Resourceful and demanding attributes of organisational culture, employee satisfaction, and organisational performance of large R&D intensive firms in the US

Abstract

ABSTRACT Despite a long research tradition of investigating the relationship between organisational culture and performance, the findings remain inconclusive. To bridge this gap, this study proposes a research model to investigate how the opposing attributes of organisational culture variously affect employee satisfaction and how it is related to organisational performance. The job demand and resource (JD-R) model is adopted to conceptualize these attributes, and the motivation-hygiene theory is employed to explain the impact of culture on employee satisfaction. For empirical analysis, this study collected employee review data of large R&D intensive firms in the US and combined financial data. Based on a data of 295,307 reviews for 182 firms, it performed topic modelling to measure culture and regression analysis of panel data for hypothesis testing. The findings indicate that, for resourceful cultures, collaborative and innovation cultures positively affect employee satisfaction, but fair compensation culture does not. For demanding attributes, results-oriented, overwork, and job insecurity cultures are negatively related to employee satisfaction. Finally, employee satisfaction positively affects organisational performance. This research emphasizes the motivational significance of different organisational cultures in determining employee satisfaction and organisational performance.