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MARYLAND INTERNATIONAL COLLEGE

SCHOOL OF GRADUATE STUDIES


DEPARTMENT OF BUSINESS ADMINSTRATION (MBA)

A Study on Assessing the Effect of Internal Marketing on Employee’s Job


Satisfaction: In Case Study of Hibret Bank S.C in Lideta Sub-City’s Branches
in Addis Ababa, Ethiopia.

BY
BETELEHEM MOLLA (ID MBA/GR01/058/15)

A Research Proposal Submitted to the School of Postgraduate Studies


Presented in Partial Fulfilment of the Requirements for the Degree of Master
of Business Administration (MBA)

ADVISOR: Dr. ARON (PhD)

Addis Ababa, Ethiopia


June, 2024
Conformation and Approval

_________________________ _______________ _____________


Principal Advisor’s Name Signature Date
_________________________ _______________ _____________
Co-advisor’s Name Signature Date

Proposal Evaluators

________________________ _______________ _____________


Examiner’s Name Signature Date

_______________________ _____________ _____________


Chairperson’s Name Signature Date
Table of Contents

Contents Pages
CHAPTER ONE:.............................................................................................................................................1

1. INTRODUCTION...................................................................................................................................1

1.1. Back ground of the study.............................................................................................................1

1.2 Statement of the Problem.................................................................................................................4

1.3. Hypothesis of the Study....................................................................................................................7

1.4. Objectives of the Study.....................................................................................................................7

1.4.1. General Objective......................................................................................................................7

1.4.2. Specific Objectives of the Study.................................................................................................7

1.5. Significance of the Study...................................................................................................................7

1.6 Scope/ Limitations of the Study.........................................................................................................8

1.7 Definition of Key terms......................................................................................................................9

1.8. Organization of the Study.................................................................................................................9

CHAPTER TWO:..........................................................................................................................................11

2. LITRATURE REVIEW................................................................................................................................11

2.1 Theoretical View..............................................................................................................................11

2.1.1 Internal Marketing....................................................................................................................11

2.1.2 Empowerment..........................................................................................................................14

2.1.3 Training and Development.......................................................................................................16

2.1.4 Communication........................................................................................................................17

2.1.5 Motivation................................................................................................................................19

2.1.6 Organizational Support.............................................................................................................20

2.1.7 Job Satisfaction.........................................................................................................................21


2.1.8 Internal marketing and job satisfaction....................................................................................21

2.1.9. Relationship between Internal Marketing and Employee Job Satisfaction..............................21

2.3 Conceptual Framework....................................................................................................................22

CHAPTER THREE........................................................................................................................................22

3. RESEARCH METHODOLOGY...................................................................................................................22

3.1 INTRODUCTION...............................................................................................................................22

3.2 RESEARCH APPROACH.....................................................................................................................23

3.3 RESEARCH DESIGN...........................................................................................................................23

3.4 DATA TYPE AND SOURCE.................................................................................................................23

3.5 Data Collection Instrument..............................................................................................................23

3.5 POPULATION AND SAMPLE SIZE......................................................................................................24

3.5.1 Targeted population.................................................................................................................24

3.5.2 Sampling Design........................................................................................................................24

3.6 Sampling Technique.........................................................................................................................24

3.7 Data Collection Methodology..........................................................................................................25

3.8 Method of Data Analysis..................................................................................................................25

3.8.1 Validity......................................................................................................................................25

3.8.2 Reliability..................................................................................................................................25

4. Budget & Scheduling.............................................................................................................................25

4.1. Work Plan.......................................................................................................................................25

4.2. Budget schedule.............................................................................................................................26

References................................................................................................................................................27
CHAPTER ONE

1. INTRODUCTION

This chapter introduces the phenomenon under study. It consists of the background of the study,
problem statement, research questions, objectives of the study, the importance of the study,
scope of the study, limitation of the study. The chapter finally outlines the organization of the
chapter.
1.1. Back ground of the study

Banking has traditionally operated in a relatively stable environment for decades. However,
today the industry is operating under new; more complex atmosphere resulted from the major
changes in the economic and political conditions, and the storming effects of the financial crisis
which the whole world is still recovering from. All these factors have forced the banks to find a
new basis for competition in order to build and protect their competitive position. Most major
banks have realized that improving service quality and creating customer relationships that
deliver value beyond the provided by the core product itself is the key for fighting competition
and driving performance.

Currently, Service marketing has highly evolved in to a highly competitive discipline with
professionals and academics alike recognizing that many factors influence it and the ultimate
success of service organizations. Due to the nature of the services, often the main determinant of
a customer’s perception of service quality is their interaction with the service staff (zeithmal and
Bitner, 2009), leading organizations to acknowledge the importance of employees in service
delivery and quality. Service organizations are less likely to provide high standards of service
delivery if they do not ensure employee satisfaction (Glimore, 2003). Garicia, Valera, and Del
Rio (2010) put forward that employee satisfactions and customer satisfaction are similar in that
both require the provision of rewards to satisfy wants and needs and that in order to do so,
organizations need to treat employees in much the same way as they would customers. This can
be achieved by the application of internal marketing concepts in the organization.

Employee job satisfaction is a critical factor in determining organizational success and employee
retention rates. Internal marketing plays a crucial role in creating a positive work environment
and enhancing employee satisfaction levels. This study aims to assess the effectiveness of
internal marketing programs at Hibret Bank S.C. in improving employee job satisfaction.

1
Internal marketing is a management philosophy that focuses on treating employees as internal
customers and ensuring they are satisfied, motivated, and engaged in the organization. It involves
aligning internal processes, communication, and resources to create a positive work environment
that promotes employee well-being and satisfaction.

In the banking industry, employee job satisfaction is crucial as it directly impacts service quality,
customer satisfaction, and overall organizational performance. Research has shown that internal
marketing practices, such as training and development programs, communication strategies,
recognition and rewards, and employee empowerment, can significantly influence employee job
satisfaction levels. Here are a few general citations related to internal marketing and employee
job satisfaction in the banking industry: Rafiq, M., & Ahmed, P. K. (1995). Using the Ps as a
generic marketing mix: an exploratory survey of UK and European marketing academics.
Marketing intelligence & planning, 13(9), 4-15.) Ahmed, P. K., & Rafiq, M. (2003). Internal
marketing issues and challenges. European journal of marketing. Grönroos, C. (1994). From
marketing mix to relationship marketing: towards a paradigm shift in marketing. Management
decision.

This research study aims to investigate the effect of internal marketing on employee job
satisfaction at Hibret Bank S.C. Internal marketing is the process of treating employees as
internal customers, ensuring their needs and satisfaction are met to enhance organizational
performance. This study will explore the relationship between internal marketing practices and
employee job satisfaction within the context of a financial institution, specifically Hibret Bank
S.C. The research methodology will involve a mix of quantitative and qualitative approaches,
including surveys, interviews, and data analysis, to gain an in-depth understanding of the subject.
The findings of this study will contribute to the existing body of knowledge on internal
marketing and its impact on employee job satisfaction, particularly in the banking sector.

Environmental dynamics and increasing competition lead organizations to become more


competitive and to be sensitive about customer's satisfaction ( Aghazadeh et al., 2007).
One of the most factors to realize this objective, especially in service organizations, is
service quality. The quality of service is dependent upon a variety of factors. A factor
which may contribute to the sustainable upgrading of the service quality and faithfulness
of customers is internal marketing. Internal marketing is a major activity in the

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development of a customer-oriented organization. The main objective of internal
marketing is to promote the knowledge about internal and external customers and lift the
operational obstacles which may be in the way of making the services based on values
and organizational effectiveness (Christopher et al., 1991).

Internal marketing views the employees and jobs as internal customers and internal
products, respectively (Lee and Chen, 2005). In the market-oriented literature and
strategic management, more attention was paid to the external factors of an organization,
although you can see today that a balance should be created between the external and
internal factors, as both are critical for a strategy to be successful ( Lings, 1999). Foreman
and Money (1995) held that when an organization has an internal chain of supply
comprising internal customers and suppliers, the organization’s management ought to
view the organization as a market. This means that meeting the internal customer needs
will put the organization in better conditions to provide high-quality services to the
external customers (Foreman and Money, 1995). Therefore, internal marketing is an
important activity in the development of a customer-oriented organization.

One of the approaches to the attainment of this objective is internal marketing, which is a
key factor in offering superior services and success of the external marketing of an
organization (Greene et al., 1994; Rayej et al., 2010). Bery and Gronroos introduced the
concept of internal marketing in the 1980’s. Heart of internal marketing is that employees
constitute the internal market of an organization (Papasolomou-Doukakis, 2002). This
means that organization has an internal market with internal customers and suppliers and
meeting the needs of the internal customers is essential to the success of the organization
in external market.

Financial institutions, as one type in the service industry, are the most important engines of
economic growth for any economy in the world. In Ethiopia the major financial institutions
operating are banks, insurance companies and micro-finance institutions. The financial system
especially the banking sector is highly concentrated. Concentration in the market is a barrier for
the presence of a well-built competition (Ebisa Deribie 2012).

Moreover, successful organizations are those that integrate efficient and effective management
in internal and external dimensions (Olorunleke, 2000). To Survive and succeed in the modern

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world it is necessary to a firm know how to handle its competent employee as they are the
defining factor on service delivery.

On the other hand, the practice of internal marketing in Hibret Bank (United Bank) S.C seems to
contrary to that and there is high turnover. So this research focuses on filling this gap considering
the internal marketing factors that affect employee’s job satisfaction of United Bank S.C and
going to assess the factors which contributes and enhances the adoption of internal marketing
concept in United Bank (Hibret Bank) S.C, and the Effect of internal marketing on Employee’s
job satisfaction for the Bank employees.

Based on the above ideas and concepts, the study intended to investigate the extent of
implementation of internal marketing practices represented by the empowerment, training and
development communication and motivation and their effect on job satisfaction of Hibret Bank
employees.

Findings of this research may useful for the United Bank S.C in formulating appropriate internal
marketing strategies to build Employee satisfaction.

1.2 Statement of the Problem

Employee job satisfaction is a crucial factor that directly impacts organizational performance and
success. Several studies have highlighted the importance of creating a positive work environment
that fosters employee satisfaction and engagement. One of the key strategies to achieve this is
through internal marketing, which involves treating employees as internal customers and meeting
their needs and expectations.

Hibret Bank S.C. is a leading financial institution in Ethiopia, known for its customer-centric
approach and commitment to employee development. However, little research has been done on
the specific role of internal marketing in enhancing employee job satisfaction at Hibret Bank
S.C. Therefore, this study aims to fill this gap by investigating the effect of internal marketing on
employee job satisfaction within the organization.

This research study aims to investigate the effect of internal marketing on employee job
satisfaction at Hibret Bank S.C. Internal marketing is the process of treating employees as
internal customers, ensuring their needs and satisfaction are met to enhance organizational
performance. This study will explore the relationship between internal marketing practices and

4
employee job satisfaction within the context of a financial institution, specifically Hibret Bank
S.C. The research methodology will involve a mix of quantitative and qualitative approaches,
including surveys, interviews, and data analysis, to gain an in-depth understanding of the subject.
The findings of this study will contribute to the existing body of knowledge on internal
marketing and its impact on employee job satisfaction, particularly in the banking sector.

It becomes clear that successful marketing can only be implemented if the firm is involved not
only in external but also in internal marketing. The standpoint of internal marketing is that
employees of an organization are its first market. Hence, the concept of internal marketing is
based on the idea of employee as customer. Among the first who advocated that idea were Sasser
and Arbeit. In their opinion internal marketing holds that personnel are the first market of a
service organization (Sasser and Arbeit, 1976). The key motive behind the adoption of internal
marketing within banks is the need to achieve attitudinal change among staff towards service-
mindedness and customer focus that will enable the organization to compete more successfully
in the external market place (Papasolomous and Kitchen, 2004).

According to Naveed .A (2013) external customer satisfaction cannot be achieved without the
fundamental contribution of the customer-contact employees who provide the service. The front-
line employees of the bank interact with the majority of customers and generally handle a wide
range of banking transactions. Because of the importance of the service provided, Bank firms
should support customer-contact employees in order to acquire communicative sales skills and
make them feel comfortable and satisfied with their job. The above ascertainment emerged the
concept of Internal Marketing (IM). Since recent times internal marketing is proposing as a
solution to the problem of delivering consistently high service quality (Yonatan Z, 2019).

Consequently, few empirical studies have been conducted regarding internal marketing and they
attributed this to the lack of models demonstrating the significance of internal marketing among
service firms. More recently, a study showed that banks suffer from weaknesses related to
internal marketing, resulting from ineffective management in terms of interpersonal and
technical skills (Al- Jaradi 2014). In the same line of argument, Alawi (2010) refers that the
management in banks failed to comprehend employee needs because of poor channels of
communication between management and employees.

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The result of Selamawit .H (2015) shows that internal marketing practices have a positive
relationship with employee job satisfaction. Vijaya K. and Nittala R. (2012) Results revealed that
the internal marketing dimensions had a significant impact on the satisfaction level of employees
of State Bank of India. Likewise, a study by Sarah M. (2013) examined element of internal
marketing as a predictors of employee satisfaction conducted a South African service
organization. So based on this empirical evidence done, it is possible to argue that internal
marketing is the reason for job satisfaction.

Currently united Bank S.C has taking massive initiative to satisfy its employee’s, human
Resource management policies have been formulated that is related to internal marketing, for
instance Training program, Salary Adjustment/ increment, Bonus, Job Rotation and promotion to
satisfy its employee. Therefor investigating the extent to which United Bank is using internal
marketing approach as a tool for execution for its strategic plan and its impact on the satisfaction
of employee is the interest of the researcher. Thus the intent of this study is to examine the effect
on employee’s job satisfaction in united Bank S.C. and also the researcher add missed
independent variable which is retention policy, this variable is an important element because to
retain the qualified employee’s by this reason which is missed by researcher which is by
Selamawit H. (2015) similarly see the effects of across Sector which is the unlisted bank
(UB.S.c) by the previous research in our country.

Hibret Bank S.C. is a leading financial institution in Ethiopia, known for its customer-centric
approach and commitment to employee development. However, little research has been done on
the specific role of internal marketing in enhancing employee job satisfaction at Hibret Bank
S.C. Therefore, this study aims to fill this gap by investigating the effect of internal marketing on
employee job satisfaction within the organization. And it aims to provide valuable insights for
organizations seeking to improve their internal marketing practices and enhance employee
satisfaction levels.

1.3. Hypothesis of the Study

H1: Training and Development has positive and statistically significant effect on employee job
satisfaction.
H2: Motivation has positive and statistically significant effect on employee job satisfaction.
H3: Communication has positive and statistically significant effect on employee job satisfaction.

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H4: Reward has positive and statistically significant effect on employee job satisfaction.
1.4. Objectives of the Study

1.4.1. General Objective

The main aim of this study is to assess the effect of internal marketing on employee’s job
satisfaction in the context of Hibret Bank S.C in Addis Ababa, Ethiopia.
1.4.2. Specific Objectives of the Study

To achieve the objectives of this study, the following specific objectives are taken as indicators
to study.
 To observe the effect of training and development on employee job satisfaction practices
at Hibret Bank S.C
 To examine the effect of motivation on employee job satisfaction at Hibret Bank S.C.
 To assess the effect of communication on employee job satisfaction at Hibret Bank S.C.
 To investigate the effect of reward on employee job satisfaction at Hibret Bank S.C.

1.5. Significance of the Study

This study will contribute to the existing literature on internal marketing and its impact on
employee job satisfaction. The findings can help other organizations in the banking sector and
beyond to understand the importance of internal marketing in creating a positive work
environment and fostering employee satisfaction. The study will provide insights into the impact
of internal marketing on employee job satisfaction, potentially leading to enhanced employee
engagement and organizational performance at Hibret Bank S.C.

This research study will contribute valuable insights into the effect of internal marketing on
employee job satisfaction, particularly in the context of Hibret Bank S.C. By understanding the
key drivers of employee satisfaction and the role of internal marketing practices, organizations
can develop strategies to enhance employee engagement, retention, and overall performance.

The research methodology will involve a mix of quantitative and qualitative approaches,
including surveys, interviews, and data analysis, to gain an in-depth understanding of the subject.
The findings of this study will contribute to the existing body of knowledge on internal
marketing and its impact on employee job satisfaction, particularly in the banking sector.

7
The research outcome will benefit Hibret Bank S.C in Addis Ababa to observe its employees’
job satisfaction by assessing the mechanism used by the internal marketing. It will help to know
if the method being used is affecting employee’s job satisfaction and the necessity of doing
further research for achieving organizational objectives. It will also help UB S.C management
for doing further research on employee’s job satisfaction in order to find out if they are
contributing their maximum efforts for the achievement of its objectives. It will also contribute
for the improvement of the method being used to upgrade the employee’s job satisfaction by
using internal marketing. In addition to these, it will be used by other researchers who are
interested to conduct future study in relation to this topic as reference.

By investigating the effectiveness of internal marketing programs on employee job satisfaction at


Hibret Bank S.C., this study aims to provide valuable insights for organizations seeking to
improve their internal marketing practices and enhance employee satisfaction levels.

1.6 Scope/ Limitations of the Study

The scope of this study is limited to internal marketing and job satisfaction by taking in to
consideration the effects of various aspects of internal marketing on job satisfaction of
employees from the view of employees of the United Bank S.C.
The study is confined to Hibret Bank S.C in Addis Ababa. Hibret Bank has clerical and non-
clerical staffs. This research will be limited to clerical staff of the bank. The study will be
restricted to Head Quarter of Hibret Bank at Addis Ababa. Because of its vast geographical
coverage, this paper cannot address all employees working in different parts of Ethiopia. It takes
financial efficiency and ability to travel long distance to address all so it will be restricted to
personnel working Head Quarter.
Since the main departments that are essential for the normal functioning located at the Head
office, it is assumed that it would be an ideally population for research. Besides, collecting data
properly from Hibret Bank employees become difficulty due to busy schedule and the usage of
single instrument for a collection of data will affect the results of the study to some extent.
Regarding to methodology, the researcher is going to apply two types of sampling technique in
order to have a proper sample size. These are simple random sampling and stratified sampling. In
addition, there is lack of adequate research material conducted in this area and lack experience
on thesis writing.

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1.7 Definition of Key terms
Training and Development: Designed activities from the environment that provides employees
the opportunity from employers side with the purpose of enhancing the level to develop and
learn new skills for their development of knowledge and skills or to modify the behaviors.
Communication: A general concept that covers the communication and feedback between
executives and employees, horizontal and vertical communications, work related information and
communication among departments.
Motivation: The development of desire within an employee to perform a task to his/her greatest
ability based on that individuals own initiatives.
Empowerment: Empowerment has been described as a venue to enable employees make
decisions and as a personal experience where individuals take responsibility for their own actions
Job Satisfaction: A set of favorable or unfavorable feelings and emotions with which employees
view their work.

1.8. Organization of the Study


This research paper will consists of five chapters. Chapter one is the introduction part which
discusses the back ground of the study, statement of the problem, research objectives,
hypothesis, and definition of the key terms, scope/Limitations of the study, significance and
organization of the paper. Chapter two it will includes the theoretical, empirical research and
conceptual frame work. The theoretical part it will collect from different books and related
materials that have a relation with the research title. In the empirical part, a sample researches
done by different researchers is consulted. Chapter four is discusses the analysis and discussion
part as below. This includes the demographic interpretation of the respondents, reliability
measurement, and relation between variable, multiple regression data, and finally the discussion
part. Chapter five will aims to present the conclusions of the study and to make recommendation.
The first sections restate the main purpose of the study, followed by brief discussions of the
study. Section three presents the conclusion of the study, recommendation, and finally limitation
of the research and direction for further research.

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CHAPTER TWO

2. LITRATURE REVIEW

2.1 Theoretical View

2.1.1 Internal Marketing


The concept of internal marketing evolved from the idea that employees constitute an internal
market within the organization, which needs to be informed, educated, trained, rewarded and
motivated to meet external customers’ needs and expectations (Varey & Lewis, 2000).
Walter E et al (1994) defined internal marketing as treating both employees and customers with
equal importance through proactive programs in order to achieve the objectives of the
organization. Internal marketing is the application of marketing inside an organization to
enhance customer focused and customer oriented employees. It also takes into consideration the
human resources perspective so as to instill a more motivated customer contact employee
because finally it is the customer contact /front-line employees of the service organization who
interacts with the majority of customers and generally handle a wide range of customer
transactions.
According to Berry (1981) the concept of internal marketing is viewed “employees as
customers’’, just like external customers, internal customers need to have their needs satisfied. In
line with this, Gronroos (1985) urged that the scope of internal marketing must also consist of a
work environment that motivates employees to respond to management’s demand. He further
opined that the internal product consists of a job and a work environment, which motivates the
employees to respond favorably to management’s demand for customer orientation.
An element of holistic marketing is the task of hiring, training, and motivating able employees
who want to serve customers well. It ensures that everyone in the organization embraces
appropriate marketing principles, especially senior management. Smart marketers recognize that
marketing activities within the company can be as important as or even more important than
those directed outside the company. It makes no sense to promise excellent service before the
company’s staff is ready to provide it. (Kotler and kelli 2012 p.21)
Gronroos (1981), the scholar who first introduced the term “internal marketing”, defined the
term as the behavior of selling a corporation to its internal customers (employees) under the
principle that highly satisfied employees will help create a market-oriented and customer-

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centered corporation and, consequently, encourage employees with customer-oriented awareness
(Bernstein, 2005; Long bottom et al., 2006). Greene, Walls, and Schrest (1994) assumed that
internal marketing refers to the application of marketing philosophy and methods to employees
who serve customers in order to utilize and maintain employees and ensure they strive to finish
work. Hence, the concept of internal marketing sees employees as internal customers and their
work as internal “products”, and, therefore, dedicates efforts to the design of products that better
satisfy employee needs (Long bottom et al., 2006).
Internal marketing means applying the philosophy and practices of marketing to the people who
serve the external customer as the best possible people can be employed and retained and they
will do the best work possible. More specifically, it is viewing employees as internal customers,
jobs as internal products, and endeavoring to design these products to meet the needs of these
customers better (yohaness z 2016).

2.1.1.1 Dimension of Internal Marketing


Internal Marketing is very complex where the exact meaning of the concept still remains vague.
Scholars have given various variables on the dimension of internal marketing. Below are
dimension of internal marketing used by different scholars.
Ahmed and Rafiq (2003): Strategic rewards; Internal communications; Training and
development; Organizational structure; senior leadership; Physical environment; Staffing;
Selection and succession; Inter-functional coordination; Incentive systems; Empowerment; and
Operational/process changes. Gounaris (2006): Selection, Training and development, Incentive
systems or Empowerment. Parasuraman, Zeithaml and Berry (1991): Compete for talent; offer a
vision and provide a purpose to equip employees with skills and knowledge of their roles; bring
people together as a team; leverage the freedom factor; nurture achievement through
measurements and rewards; and base job design decisions on research. Rafiq and Ahmed (1993):
Employee motivation and satisfaction; Customer orientation and Customer satisfaction; Inter-
functional coordination and integration; Marketing-like approach; and Implementation of
specific corporate or functional strategies

2.1.1.2 Importance of Internal Marketing


Internal marketing aims to motivate and influence employees towards customer-consciousness
and sales-mindedness using marketing-like techniques internally (Gronroos, 1982). The essential

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role of IM is to encourage and motivate employees towards the cross-functional implementation
of organizational objectives (Rafiq & Ahmed, 1993). Through proper internal marketing
programs, organizations can attract, recruit, and retain the right mix of employees in order to
deliver superior value at all times (Collins et al, 1991). The major task of internal marketing is to
successfully hire, train and motivate qualified employees in order to serve the customer well
(Kotler, 2008).

Internal marketing is an important part of organizational development and change, moreover, if


there is an absence of internal marketing in the given organization, management may face with
resistant staff toward change processes and adaptation (Varey & Lewis, 1999). Thus, applying
internal marketing, an organization can be able to develop an atmosphere and environment in
which workers are appreciated and susceptible to improve business performance and generate
long term competitive advantage through the creation of strong organizational cultures. This can
be generally attained through developing face-to-face, flexible, also efficient interaction between
management and different groups within the given company instead of operating in a rather
bureaucratic organization (Ahmed & Rafiq, 2003).

2.1.1.3 Measuring Internal Marketing


It is necessary to measure effectiveness of internal marketing in order to ensure the internal
marketing structure is followed through it after it is applied. The success of the internal
marketing strategy can be measured as follows:

 Improved integration, including the placement of a senior management services director


within the offices of the other departments, close to the senior management team and
business development staff;

 Invited attendance at monthly business development seminars/lunches;

 The development and issue of new departmental and work stream brochures

 Increased involvement and appearances in pan discipline business development activities,


key client business to business meetings and corporate hospitality events;

 Internal seminars delivered by management services to all staff outlining the skills within
the department, its structure, the type of work undertaken and its client base;

12
 Increased prominence by management services as leader for internal training and
development programs;

If businesses are willing to invest in such a thorough process, there is very little chance for it to
fail, as it is ‘ensuring that there is a sharing of knowledge, expertise, and skills across
departments and that there is a process by which departments can be educated in the areas of
work and skills of others, the opportunity for cross selling services is increased (Brown, 1996).

In terms of the actual effectiveness of internal marketing, methods need to be followed through.
Such methods, for example: which aim to motivate employees, demand a decentralization of the
decision-making process and motivating personnel policy needs to be logical and just in its
nature. If there is an absence of such a policy, it is likely that internal marketing efforts become
fruitless.

2.1.1.4. Challenges of Internal Marketing


The problem of the concept of Internal Marketing were the job product “sold” to internal
customers may be unwanted by them and that unlike in the external market, employees rarely
have a choice in terms of product offered and may even be coerced into accepting these (Ahmed
& Rafiq, 2003). In addition the financial implication of having satisfied employees may be
substantial and that not all organizations were prepared to invest so heavily in an idea that may
only bring results in the long term. For example, in order to satisfy employees, salaries may need
to be increased, working environment rebuilt and training heavily invested in; with in return on
investment only being shown in the long term (Papasolomou & Vrontis, 2006).

2.1.2 Empowerment
Empowerment has been described as a venue to enable employees make decisions (Bowen &
Lawler, 1992) and as a personal experience where individuals take responsibility for their own
actions (Pastor, 1996). Empowerment in terms of job products deals with the extent to which the
jobs offered to employees to allows and encourages independency and discretion within the
confines of the work situation (Roberts- Lombard & Steyn, 2007 p149). Empowerment as
referring to some form of “sharing of power” between management and employees. Others have
taken a broader view of empowerment, who argues that empowerment is a motivational concept
referring to enabling rather than delegating strategies that create conditions for heightening

13
motivation from tasks through development of personal efficacy and removal of conditions that
foster powerlessness (Tómas Bjarnason, P 33).
Empowerment involves giving employee’s discretion (or latitude) over certain task-related
activities. Empowerment implies that front-line employees are allowed to exercise a degree of
discretion during the service delivery process. Three types of discretion can be distinguished,
namely routine, creative and deviant discretion. Routine discretion is exercised where employees
select an alternative from a list of possible actions in order to do their job (e.g. investment
counselors recommending a product from a list of the organization’s products). Creative
discretion is exercised where employees themselves have to develop alternative methods of
performing a task (e.g. a professor’s discretion over the content of a lecture). Creative behaviors
are not specified by the organization, but are regarded positively by the organization. Deviant
discretion, on the other hand, is negatively regarded by the organization, as it involves behaviors
that are not part of the employee’s formal job description and outside the area of the employee’s
authority (Pervaiz K et al., 2002 p71-72). Empowerment is a state of mind. An employee with an
empowered state of mind experiences feelings of 1) control over how the job shall be performed,
2) awareness of the context in which the work is performed, 3) accountability for personal work
output, 4) shared responsibility for unit and organizational performance, and 5) equity in the
rewards based on individual and collective performance (Pervaiz K et al., 2002 p72).

2.1.2.1 Reason for Empowering Employees


It has already been intimated that one of the major reasons for empowering front-line service
employees is so that they can take advantage of sales opportunities and cross-selling
opportunities resulting from the interactive nature of the service delivery process. More
generally, the reasons for empowering employees can be divided into those that improve the
motivation and productivity of employees and those that improve service for the customer and
market the service products more effectively. In services marketing empowerment of the front-
line can lead to both attitudinal and behavioral changes in employees. Attitudinal changes
resulting from empowerment include increased job satisfaction, reduced role stress and less role
ambiguity (Pervaiz K et al., 2002 p72-73).
As (Pervaiz K et al) said that empowerment also has important behavioral consequences. For
instance:-

14
Empowerment can increase the self-efficacy of employees as discretion allows them to decide
the best way to perform a given task.
Empowerment leads to employees becoming more adaptive and Empowerment also leads to
quicker response by employees to the needs of customers, as less time is wasted in referring
customer requests to line managers. Finally, Empowerment is crucial in allowing employees to
customize service delivery

2.1.3 Training and Development


Training is the learning process that is the indispensable part of human resource development.
According to (Abbas Z. 2014) training as an essential element to an employee for the
development of the companies because some of the employees have lack of knowledge skills and
competencies and failed to accomplish task on timely basis. Besides, Training is a learning
activity directed towards the acquisition of specific knowledge and skills for the purpose of an
occupation or task. The focus of training is the job or task for example, the need to have
efficiency and safety in the operation of particular machines or equipment, or the need for an
effective sales force to mention but a few (Cole, 2002).
According to Saleem et al. (2011) training is an organized increase from the know-how skills
and sensations needed for staff members to execute efficiently in the offered process, as well as,
to operate in underling situation. Furthermore, training also increases the abilities of employee’s
very effective way by motivating them and converting them in to well organize and well-
mannered, that ultimately affects the performance of organization.
According to Nunvi (2006), training programs are directed towards maintaining and improving
current job performance while development seeks to improve skills for future jobs.
Besides Armstrong (1996), emphasized that training should be developed and practiced within
the organization by appreciating learning of theories and approaches, if training is to be well
understood. Training is a type of activity which is planned, systematic and it results in enhanced
level of skill, knowledge and competency that are necessary to perform work effectively (Gordon
1992). On the other hand, development is a broad ongoing multi-faceted set of activities (training
activities among them) aimed at bringing someone or an organization up to another threshold of
performance, often to perform some job or a new role in the future (McNamara, 2008). Training,
with its focus on excellence, relates to the knowledge, skills, and attitude that people need to do
their current job in its Current form, with its current level of responsibility. Development, with

15
its focus on growth, relates to the knowledge, skills, and attitude people need to do their next job
or a different form of their current job, usually with greater responsibility (Selamawit Z. 2015).

2.1.3.1 Benefits of training


The main purpose of training is to acquire and improve knowledge, skills and attitudes towards
work related tasks. It is one of the most important potential motivators which can lead to both
short-term and long-term benefits for individuals and organizations. There are so many benefits
associated with training. Cole (2002) summarizes these benefits as below:
High morale – employees who receive training have increased confidence and motivations;
Lower cost of production – training eliminates risks because trained personnel are able to make
better and economic use of material and equipment thereby reducing and avoiding waste; Lower
turnover – training brings a sense of security at the workplace which in turn reduces labor
turnover and absenteeism is avoided; Change management – training helps to manage change by
increasing the understanding and involvement of employees in the change process and also
provides the skills and abilities needed to adjust to new situations; Provide recognition, enhanced
responsibility and the possibility of increased pay and promotion; Help to improve the
availability and quality of staff.

2.1.4 Communication
Communication is process whereby people within an organization give and receive messages, it
is a vital prerequisite for a well-functioning internal marketing culture. Without people being
able or prepared to communicate with each other, there will be no inter-departmental or inter
functional co-ordination. Communication can be defined as the process of transmitting
information and common understanding from one person to another (Keyton, 2011).
Communication refers to the exchange of information between a sender (source) and a receiver
(destination) so that it is received, understood and leads to action (Obamiro, 2008). Anugwom
(2007) defines communication as the use of words, signs and symbols to interchange ideas,
emotions, facts and information by two or more persons. Nwokeneme (2008) also defines
communication as a process that involves the transmission of message or information through a
channel from a sender to a receiver. From a wider perspective, communication is a process by
which information is passed between individual and organization by means of previously agreed

16
symbols. Inyang and Esu, (2003) defines communication as the process of transmitting meaning
from sender to receiver.

2.1.4.1 Channels of Communication


A message is sent through a medium or channel, which is the carrier of the communication.
Selection of the particular medium for transmitting the message can be critical, because there are
many choices. The medium can be verbal, nonverbal, written, computer-aided or electronic. For
written media, an administrator or other organization members may choose from memos, letters,
reports, bulletin boards, handbooks, newsletters, and the like. For verbal media, choices include
face-to-face conversations, telephone, computer, public address systems, closed-circuit
television, tape-recorded messages, sound or slide shows, e-mail, and so on. Nonverbal gestures,
facial expressions, body position, and even clothing can transmit messages. People decode
information selectively (Keyton, 2010).

2.1.4.2 Importance of Communication in the Workplace


There is no denying the importance of communication in the workplace, considering the fact that
in an organization people belonging to different social and professional backgrounds come
together to work for the same goals. Often it is seen that administrators do not realize the
importance of communication at work and thus do not convey their ideas, organizational goals,
vision, etc. very clearly. When administrators in an organization are unable to create an
environment which promotes open and clear communication, it can have negative repercussions
on the work culture and the employee productivity. The importance of effective workplace
communication is discussed below: (Akua A et al. 2016.)
Creates job satisfaction- Organizations which encourage an open and easy correspondence
between seniors and subordinates face lesser employee turnover. If the work environment is
friendly where the subordinates are encouraged to communicate their ideas to their
administrators regarding work-related issues, and their feedback is given due consideration, it
motivates the employees to work better and makes them feel valued in the organization. Thus,
effective communication in the workplace helps in building loyalty and trust which eventually
attributes to greater job satisfaction.

17
Lesser conflicts- Open communication in the workplace can help prevent and resolve many
conflicts. Workplace conflicts are easily resolved through open and clear communication and
mutual discussions; this can lead to personal and professional growth.
Increases productivity- Effective communication at work is the most important issue for the
success and failure of an organization. Every organization has a set of clearly defined goals,
objectives and vision. If an administrator is clear in his/her communication, the subordinates will
know exactly what the organization wants and thus, will be able to deliver the same to the best of
their abilities. Thus, the importance of communication skills can be judged from the fact that it
leads to better deliverance of work, increasing workplace productivity.
Formation of relationships- Open communication, whether between the employees and
administrators or between the management and employees, leads to the formation of better
personal and professional relationships. This makes the employees feel genuinely cared and
valued for, and they are more likely to remain loyal to the organization. This creates a friendly
environment and promotes a better working relationship which is conducive to the work.
Proper utilization of resources- If an organization faces problems, crisis and conflicts due to
miscommunication between the staff members, it causes unnecessary delays in the daily work.
This leads to wastage of resources and lowers the overall work productivity. So an environment
of good communication is a must for any organization to better utilize its resources and increase
productivity.

2.1.5 Motivation
According to Robbins and Judge (2018), motivation is an intensity, direction, and persistence of
an employee’s effort in order to accomplish goal. Intensity is about how strongly an individual
attempts. Majority of us concentrate on intensity when we think about motivation but high
intensity not assure best output unless it is through with the right direction that consistent with
the firm objective and benefits the firm. The persistence dimension is about how long an
individual keep up its attempts. Motivated staffs staying on the job long enough to attain their
objectives.
Motivation can be categorized into extrinsic and intrinsic motivation. Extrinsic motivation is
related to external factors like salary and fringe benefits and promotion. Intrinsic motivation is
related to internal factors like job satisfaction, responsibility, challenging work and achievement,
appreciation and recognition (Kinicki, Cole, Digby, & Natash, 2014).

18
Firms focus on how employees consistently be motivated by those both extrinsic and intrinsic
motivations as their target is to ensure that employees are performing their job as directed to the
organizational goals. Various authors are stated that motivation has a goal directed behavior.
Mullins (2006), stated that, motivation is essentially interested with why and how an employee’s
exert their maximum effort what we called intensity, for a long period of time as to achieve their
goals even with difficulties what we called persistence, towards a specific goal what we said
direction.
Increasing motivation, commitment and engagement levels are key organizational aspects
nowadays. The development of compensation policies has an important role in motivating
workforce to deliver high levels of performance, discretionary effort and contribution. The
process of motivation usually starts with someone recognizing an unsatisfied need. Then a goal
is established to be reached and that way to satisfy the need. Rewards and incentives can be
established for people to better accomplish the given goal. The social context will also affect the
motivation level. This context consists of organizational values and culture but it also includes
leaderships and management as well as the influence of the group or team in which a person
works (Anna Salanova Sanni Kirmanen, 2010).

2.1.6 Organizational Support


Organizational support has been argued to be a critical success factor for improving performance
of any organization (Chung and Lee, 2005) as well as for the successful adoption of a new
system (Lee et al., 2006). Organizational support theory considers factors that improve employee
satisfaction and then assesses performance of the increased work effort through their contribution
(Rhoades and Eisenberger, 2002). Organizational support has been recognized as a critical value
for improving employees’ emotional power and job satisfaction as well as business performance
(Chung and Lee, 2005). Also, organizational support, which can be viewed as employees’
resource in a workplace of any organization (Leung et al., 2008), can improve the task
performance, help employees redefine the harm of stressful situations, and support employees’
belief in their ability to cope with stress by improving their jobs. Especially, in organizations
with using a technical system, organizational support affects BI to use the system (Fishbein and
Ajzen, 1975).
Organizational support can be divided into formal and informal support systems (House, 1981).
The formal systems include informational and instrumental support. Informational support

19
manages demands or problems, and instrumental support assists the individual work directly.
Informal support, which includes support from peers and supervisors in the workplace, should be
complementary and supplemental to formal support systems of an organization (Quick and
Quick, 1984).
Organizational support is the extent to which an organization cares about the well-being of its
members. Listens their complain tries to help them when they have a problem. And treat them
fairly (Jennifer M.George Gareth R.Jones).

2.1.7 Job Satisfaction


Job satisfaction in general refers to the emotions the employee feels about his job and how he
reacts to them (Tadeka, 2005). Shimizu et al, (2005); Suzuki et al. (2006) refers to job
satisfaction as a joyful or positive emotional state regarding work or the work experience.
Kaliski (2007) implies that Job satisfaction is the key ingredient that leads to recognition,
income, promotion, and the achievement of other goals that lead to a feeling of fulfillment. One
of the main factors when it comes to efficiency and effectiveness of business organizations is job
satisfaction (Aziri, 2011). The term job satisfaction refers to the attitude and feelings people
have about their work. Positive and favorable attitudes towards the job indicate job satisfaction,
Negative and unfavorable attitudes towards the job indicate job dissatisfaction (Armstrong,
2006).

2.1.8 Internal marketing and job satisfaction


The relation between internal marketing and job satisfaction had been the concern of many
researchers .If an organization implements internal marketing then the organization is upgrading
job satisfaction for employees which will lead definitely to enhancing the performance of the
organization. (Suleiman I. et.al, 2013).
2.1.9. Relationship between Internal Marketing and Employee Job Satisfaction
Employees are the objects of internal marketing. They are the best assets of a company, and it is
crucial to retain them through adopting effective human resource policies.
Employee satisfaction is known as employee job satisfaction in this study. In general,
employees` job satisfaction is measured in terms of evaluative, emotional and behavioral
components towards their jobs. It embodies the attitudes of employees regarding their jobs, and

20
reveals the degree of fit between employees and their organizations. Emphasized that happy
employees tend to stay in the company and spread positive reviews.
The concept of internal marketing is to display and use employees as internal customers, and to
use jobs as internal products to satisfy their needs, which in turn External customers. Internal
marketing is considered the key to external marketing, employees must first be satisfied to
provide better service, while employees should get satisfaction first for better service
performance, it is suggested that employees who are given more power and authority are more
likely to obtain satisfaction. In particular, a number of studies in various contexts have supported
the idea that internal marketing positively affects the satisfaction of employees such as the
hospitality sector, tourism sector, insurance sector and logistics sector. Hence, those findings
informed the following research frame work:
2.3 Conceptual Framework
The conceptual framework of the study specifies the nature of the hypotheses of the study,
dependent variable is employee’s Job satisfaction and the independent variables mainly are
Motivation, training and development, communication and empowerment. The relations of these
variables are supported on the basis of review of literatures.

Independent variables Dependent Variables

Training and Development

Empowerment

Communication and
Employee’s Job Satisfaction

Motivation

Organizational Support

Source: Own survey, (2024)

21
CHAPTER THREE

3. RESEARCH METHODOLOGY

3.1 INTRODUCTION
This study will utilize a mixed-methods approach, including surveys, interviews, and employee
feedback sessions. A sample of employees from various departments at Hibret Bank S.C. will be
selected to participate in the study. Survey data will be analyzed quantitatively, while qualitative
data from interviews and feedback sessions will provide in-depth insights into employee
perceptions.

3.2 RESEARCH APPROACH


This study will employ a mixed-method approach, comprising both quantitative and qualitative
research methods. A survey questionnaire will be distributed to employees at different levels
within Hibret Bank S.C. to collect quantitative data on their perceptions of internal marketing
practices and job satisfaction. In addition, semi-structured interviews will be conducted with key
stakeholders, such as HR managers and department heads, to gain a deeper understanding of the
subject.

There are two main domain research approaches; qualitative and quantitative research
approaches. Qualitative research approach is used when the method of data collection and
analysis used are non-quantitative. Whereas, quantitative research is where quantitative measures
are used to analyze and interpret data. In this research collected data will be analyzed using
quantitative measure i.e. statistical analysis so as to investigate the correlation between internal
marketing and employee job satisfaction, in the view to serve the research questions and
objectives of the study, the researcher followed quantitative research approach. Because, the

22
researcher believe this methods of data analysis appropriate to correctly answerer the research
questions under consideration.

3.3 RESEARCH DESIGN


A research design is the arrangement of conditions for collection and analysis of data in a
manner that aims to combine relevance to the research purpose with economy in procedure. In
fact, the research design is the conceptual structure within which research is conducted; it
constitutes the blueprint for the collection, measurement and analysis of data. As such the design
includes an outline of what the researcher will do from writing the hypothesis and its operational
implications to the final analysis of data (C.R Kothari, 2004). The study will be conduct using
explanatory research design with Hypothesis-testing.

3.4 Data type and Sources


In order to achieve the objective of the study, both primary and secondary data will be obtained
from different sources are employed.

3.5 Data Collection Instrument

The Primary data will be collected by using questionnaire as an instrument. The secondary data
will be collected from books, websites and other sources.

3.5 Population and Sample Size

3.5.1 Targeted population


The target population of the study is Hibret bank S.C Employees’ who currently working in
Lideta Sub-City’s Branches of Northern district in Addis Ababa.

3.5.2 Sampling Design


The present researcher is going to use simple random sampling to select sample district from the
Organization. After selecting the sample, the researcher will use stratified sampling.
Accordingly, since there are branches with grade level A, B, C, and D, the researcher will select
the respondents by using stratified sampling.
For the purpose of this research, to get the sample size of the employees, the researcher will use
the confidence level of 95% with error of margin 5%, the sample size is calculated based on the
formula Yamane (1967) provides a simplified formula to calculate sample sizes

23
n= N n=sample population
1 + (N* e2) N=total population
e2 =the desired level of precision
n= 325 =179
1+ (325*(0.05)2)
After getting the sample size the researcher will use stratify sampling technique to get those
respondents, this is because the branches are classified by their grade level and the number of
employees under such different branches varies accordingly.
Stratified sampling formula:
nh= Nh/N*n
Where: Nh= is the population size for stratum h
N=Total population size,
n=sample size
nh= is the sample size for stratum h
3.6 Sampling Technique
The present researcher is going to use simple random sampling to select sample district from the
Organization and Stratified proportional sampling. Stratified sampling is appropriate when the
population is classified into different group/strata. In this study, Hibret Bank S.C in Lideta Sub-
City branches of Northern Addis Ababa district will be used for the purpose of strata.

After selecting the sample, the researcher will use stratified sampling. Accordingly, since there
are branches with grade level A, B, C, and D, the researcher will select the respondents by using
stratified sampling.
3.7 Data Collection Methods

The primary data will be collected through questionnaire. The detail of each primary data
collection instrument is described as follows. Structured questionnaire will be provided to the
selected individuals (UB employees). Most questions in the questionnaire close-ended questions
and contain different parts. To manage the time effectively, the secondary data will be collected
from web site, articles, books and journals.

24
3.8 Methods of Data Analysis
The data collected from the survey questionnaire and interviews will be analyzed using statistical
techniques such as regression analysis and thematic analysis. The results will be presented in
tables, graphs, and narratives to illustrate the relationship between internal marketing and
employee job satisfaction at Hibret Bank S.C.

The data analysis will be done after the completion of relevant data collection and for this study
to analyze the data. Data collection through interviews, open ended questions & document
evaluations will be analyzed by using narration. Those data collected through questionnaires will
be analyzed by using Statistical package for social science (SPSS) version 25. The researcher
will use frequency distribution (Standard deviation, mean and percentage), correlation and
regression to the collected data.

3.8.1 Validity

Validity refers to the extent to which the measurement of instrument actually measures what it
intended to measure. It is used to suggest determining whether the findings are accurate from the
Stand point of the researcher, the participant, or the readers Creswel, (2003).

3.8.2 Reliability

To ensure the reliability of the response (internal consistency of items measuring the level of
homogeneity of measures in the instrument and reliability over groups of respondents), the study
will do the reliability test to selected target group respondents by calculating cronbach’s alpha
with all variable using SPSS version 25. Cronbachs alpha is commonly used as a measure of the
internal consistency or reliability of the instrument.

4. Budget & Scheduling

4.1. Work Plan

The below table shows the time schedule that helps the student researchers to complete the
activity of researchers.

Activities Contact months of the year


May-June June-July July-August August-September
1.Formulating
research problem

25
2.Enriching literature
review
3.Research proposal
development
4.Data collection
5.Data editing and
coding
6Data Analysis
7.Write up and
finalizing the report

26
4.2. Budget schedule

No Budget Unit Quantity Unit cost Total cost


item (in birr ) (in birr)
1. Stationary
Paper 10 25 1 1000
Typing
Print 25 100 2 2500
Binder 25 1 20 500
2. Transportat 1 30 days 50 1500
ion
3. Utilities
Mobile 10 50 850
Internet - - - 1000
Tota 7350
l

27
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Appendices

APPENDIX -1

MARYLAND INTERNATIONAL COLLEGE

SCHOOL OF GRADUATE STUDIES

RESEARCH PROPOSAL (Project)

Questionnaire to be filled by Hibret Bank Employees and Managers


Name of Researcher: Betelem Molla

E-mail: Betelemmolla@gmail.com

Cellphone: +251923178192

Dear respondents,

I am a graduate student of Business Administration (MBA) at Maryland International College


School of Graduate studies. Currently, I am conducting a research on assessing the Effect of
internal marketing on Employees’ job satisfaction, in case of Hibret Bank S.C in Addis
Ababa, in partial fulfillment for the requirements of the degree of Master of Art in Business
Administration.

As its objective, the study is directed towards identifying gaps and challenges that Hibret Bank
employees’ job satisfaction, in Addis Ababa, Ethiopia. It is believed that the expected output of

viii
the study could potentially benefit all stake holders in the Bank including you as a bank
employees.

This questionnaire is intended to collect data/ information required for the study, and you are
among the targets expected to participate in the process as a respondent. Your participation is
entirely voluntary and the questionnaire is completely anonymous. The data will be kept
confidentially and it will be used for the study purposes only. Your authentic and kind responses
is invaluable. So, I am kindly requesting you to complete questionnaire.

Thanks a lot for your cooperation!

General Instructions

There is no need of writing your name on any part of the questionnaire.

In all cases where answer options/ choices to questions are available, please tick (√) the answer/
choice in the appropriate box.

For questions that demand your opinion, please try to decently express your thoughts in writing
on the blank space provided.

Part I – Demographic Information

1. Sex

☐ Female ☐ Male

2. Your age:

☐ 18-25 ☐26-30 ☐ 31-40 ☐41-50


☐51-60 ☐61-65 ☐ Above 65

3. Marital Status

Single Married Divorced Widowed

4. Educational Attainment

College Diploma ______Bachelor’s Degree _________

Master’s Degree __________Doctorate Degree ______Other (Please Specify)………


ix
5. Work position and Department

managerial  non managerial Department __________

6. Your experience in work life/career at Hibret Bank S.C

A. 1-5 Years B. 6-10 Years C. 11-15 Years D. 16-20 Years E. Above 20

Part II: Specific questions or main questions

Internal Marketing Dimensions

For questions bellow, please put checkmark (√) on the point that best suits your agreement
level from the adjacent choices.

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

SCALE
STATEMENT SD DIS NEU AGR SA
(1) (2) (3) (4) (5)
No 1. Empowerment
1 My supervisor allows me to
use my own judgment in
solving problems.
2 My supervisor encourages me
to take initiatives.
3 My supervisor trusts me to
exercise good Judgment.
4 Leaders are developed from
within the Company.
5 Performance Appraisals are
fair and unbiased.

1. Training and Development

1. The Company provides a


variety of training
opportunities for employees.
2. Did you receive extensive
service training before you
first started your job?
3. If one is moved from one
department to another, the
x
new supervisor will
personally train him/her for a
pre-specified period of time.
4. Training programmers focus
on how to improve service
quality.
5. I receive training
continuously to provide good
service.
2. Communication
1. Employees at the Company
regularly share and exchange
ideas.
2. My Supervisor keeps me
informed about important
issues.
3. Managers communicate
frequently and honestly about
Issues affecting employees.
4. There is accurate and open
flow of information in our
department.
5. Supervisors are keenly
interested in listening to what
I say about my job, the
problem I face and the
solution I suggest.
6. Before any policy or
procedure changes, my
supervisor informs me about
the change phase by phase
3. Motivation
1. The Company maintains a
competitive pay and benefits
package.
2. When I do something extra
ordinary I know that I will
receive some kind of reward.
3. The incentives given to
employees are motivating and
on competitive basis.
4. I am satisfied with the salary
I draw at present.
5. The performance
xi
measurement reward system
encourages employees to
work hard.
6. My income and the annual
increment are based on
periodic performance
evaluation and the preset KPI
fulfillment.
7. My income and the annual
increases are much related to
those of people with similar
qualifications working in the
organization.
8. My needs and wants are well
understood by management.
9. The benefits offered by the
Company meet my
expectation.
10. The non-financial benefits
provided in the organization
are satisfactory.
11. Job promotions are awarded
fairly.
12. There is equal opportunity for
advancement at the
Company.
4. Organizational
Support
1. Any support is available from
my organization when I have
and when I am in need.
2. The organization tries to
design my job as interesting
and rewarding as possible.
3. The organization tries valuing
the efforts of workers and
care about employee well-
being.
4. The working condition is
suitable.
5. The organization exerts effort
for a positive behavior and
attitude of employees and
human resources
xii
management practices
6. The organization maintains
Equal and fair treatment at
workplace among employees
for rewards and favorable
working conditions.

1.2. Job Satisfaction:

On a scale of 1 to 6, how satisfied are you with your job at Hibret Bank S.C and what aspects of
your job do you find most satisfying?

For questions bellow, please put checkmark (√) on the point that best suits your agreement level
from the adjacent choices.

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

No Job Satisfaction Scales(1,2,3,4,5)


1 I am highly satisfied with my job
2 I am satisfied with my job because there is equal growth
and development opportunity
3 I am satisfied with the responsibility and role that I have in
my work
4 I get a sense of personal accomplishment from my work
5 I am satisfied with the salary I draw at present
6 I have experienced any challenges in my role that have
impacted my job satisfaction

Part III:

. Employee’s Interview:

1.1. Internal Marketing Perception:

1.1.1. How would you rate the internal marketing strategies of Hibret Bank S.C?

1.1.2. Do you feel valued as an employee at Hibret Bank S.C?

1.1.3. Do you feel that the management communicates effectively with employees about
company goals and objectives?

xiii
2. Manager Interview:

2.1 Internal Marketing Implementation:

2.1.1 How do you define internal marketing at Hibret Bank S.C?

2.1.2 How do you communicate company goals and objectives to your team?

2.1.3 How do you ensure that employees feel valued and part of the organization?

2.2. Employee Job Satisfaction:

2.2.1. How do you measure and assess employee job satisfaction within your team?

2.2.2. Have you observed any correlation between internal marketing efforts and employee job
satisfaction?

2.2.3. What strategies do you implement to address any issues related to employee job
satisfaction?

xiv

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