• Title/Summary/Keyword: Organization Justice

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The Impact of Justice of Layoff on Management Trust, Job Satisfaction and Organizational Commitment in the Hotel Corporations (호텔기업에 있어 구조조정상의 공정성 지각이 경영진의 신뢰, 직무만족 및 조직몰입에 미치는 영향)

  • Kim, Young-Soon;Ahn, Dae-Hee
    • Journal of Global Scholars of Marketing Science
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    • v.18 no.1
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    • pp.115-139
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    • 2008
  • Since financial crisis of IMF resulted in intensive competitiveness and adverse management environment, many hotel industries have responded it with restructuring. Since this restructuring is accompanied by reduction of employees, hence comes the recognition of justice in the procedure of restructuring. When the surviving employees in the restructuring process recognize unfairness in the procedure and practical operations, organization effectiveness can not be maintained due to losing trust of their employers. In this paper I will examine the relationship between validity of restructuring and compensatory programs for layoffs and surviving employees' trust of the employers. Also I will find out the relationship between remaining employees' trust of the employers and their job satisfaction and organization commitment. Through this relationship, we can prepare an alternative to reduce negative effect of restructuring. The hypotheses of this study are proposed as follows: H1: The higher surviving employees' recognition of procedural justice in restructuring process is, the higher their trust with a manager of the company is. H2: The higher surviving employees' recognition of distributive justice in restructuring process is, the higher their trust with a manager of the company is. H3: The higher surviving employees' recognition of procedural justice in restructuring process is, the higher their job satisfaction is. H4: The higher surviving employees' recognition of distributive justice in restructuring process is, the higher their job satisfaction is. H5: The higher surviving employees' recognition of procedural justice in restructuring process is, the higher their organization commitment is. H6: The higher surviving employees' recognition of distributive justice in restructuring process is, the higher their organization commitment is. H7: The higher surviving employees' trust with a manager of the company in restructuring process is, the higher their job satisfaction is. H8: The higher surviving employees' trust with a manager of the company in restructuring process is, the higher their organization commitment is. For the purposes of this study, employees working in luxury hotels located in Seoul were targeted. Self-administered questionnaires were distributed to those who consented with the investigation after explaining the purpose of the survey. A total of 500 questionnaires were distributed and 450 questionnaire were returned to the researcher for analysis. 430 of the returned questionnaires were used for analysis. As for the education for this survey, 250 junior college graduates or under (58.1%), 143 college graduates (33.3%) and 37 graduate school graduates (8.6%). As for the marital status, 315 persons (73.3%) are single and 115 are married (26.7%). As for the monthly income, 49 people (11.48%) are less than 2 million won, 148 (34.4%) are between 2 million and less than 2.5 million won, 153 (35.6%) are between 2.5 million to less than 3 million won, 80 (18.6%) are more than 3 million won. As for the workplace, 293 people (68.1%) work for the F&B department, 73 (17.0%) for rooms department, 41 (9.5%) for operation/ marketing department, 23 (5.3%) for account/ general affair department. As for the period of employment, 85 people (19.8%) are less than 5 years, 150 (34.9%) are between 6 to 9 years, 143 (33.3%) are between 10 to 14 years. and 52 (3.%) are more than 15 years. An exploratory factor analysis was used to survey validity and reliability of calculating tool on perceived values. This study used correlation between individual items and whole items and Cronbach's alpha value of multiple-item scale which is usually used to assess scale and reliability. Reliability of conceptual sub-dimension was assessed by basing on repeated procedure of correlation between individual items and whole items and factor loading. 1. Verification of correlation between validity of restructuring and trust This research showed that procedural and distributive justice of restructuring affects trust positively. The path coefficient between procedural justice of restructuring and trust is 0.719(t=10.135, p=0.000), and thereby the higher procedural justice results in higher trust. The path coefficient between distributive justice of restructuring and trust is 0.160(t=3.291, p=0.001), and thereby the higher distributive justice results in higher trust. Hence H1 and H2 are accepted. 2. Verification of correlation between validity of restructuring and job satisfaction The path coefficient between procedural justice of restructuring and job satisfaction is 0.179(t=2.202, p=0.028), and thereby the higher procedural justice results in higher job satisfaction. The path coefficient between distributive justice of restructuring and job satisfaction is 0.074(t=1.620, p=0.105), and thereby distributive justice of restructuring has no relationship with job satisfaction. Hence H3 is accepted, but H4 is removed. 3. Verification of correlation between validity of restructuring and organization commitment The path coefficient between procedural justice of restructuring and organization commitment is 0.188(t=2.466, p=0.014), and thereby the higher procedural justice results in higher organization commitment. The path coefficient between distributive justice of restructuring and organization commitment is 0.118(t=2.720, p=0.007), and thereby the higher distributive justice results in higher organization commitment. Hence H5 and H6 are accepted. 4. Verification of correlation between trust and job satisfaction The path coefficient between trust and job satisfaction is 0.610(t=6.736, p=0.000), and thereby the correlation has a meaningful result. Since the higher trust of the employer results in higher job satisfaction, H7 is accepted. 5. Verification of correlation between trust and organization commitment The path coefficient between procedural justice of restructuring and job satisfaction is 0.446(t=5.547 p=0.000), and thereby the higher trust of the employer results in higher organization commitment. Hence H8 is accepted. This research aimed to help the employers of hotel industries by analyzing the effects of validity of restructuring on employees' trust, job satisfaction and organization commitment. The research found that employer's validity of restructuring has significant affects on the degree of employee's trust with a manager, thereby reducing the negative effects of restructuring and enhancing organization commitment and job satisfaction. The principal purpose of this research is to confirm the correlation between employees' perceived validity of restructuring and their trust with a manager. Also whether this correlation results in competitive edge of the company is also investigated. It is also pointed out that employees had to participated the procedure of restructuring, sharing the philosophy and reason of restructuring. This participation and furthermore compensatory methods can reduce employees' anxiety of organization operations. Variable of trust appeared to have impact on intermediation effect between perceived variable of validity and job satisfaction, organization commitment, so that increase of trust with a manager plays an crucial role in increasing organization effectiveness. Since this research did not cover whole hotel industries which underwent restructuring, it showed a limit. Unlike previous studies which dealt with validity and trust of superior bosses, this research focussed on employers. Also the organization citizenship which is not considered in this study will be dealt with in the future study.

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Structural Model of Developing Human Resources Performance: Empirical Study of Indonesia States Owned Enterprises

  • HAERANI, Siti;SUMARDI, SUMARDI;HAKIM, Wardhani;HARTINI, HARTINI;PUTRA, Aditya Halim Perdana Kusuma
    • The Journal of Asian Finance, Economics and Business
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    • v.7 no.3
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    • pp.211-221
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    • 2020
  • This study aims to analyze the effect of structural Person-Organization Fit and organizational justice on organizational commitment, job satisfaction, Organizational Citizenship Behavior and employee performance. This study is based on a quantitative approach by collecting data using a survey conducted on three SOE's companies in Indonesia that operate in Makassar City, namely Pelindo. Ltd (Port Company), PLN. Ltd (Electric Company) and Pertamina. Ltd (Oil and Gas Company), with a sample of 90 employees. The study population was all non-managerial permanent employees. Data analysis using Structural Equation Modeling. In structural relations, out of the nine direct tests, there were two insignificant relationships, and in all three hypotheses there was one not-supported hypothesis. When compared between person-organization Fit and Organizational Justice, it is found that organizational justice has a more critical role in building Human Resource performance compared to Person-Organization Fit, because organizational justice is better able to provide job satisfaction and make organizational commitment and OCB as a prerequisite for its formation to better Human Resources performance. With organizational justice, employees will feel more satisfied working, committed to the work and organization, and behaves as a supportive organizational citizen for the realization of the best performance for the interests of the organization going forward.

Study on Antecedents and Consequences of Perceived Justice of the Performance Appraisals in Hospital Organization (병원 인사고과의 공정성지각 영향 요인에 관한 연구)

  • Lee, Chong-Hyo;Ahn, Sang-Yoon
    • Korea Journal of Hospital Management
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    • v.14 no.4
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    • pp.103-123
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    • 2009
  • The purpose of this study is to investigate antecedents and consequences of perceived justice of performance appraisals, which is classified as distributive and procedural justice, in hospital organization. The results of this study are summarized as follows. First, for distributive justice of performance appraisals, the influential factors are the pertinence of performance appraisal method, the opportunity of self-reporting, the availability of performance appraisal, and the feedback of performance appraisal. For the procedural justice of performance appraisals, they are the leadership style of performance appraisers, the ratee-rater exchange relationship, the pertinence of performance appraisal method, the opportunity of self-reporting, and the feedback of performance appraisal. Second, the perceived justice weakly affects outcome variables, organizational commitment and job satisfaction. By these results, the performance appraisal system needs to be changed in order to enhance distributive justice through the improvement of suitable methods of the performance appraisal, the opportunity of self-reporting, the availability of performance appraisal, and the feedback of performance appraisals. If it is difficult to increase the level of distributive justice due to the environmental restrictions in hospitals, the way to enhance the procedural justice more than the distributive one should be considered.

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Customer Retention Model in the Medical Service Organization: Focusing on Specialized Hospital Services

  • OH, Sang Hyun
    • The Journal of Economics, Marketing and Management
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    • v.9 no.2
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    • pp.45-55
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    • 2021
  • Purpose: The purpose of this study is to investigate the theoretical basis for assessing the strategic increase in customer perception of service quality, justice, and relationship benefits. Especially in terms of increasing relationship commitment and customer loyalty in the medical service sector. Research design: Data were collected by questionnaires through specialized hospital services. Survey was conducted on patients who have been treated at a spine specialized hospital. Results: Research shows that service quality, justice, and relationship benefits have the greatest direct impact on relationship commitment, and relationship commitment has a strong direct impact on customer loyalty in the medical service organization. Conclusions: The effect of combination of core and voluntary service behavioral attributes such as service quality, justice and relationship benefits have the most positve impact on relationship commitment and customer loyalty. Administratively, this study contributes to understanding the role of service quality, justice, and relationship benefits in the medical service sector. The results showed that in order to induce service quality, justice and relationship benefits should be facilitated relationship commitment and customer loyalty enlarged.

The Relationship between Organizational Justice and Social Loafing in Ho Chi Minh City, Vietnam

  • Thanh, Vu Ba;Toan, Ngo Van
    • The Journal of Asian Finance, Economics and Business
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    • v.5 no.3
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    • pp.179-183
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    • 2018
  • This study aims to explore the relationship between organizational justice and social loafing of organizations in Ho Chi Minh City through quantitative analysis from the survey data for the 228 employees are working at the Organizations in Ho Chi Minh City. The instrument of collecting data was a questionnaire. The collected data were analyzed using SPSS version 22 and employing exploratory factor analysis (EFA), Cronbach's alpha, multiple regression analysis. The results showed that only two factors are Distributive justice and Procedural justice is to have the reverse effect on social loafing of employee. From the results of the study showed, Distributive justice and Procedural justice has the opposite effect of social loafing, which demonstrates that when individuals feel that their work is spent on Perform tasks in a clearly divided and they will receive a worthwhile result in the group when performing the task then the individual's collective indifference to the organization will decrease. And motivate the employee to make more efforts to work and contribute for the organization. In addition, the factor of Procedural justice also has the opposite effect of collective redundancy, which demonstrates that employees are more concerned about fairness in official policies and organizational procedures.

A Study on the Influence of Organizational Information Security Goal Setting and Justice on Security Policy Compliance Intention (조직의 정보보안 목표 설정과 공정성이 보안정책 준수의도에 미치는 영향)

  • Hwang, In-Ho;Kim, Seung-Wook
    • Journal of Digital Convergence
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    • v.16 no.2
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    • pp.117-126
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    • 2018
  • The threat to information security is growing globally. To this, organizations are increasing the weight of adapting and operating the more specialized information security policy and system. Information security requires participation from the employees who execute the security system and policy, and to increase the level of organization's internal security, requires organization's systematic support to improve employees' information security compliance intention. This research finds the mechanism for improving employee's information security compliance intention by applying justice theory and goal setting theory in information security. We use structural equation modeling to verify the research hypothesis, and conducted a survey on the employees of organization with information security policy. In other words, this research performs verification of the research model based hypothesis which claims that security policy goal setting has positive influence on employee's level of security related justice recognition, and claims that justice has positive influence on compliance intention. The object of study is the employees of the organization that adapts information security policy, and 383 valid samples were collected via survey. Structural equation modeling was performed to verify the research hypothesis. The result shows that security policy goal factor (goal difficulty, goal specificity) improves employee's security related justice recognition, and that security related justice (distribution, process, and information justice) has positive influence on compliance intention. The result suggests the strategic approach directions for improving employees' compliance intention on organization's security policy.

The Effectiveness Organizaitonal Commitment, Job Satisfaction by Clinical Nurse's Compensation Justice (임상간호사의 보상공정성 지각의 조직몰입 및 직무만족에 미치는 영향)

  • Woo, Jin-Hee;Koh, Myung-Suk
    • Journal of Korean Academy of Nursing Administration
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    • v.9 no.4
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    • pp.585-597
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    • 2003
  • Purpose: The purpose of this research is to find out how clinical nurse's recognition is effected to nursing organization through compensation justice, and then will support important basic data to management of nursing organization. Methods: Data collection was held through April 1st to 30th in 2003, The Subjects were 375 who were working at 5 hospitals in Seoul and has experiences at least over one year. Result: The average score of nurses' organizational commitment was 3.95 on a 7 point scale, and job satisfaction was 2.80 on a 5 point scale, and distribute justice was 2 on a 5 point scale, and procedural justice was 2.32 on a 5 point scale. We realize the distribute justice of compensation justice showed outstanding difference by age, education back-ground, experience, status of job, religious and types of hospital foundation, comparing the procedural justice only showed the difference by marriage status and type of hospital foundation, Through the study of how compensation-justice effect to organizational commitment, distribute justice never effect instead of procedural justice made effect 30.4% overall transition, as well as procedural justice explain 31.5% of job satisfaction. Conclusion: Finally we have data on the clinical nurse's recognition of compensation justice distribute justice and procedural justice are generally low, job satisfaction and organizational commitment are average. Job satisfaction and organizational commitment are depend upon age and educational level seriously.

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The Impact of Autonomous Virtual Work Environments on Job Satisfaction and Organizational Effectiveness

  • Eun Seo Park;Sung-Byung Yang;Arum Park
    • Asia pacific journal of information systems
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    • v.33 no.4
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    • pp.1043-1057
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    • 2023
  • The objective of this study is to explore the perceptions of justice regarding the implementation of flexible work arrangements, as well as to analyze the effects of such arrangements on job satisfaction and organizational effectiveness. The present study posits three key aspects, namely distributive justice, procedural justice, and interactional justice, which are hypothesized to influence individuals' impression of justice in relation to flexible work systems. To investigate the influence of job types on an R&D organization, specifically comparing R&D employees and office management employees, a dataset of 190 R&D employees and 50 office management employees was collected. The findings of the investigation provide empirical evidence that distributive justice has a significant impact on the level of job satisfaction among employees in both research and development (R&D) and office administration roles. Moreover, the influence of work satisfaction on organizational performance is noteworthy, particularly with regard to factors such as job dedication, organizational citizenship behavior, and knowledge sharing. The aforementioned findings offer significant insights for research and development (R&D) firms that have incorporated flexible work arrangements. These insights underscore the significance of emphasizing specific justice perceptions in order to augment job satisfaction and overall performance within the organization.

A Study on the Effects Comes up to Outcome Behavior of the Perceived Justice on Human Resources Management System (인적자원관리시스템에 대한 공정성인식이 결과행위에 미치는 영향)

  • Youn, Dae-Hyok
    • Journal of the Korean Operations Research and Management Science Society
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    • v.27 no.4
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    • pp.127-137
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    • 2002
  • This study aims at developing and empirically testing a comprehensive model of organizational justice derived from the prior empirical studies on organizational justice. The study seeks to understand the antecedents to and the consequences are addressed. The first question is what characteristics of the HRM systems determine the levels of perceived distributive and procedural justice. Hypotheses are derived from the two prominent theoretical models, i.e., the self-interests model (SIM) and the group value model (GVM). Those factors include neutrality, consistency, accuracy. ethicality. credibility. and reciprocity in the processes of making HRM decisions. All nine factors suggested by the two models aye adopted for this study as major determinants of both distributive and procedural justice. The second question of this study is related to the moderating effects of individual differences on the relationship between the SIM and GVM variables and perceived distributive and procedural justice in organizational contexts. The final research question deals with the consequences of perceived organizational justice. specifically job - related altitudes and organizational commitment. Job-related attitudes in this study refer to job satisfaction, job motivation, and job involvement, i.e., the willingness to make contributions. identification with organization, and intent to stay. In examining the consequences of perceived organizational justice, the study focuses on the interaction effects of procedural and distributive justice on the above nine outcome variables. The results show that both SIM and GVM variables significantly influence distributive and procedural justice. However, hierarchical regression analyses reveal that the GVM variables except more influence has been focused on the consequences of perceived distributive justice with regard to outcomes provided by the organization.

A Study on the Impact of Organization Justice, and Organizational Effectiveness (공정성이 조직효과성에 미치는 영향에 관한 실증 연구)

  • Cho Kook-Haeng
    • Management & Information Systems Review
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    • v.15
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    • pp.71-90
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    • 2004
  • This study has uncovered some important relationships among employees perceptions of distributive justice and procedural justice and organizational effectiveness. The present study attempts, first, to identify the perceived justice in promotion and transfer, performance evaluation, pay raise, job allocation and job fire. Second, to determine the relative importance of distributive justice and procedural justice. relationships of organizational effectiveness. The research is the identification of a modest but significant relationship between the two justice and organizational effectiveness. The result make it clear that employee find that right personnel management of fairness. To summarize the result of three variables's relationship influence is as below. The results indicated that perceptions of procedural justice as much organizational effectiveness than do perceptions of distributive justice. As also predicted, the perception of distributive justice did not impact organizational effectiveness. Therefore, Partially supporting the hypothesis. The research implications of these study suggest that great causality should be this paper' research model in three variables. The result indicate that manager must pay attention to employees perceptions of procedural justice and distributive justice.

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