IDEAS home Printed from https://ideas.repec.org/a/sae/vision/v25y2021i2p168-179.html
   My bibliography  Save this article

Employee Job Satisfaction and Business Performance: The Mediating Role of Organizational Commitment

Author

Listed:
  • Mir Rouf Ahmad
  • Rameez Raja

Abstract

Purpose: The aim of this research article is to scrutinize the influence of employee job satisfaction on organizational commitment and business performance in the context of retail banking sector in northern India. Design/methodology/approach: A research design of quantitative in nature was used via a structured questionnaire on a sample of 440 Indian commercial bank employees. Research hypotheses were tested by using the structural equation modelling (SEM) technique to evaluate and test the proposed model. Findings: The result of the present study confirms that all facets of job satisfaction affect the satisfaction of employees significantly and, thus, influence the employee’s organizational commitment and business performance, respectively. The significance of the indirect path of employee job satisfaction on business performance through organizational commitment has also been tested with the Sobel test, which exhibited significant results. Research implications: This study provides insight into the influence of employee job satisfaction on the organizational commitment and business performance in the Indian commercial banking context in particular, which could benefit management and policymakers as well as other enterprises operating in the same segment. The results suggest that employee job satisfaction strongly contributes to employees’ organizational commitment and business performance. Therefore, organizations require that their employees must be contented and pleased with what they do. Originality/value: This research study contributes one more brick to the existing body of knowledge by investigating the casual relation of employee job satisfaction, and organizational commitment as a mediator with business performance, as these causal relations with business performance are very scarce in the context of commercial banking context. Research limitations: This research survey was restricted to commercial banks operating only in northern India. Thus, it limits the generalizability of the results for the context specified only.

Suggested Citation

  • Mir Rouf Ahmad & Rameez Raja, 2021. "Employee Job Satisfaction and Business Performance: The Mediating Role of Organizational Commitment," Vision, , vol. 25(2), pages 168-179, June.
    • Handle: RePEc:sae:vision:v:25:y:2021:i:2:p:168-179
    DOI: 10.1177/0972262920985949
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/0972262920985949
    Download Restriction: no
    File URL: https://libkey.io/10.1177/0972262920985949?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Gregory G. Dess & Richard B. Robinson, 1984. "Measuring organizational performance in the absence of objective measures: The case of the privately‐held firm and conglomerate business unit," Strategic Management Journal, Wiley Blackwell, vol. 5(3), pages 265-273, July.
    2. Rajagopal, 2014. "The Human Factors," Palgrave Macmillan Books, in: Architecting Enterprise, chapter 9, pages 225-249, Palgrave Macmillan.
    3. Comer, James M. & Machleit, Karen A. & Lagace, Rosemary R., 1989. "Psychometric assessment of a reduced version of INDSALES," Journal of Business Research, Elsevier, vol. 18(4), pages 291-302, June.
    4. Bernhardt, Kenneth L. & Donthu, Naveen & Kennett, Pamela A., 2000. "A Longitudinal Analysis of Satisfaction and Profitability," Journal of Business Research, Elsevier, vol. 47(2), pages 161-171, February.
    5. Jangwoo Lee & Danny Miller, 1999. "People matter: commitment to employees, strategy and performance in Korean firms," Strategic Management Journal, Wiley Blackwell, vol. 20(6), pages 579-593, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Shengjie Cao & Pengjie Xu & Sikandar Ali Qalati & Ke Wu, 2024. "Impact of Employee Environmental Concerns on Sustainable Practices: Investigating Organizational Commitment and Job Satisfaction," Sustainability, MDPI, vol. 16(13), pages 1-17, July.
    2. Danica Bakotić & Ivana Bulog, 2021. "Organizational Justice and Leadership Behavior Orientation as Predictors of Employees Job Satisfaction: Evidence from Croatia," Sustainability, MDPI, vol. 13(19), pages 1-16, September.
    3. Sung Tae Kim & Hong-Hee Lee & Seongbae Lim, 2021. "The Effects of Green SCM Implementation on Business Performance in SMEs: A Longitudinal Study in Electronics Industry," Sustainability, MDPI, vol. 13(21), pages 1-23, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lance Eliot Brouthers & Edward O’Donnell & Dawn L. Keig, 2013. "Isomorphic Pressures, Peripheral Product Attributes and Emerging Market Firm Export Performance," Management International Review, Springer, vol. 53(5), pages 687-710, October.
    2. Bystrova, Y. & Shirokova, G., 2015. "Organizational changes and firm performance: Evidence from Russian new ventures," Working Papers 6417, Graduate School of Management, St. Petersburg State University.
    3. Progress Choongo, 2017. "A Longitudinal Study of the Impact of Corporate Social Responsibility on Firm Performance in SMEs in Zambia," Sustainability, MDPI, vol. 9(8), pages 1-19, July.
    4. Youngok Kim & Sidney J. Gray, 2008. "The impact of entry mode choice on foreign affiliate performance: The case of foreign MNEs in South Korea," Management International Review, Springer, vol. 48(2), pages 165-188, April.
    5. Laurent Scaringella & Anna Górska & Dennis Calderon & Jose Benitez, 2022. "Should we teach in hybrid mode or fully online? A theory and empirical investigation on the service–profit chain in MBAs," Post-Print hal-03519796, HAL.
    6. Rahman, Shaikh Moksadur, 2020. "Relationship between Job Satisfaction and Turnover Intention: Evidence from Bangladesh," Asian Business Review, Asian Business Consortium, vol. 10(2), pages 99-108.
    7. Anna Stankiewicz-Mróz, 2019. "Influence of Interlocking Directorates on Integration after the Acquisition of Warsaw Stock Exchange—Listed Companies," Sustainability, MDPI, vol. 11(24), pages 1-22, December.
    8. Panagiotis Trivellas & Georgios Malindretos & Panagiotis Reklitis, 2020. "Implications of Green Logistics Management on Sustainable Business and Supply Chain Performance: Evidence from a Survey in the Greek Agri-Food Sector," Sustainability, MDPI, vol. 12(24), pages 1-29, December.
    9. Olunifesi Adekunle Suraj, 2016. "Managing Telecommunications for Development: An Analysis of Intellectual Capital in Nigerian Telecommunication Industry," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 15(01), pages 1-30, March.
    10. Van Wijk, Raymond & Nadolska, Anna, 2020. "Making more of alliance portfolios: The role of alliance portfolio coordination," European Management Journal, Elsevier, vol. 38(3), pages 388-399.
    11. James J. Chrisman & John Leslie, 1989. "Strategic, Administrative, and Operating Problems: The Impact of Outsiders on Small Firm Performance," Entrepreneurship Theory and Practice, , vol. 13(3), pages 37-52, April.
    12. Naveena Prakasam & Louisa Huxtable-Thomas, 2021. "Reddit: Affordances as an Enabler for Shifting Loyalties," Information Systems Frontiers, Springer, vol. 23(3), pages 723-751, June.
    13. Valeriy Makarov & Albert Bakhtizin, 2014. "The Estimation Of The Regions’ Efficiency Of The Russian Federation Including The Intellectual Capital, The Characteristics Of Readiness For Innovation, Level Of Well-Being, And Quality Of Life," Economy of region, Centre for Economic Security, Institute of Economics of Ural Branch of Russian Academy of Sciences, vol. 1(4), pages 9-30.
    14. Thakor, Mrugank V. & Joshi, Ashwin W., 2005. "Motivating salesperson customer orientation: insights from the job characteristics model," Journal of Business Research, Elsevier, vol. 58(5), pages 584-592, May.
    15. Kristine Edgar Danielyan & Samvel Grigoriy Chailyan, 2019. "Delineation of Effectors Impact on The Human Brain Derived Phosphoribosylpyrophosphate Synthetase-1 Activity," Biomedical Journal of Scientific & Technical Research, Biomedical Research Network+, LLC, vol. 24(1), pages 17918-17926, December.
    16. Chuan Wang & Yupeng Liu & Wen Hou & Chao Yu & Guorong Wang & Yuyan Zheng, 2021. "Reliability and availability modeling of Subsea Autonomous High Integrity Pressure Protection System with partial stroke test by Dynamic Bayesian," Journal of Risk and Reliability, , vol. 235(2), pages 268-281, April.
    17. Schneider, Christian O. & Bremen, Philipp & Schönsleben, Paul & Alard, Robert, 2013. "Transaction cost economics in global sourcing: Assessing regional differences and implications for performance," International Journal of Production Economics, Elsevier, vol. 141(1), pages 243-254.
    18. Sana Sadiq & Khadija Anasse & Najib Slimani, 2022. "The impact of mobile phones on high school students: connecting the research dots," Technium Social Sciences Journal, Technium Science, vol. 30(1), pages 252-270, April.
    19. Jascha-Alexander Koch & Michael Siering, 2019. "The recipe of successful crowdfunding campaigns," Electronic Markets, Springer;IIM University of St. Gallen, vol. 29(4), pages 661-679, December.
    20. Martins, José & Costa, Catarina & Oliveira, Tiago & Gonçalves, Ramiro & Branco, Frederico, 2019. "How smartphone advertising influences consumers' purchase intention," Journal of Business Research, Elsevier, vol. 94(C), pages 378-387.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:vision:v:25:y:2021:i:2:p:168-179. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.