Purpose – Concerns about the effectiveness of performance management systems (PMS) have long-driven researchers and practitioners to explore ways of measuring it. It is imperative for organizations to understand, how employees perceive the effectiveness of their PMS, for positive employee outcomes. Hence, the purpose of this paper is to explore the operationalization of the construct “employee perception of PMS effectiveness” (PMSE). An evidence of construct validity for the “two-factor PMS effectiveness” measure with perceived “PMS accuracy” and “PMS fairness” as its two factors is provided. In addition, a scale to measure “employee perception of PMS accuracy” is developed. Design/methodology/approach – Mixed-methods research methodology. Findings – Findings confirmed the possible existence of the two-factor PMSE construct, with PMS accuracy and fairness as its factors. Construct validity is established through its correlations with important outcome variables. The development of a valid and reliable 12-item scale for perceived PMS accuracy (Cronbach α value=0.83) is an additional key contribution. Research limitations/implications – The research presents opportunities for future empirical studies to examine the influence of PMS accuracy and effectiveness on employee outcomes (engagement, retention, etc.). Researchers may also cross-validate the PMSE measure in different socio-cultural contexts. Practical implications – The perceived PMS accuracy and effectiveness measures can serve as powerful investigative tools to measure employee perceptions regarding PMS. It can help organizations identify and correct the shortcomings in their existing PMS. Originality/value – This is the first paper to offer a cogent conceptualization and operationalization of employee perceptions of PMS accuracy and effectiveness. Hence, it has key implications for academics and practitioners.
PurposeThe study is aimed at developing and testing a theoretical model where psychological capital acts as the intervening mechanism explicating the relationship between perceived overqualification (POQ) and turnover intention. It also explores how perceived supervisor support (PSS) influences the mediating role of psychological capital in the perceived overqualification and turnover intention association.Design/methodology/approachThe authors test the model through a sample data of 314 workers employed in the Indian IT service sector. IBM SPSS and SPSS AMOS software were utilized for conducting analysis and testing the model involving first-stage moderated mediation.FindingsThe study confirms that perceptions of overqualification have a positive relationship with turnover intentions. Further, it finds that the positive association between POQ and turnover intention will be mediated by psychological capital. The results reflected that perceived supervisor support shall weaken the relationship between perceptions of overqualification and psychological capital.Originality/valueThe research is amongst the limited researches which look at the influence of psychological capital and perceived supervisor support with regards to POQ. It attempts to lay down the underlying psychological mechanism of POQ and highlight the role played by perceived supervisor support.
PurposeThis research develops and tests a model for organizational identification (OID) in a sample of knowledge workers in India. It calls attention to the relational antecedents of OID that are often overlooked in existing literature. Strong theoretical arguments are also built for context-specific outcome behaviors such as intrinsic motivation (IM) and innovative work behavior (IWB) that are relevant to knowledge work.Design/methodology/approachData were collected from 357 IT industry employees in India. Partial least squares structural equation modeling (PLS-SEM) was used to test the hypotheses and the path model.FindingsStrong support was found for relational antecedents of OID and the outcome variable IWB. The findings indicated that OID impacts IWB through the mediating mechanism of IM. Overall, the model demonstrated strong predictive power.Practical implicationsThe findings suggest that social and relational variables could be strong managerial levers to increase the feeling of belongingness experienced by knowledge workers in India. In turn, OID can impact IWB, which is a significant outcome for knowledge work.Originality/valueThe study finds strong support for hypothesized relationships that have been unexplored or underexplored in mainstream OID literature. Relational antecedents were found to be strong predictors of OID in this sample. Also, the relationship between OID and IWB, an outcome behavior that is specifically relevant to knowledge-driven businesses, has not been explored earlier.
PurposePerformance management systems (PMSs) are critical for organizational success, but research is undecided on their constructive influence and the means through which they impact work engagement and turnover intention. This study aims to fill this gap by surmising psychological contract fulfillment as a mediator in the relationship between PMS effectiveness (PMSE) and employee outcomes.Design/methodology/approachThe study uses a survey research design. Data were collected from 327 working professionals in India. The Statistical Package for Social Science Version 10.0 (SPSS 10.0) and the Analysis of Moments Structure (AMOS) 4.0 were used for data analyses.FindingsThe two-factor construct perceived PMSE was found to explain a larger variance in work engagement and turnover intention than the separate measures for its constituents PMS accuracy (PMSA) and PMS fairness (PMSF). Psychological contract fulfillment and work engagement were found to mediate the relationship between PMSE and turnover intention.Research limitations/implicationsThe study broadens the field of research on PMS in important ways. It demonstrates that the two-factor construct PMSE has a larger influence on employee outcomes in comparison to its constituent individual measures PMSA and PMSF. This is also the first study to suggest that in contrast to PMSF, PMSA explains a higher variance in employee outcomes.Practical implicationsThis study validates the strong relationship between PMSE and key employee outcomes. Besides PMSF, managers can use the findings of this study to focus on the “right things” or accuracy in the PMS context to enhance work engagement and reduce turnover.Social implicationsThe study findings will have value everywhere owing to the diffusion and convergence in the human resource management practices of multinational firms irrespective of their contexts (Ananthram and Nankervis, 2013).Originality/valueEarlier PMS studies have mostly been limited to either its fairness or accuracy and attended unduly to its appraisal element. This study adopts a systems vision of PMS and overcomes earlier drawbacks by investigating the role of both PMSA and PMSF in shaping employee outcomes. This is the first study to empirically confirm that in contrast to PMSF, the PMSA constituent of PMSE explains a higher variance in employee outcomes. The study provides greatly essential pragmatic support to the conjecture that PMSs advance work engagement (Mone and London, 2014; Gruman and Saks, 2011) and lower turnover intention (Kwak and Choi, 2015).
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