Journal of E ducation and Human Development June 2016, Vol. 5, No. 2, pp. 196-206 ISSN: 2334-296X (Print), 2334-2978 (Online) Copyright © The Author(s). All Rights Reserved. Published by American Research Institute for Policy Development DOI: 10.15640/jehd.v5n2a23 URL: https://doi.org/10.15640/jehd.v5n2a23 Relationship between Need Supply Major Fit and Demand Ability Major Fit with Academic Achievement Naghmeh Vahidi 1 , Samsilah Roslan 2 , Maria Chong Abdullah 3 , & Zoharah Omar 4 Abstract Recently, despite the high budget that has been allocated for education in Malaysia, the educational performance among students remains low (Blueprint, 2013). Pascarella and Terenzini (2005; 1991) have identified four theories and models that affect students’ learning, namely; (a) psychosocial, (b) cognitive- structural, (c) typological, and (d) person-environment interaction. This study focuses on the effects of person-environment interaction on academic achievement. The interactionist approach emphasizes that, neither personal characteristics nor situational factors alone are able to identify the attitudes or responses of people, but the interaction between them can be highly influential (Schneider, 1982; Terborg, 1981). Person- environment fit arguments were raised by interactionists who discussed that particular attitudes, behaviours and cognitions are the results of the interaction between situational factors and individuals (Chatman, 1989; Muchinsky & Monahan, 1987; Ostroff & Schulte, 2007). The present study used academic achievement that is one of the outcomes of person–environment (P–E ) fit. This research employed different types of P-E fit such as, objective and perceived interest major fit. The main aim of the present study was to examine the relationship between the P-E fit and academic achievement. The study was carried out in University Putra Malaysia (UPM). The participants of the study included 2503 undergraduate students from 12 different faculties of UPM. The findings for the relationship between P-E fit and academic achievement revealed that there was a positive significant relationship between need supply major fit and demand ability major fit with academic achievement. Key Words: P-E Fit, Need Supply Major Fit, Demand Ability Major Fit, Academic Achievement. 1. Introduction According to the United Nations E ducational, Scientific, and Cultural Organization (UNE SCO), higher education is becoming a necessity as the worldwide economy continues to shift from manufacturing to knowledge- based industries (UNE SCO, 2009). Chao et al . (2007) and Ritt (2006) emphasized that most of the fastest growing jobs require higher education qualifications (as cited in Ibrahim, 2011). Malaysia has placed significant emphasis on providing wider and ample opportunities for education at higher education institutions. In 2010, the working age population (15-64 years) in Malaysia was expected to increase to 65.7 %. However, only 14% of the labor force in Malaysia have higher education (Ibrahim, 2011). There are a large number of higher learning institutions in Malaysia that are governed by and under the supervision of the Ministry of Higher E ducation (MOHE ). The students’ academic achievement plays an important role in producing the best quality graduates who will eventually become leaders and contribute to the manpower of the country and consequently be responsible for the country’s economic and social development. 1 Faculty of E ducational Studies, University Putra Malaysia, Malaysia. vahidinaghmeh@ gmail.com 2 Faculty of E ducational Studies, University Putra Malaysia, Malaysia. 3 Faculty of E ducational Studies, University Putra Malaysia, Malaysia. 4 Faculty of E ducational Studies, University Putra Malaysia, Malaysia.