3. Method
3.1 Sample and procedures
Data for this study were collected from managers working in public listed Malaysian
Companies. The population of this research consisted of those graded as managers in their
respective organisations (leaders with subordinates). Prior to the distribution of the
questionnaires, the Head of Human Resources (HR) of each company was approached and
notified of the aim of the study Instructions were given to the respective HR Heads on the
targeted population. English is the lingua franca in educational institutions and companies in
Malaysia. Therefore the language used in the questionnaire was English and a condition for
participation in the survey was an ability to communicate in English. A pilot test was first
carried out among 12 managers to ensure questions were understood and to account for any
cross-cultural invariance. The participants indicated that the items included in the survey
were lucid and easy to understand.
Of 530 surveys distributed, 218 responses were received, of which 202 were useable, (16
surveys were incomplete and therefore discarded) yielding a response rate of 38%. A number
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of reasons are attributed to the low response rate. First, the researchers’
inability to make
additional contact with units selected in a survey can be a significant main contributor to
nonresponse. Secondly, cultural background of the respondents and finally the company
policy and legal issues relating to disclosing information to the public. Nevertheless, Kline
(2005) recommended that a sample size in excess of 200 is suitable to effectively employ
Structural Equation Modelling (SEM). The gender of respondents was relatively even, with
56.4% being female (n = 114) and 43.6% being male (n = 88). Most respondents were
between the ages of 30 and 40 years (48.5%), followed by the 20 to 30 years age group
(28.2%), respondents between the ages of 40 and 50 accounted for 16.8% and those above the
age of 50, for 6.4%. The education level attained for the majority of respondents was a
bachelor degree: 66.3% (n = 134), followed by diploma holders: 17.8% (n = 36) and those
with post-
graduate qualifications: 15.8% (n = 32). Finally, the respondents’ position in their
organisations showed that all were manager grade staff. In terms of years in service with their
organisations 34.6% (n = 70) had served for 10 to 20 years, 31.7% (n = 64) for 5 years or
less, 28.7% (n = 58) for 5 to 10 years and 5% (n = 10) had given 20 years of service. The
sample included six business sectors: 38.1% in the financial services/banking sector (n = 77),
19.3% in the manufacturing/industrial/engineering sector (n = 39), 18.3% in the
energy/utilities sector (n = 37), 11.9% in the construction sector (n = 24), 9.4% in the
agricultural sector (n = 19) and 3% in the service sector (n = 6).
3.2 Measures
OCI was measured by employing the English version of the Isaksen, Lauer and Ekvall (1999)
‘Situational Outlook Questionnaire’
(SOQ). It was based on the organizational climate model
developed by Ekvall (1983) and consisted of the following sub-scales: (i) challenge (8 items);
(ii) freedom (6 items); (iii) trust (3 items); (iv) idea time (6 items); (v) playfulness (6 items);
(vi) conflict (6 items); (vii) idea support (5 items); (viii) debate (6 items); and (ix) risk taking
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