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CONSTRUCTION OF ORGANIZATIONAL COMMITMENT

AFSAH FASEEH

L1F09BBAM2098

SEC:F
Abstract: communication frequency). Major focus will
be on social capital from the list of variables
This research paper emphasize on the factors
because it played an important role in the
due to which organizational commitment
construction of organizational commitment
achieved by the employees i.e. social capital
as well as help in diminish the psychological
employee empowerment and organizational
contract breach.
identification. Mainly focused variable is
social capital have seen the impact on Organizational commitment has been

organizational commitment. Organizational described as employee has towards the

commitment is very necessary goal or mission of the organization as the strength

objective for the organization as to achieve of the feeling of responsibility

cost effective and competitive advantage.


Organizational commitment is very
important for the organization because when

Introduction: company hire some compatible


individuals ,company invest on them by
In this research focus will be on the giving them trainings ,facilitate through
construction of organizational commitment seminars and office luxuries i.e. cabin
or how to achieve the organizational ,laptop, transport , medical and life
commitment from employees towards the insurance. For this reason they prefer loyal
organization, which make organization employees as compared sto sharp employees
worthy for the employees. Several in order to ensure their invested cost.
researches had a list of eight variables four
The value of interpersonal attachments is
antecedents and three moderating variables,
predominantly located in their ability to
and for this research also have some
advance one's self`s-interests. (Watson
variables to create effect relationship in
2002) .interpersonal attachment is a element
which three variables(social capital ,
of social capital which enhances the
organizational identification , employee
commitment with the organization`s
empowerment causal-) , two antecedents
employees. Organizational commitment
(job satisfaction and leadership style) and
related to employee leading to a stronger
three moderating variables( organizational
position due to social capital. Because when
sub culture, human resource practices ,
individual founds the good will of factors believed to comprise an
organization ,so he satisfied with the trust organizations identity, and (b) the
on organization that he is working in a well perceived attractiveness of those
renowned organization so to make the compositional factors as they are understood
stronger position in the organization he will by the organizational member (Dukerich et
do the extra ordinarily performance for the al., 2002).
achievement of goals of organization.
If the employee want to work something
When he works with devotion in the
extraordinarily for the success of
organization. He gets the feeling of
organization, then employee empowerment
belonging to the organization due to this
become the need of employee because some
attachment organization achieves the
flexibilities required getting some very
organizational commitment from that
productive outcome.
individual. Employee also achieves some
valuable traits of organization like employee None of the antecedents examined
empowerment; employee identification. could be termed a "human resource
Social capital could dominant through the practice." This is both interesting and
communication about the organization value problematic; given that such practices are a
in the market place, discussed the principal means organizations use to
achievements of organization among the influence commitment (Guest, 1992).
employees, between the manager and
It has been widely argued that
subordinates and between the top
organizational culture exerts a considerable
management and frontline management. Ifs
influence on organizational behavior,
this type of culture present in the
particularly in areas such as performance
organization then organizational
and commitment (Kotter, & Heskett , 1992;
commitment will arise among the employees
Deal, & Kennedy, 1982; Peters,
due to creating trustworthiness through
&Waterman, 1982; van Vianen, 2000). It is
dominant social capital.
presumed that organizational culture
Individuals evaluation of whether influences employees sense of engagement,
the organizations identity is favorable or identification and belonging. Such
unfavorable is based on the individuals sentiments might reasonably be expected to
subjective assessment of (a) those subjective impact on commitment (peter lok, 2007).
Superiors with higher authority rankings set intentions towards the organization`s
and pursue organizational goals and values success. But its not totally about the
to which employees with lower authority psychological attachment with the
rankings are expected to become committed organization, in reality organizational
Job satisfaction is predicted to have commitment serves as a competitive
a positive effect on commitment as has been advantage in the global village and as a cost
consistently shown in previous research on effective strategy by securing the cost on
the determinants of commitment (e.g., employee through making him loyal to the
Allen & Meyer 1996; Michaels 1994; organization. Organizational commitment is
Mottaz 1988; Williams & Anderson so important because if this is not the part of
1991).job satisfaction is a positive the employees of organization it leads to
perception of employee as well as psychological contract breach .To avoid this
organizational commitment also a positive breach organizational commitment made to
feeling, so in this way both are related to be strong enough through social capital,
each other. employee empowerment, employee
There are different leadership styles perception about the organization and most
such as consideration leadership style and important played role by organizational
task oriented leadership styles which have a identification. These mentioned factors
direct impact on culture and subculture of when build up the organizational
organization. Organizational commitment of commitment, strongly affected by
employees show a variation according to the communication, human resource practices
culture of on organization and organization culture. When
Literature review: organizational commitment becomes the
Research on organizational belonging of every individual of
commitment has advanced than social organization, that the time to achieve
capital. Organizational commitment is a vast efficient and effective organizational
subject which had discussed many times performance.
before in different research paper by
Organizational commitment is not just
different researcher. The conceptualization
necessary for organizational performance.
about organizational commitment is to
Job performance, absenteeism; turnover,
accept the belief of organization and strong
prosaically behavior and productivity are
also the outcomes of organizational competiveness and when it becomes the
commitment. Organizational commitment competitive advantage this will best
serves to be developed when social activities considered as the entrepreneurial benefit for
conduct in organization to collect the social the organization because networking and
capital. communication are the major elements of
entrepreneur. Social capital provides the
Most theoretical and empirical
dividend to the individual and organization
research in organizational science, however,
that invest in them.
has conceived of social capital as a network
of cooperative relationships that ultimately Commitment is contingent on
benefit the individual (Coleman, perceived exchanges, more favorable
1998).Social capital gives advantages both attraction to the employment relationship
the individual and the organization. and increase commitment. (Jack fiorito,
Managers can play a central role in the 2007)
development of those factors that enhance
However, if an organizations
interpersonal relationships that, in turn,
member perceives the organizations identity
affect both the quality of an employee's
as increasingly attractive, they are likely to
work life and the competitive position of the
identify more strongly with their
firm.
organization (Mael and Ashforth, 1995; Cole
According to scholars, for example and Bruch, 2006).when employee
social capital serves to provide substantial recognized by the organization
competitive advantages to organization in automatically increase attachment to the
the form of entrepreneurial behavior (chung organization and let the organization to be
and gibbon, 1997) , firm survival (penning , the part of his life. Satisfaction with the
lee and van, wooteloostujin, 1998) and level of trustworthiness through its
intellectual capital (Nahapeit and ghoshal understanding and addressing their concerns
1998).in addition the argument ,that social and priorities of the citizen. Due to this
capital is an assets of communities and reason employee has the strong relation with
societies is posited by Putnum (1995) and the level of commitment
fukuyama (1995). Social capital helps in
Members who identify with an
developing organizational and individual
organization may be more likely to indicate
supportive behavior towards organization commitment. Internal labor market ,hiring,
(TZN 2009). When psychological selecting, grievance, resolution mechanism,
relationship between individual and benefits , employee involvement , incentive
organization has been conceptualized pay union pressure compensation cuts and
both in terms of identification and in downsizing all affects the organizational
terms of (affective) commitment.
commitment, when employee build

Empowerment is based on the concept that perception about the organization ,

giving employees skills, resources, developing social relations , employee

authority, opportunity, motivation, as well empowerment and organizational

holding them responsible and accountable identification

for outcomes of their actions, will contribute


When the frequency of
to their competence and satisfaction
communication between them increases, we
Employee empowerment is giving
would anticipate a transfer in the extent of
employees the authority make decisions
influence from individual characteristics and
about their jobs. Empowered
position within the organizational network
employees may be given the authority to
decide work schedules, productivity goals, Consideration leadership style, through

and even daily priorities. When the focusing on establishing effective

employee feels the organization that place relationships, signaling Support and

for him where he can explore openly then allowing greater flexibility than a task-

employee attracted towards the organization. oriented style is more likely to cultivate

Conflicts with superiors may hinder supportive and innovative cultures. Task-

empowered employees to develop or oriented style, on the other hand, is

maintain high levels of organizational predicted to positively contribute to a

commitment(Onne Janssen 2004).when bureaucratic ward culture because of the

organizational commitment don`t achieve by emphasis on task, task accomplishment and

employee ,then their outcome will be the rules, structures and procedures ensuring

psychological contract breach that happen.

Human resource practices act as Hypothesis:


mediating role in organizational
HNULL: Construction of organizational organizational commitment diminish the
commitment does not develop through negative variable i.e. psychological contract
social capital, employee empowerment or breach. For the literature review we include
organizational identification. the secondary research i.e. journals. We
carry out also the primary research by
HA1: Construction of organizational
conducting the surveys of organizational
commitment through social capital with the
member s, from them get the knowledge and
mediating effect on human resource
techniques about the development of
practices
organizational commitment. Questionnaire
HA2: Construction of organizational will be developed with questions based on
commitment through employee the importance of organizational
empowerment human resource practices commitment. Questionnaire result will seek
to test the hypotheses. Questionnaire will be
HA3: Construction of organizational
distributed to a agreed sample size i.e. 90 for
commitment through organizational
a reliable results. Questionnaire consists of
identification. Human resource practices
variables i.e. organizational commitment,
Research methodology: organizational identification, employee
empowerment, social capital, human
Conduct a review of the literature on
resource practices. Results interpreted
the social capital and organizational
through the spss software where we analyze
commitment and analyze the relationship
the validity, reliability, correlation and
between these two variables. Further analyze
regression of the output data
how developed social capital and
Findings and results:

Validity:
RELIABILITY

1. RELIABILITY OF ORGANIZATIONAL IDENTIFICATION:

Reliability Statistics
Cronbach's
Alpha N of Items
.702 7
The alpha coefficient for the four items is .702, suggesting that the items have relatively positive
high internal consistency.

2. EMPLOYEE EMPOWERMENT
Reliability Statistics
Cronbach's
Alpha N of Items
.666 4
The alpha coefficient for the four items is .666, suggesting that the items have relatively
high internal consistency.

3. SOCIAL CAPITAL

Reliability Statistics
Cronbach's
Alpha N of Items
.512 5
The alpha coefficient for the four items is .512, suggesting that the items have relatively
acceptable internal consistency.

4. ORGANIZATIONAL COMMITMENT

Reliability Statistics
Cronbach's
Alpha N of Items
.674 6
The alpha coefficient for the four items is .674, suggesting that the items have relatively
internal consistency.
5. HUMAN RESOURCE PRACTICES

Reliability Statistics
Cronbach's
Alpha N of Items
.590 4

The alpha coefficient for the four items is .590, suggesting that the items have relatively
acceptable internal consistency.
CORRELATION:

Correlation of independent and dependent and mediating


Correlations
m.o.i m.e.e m.s.c m.o.c m.h.r.p
m.o.i Pearson Correlation 1.000 .241* -.001 .586** .220*
Sig. (2-tailed) .022 .992 .000 .037
N 90 90 90 90 90
m.e.e Pearson Correlation .241* 1.000 -.057 -.170 .481**
Sig. (2-tailed) .022 .596 .109 .000
N 90 90 90 90 90
m.s.c Pearson Correlation -.001 -.057 1.000 -.033 -.107
Sig. (2-tailed) .992 .596 .759 .317
N 90 90 90 90 90
m.o.c Pearson Correlation .586** -.170 -.033 1.000 -.016
Sig. (2-tailed) .000 .109 .759 .879
N 90 90 90 90 90
m.h.r.p Pearson Correlation .220* .481** -.107 -.016 1.000
Sig. (2-tailed) .037 .000 .317 .879
N 90 90 90 90 90
*. Correlation is significant at the 0.05 level (2-tailed).
**. Correlation is significant at the 0.01 level (2-tailed).

Organizational commitment has a strong negative correlation with employee


empowerment. Human resource practices have a strong negative correlation with
social capital because their correlation lie within the range of -1.0- -0.7.
Organizational identification has a little correlation with Human resource
practices, social capital & employee empowerment. Organizational commitment
has a little correlation with Human resource practices &, social capital .because
their correlation lie within the range of -0.3 to +0.3.
Organizational commitment has a weak negative correlation with organizational
identification. Human resource practice has a weak negative correlation with
employee empowerment because their correlation lies within the range of +0.3 to
+0.7.
This result shows that Organizational commitment is positively correlated with
organizational identification and negatively correlated with employee empowerment and
there is no or little correlation between Human resource practices, & social capital &
organizational commitment. There is from 95% and 99%level of confidence that there is
significant correlation between variables.

REGRESSION:

Model Summary
Adjusted R Std. Error of
Model R R Square Square the Estimate
a
1 .296 .087 .033 .66583
2 .701b .491 .441 .50641
3 .702c .492 .435 .50897
a. Predictors: (Constant), Designation, Gender, AGE,
Education, Tenure
b. Predictors: (Constant), Designation, Gender, AGE,
Education, Tenure, m.o.i, m.s.c, m.e.e
c. Predictors: (Constant), Designation, Gender, AGE,
Education, Tenure, m.o.i, m.s.c, m.e.e, m.h.r.p
ANOVAs
Sum of
Model Squares df Mean Square F Sig.
1 Regression 3.566 5 .713 1.609 .167a
Residual 37.239 84 .443
Total 40.805 89
2 Regression 20.033 8 2.504 9.765 .000b
Residual 20.772 81 .256
Total 40.805 89
3 Regression 20.081 9 2.231 8.613 .000c
Residual 20.724 80 .259
Total 40.805 89
a. Predictors: (Constant), Designation, Gender, AGE, Education,
Tenure
b. Predictors: (Constant), Designation, Gender, AGE, Education, Tenure, m.o.i,
m.s.c, m.e.e
c. Predictors: (Constant), Designation, Gender, AGE, Education, Tenure, m.o.i,
m.s.c, m.e.e, m.h.r.p
d. Dependent Variable: m.o.c
Coefficients
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.614 .328 7.957 .000
Gender -.041 .266 -.016 -.153 .879
AGE .222 .098 .274 2.264 .026
Education .026 .122 .027 .217 .829
Tenure .023 .143 .022 .159 .874
Designation .098 .072 .153 1.365 .176
2 (Constant) 2.300 .620 3.708 .000
Gender -.012 .205 -.005 -.058 .954
AGE .131 .077 .162 1.711 .091
Education -.099 .094 -.101 -1.049 .297
Tenure .037 .109 .035 .335 .739
Designation .087 .057 .135 1.508 .135
m.o.i .703 .090 .660 7.837 .000
m.e.e -.374 .099 -.324 -3.767 .000
m.s.c -.028 .092 -.025 -.299 .766
3 (Constant) 2.389 .657 3.638 .000
Gender -.018 .206 -.007 -.088 .930
AGE .134 .077 .165 1.734 .087
Education -.098 .095 -.101 -1.036 .303
Tenure .035 .110 .033 .317 .752
Designation .089 .058 .140 1.541 .127
m.o.i .708 .091 .664 7.798 .000
m.e.e -.353 .111 -.305 -3.180 .002
m.s.c -.030 .093 -.027 -.320 .750
m.h.r.p -.047 .109 -.040 -.432 .667
a. Dependent Variable: m.o.c

Interpretation:
1.72 Is the square root of 0.492 and is the correlation between the observed and predicted
values of organizational commitment. 0.72 predicted variable cover the dependent variable.
Dummy variables, independent variable, mediating variable and dependent 0.492 regress each
other. This is the proportion of variance in the organizational commitment which can be
explained by the social capital, organizational identification and employee empowerment and
dummy variables. This is an overall measure of the strength of association. 0.435 Adjusted R
square is the regression value without errors

Difference is higher between R square and adjusted r square in model. so there is no


need of more independent variables to define dependent variable.20.081variance
which can be explained by the independent variables (Model) and 20.724variance
which is not explained by the independent variables (Error). The total variance has
N-1 degrees of freedom. The Regression degrees of freedom corresponds to the
number of coefficients estimated minus 1i.e 10-1=9 The Error degrees of freedom is
the DF total minus the DF model, 89-9=80.80% regression can swing on both
negative and positive side. These are the Mean Squares; the Sum of Squares divided
by their respective DF. The F-statistic is the Mean Square (Regression) divided by
the Mean Square (Residual): 2.231/.259=8.6 sample variance differ from each other
and are from the same population

Results: HNULL: Construction of


organizational commitment does not
develop through social capital, employee
empowerment or organizational
identification. This hypothesis is rejected
because the significance results is less than
0.05
HA1: Construction of organizational This hypothesis is accepted because the
commitment through social capital with the significance results are less than 0.05
mediating effect on human resource because the significance result is 0.000
practices. This hypothesis is accepted
because the significance results are less than
0.05 because the significance result is 0.000 HA3: Construction of organizational
commitment through organizational
identification. Human resource practices.
This hypothesis is accepted because the
significance results are less than 0.05
HA2: Construction of organizational
because the significance result is 0.000
commitment through employee
empowerment human resource practices. Conclusion:

At last we are going to move to conclude the employee decision making, their freedom to
results that hypothesis is accepted that take flexible steps, performance appraisal
organizational commitment developed matters a lot in order to achieve
among the employees through the social organizational commitment. Human
capital, employee empowerment and resource practices able to dominant the
organizational identification. From the social capital, organizational identification
results we can say that organizational and employee empowerment in relation to
identification and Employee empowerment organizational commitment. The goodwill`
have the stronger impact on the construction of organization keeps the employee loyal to
of organizational commitment which means the organization.

References:
1. Chen, H., F (2006). The Impacts of Empowerment on Organizational Commitment under
a Changing Environment - Examining the Moderating Effects of Locus of Control and
Perceived Psychological Contract Breach.

2. Lok, P & wang, P., Z, Westwood, B. & Crawford, J. (2007). Antecedents of job
satisfaction and organizational commitment and the Mediating role of organizational
subculture
3. Tzn,i,k. & alar , i.(2009) investigating the antecedents of Organizational
identification

4. Becerra , M & GUPTA , A , K(2003).Perceived Trustworthiness within the Organization:


The Moderating Impact of Communication Frequency on Trustor and Trustee Effects

5. Fiorito, J & Bozeman, D, P. Young, A & Meurs, J, A. (2007) Organizational


Commitment, Human Resource Practices, and Organizational Characteristics.

6. Hunt, S, D. & Morgan, R, M (Dec., 1994) Organizational Commitment: One of Many


Commitments or Key Mediating Construction.

7. George W. Watson and Steven D. Papamarcos (2002)Social Capital and Organizational


Commitment

8. New York: Dou bleday. Blau, P. (1964). Exchange and Power in Social Life. New York:
Wiley.
9. Belliveau, M., O'Rielly, C. and Wade, J. (1996). Social capital at the top: effects of social
similarity and status
Appendix 1:

QUESTIONNAIRE:

GENDER MALE FEMALE

AGE: 25-30 31-35 35-40 ABOVE 40

EDUCATION: Bachelors Master M. phil

ORGANIZATION:

JOB TENURE: 1-5 6-10 11-15

DESIGNATION: Executives Managers Supervisors Workers

Indicate with the tick mark, the extent to which you agree with the following statement as
they relate to your organization environment

Items Strongly Disagree Neutral Agree Strongly


disagree agree
Organizational identification
1
I would describe organization as a
large family in which most
members feel a sense of belonging

2
I find it easy to identify with
organization.

3
I would probably continue working
for my organization even if I didnt
need the money.

4
I am willing to put in a great deal of
effort beyond that normally
expected in order to help
organization be successful.

5
The organization takes pride in my
accomplishment at work

6
The organization would ignore any
complaint from me

7
The record of Company is an
example of what dedicated people
can achieve.
Employee empowerment
8
My opinion is asked before changes
are made in the way I work.

9
If I have a problem I can speak
directly to management.

10
Have any of your ideas been
implemented at work in the last three
months?
11
My job has enough
opportunity for independent
thought and action.

Social capital
12
Do you think that multiculturalism
makes life in your area better?
1

13 If you disagree with what everyone


else agreed on, would you feel free
to speak out?
2
14
In the past week at work, have you
helped a workmate even though it
was not in your job description?

15
Your top management go out of
their way to do things to make you
life easier for you
16
High cohesion and morals in the
firm are important

Organizational commitment

I would be very happy to spend the


17 rest of my career with this
department

18
This organization deserves my
loyalty

19 Would not leave my organization


right now because I have a sense of
obligation to the people in it.

20
I feel fairly well satisfied with my
present job

21
I know my attitude plays an
important role in working safely.

22
I become irritated when I hear
others. outside Company
criticize the company.

Human resource practices


23
I receive enough feedback from my
supervisor on how well I am doing.

24
Performance appraisal activities are
helpful to get motivated.
25
Support from the co-worker is
helpful to get motivated

26
Producing low-quality work leads
to decreased job security.

Thanks for your cooperation!

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