Transcript Organizational Commitment

UHS 2062 : Introduction to Industrial Psychology
Title : Employee Satisfaction and Commitment (II)
Lecturer’s Name : Puan Siti Rokiah binti Siwok
Group members :
Foo Heng Yen (AS100202)
Mok Kin Loon (AS100218)
Tan Kok Kiong (AS100244)
Muhamad Haziq Bin Hamzah (AS100166)
Mohamad Khairil Anuar Bin Zamri ( AS100163)
Muhamad Assafiq Bin Sahar (AS100165)
Abstract and summary
Our topic basically emphasis on the organizational
commitment. In this organizational commitment, we
will categorize the organizational commitment. Our
topic will also discuss the consequences of the
organizational commitment which include absenteeism,
turnover, counterproductive behavior and so on. With
the present of the consequences, we will also look on the
positive employee attitudes and behavior and the ways
to overcome the consequences by increasing the
employee’s satisfaction and their commitment towards
the organization. Due to the above discussion, hopefully
it will help all of us understand more about the
organizational commitment.
Organizational Commitment
• An employee’s loyalty to the organization,
willingness to exert effort on behalf of the
organization, associated with the acceptance of
the organization’s goal and values and desire to
maintain membership.
• A worker’s feeling and attitudes about the entire
work organizations.
Types of Commitments
Affective
Commitment
3 types of
commitments
Continuance
Commitment
Normative
Commitment
(A) Affective Commitments
• Emotional attachment, identification, and involvement that an employee
has with its organization and goals.
(B) Continuance Commitment
• Willingness to remain in an organization because of the investment that
the employee has with “ nontranferable” investment.
** Employees who share continuance commitment with their employer
often make it very difficult for an employee to leave the organization.
(C) Normative commitments
• Commitment of people believes that they have to stay in the
organization or their feeling of obligation to their workplace.
In order to make this clear , those employee’s with a strong affective
commitment will remain with an organization because they want to, those
with a strong continuance commitment remain because they have to, and
those with a normative commitment remain because they fell that they have
to.
Measures of Organizational Commitment
1. Organizational Commitment Questionnaire
To measure 3 commitment factors:
(i) acceptance of the organization value and goals.
(ii) willingness to work and to help the organization.
(iii) desire to remain with the organization.
2.
Organizational Commitment scale (OCS)
To measure 3 aspects of commitment:
(i) identification
(ii) exchange
(iii) affiliation
Most commonly used measure of organizational commitment is that
developed by Allen and Myer (1990) which is based on 3 factors of affective,
continuance and normative commitments. Example questions as follow :
Absenteeism
Lack of
organizational
citizenship behaviors
Consequences
of
organizational
commitment
Counterproductive
behaviors
Turnover
THE MEANING
OF
ABSENTEEISM
THE MAJOR
INFLUENCES
ON EMPLOYEE
ATTENDANCE
DETERMINANTS
OF ABSENTEEISM
ABSENTEEISM
CONTROLLING
ABSENTEEISM
ORGANIZATIONAL
VARIABLES AND
ABSENTEEISM
THE MEANING AND
MEASUREMENT OF ABSENTEEISM
Absenteeism is a habitual pattern of absence
from a duty or obligation. Absenteeism may
seem to be self-evident variable, but there are
actually a number of ways in which it may be
operationally defined.
DETERMINANTS OF
ABSENTEEISM
• The search for personal characteristics and
organizational variables that are associated
with absenteeism has developed partially
out of the realization that job dissatisfaction
alone is an insufficient explanation.
• However the proponents of the “job
dissatisfaction causes absenteeism”
hypothesis have made significant
contributions to this research through their
attempts to identify characteristics and
variables associated with dissatisfaction and
so with greater absenteeism.
ORGANIZATIONAL
VARIABLES AND
ABSENTEEISM
• A number of different aspects of the job situation
have been investigated in the search for the
determinants of absenteeism.
• The nature of the work that an individual performs
has been the focus of much of this research, which
usually is based on the hypothesis that boring,
unfulfilling work leads to job dissatisfaction.
• The dissatisfaction, in turn, leads to increased
absenteeism.
CONTROLLING
ABSENTEEISM
•
•
•
•
•
Attention on ability-to-attend variables.
Transportation problems
Work hour scheduling
Flexible scheduling
A positive reinforcement program
THE MAJOR INFLUENCES ON
EMPLOYEE ATTENDANCE
1. Job Situation – Job scope, job level, role stress, work group size,
leader style, co-worker relations and, opportunity for
advancement.
2. Employee Values and Job Expectations
3. Personal Characteristics – Education, tenure, age, sex, family
size.
4. Satisfaction with Job Situation
5. Pressure to attend- Economic/market conditions,
Incentive/reward system, work group norms, personal work
ethic, organizational commitment
6. Attendance Motivation
7. Ability to Attend – Illness and accidents, Family responsibilities,
Transportation problems
8. Employee Attendance
Turnover
• “Resolving door” of the employee being hired, staying for a little while,
and then leaving.
• A process of separation or disengagement from an employing
organization.
Involuntary turnover
- occurs when employees are fired or laid off
- because employee not performing at desirable levels.
2 types
Voluntary turnover
- occurs when a competent and capable employee
leaves to work elsewhere.
- consequences : costly to the organization because of
losing a value employee.
-lower down the productivity, increase expenses on
hiring and training a replacement.
Voluntary
turnover
functional
dyfunctional
Low
performing
employee leave
High
performing
employee leave
Exit interview surveys
• Instrument which identify reasons why an employee
left an organization.
• Questions can be broken down in various category:
(a) reason exiting organization
(b) work environment
(c ) supervision
(d) compensation
(e) characteristic of the job
(f) training
Ways to reduce turnover
Purpose : to identify the reasons for employee leaving an organization
Instrument used : exit interview survey , salary survey
We categorized the reasons in to 5 groups :
(a) Unavoidable reason
eg: students doing part time job and forced to continue studies after the
holiday
(b) Advancement
- can be reduced by offering more pay and higher status position.
(c ) Unmet needs
- organization should consider the person/ organization fit when selecting
employees
(d) Escape
- providing a mentor to help the employee deal with workplace problem.
(e) Unmet expectation
- Organization does not match employee’s expectation, become less satisfied
and leave.
- way to reduce :
(i) conduct realistic job preview during recruitment stage.
(ii) provide a good working environment.
(iii) provide a competitive pay and benefits package.
(iv) provide opportunities to advance and grow.
(v) select employees who did not leave their previous job after only a short
time.
(vi) Mediate conflicts between employees and their peers, supervisors, and
customers.
Counterproductive behaviour
• Employers not limited to unhappy employees
“get back” at the organization.
provide ways to
• Eg : playing negative politics , theft, sabotage, workplace violence ,
harassment and bullying.
Lack of organizational citizenship behaviors
• Employees who engage in OCBs are motivated to help the organizations
and their coworkers by doing the “ little things” that they are not required
to do.
• Eg : mentoring new employee, staying late to get a project done, helping a
coworker who is behind in her job.
Changes
in job
structure
Changes
in pay
structure
Increasing Job
Satisfaction &
Organization
Commitment
Flexible
work
schedules
Benefit
programs
Changes in job structure
 Job rotation – moving workers from one specialized
job to another.
 Job enlargement – the practice of allowing worker
to take on additional , varied task in effort to make
them feel that they are more valuable members of
the organization.
 Job enrichment – raising the responsibility
associated with a particular job by allowing workers
a greater voice in the planning , execution and
evaluation of their own activities.
Changes in pay structure
 Skill-based pay – paying employees an hourly rate
based on their knowledge and skills.
 Merit pay – a plan in which the amount of
compensation is directly a function of a employee’s
performances.
 Gainsharing – make pay contingent on effective
group performance.
 Profit sharing – all employees receive a small share
of the organization’s profits.
Flexible work schedule
 Compressed work weeks – the number of workdays
is decrease while the number of hours worked per
day is increased.
 Flextime – a scheduling system whereby a worker is
committed to a specified number of hours per
week but has some flexibility concerning the
starting and ending times of any particular
workday.
Benefit program
 Flexible working hours
 Variety of health care option
 Different retirement plans
 Career development programs
 Health promotion programs
 Employee-sponsor childcare
Positive Employee
Attitudes & Behaviors
 Organizational Citizenship Behaviors
- consists of efforts by organizational members that
advance or promote the work organization , its
image , and its goals.
 Positive affect and employee well-being
- the role of positive emotions , or positive affect , in
influencing employee attitudes , such as job
satisfaction and fostering positive employee
behaviors.
Conclusion
• In the nutshell, employee’s commitment plays a
vital role in organization. This means that with a
committed employees, it will help an organization
to boost up its performances as well as the
productivity which can leads to a success in this
society.
• Hence, commitment is a fundamental requirement
and quality for employees in order to be a part of
an organization and optimize the organization
performance.
REFERENCES
1. Jewell, L. N. (1998). Contemporary
industrial/organizational psychology 3rd ed. Pacific
Grove, CA :Brooks/Cole Publishing.
2. Ronald E. Riggio (2003). Introduction to
Industrial/Organizational Psychology Fourth Edition.
Upper Saddle River, NJ :Pearson Education/Pearson.
3. Aamodt, Michael G. (2007). Industrial/organizational
psychology : an applied approach Fifth Edition.
Belmont, CA :Wadsworth Publishing.
REFERENCES
• http://userwww.sfsu.edu/~nschultz/documents/kno
wledge/organizational.commitment.pdf
• http://www.effortlesshr.com/blog/employeeissues/understanding-employee-turnover/
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• http://en.wikipedia.org/wiki/Absenteeism