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EE work study 2016

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EE work study 2016

  1. 1. RUNNING HEAD: Employee Engagement and Organizational Commitment Review 1 A Literature Review of Employee Engagement’s Relationship to Organizational Commitment Trevor Bonnell Capella University PSY8740 I/O Psychology Dr. Bruce Gillies
  2. 2. Employee Engagement and Organizational Commitment Review 2 Abstract The paper will reflect on multiple sources to support the idea that Employee engagement will increase organizational commitment. The papers have been documented from many cultures and locations. The supporting papers will be evaluated for scientific merit and related to the thesis in a qualitative manner. No casual relationship can be made because it study is not purely experimental, but there is an inference to an association.
  3. 3. Employee Engagement and Organizational Commitment Review 3 Introduction The purpose of this paper will be to examine the preexisting literature on the constructs of employee engagement and organizational commitment. The in depth analysis of these constructs has given the author of this paper a plethora of choice information. To start, employee engagement (EE) will be defined. This construct can be described as "an individual employee's cognitive, emotional, and behavioral state directed toward desired organizational outcomes" (Shuck & Wollard, 2010). From an industrial organizational psychologist perspective, this can be viewed as the employees focus directed towards organizational goals. If the employee is not focused towards the company’s goals, then the company will suffer. The next construct is organizational commitment (OC). A quick definition of OC is the intent of an employee to continue their employment with a company. The depth of this construct has been furthered by Allen and Meyer (1990). According to Allen and Meyer (1990) there are multiple levels of commitment an employee can have. Affective, continuance, and normative are their three commitment styles. These commitment styles can be reviewed into a paper of it’s own, but the objective is to see the relationship they have with EE. In a paper by Kataria, Rastogi, and Garg (2013) EE is shown to be a key component in the organizational effectiveness. The reason this is relevant to the study is the statistical significance this study shows makes the link to the importance of retaining employees. Following the trail of terms, an employee that feels important and connected at work would be engaged. This same employee would also have a high affective commitment. Putting ideas together we can see a trend start to emerge. Employees that are engaged are less likely to leave. When putting this idea into a scientific hypothesis
  4. 4. Employee Engagement and Organizational Commitment Review 4 we could say that the constructs of EE and OC should have a positive significant relationship if put through a correlational study. That is to say the more engaged an employee feels, the more likely they are to stay with an organization. Literature Review Before the constructs are compared in further articles, they will be clearly defined. In a paper by Little and Little (2006) EE is described in great detail. The writers of this commentary discern the theory of employee engagement. The study investigates how the construct employee engagement is labeled. Depending on whose model is observed there is little deviance in the overall definition. Lucey, Bateman and Hines (2005) described the employee engagement by "how each individual employee connects with your company and how each individual employee connects with your customers" (p. 12). A critical term in the model is “connect.” If an employee is connected to an organization, then they are less likely to leave. This is an example of how the current study will consider qualitative evidence to support its theories. Another model for EE clarification is by Wellins and Concelman (2004) "the illusive force that motivates employees to higher levels of performance" (p.l). This illusive force is what the paper intends to show as real and impressionable to other variants. The resource of employees is a commodity taken for granted in organizations. Turnover rates for companies drive down profits and cause damage to profitability. The term turnover can be described by its antonym. In the same article by Little and Little (2006) “OC is defined by the degree to which an individual identifies with an organization and is committed to its goals.” Now there is a clear definition to both the constructs, the article offered one more critical item. Studies have been concluded to scrutinize the association between the two constructs. Spelled
  5. 5. Employee Engagement and Organizational Commitment Review 5 out by previous research the reader can see that “Employee engagement has been shown to have a statistical relationship with productivity, profitability, employee retention…” (Buckingham & Coffman, 1999; Coffman & Gonzalez-Molina, 2002). Using this as the springboard into the current paper, the next section will review other papers for scientific merit. This will be done in effort to support the theories, and further bolster future studies. The next article we will review is by Hussain and Rehman (2013). This reading studies the association among the HRM exercises executed by the company and personnels’ intent to continue working for the company in a positive manner. Human resource management (HRM) exercises used to study are “training and Development, development of teams, performance appraisal, internal communication system, employment security, employee empowerment and reward and compensation (2013).” Training and development is important to the employee because of knowledge they need to successfully complete a task and feel as part of the organization. Along the same lines, teams will help create bonding relationships that can help produce more. Performance appraisal is in the same category as communication because it is a form of feedback loops the employee can count on. Employee empowerment may be the most critical aspect of this paper because it has been found in many studies the allowing employees to have a sense of involvement and sovereignty over their jobs increases their OC (Seibert et al., 2004) If the construct of EE were to be broken down into more developed elements, then they could be described like the terminology above. The article in review has strong scientific merit. The construct they wish to study are strongly defined and backed up
  6. 6. Employee Engagement and Organizational Commitment Review 6 with many evidence-based researchers. In this article four hundred surveys were dispersed between middle management of textile industry. Mentioned in the article above there are four human resource management exercises: “person-organization fit, employment security, communication and training and development are contributing strongly in creating the employees’ intents to stay with the company (Hussai & Rehman, 2013).” Considering the populations these construct are attempting to cover, this sample size is moderate to large. The data was analyzed using an ANOVA. The data was appropriately sorted using this method considering they had multiple hypothesis and many different correlations. The results were a strong positive inter-relationship was discovered between HRM practices and employees’ retaining. The p-value of the regression was less than .05, and fell well beneath the industry standard for significance. It is determined the embracing of human resource management practices boosts employees’ Organizational Commitment. This study was limited to the textile industry. This gives the study somewhat limited generalizability. The constructs studied though are able to relate to any organization that has the need for employees. This article is strong in scientific merit and shows a significant relationship between the suggested constructs for the thesis. The next article investigated for scientific merit is by Kataria, A., Rastogi, R., & Garg, P. (2013). Researcher’s curios about organizational performance were fascinated in discovering the personal opinions of employees’ and their leaders. The question the wondered was did it affect their work-related views and actions. The construct of EE is further defined in this research article by looking back into the historical presence it’s had since the 1990’s. The researcher Khan described EE as “people employ and express
  7. 7. Employee Engagement and Organizational Commitment Review 7 themselves physically, cognitively and emotionally during work role performance (Khan, 1990)." A reason of this importance is Kahn is described as one of the first researchers for this construct. The article then describes the construct of organizational effectiveness. This can relate to OC by translating the organizational effectives of a company to also include low turnover rate of employees. It is easy to comprehend how companies could not be doing as well as they could due to attrition. This analysis tried a meditation model connecting leader charisma to organizational citizenship behaviors (OCB) through work engagement. The descriptive statistics showed a 304 participant sample size. This is a strong sample size. The demographics showed confound to the generalizability because or how such a large response was from males (81%). All the rest of the descriptive statistics showed relatively normal means for the sample. The way the researchers gathered the information was with evidence based research methods. They used the UWES-9 to gather engagement and the 8-item scale developed by Mott for organizational effectiveness. The overall scores showed a significant positive relationship p-value of .01. This is further qualitative evidence that there will be a strong positive significant relationship between the constructs of EE and OC. Dr. Mark Huselid is a tenured professor of the Human Resources Strategy at Rutgers University. His article is about HRM practices and productivity. Human resource management practices are the actions that management takes to keep their employees engaged. This is why the article in review is related to the topic of EE and OC. The theory Huselid (1995) offers is that high performing companies often have their employees running off of good HRM system and this crates low turnover. This translates into their employees are engaged and have high OC. Huselid (1995) states “An internal
  8. 8. Employee Engagement and Organizational Commitment Review 8 promotion system provides a strong incentive for employees to remain with a firm and, when combined with the appropriate incentive compensation and performance appraisal systems, can magnify the returns from investments in employee development activities.” The way this can be viewed for this paper is magnifying returns are employees that stay with the company and give back. This study broadly assessed the links between techniques of job practices and organization performance. Scores specify these exercises have a fiscal and significant influence on personnel outcomes (staff renewal rate and efficiency) and procedures of company fiscal functioning. This means a company will produce more capital with lower turnover rate, and a way to do that is engaged employees. Dr. Mushtaq is the Vice Chancellor at Transworld Muslim University. The paper means to explore the relationship between EE and OC. The article calls OC turnover intention, but when looking at the definition of the two constructs it is obvious they are similar. According to Mushtaq (2013) employees that are engaged tend to be content, excited and active. This energy drives up organizational performance. This is one of the main reasons for this type of studies. This model becomes cyclical when one begins to explore it. Company drives up EE, OC increases, organizational performance rises, and everyone benefits. From CEO to customer the environment is changed for the better. Understanding this better there must more focused discovery on how this interaction happens between EE and OC. There is a low amount of research fixated on understanding the connection among employee engagement and organizational commitment. The analysis-exposed engagement applies its direct positive impact on facility employees' and negative impact on turnover intents. The researchers showed
  9. 9. Employee Engagement and Organizational Commitment Review 9 operational variable in the causal associations. Some of the strengths of this article are its realistic applicability. A fault for the study relating in the USA is likely cultural variances. “Employee Satisfaction: Mediator of Organizational Service Orientation and Employee Retention” discovers if there is an association between organizational service orientation, employee satisfaction, and employee retention. The authors do this by using cluster and simple random sampling. The researchers did this by evaluating the schools within Uganda (Kasekende, Byarugaba, & Nakate, 2013). The public school system is much like the one in the US where is a part of the tax system set in place so everyone has an equal opportunity to attend. This can be generalized to multiple public servant positions like police, fire rescue, or public works. One of the problems that might be pulled from the study is the cultural difference one country may have from another. In some culture the attention from management might be seen as bothersome, or intimidating. A way to practice this material for the benefit of a company would be to use it in appropriate context. Engagement happens at an organizational level. If the company is multicultural then this must be taken into account, and certain levels of adjust must be made. This article was a cross-sectional study that had complications of shared method biases. The paper stresses the necessity for schools to acclimate guidelines that promote service orientation in order to advance employee satisfaction and retention. The results of the paper were that of their sample size of 368 that the second hypothesis confirmed a strong association “when employees are satisfied on the job, they exhibit high levels of retention, and the rate of turnover decreases (Kasekende, Byarugaba, & Nakate, 2013).” This is an article that confirms the hypothesis of this paper and does it
  10. 10. Employee Engagement and Organizational Commitment Review 10 with scientific merit. The research uses strong validity and reliability within their methods. They back up their research with evidence based theories and practices. For the qualitative measure it is a strong case study for the correlation of EE and OC. Building relationships for retention (2009). A third party writer did this study. He added his own unbiased notes and a place the articles in context prepares this brief. It has been stated innumerable times that any organization's best advantage is its staff. Yet that idea continues to go ignored by several corporation managers who place employee wellbeing down their list of urgencies. These companies do not always do this intentionally, and unavoidable circumstances tend to arise. Employees naturally feel unappreciated and plunging optimism and incentive is nearly unavoidable. This can happen upon the best companies. The market may crash causing a downward trend in spending, and it causes an economic slump. This causes the companies to adjust and the employees happen to feel the strain the hardest. When these types of despair, or disconnect, happens the employees with further withdrawal themselves from the organization. A UK company has now upturned convention by initiating a training enterprise with employee welfare at the center of development plans. This giving keeps employees the sense of engagement to keep them around for the benefit of the company. From the previous studies one can assume that these engage employees have a greater chance at finding success and foster OC. It has been a clever move to integrate business and employee necessities, and assisted systematize training across business to business and customer divisions. One of the creative ways they did this was by using a “Six Sigma approach to define, measure, analyze, improve and control the problem (2009).” The ending result was the change in the culture of the company to more aggressively seek
  11. 11. Employee Engagement and Organizational Commitment Review 11 out the OC of their employees. The paper offers deliberate insights. Practical thinking has persuaded the largest companies in the world to adjust their HRM practices. Here the paper shows the effectiveness in a real world situation on having engaged employees will create higher organizational commitment. Method Hypothesis: There is a statistically significant positive correlation between Employee Engagement and Organizational Commitment through Null-Hypothesis: The research will not show a relationship between Employee Engagement and Organizational Commitment through qualitative analysis. Participants chosen for this study had a very limited diversity. This fact will be discussed later in the paper. The people who did choose to participate were mostly European American, males, ages ranging from 35-55, that completed college, and were entry level or management. There were a multitude of ethnicities and religions that were not included into the study and this will also be discussed further later in the paper. The study was conducted through an online survey service. Conclusion Through the multitudes of previous research, the reader can assume that there is a relationship between EE and OC. Some of the biggest confounds regarding this research is the lack of investigation done in the western civilization. It is difficult to say these constructs have generalizability without further studies done. The reason for this is to show the diversity of the constructs definition. In the first part of the paper the reader can see the constructs described by their definition in model theory. Further in the paper the constructs are put into functional studies to see how they relate. There were no papers
  12. 12. Employee Engagement and Organizational Commitment Review 12 found that, done with scientific merit, did not find significance between EE and OC. This is good because the evidence is mounting to provide strong arguments to companies seeking consultation for egregious attrition. The only issue with this is there are not any papers done with scientific merit concluding no significance. It’s always good to get a full picture of insight when trying to discuss theoretical topics. Further studies that can be done using samples that have high generalizability would be a benefit to the theoretical development of employee engagement and organizational commitment.
  13. 13. Employee Engagement and Organizational Commitment Review 13 References: Allen N. J. & Meyer J. P. (1990), ‘The measurement and antecedents of affective, continuance and normative commitment on the organization’, Journal of Occupational Psychology, vol. 63(1), pp.1-18. Buckingham, M. & C. Coffman (1999). First, break all the rules: what the world's greatest managers do differently. New York, NY: Simon & Shuster. Building relationships for retention. (2009). Strategic Direction, 25(7), 6-10. doi: Coffman, C. & G. Gonzalez-Molina (2002). Follow this path: How the world 's greatest organizations drive growth by unleashing human potential. New York, NY: Warner Books, Inc Huselid M. A., (1995), ‘The impact of human resource management practices on turnover, productivity and corporate financial performance’, Academy of Management Journal, vol. 38(3), pp.635-672. Hussain T. Rehman S. S., (2013) Do Human Resource Management Practices Inspire Employees’ Retention? From: Research Journal of Applied Sciences. Vol. 6 (pp. 3625 – 3633). Kahn W A (1990), "Psycholo gi cal Conditi on s of Personal Engagement and Disengagement at Work", Academy of Management Journal , Vol. 33, No. 4, pp. 692-724. Kasekende F., Byarugaba K.J., Nakate M., (2013). Employee Satisfaction: Mediator of Organizational Service Orientation and Employee Retention. From: Journal of Business and Management. Vol. 19 Iss. 3. (pp. 41).
  14. 14. Employee Engagement and Organizational Commitment Review 14 Kataria, A., Rastogi, R., & Garg, P. (2013). Organizational effectiveness as a function of employee engagement. South Asian Journal of Management, 20(4), 56-73. Retrieved from 7965 Little, B., & Little, P. (2006). EMPLOYEE ENGAGEMENT: CONCEPTUAL ISSUES. Journal of Organizational Culture, Communication and Conflict, 10(1), 111-120. Retrieved from 965 Lucey, J. N. Bateman & P. Hines. (2005). Why major lean transitions have not been sustained. Management Services, 49(2), 9-14. Mushtaq A.S. (2013) Examining Work Engagement as a Precursor to Turnover Intentions of Service Employees. International Journal of Information, Business and Management. Date 11/2013 Vol. 5 iss. 4 (pp.118-235) Seibert, S.E., S.R. Silver and W.A. Randolph, 2004. Taking empowerment to the next level: A multiple- level model of empowerment, performance and satisfaction. Acad. Manag. J., 47(3): 332-349. Shuck B and Wollard K (2010), "Employee Engagement and HRD: A Seminal Review of the Foundations", Human Resource development Review, Vol. 9, No. 1, pp. 89- 110. Wellins, R. & J. Concelman. (2005). Creating a culture for engagement. Workforce Performance Solutions. Retrieved August 1, 2005 from
  15. 15. Employee Engagement and Organizational Commitment Review 15