National Culture, Employee’s Engagement and Employee’s CSR Perceptions in Technology Based Firms of Pakistan

Abstract

This research analyses the importance of recognizing cultural factors in order to shape CSR Perceptions of employees to derive higher levels of employee's engagement. Hofstede's five cultural dimensions were explored in Pakistani context through a thorough review of the literature on the relationship between national culture, CSR Perceptions and employee's engagement, which were then contextually presented in the form of a hypothesized model. Primary data collection was done by administering questionnaires to 192 employees from technological industry of Pakistan. Partial least squares structural equation modeling (PLS-SEM) using latest ADANCO Software was employed to statistically validate the relationship between the variables. This paper provides conceptual contribution by focusing on the identification of the most significant and relevant cultural dimensions affecting employee's CSR Perceptions and engagement in the context of Pakistan and countries with similar cultural context. Findings of this paper indicate that understanding cultural context of a particular country is crucial for enhancing the perceptions of employees regarding the CSR initiatives being practiced by the organization. This generates employees who are more engaged and productive in their work; hence, it turns advantageous for the employer and employee alike. These findings provide guidelines for the practitioners and managers so that they can capitalize their efforts in a more efficient way by making employees aware of the CSR activities taking forward by them according to the cultural orientations of workforce and reap the desired benefits out of it.

Influence of National Culture in Companies with Different Ownership on Employees’ CSR Perception in a Developing Country: The Case of Serbia

“…Oppositely, in research conducted in Italy and Morocco [9], as well as in multinational research involving 16 countries [12], a negative relation of uncertainty avoidance and environmentrelated CSR and composite CSR index, respectively, were reported. Similar is the situation in the case of power distance for which both positive [13,44] and negative [9,12] relations with CSR were reported.…”

“…There are different definitions of national culture but generally, the term 'national culture' represents ethical codes by which societies regulate behavior. Habits, values, traditions, beliefs, and norms representing certain national cultures are inherited by an individual and affect their responses and reactions to different situations and how they carry out tasks and duties at the workplace [13].…”

“…Power distance deals with the problem of human inequality [13]. It is the measurement of the expectations regarding power distribution.…”

“…Individualism/collectivism indicates to what extent are individual rights and opportunities valued versus group success and an individual's loyalty to the group and it refers to the tendency of society to associate and integrate into groups [13]. In collectivistic societies, individuals prioritize a group's goals and success over their interests [23].…”

“…Uncertainty avoidance is defined as the extent of reliance on social norms, rules, and procedures in order to decrease the unpredictability of future events [23] and to which uncertain or unknown situations can be tolerated [12]. High uncertainty avoidance points out a high need for security provided through formalization with rigid rules and procedures, while in societies with low uncertainty, avoidance changes are acceptable and freedom is highly valued and thus the level of formalization is low [13].…”