Strategic Management (Jan 2020)
The impact of employees' commitment on organizational performances
Abstract
This paper examines the impact of employees' commitment on the productivity of organizations in the Republic of Serbia. Employees' commitment represents the willingness of employees to make efforts for the benefit of the organization and the desire to remain in them. It can be seen as: affective, continuous and normative commitment. Affective commitment reflects a belief in the goals of an organization and a willingness to actively participate in its development; normative commitment reflects a sense of obligation on employees to remain in the organization while continuing commitment is due to employees' assessment that leaving the organization causes greater costs than benefits. Previous research shows that all types of commitment have a major impact on the performance of organizations. As the number of empirical studies on this topic in Serbia is limited, this paper examines the impact of each type of organizational commitment on the productivity of organizations in Serbia, as well as the impact of the overall commitment. The aim of the paper was to identify the types of organizational commitment that have the greatest impact on the performance of organizations in Serbia and to propose measures to HR managers whose implementation can improve the operations of domestic organizations. The starting point of the paper was that employees' commitment has a statistically significant effect on organizational performance. To verify the validity of this assumption, a primary survey was conducted. 169 employees of 17 organizations in Serbia were surveyed. By applying correlation and regression analysis methods, it has been proven that overall organizational commitment, as well as its certain types, have a positive impact on the productivity of organizations in Serbia, with the impact of normative commitment on performance greater than other types of commitment. At the same time, the contribution of continuous commitment to the performance of organizations in Serbia is negligible (statistically insignificant). In line with the obtained results, recommendations for human resources managers in Serbia are proposed. The theoretical implications of the paper are reflected in filling the gap in the national literature in the field of organizational commitment, while the empirical implications are reflected in the mechanisms and measures that are proposed at the end of the paper.