Bagian Isi Persentasi

1. Understanding of basic knowledge to support the research Describe

and define business research.
2. Distinguish between applied and basic research, giving examples,
and discussing why they fall into one or the other of the two
categories.
3. Demonstrate awareness of the role of ethics in business research.
 Bagian Isi Persentasi

1. Just close your eyes for a minute and utter the word research to yourself. What
kinds of images does this word conjure up for you? Do you visualize a lab with
scientists at work with Bunsen burners and test tubes, or an Einstein‐like
character writing a dissertation on some complex subject such as ‘behavioral
heterogeneity in economic institutions’, or someone analyzing large amounts of
scanner data to assess the impact of a price reduction on sales? Most certainly, all
these images do represent different aspects of research.
2. However, research is not necessarily characterized by Bunsen burners, Einstein‐
like characters or Big Data.
 Research

1. Research, a somewhat intimidating term for some, is simply the process of finding
solutions to a problem after a thorough study and analysis of the situational
factors. Along these lines, people (consumers, investors, managers) constantly
engage themselves in exploring and examining issues – and hence are involved in
some form of research activity‐ as they want to change mobile phone providers,
buy a new car, go to the movies, invest in a business startup, or increase advertising
expenditures in their role as a manager.
 Decision

1. Research, in some form or another, may help managers in organizations to make

decisions at the workplace.
2. Sometimes they make good decisions and the problem gets solved; sometimes they
make poor decisions and the problem persists; and on occasions they make such
colossal blunders that they get stuck in the mire.
Decision
• Research, in some form or another, may help
managers in organizations to make decisions
at the workplace.
• Sometimes they make good decisions and
the problem gets solved; sometimes they make
poor decisions and the problem persists; and
on occasions they make such colossal
blunders that they get stuck in the mire.
 Good Decision
1. The difference between making good decisions and committing blunders often lies in how we go
about the decision‐making process.
2. In other words, good decision making fetches a “yes” answer to the following questions:
• Do we identify where exactly the problem lies?
• Do we correctly recognize the relevant factors in the situation needing investigation?
• Do we know what types of information are to be gathered and how?
• Do we know how to make use of the information so collected and draw appropriate
conclusions to make the right decisions?
• And, finally, do we know how to implement the results of this process to solve the problem?
This is the essence of research and to be a successful manager it is important to know how to go
about making the right decisions by being knowledgeable about the various steps involved in
finding solutions to problematic issues of interest to the organization and/or its stakeholders
Business Research

• Business research can be described as a systematic

and organized effort to investigate a specific
problem encountered in the work setting, which
needs a solution
• Business research as an organized, systematic,
data‐based, critical, objective, inquiry or
investigation into a specific problem, undertaken
with the purpose of finding answers or solutions to
it
Business Research

Understanding business research can using

1. Identifying the critical issues,
2. gathering relevant information,
3. analyzing the data in ways that help decision making,
4. and implementing the right course of action
Decision Making

Decision making is simply a process of choosing from

among alternative solutions to resolve a problem and
research helps to generate viable alternatives for
effective decision making
 Research and the Manager
An experience common to all organizations is that the managers thereof encounter problems, big and small, on a daily basis, which they have to
solve by making the right decisions.

• In business, research is usually primarily conducted to resolve problematic issues in, or interrelated among, the areas of accounting,
finance, management, and marketing.

• In accounting, budget control systems, practices, and procedures are frequently examined. Inventory costing methods, accelerated
depreciation, time‐series behavior of quarterly earnings, transfer pricing, cash recovery rates, and taxation methods are some of the other
areas that are researched.

• In finance, the operations of financial institutions, optimum financial ratios, mergers and acquisitions, leveraged buyouts, intercorporate
financing, yields on mortgages, the behavior of the stock exchange, the influence of psychology on the behavior of financial practitioners and
the subsequent effect on markets, and the like, become the focus of investigation.

• Management research could encompass the study of employee attitudes and behaviors, human resources management, the impact
of changing demographics on management practices, production operations management, strategy formulation, information systems, and
the like.

• Marketing research could address issues pertaining to consumer decision making, customer satisfaction and loyalty, market
segmentation, creating a competitive advantage, product image, advertising, sales promotion, marketing channel management, pricing, new
product development, and other marketing aspects.
 Why managers need to know about research

• Managers with knowledge of research have an advantage over those

without. A manager have to understand, predict, and control events
that are dysfunctional within the organization
• For example, a newly developed product may not be “taking off,” or a
financial investment may not be “paying off” as anticipated. Such
disturbing phenomena have to be understood and explained. Unless
this is done, it will not be possible to predict the future of that product
or the prospects of that investment, and how future catastrophic
outcomes can be controlled. A grasp of research methods enables
managers to understand, predict, and control their environment.
• Another reason why professional managers today need to know about
research methods is that they will become more discriminating while
sifting through the information disseminated in business journals.
Some journal articles are more scientific and objective than others
 Some Commonly Researched Areas
In Business
• Employee behaviors such as • Validation of • Auditor behavior.
performance, absenteeism, performance appraisal • Approaches and
and turnover. systems techniques of
• Employee attitudes such as • Consumer decision auditing.
job satisfaction, loyalty, and making. • The use of technology
organizational commitment. • Customer relationship in auditing.
management. • Decision making in
• Supervisory performance,
managerial leadership style,
• Consumer satisfaction, auditing.
and performance appraisal complaints, customer • Tax audits.
systems. loyalty, and word‐of‐ • Internal auditing.
mouth • Accounting fraud and
• Employee selection, communication. auditor liability.
recruitment, training, and
retention.
• Complaint handling. • The quality of audit
• Delivering and reports.
performing service
TYPE OF RESEARCH (APPLIED
AND BASIC RESEARCH)
 Type of Research
Research can be undertaken for two different purposes.
1. Applied research. One is to solve a current problem faced by
the manager in the work setting, demanding a timely
solution. For example, a particular product may not be selling
well and the manager might want to find the reasons for this
in order to take corrective action. Research done with the
intention of applying the results of the findings to solve
specific problems currently being experienced in an
organization
2. Basic, fundamental, or pure research. The other is to generate
a body of knowledge by trying to comprehend how certain
problems that occur in organizations can be solved. Research
done chiefly to make a contribution to existing knowledge.
 Applied research.
Globally, colas account for more than 50% of all sodas sold. The challenge for the $187
billion soft drink industry is giving consumers in developed markets the sugary taste
they want without giving them the mouthful of calories they don’t. Concerns about
obesity and health have led to nine years of falling U.S. soda consumption. The soda
giants can’t rely on existing diet versions of their namesake colas, as consumers are
shying away from the artificial sweeteners they contain. Critics have blamed the
ingredients – rightly or not – for everything from weight gain to cancer. Diet Coke is
losing U.S. sales at 7% a year, almost double the rate of decline of American cola sales
overall. So Coke and Pepsi are turning to research to save their cola businesses, which
take in about two‐thirds of the industry’s U.S. sales. “If you can crack the perfect
sweetener, that would be huge,” says Howard Telford, an analyst at researcher
Euromonitor International.

Source: Stanford, D. (2015, March 19). Scientists Are Racing to Build a Better Diet Soda.
Retrieved from http://www.bloomberg.com/news /articles/2015‐03 ‐19/coke‐pepsi ‐seek ‐
diet‐soda‐s‐perfect‐sweetener
 Basic or fundamental research.
Right from her days as a clerical employee in a bank, Sarah had observed that her colleagues, though
extremely knowledgeable about the nuances and intricacies of banking, were expending very little
effort to improve the efficiency and effectiveness of the bank in the area of customer relations and
service. They took on the minimum amount of work, availed themselves of long tea and lunch breaks,
and seemed unmotivated in their dealings with the customers and the management. That they were
highly knowledgeable about banking policies and practices was clearly evident from their discussions
as they processed applications from customers. Sarah herself was very hardworking and enjoyed her
work with the customers. She always used to think what a huge waste it was for talented employees to
goof off rather than to work hard and enjoy their work. When she left the bank and did the dissertation
for her PhD, her topic of investigation was Job Involvement, or the ego investment of people in their
jobs. The conclusion of her investigation was that the single most important contributory factor to job
involvement is the fit or match between the nature of the job and the personality predispositions of the
people engaged in performing it. For example, challenging jobs allowed employees with high
capabilities to get job‐involved, and people‐oriented employees got job involved with service
activities. Sarah then understood why the highly intelligent bank employees could not get job ‐involved
or find job satisfaction in the routine jobs that rarely called for the use of their abilities. Subsequently,
when Sarah joined the Internal Research Team of a Fortune 500 company, she applied this knowledge
to solve problems of motivation, job satisfaction, job involvement, and the like, in the organization.
RESEARCH APPROACHES:
QUANTITATIVE AND
QUALITATIVE
 Business research
Quantitative data are data in the form of numbers as
generally gathered through structured questions) or
qualitative
Qualitative data are data in the form of words as
generated from the broad answers to questions in
interviews, or from responses to open‐ended questions
in a questionnaire, or through observation, or from
already available information gathered from various
sources such as the Internet
ETHICS IN BUSINESS RESEARCH
• Ethics in business research refers to a code of conduct or expected
societal norms of behavior while conducting research.
• Ethical conduct applies to the organization and the members that
sponsor the research, the researchers who undertake the research, and
the respondents who provide them with the necessary data.
• The observance of ethics begins with the person instituting the
research, who should do so in good faith, pay attention to what the
results indicate, and, surrendering the ego, pursue organizational rather
than self‐interests.
• Ethical conduct should also be reflected in the behavior of the
researchers who conduct the investigation, the participants who
provide the data, the analysts who provide the results, and the entire
research team that presents the interpretation of the results and
suggests alternative solutions.
 Research Methods For Professional Managers

In sum, being knowledgeable about research and research methods helps

professional managers to:
1. Identify and effectively solve minor problems in the work setting.
2. Know how to discriminate good from bad research.
3. Appreciate and be constantly aware of the multiple influences and
multiple effects of factors impinging on a situation.
4. Take calculated risks in decision making, knowing full well the
probabilities associated with the different possible outcomes.
5. Prevent possible vested interests from exercising their influence in a
situation.
6. Relate to hired researchers and consultants more effectively.
7. Combine experience with scientific knowledge while making decisions.
 Conclusion
• Research is the process of finding solutions to a problem after a thorough study and analysis
of the situational factors. Business research is an organized, systematic, data-based, critical,
objective, inquiry or investigation into a specific problem, undertaken with the purpose of finding
answers or solutions to it. In essence, business research provides the necessary information that
guides managers to make informed decisions to successfully deal with problems. In one form or
another, both theory and information play an important role in research.
• Research can be undertaken for different purposes. One is to solve a current problem faced
by the manager in the work setting, demanding a timely solution. Such research is called applied
research. The other is to generate a body of knowledge by trying to comprehend how certain
problems that occur in organizations can be solved. This is called basic, fundamental, or pure
research. The findings of such research teach us something we did not know before. Such
knowledge, once generated, is usually later applied in organizational settings for problem solving.
• Ethics in business research refers to a code of conduct or expected societal norms of
behavior while conducting research. Ethical conduct applies to the organization and the members
that sponsor the research, the researchers who undertake the research, and the respondents who
provide them with the necessary data. Ethical behavior pervades each step of the research process