Organizational career management : "How and to which degree do organizational factors affect employees` perceived intraorganizational career opportunities?"

Abstract

Due to increased globalization and international competition, contemporary organizations are becoming forced to go into survival mode and follow marked forces. For this reason, people today do not expect to keep a one-company-career, and it has become more common to build careers across rather than within organizations. Hence, retaining valued employees has become a challenge for employers, because people are more easily inclined to leave their current employer if their jobs do not contribute to enhancing their employability. Therefore, it is essential that employers are aware of which initiatives they can take to elevate employees’ perception of intra-organizational career opportunities and hence, manage job satisfaction among their employees. This thesis aims to provide employers with such knowledge. The findings in this thesis are based on a quantitative analysis of the Global People Survey (GPS) conducted in Statoil in 2009. Initially, hypotheses were formulated on the basis of previous findings and theoretical contributions. These were then tested by applying selected data material from the GPS in a factor analysis and several regression analyses. Employees from three of the six main business areas – Exploration and Production Norway (EPN), Technology and New Energy (TNE) and International Exploration and Production (INT) – were selected as my population, excluding offshore personnel. Out of these, approximately 6300-6500 responses from employees working in these three business areas were analyzed with respect to GPS statement number 5: “I am satisfied with my career opportunities in StatoilHydro” as the dependent variable. The findings indicate that demographic characteristics have no significant influence on how the employees at Statoil perceive their intra-organizational career opportunities, whereas organizational factors supervisory support and feedback, collegial climate, influence and control, and competency utilization and development all have a positive influence on perceived intra-organizational career opportunities. While competence utilization and development had the largest direct effect, a path analysis revealed that supervisory support and feedback has a significant indirect effect on the dependent variable through the other organizational factors. This means that employers who wish to retain their employees need to create the space and opportunities for employees’ development. According to the findings, leaders need to recognize competency development as an investment in employee retention.