Enhancing Organizational Performance: An Investigation of the Impact of Employees’ Commitment

A. Sufian, C.C. Lee

Abstract


The purpose of this study is to investigate the impact of employee commitment on organizational performance in a paper manufacturing industry in Melaka, Malaysia.  Three components of employee commitments (Affective Commitment, Normative Commitment and Continuance Commitment) were identified as the independent variables and organizational performance as the dependent variables.  The data was collected using a survey from 150 employees of the paper manufacturing company.  Statistical Package for Social Science (SPSS) was used to analyze the data collected from the respondents.  Correlation and regression analysis were performed to determine the association between the dependent and independent variables.  The research findings revealed that affective and continuance commitments have effects on organizational performance while normative commitment has no significant effect on organizational performance.  These results are significant in guiding top management in deciding the actions that they can take which could have a great impact on the organization performance.  Therefore, top management could focus more on building affective commitment and continuance commitment within the organization to enhance organizational performance.


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