Determinants of employee training: impact on organizational legitimacy and organizational performance

Employee training is one of the most studied human resource practices, as it is considered critical for organizational success. However, employee training and its impact on organizational performance have usually been studied from an economic-rational perspective, in terms of the economic and competitive advantages that companies can achieve by training employees. This study goes beyond the economic-rational approach and draws on institutional theory. We introduce contextual factors in the analysis of the determinants of employee training to complement the variables of competitive advantage and explain the relationship between employee training and organizational outcomes. Data were collected from 374 organizations using a questionnaire administered in Spain. The findings support the idea that both economic-rational and institutional determinants influence employee training. There are also two different kinds of outcome from training employees: organizational legitimacy improves at the same time as organizational performance.     

The role of organizational culture in the relationship between leadership and organizational commitment: an empirical study in a Greek organization

The aim of this paper is to explore the nature of relationships between organizational culture and leadership behaviours in affecting employees' commitment to their work organization. Building on organizational commitment literature, this study used a survey methodology. Empirical evidence was obtained from 300 employees working in a large Greek service company. The analyses indicated that the culture orientations examined served as mediators in the relationship between leader behaviour and followers' affective and normative commitment to the organization. The findings also indicated that continuance commitment is a two-dimensional construct; the ‘personal sacrifices’ dimension was found to be related to organizational culture and transactional contingent reward. This research paper has key messages for practitioners contributing to the fields of commitment, organizational culture, leadership and human resource management.     

The mediating role of training utility in the relationship between training needs assessment and organizational effectiveness

In a survey among respondents from 96 organizations, we found that the utility of training partially mediated the relationship between Training Needs Assessment (TNA) comprehensiveness and the effectiveness of the organization. We did not find an effect of training quantity on training utility and organization effectiveness. Both TNA comprehensiveness and training quantity were found to be unrelated to organizational size. The results support the importance of conducting TNA in practice.     

The effect of training on organizational performance: differences by age composition and cultural context

This paper examines the effects of two training-related measures (i.e. average days spent on training an employee per year and the extent of concentration) on three aspects of organizational performance: level of productivity, rate of innovation, and rate of turnover for organizations in Anglo, Germanic, Nordic, and Eastern European cultures, as defined by the Global Leadership and Organization Behavior Effectiveness project. Analysis of the 2004 Cranet survey data indicates that both training-related measures positively affected the level of productivity in Anglo nations, but that the effect of extent of concentration was smaller for organizations with older age profiles.     

Time precedence in the relationship between organizational climate and organizational performance: a cross-lagged study at the business unit level

This article presents a two-wave cross-lagged study (average interval of two years) on time precedence in the relationship between organizational climate and organizational performance in 171 branches of a financial services organization in the Netherlands. It is argued that four HR-induced organizational climate dimensions influence organizational performance. Additionally, it was also hypothesized that high organizational performance influences the four organizational climate dimensions through investments in HR practices and through signalling effects. Finally, it was reasoned that possibly both processes are present simultaneously. Results of testing a series of competing models in AMOS showed that organizational climate at time point 1 influenced organizational performance at time point 2 rather than the reverse, or both processes being present simultaneously.     

The effect of human resource practices on organizational performance: evidence from Greece

The present study addresses a central research question: how do human resource management practices contribute to organizational performance? We examined the following HR practices: (1) job security; (2) selective hiring; (3) self-managed teams and decentralization of decision making; (4) compensation policy; (5) extensive training; and (6) information sharing. We surveyed food managers in Greece and recorded their perceptions on HR practices and their relation to firm performance.

Results provide overall support for all HR practices except of job security. Selective hiring was found to be a key practice that improved organizational performance. Compensation policy, information sharing, decentralization of decision making and extensive training were significant predictors for all performance variables. Directions for further research are provided.     

Evaluating environmental and social performance of large Portuguese companies: a balanced scorecard approach

A thematic balanced scorecard format was used to address environmental and social performance evaluation of 13 large companies operating in Portugal. Financial aspects of environmental and social company activities are also included. Companies were categorized as to their actual performance status using a predefined performance framework. Three categories were found: compliance with the law while emphasizing pollution control, pollution prevention and eco‐efficiency. Management tools and procedural matters were found to be most relevant for categorization. Often, reported information did not allow for quantitative evaluation of environmental burden reduction. Use of the thematic balanced scorecard format was useful to better understand the strengths and weaknesses of links between objectives and measurements, initiatives and achievements. Improvement as to environmental performance was found to be paralleled by increased social performance, suggesting that a multi‐level ‘sustainability’ performance categorization of these Portuguese companies is feasible. Driving forces for environmental management initiatives were found to differ by category of performance. Copyright © 2005 John Wiley & Sons, Ltd and ERP Environment.     

Emotional exhaustion and job performance: the mediating role of organizational commitment

We analyze the impact of emotional exhaustion (EE) on turnover intention, task performance and organizational citizenship behavior (OCB) among hospital nurses in China. The differential mediating effects of affective organizational commitment on the associations between EE and turnover intention, task performance and OCB were examined. Data were collected from both nurses and their supervising physicians using a questionnaire survey in Mandarin. The results revealed full mediation effect for turnover intention and for OCB directed at the organization. There was a significant indirect effect for OCB directed at individuals and no mediation effect for task performance.     

The moderating effects of organizational context on the relationship between voluntary turnover and organizational performance: Evidence from Korea

Scholars have suggested that the relationship between voluntary turnover and organizational performance can be moderated by the organizational context in which turnover occurs. However, there are few empirical studies that examine such moderating effects. Using a sample of 161 firms in South Korea, this study investigates how the relationship between voluntary turnover and organizational performance is moderated by three context variables: (1) the degree of organizational usage of employee involvement practices, (2) the degree of organizational investment in employee training and development, and (3) the availability of potential workers. The results demonstrate that employee involvement practices significantly amplify the negative relationship between voluntary turnover and organizational performance, give marginal support for moderation from the availability of potential workers, and provide no support for moderation from the degree of organizational investment in employee training and development. We discuss theoretical and practical implications of this study for enriching our understanding of the relationship between voluntary turnover and organizational performance. © 2012 Wiley Periodicals, Inc.     

The roles of OCB and automation in the relationship between job autonomy and organizational performance: a moderated mediation model

This study examines the mediating role of organizational citizenship behavior (OCB) in the relationship between job autonomy and organizational performance in the manufacturing industry. The study also investigates the moderating role of automation in those relationships. Although it is well known that job autonomy has an intimate relationship with employees’ attitudes at the individual level, no studies have yet elucidated the relationships of job autonomy with OCB and organizational performance at the organizational level. Moreover, no research has investigated the role of automation in an OB discipline, although automation constitutes an important contextual variable. Using a moderated mediation model, this study found that OCB mediated the relationship between job autonomy and performance, and that these relationships were stronger in less automated organizations. The findings offer implications regarding how job autonomy can improve organizational performance and which organizations benefit more from job autonomy.     

How and when matter: Exploring the interaction effects of high‐performance work systems,employee participation,and human capital on organizational innovation

Existing research on the relationship between high‐performance work systems (HPWS) and organizational innovation has paid insufficient attention to the boundary effects of employee participation and human capital. Bridging the human resource management (HRM) and employment relations literature, this study contributes to the contingency view of HRM and China‐specific research by investigating how human capital and employee participation, direct voice mechanism, and corporate governance participation jointly moderate the relationship between HPWS and organizational innovation. We test our three‐way interaction model using a sample of 108 firms and 1,250 employees in China. The results suggest that HPWS are positively associated with organizational innovation when employees with relatively less human capital are coupled with more direct voice mechanism or less corporate governance participation. In contrast, HPWS are negatively related to organizational innovation when employees possessing greater human capital are coupled with more direct voice mechanism. The theoretical and managerial implications and future research directions are discussed.     

Exploring the performance effects of visible attribute diversity: the moderating role of span of control and organizational life cycle

Research on how cultural diversity – especially visible attributes such as race and gender – impacts organizational performance remains practically nonexistent. We examine the effect of racial diversity and gender diversity on firm performance utilizing a contingency framework. Empirical findings from a field study support the hypothesized contingent effects of an organization's structure, specifically managerial span of control, on both racial and gender diversity's pre-assumed benefits. In addition, the study highlights the role of life-cycle stage when modelling the diversity–performance relationship. Future research directions and managerial implications are discussed.     

Voluntary turnover rates and organizational performance in the US federal government: the moderating role of high-commitment human resource practices

Despite the growing body of literature on antecedents of employee turnover, little attention has been paid to the effect of voluntary turnover on organizational outcomes in public administration. Using panel data from the US federal government, this article tests the proposition that the relationship between voluntary turnover rates and organizational performance is negative but becomes curvilinear as turnover rates increase. Based on the contingency perspective of the turnover–performance link, this article further examines the moderating role of high-commitment human resource practices (HCHRP) in the relationships. Findings indicate that voluntary turnover has a positive relationship with organizational performance, but it turns out to be an inverted U-shaped curve as turnover rates increase from low to high levels. Furthermore, the moderating effect on the curvilinear relationship is especially pronounced for federal agencies with high levels of HCHRP.     

High-performance work systems and organizational performance: testing the mediation role of employee outcomes using evidence from PR China

This research investigates the relationship between high-performance work systems (HPWS) and organizational performance, and the mediating effect of employee outcomes. The paper is based on a sample of 168 firms of six ownership types and in various business sectors operating in China. The results of data analysis support the hypotheses. Organizational performance is positively predicted by HPWS and employee outcomes, and employee outcomes positively mediate the relationship between HPWS and organizational performance. This paper supports the theory that HPWS positively impacts organizational performance and explains the mechanisms through which HPWS enhances organizational performance. It also responds to the long-standing call for stressing the importance of employee-related factors in the HRM–performance linkage.     

Linking organizational identification and employee performance in teams: the moderating role of team-member exchange

This study examined the influence of organizational identification on employee performance in teams. Drawing on social identity theory and self-verification theory, we predicted that organizational identification would have positive effects on employee in-role and organizational citizenship behavior (OCB) performance. Building on social exchange theory, the study further theorized that the quality of team-member exchange (TMX) would amplify the impacts of organizational identification on both types of performance. Using data from automotive dealer employees in China, we found positive relationships between organizational identification and both types of performance. In addition, TMX altered the impact of organizational identification on OCB.     

The impact of employee perceptions of organizational corporate social responsibility practices on job performance and organizational citizenship behavior: evidence from the Chinese private sector

This paper examines the impact of employee perceptions of organizational corporate social responsibility (CSR) practices on their job performance and organizational citizenship behavior (OCB). Hierarchical regression analysis on two-wave data from 184 supervisor/subordinate dyads from three organizations located in Zhejiang Province, South-East China, revealed that employee perceptions of CSR toward social and non-social stakeholders strongly influenced their OCB. However, employee perceptions of CSR toward employees, customers and government influenced neither their job performance nor OCB.     

Foreign workers in Saudi Arabia: a field study of role ambiguity,identification, information-seeking,organizational support and performance

A total of 154 foreign workers in Saudi Arabia responded to a web survey that inquired about role characteristics, work attitudes and behaviors. Surveys were matched with 138 supervisor surveys asking about the focal worker's job performance. Results indicated a significant relationship between role ambiguity and job performance, a relationship mediated by organizational identification, which was moderated by both information-seeking and perceived organizational support. This research is one of only a few studies of professional workers in Saudi Arabia (both male and female). Furthermore, this study is one of a handful of studies to explore the attitudes and performance of foreign workers, a worker population often confounded in studies that focus on domestic, expatriate or inpatriate workers.     

In search of sustained competitive advantage: the impact of organizational culture,competitive strategy and human resource management practices on firm performance

We develop and test a dynamic model of co-specialized resources for competitive advantage. Using matched data from senior executives and human resource managers, we test the direct and interactive effects of high-performance human resource (HPHR) practices and organizational culture on firm performance. Although the HPHR practices were not an important influence on performance, our findings indicate that organizational culture can be a valuable resource for companies.     

Becoming a high-performance work organization: the role of security,employee involvement and training

The emerging employment system characterized by a high degree of employment security with flexible job assignments, employee involvement in problem solving and continuous improvement, and continuous training of employees is discussed. This model is called the SET system (for Security, Employee involvement and Training) and it is examined by means of case studies of five US firms that are attempting to establish or maintain a SET system. It is found that SET systems are difficult to implement in a gradual and partial manner. The three elements of SET reinforce one another and firms that are successful in adopting SET have made an investment to implement all three SET elements simultaneously. Four factors that impede implementation of a SET system are then identified.     

A multiple group analysis of the training transfer model: exploring the differences between high and low performers in a Korean insurance company

This study suggests an integrative transfer of training model and examines the influence of pre-training performance on the relationship between work environment variables and transfer-related variables. Structural equation modeling was conducted with data collected from 365 Korean employees of a large general insurance firm. They were all participants in a leadership development program. The results of multi-group analyses revealed that the influence of work environment variables on transfer-related variables was moderated by employees' pre-training performance. The findings of the study imply that a more elaborate training transfer model that considers performance not just as an outcome variable, but also as an antecedent variable is required. Also, it is proposed that different strategies should be applied to promote transfer of training based on the employee's level of pre-training performance.