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Abstract
This study tested a theoretical model that includes seven factors hypothesized to mediate between employee organizational strategy awareness and commitment.The mediating factors include diffusion and innovation, social exchange, economic exchange relationship, job satisfaction, knowledge sharing and satisfaction, trust, and person-organization fit. Employees ( n =130) drawn from all organizational levels in 12 business sectors (financial, manufacturing, aviation, distribution, healthcare, mining, agriculture, consumer goods, technology, telecommunications, oil and gas, education) were surveyed to measure organizational strategy awareness, organizational commitment, and values on the seven mediating factors. Structural Equation Modelling (SEM) supported a positive fit of data to model. Linear regression analysis revealed that excluding diffusion of innovation, all other mediating variables established a positive correlation with employee commitment supporting the overall model. However, we believe that the model is over-fitting the data given the large number of variables and small number of data points. These results show promise, but require further investigation which we propose for a second phase of the investigation. Understanding the factors that mediate between employee strategy awareness and organizational awareness should be of interest and value to managers who can, in turn, focus on developing those mediating factors that could ultimately improve organizational success.
Highlights
The relationship between employee commitment to an organization and organizational success has often been described as a social exchange process (e.g., Chao, Yu, Cheng, & Chuang, 2013)
This study tested a theoretical model that includes seven factors hypothesized to mediate between employee organizational strategy awareness and commitment.The mediating factors include diffusion and innovation, social exchange, economic exchange relationship, job satisfaction, knowledge sharing and satisfaction, trust, and person-organization fit
We propose that in many industries, organizational strategy awareness plays an antecedent role in influencing employee commitment level and that several factors may play a role in mediating between employee awareness of organizational strategy and employee commitment to organizational success
Summary
The relationship between employee commitment to an organization and organizational success has often been described as a social exchange process (e.g., Chao, Yu, Cheng, & Chuang, 2013). This study sought to examine the relationship between two key variables—organizational strategy awareness and organizational commitment—and the factors that mediate between them.To date, scholars have argued formediating variables such as job demands and resources, employee motivation, social exchange, economic exchange, transaction cost, conservation of resources, and diffusion of innovation (Chang, Rosen, & Levy, 2009; Chao, Yu, Cheng, & Chuang, 2013; Peng & Chiu, 2010; Tyler & Gnyawali, 2009). We found no theoretical grounding to describe the relationship between the awareness of organizational strategy and employee commitment in relation to organizational success This paper proposes such a model capturing the relationship between awareness and commitment and the factors that mediate them, and describes preliminary findings that support the theoretical model. The theory proposed in this paper takes an antecedent factor—employee awareness level of organizational strategy—and explains how key variables such as diffusion of innovation, social exchange, economic exchange, job satisfaction, knowledge sharing and satisfaction, trust, and person organization fit would operate as www.ccsenet.org/jms
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