What Drives Sustainable Organizational Performance? The Roles of Perceived Organizational Support and Sustainable Organizational Reputation

Md Altab Hossin,Md Sajjad Hosain,Mohitul Ameen Ahmed Mustafi,Michelle Frempomaa Frempong,Stephen Sarfo Adu-Yeboah

doi:10.3390/su132212363

Abstract

Sustainable organizational performance (SOP) can differentiate an organization from its rivals. Thus, understanding the antecedents and driving factors of SOP has received wide attention from both the academicians and practitioners in recent years. In line with such attention, this empirical paper endeavored to investigate and identify the relationship between perceived organizational support (POS) and SOP with the mediating effect of sustainable organizational reputation (SOR). Based on 384 survey responses from mid-level managers using a cross-sectional survey design, we followed a deductive approach to test the hypotheses using covariance-based structural equation modeling. Our empirical investigation revealed that POS has a significant positive relationship with SOP as well as with SOR while SOR has a significant positive relationship with SOP. Regarding the mediating effect, we found that SOR can partially mediate the positive relationship between POS and SOP. We strongly believe that the findings revealed from this empirical study may aid interested future researchers in their quest of understanding the inherent relationship between perceived organizational support and sustainable organizational performance in the presence of sustainable organizational reputation. Further, such results may provide a platform for the top-level managers and other policymakers in their efforts to improve and sustain organizational reputation that will ultimately lead to sustainable organizational performance through proper organizational support.

Highlights

Organizational support indicates the developed perceptions of the employees regarding the extent to which an organization values their contributions and the sum of apprehension exhibited towards their welfare
Confirmatory factor analysis (CFA) is a statistical technique used to verify the factor composition of a group of experimental variables that assist the researchers in evaluating to identify the connection between observed variables and their underlying core constructs
We found that the adjusted goodness of fit index (AGFI) was 0.943, which satisfies the recommended value (>0.85) and deemed to be a good fit and acceptable, as supported by Anderson and Gerbig [50]

Summary

Introduction

Organizational support indicates the developed perceptions of the employees regarding the extent to which an organization values their contributions and the sum of apprehension exhibited towards their welfare. Sustainability 2021, 13, 12363 the organization [3] Since those employees with the favorable perception of positive organizational support have a higher commitment and escalated motivation, they tend to demonstrate superior individual and team performance leading to higher organizational performance. From this perspective, it can generally be expected that POS can directly influence organizational performance since positive feelings about an organization and loyalty can positively impact employees’ approachability for that organization that endeavors to implement and introduce organizational innovation and sustainability [4]. Antoncic and Hisrich [5] propose that organizational support characteristics such as managerial support, work discretion, justified rewards, flexible timing, and flexible intra-organizational rules and regulations can be identified as the crucial organizational elements impacting the individual, team, and organizational performance

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Conclusion