ASSALAM O ALAIKUM .

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Normally we deal with two kinds of data.
Primary data and secondary data
This is easy for us to analyze a numerical data, like I have profitability data of hundred
companies and this data are commonly known as secondary data. Secondary data collected form
secondary sources.
There is another kind of data which is known as primary data, so primary data is little bit
difficult and different form secondary data, (my own perceptions), we collect normally primary
data through questionnaire.
So let suppose I have a questionnaire through we will discuss about Primary data analysis. In the
following questionnaire I have three variables and each variable have different items (questions)
so, here we have need to reduce these questions into single variables, like turnover intension
have six items (questions) and justice have three item, let suppose if I take justice as dependent
variable while turnover intention as independent variables so I have to run 3 time regression
because of we have three dependent variables (because three items of justice), which is too hectic
So what I have to do for converting all the items of a variable into single variable, like I have
three item of justice, what I must do for merge all three items into single variable, which is
justice?
Hence, the simple method to reducing data into smallest summary is PRINCIPAL
COMPONENT ANALYSIS (PCA)
Why we use PCA?
1. To discover or to reduce the dimensionality of the data set.
2. To identify new meaningful underlying variable
3. To test theoretical questions through empirically.
From now lets start. First of all we will conduct reliability test
Reliability test?
Reliability is the degree to which an assessment tool produces stable and consistent results. Testretest reliability is a measure of reliability obtained by administering the same test twice over a
period of time to a group of individuals.

Reliability through Cronbach's alpha

Cronbach's alpha is a measure of internal consistency, that is, how closely related a set of items
are as a group. It is considered to be a measure of scale reliability. Technically speaking,
Cronbach's alpha is not a statistical test - it is a coefficient of reliability (or consistency).
What must be the value of Alpha Coefficient to conclude that items are consisting or not?
Let suppose I have the alpha coefficient for the three items (justice questions) is .839, suggesting
that the items have relatively high internal consistency. (Note that a reliability coefficient of .70
or higher is considered acceptable" in most social science research situations.) And here is also
another reference
Cronbach's alpha
0.9
0.9 > 0.8
0.8 > 0.7
0.7 > 0.6
0.6 > 0.5
0.5 >
Reference

Internal consistency
Excellent
Good
Acceptable
Questionable
Poor
Unacceptable

George, D., & Mallery, P. (2003). SPSS for Windows step by step: A simple guide and
reference. 11.0 update (4th ed.). Boston: Allyn & Bacon.
How to write the results of your Cronbachs alpha values in your article of thesis?
Table 1.Reliability of measurement
Constructs

Valid number

Number of items

Cronbachs alpha

Turnover intension

200

.778

Trust

200

.913

Justice

200

.920

Employees job satisfaction

200

.740

Table 1.Represent the estimated values of Cronbachs coefficient alpha examined the reliability
and internal consistency of the measures. For the present sample, value of Cronbachs alpha vary
from0.74 to 0.92 which indicates that each multi- item construct possesses high reliability
turnover intension (alpha = .778), trust (alpha = .913) justice (alpha = .920) employee job
satisfaction (alpha = .740) the high Cronbachs alpha value for each construct implies that they
are internally consistent. In brief, the higher the Cronbachs value of the construct the higher the
reliability is of measuring.

If you find Cronbachs alpha acceptable then you can go further analysis otherwise not.
Like PCA, CORRELATION, REGRESSION ETC.
Steps for reliability test .analyze------scale----reliability and ok bellow is resulted file of
reliability test.

Step 2. Drag all items of your first variable (means drag all questions of your first variable
into right side box and ok(repeat same procedure for all your variables )

Step 3.resutls of reliability test for first variable. Check reliability of variables and write
results in above table form.

PCA
Now we are going toward PCA (principal component analysis), let suppose we have observe
reliability of all the items and we find reliability values of all items acceptable in this case
can conduct principle component analysis.
We will find two types of values in PCA, KMO and Bartlett's Test AND Eigen values.
Now why we use KMO?
The KMO measure of sampling adequate indicates the suitability of employing factor analysis.
The value of KMO varies between 0 and 1 a value of 0 indicates that there is larger dispersion in
the pattern of correlations hence, application of factor analysis become inappropriate. A value of
1 indicates that the patterns of correlation are relatively compact so the application of factor
analysis becomes appropriate. It is a general rule of thumb that a KMO value of 0.5 is poor and
0.6 is acceptable and value closer to 1 is better and more desire able further more values between
0.5 and 0.7 are mediocre, values between 0.7 and 0.8 are good values and values between 0.8
and 0.9 are great values above 0.9 are superb
Bartletts test sphericity
is conducted to check the significance of the relationship between the items of a construct. If
there is no relationship among the items of a construct then it will be pointless to go ahead with
the factors analysis. Bartletts test assumes a null hypothesis of no correlation. Generally, a pvalue <0.05 confirms the significance of the relationship among variables. In my table the pvalues of Bartletts test in the case of all constructs is less than 0.001 which provides evidence
against the null hypothesis of no correlation. So we can continue with factors analysis.
What values we should write for analysis in our thesis or article?
KMO and Bartlett's Test

Constructs

Number Kaiser-Meyer-Olkin
of items

Bartlett's

Measure of Sampling Test

Bartlett's

of Test

of

Adequacy.

Sphericity

Sphericity sig

Turnover intension

.690

771.529

.000

Trust

.685

674.495

.000

Justice

.656

634.317

.000

Employees job satisfaction

.858

1384.0

.000

ANALYZE----DIMENTION REDUCITON----FACTOR and ok

Step 1.

Step 2.drag all items of your first variable and note, dont include informational variables
like gender, age etc, and below is detail about what u must click in descriptive, extraction
rotation etc. and after click all required options do ok.

Descriptive = click KMO

Extraction =no need to change any thing
Rotation=click to varimax
Scores =save as variable
Option =no need to change any thing
Step 3.

We have need of
KMO and Bartletts
test values, and
significance values

Step 4. You can see all five items of first variables merge and adopt a form of single
variable now go to your spss file and give the original name of your variable to new
variables , from this method convert all the variables in single variables.

Faci_1 is new variable which is produce after

PCA, now u must give name to this variable like
you can write here justice, customer satisfaction
etc means assign name of your variable, in label
also write the name of this new variable.

What must be the KMO values?

I HAVE ALREADY TOLD ABOUT THE KMO VALUE AND BARTLET TEST VALUE
IN ABOVE PARAGHARPH.
REFRENCE.Hutcheson, G. and Sofroniou, N. (1999), The multivariate social scientist. London: Sage.

Eigen values and total variance?

Frist of all how to write Eigen values
Construct

Components

Total

% of variance

Cumulative %

Turnover

Comp1

3.220

64.404

64.404

Trust

Comp1

2.734

91.126

91.126

Justice

Comp1

2.964

89.791

89.791

Job satisfaction

Comp1

6.245

56.774

56.774

Note: Constructs means our variables, component means when we run PCA
let suppose when I run PCA for first variable we saw only one variable
extract or develop , its not necessary that all the items produce one
component ,let suppose justice items produce 2 component means two
variable then we will write like this and remaining items same
Construct

Justice

Comp1
Comp2

If I interpret above results, turnover having one component which have 64% information
of all the items of justice variables. And remain same interpretation, and if two component,
then let suppose justice have two component and one component have information of all
items x% while component 2 having information of all items of justice x%.

Correlation
Let suppose we have run PCA and summarized the items of all variables into only four
variable
The correlation analysis has been used to confirm mutual association among the items of each
construct. Then main purpose of correlation is to check the relationship strength means strong
relation or weak or moderate etc.
1. If value comes less than 0..34 we will say weak relationship among variables
2. If value comes 0.34-----.74 moderate relation
3. If value comes more than .74 strong relation
In the following window we can see 23 items are summarize into four variables , now we
will check correlation among variables , now u have no need to examine all the items u
can use only these four variables

Here we can see that we have convert all 23

items not only four variables

Steps for checking correlation. Analyze --- correlate ---bivariate

I have use
only new four
variables not
all items. And
ok

Following window is showing results of correlation among variables

How to write results of correlation

Employees

Turnover

Trust Justice Employees

intentions

satisfaction

turnover 1

intentions
Trust

.134**

Justice

.129*

.798** 1

Employees
satisfaction

job
.891

**

.524

**

.241*

.
1

job

Last regression analysis

In the following window write your dependent variable and independent variable

Your dependent
variables and all
independent
variable

Let suppose I write my T variable as dependent and other variables as independent

variable.

To see
autocorrelation in
your data you can
click on statistics and
D.W VALUE

RESUTLS OF REGRESISON BEST OF LUCK

Questionnaire used for interpretation

1. Disagree 2.Strongly disagree 3. Neutral

4. Agree 5. Strongly Agree

Turnover Intension
1

Employees understand specific needs of customers (empathy).

Employees are able to put themselves in the customers place 1

(empathy).

2
3

Employees are able to tune in to each specific customer (empathy).

Employees surprise customers with their excellent service (excellent 1

performance).

4
5

Employees do more than usual for customers (excellent performance).

Employees deliver an excellent service quality that is difficult to find in 1

other organizations (excellent performance).

Justice

Justice between the employees is main element in organization

Justice improve the efficiency of organization

Justice is key determent of value addition in organization

Employees work engagement

At work, I feel full of energy.

In my job, I feel strong and vigorous.

3
4
5
6
7
8
9
10
11
12
13
14

When I get up in the morning, I feel like going to work.

I can continue working for very long periods at a time.
In my job, I am mentally very resilient.
At work, I always persevere, even when things do not go well
I find the work that I do full of meaning and purpose.
I am enthusiastic about my job.
My job inspires me.
I am proud of the work I do.
I find my job challenging.
Time flies when Im working.
.When I am working, I forget everything else around me.
I feel happy when I am working intensely.

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