UNIVERSITY OF ECONOMICS HO CHI MINH CITY
International School of Business


HOANG THI KIM KHANH

RELATIONSHIP BETWEEN
COMMUNICATION SATISFACTION AND
AFFECTIVE COMMITMENT
- AN EMPIRICAL STUDY
IN THE VIETNAMESE BANKS

MASTER THESIS OF BUSINESS ADMINISTRATION
SUPERVISOR: DR. NGUYEN THI NGUYET QUE

HO CHI MINH CITY – 01/2014


UNIVERSITY OF ECONOMICS HO CHI MINH CITY
International School of Business


HOANG THI KIM KHANH

RELATIONSHIP BETWEEN
COMMUNICATION SATISFACTION AND
AFFECTIVE COMMITMENT
- AN EMPIRICAL STUDY
IN THE VIETNAMESE BANKS
ID: 22110029


Hoang Thi Kim Khanh
Ho Chi Minh city, 20th December, 2013

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Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

ABSTRACT
The main purpose of this study is figure out the relationship between communication
satisfaction’s factors (personal feedback, communication climate, horizontal communication,
supervisory communication) with affective commitment in Vietnamese banking industry.
These factors are tested in previous studied in the world, and the previous result indicated that
all of them have a positive impact to commitment. After conducting a research, collecting and
analysing 225 employees in many banks in Ho Chi Minh City, the result indicated that first,
the horizontal communication was divided into new components, horizontal formal
communication and horizontal informal communication. Second, only communication
climate, supervisory communication and horizontal formal communication affects to
affective commitment. Third, communication climate is a strongest factor contributes to
employee affective commitment. Personal feedback and horizontal informal communication
do not have influences on affective commitment in Vietnam banking industry.
Although having a few limitations, but this study highlights the importance of
communication satisfaction in workplace. It is necessary for banking managers to develop
good relationships with their employees to improve employee affective commitment. The
conclusion of this study discusses the practical implications for managers and the
recommendation for future research.

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Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

2.4.3 Horizontal communication and affective commitment ...................................14
2.4.4 Supervisory communication and affective commitment .................................15
2.5 RESEARCH MODEL AND HYPOTHESIS .............................................................15
2.6 CONCLUSION ...........................................................................................................16
CHAPTER 3: METHODOLOGY .................................................................................17
3.1 RESEARCH DESIGN PROCESS..............................................................................17
3.2 QUESTIONNAIRE DEVELOPMENT .....................................................................18
3.2.1 Measurement scale .........................................................................................18
3.2.2 Questionnaire design ......................................................................................22
3.3 PILOT STUDY ..........................................................................................................22
3.3.1 Purpose of pilot study .....................................................................................22
3.3.2 Method of pilot study .....................................................................................22
3.3.3 Result of pilot study ........................................................................................23
3.4 MAIN SURVERY .....................................................................................................23
3.4.1 Sampling method ............................................................................................23
3.4.2 Sample size .....................................................................................................24
3.4.3 Questionnaire administration ..........................................................................24
3.5 DATA ANALYSIS TECHNIQUE ............................................................................24
3.5.1 Cronbach’s alpha ............................................................................................25
3.5.2 Exploratory factor analysis (EFA) ..................................................................25
3.5.3 Multiple regression analysis ...........................................................................26
3.6 CONCLUSION ............................................................................................................26
CHAPTER 4: DATA ANALYSIS AND RESULTS ....................................................28
4.1 DESCRIPTIVE ANALYSIS ......................................................................................28
4.2 MEASUREMENT ASSESSMENT.............................................................................29

v

Table 01: Scale of personal feedback ...............................................................................19
Table 02: Scale of communication climate ......................................................................19
Table 03: Scale of horizontal communication ..................................................................20
Table 04: Scale of supervisory communication ................................................................20
Table 05: Scale of affective commitment .........................................................................21
Table 06: Cronbach’s Alpha Reliability Coefficient ........................................................25
Table 4.1 Sample Description ............................................................................................28
Table 07: Reliability analysis ...........................................................................................30
Table 08: Summary of Cronbach’s Alpha ........................................................................32
Table 09: KMO and Barrtlett’s Test .................................................................................33
Table 10: Total Variance Explained in EFA process .......................................................34
Table 11: Factors loading ................................................................................................35
Table 12: Model Summary ...............................................................................................38
Table 13: ANOVA ............................................................................................................38
Table 14: Correlations .......................................................................................................60
Table 15: Model Statistics .................................................................................................61
Table 16: Coefficients .......................................................................................................39
Table 17: Result of testing hypothesis ..............................................................................40

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Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

LIST OF FIGURES
Figure 01: A conceptual model ........................................................................................16
Figure 02: Research design process .................................................................................17
Figure 03: A new conceptual model .................................................................................37
Figure 04: Overall regression plot ....................................................................................62
Figure 05: Histogram of Affective Commitment .............................................................62

organizational commitment (Putti et al, 1990; Varona, 1996, Carrie`re & Bourque, 2009).
Therefore, there exists a correlation between communication satisfaction and organizational
commitment. Besides, according to Downs and Hazen (1977), communication satisfaction
has eight dimensions. Based on the result of previous studies (Putti et al, 1990; Down, 1991;
Potvin, 1991; Varona, 1996, only four factors (personal feedback, horizontal communication,

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Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

supervisory communication, and communication climate) have strong relationship with
organizational commitment.
Banking industry is one of the most important industries in Vietnam and banking
business is very challenging. However, according to “Cafebiz electronic magazine” in current
situation of banking industry, the employee’s salary and benefit are cut off. Moreover,
according to Ánh Hồng & Hải Đăng (2013) on the “tuoi tre online news”, the banks also
displace employee, give the employee the huge credit target, find out the small mistake of
employees to make a reason for laying off the employees. All of these activities put a
pressure to the staffs who are working at the banks. The manager spend a lot of time to
implement the communication techniques; besides, in the current situation, the huge credit
target affects to managers and supervisors; therefore, the pressure from the credit target make
supervisor’s communication not good enough when facing with the staffs. Problem in
supervisory communication happens. Besides, the way one bank displaces and lays off the
employees creates the high competition between the staffs, that lead to the healthy
competetion or unhealthy competetion between employees. Therefore the problem of
horizontal communication happens. Moreover, the banks focus to the small mistake of
employees for finding out the reason to lay off them, that make the personal feedback not
objective and accuracy; therefore, the problem of communication on personal feedback
happens. The pressure from those activies above lead to a unhealthy and pressuring

1) What are the impacts of personal feedback, horizontal communication,
supervisory communication, and communication climate to affective
commitment?
2) How do they influence to the affective commitment?
1.3

Significant of the study
The research provides results of empirical research in employees’ attitudes towards

particular communication satisfaction and organizational commitment. The relationship
between some dimensions of communication satisfaction and affective commitment is
explored too.

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Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

This study’s exploration is new theoretical topic in Vietnam. The theoretical value is
providing the theoretical knowledge about the role of communication satisfaction in a
relationship with organizational commitment in Vietnamese context.
Regard to the managerial implications, this finding will help managers of the banks in
Vietnam understand obviously about the components of communication satisfaction affect to
their employees’ affective commitment, whereby they can improve their human resource
management to increase the employees’ commitment. The practical value of this paper is that
the data analysis of this research may let the manager know how much the employees take
care of communication at workplace. At the point of view of employee, the employer may
have the strategies to avoid the potential risk related to communication satisfaction
1.4



Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

CHAPTER 2: LITERATURE REVIEW AND HYPOTHESIS
In this chapter, literatures reviews communication satisfaction and its dimensions.
Besides, this chapter also reviews the organizational commitment and affective commitment.
Finally, after reviewing the relationship between communication satisfaction and
organizational commitment, the new developing model and hypothesis will be shown.
2.1

Communication satisfaction
2.1.1

Definition of communication

According to Dwyer (2005), he says, “communication is necessary for passing
information between people working in the same company and between company and other
organization. Communication includes written, oral and nonverbal. Communication is used
by management to direct and motivate employees and to evaluate their performance. The
purpose of organization is to control, motivate and balance needs and goals” (p.219)
2.1.2

Definition of communication satisfaction

Redding (1972) mentions that communication satisfaction is related to some
components such as changing in organization, understanding job requirements, accessing to
important information, accessibility of superiors, and explanation of policies.
Thayer (1968) defines communication satisfaction as “the personal satisfaction
inherent in successfully communicating to someone or in successfully being communicated
with” (p. 144). According to Hecht (1978), communication satisfaction means a

organization. It also measures whether or not employee’s attitudes towards communication is
healthy in the organization.
Supervisory communication includes the upward and downward communication
with supervisors. It measures the level to which a superior is open to ideas, the level to which
the superior listens and pays attention, and the level to which is related to solving problems.
Organizational Integration concerns about the information employees receive about
their job such as policies, payment and benefits. Besides, it also includes information about
what is happening in organization, departmental plans and some personnel news.

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Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

Media Quality is related to communication with several channels (e.g., publications,
memos, and meetings). On the other hand, it also measures the helpfulness, clarity of
information sources and the quantity of information.
Horizontal communication also calls co-worker communication. It deals with the
amount of activity of information networks and the accuracy of the information.
Organizational Perspective is related to some information that given out concerning
the corporation and its goals and performance. It has some items that are related to changing
in organization, information about the organization's financial standing, and policies and
goals of the organization
Personal Feedback is concerned with the way that employees are judged and the way
that their performance is appraised. It also measures about the individuals think that their
efforts are recognized.
Relationship with Subordinates only focuses to ask people who work in supervisory
or managerial position. It measures upward and downward communication with subordinates.
Workers in managerial positions respond to some items that include subordinate
responsiveness to downward communication and capability to send good information upward.


Dimensions of organizational commitment

Meyer and Allen (1984) describe organizational commitment as two dimensions;
affective commitment, and continuance commitment. Meyer and Allen (1990) adds one more
dimension of organizational commitment, a third dimension is normative commitment.
Affective commitment is defined as “the attachment of an individual’s fund of
affectivity and emotion to the group”, says Kanter (1968, p. 507) or “the relatives strength of
an individual’s identification with and involvement in a particular organization”, says
Mowday et al (1979, p. 226). Moreover, Meyer and Allen (1997, p. 11) also defines affective
commitment as “the employees’ emotional attachment to, identification with, and
involvement in the organization”. According to Meyer and Allen (1997), affective
commitment is related to some factors such as feedback, goal clarity, peer cohesion, etc.
Kanter (1968, p.504) defines continuance commitment as “profit associated with
continued and a “cost” associated with leaving” or “awareness of the costs associated with
leaving the organization”, stated by Meyer and Allen (1997, p.11).

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Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

According to Meyer and Allen (1990), normative commitment is less common but
still also a component of one’s responsibility to the organization. Meyer and Allen (1991,
p.67) states that normative commitment is “ought to remain with the organization” or Meyer
and Allen (1997, p.11) defines normative commitment as “a feeling of obligation to continue
employment”. Robbins (2001) believes that organizational commitment is a kind of work
attitudes. Employee identifies organizational goals and desires to maintain employees’ status
as one organizational member.
In conclusion, affective commitment means employees want to remain their

In the review of Verona (1996), he mentions that Putti, Aryee, and Phua (1990)
explore the positive relationship between communication satisfaction and organizational
commitment in engineering company in Singapore. Putti, Aryee and Phua (1990) also
conclude that horizontal communication is the frequent factor affect to organizational
commitment; moreover, top management, and relationship to supervisor have strong
correlation with organizational commitment. Moreover, three authors figured out the
strongest factors affected to organizational commitment is satisfaction with top management
communication.
On the other hand, Verona (1996) also mentions about Potvin’s research in 1991.
According to Potvin (1991), communication satisfaction is positively related to
organizational commitment, the context in his research is three US organizations: a retail
company, a large hospital, and a multi- national high technology company in Texas. In his
research, horizontal communication also is a frequent predictor of organizational
commitment and two factors that have the strong relationship to organizational commitment
are communication climate and supervisory communication. The strongest factor is also
satisfaction with supervisory communication.
With the deep knowledge in this topic, Verona (1996) also reviews a research of
Downs (1991). In study of Downs (1991), there is a positive relationship between
communication satisfaction and organizational commitment in two Australian organizations.
Moreover, horizontal communication is also a predictor of organizational commitment.
Author concludes that three factors have the strong correlation with organizational
commitment are supervisory communication, personal feedback, and communication climate.

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Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

In the study of Verona (1996), the positive relationship between communication
satisfaction and organizational commitment were also discovered. All of the communication

Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

about subordinate communication, because, the main responders in this study are employees
who do not work in a managerial or supervisory position in a bank. Besides, Verona (1996)
mentions that two factors media quality and organizational perspective are not significant
predictors of commitment in research of Putti et al (1990); Potvin (1991) and Downs (1991);
hence, media quality and organizational perspective will not be discussed in this study.
Although Verona (1996) stated that organizational integration has a strong relationship with
commitment, but this factor are not a significant factor in research of Putti et al (1990);
Potvin (1991) and Downs (1991); moreover the direct relationship between organizational
integration and commitment have not been studied in many researches before; hence,
organizational integration will not be discussed too.
As discussed above, supervisory communication, communication climate, and
horizontal communication positively, frequently affect to organizational commitment in
many previous studies. Therefore, three factors will be discussed in this research. In the study
of Downs (1991), personal feedback significantly affects to commitment in term of
communication satisfaction. Moreover, previous studies also figures out the direct
relationship between personal feedback and commitment. Hence, personal feedback will be
discussed too.
In conclusion, four factors of communication satisfaction supervisory communication,
communication climate, and horizontal communication, and personal feedback will be chosen
to discuss in this study. The next part will discuss about the direct relations hip between them.
2.4.1

Personal feedback and affective commitment

Ramaprasad (1983, p. 4) defines “feedback is information about the gap between the
actual level of performance and the reference or standard level which is subsequently used to
alter the gap in some way”. In Peters and Waterman (1982)’s view, a good way for
supervisors to give effective feedback for a job is giving formal and informal recognition.

informal contact; it occurs between employees in the hierarchy. Task-related communication
is related to task information. Informal contact contains conversations between employees
about personal matters not related to task performance.
Co-workers communicate horizontally to each other at workplace. Informal
communication is made when colleagues communicate socially during their work.
Employees build a relationship between employees at workplace. This relationship affect to
employees’ identification with the organization. According to Sias (2005), there is a positive

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Relationship between communication satisfaction and affective commitment – an empirical study in the Vietnamese banks

relationship between high quality co-worker relations and organizational commitment. Meyer
& Allen (1997) found that employees that have a good relationship with their immediate
work group have higher levels of commitment. Affective commitment is one important factor
of organizational commitment; hence:
H3: Employee satisfaction with horizontal communication positively influences to
affective commitment.
2.4.4

Supervisory communication and affective commitment

Bakar & Mohamad (2004) defines “supervisory communication refers to process and
interactions that have been practiced by superiors towards subordinates with the purpose of
achieving task objectives and maintaining their relationships” (p.4). Jablin (1979) states that
employees who satisfied with supervisory communication are less likely to leave the
organization. There are a lot of study mentioned about the positive relationship between
supervisory communication and organizational commitment. In the study of Bakar &
Mohamad (2004), authors confirm that subordinates who get the high quality of supervisory