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Organizational Commitment Insights

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0% found this document useful (0 votes)
63 views10 pages

Organizational Commitment Insights

Uploaded by

Peneal Samuel
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

ORGANIZATIONAL COMMITMENT

ABSTRACT:
This article seeks to provide a thorough overview of the relevant conceptual and empirical
literature despite the fact that organizational commitment has been the subject of a great deal
of research. This study's examination of theoretical and empirical viewpoints that aim to
explain organizational commitment, with a specific focus on ground-breaking research on
factors and dimensions that affect employee retention, is one of its key goals. This article
offers a road map for future organizational commitment research by academics and working
managers, adding to the body of knowledge in the process. It also includes a suggested study
agenda.

Keywords: Organizational commitment, types of commitment, importance

INTRODUCTION:

The link between workers and their employer is known as organizational commitment (the
organization). The phrase is based on industrial-organizational psychology (I/O psychology)
and refers to a person's psychological interaction with an organization.

Evaluations of performance, leadership distribution, and employee engagement and


happiness may all be based on the amount of organizational commitment.

Employees who have a high sense of organizational commitment comprehend the


organization's objectives, share its heart and future vision (both professional and personal),
experience a feeling of belonging, and are respected and compensated for their work.

This increases the employee's likelihood of staying with the organization for longer as well as
their productivity, engagement, dedication and morale. It is crucial for companies to retain
their best employees due to the increasingly competitive nature of organizations.

The emotional connection employees have with their organization is referred to as


organizational commitment. Commitment is the force that directs activity toward one or more
goals (Mayer, 2002). According to one theory, commitment is a multidimensional concept,
and its causes, correlates, and effects may vary along a wide range of dimensions (Mayer,
2001). The "three-component commitment model" is a generic model of organizational
commitment as a multidimensional term (Meyer J P and Allen N, 1997). Affective,
persistent, and normative commitment are the three sorts of commitment in this notion
(Meyer J P and Allen N, 1997).

An emotional connection to the organization is what is meant by emotional commitment. As


a going concern, we speak about the expenses of dissolving the business. High organizational
commitment and job engagement employees are less likely to quit the company on their own,
while low organizational commitment and job involvement employees are more likely to do
so. The term "normative commitment" relates to the belief that one will stick with an
organization (Meyer, 2001). (1991, Hosled).

Organizational commitment is a significant element affecting performance levels in many


businesses. The relationship between organizational commitment and work satisfaction, job
engagement, or perceived organizational support has been studied (Meyer J P and Allen N,
1997). Only a small number of research, nevertheless, have looked at how these three factors
interact to support regulatory commitments. The main problems evident today are workers'
dissatisfaction with their jobs, salaries, ownership, dedication, laziness at work and non-
compliance with organizational norms, all of which contribute to sub-par organizational
performance. The following factors are organized based on observations of the factors that
most influence workers' commitment to their employers. The aim of this research, which
focused on private companies in Penang, Malaysia, was to find out how workers'
organizational commitment is affected by affective, continuance and normative
commitments.

• Establish if employees' emotional, continuing, or normative organizational commitment


is impacted by their job satisfaction.
• To ascertain how work engagement affects employees' organizational commitment,
regardless of whether such commitments are normative, normative, or emotional.
• Analyze how workers' emotional, continuing, or normative commitments to the company
are affected by perceived organizational support.

This study was carried out to identify the correlations between the elements that affect
employees' organizational commitment in order to enhance private businesses in Penang and
reorganize their initiatives to raise it.
How commitment affects organizational development

In order to strengthen the organization's capacity for expansion and success, organizational
development is a science-based process that focuses on establishing and developing a variety
of strategies, structures, and activities inside the company.

Organizational growth goals often include increasing profitability or profit margins, customer
satisfaction, cultural values, flexibility or agility, and market share. Increasing the company's
efficiency and competitiveness in its industry is the major goal here. A company requires
committed employees if it wants to succeed.

Types of organizational commitment

The first commitment model to include three pieces, each of which is connected to a
different psychological state, is the Three Component Model (TCM), which Meyer and Allen
originally proposed in 1991.

The three stages are:

1. Sense of obligation to stay (normative commitment).


2. Fear of loss (continuance commitment).
3. Affection for your organization (affective commitment).

1.Affective commitment

Emotional commitment is the term for the "wanting" part of organizational commitment.

In this instance, the employee demonstrates a strong commitment to the company. They take
part in discussions and meetings, are upbeat, and provide intelligent criticism and
suggestions. They do all of these steps in an effort to make a substantial contribution to the
business.

The employee has a strong probability of remaining with the business for a long period at this
point.

2.Continuance commitment
Continuity liability occurs when an employee weighs the benefits and drawbacks of
remaining with the organization vs leaving. Their early affection was replaced by loss-related
anxiety.

They invest a lot of time and energy into the company, and they don't want to quit since they
believe it would be expensive to do so. They have a psychological and emotional connection
to the company.

Benefits of employee housing are contrasted with expenses of leaving, such as pension
benefits and contact with coworkers. They also take into account the availability of other
work options and the potential disruption that quitting smoking may bring about on an
individual level.

3.Normative commitment

During this time, the employee is forced to stay with the company.

Regardless of their level of happiness or willingness to look for other opportunities, they are
obligated to stay because doing so is not the "right" thing to do. There could be many reasons
for this.

They take into account the company's time and resources invested in it, the added stress of
family ties to the company, or the fact that the company often recognizes and rewards loyalty.
They also worry that the company has treated them well, and that the other side will lose their
turf.

The final stage of organizational commitment is normative commitment.


WHY IS ORGANIZATIONAL COMMITMENT IMPORTANT?

For both individuals and employers, organizational commitment, especially emotional


commitment, provides many benefits.

Employee influence

One who supports the company's objectives, vision, and purpose is a loyal employee. They
are thus inspired to put in more effort and become more productive as a consequence. They
want to be self-sufficient, have high standards, and do more chores.

Increased organizational commitment leads to increased productivity.

Additionally, motivated employees boost the output of their team members and other
employees. They urged everyone to contribute in order to accomplish shared objectives.

Better performance of the organization

When an employee has strong loyalty to the organization he or she is more likely to
cooperate, engage in collaboration and work in teams. This again boosts team morale and
productivity.

Workers advocate

A dedicated employee is more inclined to speak up for their company because they are loyal
to the bigger picture. On a professional and personal level, they embrace the organization's
goals and values. This indicates that they actively support the company's policies, services
and products.

Absenteeism reduced

Additionally, motivated employees boost the output of their team members and other
employees. They urged everyone to contribute in order to accomplish shared objectives.

Decrease in turnover

Although they experience inevitable dissatisfaction at work, employees are less likely to
consider leaving their jobs once they reach a point where they connect with the organization's
goals and values.
What influences organizational commitment?

An employee's commitment to the business may be influenced by a variety of circumstances.

Job satisfaction

How much a worker appreciates his or her job is referred to as job satisfaction. Employees
have a close relationship with their business when they love their work.

Work commitment and job happiness have a substantial link that may be used to predict
commitment, according to study done in 2011 by Dirani and Kuchinke.

In fact, job unhappiness is one of the primary causes of individuals quitting their
employment, thus all organizations should place a high priority on ensuring that their
employees are happy with and passionate about their professions.

Managerial support

Hulpia et al. looked studied the link between work commitment and job happiness as well as
the distribution of leadership and leadership support among teachers in a 2009 article. High
levels of leadership coordination and support for organizational commitment were shown by
the results.

When workers feel supported at work, they are more likely to be content with their careers,
which boosts motivation and productivity.
Research has also shown that rather than assigning all leadership responsibilities to one
person, managers can increase job satisfaction and commitment by delegating leadership
responsibilities to additional employees.

Role stress and role ambiguity

Role stress occurs when a worker receives conflicting instructions from management (role
conflict) or lacks the necessary knowledge to accomplish a job (role ambiguity). Stress
reduces performance, productivity and satisfaction as well as increases the likelihood of an
employee leaving the company.

Job satisfaction and organizational commitment are always negatively affected due to role
stress and uncertainty.

Empowerment

In the workplace, empowerment involves motivating and motivating workers to achieve


goals, improving self-efficacy by removing feelings of helplessness, and encouraging
commitment and leadership.

There are two main ideas behind empowerment:

1. Psychological empowerment: How workers feel about their jobs and organizational
responsibilities.
2. Structural Empowerment: The ability to organize resources and accomplish tasks.

Ahmed and others. (2010) research found a relationship between work dedication,
satisfaction and empowerment.

Unemployment and Employment

Employees on fixed-term contracts, or anybody deemed "temporary," expressed greater


sentiments of job insecurity than those with permanent work, according to a 2009 poll by De
Kuper Research.

Job instability is inversely correlated with both job satisfaction and emotional organizational
commitment. When workers believe their employment are safe in the long term, they are
more likely to be invested in their positions and the business.
LITERATURE REVIEW

A three-part model of organizational commitment involves employee behavior in workplaces


(Allen N J and Meyer J P, 1990).

• The term "emotional commitment" refers to the emotional actions of an employee to


identify with, connect with, and engage with the company.
• The term 'continuance commitment' describes employee dedication based on the
importance of their company.
• The term "standard compliance" refers to holding the employee accountable for his
work, keeping him in the same company.

Scale by Meyer and Allen (1991) The connection between an employee and a corporation,
in Becker's view, is based on compliance with a "contract" of financial interests. Employees'
own hidden interests or side wagers lead to their devotion to the firm. These side bets are
valued because they involve expenses that make decoupling difficult. Indeed, organizational
commitment is a significant predictor of voluntary departure, according to Becker's theory.
Although the side betting hypothesis, the main proponent of the organizational commitment
notion, has been rejected, its effect may still be seen in Mayer and Allen's (1991) scale, also
known as continuation commitment.

s. 226 from Maude, Steers, and Porter (1979) emphasized the emotional ties people had
with the organization during the time of central subordination. This school of thinking has
made an effort to define commitment as a convergence of views and consideration for the
financial advantages of affiliation with a corporation. Although financial achievement is
acknowledged, a key element in employee retention is emotional effect. Porter and his
followers define commitment as "the relative degree of engagement to and involvement in a
specific organization" (Mowday, Steers and Porter 1979; p.226).

In 1993, Vandenberg and Self It implied that paying closer attention while considering
commitment required thinking about time. The invariance of commitment factor structures
across time, according to Vandenberg and Self (1993), demonstrated that employees find it
difficult to comprehend the relevance of the items often used to gauge commitment in
different facets of their organizational careers. The importance of continuous and normative
adherence must also be reexamined in light of views of adherence. The two-dimensional
continuation commitment and the normative and emotional commitment exhibit substantial
relationships, which suggests that these dimensions may need to be adjusted, according to the
Mayer et almeta research. (2002) Meyer et al. Ko et al. (2007).

The three-dimensional method developed by Meyer and Allen (1984; 1997), which divides
commitment into three different dimensions, affective, normative, and continuance
commitment, is a prominent research in OC. Limitations of these studies have prevented
comprehensive development of the OC construct and reduced the predictive validity of
measures of organizational commitment, although these concepts have roots in previous
studies (Becker, 1960; Porter, Steers, Maude & Bouillon, 1974) and organizationally.
commitment (Cohen, 2003; Coe, Price, & Muller, 1997).

CONCLUSION:

After evaluating the current literature, it can be said that the majority of research
methodologies in OC have the potential to increase our knowledge about OC and cannot be
ignored in retrospect about commitment. Criticisms of these methods can serve as a starting
point for expanding the study of organizational commitment. It is also clear from a survey of
theories used that OC requires a holistic approach. It has many aspects, so it is necessary to
consider the perspective of the organization and the perspective of the individual. Since
commitment affects both attitude and behavior, it is necessary to develop a proposal that tries
to dive deeper into the relationships between a person and his work.

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