Effect of Employee Commitment on Organizational Performance; Case of Textile Firms in Sweden

Abstract

Employee commitment helps organizations perform better and achieve their goals because employees feel connected to the organization and are more productive and dedicated to their work. Thus, the study sought to examine the effect of employee commitment on organizational performance in the case of textile firms in Sweden. The study adopted the descriptive research design. The collection of the data was done using the questionnaires. The data was collected from two textile companies in Sweden, namely Meandi Holding AB and Woodline Swedish Outdoor Co. The study conducted a pilot study to examine the validity and reliability of the research instruments. The analysis of the data was done using descriptive and inferential statistics. SPSS was used to generate the output. The study findings indicated that employee commitment is positively and significantly related to organizational performance (β=.1579, p=0.013). Employee commitment is necessary for every organization to have amazing performance on a long-term basis. Committed employees bring added value to the organization, including determination, proactive support, relatively high productivity and an awareness of quality. The study recommended that textile companies should continue ensuring there is employee commitment. Organizations need to increase employee commitment by including them in decision-making, which will ultimately increase their commitment to the organization. Moreover, it is recommended that organizations should encourage transparency. When an organization keeps employees informed, they feel valued and trustworthy. Further, it is recommended that organizations should encourage open and free communication. Open and accessible communication in an organization facilitates an environment of trust. There should be letting the employees be innovative in providing ideas, strategies and ways of communication. The employees should be valued by the organizations and encouraged to develop better ideas and rewards for their achievements and innovation. Keywords: Employee commitment, organizational performance, textile firms, Sweden