance majors. First of all it is found that majority of the students find it an absorbing course. Though it is bit boring but this course turn out to be fascinating. The students are taking the finance profession mostly for the personal benefits instead of playing a positive and participating role in the society. Though, it is a vast field, it covers many dimensions that fulfill the professional needs. The students find this course as more mathematical and less theoretical. Majority of the respondents think that finance major is not boring/dull. Finance major benefits the society; majority of the respondents gave their response through questionnaire that finance major is a profit-driven field, accurate and analytical. Further, the respondents in the questionnaire revealed that finance major is totally practical. It is found that banking and finance profession is effective, flexible and also creates new ideas. The research and statistical results conclude about the structure of banking and finance profession is a quite effective way to get a successful status in life. Most of the students are satisfied with their major in finance with the growth of banking sector in Pakistan. Students take


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this course mainly to join the banking industry. Respondents are more interested in finance majors rather than other business and economic majors. Majority of finance major students are satisfied with most of the aspects which are absorbing, beneficial for society, give opportunity to interact with people, challenging profession, ever changing and effective profession and having uniform standards throughout. The respondents have great confidence and satisfaction in finance major. Participants have more and more interest in finance and accounting. 5.2 Limitations and Future Research The limitation of this study is that there is no information about many other factors like as impact upon students choice of major. For example, specific questions about expected career financial compensation, promotional opportunities, career path and compatibility with family commitments. Another limitation is that this research has not yet covered explanation on whether the students really understand the finance profession. Further research is needed to determine whether specific content and skills provide students with an advantage, or whether the problemsolving and analytic skills developed in finance subjects. A comparable analysis could be made between closely substitutable business-related disciplines, such as finance, accounting and economics. It is to align that the finance major contents with the banking and finance profession. Future research could explore the effect of culture on students intention and choice of academic majors. The results of this study validate that the finance profession is an interesting profession that has intellectual challenges and involves interaction with people. In order to attract future students to the profession, practitioners and educators alike need to educate students about the many opportunities and life long challenges that exist for students who decide to pursue a major in finance. The course contents should be aligned with real practices. It is suggested to educate students for using different kind of financial software s. Introduce basic financing terms to students at their early stages of their education,. Creation of an organization that ensures the contents of finance related subjects are same in all universities.


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References Albrecht, W.S. and Sack, R. J. (2001). The perilous future of accounting education, The CPA Journal, 71, 6 23. Alcock, J. Cockcroft, S. and Finn, F. (2008). Quantifying the advantage of secondary mathematics study for accounting and finance undergraduates, Accounting and Finance, 48, 697 718. Allen, C., L. (2004) Business students perception of the image of accounting, Managerial Auditing Journal, 19(2), 235 258. Balachandran, B. Skully, M., T. Tan, K. and Watson, J., R. (2006). Australian Evidence on Student Expectations and Perceptions of Introductory Business Finance, Accounting and Finance, 46(5), 697-713. Ballard, L., and Johnson, M. (2004). Basic math skills and performance in an introductory economics class, Journal of Economic Education, 35, 3 21. Belward, S., Mullamphy, D. W.; Read, and Sneddon, G. (2007), Preparation of students for tertiary studies requiring Mathematics, Australian and New Zealand Industrial and Applied Mathematics Journal, 47, 840 857. Booth, P. and Winzar, H. (1993). Personality biases of accounting students: some implications for learning style preferences, Accounting and Finance, 33, 109 120. Byrne, M. and Flood, B. (2005). A study of accounting students' motives, expectations and preparedness for higher education , Journal of Further and Higher Education, 29, 111 124. Cohen, J. and Hanno, D., M. (1993) An analysis of underlying constructs affecting the choice of accounting as a major, Issues in Accounting Education, 8(2), 219 238. Didia, D. and Hasnat, B. (1998). The determinants of performance in the university introductory finance course, Financial Practice and Education, 8, 102 107. Dynan, K.E. and Rouse C.E. (1997). The under-representation of women in economics: a study of undergraduate students, Journal of Economic Education, 28, 350 68.


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Fortin, A. and Amernic, J. H. (1994). A descriptive profile of intermediate accounting students, Contemporary Accounting Research Special Education Research Issue, 21 73. Gul, F.A. and Fong, S.C.C. (1993). Predicting success for introductory accounting students: some further Hong Kong experience, Accounting Education: an international journal, 2, 33 42. Gough, H., G. (1979) A creative personality scale for the adjective check list, Journal of Personality and Social Psychology 37, 1398 1405. Hart, C., Harrington, A., Arnold, J and Clarke, J.L. (1999). Retailer and student perceptions of competence development, International Journal of Retail & Distribution Management, 27, 362-373. Henebry, K.L. and Diamond, J.M. (1998). The impact of student and professor gender on grade performance in the managerial finance course, Financial Practice and Education, 8, 94 101. Jackman, S. and Hollingworth, A. (2005) Factors influencing the career choice of accounting students: A New Zealand study, New Zealand Journal of Applied Business Research, 4(1), 69 83. Jensen, E.J. and Owen, A.L. (2000). Why are women such reluctant economists? Evidence from liberal arts colleges, American Economic Review, 90, 466 70. Karnes, A., et al. (1997) Is the accounting profession losing high potential recruits in high school by default?, Accounting Educators Journal, 9(2), 28 43. Krishnan, V. S., Bathala, C. T., Bhattacharya, T. K. and Ritchey, R. (1997). Teaching the introductory finance course: what can we learn from student perceptions and expectations? Financial Practice and Education, 9, 70 82. Lawrence, R. and Taylor, L.W. (2000), Student personality type verses grading procedures in intermediate accounting courses, Journal of Education for Business, Sep v 76, p. 28. Info Trace Article A 68760224. Mladenovic, R. (2000). An investigation into ways of challenging introductory accounting students negative perceptions of accounting, Accounting Education: an international journal, 9, 135 55.


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Myers I.B. and McCaulley, M. H. (1985). A Guide to the Development and Use of the MyersBriggs Type Indicator, Palo Alto: Consulting Psychologists Pres. Peard, R., (2004). School mathematical achievement as a predictor of success in a first year university mathematics foundation unit, Paper presented at the 27th Annual Conference of the Mathematics Education Research Group of Australasia, Townsville, 27 30 June 2004. Saemann, G.P. and Crooker, K.J. (1999). Students perceptions of the profession and its effect on decisions to major in accounting, Journal of Accounting Education, 17, 1 22. Standing, L., (2006). Why Johnny still can t add: Predictors of university students performance on an elementary arithmetic test, Social Behavior and Personality, 34, 151 159. Standing, L., Sproule, R, and Leung, A. (2006). Can business and economics students perform elementary arithmetic? Psychological Reports, 98, 549 555. Wolk, C.M. and Cates, T.A. (1994). Problem-solving styles of accounting students: are expectations of innovation reasonable, Journal of Accounting Education, 12, 268 281. Worthington, A. C. and Higgs, H. (2003). Factors explaining the choice of finance major: the role of students' characteristics, personality and perceptions of the profession, Accounting Education, 12(1), 261

281.


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Annexure Table 1: Frequency Distribution with respect to GENDER and AGE (N=300) Gender

Frequency

Percentage

Male

208

69.3%

Female

92

30.7%

Total

300

Age

100%

Frequency

Percentage

18-21

142

47.3%

22-27

66

22%

28-33

92

30.7%

Total

300

100%

Table 2: Frequency Distribution and descriptive statistics with respect to Major (N=300) Major

Frequency

Percentage

Accounting

28

9.3%

Economics

44

14.7%

Finance

135

45%

Marketing

51

17%

Other

42

14%

Total

300

100%

Table 3: Descriptive statistics of Interest in Finance major (N=300) Variables

Frequency Distribution with respect to Interest about profession 5

4

3

2

1

Mean

St. Dev

Absorbing

98

102

6

50

44

3.5333

1.4569

Boring

7

47

29

98

119

2.0833

1.1522

Dull

1

27

47

90

135

1.8967

0.9946

Fascinating

92

134

36

15

23

3.8567

1.1404

(5= strongly agree, 4= Agree, 3= Neutral, 2= Disagree, 1= strongly disagree)


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Table 4: Descriptive statistics of Finance major and its benefits (N=300) Variables

Frequency Distribution with respect to Individualistic about profession 5

4

3

2

1

Mean

St. Dev

Benefits Society

97

149

18

17

19

3.9600

1.0874

Interaction with others

80

166

28

17

9

3.9700

0.9266

People-Oriented

103

158

9

16

14

4.0667

1.0028

Profit driven

89

152

20

22

17

3.9133

1.0784


Table 5: Descriptive statistics of Precision about Finance major (N=300) Variables

Frequency Distribution with respect to Precision about profession 5

4

3

2

1

Mean

St. Dev

Accurate

72

120

18

38

52

3.4067

1.4218

Ambiguity

53

95

41

55

56

3.1133

Analytical

73

157

20

16

34

3.7300

1.2146

Challenging

100

170

5

13

12

4.1100

0.9350

Details

98

154

16

14

18

4.0000

1.0537

Mathematical

72

165

11

23

29

3.7600

1.1834

Planned

88

171

15

12

14

4.0233

0.9622

Practical

113

148

15

7

17

4.1100

1.0106

Precise

94

152

25

17

12

3.9967

0.9933

Stable

65

169

19

20

27

3.7500

1.1395

1.3953



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Table 6: Descriptive statistics of structure of Banking and Finance Profession (N=300) Variables

Frequency Distribution with respect to Banking and Finance profession is structured 5

4

3

2

1

Mean

St. Dev

Abstract

88

172

19

12

9

4.0600

0.8864

Adaptable

79

155

35

23

8

3.9133

0.9603

Changing

86

147

35

18

14

3.9100

1.0290

Creative Solutions

95

135

23

8

39

3.7967

1.2783

Effectiveness

85

151

29

25

10

3.9200

1.0051

Efficiency

90

130

32

21

27

3.7833

1.2061

Flexible

100

140

21

15

24

3.9233

1.1497

New Ideas

86

163

21

14

16

3.9633

1.0126

Routine

129

127

15

18

11

4.1500

1.0154

Uniform Standards

81

136

25

30

28

3.7067

1.2898



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Designing a mathematical model of management techniques (TQM, BPR) in Zahedan , weave fishing net industries

Dr.Baqer Kord Faculty of Management and Accounting, University of Sistan and Baluchestan, Iran Dr. Habibollah Salarzehi Faculty of Management and Accounting, University of Sistan and Baluchestan, Iran Hamed Aramesh Doctorial student of Business Administration (DBA), Multimedia University, Malaysia

Somayeh Mousavi Abstract Currently reengineering and Total Quality Management (TQM) techniques known improvement in organizations. in this research initially a Mathematical model was designed to find out the main factors in relative reengineering and TQM. Based on finding factors of Model, a 40 element questionary formed and the questionnaire distributed among the staff of fishing net factory in a random order, finding by using of SPSS, the data analyzed and concluding Remark shows the installation and acceptance of TQM by using reengineering is possible to the factory. Keywords: Reengineering, Process, Total Quality Management 1. Introduction Nowadays re-engineering and total quality management are two common approaches for change management, which has been started to be used by many organizations. A great number of people are interested in these approaches diagnosis and insist that the best changing program is a combination of qualified activities and re-engineering. Although there would be some differences between total quality management, re-engineering and organization improvement processes through the use of each of these approaches, but their tools and techniques can be integrated into a unified view so organizations would benefit from both (Hammer, Michael; Champy, James 2001). Even some researchers have gone so far that the combination of re-


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engineering and total quality management is a guarantee to improve re-engineering project, and they believe that the culture of overall management quality can facilitate the implementation and geometric re-execution (Kazoo W,1995). It is essential to note that some of these tools and techniques of total quality management are applicable in the re-engineering although they are not mentioned directly in the literature. For example, the total quality management and re-engineering both emphasize on the customer, testing, on time production, teamwork, staff training and quality improvement. The main difference is that total quality management focuses more on technology, while reengineering emphasizes on system modelling and information technology. This distinction is more understandable while re-engineering trusts on re-designing and uses total quality management program for improving (Gover, Malhotra, 1997 ). In this paper, it is proven via mathematical method that these two have a direct relationship with each other and can be used simultaneously. It discusses that total quality management programs and re-engineering are complimentary process and they are not like a double side spectrum which change is on one side and quality is on the other side, then try to investigate the extracted element from this mathematical model in the weaving fishing net factory. 1 .1 Total quality management Total quality management is a very important philosophy, especially for small and medium industries because this philosophy can provide continuous improvement in a systematic, integrated and stable process. Some of the criteria s of TQM are as follows: excellent leadership management, continuous improvement, adaptation to customer needs, decrease in repetition, long term scheduling , increase of employees participation and teamwork, redesigning the processes, competitive modelling, solving the problem in a team, constant measurement of results, close relationships with suppliers (Lillrank, Paul; Holopainen, Sami, 1998). Quality management system is based on some principles that managers should understand and take them as base of their works. These principles include: i. Underlying beliefs ii. Underlying principles (Carpinetti Luiz , Thiago Buosi and Mateus , Gerolamo, 2003)


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1.1.1 Underlying beliefs i.

Any person in the organization develops the process of continuous improvement and takes responsibility for the qualification of his work

ii.

Any person attempts to satisfy the customers (foreign or domestic ).

iii.

Teamwork should be emphasised on different departments, because it can protect the employees.

iv.

Participation of people in the business is certainly practical and should be encouraged.

v.

Formal educational systems are very important and, they considered as an investigation on improvement of knowledge and abilities of employees and help them to understand their potential.

vi.

Suppliers and customers are primary functions in the process of improvement.

vii.

Honesty, sincerity and care are the main parts of daily life. Simplicity will be applied to all procedures, work instructions and systems (Manganelli, and Klein, 1997)

1.1.2 Principle underlying Providing total quality level in an organization requires constant improvement in all organization affairs (Carpinetti Luiz , Thiago Buosi and Mateus , Gerolamo, 2003) in the process of continuous improvement quality management emphasis on the increasing of consumers satisfaction through a systematic attitude. Such improved performance, will help directly to reach various targets such as: quality, accurate scheduling, customer needs, appropriate services and costs decreasing (Davenport & Stoddard ,1994). Continuous improvement is based on three main principles: Process optimization; focusing on costumers needs; empowering employees (Carpinetti Luiz , Thiago Buosi and Mateus , Gerolamo, 2003)

2. Re-Engineering The word "process re-engineering" was introduced for first time in 1990 by Michael Hammer and James Chmby. They defined re-engineering as follows: re-designing the organization and restart, evolution the business bases, an opportunity for rebuilding the structure of the organization and reorganization the process and methods of work (Hill Frances and Collins Lee, 1998). Stovard and Denopart described the re-engineering process like this: analysing and designing


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work

processes

within

and

between

organizations

(Edward

W.

Gore,1999).

The main philosophy of re-engineering process is to focus on the main processes of management. In re-engineering process an opposition has been raised to the industrial models. Re-engineering believes that the processes should be made simple to achieve today s needs such as superior quality, effective service, flexibility and low cost . This love of simplicity has remarkable influence on process designing and organizations formation. The aim of the reengineering process is to achieve amazing and eye-catching rise and also insists on comprehensive elimination of waste sources (Carpinetti Luiz , Thiago Buosi and Mateus , Gerolamo, 2003) 3. Organizational Concepts in Re-Engineering Process and customer-oriented Each process has its own customer, which can be inside or outside of the organization. Through focusing on the customers, satisfying their requirements in an appropriate time, the need to optimization of the tasks will be decreased and the overall performance of the organization will be improved. 3.1 Empowering for reducing extra organizational structure following improvements will be useful: i. Pressing the hierarchical structure ii. Delegating the decision making to staff( empovering) iii. Reduce the up and down flow of information in the organization With delegating decision-making to the employees the three elements above will be improved significantly. Of course, this decision-making should be part of employees work, empowering employees lead to reduce delays in approvals and improve customer service.

3.2 Internal communication Re-engineering via creating teamwork and attention to chain activities and with regard to the outcome of the process through a monolith procedure in the organization reduces the deficiency and improves the organization function. Of course, for the transition from the


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traditional structure and vertical structure to a process-oriented structure, there is a requirement to a serious attention of senior management and a change management which has fundamental changes and re-thinking within itself can help the management to achieve this attitude. 4-Similarities and differences between TQM and re-engineering process Re-engineering has major differences with other tools such as TQM, accurate organizing, reconstructing and automation. Since in re-engineering remarkable changes are considered, working environment in the program is different from other procedures. Accurate organizing and restructuring are in line with organizational adjustments, and set the relationships between departments .None of these two have processing view. TQM and re-engineering both have processing view and are customer-oriented. In a philosophical term total quality management and re-engineering process both involve a lot of common goals and beliefs, such as encouraging employee empowerment, teamwork, quality, changes and organizational improvement . TQM includes participation of all individuals from bottom to top, and usually due to the improvement of tasks, assessment would be continuous and changes take place in a slow manner, but reengineering is along with participating of a special group from up to down and insists on an allied work process in the whole organization. IT is a secondary tool for TQM but for reengineering is a key element. A classification and comparison between BPR and continuous improvement theory is presented below. Re-engineering process is a basic and rapid re-designing function of

value- added

strategic processes, systems, policies and organizational structures in order to optimise the efficiency and work-flow in the organization. 5. Mathematical model of TQM We use the underlying principles of TQM for modelling the relationship of management techniques of TQM and BPR: 5.1 Article I: Optimization of process: Each process includes a collection of activities that communicate with each other and leads to creation of a product or service. Processes which affect each other are known as system, so any activity which is done in the organization, it is a process which should be controlled and convert to a criterion .these processes can be controlled using collecting statistics and table measuring


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Whatever is done should have value-added (Carpinetti Luiz , Thiago Buosi and Mateus , Gerolamo, 2003) . Optimization process=(data collecting * choosing activities having value added) / works without value- added

P.O

I . A H .V / D.V

5.2 Article II: focus on the customer needs TQM impact on the identifying customers needs and expectations , the release of this information in the organization, managing communications with customers, measurement and improvement of customers satisfaction which is a key for long-term success (Lewis, Pun, Lalla ,2005). So if the result of division of performance on customer expectations always be a positive and integer amount, it means that customers are satisfied. Expectations / performance = focusing on costumers needs F.C=F/E

5.3 Article III: Empowerment of Human Resources Empowerment takes place in an atmosphere that includes the following features: Staff should be aware of company objectives, mission and values. Staff should have capability, knowledge, and enough experience for performing common tasks. Employees should have the authority and responsibility to improve the processes which are related to them (Carpinetti Luiz , Thiago Buosi and Mateus , Gerolamo, 2003) 5.4 Mathematical model of empowering human resources: According to the description above we conclude that employees empowerment means consistency with the goals and authority and capability and commitment , and according to the mathematical rules "and" is a multiplication mark, so we have: employees empowerment = consistency with the goals ×authority ×capability× commitment


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E.P

A.O J

A C

Mathematical model of continuous improvement Continues improvement = staff capabilities +focus on costumers needs + process optimization

C.I

E.P F .C P.O

5.5 Mathematical model for the integration of TQM and BPR As described in the process optimization, every activity in the organization is a process that must be converted to a performance. Therefore, the process optimization is proportional to performance improvement. Now if we want to convert proportion to equation we use the constant factor .On the other hand re-engineering is a deep thought for improvement of performance criteria such as cost, quality, etc. [2]. Thus, performance improvement can be taken as equal as process re-engineering. Performance improvement performance criteria P.O P.O

process optimization =

(constant factor) × improvement of

optimization process

B.I B.I P.O

B.I BRP TQM

C .I

BPR

( E.P F .C E .P F .C

BPR ) BPR

Process re-engineering is customer-oriented process and every process has its own customers, which they can be inside or outside of the organization. So via focusing on the customer, many tasks optimization will be decreased and through fulfillment the customers needs in an appropriate time the overall performance of the organization will be improved. (Jafari Harandi, 1384: 52) Thus, focusing on the customers needs can be considered as a BPR factor. On the other hand one of the goals of re- engineering is to limit the Organization size for more flexibility and agility. Downsizing the organization usually causes , compulsory retirement and dismissal of some staffs. Empowering is another BPR organizational concept which reduces delays in approvals and improve customer service. (Jafari Harandi, 1384: 52). thus it can be said that empowering COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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employees is also a BPR factor, because

through downsizing, remain staffs would

have

adequate ability, and empowering them leads to the conditions fulfilment of commitment and objectives consistency. So we have. TQM

C.I

( E.P F .C E .P

F .C

BPR TQM

BPR) BPR

BPR

BPR

BPR(

) TQM

TQM

BPR

BPR

5.6. Model Parameters F.C focus on the customer needs F function E expectations P.O process optimization I.A information accumulation HV value-added proceeding DV proceeding without value- added E.P Employees empowerment A.O adjustment with objectives J authority A Ability C Commitment C.I continuous improvement BI Benchmarks improvements such as quality, cost, etc. Therefore, it has been proven through mathematical view that TQM and BPR have a direct relationship with each other and we cannot consider them as two separate factors and each of them can play a great role in the successful implementation of the other. 5.7 Investigating Elements of Mathematical Model in Weaving Fishing Net Factory: For investigation of these elements in weaving fishing net factory a questionnaire containing 40 question were used and following that, the information collected by SPSS software were analyzed and strengths and weaknesses of the organization was designated. E.P. employees empowerment:

C= Commitment: Sistan and Balochestan weaving fishing net factory has responsible and commitment employees.they are

knowledgeable of challenges facing the company and its

objectives,so they try to improve their own and also the factory s performance.


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A = Ability: The factory used the principle of downsizing and via dismissal and redemption, and only

has

kept

employees

who

have

necessary

skills

and

abilities.

J: in this factory all the activities performs under the direct supervision of the supervisor. And without his presence works don t take place correctly and staffs do not have the necessary authority and for everything they need his approval. But

General Director gave the total

authority to the supervisor so it can be said that empowering has been taken place form the highest level of organization. But empowering from the supervisor to staffs has not happened appropriately. O.A=objectives adjustment: factory s objective are clear and all employees try to reach them, and this index is in a good condition. F.C= focusing on the customers needs: in this factory the needs and ideas of customers have been under so much consideration. Through various surveys, they try to be informed and satisfy their needs. They do their best to reach this goal and if it is necessary they would transform their business processes. But they couldn t achieve their customers loyalty because in many cases they failed to respond quickly to their customers needs. According to investigations they found that they couldn t achieve to this goal due to lack of loyalty from their suppliers, And the reason for this was environmental preventive factors such as inconsistency on exchange rate of the country, economic sanctions, banks contraction policies, and so on. Market remoteness, lack of proper transportation system and such cases were also effective in lack of customers loyalty. So in the whole view it can be said that this factory has not been successful in this indicator. PO= process optimization I.A= gathering information: in this factory duo to using experienced employees all are aware of the necessary information but there isn t any informational system to record and use this specific information. Thus if they want to hire new employees due to the lack of recording and documenting information system they will encounter to problems. Applying machines and equipment in this factory requires special expertise; even if there would be a mistake in a millimetre scale the produced net would not be usable because each instruction is usable for especial climate and certain fish. So it seems that establishing a new unit called the Research and Developmet is essential in this factory.


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H.V= value- added proceeding : in this factory they don t do works which are without value added, except the products which remain in the factory's warehouse and cause storage cost. D.V= proceeding without value: a solution should be find for items that due to lack of customer s loyalty are in stock and this problem should be resolved . B.I= improving the performance criteria: Quality: senior management paricipates in resolving the issues through regular quality meetings and periodic reports from supervisor

and the supervisor has been empowered by senior

management and has enough power. In the factory quality is more important than quantity because senior management and staff are aware that they will lose their customers if they don t produce qualified products. Thus they try to provide more qualified products then imported goods. Cost : In this case the factory is facing a difficulty, due to the reduction of in import tariffs, imported products are available with lower price therefore they cannot sell their goods with real price and even they have to sell their products lower than cost price. also they have to give credit to their customers which didn t have good background in paying their debts. Teamwork: regarding to teamwork factory has a desirable situation. Employees cooperation and communication with each other and even with higher levels is remarkable. The factory structure is more flat then hierarchical. However it should be mentioned that the improvement of performance criteria is not possible without IT. While in this factory, they don t use this tools and the staffs are not interested to learn. 6. Results In this paper by introducing weaving fishing net factory as a case study, and through designing a mathematical model for TQM and BPR , it was proved that regarding the differences between them, they can be combined together and used. Elements extracted from the mathematical model were analyzed using a questionnaire in the weaving fishing net factory. Some elements such as commitment, capability and staff participation were good, while some systems such as customer and supplier relationship and.... did not have a good situation. But it can be said that in this factory has a good background for establishing the total quality management with engineering approach. And if it will be provided problems will be solved.


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References Carpinetti Luiz C.R., Thiago Buosi and Mateus C. Gerolamo, "Quality management and improvement(A framework and a business-process reference model)", Business ProcessManagementJournalVol. 9 No. 4, pp. 543-554, 2003. Chang, Guangshu," Total Quality Management in Supply Chain", International Business Research, Vol. 2, No. 2, 2009. Davenport, T. and Stoddard, D, Reengineering: business change of mystic proportions, Management Information Systems Quarterly, 1994. Edward W. Gore Jr, Organizational culture, "TQM, and business process reengineering (An empirical comparison)", Team Performance Management, An International Journal,Vol. 5 No. 5, pp. 164-170, 1999. Hammer, Michael; Champy, James; Reengineering the corporation, a manifesto for business revolution, 2 Edition, New York, Harper Business, 2001. Hill Frances M. and Collins Lee K., The positioning of BPR andTQM in long-termorganisational changestrategies, The TQM Magazine, Volume 10 · Number 6 , pp. 438 446, 1998. Kazoo W., The emergence of the flow production in japan, Oxford Univevsity Press, 1995. Kulkarni, Sushma, Reserch and Concepts: Graph theory and matrix approach for performance evaluation of TQM in Indian industries, The TQM magazine, Vol. 17, No. 6, pp: 509526, 2005. Manganelli, R. and Klein, M., The reengineering handbook: a step by step guide to business transformation, American Management Association, New York, 1997. Shaukat A. Brah; Serene S.L. Tee; B. Madhu Rao, Relationship between TQM and performance of Singapore companies, International Journal of Quality & Reliability Mnagement, Vol. 19 No. 4, pp. 356-379, 2002. Lewis, W. G, K. F. Pun; T. R. M. Lalla, Case Study: An AHP-based study of TQM benefits in ISO 9001 certified SMEs in Trinidad and Tobago, The TQM magazine, Vol. 17, No. 6, pp: 558-572, 2005 Lillrank, Paul; Holopainen, Sami,(1998), Reengineering for business option value, Journal of Organizational Change Management, Vol. 11 No. 3, pp. 246-259 Gover, . v, Malhotra, M.,1997, Business process reengineering: a tutorial on the concept, evolution, method, technology and application. Journal Of Operation Management, 15, 193-213.


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Annexure Table 1: Differentiation between continuous improvement and re-engineering

Continuous improvement

Process re-engineering

Doing the right things

Do the thing in a right way

By a professional group

By all people in the organization

Improvement in work process

Improvement in tasks

Implementing in a period of time

Implementing in a continues way

Basic and component to component From up to bottom

Continuous and ongoing

IT as a key tool

IT as a accessories tool

New balance

Balance preservation

From Bottom to up

Table 2: Similarities of total quality management and re-engineering Customer- oriented Encourage employees empowerment Team work

Common grounds of TQM and customer-oriented re-engineering process

quality increasing Cost reduction changes and organizational improvement


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CORPORATE SOCIAL RESPONSIBILITY: FUTURE RESEARCH DIRECTIONS Dr. Sarwar M. Azhar Professor of School of Business and Economics University of Management and Technology C-II, Johar Town, Lahore-54770 Rubeena Tashfeen Assistant Professor of School of Business and Economics University of Management and Technology C-II, Johar Town, Lahore-54770 Abstract This paper presents Corporate Social Responsibility (CSR) within the matrix of other regulatory concepts voluntary or legalistic, such as Corporate Governance, Business Ethics and others that focus on appropriate managerial behavior. It further suggests that this nascent construct, to become a viable operational concept worth pursuing with diligence in a developing country, rather than become a cover up for the negative consequences of capitalist pursuit of profit, must be contextualized. The paper also presents the normative, instrumental and empirical approaches to the subject and suggests that only when we are clear on the approaches should we draw up the research agenda. The paper further suggests that the focal point of any enlightened assessment in the area of CSR in a developing country should be the stakeholders. Research is necessary, among other areas to understand where the stakeholders in the form of public opinion and not mass opinion stand on the issues, what the priorities are, what the role of the government should be and who should be finally responsible. Keywords: Corporate Social Responsibility, Business Ethics, Corporate Social Behavior, Corporate Governance, Stakeholder Theory, Public Opinion 1. Introduction The world according to business pundits has been in the grips of financial crisis of a proportion comparable to the great depression of the1930s. Comparisons aside, a single fact seems to have become the focus of the debate and that is a Corporation s Social Responsible behavior or Corporate Social Responsibility (CSR) where CSR is an overlapping constituent component of


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latest thinking in business ethics, corporate governance, and stakeholders theory (Hopkins 2006; Hess 2001). Emanating from this concern, this paper will primarily focus on trying to identify the conceptualization of CSR inherent in the literature and to determine the venues that can be pursued as possible future research agenda in the context of business environment of a developing economy such as Pakistan. Contextualizing the issue is necessary, as success of an enterprise depends on its interaction with its environment; as different environments hold different expectations (Hofstede, et al. 2002). The issue of CSR itself is contentious in many ways and needs to be approached with due diligence, especially if the intention is to make it more than mere rhetoric.

Consider the

following: There was an article published by Milton Friedman (1970), a strong voice for the freedom of capitalist enterprise and capitalism on September 13, 1970 in The New York Times Magazine where he criticized the doctrine of social responsibility as a

fundamentally

subversive doctrine in a free society . His argument, which is reproduced here briefly, was targeted at corporate executives. According to him, the goal of shareholders is to maximize their wealth and the corporate executive is tasked by them (shareholders/ owners) to do just that. The executive being their employee has a direct responsibility to his shareholders to maximize their wealth and therefore, any diversion of resources of the firm in pursuit of other goals such as being socially responsible would actually mean that the executive will have to act in some way that is not in the interest of his employers (Friedman, 1970, pp 2). An editorial and an 18 page article Good Company ( Crook, 2005) published in the Economist on January 22, 2005 supported Friedman and had the following to say: The proper guardians of the public interest are the government

..The proper business of

business is business. No apology required (Economist, 2005, p 16) On the other hand, unlike Friedman (1970), Berle & Means (1932) strongly supported a stakeholder view, advocating that since shareholders had adopted a passive ownership role, the real contributors to firm were the stakeholders and thus stakeholder value was of greater importance. The Vienot Report (1995) went a step further to state that firms should encompass the wider objective of social interest , other than only focusing on shareholders, employees and other firm-specific stakeholders.


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The contentious nature of CSR as a paradigm does not end with Friedman (1970) or Berle & Means (1932), and results from differences of meaning associated with Social Responsible Behavior and the interpretation of the responsibility of the manager in terms of maximizing shareholders wealth. This debate has further extended to the issue: whether the firm even benefits from the application of Corporate Socially Responsible Behavior ? This controversial aspect of the relationship between CSR and performance grows from the managerial viewpoint of the benefits or otherwise of investing in promoting CSR (Alexander and Buchholz, 1978; Ullman, 1985; Wokutch and Spencer, 1987). For example McWilliams and Siegel (2000) find a neutral relationship between financial performance of the firm and CSR activities. While Waddock and Graves (1997) as well as Waddock, Bodwell and Graves (2002) find a positive relationship, Wright and Ferris (1997) indicate a negative relationship. Further, evidence suggests that all the diverse activities of CSR focus almost entirely on the level of idea (Senser, 2007) and not much has been achieved by way of results in terms of even improving labor standards. This was reported by Sloan Management School Research team using Nike data from internal audits of 800 Nike suppliers spread in 51 countries (Senser, 2007). The report is just one among many. It is perhaps, because of the controversial nature of the CSR theory that some researchers find only a few managers allocating additional resources beyond the legal limits established by law, in response to heightened stakeholders interest in CSR (Donaldson and Preston, 1995; Mitchell et al. 1997). On the other hand, some authors find many managers avoid attempts to satisfy demand for CSR in terms of exceeding what is deemed legal as they believe this is inconsistent with the principle of profit maximization and contrary to the interest of shareholders (McWilliams and Siegel 2001; Friedman 1970). In an attempt to develop a clearer understanding of the concept of CSR, this paper initially studies the possible approaches to the area of research in CSR and suggests that only with a clear understanding of the research approaches and an effective research agenda, future research direction in CSR could be developed. It also proposes that the concept of CSR needs to be contextualized to allow for development of an operational working definition of CSR that could be practicably implemented. In this context such an operational definition of CSR could enable the implementation of the CSR concept in developing countries, using Pakistan as a case in point.


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The questions that need to be addressed in the context of the business environment of a developing country, therefore, are: i. What are the perspectives that are relevant to the concept of CSR? ii. Does CSR benefit firm performance or the business community? iii. What are the research directions that may be undertaken in context of a developing country such as Pakistan. In order to achieve this end, the paper shall first explicate the various forms that academicians and practitioners use while approaching the subject of CSR in the way that propositions are put forward and then formulated into policies (normative) without being tested for their efficacy; or alternatively, developed into testable hypothesis (instrumental) for further empirical research (descriptive), which are then formulated into actionable policies. Next, the paper shall attempt to very briefly describe various aspects of the responsibility of managers and corporations in its various manifestations as part of the moral management of business. In this section, the paper shall limit itself to describing briefly Business Ethics, Corporate Governance and its associated Agency Problem, and finally the paper shall look at the issues that surround the concept of CSR and focus on a theory of Stakeholders as the key to future research area in the field, culminating in suggestion for research in developing countries.

2. Perspectives As mentioned earlier, the issue of CSR is intertwined with other conceptual structures namely corporate governance, business ethics and the stakeholders theory (see for example McWilliams and Siegel, 2001; Hess 2001; Friedman, 1970). Each takes a look from a specific angle at the overall question of what makes a socially responsible corporation or what makes an organization or manager responsible? We need to note at the very outset, the distinction between an inanimate corporation and an animate manager with knowledge, functions and motives. This is germane to our discussion on future research directions.

2.1 The Normative Philosophers and theorists who are concerned with business and society normally, seek normative dimensions of behavior in terms of what should be rather than what is , thus centering on moral judgment. In other words, normative is more concerned with interpreting


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the functions of and guidelines for corporate and human action including moral or philosophical (Donaldson and Preston 1995; Treviño and Weaver, 1994). Plato s treatise, The Republic is one such philosophical undertaking. Normative models play a very significant role in developing social thought and theory but per se may not be acceptable to the management of business.

2.2 The Instrumental This approach by definition involves the if/then statement (Jones and Wick 1999). It suggests that if an organization wants to be effective, it will pay attention to only those relationships that can affect the achievement of corporate purpose as well as or better than competitors (Donaldson and Preston, 1995) and is considered pragmatic (Freeman, 1984, ).

2.3 Descriptive and Empirical Descriptive and empirical approach applies a framework of empirical evidence and uses theory to describe, sometimes explain, and predict, specific corporate characteristics and behaviors (Donaldson and Preston, 1995; Treviño and Weaver, 1994) that are subject to intervention or influence (Swanson 1999; Treviño and Weaver, 1994).

In summary, therefore, philosophical underpinnings in delineating various aspects of corporate behavior whether it is CSR, corporate governance, agency issues or stakeholders vs shareholders value, results in a necessary dilemma of integration and blending of the factual and the moral prescription (Swanson 1999).

3. Theoretical Frameworks in the Area of Morals Management

A brief review of the various dimensions and theoretical frameworks of what could be termed as the Moral Management in Businesses is necessary before moving on to suggest the future direction for research. 3.1 Business Ethics Business Ethics, which is synonymously used with Corporate Ethics is concerned with ethical principles and moral or ethical problems faced by the corporations. Ethics is referred to mean the right way as defined in Philosophy. Business ethics, therefore, will mean the right way to


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do business. Morality on the other hand refers to the normative ethics aimed primarily at the managers and suggests the way a manger must act. Beauchamp and Childress (1999) define ethical theory as a framework within which agents can reflect on the acceptance of their actions and can evaluate moral judgments and moral character (p 44). This claims a very broad path for ethics, including social morality or values (including questions of fairness and justice), and involves the development of a checklist of criteria by which managers routinely should evaluate potential decisions along the moral dimension (Etizioni 1975, p 356). It is further proposed that practically all managerial decisions have moral implications and it follows that there is a need to first develop an enhanced sensitivity to the moral dimension within organizations.

The issue that seems to beset this area is well articulated by Brady and Dunn (1995) where they suggest that the feeling one gets from literature is that a theoretical free-for-all where eclecticism seems to dominate the need for focus and the securing of a common foundation (p. 385). The reason for this feeling largely grows out of the various perspectives that have been used by several authors to study this area including but not limited to, egoism, virtue theory, theories of justice, theories of right, universalism, ethical relativism, an ethics of caring and so on (p 385).

This is understandable as human beings are complex entities and no single theory will suffice in developing a clear understanding of the moral dimensions faced in a business setting. This is especially true, as a world wide survey of business ethics by Enderle (1997) reported significant country differences. Other studies have supported these findings. Therefore, before exploring the CSR possibilities, it is important to develop an appropriate focus in terms of the specific areas of interest that are relevant to the business environment and operationalise the same. This raises major concerns, which need to be addressed:

i. How is business ethics perceived by business community in the relevant environment

is it

acceptable and perceived as beneficial ii. Which areas of business ethics are relevant to the business environment iii. How can business ethics be made practical


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3.2 Corporate Governance An area of interest, which grew around 1990 is more related to the form of Financialised Capitalism that we witness in the west especially in the US and UK (Erturk et al. 2004). It really deals with the ways in which the suppliers of finance assure themselves of a fair return on their investment (Shleifer and Vishny 1997) and is directly related to the Agency Problem in the area of corporate management. In other words it intends to address the concern of appropriation of funds by the managers to the detriment of the shareholders and financial creditors, where Jensen & Meckling (1976) considered the two sides of the agency relationship as between the shareholder and the manager and between firm and financial creditors. As suggested by many researchers in the past (see e.g. Baumol 1959, Marris, 1964; Jensen, 1986 etc) and the widespread cry that has been raised in the present times following the financial crisis witnessed in USA, the greater costs are incurred when managers have an interest in expanding the firm beyond what is rational and desirable (Shleifer and Vishny, 1997). This has led to the theme that such managers require regulations and need monitoring, thereby decreasing the costs associated with agency conflict (Fama 1980) and to ensure that they do not expropriate funds through risky projects. Corporate governance, therefore, in the opinion of this paper is directly related to the shareholders interests and how they control the behavior of the managers whom they have entrusted with their funds.

3.3 Corporate Social Responsibility As pointed out earlier, a key debate within the academia and society relates to CSR. The debate not only centers around what is meant by CSR (Wan-Jan, 2006) but also on whether CSR is being proposed as a soothing ointment to the perverse social and environmental effects caused by capitalism with no real mitigating effect on them (Utting, 2007). Some, such as Williamson (1984,1985), minimized the role of CSR when he proposed that stakeholders were adequately protected by their contracts, but that the shareholders were at higher risk and, therefore, the firm needed to protect their interests adequately. It is also suggested by Weaver, Trevino and Cochran (1999), who opine that most of the time organizations do not integrate CSR into their culture but keep CSR in position, in a decoupled form, which can be disconnected from everyday workings whenever pressures build. This can occur where demands for institutional legitimacy


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appear to conflict with other organization goals such as profit maximization or shareholders wealth (Senser, 2007; Meyers and Rowan, 1977).

Given the criticism and support for CSR (see e.g. Hopkins, 2006;Wan-Jan, 2006; Fitch, 1975;) and whether CSR activities result in improving organizational performance (Waddock and Graves, 1997) the controversial nature of the topic becomes evident. Waddock and Graves 1997, have listed a number of empirical research articles which demonstrates controversial evidence to the positive, negative or neutral affects of CSR on firms performance. This in turn reflects the current state of theory development. To explain the first one we draw reference to Kitchin (2002) who states: One moment CSR seems to mean the engagement of the NGOs, the next it is all about charitable donations, and 5 minutes later it seems to mean the ethical treatment of employees. One minute the NGOs are calling the shot, the next the accountants are in on the act selling reputation assurance .

In line with the above ambiguity, especially of responsibility for the CSR, Wan-Jan (2006) also refers to different authors proposing different explanations to what CSR is. For example, he suggests that CSR is an excellent tool to market the firm (Lantos 2001) and brand (Lewis 2003) and should be led by marketers. According to him again, some authors have argued that firms should be socially responsible because that is the right way to behave (Novak 1996; Trevino and Nelson, 1999), where ethics broadly relates to what is deemed right or wrong, while morality is concerned with normative ethics. Finally, it should be noted that CSR presently consists of a number of free standing and competing ideas that have not been sufficiently integrated into a broad accepted and robust theory (Wood, 1991). Similarly, according to Hopkins (2006) the concept is still developing and has not yet reached the maturity stage.

The focus of the paper relates to CSR and its future research direction and the above sections have attempted to set CSR within a matrix of other theoretical concepts that have been attended to by various researchers and policy makers. We focus more on the issues that confront the CSR and its applicability.


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4. Issues At the outset it has been stated that future research direction in CSR could only be achieved with an effective research agenda of the possible paths to be pursued and the questions to be addressed. Further, it is emphasized that the concept of CSR needs to be contextualized, i.e. understood within the context of the country of application, if an operational and workable definition of CSR is to be developed. Such an operational definition of CSR would then enable the implementation of this concept generally, and specifically in developing countries, such as Pakistan. This section of the paper thus attempts to address these two important issues and develop propositions toward effective research in the area of CSR in a developing country such as Pakistan.

The first issue that needs to be addressed with regard to the business environment of a developing country is: a) to assess the meaning of CSR and its connotations for the business community and public; b) to establish their acceptability of the CSR concept; and c) to evaluate their understanding of the benefits to be derived from CSR. This would provide the basis for a workable definition, allowing for successful implementation of the CSR concept. For example, if socially responsible behavior is seen as a gimmick for increasing profits and market share, then the spirit of CSR is defeated. However, if purpose of CSR is understood in its true spirit i.e. it is undertaken for the betterment of society/community, which would also result in the welfare of the Corporation, then CSR could not fail and a workable definition would be developed.

Proposition 1. Without understanding the various connotations of CSR benefits to be derived

acceptability and

as perceived by the community, we cannot develop a definition of CSR

that will work.

The thesis of this paper is that without an agreed working definition any attempt to focus activities will flounder, as is evident from practical examples of CSR in action found in literature. Most authors have been attempting to provide a definition that can be universally accepted even today in the developed world (see e.g. Hopkins 2006; Wan-Jan 2006; Economist, 2005; Hopkins 2003; Carroll, 1991; Friedman, 1970, Baumol, 1959 etc), which suggests that work undertaken in this field has not reached maturity. Further implications of this lack of an


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acceptable definition can be that whatever activities are undertaken by businesses could be considered sufficient or insufficient depending on the definition rendered and applied. This obviously, creates further skepticism amongst managers who are the true agents of any undertaking in the field of CSR. Given the preceding discussion, it is safe to suggest that CSR is an emerging topic in the area of strategic management of business enterprise. In countries such as France, Germany and Japan the inclination of businesses are more toward growth, longevity and secure employment relationship with profitability being more an instrument than the ultimate goal (Tirole, 2001, pp. 4). Therefore, before accepting a definition the ethos of the country should be considered as the most important ingredient. We use ethos here to mean customs, habits and character.

Proposition 2. Without a workable definition of CSR that is acceptable to organizations and the public of interest, any attempt to implement it will be met with skepticism and cynicism resulting in businesses paying only lip service (Crook, 2005) to a good idea.

The third issue that will confront all who are interested in the effective application of the CSR concept is to determine the nature of being CSR oriented. In other words what would constitute Corporate Social Responsible behavior? The decision as to what should be done if problems are identified and which problem should be tackled first and which problems should be ignored, is difficult to say the least (Fitch 1975). Should we take an organization to be acting socially responsible if the organization is meeting the minimum legal requirements? For example, are the cigarette-manufacturing companies, who comply by labeling their packets with HEALTH WARNING in compliance with the law, or are they practicing CSR? Or should voluntary behavior in pursuit of general good and acting pro bono publico be considered as CSR? Further, as Swanson (1999) asks, are we talking of what the corporation should not do (moral restraint) or what the corporation should do (moral responsiveness)?

Proposition 3. Without clearly establishing the constituent behavior of CSR it will very difficult if not impossible to encourage firms to act voluntarily in a social responsible manner


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The fourth issue that needs to be addressed is, what are the activities of CSR within the context of a developing country such as Pakistan and what priorities need to be assigned to these activities?

A number of studies referred to above and one of the most relevant being that of

Hofstede (2002) suggests that culture variations induce variations in the goals that managers think are appropriate and worthy of pursuit. This is also true of what will be considered as the correct focus of CSR. It is reasonable to say that to reach this consensus if not generally then regionally in the context of Pakistan; public opinion becomes the most relevant. However, public opinion should be differentiated from mass opinion. In the present case we propose that public opinion is related to the opinion of publics, which are affected and have interest in the CSR activities. That is to say, they arise in issue oriented situations (Grunig, 1979) and organizations may have different publics for different issues. This would mean that we need to first identify the relevant stakeholders and then research what they believe to be the priorities. Unfortunately this presumes an aware and articulate public. Perhaps in the case of a developing country such an attempt requires securing an initial ground in the struggle to develop CSR behavior by creating relevant awareness, which leads us to the following proposition and the next issue

Proposition 4. Without establishing the stakeholders and the relevant publics it is very difficult to focus on specific and relevant activities. It is further proposed that identifying the stakeholders and relevant publics will also enable formalism, which will explicate ethical customs and establish tradition of social control relevant to the country.

The fifth issue, which needs to be addressed, is the allocation of responsibilities among the various stakeholders including the public, the government and the corporation. Generally, the government is tasked with creating awareness amongst the publics, while within the corporation defining the responsibilities is also significant. An important question that requires to be answered is, whether the corporations have a role in identifying the social problems; and if so, what is that role? It will be more practical to understand and appreciate that organizations need to search for ways to increase profits by applying their expertise to the solution of social problems. This behavior should not be criticized as it needs to be understood that the firms do have an economic responsibility along with the legal and ethical responsibility. There is no doubt that voluntary contribution to the social good by the corporation, in the form of absorbing all the


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social cost, would be considered the ideal level of Corporate Social Behavior worthy of achievement. However, expecting firms to price themselves out of the markets based on this ideal would not be considered rational because one social responsible behavior of a firm is also to create employment opportunity within the community.

Proposition 5a. It is proposed that once the desired activities are noted by the firms, they need to establish the desired state that the firms want to reach by specifying a level of future performance, which should be established by benchmarking other people or organizations as well as creating awareness within the firm to modify behavior in line with the goal.

Proposition 5b. It is also proposed that without due support from the government in the form of establishing some incentives and schemes and the top management s conviction of voluntary approach, any progress on CSR will be difficult. On the other hand resorting to law to enforce CSR behavior will not be in the spirit of CSR but will rather become compliance of legal requirement, which in turn will always be minimally met and normally glossed over.

There is a need to address the issue of a link between the CSR activities and financial performance of the firm. There is intuitive appeal in the contention that CSR focused activities can be vital to strategy in terms of addressing environmental concerns (Prahalad and Hamel 1994); in developing customer loyalty (Wan-Jan, 2006); brand equity (Lewis, 2003), and as a marketing tool for the company (Lantos, 2001), which in turn can help develop competitive advantage with its positive impact on firms performance (Creyer and Ross, 1997). Despite this, the linkage between CSR activities, which can be measured through Corporate Social Performance (Graves and Waddock, 1994) and financial performance in particular, is still not clear. The issue of uncertainty, most probably, results from CSR being a multidimensional construct with behaviors that range across a wide variety of inputs, internal behavior processes and outputs (Waddock and Graves, 1997).

Proposition 6. It is proposed that where clear implications of performance impacts of CSR activities cannot be established, it will be difficult to induce voluntariness in undertaking CSR activities by the management of corporations.


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Finally, it is important to be able to measure and assess how effective the CSR activities have been through the stakeholder response. If the CSR of firms is not being effective because of poor implementation or misunderstanding of the concept, or weak definition of CSR or any other factors, then this needs to be reviewed and rectified and it may also lead to reformulation of the CSR definition.

Proposition 7. It is proposed that without a clear identification of the measures to assess the success of CSR, the CSR concept may become stagnated without any space for improvement and change.

5. Discussion In this paper we have attempted to raise some questions which are of interest, and hopefully will be useful to further the cause of CSR in a developing economy such as Pakistan. The normative and the empirical approaches have to integrate and converge in the form of research agenda where the focal point has to be the stakeholders. Stakeholders theory has been presented as an alternative to shareholders theory where the welfare of the society through the interests of the stakeholders suggests a counterpoint to the profit maximization motive of the firm. It is rational to further suggest that if CSR has to become a voluntary movement then awareness amongst the stakeholders, represented by public opinion, has to be developed, which should be the responsibility of the government. One must also be cognizant of the fact that allocation of scarce resource is a critical decision making area, which will be facilitated if some form of link between the CSR activities and firms performance is established. Therefore, the future research efforts should lie in discovering the prioritized social problems that need to be tackled and in establishing a link between CSR activities in these areas with organizational performance, which will only result from an aware and conscious public.


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Motivators for the Intention to Use Mobile TV in Pakistan Abdul Rehman Lecturer, Department of Managements Sciences, National University of Modern Languages Islamabad

Muhammad Zia-ur-Rehman Lecturer, Department of Managements Sciences, National University of Modern Languages

Muhammad Usman Saeed Independent Researcher

Irfan Raza Lecturer, Department of Managements Sciences, National University of Modern Languages Islamabad

Abstract This research tests the effects of gender on attitude and intention to use mobile TV. Gender is frequently identified as a key moderating variable in consumers behavior and in the usage of media. Studying the case of mobile TV in the early stage of Pakistani digital multimedia broadcasting (DMB) development is important because Pakistan is the developing market where mobile TV is commercially available. The findings can provide useful implications not only for theory in the adoption of new media but also for marketing practitioners in countries that are rolling out mobile TV. Six motivation factors access, pass time and fashion/status, Price

entertainment, social interaction, permanent

were drawn from uses and gratifications theory to

test their relationship with attitude and intention to use mobile TV. For the purposes of the study, a total of 300 undergraduate students in Islamabad participated in the survey. Overall, uses and gratifications theory is found to be a valid approach to explain people s attitude and intention to use a mobile TV. Regarding gender effects, the results indicate that motivation for fashion/status is most important for males, while social interaction has the highest impact on female attitude and intention. Price which is taken as a new independent variable tested to be valid, that there is a strong significant of price on the consumption. Theoretical and practical implications are offered; they suggest that the advertising concept needs to be targeted by consumers gender and tariff should be consumer friendly to capture the whole mass of population. Keywords:

Multimedia Broadcasting, Attitude, Intention, Consumer Friendly, Motivation,

Technology


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1. Background Due to fast growing technology also brought real changes in the wireless communication. Since wireless phone technology was 1st introduced by Joel Engel and Richard Fren an American in 1946 known as 1st generation of mobile phone, actually it was the beginning of wireless telephone, which was too much expensive and needs complete improvement. Later on the technology gets improved and Modern mobile telephony took a substantial leap forward in 1973. During 1980s cellular phones were introduced based on advanced technology and enhanced transmission rate and also brought roaming features. In the 1990s, there was the successful introduction of second generation (2G) mobile phone systems. The 2G introduced a new deviation to communication, like short messaging service (SMS) initially it was possible on only GSM networks and finally on all digital networks. Soon SMS became the preferred way of electronic communication for the global youth. Today in most of the countries the general public prefers sending text messages instead of placing voice calls. It was the time when the tariff provided by service operators were high which effects the overall consumption of the users, as low tariff plans are negatively related to the consumption of mobile services, low tariff leads to high consumption whereas high tariff leads to low consumption. But gradually tariffs were reduced and mobile phones were growing rapidly. Third generation commonly called as 3G started in 2002. The 1st 3G networks technology was launched in South Korea and in the USA. At the start of 3G, mobile phone features dramatically enhanced such as mobile Internet, MMS, Mobile TV, GPS and still increasing gradually. Mobile TV also take maximum advantage of creative ways to monetize the content (Argillander, 2007). Mobile TV is considered to be the killer application for mobile phones, combining the two best selling consumer electronic products in history i.e. TVs and cellular phones. With Mobile TV, users have the complete freedom to stay informed and entertained anywhere and at anytime. User friendly options with Portable number of virtual channels and programming choices increase the gratification of peoples. Mobile TV is the newest most cutting edge service to the mobile phone user having TV channels on their mobile phones. It combines the services of a cellular phone with TV content and represents a logical step both for subscribers and operators and content providers. South Korea has the distinct honor to become the 1st country in the world to have mobile TV in 2005. Now a days, South Korea and Japan are at the forefront of this


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developing sector. Currently there are 49 million subscribers of mobile TV in the entire world and more than 15 million subscribers of mobile TV in Asia and it is currently projected that there will be half a billion mobile TV subscribers in the world by 2013. The rising importance of mobile distribution among youth has made the topic a popular one among industry analysts and educations (Castells et al, 2004). In Pakistan Mobile TV service was first launched by Mobile operator Telenor Pakistan on 28th April 2007.The Pakistan Mobile TV called as DMB (Digital Multimedia Broadcast) has grown at a slow pace since it first started service in 2007. Since it is started in Pakistan no such reasonable growth is shown as compare to other countries. Mobile TV growth is also concerned with the cost of using it. Tariff plans of Mobile TV in Europe, USA and Korea, are way cheaper which positively effects the growth of Mobile TV; whereas in Pakistan still it costs very high therefore it is not popular and the growth is very low. Since this concept is new in Pakistan and there is a need to work a lot to make Mobile TV more useful and productive in the new means of world. Especially in Pakistan concerning growth, it is essential to identify the motivational factors for the intention to use Mobile TV. Gender is also playing a key factor in this study which affects the motivational factors influences towards using Mobile TV. This research paper examines the potential effects of gender on attitude and intention to use mobile TV. As there is a positive impact of gender differences in the total change in satisfaction over time as gender is regularly recognized as an important moderating variable in consumers' behavior (Bendall; Lyon & Powers, 2002). 1.2. Problem Identification The most convenient device to use mobile TV in Pakistan is the cellular phone. There are total 90 million cell phone users with the less of having compatible devices to receive 3G transmissions. In car GPS, broadband Internet including WI-MAX and other technologies are rapidly growing due to their significant information technology solutions. Cell phone is the most popular device for two way communication and efficient data sharing like SMS, MMS and DMB based Mobile TV in this regard. Mobile TV is only accessible on EDGE-enable sets, which are too expensive for a common Pakistani and even if they buy it; EDGE tariff is way higher. Mobilink mobile TV gives access to a variety of community channels 24 hours. Telenor claims to deliver more than 23 channels to its subscribers Ufone is also offering this service to its subscribers. In Pakistan, the commercial opportunities provided by a mobile TV are infinite.


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Mobile TV brought a substantial breakthrough in media technologies. The TV industry is changing. Mobile TV is a potentially major advanced concept that is about to modify the way television is consumed. Whereas in Pakistan despite of a lot of awareness, there is no such importance is given to Mobile TV because the tariff plans and environment to use this device is not friendly for a middle class Pakistani which is 90% of total population of Pakistan. Previous studies have shown that males have different preference towards using a particular product while females have their own preference towards using the similar product, so in Pakistan it is needed to find those preferences as well as other preferences that are not yet identified in Pakistan with respect to Mobile TV services. As behavior and attitude of genders play a vital role in relation towards the intention to use Mobile TV. Thus, the key variable in this particular research are gender and motivational factors that overall affect the intention to use and gratification of Mobile TV. In Pakistan the concept of learning motivational factors towards advance media products is non-existent and no such work is actually done to help companies deliver better utilization of their respective products and services for their mobile users. 1.3. Research Question What are the motivational factors for the intention to use Mobile TV that varies on the basis of gender in order to better understanding the Mobile TV s consumer behavior in Pakistan? 1.4. Significance of study Today s world is a world of information technology and there are most advanced technologies and systems have been discovered but it s not an end rather endless. Mobile technologies in terms of communication and infotainment are very popular now days because of their mobility advantage and user friendly panel. Mobile IT solutions have grown rapidly and the most famous Mobile TV is one of them. This study is very useful for the IT companies and especially for the Mobile TV operators so that they can better understand the behaviors and attitude of their subscribers towards using Mobile TV. Number of factors are discussed in this research paper which cover overall motivational factors specified to the topic and also explore new area of consumer behavior s research in the scenario of Pakistan. This study can be useful for organizations that are planning to introduce Mobile TV and are faced with lack of comprehensive understanding of the Mobile TV s user environment.


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1.5. Research Objectives Objectives of study can be jotted down as follows: To find out what are the motivational factors for the intention to use Mobile TV that helping Mobile TV operators and other IT companies to better understand the psyche of their subscribers towards using cellular devices. To find out the relationship between genders and the use of electronic gadgets. To find out what are the possible barriers towards using Mobile TV in Pakistan. 1.6. Problem Statement To identify the six motivational factors that affect towards using mobile TV, their significance and magnitude of relationship is needed to identify for this study. 1.7. Literature Review The growth of Mobile TV in the modern world is quite impressive especially in the western countries, Japan and Korea. But in Pakistan the growth of Mobile TV is not up to mark. Since Mobile TV has been started no such growth has been seen in this sector as well as no such breakthrough has been made by the companies to increase the subscribers of Mobile TV. Therefore, it is needed to know motivational differences among different users to improve acceptance rates and to improve serve customers' perceived needs and pursued gratifications for mobile TV. According to (Otway, 1975) beliefs, attitudes, intensions and behaviors are different and distinct variables, with different determinants, but with stable and systematic relationships among them. Until very recently attitude has been well used in a general sense to describe not solely to a person's affective, or evaluative, feelings about some object, but also to beliefs (cognitions) about the object as well as his behavioral intentions (conations) with regard to the object. While another Study says that attitude toward the ad is a strong mediator of advertising effectiveness (Mitchell and Olson, 1981; Batra and Ray, 1986; MacKenzie, Lutz and Belch, 1986; Bruner and Kumar, 2000; Stevenson, 2000). Therefore, uses and gratification towards using Mobile TV is that how users satisfy their psychological needs by using mobile infotainment and this satisfaction is required to motivating the mobile TV users. Many studies of information technology put a light on gender differences. According to (Lyon & Powers, 2002) there is an enormous impact of gender differences on the


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change in satisfaction over time as gender is regularly recognized as an influential variable in consumers' behavior. Whereas Gefen and Straub (1997) refers that boys spend their more time on home computers as compare to girls. Whereas boys are also devoting much time to play interactive computer games and girls choose to devote much time emailing friends. Another study (Naruse, 2003) identified that the difference in usage is further found in mobile Internet across gender. As Men when they reach at twenties use the mobile internet devices for their hobbies and entertainment, and women of twenties enjoy chatting and communicating with friends. This approach provides a structure to make a difference among users and to discover whether different demographic groups are motivated in a different way and whether those motivations shape behavioral intentions in the usage of mobile TV (Yee, 2006). According to (Leung & Wei 2000), Mobility and permanent access shapes as a new satisfaction factors in cell phone use. While (Kim 2007) identified that instant access; MMS, SMS and MP3 are more gratified by females in the use of a cell phone. It means that females have more active perception towards needs of interactive mobile communication than man. Similarly, Fashion and social status also identified as a motivating factor for the use of Mobile TV by (Leung & Wei 1998, 2000; Peters & Allouch 2005). While gender also closely related to fashion and status motivation. According to, (Lemish and Cohen, 2005) recognized that gender differentiate in adopting and attitude towards the cell phone. According to (Kuo et al 2003), price is negatively related to the consumption of a commodity, if the price gets deceasing, there is an increase in consumption of that particular product. Similarly (Lee et al 2004) identified that an increase in cigarette prices results in decrease its consumption. Therefore, there is a negative relationship between the price and consumption. According to (Chaloupka and Grossman, 1996) youth with

greater resources, consume more than those with fewer resources. Similarly

(Chaloupka and Grossman, 1996; Evans and Huang, 1998; Lewit et al., 1997) describe that youth are three times price sensitive than adults. Whereas a study by (Chaloupka and Pacula, 1998) concluded that young Blacks and young men are relatively more responsive to changes in price than are young Whites and young women. Therefore it is valid according to previous researchers that price has a great impact on the usage of product and price is negatively related to consumption of product and service.


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Hence it is found from the literature that attitude has a strong bond with the use of a product, and numbers of motivational factors including price, influence the attitudes and behaviors of a gender, which is needed to study in Pakistan. There is a comprehensive work done on the motivational factors for the intention to use Mobile TV in early research papers but no such work is done in the boundaries of Pakistan in this regard. As my preliminary findings have discovered these motivational factors valid and also identified another new motivational factor i.e. price which is not studied yet by the researchers and therefore needed to bridge this gap in my study.

2. Theoretical Framework Figure 2.1

Entertainment

Social Interaction

Permanent Access Attitude

Intention

Pass Time

Fashion/ Status

Price The model has been taken from a previous research study by Nysveen et al (2005) that proposed an integrated model that present individual effects of motivational and attitudinal influences on usage intentions. Entertainment, Social Interaction, permanent access, pastime, fashion/status and price are the dependent variables, whereas attitude is the independent variable, as a hypothetical statement defines that there is a relationship between all these independent


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variables with the independent variable, whether it would be negative in some cases or positive but these variables are interlink with each other. As Entertainment has been identified as a major gratification factor in the mobile media (Williams et al 1985; O Keefe & Sulanowski 1995; Leung & Wei 2000; Peters & Allouch 2005), as well as in television Rubin (1983) and the internet Papacharissi & Rubin (2000). Recent research has shown that Mobile TV users are mostly watching entertaining content such as movies, music and sports games, which account for more than 65% of the content (Lee et al. 2008). Therefore, it is expected that entertainment gratification has a primary effect on attitude. 2.2 Hypotheses Therefore Hypothesis 1 (H1) is Entertainment is positively related with attitude towards using mobile TV. Similarly Gender differences in information technology appear in many studies. According to Gefen and Straub (1997) refers that boys spend their more time on home computers as compare to girls. Whereas boys are also devoting much time to play interactive computer games and girls choose to devote much time emailing friends. Therefore Hypothesis 2 (H2) is that t here is a significant difference in the relationship between Entertainment and attitude towards using mobile TV between male and female users. According to Owens and Swensen (2000) found that women tend to report more loneliness than men, because women may build fewer non-family social contacts, due to their role as homemakers, than men. Another reason could be that women s discourse, in general, tends to be more socially orientated, in contrast to men, who tend to focus more on asserting independence and seeking respect and social standing (Preisler 1987; Gefen & Straub 1997). Therefore, this tendency is expected to continue in the usage of mobile TV. Therefore Hypothesis 3 (H3) There is a significant difference in the relationship between social interaction and attitude towards using mobile TV between male and female users. Mobility and immediate access appeared as new gratification factors in mobile phone use (Leung & Wei 2000). Peters and Allouch (2005) identified this feature as permanent access in the motivations for using PDA. Immediate access to television programs, anytime and anywhere, are considered as the primary benefits of using mobile TV. Therefore, permanent access is expected


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to play a significant role in developing attitude towards using the medium. Thus, the following Hypotheses is proposed. Hypothesis 4 (H4) is Permanent access is positively related with attitude towards using mobile TV.

Media use as a pastime frequently appears as a gratification factor in mobile phone and PDA (e.g. Leung & Wei 2000; Peters & Allouch 2005) as well as in traditional TV (Rubin 1981) and the internet (Papacharissi & Rubin 2000). More recently, Wei (2008) found that media use as a pastime is significantly linked to playing video games via 3G-enabled mobile phone. Regarding the effects of gender, Han et al. (2005) reported that there is no significant gender difference in pastime gratification among mobile internet users. The following hypotheses is proposed: Hypothesis 5 (H5) is, Pass time is positively related with attitude towards using mobile TV. In prior studies, fashion and status were found to be strong motivators to adopt mobile media (e.g. Leung & Wei 1998, 2000; Peters & Allouch 2005). Campbell (2007) compared perceptions of mobile phones in five locations: Hawaii, Japan, Sweden, Taiwan and the US mainland. He reported that there are cross-cultural similarities in perceptions of the mobile phone as fashion. The role of gender is also found in the fashion/status motivation. For example, Lemish and Cohen (2005) found that gender made a difference in the use and attitude towards the mobile phone. While men tend to be excited about owning the device like a toy, and perceive the ownership of a mobile phone as a status symbol, females were more concerned about the generic calling function of the device (Lemish & Cohen 2005). Another study (Nysveen et al. 2005) reported that extrinsic motives such as expressiveness are key drivers among men in mobile chat services. Therefore, the following hypothesis is proposed:

Hypothesis 6 (H6) is, Fashion/status is positively related with attitude towards using mobile TV. Behavioural intentions and attitude have been discussed on the basis of motivational influence research (Davis et al. 1989; Nysveen et al. 2005). Nysveen et al. (2005) proposed an integrated


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model that presents individual effects of motivational and attitudinal influences on usage intentions. They differentiated motivational influences from attitudinal influences and found effects of the motivational variables mediated through attitude towards use. Motivational influences (e.g. usefulness, ease of use, enjoyment and expressiveness) are strongly intertwined and reflect the direct instrumentality of intentions to use mobile services. In sum, beliefs about the consequences for acting and evaluations of consequences produce attitude and attitude influences intention. Thus, the following is hypothesized: Hypothesis 7 (H7) is, Attitude towards using mobile TV positively influences intention to use. 3. Methodology The sample is taken after considering the limitations of the research was 200. The questionnaires were distributed among the employees and students in different companies and institutions including NUML, SZABIST, Warid, Telenor, BAHRIA and IQRA University. Employees included were manager s clerks and workers. The students were selected from a number of different undergraduate and graduate courses. A total of 200 undergraduate students in Islamabad participated in the survey. The age group of respondents was mixed ranging from 20 to 35. Students were preferred because they were easily accessible and interpreted and understood the questions. Majority of the participants were internet users. Daily average internet usage among participants was 3-8 hours. The main Quantitative research method used during this research was general public including the majority of students survey through questionnaires. The instruments used to measure this study are taken from previous measures (Leung & Wei 2000; Peters & Allouch, 2005). Items and wording has been modified to fit the mobile TV framework in this research paper. Two scales were used to fully measure the variables towards using Mobile TV. 7-point Likert scales were adapted from (Peters & Allouch, 2005) and 7-point semantic differential scales from (Nysveen et al. 2005). The questionnaires comprised of 13 items. Initial 6 questions were used to gather demographic information of the respondents, while the rest 7 close-ended questions were used to obtain their opinions about different aspects of Mobile TV. Data was collected on 5 point Likert scale with 1 being anchored strongly dissatisfied and 5 being strongly satisfied. These items were: Permanent


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access of Mobile TV, Entertainment, Social Interaction, Pass time, Status, Fashion, attitude and Price. Likert scale was used to measure the responses of the students in the sample are accordingly as; Strongly Agree, Agree, Somewhat Agree, Neither Agree or Disagree, Somewhat Disagree, Disagree and Strongly Disagree

The empirical data collected through the respondent survey was analyzed in different graphical dimensions. SPSS was used to analyze the obtained data, descriptive statistical tools were used in order to formulate data in tabulate form as well in graphical representation and the tabulated information was interpreted accordingly and result and findings were presented.

The data collected from the open-ended questions was used only for observation and analysis purposes to gain a better insight on personal opinions varying from individual to individual, rather than for statistical figures. Since the employees and student questionnaires were planned to be filled under close observation of the thesis group members, there was little margin of error in the quantitative research. As far as qualitative research is concerned, there was a slight chance that the personal that are going to be interviewed in the Telecom Companies would be withholding information that is to save their face and avoid image of poor organizations as they are the governmental organizations. E-mail addresses of all members of the sample population were requested on the questionnaire in case any additional questions needed to be asked later, or confusions clarified. All questionnaires were filled out under personal observation to make sure that everything was interpreted correctly and answered purely on the basis of personal opinions.


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4. Results and Discussion Table 4.1 Frequency Distribution Of the Respondents With Respect to Gender. (n=300) Frequency Valid

Female

Percent

Valid Percent

Cumulative Percent

85

28.3

28.3

28.3

Male

215

71.7

71.7

100.0

Total

300

100.0

100.0

Figure 4.1

Gender bias is common in a country like Pakistan. To keep away from this practice we tried to accommodate both genders in the questionnaire. To assess our success first question was asked about the gender of the respondents. Among 300 respondents 215 were male and 85 were female. This comes to 71.7 % of male and 28.3 % of the female respondents.


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Table 4.2 Frequency Distribution of the Respondents With Respect to Age.(n=300) Frequency Valid

Total

Valid Percent

Cumulative Percent

17

30

10.0

10.0

10.0

18

12

4.0

4.0

14.0

19

28

9.3

9.4

23.4

20

16

5.3

5.4

28.8

21

16

5.3

5.4

34.1

22

30

10.0

10.0

44.1

23

11

3.7

3.7

47.8

24

38

12.7

12.7

60.5

25

17

5.7

5.7

66.2

26

26

8.7

8.7

74.9

27

3

1.0

1.0

75.9

28

12

4.0

4.0

79.9

29

5

1.7

1.7

81.6

30

23

7.7

7.7

89.3

31

2

.7

.7

90.0

34

5

1.7

1.7

91.6

35

9

3.0

3.0

94.6

38

1

.3

.3

95.0

40

13

4.3

4.3

99.3

45

1

.3

.3

99.7

46

1

.3

.3

100.0

299

99.7

100.0

1

.3

300

100.0

Total Missing

Percent

No Response


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Figure 4.2

Frequency Distribution of the Respondents with respect to Age 17 18 19 20 21 22 23

This graph shows the age of the respondents. The result shows that most of the respondents were belonging to age group of 17-27 years. While least respondents lie in the age group of 27-46. Table 4.3

Frequency Distribution of the Respondents With Respect to Marital Status.(n=300) Cumulative Frequency Valid

Percent

Valid Percent

Percent

Single

200

66.7

66.7

66.7

Married

100

33.3

33.3

100.0

Total

300

100.0

100.0


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Figure 4.3

This graph shows the marital status of the respondents. The result shows that 66.7 of the respondents were having single marital status, While 33.3 respondents were married. Table 4.4

Frequency Distribution of the Respondents with respect to Entertainment they perceive as a motivational factor towards using mobile TV. (n=300)

Cumulative Frequency Valid

Strongly Agree

Percent

Valid Percent

Percent

161

53.7

53.7

53.7

Agree

97

32.3

32.3

86.0

Somewhat Agree

20

6.7

6.7

92.7

Neither Agree Or Disagree

11

3.7

3.7

96.3

Somewhat Disagree

11

3.7

3.7

100.0


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Frequency Distribution of the Respondents with respect to Entertainment they perceive as a motivational factor towards using mobile TV. (n=300)

Cumulative Frequency Strongly Agree

Percent

Valid Percent

Percent

161

53.7

53.7

53.7

Agree

97

32.3

32.3

86.0

Somewhat Agree

20

6.7

6.7

92.7


11

3.7

3.7

96.3

Somewhat Disagree

11

3.7

3.7

100.0

300

100.0

100.0

Total

Figure 4.4 Frequency Distribution of the Respondents with respect to Entertainment they perceive as a motivational factor towards using mobile TV. (n=300) Strongly Agree Agree Somewhat Agree Neigther Agree or Disagree Somewhat Disagree

Mobile TV is a new concept in a developing country like Pakistan and not very well utilized due to many barriers. The entertainment has been valid as a strong motivational factor towards using Mobile TV in Pakistan. This graph shows the opinion of the respondents with respect to Entertainment as a motivational factor towards using Mobile TV. These results shows that most of the respondents Strongly agree that entertainment is a strong motivational factor while, 32.3 %


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agrees with the statement, whereas 3.7% couldn t openly express their views and 3.7% think that other factors were more affective in creating intention towards using Mobile

TV.

Table 4.5 Frequency Distribution of the Respondents with respect to Social Interaction they perceive as a motivational factor towards using mobile TV. (n=300)


Total

Valid Percent

Percent

Agree

11

3.7

3.9

3.9

Somewhat Agree

76

25.3

27.0

30.9


43

14.3

15.2

46.1

Somewhat Disagree

81

27.0

28.7

74.8

Disagree

49

16.3

17.4

92.2

Strongly Disagree

22

7.3

7.8

100.0

282

94.0

100.0

18

6.0

300

100.0

Total Missing

Percent

NR

Figure 4.5

This graph shows that most of the respondents somewhat disagree that social interaction is a motivational factor towards using mobile TV, while results also shows that most of the people also says with 25.3% that social interaction can be a motivational factor. In total the above data is not in a favor of social interaction as a motivational factor.


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Table 4.6 Frequency Distribution of the Respondents with respect to Permanent Access they perceive as a motivational factor towards using mobile TV. (n=300)


Percent

Valid Percent

Percent

Strongly Agree

123

41.0

41.0

41.0

Agree

129

43.0

43.0

84.0

Somewhat Agree

23

7.7

7.7

91.7


25

8.3

8.3

100.0

300

100.0

100.0

Total Figure 4.6

Frequency Distribution of the Respondents with respect to Permanent Access they perceive as a motivational factor towards using mobile TV. Strongly Agree Agree Somewhat Agree Neither Agree or Disagree

In the above figure shows that respondents while taking Permanent access as a motivational factor shows in favor of the statement, as most of the respondents having 41% strongly agree and 43% agree that permanent access is a pure feature of mobile TV and therefore it is a strong motivational factor towards using mobile TV.


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Table 4.7 Frequency Distribution of the Respondents with respect to Pastime they perceive as a motivational factor towards using mobile TV. (n=300)


Percent

Valid Percent

Percent

Strongly Agree

76

25.3

25.3

25.3

Agree

97

32.3

32.3

57.7

116

38.7

38.7

96.3

11

3.7

3.7

100.0

300

100.0

100.0

Somewhat Agree Disagree Total

Figure 4.7

Pastime is a motivational factor towards engaging any activity and therefore the above graph shows the results in favor of pastime as a strong motivational factor towards using mobile TV. Most of the respondents with 96.3 % say that they were strongly agree with the statement that permanent access counts a lot towards using mobile TV. Therefore the hypothesis of pastime has been tested valid that pastime is positively related towards using mobile TV.


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Table 4.8 Frequency Distribution of the Respondents with respect to Fashion/Status they perceive as a motivational factor towards using mobile TV. (n=300)


Percent

Valid Percent

Percent

Strongly Agree

40

13.3

13.3

13.3

Agree

63

21.0

21.0

34.3

Somewhat Agree

46

15.3

15.3

49.7

131

43.7

43.7

93.3

16

5.3

5.3

98.7

4

1.3

1.3

100.0

300

100.0

100.0

Neither Agree Or Disagree Disagree Strongly Disagree Total

Figure 4.8

Inline fashion sometimes plays an important role if it is use as a symbol of social status, here in the above graph, the results are not clear, as 43.7% respondents didn t openly showed their views regarding mobile TV as a fashion/status, while 13.3% strongly agree and 21% says that mobile TV can be used as a fashion/status in social gatherings.


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Table 4.9 Frequency Distribution of the Respondents with respect to Price they perceive as a motivational factor towards using mobile TV. (n=300)


Strongly Agree

Percent

Valid Percent

Percent

168

56.0

56.0

56.0

Agree

67

22.3

22.3

78.3

Somewhat Agree

46

15.3

15.3

93.7


11

3.7

3.7

97.3

8

2.7

2.7

100.0

300

100.0

100.0

Somewhat Disagree Total

Figure 4.9

Price of any product has a negative relationship with the consumption, as per the above graph results shows that the hypothesis tested has been stated valid, as 93% respondent says that if the tariff of mobile TV is decreased then they would prefer more to use mobile TV frequently, while least of them were not completely agree with the statement and they couldn t freely communicate that why they were rejecting the statement.


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Table 4.10 Frequency Distribution of the Respondents with respect to Attitude has a relationship with the motivational factors. (n=300)


Valid Percent

Percent

Strongly Agree

43

14.3

14.8

14.8

Agree

98

32.7

33.8

48.6

Somewhat Agree

77

25.7

26.6

75.2


12

4.0

4.1

79.3

Somewhat Disagree

60

20.0

20.7

100.0

290

96.7

100.0

10

3.3

300

100.0

Total Missing

Percent

NR

Total

Figure 4.10

The above results of attitude towards using mobile TV by different motivational factor sows that most of the respondents agree with this statement, whereas some of them says that not only attitude but other dependent variables also plays an important role towards using any product. The results were 75.2% respondents agree with the statement while, few respondents disagree with the statement.


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Table 4.11: Regression Analysis with respect to dependent and independent variables Constant

Entertainment

Social Interaction

Permanent

Pastime

Fashion/Sta

Access

Price

R2

F Value

tus

4.405

-.028

.135

-.247

.017

-.248

-.514

.400

.090

.068

.124

.074

.058

.081

-.021

.135

-.163

.013

-.254

-.392

11.013

-.310

1.989

-1.993

.227

-4.273

-6.379

.000

.757

.048

.047

.821

.000

.000

.229

13.510

.000

The regression analysis with respect to dependent and independent variables show that the entertainment is -.28 which means that it is negatively related and has a weak relationship with variables. Social interaction has a B value of .135 which states that it is positive and strong relationship with other variables. Another independent variable is permanent access which has a negative value of -.247, but significance is .047 which means that it is strong and sensitive relationship among other variables. Pass time has a positively week relationship with attitude, the above table also shows the other valuable information related to research results. Here in the table fashion/status has a negative relationship of -.248, but it is strongly significant to other which means that it has a very strong relationship with other variables. Price also has a negative relationship but strongly significant and has a very strong relationship. The overall significant value is .000 which means that the variables are highly sensitive to each other. Therefore, the evidence for moderating effects of gender is not found in the test of overall structural models. However, significant differences were found in the individual relations among motivating factors and attitude between male and female models. 5. Conclusion Conclusively, the results show that motivations to use mobile TV positively predict attitude and intention to use mobile TV. Even though the multi group analysis failed to show moderating effects of gender among overall relationships, some gender-based individual differences were


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found between motivation variables and attitude. Males

attitude was influenced by

entertainment, permanent access and fashion/status motivation, and females

by social

interaction and permanent access. The most distinct difference was in social interaction and fashion/status motivation. The result is consistent with previous findings in the consumer behavior literature on the use of websites. According to Weiser (2000) females are more likely to use the web for interpersonal communication purposes, while males are more likely to use it for entertainment and functional reasons. Whereas, the result conflicts with Nysveen et al. s (2005) study in the intention to use mobile chat service. In their study, enjoyment, which is comparable to entertainment, was a stronger determinant of intention to use mobile services for female users than for males. Probably because the service itself is orientated towards social interaction, chat service can be perceived as more fun for females. The reason for the more significant relationship between entertainment and attitude in males can be found in previous research indicating that males have a more positive perception, greater interest and less anxiety towards computers, and females have more negative perceptions and higher levels of anxiety relating to technology (Chen 1985, 1986; Hess & Miural 1985; Coffin & MacIntyre 1999; Simon 2001). A male s generally higher confidence with communication technology may have caused him to feel more comfortable towards new technology and gave more scope to expect enjoyment of mobile TV. Another reason may be the nature of the medium itself. In this study, the entertaining nature of television may have caused the need for entertainment more distinctive to males while, in the case of mobile chat, enjoyment value was more highly perceived by females due to the socially orientated nature of the mobile chat service (Nysveen et al. 2005). The result also shows that men are more status orientated, while women focus more on social aspects. In the study reported here, the strength of relationship between fashion/status and intention was not significantly different between men and women. It is likely that the difference is already reflected in its relationship with attitude, which is significant in male subjects only. The direct link to the intention indicates that university students intention to use mobile TV is more directly driven by their need to express themselves as a fashion leader or trendsetter rather than for fun or communicating with one another. As expected, the mediums innate feature as a communication device for


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Immediate and permanent access universally had a positive effect on intention to use by way of attitude in male and female subjects. However, the pass time motive had no significant effect either on attitude or intention. It may be that people think of the need to kill time when they hear about mobile TV, but it is not important enough to drive purchase of the device. In this study, a new variable i.e. Price was ejected for test to check the relationship between other variables and also its significant on attitude and intention towards using mobile TV. The results shows that price has a negative but very strong effect on attitude, most of the respondents prefer using mobile TV at a condition if the tariff of mobile TV would reduce, which shows that there is a great demand of mobile TV in Pakistan if the prices set to reasonable structure.

6. Recommendations The research findings suggest practical implications for marketers. The advertising concept needs to be targeted by consumer gender. For example, the concept of independence, fun lifestyle and social status may be more effective for men in the advertisements. For the female segment, the value of intimacy and support from family or significant others needs to be emphasised to induce more favourable attitude and purchase intention for the medium. Developing a campaign plan in line with users fashion/status motivation (e.g. positioning mobile TV as a fashion icon or sending messages that stimulate consumers need for selfrespect) is a good idea to facilitate the penetration of the technology because it directly influences the intention regardless of gender difference. Another recommendation is given on price sensitivity, to service providers is that the service providers should follow a smooth consumer friendly tariff structure for their services, which in return can increase the growth of mobile TV industry as well as increase the profit returns of service providers.


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References Fishbein, M. & Ajzen, I. (1975) Belief, Attitude, Intention, and Behavior: An Introduction to Theory and Research. Reading, MA: Addison-Wesley Gefen, D. & Straub, D.W. (1997) Gender differences in the perception and use of e-mail: an extension to the technology acceptance model. MIS Quarterly, 21(4), pp. 389 400. Naruse, K. (2003) The survey of the mobile internet, usage, and awareness, study for mcommerce. Proceedings of

the 2003 Symposium on Applications and the Internet

Workshops. Yee, N. (2006) The demographics, motivations, and derived experiences of users of massively multi-user online graphical environments. MIT Press Journals, 15(3), pp. 309 329. Leung, L. & Wei, R. (2000) More than just talk on the move: uses and gratifications of the cellular phone. Journalism and Mass Communication Quarterly, 77(2), pp. 308 320. Kim, S. (2007) A study on mobile content users utilization behavioral patterns.

Journal

of

Communication Studies (in Korean), 7(4), pp. 5 45. Peters, O. & Allouch, S. (2005) Always connected: a longitudinal field study of mobile communication. Telematics & Informatics, 22(3), pp. 239 256. Bendall-Lyon, D. & Powers, T.L. (2002) The impact of gender differences on change in satisfaction over time. Journal of Consumer Marketing, 19(1), pp. 12 23. Campbell, S.W. (2007) Perceptions of mobile phone use in public settings: a crosscultural comparison. International Journal of Communication, 1, pp. 738 757. Chen, M. (1985) A microfocus on microcomputers: eight utilization and effects issues, in Chen, M. and Paisley, W.J.(eds) Children and Microcomputers: Research on the Newest Medium. Beverly Hills, CA: Sage,

pp. 19 36.

Chen, M. (1986) Gender and computers: the beneficial effects of experience on attitudes. Journal of Educational Computing, 2(3), pp. 265 282. Coffin, R.J. & MacIntyre, P.D. (1999) Motivational influences on computer-related affective states. Computers in Human Behavior, 15(5), pp. 549 569. Cooper, J. & Weaver, K. (2003) Gender and Computers: Understanding the Digital Divide. Philadelphia, PA: Lawrence Erlbaum Associates, Inc. Davis, F., Bagozzi, R.P. & Warshaw, P.R. (1989) User acceptance of computer technology: a comparison of two theoretical models. Management Science, 35(8), pp. 982 1003.


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Dobos, J. (1992) Gratification models of satisfaction and choice of communication channels in organizations. Communication Research, 19(1), pp. 29 51. Eighmey, J. & McCord, L. (1998) Adding value in the information age: uses and gratifications of sites on the World Wide Web. Journal of Business Research, 41(3),pp. 187 194. Fornell, C. & Larcker, D.F. (1981) Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, l(18), pp. 39 50. Gefen, D. & Straub, D.W. (1997) Gender differences in the perception and use of e mail: an extension to the technology acceptance model. MIS Quarterly, 21(4), pp. 389 400. Han, S., Ahn, B. & Park, M. (2005) Perception about motivation to use mobile advertising among mobile internet users. Korean Journal of Communication Studies, 13 (Winter), pp. 69 101. Hess, R.D. & Miural, I. (1985) Gender differences in enrollment in computer camps and classes. Sex Roles, 13(3 4), pp. 193 203. Jackson, L.A., Ervin, K.S., Gardner, P.D. & Schmitt, N. (2001) Gender and the internet: women communicating and men searching. Sex Roles, 44(5/6), pp. 363 379. Kang, M. & Atkin, D. (1999) Exploring the role of media uses and gratifications in multimedia cable adoption. Telematics and Informatics, 16(1), pp. 59 74. Lee, S., Park, C. & Jin, Y. (2008) the difference of media using time between DMB users and non-users and the suggestion of future studies. Journal of Communication Studies (in Korean), 8(1), pp. 195 221.


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SOCIAL MARKETING AND PUBLIC HEALTH CAMPAIGNS IN NIGERIA. Jackson Olusegun Olujide BSc (Zaria) MBA (Ife) Ph.D(France) ROTIMI AYODELE GBADEYAN BSc, MBA (Zaria) MSc, Ph.D (Ilorin) Department of Business Administration, Institute of Public Administration and Management, University of Sierra Leone, A. J. Momoh Street, Tower Hill, Freetown. Mukaila Ayanda Aremu BSc, MSc, Ph.D (Ilorin) INSTITUTE OF PUBLIC ADMINISTRATION AND MANAGEMENT (IPAM) DEPARTMENT OF BUSINESS ADMINISTRATION UNIVERSITY OF SIERRA LEONE, TOWER HILL, FREETOWN, SIERRA LEONE

About the Authors Jackson Olusegun Olujide is an Associate Professor of Marketing in the Department of Business Administration, University of Ilorin, Nigeria. He has published several Scholarly Papers in both National and International Journals. He has also served as consultant to International organizations such as World Health Organisation (WHO) and World Bank. Address: Department of Business Administration, Faculty of Business and Social Sciences, University of Ilorin, Kwara State, Nigeria. Rotimi Ayodele Gbadeyan, is a Lecturer with the Department of Business Administration, University of Ilorin, Ilorin, Nigeria. His Publications have appeared in African Research Review, International Journal of Business and Management and European Journal of Social Sciences. He has also published in several National Journals in Nigeria. He is presently a Guest Lecturer at the Institute of Public Administration and Management, University of Sierra Leone, Freetown. His Research Interests include, Quantitative Marketing, General Marketing and Health care Marketing. Address: Department of Business Administration, Institute of Public Administration and Management, University of Sierra Leone, A. J. Momoh Street, Tower Hill, Freetown. Mukaila Ayanda Aremu, is an Academic Staff of Department of Business Administration, University of Ilorin, Nigeria. He has published many papers in National Journals and Scholarly International Journals such as European Journal of Social Sciences, African Research Review and Management Stream. His Research interest is in International and General Marketing. Address: Department of Business Administration, Faculty of Business and Social Sciences, University of Ilorin, Kwara State, Nigeria.


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Abstract There are Social and Public Health problems that need to be addressed for a better and improved quality of life to be achieved in the society. This takes the form of HIV/AIDS, Measles and Polio, Human trafficking, Child abuse, Domestic violence, Environmental Protection, Women Empowerment, Drug abuse and Anti Tobacco Campaign. The task of bringing about the desire change is achieved through the combined efforts of Government, foreign partners, most especially, World Bank, UNICEF, and Non Governmental Organisations (NGOs).This paper therefore examines how Marketing is being employed to bring about the effectiveness of these Social and Public Health Campaigns. Result indicates that the various Public Health Campaigns have brought about improved health condition to the People and Community as a whole. The Paper recommends that local community organizations and leaders should be involved in order to enjoy their cooperation. In other words Government and its partner should adopt community based approach for successful execution and implementation of Public Health Campaign to be achieved. Key Words: Social Marketer, Education,

Public Health Campaign, Health Status, Mortality rate, Sex

Hospital

1. Introduction Public health is one of the vital programme being addressed by government of any country. This is not singularly done by government but in collaboration with International organizations, Non Governmental Organization (NGOs), businesses and citizen. This paper attempts to explore how effective Public health programme are being achieved, utilizing traditional marketing techniques. It also gives assessment of these Public health programmes in developing country, most especially Nigeria. 2. Literature Review There are certain actions which require behaviour change by an individual or community in order to have improved quality of life. In other word, there must be a social change, and this happens when there is change in internal attitudes, external structures and work to make behaviour unnecessary. For instance, in High way Traffic safety, an Individual s internal attitude can be changed about seat belt use through education and persuasion; change external structures by


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mandating seat belt use through public policy or create cars and high ways that are safe, so that there is no need for mandate or convince people to use seat belts and hence make behaviour unnecessary.(Turning Point, 2002). Therefore, actions like: use seat belt, don t use phone while driving, eat more fruits and vegetables, don t litter environment, stop smoking, enroll in health insurance scheme, donate blood and organs, use product correctly, stop sexual harassment, don t take hard drugs or steroid and avoid indiscriminate sex are all about Social Marketing. This social change is a process involving time and patience; hence Public health Professionals have realized that it takes time for people to change their behaviours. 2.1 Definition of Social Marketing The idea of Social Marketing was originated and stimulated by a Sociologist, Weibe s (1952) article which analysed four social campaigns and concluded that Society s aspiration can be sold through judicious application of marketing techniques. This work paved the way for further studies in Social Marketing and this consequently led to a lot of conceptual debates in the field. The works of Kotler and Levy s (1969); and Elliot (1991) formed the intellectual foundation of Social Marketing. This was followed by the works of Harvey s (1999) and Manoff s (1975) with the application of family planning to social marketing; social marketing trying to establish a separate identity (Bartels, 1974; Luck, 1974) and broadening its scope (Andreasen, 2001).There are various definitions of Social marketing but considerations will be given to few popular ones amongst which include : Social Marketing is the planning and implementation of programs designed to bring about social change using concepts from commercial marketing. It is also the use of marketing principles to influence human behaviour to improve health or benefit sociecty (Turning Point, 2002). Kotler and Zaltman (1971) defined Social marketing as the use of marketing concepts to address social and health problems while Andreasen (1997,2001) also described it as transfer of marketing concepts and tool from the commercial to the non - profit sector or the applied use of commercial market concepts to effect voluntary behaviour change amongst target audiences in order to improve their personal welfare and society . The American Marketing Association (1985) defined Social marketing as the promotion of ideas while Walsh et al (1993) argued that the assumption behind Social marketing was, and is that effective technique from the business sector can successfully and efficiently be applied to


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advance social causes . Social marketing is also defined as

the acceptability of ideas or

practices in a target group(Kotler,1975); a process for solving problems (Novelli, 1984); application of marketing thought to the introduction and dissemination of ideas and issues, and issues, and as a strategy for translating scientific knowledge in to effective education programs (Manoff, 1985); Social marketing influences behaviour (Andreasen,1994); apply to behaviour challenges such as keeping girls in school (Schwartz, Middlestadt and Verzoza, 1994); inducing parents to stop abusing their children (Stannard and Young, 1998); helping teens to resist smoking (Mc Kenna, Gutierrez and Mc Call 2000; Rechmann and Reibling,2000); and a process of developing social change programmes (Andreasen, 1994,2002). Andreasen differed with Kotler and Roberto s (1989) definition which explained that Social Marketing increase the acceptability of a social ideas but argued that in a private sector the ultimate objective of Social marketing should be behaviour change. However, from the above definitions the most frequently quoted and accepted are that of Kotler and Zaltman (1971) and Kotler and Roberto (1989).The other prominent works attesting to the general recognition of Social marketing as a field include: Bonaguro and Miaoulis, 1983; Mc Brien, 1986; Timmereck, 1987;Lefebvre and Flora, 1988;Buchanan, Grace, 1991; Hastings and Haywood, 1991; 1994; Syre and Wilson, 1990; Reddy and Hossain, 1994; Tones, 1994; Andreasen,1995; Winnet, 1995; Blair, 1995; Maibach and Cotton, 1995; Goldberg, Fishbein and Middlestadt, 1997; Goldberg, 1997; Baker,1999; Sargeant, 1999; Glanz, Lewis and Rimer, 1999; RothSchild, 1999; Donovan, 1999; Hill,2001; Hornik, 2001; Gbadeyan, 2003; and Olujide and Gbadeyan,2006. 2.2 Public Health Campaigns in Nigeria There has been serious effort on the part of Government, International organizations, Non Governmental Organisations and individuals to address the issue of Social Marketing and Public Health Campaigns in Nigeria most especially in the past two to three decades. A brief discussion of these efforts includes: Polio Vaccination: There are places in the world such as The Americas, Europe and part of Asia that had been declared Polio

free but the pathetic story is that most parts of Africa and Asia

continue to report polio cases. This situation couple with other reasons probably made the International Organisations, Non Governmental Organisations and the Federal Government of Nigeria stepped up immunization campaign in the country. However, in 2003 this effort was


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brought to a halt in three states: Kaduna, kano, and Zamfara by their political and religious leaders. They instructed Parents not to allow their children to be immunized, arguing that the vaccine had been contaminated with Anti fertility agents (Estradol hormone), HIV and cancerous agents. There was dialogue between the Federal Government and these Political and Religious leaders before this impasse was eventually resolved (Jegede, 2007; Chen, 2004; Das and Das, 2003). The Polio eradication campaign has recorded success despite this initial set back, globally the number of polio cases declined by 75% compare with year 2009 (Dugger, 2010; United Nations System in Nigeria, 2010) Measles

The immunization was targeted at 29 million Nigerian children by UNICEF in the

year 2006. There has been considerable success; fewer cases of measles infections were reported. Malaria

There are more than 100000 health workers mobilized and sent to 17 Southern states

in Nigeria to distribute millions of bed nets to prevent malaria deaths. Medical equipment and drugs were supplied to the health workers to enable them carry out successful health campaign in those areas. This was done in conjunction with Support to National Malaria Programme (SUNMaP), USAID, World Bank and other Partners. The Malaria Campaign messages got to these communities through radio, town criers, individual mobilisers, community meetings and gatherings (Malaria Consortium, 2009). HIV/AIDS Campaign

The efforts of Government, International bodies and Non Governmental

Organisations toward Public awareness and sensitization campaign on HIV/AIDS in Nigeria deserve commendation. This campaign is done through Television, Radio, Newspaper, Magazines, Posters, Bill boards, Musical concerts, Hand bills, Pamphlets, Door

to Door and

Road side shows. The campaigns have been effective in terms of information dissemination to the Publics, those in the remote areas are now aware of HIV/AIDS (Raj, 2008). Anti viral drugs and clinics are now available for People Living with HIV and AIDS (PLWHA). There are Humanitarian and Non Governmental Organisations that also make available condoms to the People. Price (2001) reported the effectiveness of condom social marketing programme in reaching the poor and vulnerable. It was also observed that low incomes are sensitive to Condom Social Marketing Programme (CSMP). Anti

Tobacco Campaign

The urge to protect the non smoking public from the dangers

associated with smoking made some Non Governmental Organisations embark on massive media enlightment campaign. This is done to create the needed environment that will enable


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people live a healthy lives. It has becomes offence in Nigeria, to smoke in Publics for the past two decades (Ekine, 2008). Guinea Worm Campaign

Nigeria, which was once the worst afflicted by the disease has

become Guinea worm free for the past few years. Only four countries are reported to be currently having incidences of the worms: Ethiopia, Ghana, Mali and Sudan. The number of people suffering from the disease has been reduced from 3 million when Jimmy Carter addressed the problem to about 3000 people in 2010 (Safi, 2010). There is no doubt considering our discussion above on Social Marketing and Public Health Campaign that it has brought about successful behavioural changes to the society. Hence efforts should be directed at ensuring its effectiveness towards this regard. 3. Methodology The study was carried out in two locations: University of Ilorin Permanent Site and the University Teaching Hospital. This study was conducted based on Primary data. The respondents were given a self administered structured questionnaire to fill, during the second week of July 2009. This time frame was chosen because it would enable a fair assessment a Public Health Campaign for the year, since more than half of the year has been spent. The respondents were briefed on the research objectives, it is hoped that this will serve as a guide for their completion of the questionnaire. The study employed Self administered method so as to eliminate respondent s evaluation apprehension. Intercept Survey were conducted at various times of the day, throughout the one week period used for the research. This is done in order to eliminate or minimize the potential bias due to the use of non probability sampling. The respondents consist of Academics, Civil Servants, Students, Public Health workers, Nurses, Doctors, Pharmacists and other Professionals, who have knowledge about Social Marketing and Public Health Campaign. The total number of respondents selected for the study was 1423 out of estimated population of 29700 people in the two locations considered for the study. The construct used for the study were measured by both close ended structured questions and 5 point Likert type Scales (1 = strongly disagreed to 5 = strongly Agreed). A total of 25 items were used for the study and 95% response rate was achieved (1423 out of 1498 Questionnaires distributed). The statistical technique employed for the study are Multiple Linear Regression

(Stepwise Method) and Chi

- Square.


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4. Results and Findings People below 50 years old (92%) form the majority of those considered for the study, this represents 1304 out of 1423.There are more male (956) than the female (467) respondents. We have only 20% of respondents having primary and secondary school certificate, indicating that those considered for the study are enlightened and have good knowledge of what Social Marketing and Public Health Campaign is all about. This factor is believed adds value to the quality of the study. There are 740 (52%) Muslim and 648 (48%) Christians; there are no respondents falling in to either traditionalist or other categories, This further indicates the popularity of these two religions( Islam and Christianity) in Nigeria, though some seldom claim they are Traditionalists or Freethinkers. The analysis shows that Public Health Problems (52%) are given more priority attention than the Social Problems (48%). The Public Health Problems include HIV/AIDS (228); Malaria (160); Oral Polio Vaccine (154); Cancer (85); and Measles (85); in order of priority. This result confirms the situation on the ground. There is high priority given to HIV/AIDS campaign in the country because of the increase rate of its prevalence in some states. The Government and the Foreign Partners decide to use this campaign to address the problem of increase in this HIV/AIDS scourge. The Government is also committed to addressing the problem of Children s five killer diseases through the Oral Polio Campaign. In some states in the country, the Oral Polio Immunisation Certificate is one of the prerequisite for Child s enrolment to School. Malaria is another disease that is being given attention by the Government and its Foreign Partners. Government has stepped up efforts toward complete eradication of malaria, measles and polio diseases and considerable successes have been achieved in this regards. The study reveals that there is no priority given to Guinea Worm because there is no more reported of the disease and Nigeria has been declared Guinea Worm free. The Anti Tobacco and drug abuse campaign (330) seems to be getting most attention in the Social Marketing Campaign even more than the HIV/AIDS Campaign (228) in Public Health Campaign. This may probably be as a result of more youth taking to smoking, drugs and alcohol in most urban centers. This bad habit concomitantly, has contributed to high rate of crime in most of these urban centers. The Government therefore might have seen the need to address these social problems through the various campaigns being launched to the people. The issue of Environmental Protection and domestic violence, most especially, against women were revealed as other areas that the Government focused attention during the period of study. There is increase


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wave of deforestation, this pose as a serious concern because of its adverse effects on the environment. There are also rampant cases of men violence against women

(most especially

their wives). The Government felt there is need to halt this barbaric act through her public campaign messages on the Radio and Television. There were campaigns on women empowerment, human trafficking and child abuse. The Women empowerment was given a boost by the Government through provision of funds to women most especially in the rural areas to assist them in setting up small scale business or bring about improvement in their trade. Human trafficking is gaining more currency in the country, most especially across the border to neighbouring countries. The Government introduced payment of fines and imprisonment as a punishment for any found guilty of such act. This Public policy has helped seriously in discouraging people getting involved in this modern day slavery . The Government arrest Child hawkers and those roaming the street during school hours. All these actions show Government commitment towards addressing Social problems in Nigeria. Results from the analysis reveal that the World Bank contributes most to the Social and Public health campaign in Nigeria. This is complemented by the effort of the Government and Non Governmental Organisations (NGO). This result attest to the effort of World Bank in Social and Public health campaign in most developing countries. The Campaigns are targeted at women, men, children, and adult (73%) as against women (6%) and children (21%) only. The result indicates that no campaign is targeted at men and adult only. This translates to the fact that most of the campaign addresses problems affecting everybody in the society while few address women and children. The greatest proportion of respondents (39%) indicated that they want improved health status in exchange for adopting new behaviour brought about by the Social and Public Health Campaign. This is followed by those who want increase immunization and disease free society and self recognition and acceptance by peers (18%); Safety (17.6%); Clean and hygienic environment (4%); and other categories (2.4%). The ones in the other categories gave reasons which include: better future for children and lower mortality rate for the people. It was also revealed that most of these Social and Health campaigns are without any policy (44%) put in place to influence behaviour change while only 25.2% attract capital punishment; 18% attracts imprisonment; 4% attracts fine and 8.4% are in the other categories. Respondents falling in the other categories suggest non enrolment of children in school for those that refuse to take immunization. The


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highest proportion of the respondents support sex education and public enlightment about HIV/AIDS (23.7%) as an intervention plan by the Government to complements the HIV/AIDS campaign effort; this was followed by raising tax on alcohol and cigarette (23.6%); sensitizing drivers about the safety of using seat belt (22.8%); educating nursing mother about breast feeding (12%) and those who suggested health talk about drug abuse and the need for immunization (14.3%). Radio (32%) was revealed as the media mostly use by Social Marketer for successful campaign, followed by Television (29%), Public Service Announcement (18.4%) and Flyers (14.4%) and others (6.2%). Cartoon is not one of the media used in Nigeria. Hospital (489) was the best place used by Social Marketer to reach audience; followed by Town Hall (274); Market (176); Club and hotel (103); School (91); and other Places like Motor Park or Public Place (120). This clearly show the importance of Hospital or Clinic as the best place used for Public health Campaign. (Appendix 1 for detail Summary). 4.1 Test of Hypotheses Hypothesis 1: There are certain factors which significantly affects the success of Social Marketing and Public Health Campaign. Hypothesis 2: There are no significant differences in the contributions of Government and other foreign partners to the Social and Public Health Campaign program in Nigeria.

4.2 Test of Hypothesis 1 with Multiple Linear Regression (Step Wise Method) The Multiple Regression Analysis (Step Wise Method) was used to determine the factors having greater effect on successful implementation of Social Marketing and Public Health Campaign in Nigeria. The five factors considered for the study were: Lack of trust /cooperation from the target audience (EPHSM14); Ignorance of the target audience (EPHSM15); Lack of involvement of the community s Political and Religious leaders (EPHSM16); Lack of awareness about the Social Marketing/ Public Health Campaign (EPHSM17); and Insensitivity to the local Politics of the People (EPHSM18). The model fit shows that four factors are having significant effect on the Social Marketing and Public Health Campaign (EPHSM14, EPHSM15, EPHSM16 and EPHSM18) and only one of the factors was excluded (EPHSM17).This was confirmed by ANOVA table which shows that all these factors are highly significant at 99% confidence level. The Regression coefficient also indicated that lack of trust or cooperation from the target audience was the factor having greatest effect on Social and Public Health Campaigns in Nigeria


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(Appendix II Table 1). This result was in agreement with the earlier position taken by Jegede (2007) on what led to the Nigerian boycott of the Polio vaccination campaign. He argued that where Public trust is eroded, rumours can spread and this can lead to rejection of health interventions. The exclusion of Lack of awareness from those factors having significant effect on Social and Public Health Campaign is also logical considering the effort of Government and foreign partners in sensitizing and creating awareness for these Social and Public Health Campaigns. The response to question 24 further proved that Public awareness for Social and Public Health Campaign has been adequate, 615 agreed against 574 that are of the opinion that Public awareness for these campaigns are not adequate. We therefore, accept the Null hypothesis which states that there are certain factors which significantly affect the success of Social Marketing and Public Health Campaigns in Nigeria. 4.3 The test of Hypothesis 2 with Chi Square The Chi

Square statistics was used to examine if there are no significant differences in the

contribution of Government and other foreign partners to the Social and Public Health Campaigns in Nigeria. The result of the test reveals that there were significant differences in their contributions (Appendix II Table 2). This seems to be logical considering the World Bank s contributions with that of the Government, Non Governmental Organisations and the UNICEF. World Bank had highest contribution (478); followed by the Government (456); Non Governmental Organisations (347); and UNICEF (142). Hence, we reject the Null hypothesis of no significant differences in contribution and accept the Alternative hypothesis that there is a significant difference in their contributions to the Social Marketing and Public Health Campaign. 5. Conclusions and Recommendations There is no doubt that Social Marketing and Public Health Campaign if successfully implemented would bring about a desire behaviour change in the society, which will culminate in improved health condition for the People. Therefore, for this goal to be achieved the following recommendations are made: i.

Government and her foreign partners need to be sensitive to local politics of its citizen, especially those that will affect the health care delivery to the people.

ii.

Local community organizations and leaders should be involved in planning and development of Public Health Campaign. This will foster cooperation and trust from the people, which


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would enable success to be achieved. The exclusion of community leaders from the campaign would result to lack of cooperation and partnership in the program. It is therefore imperative that Public Health Campaign should be community based in approach for the realization of a successful take off and final implementation. iii.

The Government needs to increase its Public awareness campaign most especially to the people in the rural area so as to be able to achieve its Public Health Policy objectives.

iv.

Information and Communication Technology (ICT) need to be used to press for a policy change, for instance the use of Short Messages (SMS) through Mobile Phone and Internets can be invaluable in providing Public health information to the People.


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References American Marketing Association, 1985. Committee on Terms, Marketing definitions: A glossary of Marketing Terms. Andreasen, Alan R 1994. Social Marketing: Definition and Domain. Journal of Public Policy and Marketing. 13 (1) Pp108

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Andreasen, Alan R 1995. Marketing Social change. San Fransisco: Jossey Bass. Andreasen, Allan R 2001. Intersector Transfer of Marketing Knowledge. In Handbook of Marketing and Society, Paul Boom and Gregory T Gundlach,eds. Thousand Oaks, CA. Sage Publications. Pp 80

104.

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BC: university of British Columbia. Dugger, Celia W 2010. Polio eradication campaign showing good progress.The New York Times, Mon day April. Ekine, Sokari 2008.The Anti Tobacco Campaign in Nigeria. Pambazuka News, 15th October 2008. Elliot, Barrie J 1991. A Re examination of the Social Marketing concept. Sydney. Australia. Elliot and Shanahan Research. Fine, S H 1981. The marketing of Ideas and Social Issues.New York: Praeger. Gbadeyan,2003. Marketing of Social ideas and the unmentionables : Problems and challenges: in Olujide, J.O. and J. A. Bamiduro. Elements of Marketing, Publication of Department of Business Administration, University of Ilorin, Ilorin, Nigeria.Pp 9-19 Glanz, Karen ;Frances M Lewis and Babara K Rumer (ed) 1999. Health Behaviour and Health Education. (2nd ed);R. K Dishman, ed. Champaign IL: Human Kinetic Books. Pp 249 90. Goldberg, Marvin 1997.Social Marketing: Are we fiddling while Rome Burns?. Journal of Consumer Psychology. 4(4) Pp 347 70. Goldberg, Marvin; Martin Fishbein and Susan Middlestadt (ed) 1997. Social Marketing: Theoretical and Practical Perspectives. Mahwah, N.J. Lawrence Erlbaun Associates. Grace, V. M 1991. The Marketing of empowerment and the construction of the Health consumers : A critique of Health Promotion. International Journal of Health Services. 21(2) Pp 329

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Hill, Railton 2001. The marketing concepts and Health Promotion: A Survey and Analysis of Recent Health Promotion Literature. Social Marketing Quarterly. 7(1) 29

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Novelli, W D 1984. Developing Marketing Programs. Frederickson L W; Solomon L J; Brehony K A, (eds): Marketing health behaviour: Principles, techniques and applications. New York; Plenum. Olujide, J. O and R. A Gbadeyan,2006. Social Marketing Concepts and the Nigerian Situation. Ilorin Journal of Sociology. A publication of Department of Sociology, University of Ilorin, Ilorin, Nigeria. Vol.2 (1) Pp/ 118-125. Pechmann, C and Reibling 2000. Planning an effective Anti Smoking Mass media campaign targeting adolescents. Journal of Public Health Management Practice. 6 (May) Pp 80 94. Price, Neil 2001.The performance of Social Marketing in reaching the poor and vulnerable in AIDS control Programmes. Health Policy and Planning: 16(3) 231

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6.


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APPENDIX 1 Detail Summary of Results A. BACKGROUND INFORMATION 1. Sex: Male (956) Female (467) 2. Age: Less than 20 (330)

21

30years (445) 31

40 years (234) 41

50 years (295) 51- 60

years (119) above 60 years (X). 3.Educational

Status:

Primary

Professional/Diploma/NCE(227)

SchoolCert(57)

HND/BSc/BA Degree (512)

WASC,GCE,NECO,SSCE(222) Postgraduate Diploma (149)

MA/MSc (142) Ph. D Degree (114) Others (X) 4. Religion: Christianity (683) Islam (740) Traditionalist (X) Others (X). 5. Tribe: Yoruba (1138) Ibo ( 160) Hausa (125) Niger Delta (X) Others (X). B. SOCIAL MARKETING

GENERAL QUESTIONS

6. What do you think is the Social/Health Problem being given priority attention? Guinea Worm (X) HIV/AIDS (228) Oral Polio Vaccine (154) Malaria (160) Anti Tobacco/Drug Abuse Campaign (330) Human Trafficking and Child abuse (34) Domestic Violence (137) Women Empowerment (34) Cancer (85) Environmental Protection (142) Health Insurance Scheme(34) Measles Immunization Campaign (85). 7. Which of these Institutions do you think contribute most to the Social and Health Campaign program in Nigeria? Government (456) World Bank (478) USAID (X) UNICEF (142) NGOs (347) Others (X) 8. Who is the target audience? Women (91) Men (X) Both Men and Women (X) Children (296) Adult (X) All of the above (1036). 9. What do you want in exchange for adopting this new behaviour? Self recognition and acceptance by peers (261) Improved health status (559) Clean and hygienic environment (57) Safety (250) Increased Immunisation and disease free society (262) Others (34) 10. What are the various policies put in place to influence behaviour change by the Social Marketing Campaign? Payment of fine (57) Imprisonment (256) Capital Punishment (358) None (632) Others (120) 11. Which of these intervention plans by the Social Marketer do you support? Educating Nursing mother about breast feeding (171) Sensitising Drivers about the safety of using seat belt (324)


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Give sex education and enlighten publics about AIDS/HIV (338) Raise tax on Alcohol and cigarette (336) Others (204). C. SOCIAL MARKETING: PLACE AND PROMOTION. 12. Which of these methods and media do you think the Social Marketer rely upon for successful campaign? Cartoons (X) Flyers (205) News release (57) Public Service Announcement (262) Newspaper articles (34) Radio Talk show (450) Television News Spots (415). 13. The best place used by the Social Marketer to reach audience is: Supermarket/stores (85) Churches/Mosques (85) Hospital/ Clinic (489) School (91) Town Hall (274) Market (176) Club/Hotel (103) Others (120) D. EVALUATION OF PUBLIC HEALTH/SOCIAL MARKETING CAMPAIGN Note: Please tick where appropriate Code Strongly Agree 5 Agree 4 Neither Agree/Disagree 3 Disagree 2 Strongly Disagree 1 The major barrier facing Social marketer in bringing about the desired change is (Q14 18) : S/N SA

A

NA

D

SD

14

Lack of trust/Cooperation from the target audience

467

705

68

80

103

15

Ignorance of the target audience

85

546

X

552

240

16

Lack of involvement of the community s Political and Religious leaders

34

290

751

85

263

17

Lack of awareness about the Social Marketing/Public Health Campaign

382

541

318

97

85

18

Insensitivity to the local politics of the people

57

176

836

63

291

19

The various Public health Campaigns have brought about improved health condition

528

627

X

85

183

20

There are still a lot to be done in the area of Social problems like drug abuse, child trafficking, prostitution etc Government policy contributes to the success of the Social and public health problems

648

359

X

331

85

216

319

512

273

103

438

290

X

337

358

23

The support of International Organisations like UNICEF, USAID etc have been adequate Public Health/Social Marketing campaign has not been successful in Nigeria

X

330

63

677

353

24

The Public awareness for most Social/Public Health Campaign has not been adequate

X

574

234

615

X

25

The competition offering by Social Marketer to the target audience has not been adequate

X

473

210

740

X

21 22


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APPENDIX II Table 1-a: Multiple Regression Analysis (Stepwise Method) Model

R

0.702a 0.809b 0.841c 0.873d

1 2 3 4

Model Fit

R Square

Adjusted R Square

Std Error of the Estimate

0.493 0.654 0.707 0.763

0.492 0.654 0.706 0.762

0.69197 0.57130 0.52635 0.47381

Table 1-b: ANOVA Model 1

Regression Residual Total

2


3


4


Sum of Squares

df

Mean Square

660.421 680.413 1340.833

1 1421 1422

660.421 0.479

1379.249

0.000a

877.366 463.468 1340.833

2 1420 1422

438.683 0.326

1344.063

0.000b

947.435 393.398 1340.833

3

315.812 0.277

1139.143

0.000c

4

255.626 0.224

1138.684

0.000d

1022.503 318.330 1340.833

1419 1422

1418


F

Sig

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Table1-C: Multiple Regression (Step Wise Method) Coefficient Table. Unstandardised Standardised Model Coefficients Coefficient t B Std Error Beta 1

Constant

1.647

0.067

2

EPHMS14 Constant

0.609 1.055

0.016 0.060

EPHMS14 EPHMS18 3

Constant EPHMS14 EPHMS18 EPHMS16

4

EPHMS14 EPHMS18 EPHMS16 EPHMS15 Dependent Variable: EPHMS19

Government World Bank UNICEF NGOs Total

0.014

0.400 1.104 0.591 0.528 -0.296

0.015 0.056 0.015

0.702

24.442 37.138

0.000 0.000

0.554 0.429

17.531 33.323 25.782

0.000 0.000 0.000

0.680 0.566 -0.315

19.881 39.417 32.175 -0.15.898

0.000 0.000 0.000 0.000

0.704 0.524 -0.345 0.243

3.729 45.174 32.799 -19.286 18.286

0.000 0.000 0.000 0.000 0.000

0.016

Constant

Table 2-a : Chi

0.481

Sig

0.254 0.611 0.489 -0.324 0.286

0.019 0.068 0.014 0.015 0.017 0.016

square Observed N 456 478 142 347 1423

SMGQ7 : Chi - Square Expected N 355.8 355.8 355.8 355.8

Residual 100.3 122.3 -213.8 -8.8

Table 2-b: Test Statistics SMGQ7 Chi Square 198.906 df 3 Assymp Sig 0.000 P 0.01


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Struggle for identity: A Case of Sindhi Nationalist Movement 1947-1955 Sultan Mubariz Khan Ph.D student Department of Political Science and International Relations, University of Sargodha, Sargodha Dr. Ishtiaq Ahmed Dean Faculty of Social Science, Arts and Law University of Sargodha, Sargodha Abstract In the result of the division of Sub-Continent, a large number of refugees migrated from India to Sindh and settled in urban areas of the province especially in urban areas of Karachi, Hyderabad and Sukkur. Muhajir became dominant in civil services under the shadow of Federal Government. Moreover Karachi was declared as capital and separated from Sindh in 1948 against the wishes of the native Sindhis. When Karachi was separated Sindhis were marginalized in every walk of life. After that the struggle for identity became popular in Sindhis. This paper aims to trace out the causes of the victimization, which became the base of the struggle of Sindhis for their national identity. The analysis includes the role of ethnic organizations too. Key words: Sindhi, Identity, National , Struggle , Migration, Bureaucracy 1. Introduction British occupied Sindh in 1843 A.D. Besides development, British era promoted sense of deprivation in Sindhi Muslim driving them towards nationalist politics. The particular era brought lot of hardships for Sindhi Muslims and played crucial role in the evolution of feelings of distinctive identity amongst Sindhi Muslims. The Britishes introduced modern education system in Sindh administered and financed by government. It helped to produce a modern educated cadre of young Sindhis (Khuhro, 1978). The lack of participation in bureaucratic positions accounted for desperation in Sindhi Muslims. The lower representation of Sindhi Muslims in government services and appointment of people from outside created a feeling of disliking for non Sindhi employees in Sindh (Khuhro, 1998). The issue of jobs got so much significance that SLA spent a considerable time in a debate, to formulate the proper definition of a Sindhi and define criterion for differentiating outsiders from COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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Sindhis. SLA members criticized presence of outsiders in police and education departments and demanded for appointment of persons in government services having domicile of Sindh only (Ansari, 2005). The Sindhi language was given the status of medium of instructions at school level. It also became the official language for local administration (Syed, 1991). British government introduced a standardized script of Sindhi transforming it from oral to written language (Ali, 1992). British government sponsored the translation of books written in other languages into Sindhi, expanding repertoire of Sindhi written literature (Lari, 1994). It had positive effect on the progress and development of Sindhi, helping it to become the most developed vernacular language. In 1930s, number of newspapers printed in Sindhi language reached to 87 (Rahman, 1996). It had political advantages beside cultural and social benefits. Sindhi language newspapers played a critical role in voicing the grievances of Sindhis, creating political consciousness in masses (Memon, 2001). In pre-partition period educated Sindhi Hindus advocated the concept of unified Sindhi nation, an amalgam of Hindus and Muslims communities on the bases of Sindhi language (Ali, 1992). The other major developments occurred in the fields of agriculture and communication. Government initiated the system of perennial canals to bring more land under acreage and to meet the requirement, constructed barrages to create water reservoirs (Syed, 1991). Construction of Sukhar barrage doubled the cultivated area in Sindh. It brought significant changes in nomadic lifestyle of rural Sindhis. Newly established canal colonies accommodated a good proportion of population. Living in compact localities with improved means of communications helped in promoting the idea of ethnic unity amongst Sindhi Muslims (Ansari, 2005). Completion of irrigation projects opened an avenue for people belonging to other areas to settle in Sindh. Government allotted lands to army personnel and agriculturalists from Punjab and North Western Frontier Province. The government had two considerations, firstly the reimbursement of expenditure incurred on the projects (Lari ,1994) and secondly to settle more loyal population in canal colonies established amidst administratively troubled areas of rural Sindh (Ansari, 2005). Sindhis disliked the allotment of lands to Punjabis in Sindh. Their presence in Sindh having ownership of lands originated sense of deprivation in Sindhis vis-a-vis outsider Punjabis, providing a source for proliferation of nationalistic sentiments (Samad, 1995; Ansari, 2005). COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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Sindh was annexed to Bombay Presidency in 1847. The amalgamation had negative implications for Sindh especially for region s Muslim community. It was totally wrong and illogical. Bombay, the headquarters of the Province, was about 800 miles (1200 Kilometers) away from Sindh, its culture; language and civilization were different from Sindh (Khuhro, 1998). In the subsequent period separation issue became the central point of Sindh politics. The struggle to achieve the status of province created unity in political elite of Sindhi Muslims. It diverted their full attention to the regional concerns strengthening a sense of distinctive ethnic identity of Sindhi Muslims (Memon, 2001; Samad, 1995). The success in movement for separation develops political acumen in Sindhi political elite and created confidence in them (Jones, 2002). 2. Emergence of Movement At the time of partition in 1947, it seemed that people of Sindh were inclined towards Pakistani Nationalism. Majority of political leadership of Sindhi Muslims joined AIML in 1940s and supported Pakistan Movement based on two nation s theory. Effects of Pakistan movement characterized by the idea of Muslim Nationalism overshadowed the feelings of separate nationalist identity of Sindhi Muslims within the nascent state. Although the sentiments for the separate Sindhi identity did exist at a considerable level (Ansari, 2005; Samad, 1995) but there was no strong nationalist movement at the inception of new state (Syed, 1995; Amin, 1987). Anti-AIML elements of Sindhi Muslims were not very popular amongst the masses as evident by the results of 1946 elections. Disgruntled nationalist elements had reservations regarding intentions of the leadership of AIML and the future structure of the state itself (Ansari, 2005). Those included the dissenters of AIML led by G. M. Syed, pro-Congress or anti-AIML elite and intellectuals/ activists of left wing. G. M. Syed once a strong supporter of AIML and staunch follower of Muhammad Ali Jinnah, who had been president of SML, championed the cause of Sindh as a separate national entity. He parted his ways with SML following his differences with Sir Ghulam Hussain Hidayatullah over the distribution of party tickets during elections of 1946. Even before partition, he propagated for the separate identity of Sindhi Muslims and tried to create consciousness regarding prospective Punjabi dominance in the state structure (Talbot, 1999). He expressed the perceived fear of the dominance of Punjabis in the prospective unitary Pakistan (Syed, 1949). According to nationalists, all the resources in Sindh were its


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property and the native population must have the right and privilege to benefit from those in all forms (Joyo, 2000). G. M. Syed used his newspaper Qurbani to create awareness regarding separate identity of Sindhi Muslims as well as the prospects of Punjabi domination over Sindhis in their own province (Talbot, 1999; Khuhro, 1998). Pir Ali Muhammad Rashdi wrote a series of columns in Qurbani alleging Punjabis for using immoral practices to dominate Sindhis. The same were later published in the form of a book Faryad-e-Sindh (Bhutto, 1988). Central Government took some decisions to attain the objective of unity through unified nationhood. Founding fathers of the country declared all the Muslims living in Pakistan as one nation claiming that Islam did not recognize any regional and linguistic loyalties (Rahman, 1982). They perceived that any feelings aimed at promoting ethnic, regional and linguistic identity were detrimental for the interests of Pakistan. If we begin to think ourselves as Bengalis, Punjabis, Sindhis first and Muslim and Pakistani incidentally, then Pakistan is bound to disintegrate.

(Jinnah, 1962, p. 104)

They did not pay due attention to the ethnic, linguistic and regional realities which existed prior to the creation of the State of Pakistan. So their legitimate right to demand for autonomy and political role to attain their objectives were not accorded due consideration. Negation of separate identities proved counter-productive, demand for autonomy was in fact the demand for recognition of ethnic regions and conflict started just after the creation of Pakistan (Rahman, 1982). The same were viewed by the people of Sindh as the efforts to curb their separate identity. Various ethnic groups especially the Sindhis felt deprived of their centuries old traditional identity. Sindhi nationalist forces wanted to attain autonomy for Sindh envisaged by the Lahore Resolution of 1940 passed by AIML. They wanted to seek representation in the federation at parity with other provinces as a federating unit to safeguard against the suspected dominance of other units on the basis of population (Syed, 1975; Ahmad, 1999). They wanted Pakistan as a consociational federation. On 20th October 1947, SML Council adopted a resolution and recommended a socialist constitution for Pakistan with provincial autonomy and equal representation for all units in legislative organs of the union of


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Pakistan. On 3rd November 1947, the SML parliamentary party endorsed the resolution and expressed concerns over the absence of Sindhis representation in the federal cabinet (Chaudhri, 1994). Sindh Hari Committee (SHC) in its conference held at Ratto Dero on 31 May 1948 demanded for the autonomous and sovereign status for Sindh (Joyo, 2005). Maulana Khair Muhammad Nizamani in the Daily Bab-ul-Islam of 8 June 1947 expressed his fear about domination of other provinces over Sindh, owing to their larger population, hence demanded representation at parity basis in legislative organs and central administration (Mirza, 1987). The newspapers like The Daily Gazette wrote that the representation on parity basis with other provinces had become a popular demand of the people of Sindh even up to the remotest villages (Ansari, 2005). G. M. Syed convinced and gathered the support of like-minded individuals of educated upper middle class and started propagating for the rights of Sindhis. Anti-PML group of politicians also favored the views of G. M. Syed and his associates (Amin, 1987). The left wing Sindhi activists mainly belonged to the educated middle class, were influenced by the ideology of Lenin and Stalin regarding cultural criterion of nations and nationalities and their right of self determination (Ahmed, 1999). SHC in its conference at Ratto Dero on 31 May 1948 demanded to solve the nationality question on the lines followed by the USSR as per the Marxist theory. They advocated for a struggle to attain the Sindhi national rights as per the same ideology (Joyo, 2005). They organized their movement on class lines and chose oppressed classes for the fulfillment of their agenda. Their objective was to ameliorate the economic/ social condition of oppressed classes. After the creation of Pakistan, people of Sindh had to face hardships and they regarded those as discriminatory acts perpetrated by ruling junta controlling the central government. Resultantly a sense of deprivation got developed amongst them and the same feelings provided a fertile ground for the Sindhi nationalist emotions. According to opinion of the most of Sindhi nationalists they had to face more repressive and brutal acts by Pakistani administration which surpassed the repression of colonial era in its intensity (Khan, 2005). Certain events and acts by the federal Government administration in cultural, economic, social and political spheres alienated various segments of Sindhi population.


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3. Influx of Immigrants Following the partition of sub continent, shifting of population across the borders took place at massive scale. It was not a simple affair and the region witnessed a huge disturbance as a consequence. The process of shifting of population had long lasting effects on the province of Sindh. In subsequent lines an attempt has been made to identify the impacts of Immigrants influx on the indigenous Sindhi society. Due to obvious reasons, the exact figures of Immigrants could not be established and various researchers, institutions and governments of both the countries have been quoting different figures (Ansari, 2005). Sindh had to accommodate 20% of the total Immigrants from India (Cohen, 2005). Despite the fact that Sindh had to accommodate less number of Immigrants, Sindh province got more affected as compared to Punjab. Immigrants could make a smaller proportion due to huge population of Punjab whereas in Sindh Immigrants formed a pronounced proportion of total population. The Sindhi speaking population was reduced from the pre-partition ratio of 87% to 67% by 1951 (Cohen, 2005). Majority of the Immigrants who settled in Punjab belonged to East Punjab whereas Urdu speaking migrants formed the majority amongst those settled in Sindh. Immigrants homogenized the population of Punjab due to similar culture whereas they hydrogenised the population in Sindh due to variations in culture, language, historical and social background. They were scattered and settled throughout Punjab in both rural and urban areas. In Sindh majority of the Immigrants got settled in urban areas and they were isolated from local population. Karachi and Hyderabad, two important cities of the province became Muhajir dominated cities (Waseem, 1996; Cohen, 2005). According to the report of a special committee appointed by Pakistan Sindh Joint Refugee Council, 0.7 million Immigrants had settled in Sindh by 1948 (Ansari, 2005). Central government wanted to settle more Immigrants in the province. For their rehabilitation she had already established a separate federal ministry of Immigrants Settlement and Rehabilitation in September 1947. Provincial government of Sindh under Ayub Khuhro disagreed with the central government on the issue of the number of Immigrants to be settled in Sindh. Provincial government argued that the provincial resources were insufficient to accommodate the number of Immigrants as asked by the Central government (Ansari, 2005; Khuhro, 1998). After the dismissal of Khuhro s government, central government on 27th August 1948 took the matter under its direct control through proclamation of emergency as per amended clause 102 of the COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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constitution (Sayeed, 1996) and forced 0.2 million Immigrants from East Punjab to Sindh for settlement in the rural areas (Ansari, 2005). The act was resented by the peasants of Sindh and SHC passed a resolution against the allotment of lands to the Punjabi Immigrants (Joyo, 2005). At the time of partition, about 40% of land in Sindh province was in possession of Hindus (Khuhro, 1998). Hindu money lenders had acquired lands either by purchasing through auctions due to inability of Muslims to return the loans or through tactics of land mortgage. Local population perceived that the property left by Hindu emigrants would be distributed amongst tenants and erstwhile owners of the respective lands (Shah, 1997). SHC demanded that the property left by Hindus should be distributed amongst tenants and Immigrants both (Ageif, 1979). Their expectations did not materialize and land including mortgaged one was distributed amongst the Immigrants. Nearly two million acres of evacuee agricultural land was allotted to Immigrants (Ahmed, 1999). Local population felt deprived and considered themselves exploited due to the allotment of lands to Immigrants (Shah, 1997; Ansari, 2005). Immigrants who were allotted land formed two categories. A large number of Immigrants settled in urban Sindh were allotted lands in interior Sindh which gave birth to Absentee Land Lord-ism in Sindh. The other category of Immigrants settled in rural areas acquired possession of the lands allotted to them and became owner cultivators. A large number of tenants were displaced and they were compelled to seek some other sources to earn their livelihood. That added insult to injury as the locals were deprived of even the tenancy of the land for which they were demanding ownership. The government provided Tacaavi Fund to refugee cultivators for the agricultural purposes. Sindhi peasants resented the act considering it as the preferential treatment and Sindhi intelligentsia opposed that on the ground of financial burden on the resources of the province (Ansari, 2005). Majority of Immigrants who settled in the urban areas of Sindh had migrated from the areas of UP and CP which formed the bulk of Muslim aristocracy. Most of them were better educated and experienced in entrepreneurial and administrative skills (Kennedy, 1991). They had occupied most of the quota allocated for Muslims in the Indian Civil Services (ICS). Out of the total of 101 Muslim officers of civil services, 95 opted to join Pakistan Civil Service (PCS) and their majority belonged to Muhajir community (Sayeed,


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1967a). That provided the foundation for the proceeding dominance of Muhajir community in the bureaucratic administration of Pakistan. With the purpose to provide equal opportunities to underdeveloped communities for induction into civil services of Pakistan, a quota system was introduced in September 1948. For Karachi and potential Immigrants 2% and 15% of the quota was allocated respectively which encouraged the Indian Muslims to migrate to Pakistan. The arrangement ensured the continuity of Muhajir dominance in the civil services of Pakistan. The quota for regions was revised in November 1949, 15% seats allocated for Immigrants were abolished, 2% seats for Karachi were maintained and 20% seats were allocated for open merit (Table 3.1). Muhajir community had 70% of literacy ratio as compared to 10% literacy rate in Sindhis (Wright, 1991). Therefore the abolishment of quota for Immigrants did not bring any change and Muhajir community maintained ascendancy due to their better educational background. As evident by the comparison between successful Immigrants and local candidates of 1950 examination of central superior services shown in Table 3.2. According to the Census of West Pakistan Government Employees 1962, Urdu speaking Immigrants occupied 21% of the job in civil services of Pakistan whereas they were only 3.65% of the total population (Waseem, 1997b; Jaffrelot, 1998). Detail is given in Table 3.3. Table 3.1:

Region Wise Population and Quota for Induction into Civil Services of Pakistan.

Province/ Region

Population (%)

Quota (%) in 1948

Quota (%) in 1949

Bengal

56.75

42

40

Punjab

28.00

24

23

Karachi

1.50

2

2

13.75

17

15

9.80

15

-

-

-

20

All other provinces and princely states of West Pakistan Immigrants Merit

Source: Derived from (Waseem, 1997b; Kennedy, 1984) COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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Table 3.2:

A Comparison of Successful Immigrant and Local Candidates of the 1950 Examination of Central Superior Services

Community

Karachi

Sindh

Bengal

NWFP

Immigrants

6

5

14

2

Locals

-

1

16

2

Source: Derived from (Waseem, 1997b) Table 3.3:

Ethnic Representation in the Civil Services of Pakistan and The Government of West Pakistan

Mother

In Pakistan

In CSP

In West Pakistan

Tongue

In West Pakistan Government

Bengali

55.48

32.00

0.12

-

Punjabi

29.02

35.00

66.39

51.00

Sindhi

5.51

5.00

12.59

8.63

Pashto

3.70

8.47

9.40

Baluchi

1.09

2.49

0.50

Urdu

3.65

21.00

7.57

26.80

Others

1.55

-

2.37

6.67

7.00

Source: Derived from (Samad, 1995, P.195) Immigrants considered themselves to be the representatives of sophisticated Muslim culture and regarded local culture of Sindh inferior to their one (Shah, 1997). Due to that frame of mind, they did not try to adopt the local culture or language. A cultural gulf was created amongst both the communities in Sindh and they could never mix up with each other (Rahman, 1996; Khan, 2005; Mirza, 1987; Waseem, 1996). Better educated COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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Immigrants occupied the majority of white collar jobs both in public and private sectors. Due to weaker Sindhi middle class they also dominated the local business in cities and towns. In 1951, Muhajirs were 20% of the total population of Sindh and 55% of the population of Karachi. 40% of the Muhajirs were employed on clerical and sales workers jobs (Jaffrelot, 1998). Hindu Muslim clashes and riots caused lot of panic and disturbance in the sub continent at the time of partition and especially during the process of shifting of population across the borders. Educated and politically conscious classes of Sindhi Muslims were not prone to the communal violence as both the communities had been living in peace and harmony over the centuries. They did not favour the exodus of Hindus from Sindh (Joyo, 2005). Hindus owned the majority of businesses in Sindh and above mentioned Muslim classes feared that due to their migration, economy of the province would get badly affected. They perceived that Hindu businessmen would shift their capital and a vacuum be created in local level business on account of the paucity of investment. Immigrants just after arrival in Sindh triggered Hindu Muslim clashes and attacked Hindu population killing them and looting their properties. Panic was created and an environment of fear for Hindus prevailed in Sindh, therefore most of Hindus migrated (Khuhro, 1998). Better educated Immigrants mainly followed the modern legalist approach of Islam. They advocated for The Muslim Nationalism negating any ethnic, linguistic or cultural basis of nationality in Islam. A large proportion of Sindhi community followed Syncretic Approach (Soofiism) of Islam which offers a considerable space for the cultural and local traditions. Pakistan Movement was based on Muslim nationalism and due to its effects administration was mostly in favour of former approach and Sindhis considered that to be an encroachment on their belief (Ansari, 2005). According to G. M. Syed, people of Sindh traditionally followed the universal religious ideas based on equality of all human beings and love for mankind. He opined that to change their great liberal tradition through imposition of the wrong interpretation of Islam created an inferiority complex amongst them (Syed, 1991).


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4. Separation of Karachi Karachi before partition was the capital of Sindh province and hub of all economic activities in the area. The areas which later formed West Pakistan were fully dependent on Karachi for all types of imports/ exports being the only sea port in the area. People of Sindh considered Karachi as the major factor to boost the economic development of their province. They were looking for a good amount of income from the port to be utilized for the development of the province. In short, people of Sindh had associated lot of expectations with Karachi and considered that as a guarantee for the prosperous Sindh. After the creation of Pakistan, Karachi was declared as its capital. Initially Karachi was made part of Sindh and it was administered by the Sindh Government and federal capital was established in the city of a province. According to Quaid-iAzam, the step was taken with the consent of politicians of Sindh as they had agreed with Muslim League to accommodate the federal capital at Karachi (Ali, 1967). Federal Government acquired the possession of buildings of Sindh secretariat and Sindh assembly from government of Sindh and established federal secretariat and Central Legislative Assembly (CLA) in those buildings. Above mentioned provincial institutions were shifted in some other buildings on adhoc basis. Karachi was hosting the federal as well as the provincial capitals and differences erupted between federal and provincial governments over the administration of the city. Utilization and allotment of houses vacated by the Hindu emigrants was one of the sources of conflict between them. Provincial government of Ayub Khuhro allotted those houses as she deemed appropriate whereas federal government wanted that all such houses should have been allotted according to its directions (Khuhro, 1998). Provincial government of Ayub Khuhro strictly controlled the Hindu-Muslim riots perpetrated by Muhajirs in Karachi on 6 January 1948 (Samad, 1995). Ayub Khuhro alleged that PM Liaqat Ali Khan was not in favour of the act of the provincial government (Khuhro, 1998). Following the Hindu Muslim riots, backed by the Muhajir bureaucracy and Urdu press, Muhajir community raised the voice for separation of Karachi from Sindh and to hand over city s administration to the federal government (Joyo, 2005). Liaqat Ali Khan wanted to bring the administration of Karachi under his direct control to settle Muhajir community there, creating a safe constituency for himself and his Urdu speaking compatriots (Chaudhri, 1994; Shah, 1997; Chandio, 2004). He was averse to the idea of provincial government in control of the city which was also a federal capital. It was amply demonstrated by his COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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address to the Cabinet meeting presided over by Quaid-e-Azam held at Governor General House in the 3rd week of January 1948. The central government is sitting here like strangers. We have no power, everything is sanctioned by the provincial government especially Mr. Khuhro who controls the city. We are nothing in Karachi. If I want a gardener I have to refer to Mr. Khuhro, if I want water for my garden

I

have

to

refer

to

Mr.

Khuhro.

He

is

everything,

we

are

nothing.

(Khuhro, 1998, P. 333) He said that provincial government of Sindh should shift from Karachi and compensation be given to the province Go make your capital in Hyderabad or somewhere. (Khuhro, 1998, P. 333) In response to the intensions of central government to make Karachi as the permanent capital of the country and taking it under central control, there started an opposition. On 21 January 1948, about 800 students of Sindh Muslim Students Federation (SMSF) from various colleges gathered at the residence of Premier Mr. Ayub Khuhro and held demonstration against the proposal of separation of Karachi from Sindh (Khuhro, 1998). On 30th January 1948, SMSF passed a resolution against the separation of Karachi from Sindh and suggested to hold referendum over the issue in Sindh (Chaudhri, 1994). On 8 February 1948, SML council held a meeting and announced to oppose the proposal commenting that economic growth of the province would be retarded. They also observed that according to the Pakistan Resolution, the territorial integrity of all the constituent units was to be maintained. On 10th February 1948, SLA passed a resolution against the proposal of separation of Karachi. During the discussion, members of assembly argued that Punjabis wanted to dominate Sindhis in their own province and status of Sindh would become insignificant by the separation of its most important city (Ansari, 2005; Rehman, 1995). On 16th February 1948, SMSF announced to observe Karachi Day on 20 February 1948 (Chaudhri, 1994). Mr Ayub Khuhro in a long note to PM wrote that according to the commitment of Quaid-i-Azam, Karachi was temporarily selected as a federal capital and it should not be detached from Sindh (Khuhro, 1998). Federal government perceived that the


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movement was instigated by Khuhro and Governor General dismissed his government on 27 April 1948. (Ahmed, 1999) On 22 May 1948, the CLA passed a bill presented by interior minister Khawja Shahab-ud-Din to make Karachi the permanent capital of the country and centrally administered area (Ansari, 2005). A Sindhi member of the CLA Hashim Guzdar, opposed the bill and criticized that bitterly. He contended that the act was violation of Lahore Resolution and said that had that been known to Sindhis they would have never supported Pakistan Movement. He argued that neglecting the resolutions of SML and SLA and in contravention of public opinion, was tantamount to beheading of province. He asked the federal government administrators that whether they wanted to be authoritarian rulers and wanted to thrust their orders against the will of people or they would honour the commitment made in the Lahore Resolution. He said that people of Sindh did not want separation of Karachi. M. A. Khuhro also opposed the resolution vehemently (Chaudhri, 1994). SML strongly protested against the decision, decided to observe Karachi Day and to launch direct action programme which was postponed on the suggestion of Hashim Guzdar. He suggested that a delegation should meet Quaid-i-Azam regarding the matter. The delegation led by Hashim Guzdar met him in Ziarat during the last quarter of June 1948. They failed to convince Quaid-i-Azam against the separation of Karachi who promised that Sindh would be fully compensated for the financial losses incurred by the separation of Karachi. He promised that Sindhis would not be discriminated in Karachi, they would be allowed to purchase property in Karachi, and they would not be expropriated from the evacuee shops and properties which were in their possession (Saleem, 1990). Under an executive order issued by Governor General of Pakistan on 22nd July, Karachi was taken under direct control of federal administration on July 23, 1948. A Muhajir officer, Syed Hashim Raza was appointed as the administrator of the Karachi and thousands of employees working under provincial government were transferred to federal government (Chaudhri, 1994). The decision of separation of Karachi demonstrated the autocratic behaviour of centre oblivion to the almost united opposition by the indigenous population against the issue (Khuhro, 1998). Provincial capital of Sindh continued functioning in Karachi but the city was not under the jurisdiction of Sindh government. Government as well as people of Sindh was cut off from the capital of province. The complete infrastructure of the city became under control of the federal COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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government. A large number of Immigrants had already started settling in Karachi and with the city given under jurisdiction of Muhajir dominated central government, the migration of Immigrants got accelerated. The city administration was more sympathetic towards Immigrants and all the available resources were at its disposal. The hindrances in the settlement of Immigrants, previously created by the provincial government to safeguard the interests of locals vanished. Federal Government as well as Karachi city were Muhajir dominated therefore people of Sindh developed a sense of deprivation regarding employment in public sector under the federal government as they were gradually eliminated from the government jobs (Saleem, 1993). People of Sindh became frustrated and expressed their resentment over the issue. The Sindhis viewed that the separation of Karachi was an administrative maneuver to benefit Muhajir community at the expense of native Sindhis (Shah, 2001). They felt that after the separation of Karachi form Sindh, it was converted into a colony of Muhajir community migrated from India, converting Sindhis in minority and making Karachi a centre of the Muhajir culture (Syed, 1995; Waseem, 1996).

Provincial capital of Sindh government was shifted to Hyderabad. Sindh

University, the only university of the province was shifted to Hyderabad. In 1952, a separate university was established in Karachi thereby creating a clear division in the educational institutions. Federal government pledged to pay an amount of rupees 600 to 800 million as compensation but only 6 million rupees were finally paid (Khan, 2005). Sindh government had to face the financial hardships as the federal government did not abide by its promise and provincial government had to meet the expenditure from its own resources which were drastically cut short due to Karachi s separation. Provincial administration had to pay even expenses for the main hospital of the Karachi, colleges, and their hostels as the centre denied owning those. The infrastructure of Industrial Complex of Karachi constructed by spending provincial resources was taken over by the centre. Even after seven years the value of Sindh s property in Karachi amounted to Rs. 965 million (Ageif, 1989). That had worse effects for provincial economy. Provincial government faced difficulty in preparation of annual budget as it was divested of its main source of income without proper compensation. She had to cut short the allocation of funds for public sector development programmes which retarded the economic growth and development of Sindh.


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People of Sindh could neither accept nor forget the decision of separation of Karachi from Sindh thus creating the long lasting resentment amongst them (Manzar, 1994). 5. Language Problem

After independence, Urdu was declared as the National language of Pakistan and official language at central and provincial levels. Urdu was the mother tongue of the Immigrants from UP & CP and its status was elevated to National language against comparatively much widely spoken Bengali, Punjabi, Sindhi and Pashto languages (Kennedy, 1991). Perhaps the decision was taken due to the importance Urdu had acquired as a symbol of Muslim nationhood during the course of Pakistan Movement. Urdu, being Langua Franca of Muslim community in subcontinent, was accorded preference over regional languages. It was considered to be the repertoire of Muslim cultural heritage (Sayeed, 1980). According to Quaid-i-Azam, State language of Pakistan is going to be Urdu and no other language. Without one state language,

no

nation

can

remain

tied

up

solidly

together

and

function.

(Jinnah, 1962, p. 86) Urdu was declared as the symbol of national unity and integrity being the language of the Muslims of subcontinent. The founding fathers wanted to establish the concept of Pakistani nationhood and they selected Islam and Urdu as the instruments for that end. They discouraged the phenomenon of nations/ nationalities on ethnic or linguistic grounds. They regarded any efforts for attainment of official status for regional languages unpatriotic and against the spirit of unified nationhood. Central Government was Muhajir dominated; therefore the people of Sindh regarded imposition of Urdu language as an effort to curb their separate identity. The people of Sindh and Bengal opposed the decision vigorously on the plea that their native languages were historical and had rich heritages. Moreover being official languages of the respective provinces in colonial era, those were well developed and modernized to fulfill the linguistic requirements of the time (Rahman, 1996). People of Sindh felt that their language was being marginalized and they would be at a great disadvantage as compared to Muhajirs in all spheres of life (Adeney, 2007). The government imposed Urdu as the official language without considering the apprehensions of Sindhis.


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Although Sindhi remained medium of instructions along with Urdu in the province but newly opened schools were mostly Urdu medium. Sindhi was taught at 1300 schools in Karachi till 1948 (Manzar, 1994). No new Sindhi medium school was opened in Karachi and some already established were closed thereby number of Sindhi medium schools decreased in Karachi (Ahmed, 1999). The discrimination against Sindhi language by central government was demonstrated by the fact that Secondary Board of Examination for federal areas adopted such a policy that students were not allowed to opt for English and Sindhi simultaneously rather they were forced to chose one out of those (Chandio, 2004). Urdu was taught as a compulsory subject at school level since 1948 and at Karachi University since 1952 (Ansari, 2005). Sindh University was shifted from Karachi to Hyderabad; newly established Karachi University accorded preference to Urdu, introduced Urdu as compulsory subject, closed the Sindhi department and discarded the Sindhi as medium of instructions or examinations which created lot of problems for Sindhi students (Harrison, 1987). In the circles of power, administration, education, communication, commerce and some of the cities of Sindh, people of Sindh found themselves more handicapped, suppressed and oppressed as compared to other people of the country due to the superior status of the language of a minority (Joyo, 2005). Urdu, being mother tongue of the majority of Immigrants settled in Sindh and comprised a considerable proportion of population, created peculiar impacts on the cultural, social and economic aspects in the province. The decision developed a perception that Urdu was superior language than Sindhi and culture of Muhajirs was superior and sophisticated to that of locals. A sense of superiority prevailed amongst Muhajir community and they were completely isolated from locals (Shah, 1997). Educational institutions, press and cultural activities became Urdu dominated due to the large concentration of Urdu speaking people in the cities (Waseem, 1996). The language being the mode for acquiring knowledge plays a significant role for obtaining the social status and economic benefits. Official status of the language of a particular community in a multi ethnic society provides an upper edge to that community in social and economic sectors rendering other community deprived of the prospects for development. Muhajir community occupied more number of influential positions in the province than their due share and they attributed their dominance to their professional competence. Their mother tongue Urdu, was the COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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medium of instructions at educational institutions and language of communication in politics/ government offices which put them at a great advantage against their competitors who were less proficient in Urdu. Had Sindhi been official language, the situation would have been much more difficult for Muhajir community because they were less proficient in Sindhi as compared to proficiency of Sindhis in Urdu (Sayeed, 1980). Supporters of Anjuman Taraqqi-e-Urdu acknowledged that Sindhis were not against the learning or usage of Urdu language. They were in fact against the efforts to accord it a superior status, discard their mother tongue from the social, political and educational systems and create hindrances in the promotion of their national literature. Urdu speaking people were afforded better opportunities due to ban in educational institutions for conducting exams in Sindhi. Individuals proficient in Urdu were given priority in public sector jobs (Ageif, 1989). The situation hindered the locals to assimilate the settlers in Sindh, especially Urdu speaking community. The situation was tantamount to the paradox in which, Immigrant community demanded assimilation of locals, the distinctive feature of the conquerors. Nationalists construe as they were being conquered or occupied and the conquerors wanted to annihilate their culture (Ahmed, 1999). 6. Interference by Central Government in Provincial Affairs Indian Independence Act, an amended form of the Government of India Act 1935 was adopted as the provisional constitution of Pakistan. Centre was empowered to amend the constitution as and when required after independence. Governor General could amend the constitution by an order till 1949 and afterwards amendment could be made through an Act of the CLA (Callard, 1957). While dealing with the provincial governments, Government of Pakistan surpassed the constitutional provisions at some occasions to curb the provincial autonomy and amended the constitution to enhance the powers of the centre at others (Mcgrath, 2000). Article 93 of the Government of India Act 1935 which provided powers to governor general to dismiss provincial government was abolished in the Indian Independence Act. At the early stages of the newly established country, differences erupted between the centre and Muhammad Ayub Khuhro the first Chief Minister (CM) of Sindh. Provincial government of Sindh initiated measures to check the Hindu-Muslim riots. Muhammad Ayub Khuhro alleged PM Liaqat Ali Khan for undue interference and blamed that he personally asked Muhammad Ayub Khuhro to refrain from such measures (Khuhro, 1998). Provincial government demanded centre to stop further settlement of COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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Immigrants in Sindh. On the issue of separation of Karachi from Sindh, SLA and SML both led by Muhammad Ayub Khuhro opposed the decision and offered tough resistance. Centre regarded the action to be a conspiracy of Muhammad Ayub Khuhro against the central government. Governor General dismissed his government incorporating the article 51(5) of the constitution. The article could only be implemented in case the incumbent ministry had lost the confidence of the assembly whereas M. A. Khuhro enjoyed the confidence of SLA as well as the SML (Mcgrath, 2000). Later on Centre initiated few constitutional moves and administrative acts to enhance her powers vis-a-vis provinces. Firstly, section 93 of the Government of India Act 1935 was included in the interim constitution as section 92 -A. The provincial governments of M. A. Khuhro and Peerzada Abdul Sattar were dismissed using the same provision. Secondly, section 102 was reincorporated in the constitution empowering centre to take direct control of the concerned matters by imposition of emergency. In 1948, centre used the same provision to settle 0.2 million Immigrants in Sindh (Sayeed, 1996). Thirdly, through an ordinance, Central Government announced to create a Special Central Police Force on the pretext to control corruption. The ordinance was in contravention to the norms of the federal system and it provided the centre a provision to threaten provincial authorities in case of any contradiction with the centre. Fourthly, the CLA passed Public and Representative Office Disqualification Act (PRODA). The PRODA was mostly used against recalcitrant politicians of the provinces (Callard, 1957). The Act was used by the bureaucrats and political elite of the centre to discredit those provincial politicians on corruption charges who resisted against their policies and interestingly PRODA was not used against any Muhajir politician (Tahir, 1995). Majority of Sindhis viewed those measures as the interference of centre in the provincial affairs and regarded those against the democratic norms based on arbitrary actions of Punjabi-Muhajir dominated central government (Ahmed, 1999; Chaudhri, 1994). Central government created a separate federal ministry for the Settlement and Rehabilitation of Immigrants. Joint Sindh Refugee Council was formed to coordinate the efforts of federal ministry and provincial government for the settlement of Immigrants in Sindh. The council settled large number of Immigrants in Sindh and there were complaints that the interests of locals were harmed in the process (Saleem, 1993).


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At several occasions, central government maneuvered successfully to change the CM of Sindh in violation of the democratic norms and constitutional position just to implement her agenda (Ahmed, 1999). Punjabi-Muhajir dominated bureaucracy controlled the government affairs and in provinces only those politicians were allowed to remain in power who bowed to the policies of the centre (Alavi, 1983; Samad, 1995). Although Muhammad Ayub Khuhro enjoyed the confidence of SLA as well as SML but he was removed from the office of CM on the orders of Governor General of Pakistan. Peer Ilahi Bakhash became the CM and he endorsed the decision of centre for separation of Karachi from Sindh. He had to leave the office of CM following the decision of Sindh High Court declaring his election as member of provincial assembly null and void on the plea of use of unfair means during elections of 1946. His successor, Yousaf Haroon who was not elected member of the provincial assembly remained CM for a brief tenure and Qazi Fazlullah became the next CM Sindh (Khan, 2005). During the tenure of above mentioned three CMs, against the wishes of central elite, Muhammad Ayub Khuhro enjoyed the confidence of SML and remained its president. According to Chaudhri Muhammad Ali, centre applied PRODA to deal with that anomalous situation and banned Muhammad Ayub Khuhro and number of other politicians from holding any public office (Ali, 1967). Sindh High Court exonerated Muhammad Ayub Khuhro of the charges leveled against him under PRODA and he again became CM after striking some sort of deal with central government (Chaudhri, 1994). There was a rift between M. A. Khuhro and some of the ministers of his cabinet notably Qazi Fazlullah and Mir Ghulam Ali Talpur. Governor Sindh, Mr. Din Muhammad a Punjabi lawyer, referred petitions filed by Mir Ghulam Ali Talpur under PRODA against M A Khuhro and Qazi Fazlullah to the Tribunal and asked for their resignation. Khawja Nazim-ud-Din the then PM backed Mir Ghulam Ali Talpur in his efforts to become CM Sindh and M. A. Khuhro frustrated his efforts (Samad, 1995; Khuhro, 1998). Due the internal feud of the SML, governor general imposed section 92-A in Sindh and directed governor Sindh to dissolve SLA and impose Governor Rule. Thus the intervention by centre exacerbated the power struggle between the land lord factions of the Sindh by pitting one against the other (Tahir, 1995). Elections for SLA were held in 1953, SML won 77 out of 110 seats and Peerzada Abdul Sattar, despite not being member of SLA, was elected as the CM of Sindh. He was an exfederal minister and incumbent member of CLA but he was not elected member of the COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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SLA. He initiated steps for the revival of Sindhi culture and tried to improve the financial conditions of Sindh (Ahmed, 1999). To counter the Bengali majority, a plan to create one unit by amalgamation of all provinces of West Pakistan was moved by the centre. The plan was envisaged by leading politicians of Punjab and establishment, with the backing of military (Samad, 1995; Malik, 1963). The consent of provinces was sought before implementation of the plan. SLA rejected the one unit plan by overwhelming majority and passed resolution for reversal of Karachi as part of Sindh. Confrontation started between the centre and provincial government led by Peerzada Abdul Sattar. Peerzada Abdul Sattar was removed from the office and Muhammad Ayub Khuhro was elected as CM Sindh for third time. This time he came into power with the support of centre under the agreement to fulfill its agenda for creating one unit. He adopted undemocratic approach, intimidated the members by threatening them to implicate in criminal cases and managed the approval of one unit plan from SLA. Hussain Shaheed Suharwardi used the term of Khuhro-ism while commenting on above mentioned acts in his address to CLA (Sayeed, 1967a). A wave of resentment and grievances against centre spread in Sindh. 7. Role of Bureaucracy One of the contributory factors for Sindhis alienation was their less than adequate representation in administrative affairs of the state. Particularly their representation at the level of decision making in central government was negligible. Muslims living in UP and CP had a prominent position and role in the Mughal aristocracy. During the colonial era, Muslims educational movement of Sir Syed Ahmad Khan played a key role for grooming of Muslim leadership. Muslims of UP and CP were the principal beneficiaries of his movement and Ali Garh University. Ali Garh graduates became leaders of Muslims in subcontinent in almost all spheres of life. From the pre-partition era, Muslim League as an organization was dominated by the Ali Garh elite mainly belonging to UP and CP. The same political elite controlled the affairs of the government when the party came into power (Waseem, 1996; Burki, 1991). There was no representation of Sindhis in the cabinet of Liaqat Ali Khan and only four out of sixty nine members of CLA were native Sindhis (Ansari, 2005). Muhajir politicians held most of the key positions in the newly formed state of Pakistan for example, Muhammad Ali Jinnah from Bombay, Liaqat Ali Khan and COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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Chaudhri Khaliquzzaman from UP, Nawab of Bhopal and Raja of Mahmoodabad from the princely states of the same region. Sindhi community soon realized their ineffective representation in CLA when despite strong opposition by Sindhi members; the resolution for separation of Karachi from Sindh was passed. They realized that any federal system without special constitutional safeguards for the rights of the component units would not be suitable for Sindhis. SLA endorsed memorandum presented to governor Sindh by G. M. Syed demanding representation in legislative organs of the state at parity with other provinces as a federating unit of Pakistan, to ensure that no decision against their regional interests could be approved without their consent (Soomro, 2004; Joyo, 2005). Along with the ineffective representation in the political set up, the higher level government jobs were also nearly monopolized by Muhajirs and Punjabis whereas Sindhis had a meager share. Various contributory and causal factors led to that situation in Sindh. Over and under representation in government jobs by Muhajirs and Sindhis respectively was important factor. As mentioned in the above paragraph, Muslims of UP and CP held important positions in the administration during Mughal era and were the beneficiaries of Muslim educational movement of Sir Syed Ahmad Khan in the nineteenth century. During colonial era, various changes were brought in, number of new fields opened up and educated locals were employed in public and private sector white collar jobs. Hamza Alavi used term Salariat for them. Muslims of UP and CP formed bulk of the Muslim Salariat (Alavi, 1988). At the time of partition, among Muslim officers who joined Pakistan, majority belonged to the areas which became part of India after partition whereas Punjabis had the lion s share in the remaining part (Sayeed, 1967a). In prepartition era Sindhi Muslims being less educated as compared to Sindhi Hindus had share in the government jobs much below their population. According to Macdonald Award, 40% quota of government jobs was reserved for 25% population of Hindus in Sindh (Shah, 1997) whereas practically they occupied 60% of the government jobs in Sindh (Khuhro, 1998). Moreover Muslims from Punjab and areas other than Sindh were also included amongst the Muslim employees in Sindh (Alavi, 1988). Therefore Hindus in Sindh occupied the maximum of middle level government jobs and the sector was almost monopolized by Hindus with some share going to Muslim of the other provinces especially Punjab. After independence, Hindus left Sindh and they were mostly replaced by Immigrant or Punjabi employees (Memon, 2007). Due to the


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factors described above, representation of Sindhis in government services, private sector white collar jobs and in administration during the first decade remained low. The educated people of Sindh were highly disappointed when against their aspirations they could not obtain due share in the government jobs in the departments of the central government because of the dominance of Muhajir community. Those Sindhis who were employed in lower grades in government departments like railway and postal services had to quit their jobs because working conditions were made miserable for them (Shah, 1997). The newly established state had to face confrontation with India over various issues like Kashmir, migration and distribution of arms and assets. She also confronted the various domestic problems. The situation was aggravated due to lack of organizational structure to run the state machinery effectively. Those factors propelled the leadership of Pakistan to emphasize on state building rather than nation building, they adopted the policy of centralization and authoritative attitude and they relied on bureaucracy instead of democratic or political forces (Jahan, 1972; Desilva, 2001). The all powerful political elite in the centre was Muhajir dominated. During the period from 1947 to 1958, 18 were Immigrants out of 27 individuals who held important offices of the governor general/ president, PM, governors and CMs (Haq, 1995). Though they were dominant in the state affairs but had no constituency or lacked wider support base in Pakistan (Waseem, 1997a; Jahan, 1972). Political forces of provinces had less representation in the centre. Being the sole representatives for the rights of their native population provincial governments raised voice for autonomy. Centre regarded their demands for autonomy and other rights as narrow provincialism and tried to curb those through administrative measures (Amin, 1987). Majority of the politicians, especially provincial ministers were inexperienced. On the other hand three provincial governors out of the four provinces were experienced British officers of ICS. Other bureaucrats were also experienced and were used to of working under British colonial bureaucratic system of governance. Center relied more on bureaucrats than politicians and governed the provinces through secretaries rather than ministers (Sayeed, 1968a). Members of the CLA were elected by the provincial assemblies therefore it represented the political and democratic forces of provinces. The politicians at the helm of affairs in the strong centre having narrow political base were afraid of the constituent assembly. They created such conditions that neither the constitution could be framed nor the elections for the CLA were held COPY RIGHT © 2010 Institute of Interdisciplinary Business Research

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(Waseem, 1997a; Wright, 1991). PML did not possess the coherent organization and it was devoid of politically well trained cadre of leaders and workers. The tedious task of running a newly established state was extremely difficult for PML as an organization. It became evident from the fact that founder of the state Quaid-e-Azam reposed his confidence on some of the prominent members of ICS like Malik Ghulam Muhammad and Ch. Muhammad Ali. The former was included in the federal cabinet as finance minister and later as secretary general, government of Pakistan. After the demise of Quaid-i-Azam, influence of bureaucracy proliferated. Instead being the implementer of the decisions of the government they became part of the decision making process (Ziring, 1980). After the assassination of Liaqat Ali Khan, a Punjabi bureaucrat Malik Ghulam Muhammad became governor general of Pakistan. Civil-military bureaucracy became ascendant in the government affairs and the decision making authority passed into their hands. Democratic or political government though remained functional but bureaucracy had become the actual source of power and decision making (Talbot, 1999; Malik, 1999). Coterie of four comprising Malik Ghulam Muhammad, Iskandar Mirza, Ch. Muhammad Ali and General Muhammad Ayub Khan were the real power holders (Palijo, 2003). Governor General of Pakistan, Malik Ghulam Muhammad had enormous authority as compared to governor general of any other dominion having parliamentary system (Baxter, 2001). Malik Ghulam Muhammad with the backing of above mentioned bureaucrats first removed Khawja Nazim-ud-Din from the office of PM. Later he dissolved CLA when it was in the final stages of preparation of the constitution (Macgrath, 2000). Iskander Mirza and General Muhammad Ayub Khan were included in the federal cabinet. They dominated its decision (Afzal, 2001). That is how the domain of power gradually passed into the hands of Punjabi-Muhajir dominated civil-military bureaucracy and influence of politicians got weakened (Ziring, 1980). 8. Conclusion During the early era, people of Sindh had no significant representation in the political elite ruling the centre. Centre adopted authoritarian attitude, tried to implement its policies over provinces and relied on bureaucracy to govern the country and its constituent units. Sindhis had less representation in the bureaucracy as well as the constituent assembly. Though the provincial


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government of Sindh comprised of indigenous people but centre kept interfering with the affairs of the provincial government through bureaucracy and constitutional provisions/amendments. Centre implemented and enforced its policies in the province of Sindh using various means disregarding the reservations of its people. Strong centrist approach, less representation of Sindhis in central government/bureaucracy and increased influence of bureaucracy led to the feelings of deprivation amongst Sindhis. The struggle to attain provincial autonomy through democratic process could not succeed and faced a major setback. Sindhi were alienated from the centre and nationalist feelings found a fertile ground to flourish. That sowed the seeds of nationalist movement in Sindh


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References Adeney, K. (2007). Federalism and ethnic conflict regulation in India and Pakistan. New York: Palgrave Macmillan. Afzal, R. (2001). Pakistan: history and politics, 1947-71. Karachi: Oxford University Press. Agief, V. F. (1989). Sindh: Tarikh kea aeena maen. Karachi: Nao Ka: Danial Publishers. Ahmed, F. (1999). Ethnicity and politics in Pakistan. Karachi: Oxford University Press. Alavi, H. (1983) Class and state in Pakistan, in H. Gardezi & J. Rasdid (Ed.), Pakistan: The unstable state (pp. 40-93). Lahore: Vanguard Books. Alavi, H. (1988). Pakistan and Islam: Ethnicity and ideology, in F. Halliday & H. Alavi (Ed.), State and ideology in Middle East and Pakistan (pp. 64-110).London: Macmillan. Ali, B. (1992). Political forces in Sindh, in S. A. Zaidi (Ed.), Regional imbalance & the national question in Pakistan (pp. 180-192). Lahore: Vanguard Books. Ali, C. (1967). The emergence of Pakistan. New York: Columbia University Press. Amin, T. (1987). Ethno-national movements of Pakistan: Domestic and international factors. Islamabad: Institute of Policy Studies. Ansari, S. (2005). Life after Partition: Migration, community and strife in Sindh: 1947-1962. Karachi: Oxford University Press. Baxter, C. (2001). Political development in Pakistan, in H. Malik (Ed.), Pakistan: Founder aspirations and today realities (pp. 126-148). New York: Oxford University Press. Bhutto, M. (1988). Sindh kae halat ki sachi tasweer. Hyderabad: Sindh National Academy. Burki, S. (1991). Pakistan: The continuing search of nationhood. Colorado: Westview Press. Callard, K. (1957). Pakistan: A political study. London: Allen and Unwin. Chandio, A. (2004). The rise of Sindhi nationalism in Pakistan, 1947-1955, Diplomat Research Journal 1, Khairpur: Department of International Relations Shah Abdul Latif University. Chaudhri, Z. (1994). Pakistan ki syasi tarikh, (Vol. 6), Sindh: Masala khudmukhtari kaa aaghaz. Lahore: Shirkat Printing Press. Cohen, S. (2005). The idea of Pakistan. Lahore: Vanguard Books. Desilva, K. (2001). Ethnicity and Conflict in South Asia, International Studies, 38(53), 53-77.


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Harrison, S. (1987). Ethnicity and political stalemate in Pakistan, in A. Banuzizi & M. Weiner (Ed.), the state, religion and ethnic politics: Pakistan Iran and Afghanistan (pp. 267-298). Lahore: Vanguard Books. Jaffrelot, C. (1998) Interpreting ethnic movements in Pakistan, The Pakistan Development Review, 37(4), 153-179 Jahan, R. (1972). Pakistan: Failure in national integration. New York: Columbia University Press. Jinnah, M. A. (1962). Quaid-i-Azam Muhammad Ali Jinnah: Speeches as Governor-General of Pakistan, 1947-48. Karachi: Pakistan Publishers. Joyo, M. (2000). Save Sindh: Save the continent. Hyderabad: Creative Communications. Joyo, M. (2005). The betrayal-Sindh bides the day for independence, Vol. 1&2. Hyderabad: Sindhi Adebban Ji Sahkari Sangat. Kennedy, C. (1984). Policies of ethnic preference in Pakistan, Asian Survey, 24(6), 688-703 Kennedy, C. (1991). Politics of ethnicity in Pakistan, Asian Survey, 31(10), 938-955 Khan, A. (2005). Politics of identity: Ethnic Nationalism and The State in Pakistan, New Delhi: Sage Publication. Khuhro, H. (1978). The Making of Modern Sindh: British Policy and Social Change in Nineteenth Century. Karachi: Indus Publications. Khuhro, H. (1998). Muhammad Ayub Khuhro: A life of courage in politics. Karachi: Ferozsons (Pvt) Ltd. Lari, S. (1994). A History of Sindh. Karachi: Oxford University Press. Macgrath, 2000) Malik, H. (1963). Muslim nationalism in India and Pakistan. Washington D.C: Public Affairs Press. Malik, I. (1999). Islam, nationalism and the west: Issue of identity in Pakistan. London: Macmillan. Manzar, S. (1994). Sindh kea nasli masail. Lahore: Fiction house. McGrath, A. (2000). The destruction of Pakistan democracy. Karachi: Oxford University Press. Memon, N. (2007). Sindh ki pasmandgi: haqaiq-o-asbab, Hyderabad: Sindhi Adabi Sangat. Memon, S. (2001, March 23). Genesis of separatist sentiments in Sindh. Pakistan Day Special Issue: Daily Dawn


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Mirza, M. (1987). Aaj kaa Sindh. Lahore: Fisko Press (Pvt.) Ltd. Palijo, R. (2003). Sindh-Punjab Water Dispute: 1859-2003. Hyderabad: Center for Peace and Human Development. Rahman, A. (1982). Pakistan: unity or further division, in A. J. Wilson & D. Dalton (Ed.), The states of South Asia: Problems of national integration, essays in honour W. H. MorrisJones (pp. 197-222). London: C. Hurst & Company. Rahman, T. (1995). Language and politics in a Pakistani Province: The Sindhi language movement, Asian Survey, 35(11), 1005-1016 Rahman, T. (1996). Language and politics in Pakistan, Karachi: Oxford University Press Rais, R. (2003). Building state and nation in Pakistan, in C. H. Kennedy, K. McNeil, C. Ernst & D. Gilmartin (Ed.), Pakistan at the millennium (pp. 01-25), New York: Oxford University Press. Saleem, A. (1990). Jabar aur barbadi kea 43 saal, in A. Saleem (Ed.), Sulagtaa hua Sindh (pp. 67-84). Jang Publishers. Saleem, A. (1993). Pakistan of Jinnah: The hidden face. Lahore: Brother Publishers. Samad Y, 1998) Samad, Y. (1995). A nation in turmoil: Nationalism and ethnicity in Pakistan, 1937-1958. New Delhi: Sage Publication. Sayeed, K. B. (1967a). The political system of Pakistan. Boston: Houghton Mifflin Company. Sayeed, K. B. (1968a). Pakistan: New challenges to political system, Asian Survey, 8(2), 97-104 Sayeed, K. B. (1980). Politics in Pakistan: The nature and direction of change. New York: Praeger Publishers. Sayeed, K. B. (1996). Pakistan: The formative phase, 1857-1948. Karachi: Oxford University Press. Shah, M. (1997). The foreign Policy of Pakistan: Ethnic impacts on diplomacy. London: I. B. Tauris & Co. Shah, M. (2001). Criminalization of politics: Karachi, a case study. Ethnic Studies Report, 11(1), 99-131. Soomro, K. (2004). The path not taken: G. M. Syed vision and valour in politics, Sehwan Shrif: Sain Punblishers.


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Syed, G. M. (1949). Struggle for the new Sindh: A brief narrative of the working of provincial autonomy in Sindh during a decade, (1937-1947). Karachi: Sindh Observer Press. Syed, G. M. (1991). Sindhudesh: A Study in its separate identity through the ages. Karachi: G. M. Syed Academy. Syed, G. M. (1995). A case of Sindh: G. M. Syed deposition for the Court, Karachi: Naeen Sindh Academy. Syed, G. M. (1996). Shah Latif and his message. Sehwan Sharif: Saeen Publishers. Tahir, A. (1995). Political struggle of the Muslims of Sindh up to 1977. Pakistan Research Repository Talbot, I. (1999). Pakistan: A modern history. Lahore: Vanguard Books. Waseem, M. (1996). Ethnic conflict in Pakistan: The case of MQM. The Pakistan Development Review, 35(4), 617-629. Waseem, M. (1997a). Political development and conflict resolution in Pakistan, The Pakistan Development Review, 36(4), 715-742 Waseem, M. (1997b). Affirmative action policies in Pakistan Ethnic Studies Report, 15(2), 223245 Wright Jr., T. (1991). Center-periphery relations and ethnic conflict in Pakistan: Sindhis, Muhajirs, and Punjabis, Comparative Politics, 23(3), 299-312 Ziring, L. (1980). Pakistan: The enigma of political development. Kent: Westview Press.


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On The Question of Gambling in Giving Prizes to the Holders of Savings Certificates: An Islamic Analysis on Malaysian Practice Mohd. Fuad Md. Sawari Department of Fiqh and Usul al-Fiqh Kulliyyah of Islamic Revealed Knowledge and Human Sciences International Islamic University Malaysia Jalan Gombak, 53100, Kuala Lumpur, Malaysia Razi Hassan Prime Minister's Department, Office of the Prime Minister of Malaysia Level 9, Block D7, Complex D, Federal Government Administrative Centre, 62519 Putrajaya Md. Faruk Abdullah Department of Fiqh and Usul al-Fiqh Kulliyyah of Islamic Revealed Knowledge and Human Sciences International Islamic University Malaysia Jalan Gombak, 53100, Kuala Lumpur, Malaysia Abstract The focal point of this paper is to analyze the issue of gambling in the practice of prize-giving to the selected holders of Premium savings Certificate (PSC), a product offered by Bank Saimpanan Nasional (BSN), the national savings bank of Malaysia. The paper attempts to provide the Islamic juristic decision on this issue. The paper finds that based on the analogical reasoning of the Shari ah, PSC has different characteristics from gambling. Moreover, a number of fatwa issued by the scholars from Malaysia affirm that, there is no existence of gambling in PSC. The paper adopts descriptive and analytical methods. It relies on the classical and contemporary Arabic literatures as well the Malay and English literatures. Furthermore, interview method is used, in order to obtain first hand information. Understanding the Shari ah ruling pertaining to the gambling issue of PSC has a great impact on the Muslim community to decide whether they will purchase this product or reject it. The paper would be a refereed literature to understand the Shari ah appraisal of giving prizes to the holders of savings certificates. The study is limited to the gambling issue and recommends further study on the underlying contract and the field of investment of PSC. Keywords: Premium Savings Certificate, Gambling, Shari ah


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1. Introduction The objective of the Shari ahi consists of the protection of religion, life, intellect, progeny and property. Based on this, the concept of saving the assets emerged in Islamic economic thought, as saving assets is a means to achieve the objective of the Shari ah. Al-Qurtubi (1964) explains that, the concept of savings is in line with the objectives of the Shari ah. However, Islam does not appreciate the freezing of savings rather condemns it, therefore; to mobilize the savings is significant. Nowadays, almost all banks whether it is Islamic bank or conventional bank offer savings services for their customers. Various ways are being used by the bank to attract customers to keep and save their money in the bank. Among the banks which offer such services is the Bank Simpanan Nasional (BSN), which introduced a product, called Premium Savings Certificate (PSC). This certificate is a savings certificate which encourages a thrifty habit and saving money for the future. This scheme features savings in the form of certificates to promote the culture of saving among the society. This scheme may not give any benefit towards its safe keeping, but as an incentive to attract public to save via such a scheme, BSN provides monthly prizes such as a luxury car, motorcycle and television as a reward. The types of prizes are not fixed and depend on their business strategy. Such prizes will be given to selected customers via polls or lucky draws. PSC is the only sole savings product within financial institutions in Malaysia which is permitted by the government to offer prizes to its depositors via lucky draws held every month. Due to this, the launching of PSC has incited the question of gambling. It is claimed that, PSC is involved with gambling. This issue leads the Muslim customers to fall in confusion to purchase this product, as gambling is prohibited in Islam. The religious norms significantly influence the Muslims to decide whether they would accept a product or reject it. In a constantly changing and increasingly globalized world, religion still plays a significant role in influencing social and consumer behavior. (Fam et al., 2004). Thought PSC was introduced in 1978, but an academic literature regarding this issue is still missing. Therefore, the study attempts to find out the Shari ah appraisal on this issue. It gives an overview of PSC, discusses the features of gambling in the Shari ah, and finally, analyzes the Shari ah ruling for PSC. It attempts to gather some Fatwaii of the jurists related to PSC.


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2. The feature of Premium Savings Certificate (PSC) The Premium Savings Certificate (PSC) is a numbered savings certificate issued by Bank Simpanan National (BSN), the national savings bank of Malaysia. It is issued by the bank for a deposit account. Interest may or may not be paid to the certificate holders. These certificates participate at the periodical draws held by the bank, in which the bank gives prizes to the winning certificates. The certificate may be redeemed at anytime according to its value, either on demand or otherwise. The objective of launching this scheme is as a way of attracting the public to save money. It has become a popular product in Malaysia since it was launched in 1978 (Awang, 2004). The PSC has received a noteworthy response from the Muslims as well. Saifuddin Zuhri, Manager of deposit consumer of BSN affirms that, in 2007, the overall depositor of PSC was around 1.3 million while the total amount of savings was approximately RM 900 Million.iii The minimum purchase of PSC is one unit which worth RM 10. After purchase, every unit of PSC is registered under the name of the buyer which cannot be transferred to other person. However, Companies and organizations can purchase PSC to give to the staffs as awards or bonus payment. A person can buy any number of PSC units as there is no restriction of maximum purchase. Individuals who are 12 years old are allowed to buy PSC. It can be bought from all the branches and promotion centers of BSN around the country (Awang, 2004). BSN also issues dividend payment to depositors. However, dividend payment decision is determined by the bank. For instance, on 26th January 2008, BSN declared that they would pay the dividend to the PSC holders of the year 2007, whose savings was RM 2000 and more from 30th January 2007 to 31st December 2007 without withdrawing the PSC. Saifuddin Zuhri states that, it is estimated that starting from March 2008, a total of RM 3 Millions would be used by BSN for dividend payment.iv In PSC scheme, the prizes are given to the participants on monthly basis. In 2008, this scheme has offered 1,616 prizes every month.v Prize draws for PSC are carried out with the use of computer. Two main factors are used considered in the computation. Firstly, random draw of fifteen digits number which is known as seed ; and secondly, the number of units eligible for the draws and the draw program itself. After the above two factors determined, it is entered into the computer to move the draw and hence, successful certificates are obtained in every draws.vi


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To verify and ensure that draws are carried out in a fair and transparent manner, an independent committee is established to check the draw process.

This committee consists of several

professional people from the Government Actuary, National Audit, and Ministry of Finance. Certificate holders and general public are invited to attend and witness the drawing process. Successful winning certificates are notified via post. Results of every draws are published in the main local papers and in the BSN website. In addition, depositor may obtain draw results via SMS. Certificates which are not redeemed may continue to participate in the subsequent draws. The certificate holders who have deceased, their certificates are still eligible to participate in all draws for a period of twelve months after the deceased date, after that the said certificates are no longer eligible for subsequent draws. 3. The feature of gambling in the Shari ah Since the introduction of PSC by BSN in 1978 till now, the public have raised questions involving several aspects in relation to Shari ah ruling. One of the crucial issues is that, this product is associated with gambling. Therefore, we would be discussing the issue of gambling which was raised by the Muslim community since the launch of PSC. Before we discuss the main issue, we would like to point out the feature of gambling in the Shari ah. 3.1 The Definition of Gambling in the Shari ah In Arabic language, the term gambling is pronounced as qimar or maysir. Maysir means a game of haphazard in all matters; particularly, a game of chance by means of divinatory arrows (Mustafa, et al. 1980). Maysir is of various categories. Some of these types of maysir are seeking omen or fortune by divinatory arrows, back-gammons, chess lottery and etc. The word maysir is derived from the root Yusr, which means convenience. Maysir is so termed because it is a means of earning without toil and exertion (Siddiqi, 1981). Technically, qimar is defined by Jurjani and Ali (1990) as taking one thing after the other from one partner in a game or a game with the condition that the winner of two contestants gets something from the loser . In addition, Ali (2005) described gambling in general as the act of receiving something very easily, or obtaining profit without putting effort into such action. In the modern context, gambling is when someone stakes his asset with a hope of obtaining profit whereby such hope is based solely upon luck and probability (Khaidah, 2002). Moreover,


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the Spanish scholar Ibn al- Arabi (1997) defined gambling as Each one of two (contestants) seek to defeat his partner in an action or statement, in order to take over property set aside for the winner. 3.2 The Difference between Gambling and Risk Taking Gambling is different from risk taking, as gambling is prohibited in the Shari ah in its all features, but risk taking sometimes can be permissible and sometimes can be prohibited. For instance, a businessman buys a commodity which characteristics are known, with a fixed amount of price, but he is not sure whether he can get profit by selling this product or not. This type of risk taking is valid in the Shari ah according to the scholars. On the other hand, risk taking is invalid in the Shari ah in a situation like, a person buys a commodity which characteristics or the price or the possession of the goods is unknown. Therefore, risk taking does not necessarily mean that, a contract becomes invalid in the Shari ah because of the risk. 3.3 The Prohibition of Gambling in the Shari ah It is obvious in the Shari ah that, gambling is a prohibited thing. Scholars are unanimous on the prohibition of al-maysir (Al-Kasani, 1983). Accordingly, Ownership through gambling is a prohibited method of ownership (Meera and Larbani, 2009). The property owned by gambling is not lawful for the gambler. This prohibition is announced by the holly Quran and the holly prophetic traditions. The prohibition of gambling was brought down gradually in stages. In the first stage, Allah says: They ask you about wine and gambling. Say: In them is great sin, and some profit, for men; but the sin is greater than the profit (Al-Quran, 2: 219). In these verses, Allah has mentioned gambling as characteristic of great sin which has paltry benefits for mankind. This verse is, therefore, a clear proof of the gradual prohibition of gambling. The second and last stage of the revelation is, as Allah said in the Al- Quran: O YOU who have attained to faith! Intoxicants, and games of chance (gambling), and idolatrous practices, and the divining of the future are but a loathsome evil of Satan's doing:' shun it, then, so that you might attain to a happy state! (Al-Quran, 5: 90). Regarding the bad effect of gambling, Allah explained in the next verse:


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By means of intoxicants and games of chance (gambling), Satan seeks only to sow enmity and hatred among you, and to turn you away from the remembrance of God and from prayer. Will you not, then, desist? (Al-Quran, 5: 91). Several numbers of traditions have been narrated from the Prophet Mohammad (peace be upon him), which forbid gambling. Prophet Muhammad (peace be upon him) prohibited the game associated with gambling such as dice and chess. According to a Hadithvii narrated by Imam Malik bin Anas (1997) on the authority of Abu Musa that, the messenger of Allah (peace be upon him) once said, Whosoever plays the dice, he surely have betrayed to Allah and his Messenger. A Hadith narrated by Imam Muslim (2000) on the authority of Sulaiman bin Buraidah that, the messenger of Allah (peace be upon him) said, Whosoever plays backgammon is as if he dyes his hands with the flesh of swine and its blood. Besides, the prophet (peace be upon him) says, Whosoever persuades his friend; come let s gamble! He shall give alms. (Al-Bukhari, 1983). It is obvious that if someone persuades his friend to gamble, it could be considered a sin, and should redeem by way of giving alms. Ibn Abi Al-Dunya has reported that: Allah s Messenger (peace be upon him) passed by people playing back-gammon. He said, their hearts are preoccupied in sport, their hands are ill, and their tongues make absurd utterances. Every game which involves gambling or mischief is a game of chance (gambling) (Karim, n.d). Based on the Hadiths mentioned above, there are two types of games which are related to gambling, those are game of dice and chess. However, there is a disagreement among the scholars with regards to the Hadith and Shari ah ruling of these two games. 4. Analyzing the issue of gambling in PSC The discussion in this chapter will be in three aspects. Firstly, we will examine whether PSC has the characteristics of gambling as defined by the Shari ah or not. This will be done through following the process of analogical reasoning of the Shari ah. Secondly, we will find out whether PSC includes the same reasons for which gambling is prohibited. Thirdly, some fatwa of the jurists relating to the ruling of PSC will be discussed.


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4.1The Method of Analogical Reasoning in the Shari ah According to the scholars of Islamic jurisprudence, when a verse of the Quran or a tradition of the Prophet Mohammad (peace be upon him) proclaims a ruling on something, whether it is permissible or invalid, then we should find out the basic characteristics of that thing, and afterward, if the same characteristics is found in another new thing then the Shari ah ruling of this new thing undergoes the same provisions of the previous one. For example, the Quran prohibited theft and ordered to cut off the hand of the thief, and after that a new thing found which is picking somebody s pocket, which is having the same characteristics of thief, rater worse than that, then the hand of the pick pocket should be cut off (Al-Zuhayli, 2001). Based on this, the Quran has prohibited gambling, therefore, the things having the characteristics of gambling should be prohibited as well. Hence, we need to discover the basic characteristics of gambling, and compare it with the PSC to achieve the Shari ah ruling. 4.1.1 The Fundamental Characteristics of Gambling The basic characteristics of gambling which are found from the previous discussion on gambling are as follow: i. The winner gets something from the loser. ii. The loser is obliged to pay. iii. One party gets money easily without spending any effort. iv. The achievement of money is based on luck or probability. v. There is a contest among the two parties. 4.1.2 The Basic Characteristic Of PSC On the other hand, the characteristics of PSC are as follow: i. The winner gets something from third party but not from the loser. ii. There is no risk of loss involved in it. iii. The loser does not need to pay. iv. One party gets money easily without spending any effort but as a reward. v. The achievement of money is based on luck or probability.


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vi. There is no major contest among the participants. 4.1.3 Comparing PSC with Gambling Having known the above characteristics of gambling and PSC, we could say that PSC is not associated with gambling. The characteristics of PSC is different from gambling in most of the times, except in some situations. We can see that in gambling the winner gets something from the loser and the loser is bound to pay to the winner, but in PSC the winner gets money from the third party which is the bank, and the loser participant does not pay anything. So, to get prize from the third party is allowed, according to the Malikiviii schlool of jurisprudence and most of the contemporary Scholars (Al-Maghribi, 1992). Furthermore, in gambling there is a great risk of loss with a very high level of contest among the participants. Rosly and Zaini (2008) described, taking part in gambling exposes gamblers to huge potential losses. People who gamble embrace risk in the most excessive way. They are willing to lose their bets in exchange for a disproportionately huge prize that is impossible to win. On the other hand, there is no risk of loss of the deposit money for all participants in the PSC. Besides, the contest among the participants of PSC holders is absent. So, PSC should be different from gambling in this sense. Even though it is found that both in gambling and PSC the winner gets something valuable easily without spending any effort depending on luck, but it does not invalidate PSC in the Shari ah, as the winner gets something as a reward or gift. To own a property through gift, is an accepted meathod in the Shari ah (Meera and Larbani, 2009). Therefore, we can conclude that, based on the principle of analogical reasoning of the Shari ah PSC is not associated with gambling, and there is far difference between PSC and gambling.

4.2 An Appraisal of Ijtihad Maqasidi Maqasid al-Shari ah means the objective of the Shari ah. It is to find out the wisdoms behind the rulings of the Shari ah. Ibn Ashur (1999) defined, Maqasid of the Islamic law are the objectives or purposes behind Islamic rulings. Ijtihad al-Maqasidi is a kind of analogical reasoning, which comprises making a legal judgement based on the implying objective of the texts of the Quran and Sunnah (Al-Khadimi, 2001).


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This is a significant approach to understand Sharia h ruling more precisely. Ibn Qayyam (1991) points out that Islamic Shari ah and its rulings identify that the intention and the motive behind the contracts are crucial and affect their validity in the Shari ah. Rosly (2010) mentions that, the Maqasid method helps to protect the jurisctic decision form entering into an undesired area. Therefore, we will now attempt to find out the Shari ah ruling for PSC, considering the objective of the verse that prohibits gambling. Allah says in the Quran about the prohibition of gambling: O YOU who have attained to faith! Intoxicants, and games of chance (gambling), and idolatrous practices, and the divining of the future are but a loathsome evil of Satan's doing: shun it, then, so that you might attain to a happy state! (Al-Quran, 5: 90). Allah ordered us to keep away from gambling as it is an act of devil, and after that the objective of this prohibition becomes clear in the next verse: By means of intoxicants and games of chance (gambling) Satan seeks only to sow enmity and hatred among you, and to turn you away from the remembrance of God and from prayer. Will you not, then, desist? (Al-Quran, 5: 91). In this verse, the implying objective of the Shari ah in the prohibition of gambling becomes obvious, as Allah asserts that gambling is prohibited because, it leads to hostility, hatred among the people and turn them away from the remembrance of Allah and from prayer. So, the motives of the prohibition of gambling are as follow: i. It leads people to hostility and hatred among themselves. ii. It keeps the people away from the remembrance of Allah and Prayer. However, if one of the two characteristics is found in anything other than gambling then that should be prohibited in the Shari ah as well. Considering the case of PSC, we do not find any one of the two above mentioned characteristics in it. Meaning to say, there is nothing in PSC that either leads people to hostility and hatred among themselves, or keeps the people away from the remembrance of Allah and Prayer. Therefore, we can come to a conclusion that the PSC should be permitted in the Shari ah, based on Ijtihad Maqasidi. 4.3 Shari ah scholars fatwa on PSC Based upon the existence of gambling elements in PSC, several fatwa relating to its Shari ah ruling have been issued.

These Fatwa in facts, strengthen our opinion, and are analysis


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regarding the issue on PSC. These Fatwa are issued by the renowned Shari ah scholars or the group of scholars in Malaysia. Among them: The Muftiix of Johor state Government, Dato Syed Alwi bin Abdullah al-Hadad, issued a

i.

fatwa that the Shari ah ruling of purchasing of PSC is valid, because it does not constitute as gambling. He explains that, gambling is when we put to stake or bet something in the hope of receiving something back in return, but when what is hoped does not materialize then the stake or bet is lost completely. The difference with PSC is that winning or losing the prize does not cause the loss of the stake or bet (Utusan Melayu, 1981). In fact, this fatwa is based on the analogical reasoning of the Shari ah which we have discussed earlier. ii.

The second fatwa related to the PSC was issued by Mufti of Kelantan state in 1987. The Mufti in his answer to a question What is the Shari ah ruling of bonus obtained from PSC that was announced by the government recently? has given a fatwa that Shari ah ruling of bonus money is Halalx (Kelantan Mufti Department, 1987).

iii.

The Islamic Affairs Section in the Prime Minister Department via Shari ah Studies Panel Meeting held on the 9th October 1991 have taken a decision that, the Shari ah ruling of PSC which is operated by BSN is considered by Shari ah as valid (Researh Council, 1991).

iv.

Muzakarah Fatwa Committee under the Malaysian National Council for Islamic Religious Affairs which was held in 19th February 1992 decided that, the Shari ah ruling for PSC is considered as valid (Jawatankuasa Fatwa Majlis Kebangsaan Bagi Hal Ehwal Ugama Islam Kali Ke

29, 1992).

To summarize the Fatwa of the scholars, we could say that, there is no evidence indicating the existence of gambling elements which may void the PSC; because the certificate is considered as solely savings, and the depositors will be able to receive back their money in the same amount. In addition, at the time when the draw is held, there is no risk of depositor to lose their savings, irrespective whether they get the prizes or not. Actual gambling is when we place a stake or bet something with a hope to receive something in return, but when what is being hoped does not materialize, the stake or bet are lost. Therefore, there is no element of gambling in PSC.


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5. Conclusion The study finds out that, based on the method of analogical reasoning of the Shari ah, PSC has different characteristics from gambling. Furthermore, the reasons for which gambling is prohibited by the Quran are absent in the PSC. Finally, Several Fatwa form the jurists resolve that, there is no element of gambling in the PSC. Therefore, the practice of rewarding the selected savings certificate holders through monthly draws is not regarded as gambling according to Islamic Shari ah. It is an opportunity for Islamic financial institutions to introduce this type of product to motivate their customers to savings, and there is no restriction from the Shari ah for the customers to buy this product. However, it is worthmentioning that, this study is limited to the gambling issue of PSC product of BSN. The study does not ensure that the PSC is totally free from non-Halal elemrnts. This is because, a product s underlying contracts as well as the field of investment are the two necessary criteria to meet the shariah compliancy. There might be the element of Ribaxi in the underlying contract, or the Shari ah prohibition on the field of investment of PSC. Further research is needed on the underlying contracts used in the PSC and the field of invesrment.


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Hashim, NM. & Mizerski, D. (2010), Exploring Muslim consumers information sources for fatwa rulings on products and behaviors , Journal of Islamic Marketing, vol. 1, no. 1, pp. 37-50. Ibn al- Arabi, AB. (1997), Aridat al-Ahwadhi bi Sharh Sahih al-Tirmidhi, Dar al-Kutub alIlmiyyah, Beirut. Ibn Ashur, T. (1999), Maqasid al-Shari ah al-Islamiyyah, Al-Fajar, Kuala Lumpur. Ibn Qayyam, SM. (1991), I lamul al-Muqi in Un Robb al- Alamin, Dar al-Jil, Beirut. Jawatankuasa Fatwa Majlis Kebangsaan Bagi Hal Ehwal Ugama Islam Kali Ke

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Kedudukan Skim Sijil Simpanan Premium Bank Simpanan Nasional Menurut Syariah Islam, BAHEIS, Wilayah Persekutuan. Jurjani, AQ. & Ali, S. (1990), Kitab al-Ta rifat, Maktabah Lubnan, Beirut. Karim, F. (n.d), Al-Hadis: an English translation and commentary on Mishkat al-Masabih, The Book House, Lahore. Kelantan Mufti Department, (1987), Soal Jawab Fatwa Mufti Kerajaan Negeri Kelantan, DarulNaim Sdn Bhd, Kelantan. Khaidah, S. (2002), Risiko dan ketidakpastian menurut perspektif Islam , Kertas kerja Bengkel Pengajaran Kursus Pendidikan Islam, Universiti Teknologi MARA, Shah Alam, Malaysia, 2-5 May. Meera, AK. & Larbani, M. (2009), Ownership effects of fractional reserve banking: an Islamic perspective , Humanomics, vol. 25, no. 2, pp. 101-116. Muslim, AH. (2000), Sahih Muslim, Dar Ihya al-Turath al- Arabi, Beirut. Mustafa, I., Abd al-Qadir, H., al-Zayyat, AH., & al-Najjar, M A. (1980), al-Mu jam al-Wasit, alMaktabah al-Islamiyyah, Istanbul. Rosly, SA. & Zaini, MA. (2008), Risk-return analysis of Islamic banks investment deposits and shareholders fund , Managerial Finance, vol. 34, no. 10, pp. 695-707. Rosly, SA. (2010), Shariah parameters reconsidered , International Journal of Islamic and Middle Eastern Finance and Management, vol. 3, no. 2, pp. 132-146.


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Notes i

Shari ah refers to the law of Islam, derived from the Quran and Sunnah. Shari ah is more than just a law; it is the totality of religious, political, social, domestic, and private life for the Muslim Community. ii Fatwa refers to a legal decree issued by the recognized Shari ah scholars. iii Personal Communication, Mr. Saifuddin Zuhri S. Abdullah, (2008), Manager Deposit Consumer, Bank Simpanan Nasional Malaysia, 6 May. iv Personal Communication, Mr. Saifuddin Zuhri S. Abdullah, (2008). v There are four categories of draws, namely: (1) In the month of January and November, this scheme offered a new BMW 320i car as first prize, a Perdana V6 2.0 car as second prize, a Naza Citra 2.0 car as third prize, a Pesona car as a fourth prize, 2 Umrah or Holiday package as fifth prize, 2 units TV plasma 42 as sixth prize, 2 units KRISS 120 MA120F(E) motorcycle as seventh prize, 5 units LCD TV 32 as eighth prize, 8 units of refrigerators as ninth prize, 10 units of ASTRO decoder as tenth prize, 10 units of digital camera as eleventh prize, 20 units of DVD players as the twelveth prize, and 1,550 PSC worth RM100 as thirteenth prize. (2) In the months of February, August, October and December this scheme offered a Mercedes E200K car as first prize, a Perdana V6 2.0 car as second prize, a Proton Waja 1.6(A) car as third prize, a MYVI 1.3 Ezi car as fourth prize, and from fifth till thirteenth prizes were same as above. (3) In the months of March, May, July and September, this scheme offered a Mercedes Benz C200K car as first prize, a Perdana V6 2.0 car as second prize, a Naza Citra 2.0 car as third prize, a Pesona car as a fourth prize, and from fifth till thirteenth prizes were same as above. (4) In the months of April and June, this scheme offered a new BMW 320i car as first prize, a Perdana V6 2.0 car as second prize, a Proton Waja 1.6(A) car as third prize, a MYVI 1.3 Ezi car as fourth prize, and from fifth till thirteenth prizes were same as above. vi Personal Communication, Mr. Saifuddin Zuhri S. Abdullah, (2008). vii Hadith refers to the narrations based on the sayings and actions of the Prophet of Islam Muhammad (peace be upon him). viii Maliki School is one of the four schools of Islamic law and jurisprudence. About 15 percent of the Muslims around the globe follow Maliki School. ix Mufti is a religious scholar who is authorized to issue Fatwa and to explain religious affairs. x Halal means permitted in Islamic law. xi Riba means Interest. According to Islamic law, Riba is to get increased of the capital, or any kind of benefits, in consequences of loan.


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