Effects of internal marketing on employees performance: Effect of Mediator Organizational Innovation (Case study: departments within The AGHAJARI Oil and Gas Operation Company)

Abstract

The present study examines the role and mechanisms of internal marketing variables on employee performance through the mediator role of organizational innovation. Statistic population included 770 experts and managers, 43 departments within the Agha-Jari oil and gas Operation Company; using stratified random sampling and Cochran formula 257 were selected as the sample size. Three questionnaires were used, the validity of which was confirmed by the experts. Internal marketing with the validity of 0.70, organizational innovation with the validity of 0.76 and employee performance with the validity of 0.80 were used; validity of faculty members and reliability was confirmed. Data analysis was conducted using structural equation modeling (SEM) with partial least squares (PLS approach and Smart PLS software. The results indicated a direct, significant and positive effect of internal marketing intensity, (0.659) and the indirect effect with mediating role of organizational innovation intensity (0.065) on employee performance and mediating role of organizational innovation intensity (0.474) on organizational innovation. In addition, organizational innovation intensity (0.137) has a significant and positive effect on employee performance.

Keywords

• Agha-Jari oil and gas operation company
• employee performance
• Internal marketing
• Organizational Innovation