Person-Organization Relationship

Organizational Commitment
________________________________________________

Definition and importance to OB

OC three components/dimensions: definition and measures
Antecedents and consequences
Group assignment #6: Gen Z and OC
 Organizational Commitment (OC)
Definition
Organizational Commitment: a well-established work-related psychological
construct that has long been considered one of the core barometers of the
individual_organization relationship

“Psychological bond that characterizes the individuals’ relationship towards

their employing organization, and has implications in the decision of
remaining there” (Meyer & Allen, 1991, Allen & Meyer, 1996)

How much do employees want to stay?

And why?

Why does it matter to (HR) managers?

 It’s important because OC...

Shows the dedication to a particular organization and the

willingness to get involved
People who are committed to an organization tend to show up
and stick with it
The more employees are committed to the organization, the
greater the opportunity to get things (well) done

The effects of OC on other attitudes and behaviors…

 According to extant research
OC influences...
§ Exit behaviors (turnover; turnover intentions)
§ Absenteeism
§ Punctuality
§ Extra-role behaviors
§ Creativity
§ Innovation
§ …
 Turnover
Direct costs:
- Recruitment of new applicants
- Time lost selecting applicants
- Training/mentoring costs
- Lower productivity of new hires

Indirect costs:
- Bad image/reputation in community
- Another firm gets a well-trained employee
- Poor morale (loss of friend, mentor)
- Stress to other
- Turnover is contagious
 What makes someone want to stay in the
current organization?

- Affective reasons (for some scholars, the real

commitment): emotion-based reasons
- Instrumental reasons: cost-based reasons
- Normative reasons: obligation-based reasons
 Commitment Models
Unidimensional

Mowday, Steers & Porter (1979) model measures:

- The belief and acceptance of the organization’s values and goals

- Willingness to exert considerable effort on behalf of the

organization

- Desire to remain a member of the organization

Attitudinal (affective) commitment

 Commitment Models
Multidimensional
Meyer & Allen (1991) tridimensional model measures:

DIMENSION DESCRIPTION PSYCHOLOGICAL STATE

Emotional attachment, identification The individual stays at the
AFFECTIVE and involvement towards the organization because
organization he/she WANTS

Exit costs (perceived lack of The individual stays at the

CONTINUANCE /
employment alternatives and personal organization because
INSTRUMENTAL
sacrifice resulting from exiting) he/she NEEDS

The individual stays at the

Sense of obligation, belief in owing organization because feels morally
NORMATIVE
loyalty to the organization obligated
he/she MUST or OUGHT TO

Dimensions are not mutually exclusive

 Original Commitment Scale Items (Allen
and Meyer, 1990)

Affective Commitment Scale Items

1. I would be very happy to spend the rest of my career with this organization.
2. I enjoy discussing about my organization with people outside it.
3. I really feel as if this organization’s problems are my own.
4. I think that I could easily become as attached to another organization as I am to
this one.(R)
5. I do not feel like ‘part of the family’ at my organization.(R)
6. I do not feel ‘emotionally attached’ to this organization.(R)
7. This organization has a great deal of personal meaning for me.
8. I do not feel a ‘strong’ sense of belonging to my organization.(R)
 Emotion-based reasons

- Some of my best friends work here; I’d miss them if I left

- I really enjoy the atmosphere here (it’s informal, relaxed,
creative, etc.)
- My current job responsibilities and duties are rewarding
- I really like coming to work every morning
- …
 Employees who are affectively committed...

…typically identify with the organizational goals

…feel that they fit into the organization
…are satisfied with their work
…feel valued
…act as ambassadors for their organization
…and are generally great assets for organizations (add value)
 Original Commitment Scale Items (Allen
and Meyer, 1990)
Continuance Commitment Scale Items
1. I am not afraid of what might happen if I quit my job without having another one
lined up.(R)
2. It would be very hard for me to leave my organization right now, even if I wanted to.
3. Too much in my life would be disrupted if I decided to leave my organization now.
4. It wouldn’t be too costly for me to leave my organization now.(R)
5. Right now, staying with my organization is a matter of necessity as much as desire.
6. I feel that I have very few options to consider leaving this organization.
7. One of the few serious consequences of leaving this organization would be the
scarcity of available alternatives.
8. One of the major reasons I continue to work for this organization is that leaving
would require considerable personal sacrifice—another organization may not match
the overall benefits I have here.
 Cost-based reasons
- I was promised a promotion soon; I’m not sure I’ll advance
quickly at the new company
- My rewards (salary, benefits, bonuses) get us a nice place
to live in our town; the cost of living is much higher in the
new company’s location
- The school system is very good here, my partner has a
good job here
- We’ve “put down roots” over the years
- ...
 Employees who are instrumentally
committed…
…the underlying reason for their commitment lies in their need to stay
with the organization

…the main reasons for staying relate to

§ a lack of work alternatives (e.g. the job market does not look
promising, the economy is down)
§ and the belief that the salary and fringe benefits, as well as
prestige and status won’t improve if they move to another
organization (cost of leaving)
 Original Commitment Scale Items (Allen
and Meyer, 1990)
Normative Commitment Scale Items
1. I think that people these days move from company to company too often.
2. I do not believe that a person must always be loyal to his or her organization.(R)
3. Jumping from organization to organization does not seem at all unethical to me.(R)
4. One of the major reasons I continue to work in this organization is that I believe loyalty
is important and therefore feel a sense of moral obligation to remain.
5. If I got another offer for a better job elsewhere I would not feel it was right to leave my
organization.
6. I was taught to believe in the value of remaining loyal to one organization.
7. Things were better in the days when people stayed in one organization for most of
their careers.
8. I do not think that to be a ‘company man’ or ‘company woman’ is sensible
anymore.(R)
 Obligation-based reasons

- This organization gave me my start; it gave me the

opportunity to develop my skills and competences over the
last years (when other thought I was not qualified for the
job)
- My supervisor/leader has invested so much time in me,
mentoring me, training me
- My organization/boss gave me support and helped me
overcoming difficult times. How could I leave them?
- …
 Employees who are normatively committed…

…believe that staying with the organization is the right thing

to do
...feel a sense of moral obligation to stay and a sense of
guilt about the possibility of leaving
 OC Antecedents
and Consequences

???
 OC as (in)dependent variable
organizational
commitment
BEFORE AFTER
cause OC effect

§ job satisfaction
§ positive affectivity • Turnover
§ perceived justice • Absenteeism
§ organizational support • Performance
§ supervisor support • Extra-role behaviors
§ challenging job, role clarity, • …
autonomy and feedback
§ ...
 OC is affected by…

INDEPENDENT VARIABLE COMMITMENT DIMENSION

Job Satisfaction
AC; NC

Positive affectivity AC; NC

CC
Justice perception, org. support,
AC
supervisor support

Challenging job, role clarity, autonomy,

AC
feedback
 OC affects…

COMMITMENT DEPENDENT
DIMENSION VARIABLE

AC; CC; NC Exit behaviors

AC Voluntary absenteeism

AC; NC
Performance
CC

AC; NC
Extra-role behaviors
CC
Under- and over-commitment (Lowman, 1993)
Characteristics
Under-commitment Over-commitment

Fear of failure Overly loyal employees

Chronic and persistent procrastination Job and occupational burnout
Negative cultural and personality Obsessive-compulsive patterns at
factors work
Chronic and persistent Neurotic compulsion to succeed
underachievement
 Group assignment #6: Organizational
commitment and Generation Z
Group assignment #6: Organizational commitment and Gen Z
As demonstrated in this session, understanding why employees stay or leave is
essential to any organization's success. Read the BBC article posted in
Blackboard and answer the questions (upload the report as usual):
1. How would you describe Gen Z in terms of the three commitment
dimensions?
2. Define a set of HRM practices aimed at improving AC of Gen Z employees.