For downloading PPT lecture slides please visit http

For downloading PPT lecture slides, please visit: http: //ims. uob. edu. pk/ (Faculty--Mr. Furqan ul Haq--Uploaded Notes) Chapter BBS (Evening) Program 6 th Quarter 2013 -2105 Friday, November 27, 2015 #1 Introduction to Business Research References: • Business Research Methods (William G. Zikmund) • Research Methods For Business (Uma Sekaran) • VU Boo. K • Internet Resource Person: Furqan-ul-haq Siddiqui

Aim of the Course This course is aimed at helping students to understand importance of Business Research and the means by which systematic research can be conducted to describe, explain and predict phenomena of interest pertaining to various aspects of business. 2

How do managers make Decision MExperience based decisions MDecisions based on Sixth sense MLuck üResearch based decision ? 3

What is Research…! 4

Research Literally, research (re-search) -“search again”. Ø Research is simply process of finding solutions to a problem after a thorough study and analysis of situational factors. Ø Its series of steps designed & followed with the goals of finding answers to the issues of concerns. Ø Ø The entire process by which we attempt to solve the problem is called RESEARCH. 5

WHAT IS RESEARCH Research is an organized, systematic, data-based, critical, scientific inquiry or investigation into a specific problem, undertaken with the objective of finding answers or solutions to it. 6

What is the value of research? Research offers the pleasure of solving a puzzle. Ø Generating Theories – Models Ø Identifies problems and their solutions Ø Research helps to develop new methodologies. Ø Modification, improvement, innovation & rectification of old ones Ø We are surrounded by research Ø 7

Business Research Ø Business Research is a systematic and objective process of gathering, recording and analyzing data for aid in making business decisions. Ø Business research is conducted to resolve problematic issues in the area of finance, management, and marketing etc. . Ø Research provides needed information that guides managers to make “informed decision” 8

Why is it important for managers to know about research? Diagnosis and assessment Ø Solve problems Ø Decision making tool Ø Competition Ø Risk Ø Investment Ø Hire and monitor researchers and consultants more effectively Ø 9

When Should Business Research be Undertaken? Is sufficient time available? Yes Is information inadequate? NO Do not undertake Business Research Yes High importance of decision? Yes Research benefits greater than costs? Undertake Business Research 10

SCIENTIFIC RESEARCH Scientific Research focuses on solving problems and pursues a step-by-step logical, organized and rigorous method to identify the problems, gather data, analyze them and draw valid conclusions. Scientific research is not based on hunches, experience and intuition. It is more objective than subjective Science is a way to produce knowledge, involving systematized observation and experiment having universally accepted findings in similar environments 11

SCIENTIFIC RESEARCH 12

Hall Marks of Scientific Research Purposiveness n Rigor n Testability n Objectivity n Replicability n Gerenalizability n Precision and Confidence n Parsimony n Each of these characteristics can be explained in the context of following example. v “A researcher is investigating about how employees commitment to the organization can be increased” q 13

Purposiveness n Research must have some definite purpose, aim or/and benefit v Focus be “increase in commitment of employees” v Increased commitment results less turnover, less absenteeism, increased performance v Benefit to the organization 14

Rigor n Good theoretical base & sound methodological design would add rigor to a purposive study. n Rigor means carefulness & thorough n Rigorous research involves a good theoretical detailed base & and a carefully thought out methodology. v Lets manager draws conclusions on the bases on just by taking sample of 10 employees out of 200 15

Testability Hypothesis must be testable by applying certain statistical tests to data collected. n Several tests like Chi square test, T-tests etc. n Hypothesis must be logical v Eg. The researcher may hypothesize that those employees who perceive greater opportunities of promotion in organization are highly committed. This hypothesis can be tested after data collection. n 16

Replicability The results are repeated & replicated in similar circumstances n Our hypothesis should not be supported by chance n The more replicable the hypothesis results are, the more authentic the results are. n v Lets our research proves that greater opportunities of promotion in organization leads to employee commitment, if similar finding are drawn from other organizations in similar circumstances then our research will be more valid. 17

Precision & Confidence Precision refers to the closeness of findings to the reality based on a sample n Precision reflects the degree of accuracy or exactitude of the result on the basis of sample. E. g. Confidence interval in stats n Confidence refers to the probability that our estimates are correct. E. g. confidence level. n 18

Objectivity Conclusions must be based on the facts of findings n Derived from actual data n Not on our own subjective or emotional values n The more objective the interpretation of data the more scientific the research becomes. n v Lets research proves that promotion chances has no relation with organizational commitment even then if researcher emphasis on it then research would not be valid. 19

Generalizability n Scope of applicability n The wider the applicability more effective and useful the research is n Not many researches are generalizable v Lets promotion chances are proven to be true in a verity of organizations then research may be called more generalizable 20

Parsimony n n Simplicity in explaining the phenomena or problem Avoid complex research models Parsimony be achieved with good understanding of the problem Simplicity is always preferred to complex research frameworks that unmanageable number of factors. 21

Obstacles to Conduct Scientific Research in the Management & Behavioral Area § § Problems in the measurement and collection of data in the subjective areas like feelings, emotions, attitudes, and perceptions. Difficulties in obtaining a representative sample. Its always not possible to conduct research that is 100% scientific The more hallmarks achieved by research, the more it will be accurate 22

Research In Accounting Budget Control Systems Ø Practices & Procedures Ø Inventory Costing System Ø Accelerated Depreciation Ø Time series behavior of Qtrly or yearly earnings Ø Transfer Pricing Ø Cash Recovery Rates Ø Taxation Methods Ø 23

Research in Finance Operations of financial institutions Ø Optimum financial Ratio Ø Mergers & Acquisitions Ø Inter corporate financing Ø Yield on mortgages Ø Behavior of Stock exchange Ø 24

Research in Management Study of employees & their attitudes Ø Human Resource management Ø Human Behaviors Ø Impacts of demographic changes on management Ø Production operation management Ø Strategy formulation Ø Information Systems Ø 25

Research In Marketing Product Image Ø Advertising Ø Sales Promotion Ø Distribution Ø Packaging Ø Pricing Ø 26