1. 1 STAGE 5 THEORETICAL FRAMEWORK HYPOTHESIS DEVELOPMENT Prepared By : Mukunda Kumar

2. 2 THE RESEARCH PROCESS

3. 3 The Need For A Theoretical Framework After conducting the interviews, completing a literature survey, and defining the problem, one is ready to develop a theoretical framework. After conducting the interviews, completing a literature survey, and defining the problem, one is ready to develop a theoretical framework. A theoretical framework is a conceptual model of how one theorizes or makes logical sense of the relationships among the several factors that have been identified as important to the problem. A theoretical framework is a conceptual model of how one theorizes or makes logical sense of the relationships among the several factors that have been identified as important to the problem. This theory flows logically from the documentation of previous research in the problem area. This theory flows logically from the documentation of previous research in the problem area.

4. 4 The Need For A Theoretical Framework In sum the theoretical framework discusses the interrelationships among the variables that are deemed to be integral to the dynamics of the situation being investigated. In sum the theoretical framework discusses the interrelationships among the variables that are deemed to be integral to the dynamics of the situation being investigated. From the theoretical framework, then, testable hypotheses can be developed to examine whether the theory formulated is valid or not. From the theoretical framework, then, testable hypotheses can be developed to examine whether the theory formulated is valid or not. The hypothesized relationships can thereafter be tested through appropriate statistic analyses. The hypothesized relationships can thereafter be tested through appropriate statistic analyses.

5. 5 The Need For A Theoretical Framework Since the theoretical framework offers the conceptual foundation to proceed with research, and since a theoretical framework is none other then identifying the network of relationships among the variables considered important to the study of any given problem situation, it is essential to understand what a variable means and what the different types of variables are. Since the theoretical framework offers the conceptual foundation to proceed with research, and since a theoretical framework is none other then identifying the network of relationships among the variables considered important to the study of any given problem situation, it is essential to understand what a variable means and what the different types of variables are.

6. 6 VARIABLES A variable is anything that can take on differing or varying values. A variable is anything that can take on differing or varying values. The values can differ at various times for the same object or person, or at the same time for different objects or persons. The values can differ at various times for the same object or person, or at the same time for different objects or persons. Examples of variables are production units, absenteeism, and motivation. Examples of variables are production units, absenteeism, and motivation.

7. 7 VARIABLES Example 1 Production units : Production units : –one worker in the manufacturing department may produce one widget per minute, a second might produce two per minute, a third might produce five per minute. –It is also possible that the same member could produce one widget the first minute, and five the next minute. –In both cases, the number of widgets produced has taken on different values, and is therefore a variable.

8. 8 Variables Example 2 Absenteeism : Absenteeism : –Today three members in the sales department may be absent, tomorrow six members may not show up for work; the day after, there may be no one absent. –The value can thus theoretically range from “zero” to “all” being absent, on the absenteeism variable.

9. 9 Variables Example 3 Motivation : Motivation : –The levels of motivation of members to learn in the class or in a work team might take on varying values ranging from “very low” to “very high”. An individual’s motivation to learn from different classes or in different work teams might also take on differing values. – How one measures the level of motivation is an entirely different matter. –The factor called motivation has to be reduced from its level of abstraction and operationalized in a way that it becomes measurable.

10. 10 Types of Variables Four main types of variables are: The dependent variable (also known as the criterion variable). The dependent variable (also known as the criterion variable). The independent variable (also known as the predictor variable) The independent variable (also known as the predictor variable) The moderating variable. The moderating variable. The intervening variable. The intervening variable.

11. 11 Types of Variables Variables can be discrete (e.g., male/female) or continuous (e.g., the age of an individual) Variables can be discrete (e.g., male/female) or continuous (e.g., the age of an individual)

12. 12 Dependent Variable The dependent variable is the variable of primary interest to the researcher. The dependent variable is the variable of primary interest to the researcher. The researcher’s goal is to understand and describe the dependent variable that lends itself for investigation as a viable factor. The researcher’s goal is to understand and describe the dependent variable that lends itself for investigation as a viable factor. Through the analysis of the dependent variable (i.e., finding what variables influences it), it is possible to find answers or solutions to the problem. Through the analysis of the dependent variable (i.e., finding what variables influences it), it is possible to find answers or solutions to the problem.

13. 13 Dependent Variable Example 1 A manager is concerned that the sales of a new product introduced after test marketing it does not meet with his expectations. A manager is concerned that the sales of a new product introduced after test marketing it does not meet with his expectations. The dependent variable here is sales. The dependent variable here is sales. Since the sales of the product can vary – can be low, medium, or high – it is a variable; since sales is the main focus of interest to the manager, it is the dependent variable. Since the sales of the product can vary – can be low, medium, or high – it is a variable; since sales is the main focus of interest to the manager, it is the dependent variable.

14. 14 Dependent Variable Example 2 A vice president is concerned that the employees are not loyal to the organization, and in fact, seem to switch their loyalty to other institutions. A vice president is concerned that the employees are not loyal to the organization, and in fact, seem to switch their loyalty to other institutions. The dependent variable in this case would be organizational loyalty. The dependent variable in this case would be organizational loyalty.

15. 15 DEPENDENT VARIABLE Here again, there is variance found in the levels of organizational loyalty of employees. Here again, there is variance found in the levels of organizational loyalty of employees. The V.P might want to know what accounts for the variance in the loyalty of organizational members with a view to control it. The V.P might want to know what accounts for the variance in the loyalty of organizational members with a view to control it.

16. 16 Dependent Variable Example 2 The V.P might want to know what accounts for the variance in the loyalty of organizational members with a view to control it. The V.P might want to know what accounts for the variance in the loyalty of organizational members with a view to control it. If he finds that increased pay levels would ensure their loyalty and retention, he can then offer inducement to employees by way of pay raises, which would help control the variability in organizational loyalty and keep them in the organization. If he finds that increased pay levels would ensure their loyalty and retention, he can then offer inducement to employees by way of pay raises, which would help control the variability in organizational loyalty and keep them in the organization. It is possible to have more than one dependent variable in a study. It is possible to have more than one dependent variable in a study.

17. 17 Dependent Variable For example, there is always a tussle between quality and volume of output, low-cost production and customer satisfaction, and so on. For example, there is always a tussle between quality and volume of output, low-cost production and customer satisfaction, and so on. In such a cases, the manager is interested to know the factors that influence all the dependent variables of interest and how some of them might defer in regard to different dependent variables. In such a cases, the manager is interested to know the factors that influence all the dependent variables of interest and how some of them might defer in regard to different dependent variables.

18. 18 Dependent Variable Exercise An applied researcher wants to increase the performance of organizational members in a particular bank. An applied researcher wants to increase the performance of organizational members in a particular bank. - What would be the dependent variable in this case? - What would be the dependent variable in this case? A marketing manager wonders why the recent advertisement strategy does not work A marketing manager wonders why the recent advertisement strategy does not work – What would be the dependent variable in this case?

19. 19 Independent Variable An independent variable is one that influences the dependent variable in either a positive or negative way. An independent variable is one that influences the dependent variable in either a positive or negative way. That is, when the independent variable is present, the dependent variable is also present, and with each unit of increase in the independent variable, there is an increase or decrease in the dependent variable also. That is, when the independent variable is present, the dependent variable is also present, and with each unit of increase in the independent variable, there is an increase or decrease in the dependent variable also.

20. 20 Independent Variable Example 1 Cross-cultural research indicates that managerial values govern the power distance between superiors and subordinates. Cross-cultural research indicates that managerial values govern the power distance between superiors and subordinates. Here, power distance (i.e., egalitarian interactions between the boss and the employee, versus the high-power superior in limited interaction with low-power subordinate) is the subject of interest and hence the dependent variable. Here, power distance (i.e., egalitarian interactions between the boss and the employee, versus the high-power superior in limited interaction with low-power subordinate) is the subject of interest and hence the dependent variable. Managerial values that explain the variance in power distance is the independent variable. This relationship is diagrammed in figure 5.2. Managerial values that explain the variance in power distance is the independent variable. This relationship is diagrammed in figure 5.2.

21. 21 Independent Variable Figure 5.2 Diagram of the relationship between the independent variable (managerial values) and the dependent variable (power distance) Diagram of the relationship between the independent variable (managerial values) and the dependent variable (power distance)

22. 22 Independent Variable Figure 5.3A Diagram of the relationship between the independent variable (availability of reference manuals) and the dependent variable (rejects). Diagram of the relationship between the independent variable (availability of reference manuals) and the dependent variable (rejects).

23. 23 Theoretical Framework It is logically developed, described, and elaborated network of associations among the variables deemed relevant to the problem situation and identify through such process as interviews, observation, and literature survey. It is logically developed, described, and elaborated network of associations among the variables deemed relevant to the problem situation and identify through such process as interviews, observation, and literature survey. Experience and intuition also guide developing the theoretical framework. Experience and intuition also guide developing the theoretical framework. After identifying the appropriate variables, so that relevant hypotheses can be developed and subsequently tested. After identifying the appropriate variables, so that relevant hypotheses can be developed and subsequently tested.

24. 24 Theoretical Framework Based on the results of hypotheses testing ( which would indicate whether or not the hypotheses have been supported), the extent to which the problem can be solved would become evident. Based on the results of hypotheses testing ( which would indicate whether or not the hypotheses have been supported), the extent to which the problem can be solved would become evident. The theoretical framework is an important step in the research process The theoretical framework is an important step in the research process

25. 25 Theoretical Framework The relationship between the literature survey and the theoretical framework is that the former provides a solid foundation for developing the latter. The relationship between the literature survey and the theoretical framework is that the former provides a solid foundation for developing the latter. The literature survey identifies the variables that might be important, as determined by previous research findings. The literature survey identifies the variables that might be important, as determined by previous research findings.

26. 26 Theoretical Framework The theoretical framework elaborates the relationship among the variables, explains the theory underlying these relations, and describes the nature and direction of the relationships. The theoretical framework elaborates the relationship among the variables, explains the theory underlying these relations, and describes the nature and direction of the relationships.

27. 27 The Component of the Theoretical Framework A good theoretical framework identifies and labels the important variables in the situation that are relevant to the problem defined. A good theoretical framework identifies and labels the important variables in the situation that are relevant to the problem defined. It logically describes the interconnections among these variables. It logically describes the interconnections among these variables.

28. 28 The Component of the Theoretical Framework The relationships among the independent variables, the dependent variable(s), and if applicable, the moderating and intervening variables are elaborated. The relationships among the independent variables, the dependent variable(s), and if applicable, the moderating and intervening variables are elaborated. Should there be any moderating variables, it is important to explain how and what specific relationships they would moderate. Should there be any moderating variables, it is important to explain how and what specific relationships they would moderate.

29. 29 The Component of the Theoretical Framework There are five basic features that should be incorporated in any theoretical frame work. The variables considered relevant to the study should be clearly identified and labeled in the discussions. The variables considered relevant to the study should be clearly identified and labeled in the discussions. The discussions should state how two or more variables are related to one another. This should be done for the important relationships that are theorized to exist among the variables The discussions should state how two or more variables are related to one another. This should be done for the important relationships that are theorized to exist among the variables

30. 30 The Component of the Theoretical Framework There are five basic features that should be incorporated in any theoretical frame work. If the nature and direction of the relationships can be theorized on the basis of the findings of previous research, then there should be an indication in the discussions as to whether the relationships would be positive or negative. If the nature and direction of the relationships can be theorized on the basis of the findings of previous research, then there should be an indication in the discussions as to whether the relationships would be positive or negative.

31. 31 The Component of the Theoretical Framework There are five basic features that should be incorporated in any theoretical frame work. There should be a clear explanation of why would expect these relationships to exist. The arguments could be drawn from the previous research findings. There should be a clear explanation of why would expect these relationships to exist. The arguments could be drawn from the previous research findings. A schematic diagram of the theoretical framework should be given so that the reader can see and easily comprehend the theorized relationships. A schematic diagram of the theoretical framework should be given so that the reader can see and easily comprehend the theorized relationships.

32. 32 The Component of the Theoretical Framework Example 5.13 DELTA AIRLINES With airline deregulation, there were price wars among the various airlines that cut costs in different ways. With airline deregulation, there were price wars among the various airlines that cut costs in different ways. According to reports, Delta Airlines faced charges of air-safety violations when there were several near collisions in midair, and one accident that resulted in 137 deaths in 1987. According to reports, Delta Airlines faced charges of air-safety violations when there were several near collisions in midair, and one accident that resulted in 137 deaths in 1987.

33. 33 The Component of the Theoretical Framework Example 5.13 DELTA AIRLINES Four important factors that seem to have influenced these are poor communication among the cockpit crew members themselves, poor coordination between ground staff and cockpit crew, minimal training given to the cockpit crew, and management philosophy that encouraged a decentralized structure. Four important factors that seem to have influenced these are poor communication among the cockpit crew members themselves, poor coordination between ground staff and cockpit crew, minimal training given to the cockpit crew, and management philosophy that encouraged a decentralized structure. It would be nice to know if these factors did indeed contribute to the safety violations, and if so, to what extent. It would be nice to know if these factors did indeed contribute to the safety violations, and if so, to what extent.

34. 34 The Component of the Theoretical Framework Schematic diagram for the theoretical frame work in this Example :

35. 35 Hypotheses Development Once we have identified the important variables in a situation established the relationships among them through logical reasoning in the theoretical framework, we are in a position to test whether the relationships that have been theorized do in fact hold true. Once we have identified the important variables in a situation established the relationships among them through logical reasoning in the theoretical framework, we are in a position to test whether the relationships that have been theorized do in fact hold true.

36. 36 Hypotheses Development By testing these relationships scientifically through appropriate statistical analyses we are able to obtain reliable information on what kind of relationships exist among the variables operating in the problem situation. By testing these relationships scientifically through appropriate statistical analyses we are able to obtain reliable information on what kind of relationships exist among the variables operating in the problem situation. The results of these tests offer us some clues as to what could be changed in the situation to solve the problem. Formulating such a testable statements is called hypotheses. The results of these tests offer us some clues as to what could be changed in the situation to solve the problem. Formulating such a testable statements is called hypotheses.

37. 37 Definition of Hypothesis A hypotheses can be defined as a logically conjectured relationship between two or more variables expressed in the form of the testable statement. A hypotheses can be defined as a logically conjectured relationship between two or more variables expressed in the form of the testable statement. Relationships are conjectured on the basis of the network of the associations established in the theoretical framework formulated for the research study. Relationships are conjectured on the basis of the network of the associations established in the theoretical framework formulated for the research study. By testing the hypotheses and confirming the conjecturable relationship, it is expected the solution can be found to correct the problem encountered. By testing the hypotheses and confirming the conjecturable relationship, it is expected the solution can be found to correct the problem encountered.

38. 38 Definition of Hypothesis Example Several testable statements or hypotheses can be drawn from the theoretical framework formulated Several testable statements or hypotheses can be drawn from the theoretical framework formulated If the pilots are given adequate training to handle midair crowded situations, air-safety violations will be reduced. If the pilots are given adequate training to handle midair crowded situations, air-safety violations will be reduced.

39. 39 Statement Of Hypotheses Formats If- Then Statements A hypotheses is a testable statement of the relationship among variable. A hypotheses is a testable statement of the relationship among variable. A hypotheses can also test whether there are differences between two groups (or among several groups) with respect to any variable or variables. A hypotheses can also test whether there are differences between two groups (or among several groups) with respect to any variable or variables. To examine whether or not the conjectured relationships of differences exit, these hypotheses can be set either as a propositions or in the form of if-then statements. To examine whether or not the conjectured relationships of differences exit, these hypotheses can be set either as a propositions or in the form of if-then statements.

40. 40 Statement Of Hypotheses Formats The two formats can be seen in the following two examples. Example Example –Employees who are healthier, will take sick leave less frequently. Example Example –If employees are more then healthy, then they will take sick leave less frequently.

41. 41 Directional & Non Directional Hypotheses If in stating the relationship between two variables or comparing two group, term such as a positive, negative, more than, less than and the like are used, then these hypotheses are directional because the direction of the relationship between the variables (positive/negative) is indicated or the nature of the difference between two groups on a variable (more than/less than) is postulated, as in example 5.18. If in stating the relationship between two variables or comparing two group, term such as a positive, negative, more than, less than and the like are used, then these hypotheses are directional because the direction of the relationship between the variables (positive/negative) is indicated or the nature of the difference between two groups on a variable (more than/less than) is postulated, as in example 5.18.

42. 42 Directional & Non Directional Hypotheses Example 1 The greater the stress experienced in the job, the lower the job satisfaction of employees. The greater the stress experienced in the job, the lower the job satisfaction of employees.

43. 43 Directional & Non Directional Hypotheses Example 2 Women are more motivated then men. Women are more motivated then men. Non directional hypotheses are those that do postulate a relationship or difference, but offer no indication of the direction of these relationships or differences. Non directional hypotheses are those that do postulate a relationship or difference, but offer no indication of the direction of these relationships or differences.

44. 44 Directional & Non Directional Hypotheses Example 2 In other words, though it may be conjectured that there would be a significant relationship between two variables, we may not be able to say whether the relationship would be positive or negative even if we can conjecture that there will be differences between two groups on a particular variable, we will not be able to say which group will be more and which less on that variable, as in a example 5.20. In other words, though it may be conjectured that there would be a significant relationship between two variables, we may not be able to say whether the relationship would be positive or negative even if we can conjecture that there will be differences between two groups on a particular variable, we will not be able to say which group will be more and which less on that variable, as in a example 5.20.

45. 45 Directional & Non Directional Hypotheses Example 3 There is relationship between age and job satisfaction. There is relationship between age and job satisfaction. Example 4 There is difference between the work ethic values of American and Asian employees. There is difference between the work ethic values of American and Asian employees.

46. 46 Directional & Non Directional Hypotheses Example 4 Non directional hypotheses are formulated either because the relationships or differences have never been previously explored and hence there is no basis for indicating the direction, or because there have been conflicting findings in previous research studies on the variables. Non directional hypotheses are formulated either because the relationships or differences have never been previously explored and hence there is no basis for indicating the direction, or because there have been conflicting findings in previous research studies on the variables.

47. 47 Null and Alternate Hypotheses The null hypothesis is a proposition that states a definitive, exact relationship between two variables. The null hypothesis is a proposition that states a definitive, exact relationship between two variables. States that the population correlation between two variables is equal to zero or that the differences in the means of two groups in the population is equal to zero. States that the population correlation between two variables is equal to zero or that the differences in the means of two groups in the population is equal to zero.

48. 48 Null and Alternate Hypotheses The null statement is expressed as no (significant) relationship between two variables or no (significant) differences between two groups. The null statement is expressed as no (significant) relationship between two variables or no (significant) differences between two groups. The alternate hypothesis, which is the opposite of the null, is a statement expressing a relationship between two variables or indicating differences between groups. The alternate hypothesis, which is the opposite of the null, is a statement expressing a relationship between two variables or indicating differences between groups.

49. 49 Null and Alternate Hypotheses In setting up the null hypothesis, we are stating that there is no difference between what we might find in the population characteristics (i.e., the total group we are interested in knowing something about) and the sample we are studying (i.e., a limited number representative of the total population or group that we have chosen to study) In setting up the null hypothesis, we are stating that there is no difference between what we might find in the population characteristics (i.e., the total group we are interested in knowing something about) and the sample we are studying (i.e., a limited number representative of the total population or group that we have chosen to study) The null hypothesis is thus formulated so that it can be tested for possible rejection. The null hypothesis is thus formulated so that it can be tested for possible rejection.

50. 50 Null and Alternate Hypotheses If we reject the null hypothesis, then or permissible alternative hypotheses relating to the particular relationship tested could be supported. If we reject the null hypothesis, then or permissible alternative hypotheses relating to the particular relationship tested could be supported. Having thus formulated the null and alternate hypotheses, the appropriate statistical (t tests, f tests) can then be applied, which would indicate whether or not support has been found for the alternate – that is, that there is a significant differences between groups or that there is a significant relationship between variables as hypothesized. Having thus formulated the null and alternate hypotheses, the appropriate statistical (t tests, f tests) can then be applied, which would indicate whether or not support has been found for the alternate – that is, that there is a significant differences between groups or that there is a significant relationship between variables as hypothesized.