Pacific B usiness R eview I nternational

A Refereed Monthly International Journal of Management Indexed With Web of Science(ESCI)
ISSN: 0974-438X
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RNI No.:RAJENG/2016/70346
Postal Reg. No.: RJ/UD/29-136/2017-2019
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Prof. Mahima Birla
(Editor in Chief)

Dr. Khushbu Agarwal
(Editor)

Dr. Asha Galundia
(Circulation Manager)

Editorial Team

A Refereed Monthly International Journal of Management

Mediating Role of Monthly Emolument upon the Link between Motivation and Organizational Citizenship Behaviour of the Professionals- An Indian Perspective

Sarmistha Nag

MBA semester 3,

Sister Nivedita University, Kolkata

 

Prof. Moumita Chatterjee

Assistant Professor,

Department of Management,

Sister Nivedita University, Kolkata

 

 

 

 

 

 

 

 

 

 

 

 

 

Abstract

 

This paper aims to examine the nexus between motivation and organizational citizenship behaviour of the employees in some selected private companies in Kolkata and also to find the role of employee emoluments in the above relationship during this digital era. The study uses a sample consisting of 231 professionals in various private companies in Kolkata including all its regions by applying probability sampling method. In this work, two standardized questionnaires along with the demographical sheet are used to collect data from the professionals who are again validated during the study. Path analysis is conducted to understand to test the fitting of the model and to explore the mediating role of monthly emoluments in the above relationship to understand direct effect and indirect effect. The result shows that monthly emoluments has mediating effect upon the relationship between motivation and organizational citizenship behaviour of professionals in Kolkata, India where monthly income plays the role of a mediator in the model.

Keywords: Organizational Citizenship Behaviour, Motivation, Monthly Emolument, Demographical Variables, Digital Era, Empirical Study

 

Introduction

Today’s dynamic world is characterised as complex, rapidly-evolving, highly technological as well as environmentally fragile. As dynamism along with instability become the essential attributes of today’s organizations, hence such organizations necessarily become more reliant upon the employees who are willing to contribute towards efficacious change regardless of formal job requirements (Lee et al., 1991; Somech and Drach-Zahavy, 2004; Halbesleben and Bellairs, 2015). So, in the present volatile uncertain complex ambiguous (VUCA) world, the relevant question emerges as what are the individual’s motivation as well as organizational conditions that encourage the people to contribute beyond their formal job requirements and why the workers make decisions to go “above and beyond.”

Organizational Citizenship Behaviour

Organisational citizenship behaviour (OCB) is an evolving concept that has rapidly expanded in recent years concerning how as well as why the employees really excel their true potential positively to their organisations beyond their priorly defined work roles and allowing the employees to contribute optimum performance without potential negative effects (Halbesleben, J. and Bellairs, T., 2016).Hence in the present context, the relevant fundamental issues are identifying and analysing the circumstances in which the individuals “go the extra mile” in the workplace.

Employee Motivation

Employee motivation is defined as the enthusiasm, commitment as well as the amount of ingeniousness that an employee contributes to the organization which is essential for all the employees to enhance their working performance (Pinder, 2008). Motivated employees are more engaged and committed in their work and are more willing to share knowledge at the workplace (Rich, 2006;Lin, 2007; Cerasoli et al., 2014; Massenberg et al., 2015; Becker et al., 2015).

Monthly Income

Gross monthly income is the amount that is remunerated to an employee within a month before tax-payments or other necessary deductions. Sometimes, potential additions to gross monthly income generally include overtime, bonuses as well as commission and also other additional sources of income in each month.

Literature Review

Podsakoff et al., (2000) remarked that the organizations should seek for their employees who arewilling to go beyond the minimum requirement and surpass their target to achieve organizational goal in a diverse and competitive business world(Milliken & Martins, 1996; Mor-Barak, et al., 1998; Barak & Levin, 2002;Williams& O'Reilly, 1998).

Halbesleben and Bellairs (2015) pointed out that in order to gain attention in the hope of promotion, definitely the additional hours must score benefits to both the individual’s status as well as the quality of the organization’s job.

Halbesleben and Bellairs (2015) explained that Organizational citizenship behaviour (OCB)were selected by the employees in order to meet their personal and organizational goals (Vanyperen et al.,1999; Halbesleben and Bellairs, 2015).

Hui et al. (2000) indicated that OCBs generally increased before promotions, and decreased after promotions in the organizations.

Farh, Zhong, Organ (2004) discussed five extended dimensions of OCB such as self-training, social welfare participation, protecting and saving company resources, keeping the workplace clean as well as interpersonal harmony. 

Decoene and Bruggeman (2006) found that effective strategic alignment influenced working executives  and hence leaders encouraged their subordinates to follow a participative design of work which made them responsible for their job performance (Organ, 1988; Whitney et al, 2009; Cennamo and Gardner, 2008).

Panagiotakopoulos (2013) concluded that the required factors affecting employee motivation at a given period in order to enhance organization’s performance and hence a successful organization must combine the strengths and motivations of internal employees and responded to their external changes and demands to show organization’s value(Kuo, 2013).

Barney and Steven Elias (2010) found that the leaders knew that at the heart of every successful business, there existed a conducive organizational culture and hardworking employees who collaborated together passionately to produce the best results (Gignac and Palmer 2011).

Kunz and Pfaff (2002) emphasized that diversity allows and breeds breath into the organization people of varied skills and value system which led to competitive advantage and a valuable phenomenon for organizational growth (Betchoo, 2015).

Aguinis et al. (2013) stated that monetary rewards was a very powerful determinant of employee motivation and achievement, which in turn, could advance to important returns in terms of firm-level performance.

Garg and Rastogi (2006) identified key issues to motivate employees’ performance such that a dynamic managerial learning framework was required to enhance employees’ performance to attain global challenges.

McClelland (1961) explained that, “The need to perform well and strive to get success is achievement motivation” which was the comparison of performances against certain standard activities (Atkinson, 1964; Atkinson & Feather, 1966)and achievement need was the distinct human motive which could be distinguished from other needs (McClelland,1985)

Ugodulunwa (1997) explained that achievement motivation generally inspired individuals for meeting the required standards of excellence to achieve success (Coleman, 2001; Hasanzadeh, 2009; Akpan &Umobong, 2013).

Sprinthall et al.(1994) explained that achievement motivation, an intrinsic motive was there to attain excellence surely by conquering deterrence (Heckhausen, 1967; Bigge & Hunt, 1980; Vallance, 2004; Robbins et al., 2004; Aydm &Coskun, 2011; Kumar &Bajpai, 2015; Rao &Reddy, 2016; Sutha &Shirlin, 2017).

Rationale of the Study

The above-mentioned literature review shed a light towards the basic relevant questions such as how motivation of today’s professionals determines their organizational citizenship behaviour in the present dynamic world and how the employee emoluments are important in the above relationship now and in the future? These limitations create the need to develop an empirical study to get a more conclusive finding to clarify several contradictions.

Research Objective

The objective of the present research is to understand the mediating role of monthly income upon the link between employee motivation and Organizational citizenship behaviorof the professionals in post pandemic era and to identify the role of monthly income in the above relationship in Kolkata, West Bengal, India.

 

Proposed Model

Research Methodology 

The present research employs a sample that includes 231professionals from various organizations in Kolkata (based on its all the regions including North, West, South, and East) by applying simple random sampling technique. The names of the different organizations are Abbott India Limited, B.R.D Manufacturing Company, Bata, Calcutta Rolls Manufacturing Company, Century Extrusions Limited, Eastern Copper Manufacturing Company Private Limited, Eco drive-National Manufacturing Company, Essity India Pvt Limited, J&J, Kolkata, J.K.Manufacturing Company, Jai Tube Manufacturing Company, Lumino Industries Limited, Mica Manufacturing Private Limited, Mohani Tea Leaves Private Limited, Nestle India Ltd, Pekon Electronics Limited, Plicare Cranes Manufacturing Company, Priti Manufacturing, S K Industries, Shree Narayani Pipe Manufacturing Company, Spin Can Manufacturing Company, Stryker India Pvt Ltd, Suman Machine Manufacturing Company, Sun Oil Company Private Limited, Testing Instruments Manufacturing Company Private Limited, Motwane Manufacturing Company Private Limited, Waheguru Rubber Manufacturing Company Private Limited, ZAMIndustrial Spares Manufacturing Company etc.

Tests/ Measures

In this study, standardised questionnaires are used and thereafter, each questionnaire is again validated during pilot study. The below mentioned questionnaires are used in the study.

Questionnaire 1: The Demographic Sheet

The demographical sheet comprises details concerning the respondents’ gender, age, years of experience, educational qualifications as well as income level.

Questionnaire 2: Organizational Citizenship Behaviour Scale (OCBS).(Podsakoff et al.’s,1990).

This 24-item scale developed by Podsakoff et al. (1990) has five dimensions such as altruism, conscientiousness, sportsmanship, courtesy and civic virtue.

Questionnaire 3: Motivation questionnaire (Job Diagnostic Survey)

Hackman and Oldham developed a self-report instrument for managers to use in diagnosing their work environment.

Questionnaire 2 is used to measure dependent variable, questionnaire 3 is used to measure independent variable and questionnaire 1 is used to measure mediating variable in the model.

Demographic Characteristics of Sample

  1. Gender-Wise Distribution: Among the sample (N=231), there are 201 (87.01 %) males and 30 (12.98%) females.
  2. Age-Wise Distribution: Among the sample (N=231), 0 %, 2 %, 45.67% and 52.33 % are included in Age Category 1[having age (18-30) years], Age category 2 [having age (30-40) years], Age category 3 [having age (40-55) years] and Age category 4 (having age above 55 years) respectively.
  3. Work-Experience-Wise Distribution: Among 231employees 32.86%, 32.34%, 34.8% and 0% are included in terms of (0-10, 10-20, 20-30, and 30-40) years of work experience respectively.
  4. Income-Group-Category-Wise Distribution: Among the sample,52 %, 16.61 %, 41.36%, 27.51 % are included in income group category 1, 2, 3 and 4 respectively.

Tests

The data collection method is executed by applying 3 questionnaires on 231 respondents representing the business professionals in Kolkata from July to November 2021, who perform charitable work in Kolkata.

 

 

Data Analysis

Results include: Reliability Test (Cronbach alpha), Descriptive Statistics (Mean, SD) and Testing of Hypotheses (the relationship between dependent as well as independent variables) through Path analysis for with the help of AMOS software.

 

Reliability Tests

3 questionnaires are used in this study including demographic sheet. The Cronbach alpha obtained in organizational citizenship behaviour questionnaire, employee motivationquestionnairefor business professionals is0.885 and 0.895 respectively which reflects high reliability of the measuring instrument. Furthermore, it indicates a high level of internal consistency with respect to the specific sample.

 

Descriptive Statistics (Mean, SD)

Table 1: Descriptive Statistics of Community Leaders in Kolkata

 

N

Mean

Std. Deviation (SD)

Organizational citizenship behaviour

231

75.445

11.329

Employee motivation

231

88.765

13.428

Monthly income

231

75.289

11.138

 

Descriptive Statistics of the professionals in Kolkata are represented by Table 1.

Testing of Hypotheses for Community Leaders

To find the mediating effect of monthly income upon the model of organizational citizenship behaviour, the following hypothesis are made.

H1: Monthly income will regress employees’ level of motivation.

H2: Organizational citizenship behaviour will regress employeemotivation.

H3: Organizational citizenship behaviour will regress significantly and positively on monthly income.

H4: Monthly income will mediate the effect of employee motivation upon organizational citizenship behaviour ofthe professionals.

Table 2: Estimates (Group number 1 - Default model)

Maximum Likelihood Estimates

Constructs

Standardized Estimate

S.E.

C.R.

P

Thresholds

Monthly income <--employee motivation

0.179

0.024

7.327

<0.001

Monthly incomeregresses significantly and positively on employee motivation. H1 is accepted.

Organizational citizenship behaviour <--monthly income

0.308

0.050

6.102

.002

Organizational citizenship behaviour regresses significantly and positively on Monthly income. H3 is accepted.

Organizational citizenship behaviour<-- employee motivation

0.131

0.023

5.695

<0.001

Organizational citizenship behaviour regresses significantly and positively on employee motivation. H2 is accepted.

Table 3: Standardized Regression Weights: (Group number 1 - Default model)

 

 

 

Estimate

Remarks

Monthly income

<---

Employee motivation

0.215

Medium Path

Organizational citizenship behaviour

<---

Monthly income

0.303

Medium Path

Organizational citizenship behaviour

<---

Employee motivation

0.155

Medium Path

Matrices (Group number 1 - Default model)

Table 4: Standardized Total Effects (Group number 1 - Default model)

 

Employee motivation

Monthly income

Monthly income

0.205

0.000

Organizational citizenship behaviour

0.240

0.302

 
 
 

Table 5: Standardized Direct Effects (Group number 1 - Default model)

 

Employee motivation

Monthly income

Monthly income

.205

0.000

Organizational citizenship behaviour

.153

.302

 

Table 6: Standardized Indirect Effects (Group number 1 - Default model)

 

Employee motivation

Monthly income

Monthly income

.000

.000

Organizational citizenship behaviour

.087

.000

 
 
 

Table 7: Model Fit Summary Model Fit Analysis and Assessment of Model Fit of Revised Path

Measures of Fit

Value Obtained

Threshold Remarks

Absolute fit Index

CMIN/DF (χ2 /df)

CMIN/DF=1.610

P=0.185

Low chi-square with a probability level higher than 0.05 indicates that the model is a good fit to the data i.e., the predicted model conforms to the data.

Comparative Fit Index: CFI

0.998

Good fit

Comparative Fit: TLI

0.993

Good fit

Comparative Fit: NFI

0.997

Good fit

Absolute fit index: RMSEA

0.051

Acceptable fit

PCLOSE

0.387

Good fit

Comparative Fit: IFI

0.998

Good fit

Parsimonious fit:  PNFI

0.532

Good fit

 

Direct, Indirect & Total Effect

The total effect of employee motivation on organizational citizenship behaviour is 0.220, where the direct and indirect effect of employee motivation on organizational citizenship behaviour is 0.153 and 0.087 respectively (See Table 3, 4, 5 & 6). Thus, for the professionals’ monthly incomehas mediating effect upon the relationship between employee motivation and organizational citizenship behaviour (See Table 3, 4, 5 & 6).

Table 8: Regression Weights: (Group number 1 - Default model)

 

 

 

Estimate

S.E.

C.R.

P

Label

Monthly income

<---

Employee motivation

.705

.026

25.701

***

 

Organizational citizenship behaviour

<---

Monthly income

.780

.034

23.671

***

 

Organizational citizenship behaviour

<---

Employee motivation

.168

.029

6.382

***

 

 
 
 

Table 9: Standardized Total Effects (Group number 1 - Default model)

 

Employee motivation

Monthly income

Monthly income

0.861

0.000

Organizationalcitizenship behaviour

0.881

0.779

Table 10: Standardized Direct Effects (Group number 1 - Default model)

 

Employee motivation

Monthly income

Monthly income

0.861

0.000

Organizational citizenship behaviour

0.214

0.779

Table 11: Standardized Indirect Effects (Group number 1 - Default model)

 

Employee motivation

Monthly income

Monthly income

0.000

0.000

Organizational citizenship behaviour

0.671

0.000

Table 12: Standardized Indirect Effects - Lower Bounds (BC) (Group number 1 - Default model)

 

Employee motivation

Monthly income

Monthly income

0.000

0.000

Organizational citizenship behaviour

0.612

0.000

Table 13: Standardized Indirect Effects - Upper Bounds (BC) (Group number 1 - Default model)

 

 

Employee motivation

Monthly income

Monthly income

0.000

0.000

Organizational citizenship behaviour

0.719

0.000

 

Table 14: Standardized Indirect Effects - Two Tailed Significance (BC) (Group number 1 - Default model)

 

Employee motivation

Monthly income

Monthly income

---

---

Organizational citizenship behaviour

0.001

----

   

 

The regression weight for employee motivation in the prediction of monthly income and monthly income in the prediction of organizational citizenship behaviour is significantly different from zero at 0.001 levels (two-tailed). H4 is accepted. Here, Direct effect of employee motivation to organizational citizenship behaviour =0.214 (See Table 10). Indirect Effect of employee motivation to organizational citizenship behaviour through monthly income=0.861*0.78=0.671, thus, IE>DE, partial mediation occurs (See Table11). Monthly income is found to be significantly mediated the relationship between employee motivation and organizational citizenship behaviour for the employees in Kolkata.

Discussion and Conclusion

Thus, employee motivation has both direct and indirect impact upon organizational citizenship behaviour of the professionals in Kolkata andmonthly emoluments partially mediates the nexus between employee motivation as well as organizational citizenship behavior in Kolkata. Employee emoluments plays the role of a mediator to determine the relationship which strengthens the relationship between employee motivation and organizational citizenship behavior; If mediating variable (employee income) is eliminated from the model, there be still a relationship between employee motivation, and organizational citizenship behavior; but it would not be as strong. When motivated employees are paid satisfactorily, they can happily contribute their organization beyond their defined job role which means that more organizational citizenship behavior towards their workplaces.

Limitations

This empirical analysis is based on only 231professionals in Kolkata, though the figure is not very adequate to validate the link between employee motivation andorganizational citizenship behavior (OCB); It is difficult to generalize the finding too. As human behavior remains unpredictable and open to randomness and free will despite efforts to ensure data-richness, the association ship explored in present research work is established on self-contemplations of the professionals and thus these self-perceived answers are always liable to common method variance (Doty & Glick, 1998) despite indicative of the organization and the sample.

Finally, the present scholarly work is cross-sectional study which is a type of research design for which the data is collected from many different individuals for one time period. Hence for future research work futuristic techniques can be used in order to obtain more valid results that would be applicable for the employees to improve theirorganizational citizenship behavior (OCB). This research work is largely based on the examination of the relationships between variables at a given point in time, which raises concerns regarding the examination of causality (Mann, 2003) which is particularly true in the case of variables that may change over time. Therefore, a longitudinal design might yield additional insights into the result. The narrowness of sampling from a single geographical area by using only Indian business professionals as the target population confines the number of prospective employees under study and it limits the generalizability of the findings to the larger group of professionals including non-Indian employees too. Thus, this empirical study can be conducted over an extended period of time by having larger samples in order to expand the investigation to other companies, of various countries along with various cultural as well as ethnic diversification and therefore, future work should be recommended to study the complicated relationship between ethnicity as well as culture by considering the influence of ethnic heterogeneity upon OCB of the employees.

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