Contributions of Different Organization Politics Perceptions
Study on Interaction among Perception of Organization Politics, Performance, and Trust on the Role of Compensation
DOI:
https://doi.org/10.21632/Keywords:
Perception of organizational politics, trust, CommitmentAbstract
In order to create a sustainable competitive advantage, companies This paper investigates the contribution of perception of organization politics (PoP) for teacher’s trust building and relation to teacher’s performance. This study was attempted to discern the important features of different perceptions of politics at work environment, on teacher’s trust and performance relationship. We proposed three hypotheses. First hypothesis is teacher’s perception of organizational politics will have negative relationship with teacher’s trust, second is teacher’s trust will have positive relationship with teacher’s performance. The 3rd hypothesis was Trust will act as mediation on teacher’s perception of organization politics and performance relationship. The result of this study showed that both first and second hypotheses were accepted. The teacher’s perception of organizational politics showed negative relationship to trust significantly (r=-0.30, p<.01) and in case of this study, teacher’s trust showed positive relationship to performance significantly (r=0.18, p.<.05). In the case on mediation, trust was fully mediated the relationship between PoP and performance ( =-.222**; ’=-.184), and also trust showed moderated the relationship between PoP and performance. Implication of the findings for organizations and suggestions for future research are discussed.
References
Adams, J. S., 1963. "Toward an understanding of inequity." Journal of Abnormal and Social Psychology, 67, pp. 422-436.
Alper Ertürk, 2007. "Increasing organizational citizenship behaviors of Turkish academicians; Mediating role of trust in supervisor on the relationship between organizational justice and citizenship behaviors." Journal of Managerial Psychology, Bradford, Vol. 22, Iss. 3, pp. 257.
Anderson, E. & Weitz, B., 1989. "Determinants of continuity in conventional industrial channel dyads." Marketing Science, Vol. 8, No. 4, Fall, pp. 310-323.
Andrew C. Smith & Jason C. Laurent, 2008. "Allocating value among different classes of equity." Journal of Accountancy, New York, Mar 2008, Vol. 205, Iss. 3, pp. 50, 7 pgs.
Arie Shirom, Mina Westman & Samuel Melamed, 1999. "The effects of pay systems on blue-collar employees' emotional distress: The mediating effects of objective and subjective work monotony." Human Relations, Vol. 52, Iss. 8, pp. 1077, 21 pgs.
Arrow, K. J., 1974. The Limits of Organization. W.W. Norton & Company, Inc., New York, NY.
Bertil, 2007. "Customer segmentation: The concepts of trust, commitment, and relationships." Journal of Targeting, Measurement and Analysis for Marketing, London, Sep 2007, Vol. 15, Iss. 4, pp. 256, 14 pgs.
Birnbaum, D. & Somers, M. J., 1998. "Work-related commitment and job performance: It’s also the nature of the performance that counts." Journal of Organizational Behavior, 19, pp. 621-634.
Bruce J. McNeil, 2006. "Equity-based compensation: A roadmap for compliance with Sarbanes-Oxley and Internal Revenue Code Section 409A." Journal of Deferred Compensation, New York, Spring 2006, Vol. 11, Iss. 3, pp. 54, 32 pgs.
Campbell, J. P., 1990. "Modeling the prediction problem in industrial and organizational psychology." In M.D. Dunnette & L.M. Hough (Eds.), Handbook of Industrial and Organizational Psychology, 2nd Ed., pp. 687-732, Palo Alto, CA: Consulting Psychology Press.
Caplan, R. D., Job, S., French, J. R. P., Harrison, R. V., & Pinneau, S. R., 1975. Job Demand and Worker Health: Main Effect and Occupational Differences. Washington DC, US, Department of Health, Education and Welfare.
Dan S. Chiaburu & Sophia V. Marinova, 2005. "Employee role enlargement: Interactions of trust and organizational fairness." Leadership & Organization Development Journal, Vol. 27 No. 3, 2006, pp. 168-182.
David Bruner, Michael McKee & Rudy Santore, 2008. "Hand in the Cookie Jar: An Experimental Investigation of Equity-Based Compensation and Managerial Fraud." Southern Economic Journal, Stillwater, Jul 2008, Vol. 75, Iss. 1, pp. 261, 18 pgs.
De Boer, E. M., Bakker, A. B., Syroit, J. E., & Schaufeli, W. B., 2002. "Unfairness at work as a predictor of absenteeism." Journal of Organizational Behavior, 23, pp. 181-197.
Deutsch, M., 1960. "The effect of motivational orientation upon trust and suspicion." Human Relations, 13, pp. 123-139.
Drummond, H., 2000. Introduction to Organizational Behaviour. New York: Oxford University Press.
Dyer, J. H. & Chu, W., 2003. "The role of trustworthiness in reducing transaction costs and improving performance: Empirical evidence from the United States, Japan, and Korea." Organization Science, 14, pp. 57–68.
Eric W.T. Ngai, Vincent C.S. Heung, Y.H. Wong & Fanny K.Y. Chan, 2007. "Consumer complaint behavior of Asians and non-Asians about hotel services: An empirical analysis." European Journal of Marketing, Vol. 41, Iss. 11/12, pp. 1375.
Folger, R., & Cropanzano, R., 1998. Organizational Justice and Human Resource Management. Thousand Oaks, CA: Sage.
Folger, R., & Greenberg, J., 1985. "Procedure justice: An interpretative analysis of personnel systems." Research in Personnel and Human Resource Management, 3, pp. 141-183.
Ganesan, S., 1994. "Determinants of long-term orientation in buyer-seller relationships." Journal of Marketing, 60, pp. 1-9.
Ganesan, S., 1994. "Determinants of long-term orientation in buyer-seller relationships." Journal of Marketing, Vol. 58, pp. 1-19.
Greenberg, J., 1986. "Determinants of perceived fairness of performance evaluation." Journal of Applied Psychology, 71(2), pp. 340-342.
Hunt, S. D., Chonko, L. B., & Wood, V. R., 1985. "Organizational commitment and marketing." Journal of Marketing, 49, pp. 112-126.
Huseman, R. C., Hatfield, J. D., & Miles, E. W., 1987. "A new perspective on equity theory: The equity sensitivity construct." The Academy of Management Review, Briarcliff Manor, Apr 1987, Vol. 12, Iss. 2, pp. 222, 13 pgs.
Ingram, T. N., Lee, K. S. & Skinner, J., 1989. "An assessment of sales person motivation, commitment and job outcomes." Journal of Personal Selling and Sales Management, 9, pp. 25-33.
Jin Feng Uen & Shu Hwa Chien, 2004. "Compensation structure, perceived equity and individual performance of R&D professionals." Journal of American Academy of Business, Cambridge, Hollywood, Vol. 4, Iss. 1/2, pp. 401.
Kanter, R. M., 1987. "The attack on pay." Harvard Business Review, 2, pp. 60-67.
Katz, D. & Kahn, R. L., 1978. The Social Psychology of Organizations. N.Y.: Wiley.
Kerr, S., 1999. "Practical, cost-neutral alternatives that you may know, but don’t practice." Organizational Dynamics, 28(1), pp. 61-70.
Konopaske, R. & Werner, S., 2002. "Equity in non-North American contexts: Adapting equity theory to the new global business environment." Human Resource Management Review, 12(3), pp. 405-418.
Ladebo, Olugbenga Jelil, 2006. "Perceptions of organizational politics: Examination of a situational antecedent and consequences among Nigerians." International Association for Applied Psychology, 55(2), pp. 255–281.
Lado, A. & Wilson, M. C., 1994. "Human Resource Systems and Sustained Competitive Advantage: A Competency-Based Perspective." The Academy of Management Review.
Lawler, E. E., 1995. "The new pay: A strategic approach." Compensation & Benefit Review, 27, pp. 14-22.
Lawler, E. E., & Ledford, G. E., 1985. "Skill-based pay: A concept that's catching on." Personnel, 62, pp. 30-37.
Lawler, E. E. III, 1990. Strategic Pay. San Francisco: Jossey-Bass.
Lee, T. W. & Mowday, R. T., 1989. "Voluntary leaving an organization: An empirical investigation of Steers and Mowday’s Model of Turnover." Academy of Management Journal, 30, pp. 721-743.
Mathieu, J. & Zajac, D., 1990. "A review and meta-analysis of the antecedents, correlates and consequences of organizational commitment." Psychology Bulletin, 108, pp. 171-194.
Mead, M., 1937. Cooperation and Competition Among Primitive People. New York: McGraw-Hill.
Meyer, J., Paunonen, S., Gellatly, I., Goffin, R. & Jackson, D., 1989. "Organizational commitment and job performance: It’s the nature of commitment that counts." Journal of Applied Psychology, 74, pp. 152-156.
Milkovich, G. T., 1987. "Compensation Systems in High Technology Companies." In D.B. Balkin & L.R. Gomez-Mejia (Eds.), New Perspectives on Compensation, Englewood Cliffs, NJ: Prentice-Hall.
Milkovich, G. T. & Newman, J. M., 1999. Compensation, 6th Ed. McGraw-Hill.
Motowildo, S. J. & Van Scotter, J. R., 1994. "Evidence that task performance should be distinguished from contextual performance." Journal of Applied Psychology, 79, pp. 475-480.
Newman, J. M., 1989. "Compensation program for special employee group." Compensation and Benefit Review, 3, pp. 182-215.
Organ, D. W., 1988. Organizational Citizenship Behavior: The Good Soldier Syndrome. Lexington, MA: Lexington Books.
Peter Boxall, 1998. "Achieving Competitive Advantage Through Human Resource Strategy: Towards a Theory of Industry Dynamics." Human Resource Management Review, 8(3), pp. 265-288.
Pfeffer, J., 1995. "Producing sustainable competitive advantage through the effective management of people." Academy of Management Executive, 9, pp. 55-69.
Pfeffer, J. & Langton, N., 1993. "The effects of wage dispersion on satisfaction, productivity, and working collaboratively: Evidence from college and university faculty." Administration Science Quarterly, 38(3), pp. 382-401.
Porter, L. W. & Lawler, E. E., 1968. Managerial Attitudes and Performance. Homewood, Illinois: Irwin.
Richard S. Allen & Charles S. White, 2002. "Equity Sensitivity Theory: A Test of Responses to Two Types of Under-reward Situations." Journal of Managerial Issues, Pittsburgh, Winter 2002, Vol. 14, Iss. 4, pp. 435, 17 pgs.
Sager, J.K. & Johnston, M.W., 1989. "Antecedents and outcomes of organizational commitment: A study of salespeople." Journal of Personal Selling and Sales Management, 9, pp. 30-41.
Samuel Aryee, Pawan S. Budhwar & Zhen Xiong Chen, 2002. "Trust as a mediator of the relationship between organizational justice and work outcomes: Test of a social exchange model." Journal of Organizational Behavior, 23, Iss. 3, pp. 267.
Sockley-Zalaback, P., Ellis, K. & Winograd, G., 2000. "Organizational trust: What it means. Why it matters." Organization Development Journal, Vol. 18, pp. 35-48.
Staikovic, A. D. & Luthans, F., 2001. "Differential effects of incentive motivators on work performance." Academy of Management Journal, 44(3), pp. 580-590.
Ward, E.A. & Davis, E., 1995. "The effect of benefit satisfaction on organizational commitment." Compensation and Benefits Management, 11(3), pp. 35-40.
Weiner, N.J., 1991. "Job evaluation systems: A critique." Human Resource Management Review, 34, pp. 86-109.
Williamson, O.E., 1979. "Transaction-cost economics: The governance of contractual relations." Journal of Law and Economics, 22, pp. 233-260.
Williamson, O.R., 1975. Markets and Hierarchies: Analysis and Antitrust Implications. The Free Press, New York, NY.
Zaheer, A., McEvily, B. & Perrone, V., 1998. "Does trust matter? Exploring the effects of interorganizational and interpersonal trust on performance." Organization Science, 9, pp. 141–159.
Downloads
Submitted
Published
How to Cite
Issue
Section
License
Copyright (c) 2009 Setyabudi Indartono
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Journal Author(s) Rights
For IRJBS to publish and disseminate research articles, we need publishing rights (transferred from the author(s) to the publisher). This is determined by a publishing agreement between the Author(s) and IRJBS. This agreement deals with the transfer or license of the copyright of publishing to IRJBS, while Authors still retain significant rights to use and share their own published articles. IRJBS supports the need for authors to share, disseminate and maximize the impact of their research and these rights, in any databases.
As a journal Author, you have rights to many uses of your article, including use by your employing institute or company. These Author rights can be exercised without the need to obtain specific permission. Authors publishing in IRJBS journals have comprehensive rights to use their works for teaching and scholarly purposes without needing to seek permission, including:
- use for classroom teaching by Author or Author's institution and presentation at a meeting or conference and distributing copies to attendees;
- use for internal training by the author's company;
- distribution to colleagues for their research use;
- use in a subsequent compilation of the author's works;
- inclusion in a thesis or dissertation;
- reuse of portions or extracts from the article in other works (with full acknowledgment of the final article);
- preparation of derivative works (other than commercial purposes) (with full acknowledgment of the final article);
- voluntary posting on open websites operated by the author or the author’s institution for scholarly purposes,
(But it should follow the open access license of Creative Common CC-by-SA License).
Authors/Readers/Third Parties can copy and redistribute the material in any medium or format, as well as remix, transform, and build upon the material for any purpose, even commercially. Still, they must give appropriate credit (the name of the creator and attribution parties (authors' detail information), a copyright notice, an open access license notice, a disclaimer notice, and a link to the material), provide a link to the license, and indicate if changes were made (Publisher indicates the modification of the material (if any) and retain an indication of previous modifications.
Authors/Readers/Third Parties can read, print and download, redistribute or republish the article (e.g. display in a repository), translate the article, download for text and data mining purposes, reuse portions or extracts from the article in other works, sell or re-use for commercial purposes, remix, transform, or build upon the material, they must distribute their contributions under the same license as the original Creative Commons Attribution-ShareAlike (CC BY-SA).
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
