Investigating the relationship between corporate entrepreneurship and employee engagement

2015 ◽  
Vol 7 (2) ◽  
pp. 148-167 ◽  
Author(s):  
Afework G. Kassa ◽  
R. Satya Raju

Purpose – The purpose of this study is to investigate the relationship between corporate entrepreneurship and employee engagement. Corporate entrepreneurship is one of the widely researched areas recently, as is employee engagement. Studies combining the two constructs, on the other hand, are generally scarce. Developing on this gap and based on existing literature, the basic purpose this study pursued was to explore the relationship between corporate entrepreneurship and employee engagement using the corporate entrepreneurship assessment instrument (CEAI) and Utrecht Work Engagement Scale (UWES). Design/methodology/approach – Within the tenets of the pragmatic approach, this study followed a descriptive survey design in a cross-sectional time. To capture primary data structured questionnaire was constructed based on the CEAI developed by Hornsby et al. (2002) for assessing the corporate entrepreneurial atmosphere and UWES (Schaufeli et al., 2002) to assess employee engagement. The sample constitutes 332 respondents taken from six leather footwear companies in Addis Ababa, Ethiopia. The social exchange theory (SET) was used to describe the hypothesised relationships. Findings – The findings of the current study reinforced the proposition by Saks (2006) that the SET can provide a meaningful theoretical basis for understanding and studying employee engagement. Accordingly, this study showed that the relationship between the organisation and its employees can be viewed as a mutually beneficial arrangement in a reciprocal exchange. Furthermore, it was shown that the five-factor model of the CEAI can be used to predict employee engagement and that a significant amount of the deviation in the engagement dimensions can be explained by the corporate entrepreneurial variables. Finally, it was indicated that different variables in the CEAI predict different engagement dimensions in the UWES. Research limitations/implications – This study does not group the data based on demographic factors. Likewise, future studies can explore the effect of the CEAI on the dimensions of employee engagement, while considering different demographic groups like salary ranges, age groups, gender, experience, work position. Furthermore, the current study applies cross-sectional data; future studies might consider longitudinal data for better results. Practical implications – The study findings suggest that it is important that practicing managers view the relationship between the organisation and employees as a two-way relationship guided by reciprocal exchange in which case when firm-specific entrepreneurial atmosphere is conducive, employees would respond by engaging themselves innovatively. Also, managers should know which CEAI variables affect which engagement dimensions for better outcomes. Originality/value – Although there are scattered studies in corporate entrepreneurship and employee engagement separately, there is no attempt so far to relate the two concepts. Therefore, this study stood as a first attempt to relate the two constructs.

2018 ◽  
Vol 21 (3) ◽  
pp. 423-442 ◽  
Author(s):  
Arménio Rego ◽  
Miguel Pina e Cunha ◽  
Dálcio Reis Júnior ◽  
Cátia Anastácio ◽  
Moriel Savagnago

Purpose The purpose of this paper is to study if the employees’ optimism-pessimism ratio predicts their creativity. Design/methodology/approach In total, 134 employees reported their optimism and pessimism, and the respective supervisors described the employees’ creativity. Findings The relationship between the optimism-pessimism ratio and creativity is curvilinear (inverted U-shaped); beyond a certain level of the optimism-pessimism ratio, the positive relationship between the ratio and creativity weakens, suggesting that the possible positive effects of (high) optimism may be weakened by a very low level of pessimism. Research limitations/implications Being cross-sectional, the study examines neither the causal links between the optimism-pessimism ratio and creativity nor other plausible causal links. The study was carried out at a single moment and did not capture the dynamics that occur over the course of time involving changes in optimism/pessimism and creativity. Future studies may adopt longitudinal or quasi-experimental designs. Practical implications Managers and organizations must consider that, even though positivity promotes creativity, some level of negativity may help positivity to produce creativity. Originality/value This study suggests that scholars who want to study the antecedents of creativity (and innovation) must be cautious in focusing only on the positive or the negative sides of individuals’ characteristics, and rather they must explore the interplay between both poles. Individuals may experience both positive and negative states/traits (Smith et al., 2016), and this both/and approach may impel them to think divergently, to challenge the status quo and to propose “out the box” and useful ideas.


2017 ◽  
Vol 59 (1) ◽  
pp. 21-34
Author(s):  
Ziade Hailu ◽  
Isaac N. Nkote ◽  
John C. Munene

Purpose The purpose of this paper is to empirically test whether enforceability mediates the relationship between property rights and investment in housing, using data from land formalization project in Addis Ababa, Ethiopia. Design/methodology/approach The study was cross-sectional in design; data were collected from a sample of 210 households that benefited from the recent Addis Ababa city land and buildings formalization project. Confirmatory factor analysis was used to assess the goodness-of-fit of the latent structures underlying the constructs. Mediation was tested using the Baron and Kenny steps, combined with bootstrapping technique. Robustness of results was checked. Findings The results indicate statistically significant mediation effect of contract enforcement. However, the mediation is partial, there is still a substantial direct effect of security of property rights on investment. Practical implications Any initiative to land formalization projects needs to consider contract enforcement environment, as presence and size of property rights effects largely depend on whether those rights are properly enforced. Originality/value This is the first study that conceptualizes the mediating effect of contract enforcement on the relationship between property rights and investment from an African country perspective.


2017 ◽  
Vol 26 (7) ◽  
pp. 771-784 ◽  
Author(s):  
Mario Kienzler

Purpose While marketing and management research suggests that managers’ individual characteristics influence pricing decisions, the influence of personality traits in this context remains unclear. This study aims to explore the relationship between the five basic personality traits of the five-factor model (extraversion, conscientiousness, openness to experience, agreeableness and neuroticism) and three basic pricing practices (value-, competition- and cost-informed). Design/methodology/approach On the basis of a non-experimental decision-making scenario, the analysis examines the pricing decisions of 57 managers in relation to a new business service. Findings The results suggest that managers’ conscientiousness and openness to experience are positively related to preference for value-informed pricing. Similarly, managers’ agreeableness is positively related to preference for competition-informed pricing and managers’ openness to experience and agreeableness are positively related to preference for cost-informed pricing. Research limitations/implications The cross-sectional study design does not support causal inference, and the modest sample size may limit the external validity of the findings. Practical implications By increasing awareness of the influence of personality on pricing preferences, the findings are of relevance to managers who are directly involved in pricing decisions. Additionally, the findings are informative for managers who must assign responsibility for pricing authority within firms. Originality/value This empirical exploration of the relationship between certain personality traits and specific pricing practices contributes to the literature on psychological aspects of pricing theory by showing how managerial personality influences pricing preferences under uncertainty.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Anja Špoljarić ◽  
Ana Tkalac Verčič

PurposeThis study aims to contribute to the understanding of internal communication and its connections to engagement and employer brands. The authors wanted to test the relationship between the three variables and explore if employees' perception of employer brands is affected by internal communication satisfaction and engagement. Creating a desirable employer brand can have significant benefits for organizations, such as higher employee satisfaction, employee engagement and retention. It is crucial to have a clear grasp of how the determinants of these relationships affect each other.Design/methodology/approachA total of 1,805 employees participated in a large communication survey that measured internal communication satisfaction, employee engagement and perception of employer brand (operationalized as employer attractiveness). To test the relationship between variables, the authors used multiple regression analysis.FindingsThe results show internal communication satisfaction and employee engagement as significant predictors of employer brand. All of the internal communication satisfaction dimensions and two out of three employee engagement dimensions have been identified as determinants of at least two employer attractiveness dimensions.Research limitations/implicationsLimitations include using a cross-sectional dataset, which reduces the possibility of determining causality, using self-reports and a common source bias.Originality/valueThe authors added to the body of knowledge by analyzing the effects of workplace attitudes on attitudes toward the organization. The authors found that both internal communication satisfaction and employee engagement significantly shape the perception of employer brands.


2017 ◽  
Vol 32 (5) ◽  
pp. 373-386 ◽  
Author(s):  
Hong T.M. Bui ◽  
Yolanda Zeng ◽  
Malcolm Higgs

Purpose The purpose of this paper is to explore the relationship between transformational leadership and employees’ work engagement based on fit theory. The paper reports an investigation into the way in which employees’ perceptions of transformational leadership and person-job fit affect their work engagement. Design/methodology/approach To test the authors’ hypotheses, the authors performed structure equation modeling with maximum likelihood estimation on Mplus with bootstrapping proposed by Hayes (2009) with data from 691 full-time employees in China. Findings The results indicate that transformational leadership has as significant influence on employees’ work engagement as person-job fit in China. Moreover, employees’ perception of person-job fit is found to partially mediate the relationship between transformational leadership and employees’ work engagement. Research limitations/implications There is a possible bias arising from the use of cross-sectional data. However, certain methods were implemented to minimize it, including survey design and data analysis. Practical implications The paper proposes a number of practical implications for policy makers, HR managers and transformational leaders relating to issues associated with improving levels of employee engagement. Originality/value The study contributes to developing leadership and engagement theory by examining a previously unexplored mediator – person-job fit – in a neglected cultural setting. This study promises to open new research avenues in this area.


2018 ◽  
Vol 36 (7) ◽  
pp. 1190-1212 ◽  
Author(s):  
George Okello Candiya Bongomin ◽  
John C. Munene ◽  
Joseph Mpeera Ntayi ◽  
Charles Akol Malinga

Purpose Premised on the argument that cognition structures the way how individuals think and make decisions, the purpose of this paper is to test the interaction effect of cognition in the relationship between financial literacy and financial inclusion of the poor in rural Uganda. Design/methodology/approach The study used cross-sectional research design and quantitative data were collected and analyzed using Statistical Package for Social Sciences. Baron and Kenny guidelines were adopted to test for existence of moderating effect of cognition in the relationship between financial literacy and financial inclusion of the poor in rural Uganda. Furthermore, ModGraph excel software was used to establish the magnitude of moderating effect of cognition in the relationship between financial literacy and financial inclusion of the poor in rural Uganda. Findings The results revealed that cognition significantly moderate the relationship between financial literacy and financial inclusion of the poor in rural Uganda. In addition, both cognition and financial literacy also have direct effects on financial inclusion of the poor in rural Uganda. Research limitations/implications The study adopted cross-sectional research design and data were collected by use of only questionnaires. Future studies through longitudinal research design may be employed. Besides, further studies using interviews may be adopted. Furthermore, this study collected data from only tier 3 financial institutions, thus, ignoring the other financial institutions. Future studies could focus on financial institutions under the other tiers. Practical implications The findings from the study enlightens policy-makers, managers of financial institutions, and financial inclusion advocates on the importance of cognition in enhancing financial literacy among the poor, especially in rural Uganda. Cognition combined with financial literacy helps the poor to make wise financial decisions and choices toward consuming financial services and products provided by formal financial institutions. This leads to increased scope of financial inclusion of the poor in rural Uganda. Therefore, advocates of financial literacy should assess community cultural cognition and utilize them to design and fashion effective financial literacy interventions that can promote financial inclusion. Originality/value The study uses Baron and Kenny and ModGraph excel software to test for the interaction effect of cognition in the relationship between financial literacy and financial inclusion of the poor in rural Uganda. While several studies exist worldwide on financial inclusion, this study is the first to test the interaction effect of cognition in the relationship between financial literacy and financial inclusion of the poor in rural areas in a developing country context.


2014 ◽  
Vol 29 (8) ◽  
pp. 953-972 ◽  
Author(s):  
Anne Hansen ◽  
Zinta Byrne ◽  
Christa Kiersch

Purpose – The purpose of this paper is to examine organizational identification as an underlying mechanism for how perceptions of interpersonal leadership are related to employee engagement, and its relationship with commitment and job tension. Design/methodology/approach – A sample of 451 full-time employees at an international firm completed a web-based survey. Findings – Organizational identification mediated the relationship between perceived interpersonal leadership and engagement, which mediated the relationship between perceived interpersonal leadership and commitment. Engagement mediated the relationship between identification and job tension. Research limitations/implications – Limitations include cross-sectional data. Strengths include a large field sample. Implication is that leaders who encourage employees’ identification with the organization may also encourage their engagement. Practical implications – Interpersonal leadership characteristics can be developed, and are positively related to employees’ identification, commitment, and engagement, which are negatively related to job tension. Social implications – Interpersonal leaders are positively associated with employees’ engagement; high engagement has been related to positive employee health and well-being. A healthy workforce translates into a healthy society. Originality/value – This study is one of the few to examine the underlying mechanisms through which leadership relates to engagement.


2021 ◽  
Vol 13 (9) ◽  
pp. 4854
Author(s):  
Juyeon Oh ◽  
Seunghwan Myeong

This study examines the extent to which the symbolic and instrumental images and attractiveness toward an organization are related. This study further focuses on global human resource management and reports findings from two studies: Study 1 uses the data from undergraduate students, and Study 2 cross-validates the findings of Study 1 by using actual data from employees. The distinction of this study from previous works is that the present work focuses on a Korean organizational context (collectivistic cultures) and the differences between the potential applicants and employees in the perception of an organization′s attractiveness. Furthermore, it investigates the relationship between the symbolic and instrumental images toward organizations, unlike existing relative research. The results show that the symbolic and instrumental images are related, and the perceptions of the corporate image differ for the potential applicants and employees in the context of collectivistic cultures. The more competent employees consider their organization to be, the more job security they perceive their organization to provide. Moreover, the symbolic image of being competent is negatively related to the instrumental image of job security. Since this study used cross-sectional data, future studies need to use longitudinal data to establish our model′s causal claim empirically and investigate the underlying reasons behind these differences.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hemin Ali Hassan ◽  
Xiaodong Zhang ◽  
Ahmad Bayiz Ahmad

PurposeThis paper builds on and extends the theory of planned behavior (TPB) by examining empirically the underlying mechanism through which red tape is associated with employee change-supportive intention (CSI). It investigates red tape as an antecedent of CSI and examines the mediation role of change-related attitude, subjective norm and perceived behavioral control (PBC) in the relationship between red tape and CSI.Design/methodology/approachTo test the study's hypotheses, cross-sectional data were collected from 183 employees working at a public organization in the Kurdistan Region of Iraq that was going through a major change. Regression analyses and the PROCESS macro for SPSS were used.FindingsConsistent with our expectations, the results indicate that red tape negatively predicts CSI. Red tape also predicts change-related attitude, subjective norm and PBC, which consequently predict CSI. The results also reveal that the relationship between red tape and CSI is mediated by change-related attitude and subjective norm.Research limitations/implicationsThe study is limited in using cross-sectional data at a point in time and in investigating intention only, rather than actual behavior.Originality/valueWhile prior work shows that red tape is a relevant factor that may affect employee responses to change in public sector, the psychological processes on which this relationship is based are still not fully explained. Therefore, this is the first study that aims to shed some light on this relationship.


2014 ◽  
Vol 35 (4) ◽  
pp. 305-315 ◽  
Author(s):  
Panagiotis Gkorezis ◽  
Eugenia Petridou ◽  
Panteleimon Xanthiakos

Purpose – Leader-member exchange (LMX) has been proposed as a core mechanism which accounts for the impact of various antecedents on employee outcomes. As such, the purpose of this paper is to examine the mediating effect of LMX regarding the relationship between leader positive humor and employees’ perceptions of organizational cynicism. Design/methodology/approach – Data were collected from 114 public employees. In order to examine the authors’ hypotheses hierarchical regression analysis was conducted. Findings – As hypothesized, results demonstrated that LMX mediates the relationship between leader positive humor and organizational cynicism. Research limitations/implications – Data were drawn from public employees and, therefore, this may constrain the generalizability of the results. Also, the cross-sectional analysis of the data cannot directly assess causality. Originality/value – This is the first empirical study to examine the mediating effect of LMX in the relationship between leader humor and employees’ perceptions of organizational cynicism.


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