A “Human Growth” Perspective on Organizational Resources and Firm Performance
AbstractWe define immaterial satisfaction as the degree of wellbeing that workers derive from creativity, autonomy, and personal growth, overall self-fulfillment. These are dimensions of satisfaction that we relate, from American pragmatism, to the use of creative intelligence. The paper deals with the mediating role of immaterial satisfaction between organizational processes (defined by teamwork, on-the-job autonomy and involvement) and organizational performance (defined in terms of improvements in product quality and innovation). We address this relationship in the Italian social service sector. To this end, we implement a structural equation model including both observed and latent variables using a survey dataset that concerns 4134 workers and 320 not-for-profit social cooperatives. The analysis of direct, indirect and total effects in the structural model shows that autonomous innovation positively influences performance. It also shows that impact immaterial satisfaction adds to the impact of worker involvement in making involvement bear positively on performance, while it also reduces the negative impact of task-autonomy. Common method bias is controlled for by resorting to post-hoc testing and by introducing three distal sources of subjective data from directors, managers and paid workers
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Bibliographic InfoPaper provided by Department of Economics, University of Trento, Italia in its series Department of Economics Working Papers with number 1209.
Date of creation: 2012
Date of revision:
Dewey; satisfaction; creativity; autonomy; involvement; firm performance;
Find related papers by JEL classification:
- J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
- J81 - Labor and Demographic Economics - - Labor Standards - - - Working Conditions
- L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
- L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
- L84 - Industrial Organization - - Industry Studies: Services - - - Personal, Professional, and Business Services
- M54 - Business Administration and Business Economics; Marketing; Accounting - - Personnel Economics - - - Labor Management
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-11-03 (All new papers)
- NEP-CSE-2012-11-03 (Economics of Strategic Management)
- NEP-HRM-2012-11-03 (Human Capital & Human Resource Management)
- NEP-LMA-2012-11-03 (Labor Markets - Supply, Demand, & Wages)
- NEP-SBM-2012-11-03 (Small Business Management)
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