Employee organizational commitment: the influence of cultural and organizational factors in the Australian manufacturing industry

The importance of enhancing employee organizational commitment (EOC) is highlighted by the extensive literature revealing its positive impact on employees' job performance, reducing absenteeism and turnover rates, and improving employees' adaptability to organizational change. This study provides an insight into how EOC levels can be enhanced by examining the contextual factors that can influence EOC. Specifically, the study examines the association between cultural, organizational, and demographic factors with the level of EOC in the Australian manufacturing industry. Data were collected by a survey questionnaire from a random sample of 500 managers with the results revealing that two cultural factors (outcome orientation and stability) and three organizational factors (organizational size, perceived organizational support and job satisfaction) were found to be significantly associated with the level of EOC. Further analysis provides a preliminary insight into how to enhance the EOC of specific managers with different cultural and organizational factors found to be associated with the EOC of managers at different levels in the organizational hierarchy. The findings have important implications for practitioners attempting to improve the level of EOC of their employees with the subsequent enhancements in the level of EOC likely to contribute to improvements in productivity and growth in the Australian manufacturing industry.     

The impact of perceived corporate social responsibility on organizational commitment and the moderating role of collectivism and masculinity: evidence from China

This study examines the relationship between employee perceptions of corporate social responsibility practices and their organizational commitment. Hierarchical regression analysis was utilized to analyze survey data on 280 employees from five export-oriented manufacturing firms in China. Employee perceptions of corporate social responsibility practices towards internal stakeholders were found to relate positively to their organizational commitment. In contrast, employee perceptions of corporate social responsibility practices to external stakeholders had a nonsignificant or marginally significant impact on organizational commitment. In addition, the collectivism and masculinity orientations of employees were found to moderate this relationship. These findings provide an insight into how corporate social responsibility practices may be utilized to motivate diverse groups of employees within China-based organizations.     

The relationship between trust,HRM practices and firm performance

Numerous researchers have begun to examine organizational trust and its influence on the workforce. However, little empirical research has focused on the conditions that engender organizational trust – those that make managers more willing to accept the vulnerability inherent in certain managerial actions that are part of human resource management. This study evaluates the trust mechanism and the way HRM practices mediate its impact on improving organizational performance. One hundred and four HR managers from the leading companies in the Israeli industrial, service and trade sectors, based on sales and operating revenue, completed questionnaires. Overall, we found that HR managers are more likely to offer training and shape the internal promotion system when trust is high. In addition, we found that firms exhibited higher organizational performance when trust is high. The paper also presents some of the model's implications.     

Intercultural competence and expatriates

This study examines the simultaneous effects of employees' fit with their organization, job and supervisor on their job satisfaction, organizational commitment and turnover intention in Turkish banks by paying special attention to the moderating role of perceived organizational support (POS) in these relationships. Survey data collected from 213 employees who work in five different banks operating in Istanbul, Turkey, show that employees' value fit with their organization increases their job satisfaction and organizational commitment significantly while having no direct effect on their turnover intention. The results also suggest a positive association between employees' fit with their job (needs–supplies fit) and their job satisfaction along with the negative, direct impact of job fit on turnover intention. The hypothesized relationships between employees' value fit with their supervisor and selected employee outcomes are not supported. With respect to the moderating role of POS, the overall findings indicate that a high level of organizational support suppresses the effects of employees' value fit with their organization on their job satisfaction and organizational commitment as well as reducing the relationship between their job fit and job satisfaction and turnover intention.     

Fine‐tuning what we know about employees' experience with flexible work arrangements and their job attitudes

Prior research has generally found positive relationships between flexible work arrangements (FWAs) and employee attitudes. However, we know relatively little about organizational contingencies that affect the strength of these relationships, as there is little multilevel, multicompany research on FWAs. This study explores three aspects of employees' experience with FWAs—perceived availability of the number of FWAs, different types of FWAs, and actual use of FWAs—and their corresponding effects on employee job satisfaction and organizational commitment. Using a large multicompany data set (1,799 companies, 17,895 workers), we found that employees who perceive more FWAs available to them have higher job satisfaction and organizational commitment, especially in organizations that report offering fewer formal FWA policies. Among different types of FWAs, perceived availability of flexible scheduling is more positively associated with job satisfaction than flexible location and hours, and both flexible scheduling and location are more positively associated with organizational commitment than flexible number of hours. We also found that employees who actually use flexible scheduling have lower job satisfaction and organizational commitment than those who have it available but do not use it. The theoretical contributions and practical implications of these findings are discussed.     

A case study of ethical/green/environmental funds,corporate governance and stakeholder management

This paper investigates how far green, ethical and/or environmental funds are deployed to represent the interests of the individual investors and to what extent the business community is encouraged to adopt ‘greener’ behaviour. Data were collected through a questionnaire and developed in the form of a case study. Twenty green ethical and environmental funds were surveyed in the UK. The main findings are that fund managers claim that their funds are invested on behalf of the investors. They see their fund promoting the ethical/environmental values of the investors. Fund managers further think that they have an influence on companies they invest in and believe in encouraging companies to become better corporate citizens. There is, however, little evidence of funds' action on companies. While green/ethical funds, and more generally the financial community, are potentially powerful instruments of change, they are, however, still very much governed by conventional financial tools and criteria.     

Can business‐oriented managers be effective leaders for corporate sustainability? A study of integrative and instrumental logics

This qualitative study investigates whether the views of managers need to be congruent with the corporate sustainability (CS) logics—either integrative or instrumental—of their employing organization. We assessed the CS performance of 25 organizations within the Australian forestry and wood products industry and analyzed the CS orientations of 32 senior managers within these companies to explore whether their individual CS views were consistent with organizational CS logics. The findings indicate that, in general, better performing organizations are led by managers that hold the integrative view, whereas poorer performing organizations are more likely to have managers with an instrumental view of CS. Nonetheless, there were noteworthy exceptions to this conclusion. The findings indicate that, under certain industry conditions, managers who hold an instrumental view may be able to generate ecological and social organizational outcomes that are at least equal to those produced by integrative managers.     

Improving corporate biodiversity management through employee involvement

This paper presents an empirical examination of the role of employee involvement in the internalization of corporate biodiversity management. A qualitative study in natural resource companies was conducted, based on semi‐directive interviews with managers, consultants, and experts in this area. The findings show that employee involvement is essential to improve biodiversity practices in natural resource companies, which largely rely on organizational citizenship behaviors for the environment. The role of tacit knowledge, voluntary initiatives, and prevention of harmful behaviors in the workplace are highlighted. The main obstacles to the internalization of biodiversity issues include their complexity, the lack of corporate commitment, the externalization of initiatives, and the lack of training for employees. The contributions to the literature on corporate environmental management, internalization of new practices, and organizational citizenship behaviors for the environment are explained. Managerial implications and avenues for future research are also provided.     

On the job and co-worker commitment of Dutch agency workers and permanent employees

This article explores the relationship between employment status (agency workers vs. permanent employees) and affective and normative job and co-worker commitment. Our study was conducted on employees from four metal companies in the Netherlands. As HRM practices seem to influence employee commitment, we performed 89 interviews across all four companies and included blue-collar workers, their managers (direct supervisors, HR managers and production managers), as well as works council members. To test our hypotheses on commitment differences, we conducted quantitative research within the companies (permanent employees N = 167; agency workers N = 54), all blue-collar workers. Results show that permanent employees and agency workers express similar degrees of commitment to their job and to their co-workers, apart from affective commitment to co-workers, which is lower for agency workers than for permanent workers. We argue that national legislation, as well as managers' attempts to offer HR practices equal to those of permanent staff, play a prominent role in stimulating agency workers' commitment.     

Management Ethics and Corporate Policy: A Cross-cultural Comparison

This paper reports the results of a cross-cultural empirical study that investigated differences in the clarity of corporate attitudes towards ethical 'grey areas' and their influences on managers' ethical decision making. The study encompassed managers in France, Germany, Britain, Spain and the USA working in over 200 companies operating in these countries. Comparisons are made at both individual manager level and at corporate level. At the former level significant differences are found among nationalities of managers themselves. For the latter, differences are found among companies according to the nationality of their home country rather than the host country. Despite identifying national differences in areas of gift giving and receiving, loyalty to company, loyalty to one's group, and reporting others' violations of corporate policy, the study presents evidence that clarity of corporate policy has little influence on managers' reported ethical decision making. The perceived behaviour of managers' colleagues is far more important in predicting attitudes towards decision making of managers across the nationalities surveyed. This has implications for the efficacy of the growing popularity of corporate codes across Europe. Companies should place more emphasis on intervening in peer dynamics rather than trying to legislate for managers' ethical conduct.     

Women abroad: getting the best results from women managers

Abstract This study explores the work environment of expatriate women managers in American corporations and investigates the determinants of their job satisfaction. The strategic importance of global assignments has increased over the years. The real cost of unsuccessful expatriates extends beyond the monetary expenses. As the number of women managers working overseas increases, so does the importance of this topic. Additionally, because women in expatriate positions are relatively new, their needs for job satisfaction and career aspirations are not known to most organizations. This research intends to fill this gap. The study concentrates on four major areas that are considered important for obtaining job satisfaction: (1) the way in which organizations design their overseas jobs, (2) women's skills and characteristics, (3) international human resource policies of companies and (4) the cultural environment of host countries. The applied research covers two phases: a study of expatriate managers during their assignments overseas and the evaluation of overseas experience upon their return. The results indicate that women in overseas assignments are satisfied overall with their jobs. However, organizational variables are more strongly related to job satisfaction. The nature of job design in overseas postings has the greatest impact on women's job satisfaction. When the jobs are enriched, women gain intrinsic rewards and have high job satisfaction. Organizational support also contributes to the satisfaction of women expatriates. Training, mentoring and repatriation preparations have high impact on women's success and satisfaction. Women expatriates are more concerned with their repatriation and future advancement than their present assignments. The findings are important for theoretical and practical reasons. Theoretically, the achievement and satisfaction of women managers overseas cannot be simplified without taking into account organizational, personal and cultural factors. Practically, companies need to respond to the individual needs of expatriate women managers and then decide on their assignments and their repatriation accordingly.     

Predicting employee commitment and satisfaction: the relative effects of socialization and demographics

This study compared the relative influences of organizational socialization and demographic variables on job satisfaction and organizational commitment. Organizational variables were assessed by asking 193 Chinese employees in Hong Kong to evaluate socialization within their companies, namely: (1) training received; (2) understanding of the organization; (3) co-worker support; and (4) future prospects within their companies. Dependent variables were standard measures of (affective, continuance and normative) commitment and of satisfaction (with co-workers, pay, promotion, supervisors and the work). Results revealed higher correlations between the socialization measures and job satisfaction and commitment than between the demographic measures and the dependent variables. Although a few demographic measures had some predictive power, the regression analyses confirmed that the socialization variables were consistently stronger predictors of both satisfaction and commitment. Strategic implications for human resource management are discussed.     

企业社会责任动机、机制与模式研究——基于管理者价值观视角

基于管理者价值观对企业行为的影响作用,提出了经济性、关系性和道德性企业社会责任的动机类别。在此基础上具体分析不同类别动机对于企业社会责任行动的影响作用,提出了在受到制度环境,以及企业特性等因素影响在内的企业社会责任行动的整合机制模型。最后对不同管理者价值观动机驱动下的可能产生的社会责任行动类型进行了分析。     

Treating employees fairly and organizational citizenship behavior: Sorting the effects of job satisfaction,organizational commitment,and procedural justice

A study was conducted to measure the relative contribution of perceptions of procedural justice toward predicting organizational citizenship behavior (OCB) controlling for the effects of job satisfaction and organizational commitment. Employees in a national cable television company completed a survey containing measures of work satisfaction, affective and continuance commitment, and perceptions of fairness, while their managers completed an OCB survey. Results using LISREL 7 indicated support fpr relationships between procedural justice and commitment, satisfaction, and OCB. However, no individual relationships between commitment and OCB nor between satisfaction and OCB were found once the relationships between justice and citizenship were controlled. These findings are discussed using the group value model of procedural justice.     

Employee work values and organizational attachment in North Mexican maquiladoras

Maquiladoras in Northern Mexico are currently plagued by low organizational attachment among production workers. Workers often feel little psychological commitment to their maquiladora, and turnover rates in the plants average about 10 per cent per month. In this study we examine the role that work values play in maquiladora workers' attachment to their organizations. An analysis of data from 227 production workers in two maquiladoras reveals that the upward-striving value (a desire continually to seek a higher-level job) is positively associated with turnover intentions and negatively associated with organizational commitment, while the social-status-of-job value (the perception that a good job merits respect) is positively associated with organizational commitment. The findings offer guidance to managers and management scholars attempting to understand and combat the organizational attachment problem in Northern Mexico.     

The Relationship Among Ethical Climate,Job Satisfaction,Organizational Commitment,and External Auditor＇s Turnover Intention

This study attempts to examine the relationship among ethical climate, job satisfaction, organizational commitment, and turnover intention in the context of the Malaysian external auditor＇s work environment. The questionnaire is sent to a sample of external auditors from Malaysian Big Four （Klynveld Peat Marwick Goerdeler （KPMG）, Ernst and Young, Deloitte KassimChan, and PricewaterhouseCoopers （PwC）） main offices. There are 167 useable responses. The regression results have provided evidence that ethical climate is directly, significantly, and positively associated with job satisfaction. In contrast, ethical climate appeared not to be directly related with external auditor＇s turnover intention. Both job satisfaction and organizational commitment were identified as significant predictors in explaining turnover intention, since they had a significant and negative effect on external auditor＇s turnover intention. This study also implied that job satisfaction had a significant effect on organizational commitment. Furthermore, the findings revealed that organizational commitment partially mediated the relationship between job satisfaction and turnover intention. The results extend the literature on external auditor＇s turnover intention and provide insights for human resource management in accurately assessing employee＇s turnover intention in order to improve retention and reduce actual turnover particularly in audit firms.     

Incentives,Capital Budgeting,and Organizational Structure

Divisional managers compete for financial resources in what is often referred to as an internal capital market. They also have a common interest in maximizing corporate profits, as this determines the resources available to the firm as a whole. Both goals are powerful motivators but can at times conflict: while the amount of resources available to the firm depends on corporate performance, divisional funding depends upon the division's performance relative to the rest. We propose a model in which organizational form is endogenous, divisions compete for corporate resources, and managers have implicit incentives. We show that organizational design can help companies influence their divisional managers' potentially conflicting goals. Our analysis relates the firm's organizational structure to the source of incentives (external vs. internal), the nature of the incentives (competition vs. cooperation), the level of corporate diversification, the development of the capital market, and to industry and firm characteristics.     

The False Promise of Organizational Culture Change: A Case Study of Middle Managers in Grocery Retailing*

ABSTRACT The strategic importance of managing organizational culture has been a central theme in organizational literature over the past two decades. But relatively little attention has been given to the impact of culture change initiatives on managers. This paper reports on the impact of a programme of culture change on managers at one of Britain's leading grocery retail chains. Based on a series of detailed interviews with managers together with examination of company documents and an understanding of trends in grocery retailing, we explain the purpose and content of change, and document and analyse the reactions of those managers who are expected to change their own cultural orientations as well as persuade their subordinates to change. We conclude that in this case at least changes in managerial behaviour, as with previously documented changes in the behaviour of shopfloor workers, are related more to surveillance, direct control and the threat of sanction than any transformation of managerial values. Indeed, the situation and experiences of managers – one of reduced autonomy, close monitoring and control, and perceived career insecurity – are explained less in relation to ‘organizational culture’, more in relation to organizational (re‐)structuring intended to create a more centralized form of organizational control.     

Team autonomy,organizational commitment and company performance – a study in the retail trade

The study focuses on the relationship between perceived team autonomy and company performance through highlighting organizational commitment as a mediating factor in this relationship. Data collected in 2007 came from 25 small-sized companies in the retail trade, covering both the employer and employee levels (n = 369). This study aims to shed light on the following questions: first, is team autonomy associated with organizational commitment and company performance? Second, does commitment mediate the relationship between team autonomy and company performance? Results indicated that team autonomy was both directly and indirectly positively associated with company performance. Furthermore, organizational commitment partially mediated the relationship between team autonomy and company performance. Theoretical and practical implications of these findings are discussed.     

Why and when organizational culture fosters affective commitment among knowledge workers: the mediating role of perceived psychological contract fulfilment and moderating role of organizational tenure

Drawing on Denison and Mishra (1995)’s framework of organizational culture, this study examines why and when organizational culture is related to knowledge workers’ affective commitment. Data were collected from 640 employees working in three high-technology companies in China. The findings indicate that the relationship between organizational culture and affective commitment is mediated by perceived psychological contract fulfilment. In addition, organizational tenure moderates the relationship between two external dimensions (i.e. adaptability and mission) of organizational culture and perceived psychological contract fulfilment. This study extends the current theoretical framework of organizational culture by demonstrating the underlying mechanism and the boundary condition of the relationship between organizational culture and affective commitment. The findings also provide practical implications for international managers to design appropriate human resource management policies and practices in China.