Assignment 1: Literature Review
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Organisational commitment is characterised as a perception of an employee towards his/her attachment to the firm he/she is working for. The significance of the organisational commitment is that it determines whether or not an employee stays with the company for a longer period of time and contribute his best efforts for achieving the organisational goals. Battistelli et al. (2016, p. 44)outline that organisational commitment is determined for predicting employees engagement and satisfaction level. In addition to this, one can also examine the distribution of leadership, job insecurity, and job performance of workers and some other attributes. The management is concerned for organisational commitment level of employees in order to test their dedication towards their daily tasks. Potgieter, Coetzee, &Ferreira (2016, p. 440) mentionthat majority of organisations comprise employees who are very active in optimising their resources by prioritising the organisation's tasks and objectives over their personal goals. For that case, an organisation required good systems and good leadership that persuade employees to carry out their work effectively and stay loyal to the company.
Peter& Eunice (2014, p 442) highlighted that organisational commitment is characterised by dedication, trust, loyalty, motivation, and discipline of the employees and leaders as a part of human resource. In addition to this, there are non-human resources too that also help in the enduring achievement of the organisation's goal in the near future.
Organisational Commitment's Dimension
Mitonga-Monga& Cilliers (2016, p. 4) argue that organisational commitment is an individual behaviour which is shown by him towards the mission, vision, and goals of an organisation. There are several dimensions of organisational commitment. The first and foremost is the positivity towards work that increases the involvement in the work organisation. This is also called affective commitment. The second is continuance commitment as the extent by which employees feel attached to their work. The third dimension is called normative commitment. Bebe& Bing (2016, p. 22) arguethat continuance commitment is quantitative and can be calculated. A worker has high continuance commitment when they are unable to quit the job as that is a costly option. Bebe& Bing (2016, p. 19) argue that financial incentive does not buy the loyalty of an employee. However, it can make them stay there for a longer period as quitting can be a great loss. Research works have suggested that employees that have high continuance commitment have poor performance rating and they are less engaged in organisational work. In addition to this, unionised workers that have high continuance commitment usually make use of formal grievances. On the other hand, employees with high organisational commitment are more engaged in solving a constructive problem. They try to bring harmony while working in a team.
Strategies for Building Organisational Commitment
There are different researchers that have given their own findings and strategies for improving the organisational commitment among employees. These have been discussed here. Sahi & Mahajan (2014, p. 624) gave their strategies. First and foremost is that an organisation should have a justified process and provide support to employees. It has been seen that organisation that accomplishes the demands and obligations to workers and follows guidelines and humanitarian values, such as courtesy, fairness, forgiveness, and moral integrity have higher employee loyalty and organisational commitment. These values are related to managers through which he can pay attention to the employees and their performance and distribute incentives and rewards fairly. The more justice is perceived by employees, the higher their loyalty is going to be. Similarly, if an organisation supports its employees' wellbeing, then they tend to have higher loyalty for the organisation in return. Another strategy is to have shared values. The definition of organisational commitment is described as a person's identification with the firm and it is highest when an employee believes that their personal goals are in line with organisational goals. It has been seen that values congruence makes workers feel less burdened and happy. Mitonga-Monga& Cilliers (2016, p. 7) argue that trust is another factor that helps employees in increasing organisational commitment. When an organisation puts complete faith in the employees, it motivates them and they are ready to walk an extra mile for the firm. Workers put their trust in leaders only when they are effective and understand their demands. In addition to this, increasing job securities and non-monetary perks can also reduce the turnover of the employees and improves the relationship between the company and workers. Rode, Huang, & Flynn (2016, p. 474) believe that organisational commitment and work satisfaction represent are the most discussed attitudes in the workplace. Each of them is linked to cognitive judgment and emotional episodes about maintaining the relationships with the organisation. It has been seen that emotions play a significant role in improving organisational commitment. Manager's role in managing the work-related stress helps in improving employees' wellbeing.
Madelyn, Karolina & Cornelia (2014, p. 7) said that organisational commitment is one of the spontaneous processes that develop by the orientation of workers to the firm. There are many stages and level in the strategies of a leader in building the organisation commitment. The paper highlighted that leaders and managers can improve and build organisational commitment through internalisation, identification, and compliance. These components are antecedent distal and process commitment itself. Compliance is the first stage of building commitment that brings confidence in the employees. Usually, these are connected to continuance commitment dimension. The second stage of building organisational commitment is identification. It occurs when workers get affected by the influence of others to maintain satisfaction level while working in the organisation. The second stage is a part of the normative dimension of organisational commitment. In addition to this, the last stage is internalisation. This takes place when the worker finds that organisational values are aligned to his own value.
Bebe& Bing (2016, p. 18) highlighted that high levels of organisational commitments are directly linked to superior business performance, high productivity and profitability, customer satisfaction, employees' retention, minimised consumer churn. In addition to this, there are some strategies to improve organisational commitment. The first and foremost is developing a strong teamwork culture. This would ensure a strong working environment. In an organisation, no two workers can be exactly identical in terms of skills and expertise (Peter & Eunice, 2014, p. 440). Usually, people in any organisation belong to a different background. It has been seen that people mostly work in teams. However, if any company promotes the culture of teamwork, then this would help in achieving organisational goals more easily and in a more convenient manner. This will help in boosting employee's motivation and achieving higher growth. In addition to this, the organisation can be able to develop a long term working harmony culture.
In addition to this, Hendel& Kagan (2014, p. 503) believethat communicating goals and organisational expectation can be another way of building organisational commitment. It has been seen that the majority of workers want themselves to be a part of an organisation that ensures an excellent working environment and regular growth in their job. They want to have that organisation should have a meaningful objective and the same should be communicated to the employees. Employees after feeling a sense of responsibility and ownership tend to be loyal to the company and stay for a longer duration of time. Dotun (2014, p. 2) argues that when organisation is transparent towards their employees in almost all the aspects and operations, employees are more satisfied and loyal. In addition to this, the organisation should also encourage open communication with employees in order to keep them updated about the new policies and changes in the existing ones. When a company is transparent with its stakeholders and other business partners, there are higher chances that workers feel valued and this would also improve a sense of belonging. This would further induce a sense of ownership among them and they would stay and have a positive perception of the company.
Bebe& Bing (2016, p. 20) emphasisethat the organisation should maintain positive work ethics within the organisation. It has been seen that every worker want to work with an organisation that is ethically sound and takes care of its workers with utmost respect and tenderness. If any employee feels that organisation follow an ethical code of practices and is morally correct, then this would increase4 the organisational commitment. Good work ethics ensure a high retention rate and a high satisfaction level among the workers. Treating each and every employee equally would bring confidence among the employees. In addition to this, Battistelli et al. (2016, p. 47) advocate the encouragement of innovation in the company. Some of the research works have proved that innovation drives the motivation of employees up. The organisation needs to support the innovating ideas of each and every employee and should not discourage them. This would motivate them to stay in the organisation for a longer period.
At last, it can be seen that organisations can improve organisational commitment by taking measures at the right time. However, the most important aspect of every strategy is to get feedback from employees after implementing the strategy. This is a constructive measure that ensures the implementation is done in the right way.
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- Sahi, Gurjeet Kaur & Mahajan, Rupali 2014, 'Employees' organisational commitment and its impact on their actual turnover behaviour through behavioural intentions', Asia Pacific Journal of Marketing and Logistics, vol. 26, no. 4, pp. 621-646.