Job satisfaction very much depends upon the working environment of the organization rate of quitting the job or labor turnover may be indication of the level of Job Satisfaction among employee. If the Employee is satisfied with their organization they will continue to be part of the organization with the consistency of the performance maintaining working efficiency & effectiveness. Since job quitting depends upon the Job Opportunities available outside the organization its uphill task for the Management to retain the good people to keep satisfied their existing manpower one of the most important factor.
The most powerful tools , management can provide s are the organization information among their employee. such information sharing study conducted by the Wanous’s (1992) model that seeks to outline a framework for understanding the relationship between organization information and intention to leave the jobt. Findings shows that organization information leads to affective commitment and job satisfaction. Moreover, affective commitment it has a direct effect on job satisfaction and acts as a mediator between the organization information–job satisfaction relationship.
Affective commitment and job satisfaction also serve as mediator (Addae & Parboteeah: Organizational Information, Commitment and Intention to Quit 355) in the organizational information–+turnover intentions relationship. Furthermore, this study provides an understanding of some key organizational behavior relationships in another Working environment Organizations utilize various methods to convey organization information to their employees. Booklets (Dean and Wanous, 1985), film previews, job visits, and interviews
(O’Reilly and Caldwell, 1981) are among the most commonly used means to communicate information to employees regarding their jobs and the organization itself. The information provided can entail both positive and negative aspects of the job. Thus management can anticipate that with such information, the ‘vaccination effect’ outlined by Wanous (1992) will take effect, enabling employees to have a clearer picture of their jobs and organizations. A number of studies have shown that information provided to employees can have
an effect on their subsequent adjustment and affective commitment (Saks, 1994). Vandenberg and Scarpello (1990) reported that more accurate information was related to greater job satisfaction and lower motivation to quit. In a meta-analysis based on North American literature, Premack and Wanous (1985) reported that realistic job previews influenced employees’ commitment to their organizations. As such, we argue that in T&T there will be a positive relationship between organizational information and affective commitment, job satisfaction and intention to quit.
Studies have shown that pre-entry variables such as organization information, which is the information employees receive from organizations and the degree to which they are made aware of their jobs and their organization, can have an effect on their commitment. For instance, Ganzach et al. (2002) have found that information given to employees, both negative and positive, has been shown to encourage recruits as well as employees to develop more positive attitudes towards their organization. Other researchers (Kammeyer-Mueller and Wanberg, 2003; Meglino et al. , 1988) have also found that
those organizations that provide information tend to be perceived as more trusting and caring. This line of research also suggests a positive relationship between organization information and organizational commitment, as employees are more likely to be attached to and would want to stay with an organization they perceive as caring (Cullen et al. , 2003). organizational information will be positively related to job satisfaction in the context of the Jamica Bank Industry Context The Banks has seen deliberate attempts to incorporate modern management practices (Bissessar, 2000) and author believes that
employees would react appropriately to organizational information ,Job satisfaction & Commitment Previous research in a western context suggests that a lack of clear expectations regarding job roles as well as incompatibility between employees’ and organizational expectations concerning the role of the employee is likely to result in dissatisfied employees (Behrman and Perreault, 346 International Journal of Cross Cultural Management 6(3) 1984; Yousef, 2002). As such, we believe that organizational information can provide the recipients with the knowledge that could lead to their ability to cope and thus adjust
their work expectations to perform better (Ganzach et al. , 2002). Such adjustment is expected to affect employees’ job satisfaction (Klein et al. , 2006; Sutton and Griffin, 2004). Additionally, organizational information can help reduce ambiguity regarding the work environment by providing important task related information. As such, by improving the clarity of their role as well as task expectations, it is likely that employees in Jamica Bank Industry will feel more satisfied with their jobs. We also hypothesize that organizational information will be negatively related to intention to quit among our sample from
Jamica . Previous research in North America suggests turnover tends to be motivated by, among other factors, the disaffection of the employee with some aspects of the work environment (Hwang and Kuo, 2006; Mobley, 1982; Mowday et al. , 1982). It also reflect by , other personal factors such as a sense of powerlessness also lack of personal control at work, also evoke intentions to quit (Firth et al. , 2004). Author belive that organizational information provides crucial information that is negatively related to intentions to quit. Organizational information may provide employees with a sense of
control that comes with job and organization knowledge. With the perception of added control to cope and adjust in the work environment, employees are less likely to intend to leave the organization , work more efficiently & hence attached to the organisiation Additionally, by providing organizational information, companies may also be providing some form of social support. Such feelings of being supported are also negatively related to intention to quit (Kalliath and Beck, 2001). Given these points, Previous research (Breaugh, 1983; Cullen et al. , 2003; Meyer and Allen, 1997; Mowday
et al. , 1982) shows that the positive relationship between organizational commitment and job satisfaction is perhaps the most consistently found result. It is typically assumed that job satisfaction will lead to organizational commitment (e. g. Bluedorn, 1982). This assumption is based on the logic that if employees are more satisfied with their jobs, they will more likely develop the necessary attachment to the organization to develop stronger commitment. In contrast, it is unlikely that employees who are dissatisfied with their jobs will also be committed to the organization.
In a longitudinal study, Bateman and Strasser (1984) found that organizational commitment may cause job satisfaction. Furthermore, both Mathieu and Zajac (1990) and Rayton (2006) have argued that the causal order between job satisfaction and organizational commitment may not necessarily be as has traditionally been assumed. We adopt this position and also argue that organizational commitment might predict job satisfaction in our Jamica Bank Industry An employee may be committed to an organization because he or she identifies with the organizational values as reflected in the corporate culture.
Such attachment to the organization may also spill over to the job and relate to higher job satisfaction (Cetin, 2006). In contrast, those employees who are less committed to their organization are unlikely to become more satisfied with their jobs. Addae & Parboteeah: Organizational Information, Commitment and Intention to Quit 347 Although it observed that employees’ level of commitment would influence their satisfaction levels, it also anticipate that organizational commitment would mediate the relationship between the information employees receive and their job satisfaction.
As indicated earlier, organizational information may trigger perceptions of the organization’s values and is expected to influence employees’ affective organizational commitment. In contrast, even though Vandenberg and Scarpello (1990) found that accurate organization information is positively related to job satisfaction, it is plausible that it may not necessarily directly influence employees’ job satisfaction. This is because research in Anglo cultures shows that job satisfaction is related to an employee’s affective reactions based on comparing the desired outcomes from his or her job with
actual outcomes (Mathieu and Zajac, 1990; Staw and Cohen-Charash, 2005) and may not be affected by the information received from the organization. Such psychological identification however may be influenced directly by the employee’s commitment to the organization (Bateman and Strasser, 1984). Therefore, it is conjectured that the relationship between organization information and job satisfaction would be realized indirectly through organizational commitment in Jamica Bank Industry . We therefore offer the following hypothesis: Hypothesis 4: Employees’ affective commitment
will mediate the relationship between organization information and their job satisfaction. We have proposed that employees’ organizational commitment would influence their level of satisfaction. It is also likely that employees’ commitment may lead to their turnover intentions (Wasti, 2003). Nevertheless, we expect the relationship between commitment and turnover motivation to be indirect. This investigation is worthwhile because although studies have found a significant relationship between organizational commitment and turnover intentions (e. g. Wasti, 2003), and a similar relationship
between job satisfaction and turnover cognitions, studies have not examined job satisfaction as an intervening variable between organizational commitment and turnover intentions. In essence, just because an employee is not committed to an organization does not necessarily mean that he or she would quit his or her job. It is therefore plausible that for our Jamica Bank employee , the relationship between organizational commitment and turnover intentions would be affected through job satisfaction. Thus we offer the following hypothesis: Hypothesis 5: Employees’ job satisfaction will
mediate the relationship between their commitment and their intentions to quit. Although we have argued for a direct relationship between organizational information and intention to quit, we also propose that affective commitment and job satisfaction will mediate that relationship. Our argument is based on the notion that by providing organizational information, the company can clarify work expectations (Ganzach et al. , 2002) and create the perception of being caring. Employees are more likely to feel attached and want to stay with organizations that they perceive as more caring (Cullen et
al. , 2003). Furthermore, they are also more likely to be satisfied as their role and job expectations are clearer. As such, we expect that more committed and more satisfied employees are less likely to intend to quit. found to prevail across broad ranges of occupations (Firth et al. , 2004; Wunder et al. , 1982) and even national cultures (e. g. Wasti, 2003) and we expect the same for T&T. Thus, we propose the following: Hypothesis 6: Affective commitment and job satisfaction will mediate the relationship between organizational information and intention to quit.
Previous research in North America suggests that one of the consequences of dissatisfaction is stimulation of thoughts of quitting (Carsten and Spector, 1987; Hom et al. , 1984; Mobley, 1977). However, we also believe that employees’ intentions to leave will be determined by the number of job alternatives available. People are less likely to quit if there are few job alternatives available to them (Carsten and Spector, 1987). A person would remain in a job even if he or she is dissatisfied rather than face unemployment. Furthermore, when there are few alternatives, dissatisfied employees who wish to quit may not
do so (Hulin et al. , 1985). However, if suitable alternatives are found, employees would be likely to quit. There is much support in the employee turnover literature of the effect of alternative job opportunities on changing the pattern of the satisfaction–intention to quit relationship. Research in the field of organizational withdrawal highlights the importance of alternative jobs in translating job affect into behavioral intentions to leave an organization (Maertz and Campion, 2004). Dissatisfaction with one’s job leads a person to quit, but job opportunities affect the satisfaction and intention to quit relationship (Price,
1977). Hulin et al. (1985) found that job opportunities influenced the job satisfaction– turnover relationship. Steel (2002) specified that the decisions to terminate employment in an organization are a function of perceptions of the ease of movement and the desirability of termination. The desirability of movement has been equated with job satisfaction and the perceived ease of movement has been equated with the number of perceived alternatives. Given these points, we argue that the relationship between job satisfaction and intention to quit is dependent on the availability of job alternatives. If dissatisfied
employees in Jamica Bank employee have more available job alternatives, it seems more likely that they will have higher intentions to quit. However, for those employees with fewer job alternatives, less satisfaction with the job may not necessarily be related to higher intentions to quit. We therefore propose the following: Hypothesis 7: Perceived job alternatives will moderate the relationship between job satisfaction and intention to quit. Methodology Sample and Procedures Data were obtained from bank tellers and customer service representatives at main banks in Jaimica . To ensure a representative sample, responses
were obtained from 22 branches in various geographic locations of these banks. For the selected banks, questionnaires assuring confidentiality were distributed by a research assistant with the permission of a human resource officer. Each employee was given the opportunity to complete the survey, and the surveys were collected by the research assistant on a prearranged date. A total of 285 questionnaires were distributed and 248 usable responses were obtained, yielding a response rate of 87%. Seventy percent of the respondents were female, 69% were single, 26% were married, and the remaining 11%
indicated their responses in the ‘other’ category of marital status. The average length of tenure was 2–5 years. The mean age of the sample was 25 years. Addae & Parboteeah: Organizational Information, Commitment and Intention to Quit 349 Organizational information Organizational information was measured with four items from Breaugh and Mann (1984). Responses were indicated on a 7-point Likert-type scale that ranged from 1 ‘strongly disagree’ to 7 ‘strongly agree’. Coefficient alpha was 0. 84 (M = 4. 15, SD = 1. 35). Representative items include ‘The information
concerning the content (duties and responsibilities) of my job was accurate and complete’ and ‘The information concerning the organization itself was accurate and complete. ’ Organizational commitment Organizational commitment was measured with Meyer et al. ’s (1993) six-item affective commitment scale. Responses were on a 7-point Likert-type scale that ranged from 1 ‘strongly disagree’ to 7 ‘strongly agree’. Coefficient alpha was 0. 77 (M = 4. 25, SD = 1. 21). Representative items include ‘I would be happy to spend the rest of my career in this organization’ and ‘The organization has a great deal of personal meaning for me.
’ Job satisfaction Job satisfaction was measured with the following item ‘All things considered, how satisfied are you with your job? ’ Responses were made on a 7-point Likerttype scale ranging from 1 ‘highly dissatisfied’ to 7 ‘highly satisfied’. A single item measure was selected because Wanous et al. (1997) reported in a meta-analysis of single item measures of overall job satisfaction that single item measures were more robust than the scale measures of overall job satisfaction (M = 4. 26, SD = 1. 39). Intention to quit Intention to quit was measured by the following item: ‘If I had my
own way, I probably would not be working at the bank by the end of the year. ’ Responses were made on a 7-point Likert-type scale ranging from 1 ‘strongly disagree’ to 7 ‘strongly agree’ (M = 4. 60, SD = 1. 65). Our measure is based on previous research (Firth et al. , 2004; Lum et al. , 1998). Job alternatives Consistent with prior research (Saks, 1994), we measured job alternatives with the following item: ‘All in all, what is the likelihood that you would find acceptable alternative employment (i. e. a different job in a different company)? ’ Responses were made on a 7-point Likert-type scale
ranging from ‘strongly disagree’ to ‘strongly agree’ (M = 3. 75, SD = 1. 09). Results Table 1 shows a matrix of correlations and descriptive statistics of the variables used in this study. We used regression analyses to test our hypotheses. Table 2 reports the various coefficients and other relevant statistics used in this test. Regression analysis revealed that the direct path for organization information and affective commitment was significant as predicted (? = . 37, R2 = . 14, p < . 001). The relationship between organization information and job satisfaction was also significant (? = . 37, R2 = .
14, p < . 001). Additionally, the predicted relationship between organization information and turnover intentions was significant (? = –. 35, R2 = . 12, p < . 001). Thus hypotheses 1, 2 and 3 were all supported. Hierarchical multiple regression analysis was used to test for the mediating effects proposed in hypotheses 4, 5 and 6. Results of the analysis are depicted in Table 2. According to Baron and Kenny (1986), three regression equations are needed to test for mediation. First, the independent variables must be related to the mediator. Second, the independent variables must be related to
the dependent variable and, finally, the dependent variable must be regressed on both the independent and mediating variable. Mediation is demonstrated when the 350 International Journal of Cross Cultural Management 6(3) © 2006 SAGE Publications. All rights reserved. Not for commercial use or unauthorized distribution. Downloaded from http://ccm. sagepub. com by on June 3, 2007 References Barclay, L. A. (2005) ‘The Competitiveness of Trinidad and Tobago and Manufacturing Firms in an Increasingly Liberalised Trading Environment’, Journal of Eastern Caribbean Studies 30(2): 41–74. Baron, R. M. and Kenny, D. A.
(1986) ‘The Moderator–Mediator Variable Distinction in Social Psychological Research: Conceptual, Strategic, and Statistical Considerations’, Journal of Personality and Social Psychology 51(6): 1173–82. Bateman, T. S. and Strasser, S. (1984) ‘A Longitudinal Analysis of the Antecedents of Organizational Commitment’, Academy of Management Journal 27(1): 95–113. Behrman, D. N. and Perreault, W. D. (1984) ‘A Role Stress Model of the Performance and Satisfaction of Industrial Salespersons’, Journal of Marketing 48(4): 9–21. Bissessar, A. M. (2000) ‘The Introduction of New Appraisal Systems in the Public Services of
the Commonwealth Caribbean’, Public Personnel Management 29(2): 277–92. Bissessar, A. M. (2001) ‘Differential Approaches to Human Resource Management Reform in the Public Services of Jamaica and Trinidad and Tobago’, Public Personnel Management 30(4): 531–48. Bissessar, A. M. (2003) ‘The Changing Nexus of Power in the New Public Sector Management of Trinidad and Tobago’, International Journal of Public Sector Management 16(3): 170–90. Bluedorn, A. C. (1982) ‘A Unified Model of Turnover from Organizations’, Human Relations 35(2): 135–54. Bond, M. H. and Smith, P. B. (1996) ‘Crosscultural Social and Organizational
Psychology’, Annual Review of Psychology 47: 205–35. Breaugh, J Case Study to further strengthen the above statements Case Study – Republic Bank Ltd. Union Recognition – Labour-Management Partnerships – Communication – Changing Management Culture – Improving Customer Service Challenges The bank identified its strategic challenges as follows: • Reengineering • Operational restructuring • Integrating the merged operations and cultures of RBL and CIBC; • Meeting the challenge of global competition in an environment where technology allows access to financial services from providers all over the world;
• Satisfying the changing needs of its customers; • implementing and adjusting to the technological changes that impact on the nature and quality of the work force, work processes and organisational structures. Response The new management of the bank was quick to realise that these challenges could only be effectively met by a partnership between management and workers and their representatives. The bank therefore embarked on a strategy that has five dimensions in the effort to successfully meet these challenges.
The principal elements of this strategy are: • Securing employee involvement through a process of information and communication at all levels of the bank. • Improving employee satisfaction through the implementation of benefit sharing schemes, a performance management system and career development initiatives for staff. • Continuous training for managers, supervisors and general staff. • Bank/Union partnering. • Technological changes in which the bank initiated the implementation of new state of the art technology for its core operations.
This project is having impacts on the structure of the organisation, the training needs of its staff and on the possibilities for improving contact and interfacing with customers. A basic tenet of the bank’s guiding philosophy summed up by the CEO as: “Any action by the bank that leads to increased employee satisfaction also leads to increased customer satisfaction and ultimately to increased shareholder value”. This philosophy has helped to define the strong people-oriented approach adopted by the bank and has also provided it with a mechanism for managing all of its challenges, including those presented by the merger.
All of its activity therefore focuses on the human resource – the major resource of a service organisation such as the bank. Labour-Management Partnering The bank recognised that the achievement of its strategic goals required a change in the often combative and adversarial relationship between the management and the unions and the employees. As a service provider, the key to its success lay in the capacity of its staff to identify and service the needs of their customers efficiently and effectively.
The technological platform of the bank’s strategy is one element in achieving that objective, as are the other elements of training, increasing employee satisfaction and obtaining the full involvement of all workers. However whatever the gains that could have been achieved by these approaches, they threatened to be unsustainable if the contentious relationships with the unions were not better resolved. The bank undertook a number of initiatives to create and cement a partnering relationship with the unions. • Reoriented its view of the role of workers’ representatives; • Resolved all outstanding disputes at the Industrial Court.
• Instituted a process of continuous consultation through a monthly non-crisis forum with the unions/employees. The Bank’s labour-management partnering has been based on a strong platform of communication; this includes a meaningful open door policy with unions, including visits, meetings and telephone calls. • Established a number of bank/union standing committees in areas such as job evaluation, profit sharing, pension plan, uniforms and health and safety. • Organised a number of industrial relations workshops either jointly with or with the participation of the unions.
• A number of industrial relations seminars for managers, shop stewards that have either been jointly sponsored or have involved the participation of the unions. • Facilitating visits by the union to all branches. Communication The experience of Republic Bank represents a very comprehensive approach to managing the system of communication within an enterprise and demonstrates the extent of effort, involvement and commitment that is sometimes necessary. It also demonstrates the importance of trust, transparency and mutual respect.
In pursuit of the Bank’s guiding philosophy, which states that any action by the bank that leads to increased employee satisfaction also leads to increased customer satisfaction and ultimately to increased shareholder value, the bank built a strategy on four people-centred pillars. The four pillars are employee involvement, programmes aimed at increasing employee satisfaction, training initiatives and bank/union partnering. The first pillar, employee involvement, derives from management’s view that a key requirement for dealing with the challenges confronting the bank is to gain and maintain the commitment of its employees.
This requires keeping them informed, on a regular basis of developments and changes in business conditions and approaches, and continually keeping the channels of communication open. To do this the bank employed a number of mechanisms, with success. These include: • A Leadership Forum in which supervisors and managers meet once a year to identify breakthrough results for the bank, the outcomes of which are also shared with the rest of the staff.
• Staff Forum which is held once every three years as a general staff meeting to collectively discuss the vision and direction of the bank. • Straight Talk Sessions which are a series of monthly focus meetings where a cross section of staff from all areas of the ban meet with members of senior management to discuss issues. • Branch Visits by members of the bank’s executive team who individually make annual visits to all the branches and offices, at which time they may engage in general or in one-on-one meetings with staff. • Staff Suggestions.
The bank has instituted a Staff Suggestion Programme called “Pen to Paper” which encourages and rewards employees to actively review work processes and to suggest improvements. • Employee Satisfaction Surveys. An annual survey is conducted among staff to obtain feedback from staff on their level of satisfaction on matters of importance to them and of relevance to the work environment, including rewards and recognition, job autonomy and the vision and direction of the bank. The results of these surveys are fed back to staff and to the action plans for improving weak areas.
Performance and Results Both the bank’s management and the unions appear to be quite happy with the results that have been obtained from these efforts. Among the most note-worthy are: • The resolution of over 30 long-outstanding disputes at the Industrial Court. • The settlement of four collective agreements in a 4-year period, in a timely fashion and without third party intervention. • It has been estimated that more than 100 trade disputes were averted as a result of the work of the teams at the non-crisis forum.
• The bank was voted “Employer of the Year” by one of its unions. • The bank has continued to increase the level of its profits consistently over the last five years. The fundamental story of success for the bank has been the absence of acrimony in its relationships with the staff and the unions has allowed it to successfully pursue its other business strategies without disruption in its operations that may have been caused by lack of trust, industrial disputes and employee dissatisfaction.
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