Alexander Newman

The impact of employee perceptions of training on organizational commitment and turnover intentions: a study of multinationals in the Chinese service sector

This study examines the impact of employee perceptions of training on organizational commitment, and the latters relationship with turnover intentions. Structured equation modelling is conducted on survey data from 437 Chinese employees of five multinational enterprises operating in the Chinese service sector. The results of the survey are consistent with social exchange theory. They highlight the importance of training as a tool to enhance the affective organizational commitment of employees, and reduce turnover. The findings differ from that of previous studies in non-Chinese settings. No evidence was found to indicate that motivation to learn and the perceived benefits of training impact on the organizational commitment of employees. This may be explained by three factors: the involuntary nature of employee training, the limited career development opportunities on offer to local employees of multinational enterprises and the difficulty employees face in applying learnt skills given cultural differences. The implications for research and practice are discussed.

The impact of perceived corporate social responsibility on organizational commitment and the moderating role of collectivism and masculinity: evidence from China

This study examines the relationship between employee perceptions of corporate social responsibility practices and their organizational commitment. Hierarchical regression analysis was utilized to analyze survey data on 280 employees from five export-oriented manufacturing firms in China. Employee perceptions of corporate social responsibility practices towards internal stakeholders were found to relate positively to their organizational commitment. In contrast, employee perceptions of corporate social responsibility practices to external stakeholders had a nonsignificant or marginally significant impact on organizational commitment. In addition, the collectivism and masculinity orientations of employees were found to moderate this relationship. These findings provide an insight into how corporate social responsibility practices may be utilized to motivate diverse groups of employees within China-based organizations.

The effects of perceived organizational support, perceived supervisor support and intra‐organizational network resources on turnover intentions: A study of Chinese employees in multinational enterprises

Purpose – The purpose of this study is to investigate the impact of perceived organizational support (POS), perceived supervisor support (PSS) and intra‐organizational network resources on the turnover intentions of the Chinese employees of multinational enterprises.Design/methodology/approach – The study utilized structured equation modeling to analyze survey data from 437 Chinese employees of five multinational enterprises operating in the Chinese service sector.Findings – The study found that POS was positively related to affective organizational commitment, which in turn was negatively related to turnover intentions. A direct relationship was revealed between PSS and turnover intentions, as well as a mediated relationship through POS. In contrast, the relationship between intra‐organizational network resources and turnover intentions was fully mediated through POS.Research limitations/implications – The cross sectional design is a limitation of the study. Another limitation regards the generalisabilit...

Organizational commitment in Chinese small- and medium-sized enterprises: the role of extrinsic, intrinsic and social rewards

This study investigates the relationship between organizational rewards and employee commitment in Chinese small- and medium-sized enterprises (SMEs). Hierarchical regression analysis was utilized to analyse survey data from 286 employees of 11 organizations. In line with what was hypothesized extrinsic rewards were found to be strongly related to both affective and continuance commitment, whereas satisfaction with supervision and role clarity positively influenced affective commitment. In contrast to previous empirical findings, autonomy and training provision were only found to influence continuance commitment. These findings have significant managerial implications regarding the utility of providing organizational rewards to enhance the commitment of Chinese employees. In order to promote employee commitment, SME managers could start by giving their employees greater autonomy and clarity regarding their role in the organization, as well as improving supervisor support. These are relatively inexpensive measures compared to the costly alternatives of improving extrinsic benefit packages and investing in employee training.

Applicability of financial theories of capital structure to the Chinese cultural context: A study of privately owned SMEs:

Using a new dataset of 1539 Chinese small and medium-sized enterprises this article investigates the firm-level determinants of capital structure and tests them against the predictions of financial theory. Firm size and profitability are both found to be related to leverage as posited by pecking-order theory. In contrast little support is found for the predicted relationship between asset structure and leverage. These findings are discussed in relationship to their Chinese cultural context. The managerial and policy implications of the research are then explored.

How does microfinance enhance entrepreneurial outcomes in emerging economies? The mediating mechanisms of psychological and social capital

In this article, a conceptual framework and research propositions are developed to explain how microfinance provision can translate into new venture creation and existing venture growth in an emerging economy context by engendering higher levels of psychological and social capital in clients. In doing this, the extent to which microfinance institutions provide business support and opportunities for social interaction are identified as factors which may strengthen the impact of microfinance provision on psychological and social capital, especially for poor entrepreneurs in resource-constrained settings. The conceptual framework and research propositions developed will be of use to academics in designing an agenda for future empirical research. In addition, they will help policymakers and microfinance providers to better design microfinance initiatives that enhance the well-being of clients and maximise their entrepreneurial outcomes.

Transformational leadership and the work outcomes of Chinese migrant workers: The mediating effects of identification with leader

This study examines the mediating influence of identification with leader on the relationship between follower perceptions of transformational leadership behavior and their work outcomes, using data obtained from migrant workers and their supervisors in a large manufacturing company located in south-eastern China. Hierarchical regression analysis revealed that transformational leadership was positively related to the affective commitment and job performance of followers, and negatively related to their turnover intentions. In contrast, no significant influence was found of transformational leadership on the innovative behavior of followers. Subsequent analysis revealed that identification with leader mediated the relationship between transformational leadership and follower attitudes, but did not mediate the relationship between transformational leadership and follower job performance. These findings highlight the importance of cultural and wider contextual influences on the processes by which leadership impacts on the work outcomes of migrant workers in the Chinese manufacturing industry. The managerial implications of these findings are discussed and suggestions for future research provided.

Participative Leadership and the Organizational Commitment of Civil Servants in China: The Mediating Effects of Trust in Supervisor

The present study examines whether participative leadership engenders organizational commitment amongst Chinese civil servants and analyses the mechanisms by which it transmits its effects. Confirmatory factor analysis and structural equation modelling revealed that there was a significant relationship between supervisor‐level participative leadership and the affective and normative commitment of subordinates, but no relationship with continuance commitment. Affective trust was also identified as the mediator variable underlying the relationship between participative leadership and organizational commitment. We show that participative leadership of supervisors elicits higher levels of trust and leads subordinates to reciprocate through exhibiting higher levels of organizational commitment. Our study also reveals that Chinese civil servants who accept an unequal distribution of power between supervisors and subordinates typically exhibit lower levels of affective and normative commitment to the organization than those who do not. Our results provide greater support for the deepening of administrative reforms and the dissemination of participative leadership practices in Chinas new civil service system.

Organizational rewards and employee commitment: a Chinese study

Purpose – The purpose of this study is to assess how the cultural value orientations of individual employees moderate their attitudinal responses to different categories of organizational rewards. Specifically, it seeks to examine how one dimension of traditionality, respect for authority, moderates the relationship between affective organizational commitment and three variables: pay satisfaction, autonomy and satisfaction with supervision.Design/methodology/approach – Hierarchical regression analysis was utilized to analyze survey data obtained from a sample of 290 employees of a major Chinese airline company.Findings – Employees high in traditionality were found to exhibit higher levels of affective commitment when autonomy and satisfaction with supervision was low. When autonomy and satisfaction with supervision was high employees low in traditionality exhibited higher levels of emotional attachment to the organization.Research limitations/implications – The cross‐sectional design is an obvious limitat...

The impact of employee perceptions of organizational corporate social responsibility practices on job performance and organizational citizenship behavior: evidence from the Chinese private sector

This paper examines the impact of employee perceptions of organizational corporate social responsibility (CSR) practices on their job performance and organizational citizenship behavior (OCB). Hierarchical regression analysis on two-wave data from 184 supervisor/subordinate dyads from three organizations located in Zhejiang Province, South-East China, revealed that employee perceptions of CSR toward social and non-social stakeholders strongly influenced their OCB. However, employee perceptions of CSR toward employees, customers and government influenced neither their job performance nor OCB.