Job Satisfaction & Performance

8/3/2019 Job Satisfaction & Performance

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Job Satisfaction & Performance

Ricardo Rodrigues Organizational Behavior


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Todays class is about job satisfaction and its

implications for organizations



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Outline

What is Job Satisfaction?

Satisfaction & Motivation

The antecedents of Job Satisfaction

The outcomes of Job Satisfaction



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Job Satisfaction

Job satisfaction is the pleasurable emotional state

resulting from the appraisal of one's job as achievingor facilitating the achievement of one's job values.

Job dissatisfaction is the unpleasurable emotional

state resulting from the appraisal of one's job asfrustrating or blocking the attainment of one's job

values or as entailing disvalues (Locke: 1969: 316)



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Satisfaction & Motivation

Job Satisfaction Attitude stemming from the

evaluation of ones working conditions and outcomesrelative to ones expectations.

Motivation Directing effort toward the attainment

of objects/conditions/outcomes (leading to job

satisfaction)



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The antecedents of Job Satisfaction

Individual Dispositions

Organizational factors

Interaction between individual and situational

factors



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Individual Dispositions

Individual differences (Personality, locus of

control, positive and negative afectivity, etc)

Demographics (Gender, age, etc.)



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Individual differencesStudy 1: Job Satisfaction: Environmental and Genetic Components

Research Question : Is there a significant genetic component to job satisfaction?

Sample: Thirty-four monozygotic twin pairs who had been reared apart from an early age (same genetics, differentcircumstances)

Method:

Subjects completed the Minnesota Job Satisfaction Questionnaire (faceted measure of JS intrinsic, extrinsic,general)

Jobs were assigned scores based on their relative complexity, motor skills, physical demands, and undesirableworking conditions associated with their respective tasks, duties, and responsibilities.

Findings: Approximately 30% of the observed variance in general job satisfaction was due to genetic factors.

Implications: Individual differences might be as important a factor in determining job attitudes as that of the job orwork environment itself

Arvey, R., Bouchard, T., Segal, N., & Abraham, L. (1989). Job Satisfaction: Environmental and Genetic Components. Journal of Applied Psychology, 74(2): 187-192.



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Individual differencesStudy 2: Dispositional Approaches to Job Satisfaction: Role of Negative Affectivity

Research Question : Does Negative Affectivity influence job satisfaction?

Note Negative Affectivity is a stable and ongoing disposition to experience aversive emotional states(anxiety, irritability, neuroticism, self-depreciation)

Sample: 315 professional employees of a large services firm in the US

Method: Subjects responded to a questionnaire measuring job characteristics, job satisfaction, and NegativeAffectivity.

Findings:

Negative Afectivity was a significant predictor of job satisfaction, though the association was notstrong.

There was a strong association between job characteristics and job satisfaction

Implications: Individual dispositions and job characteristics are important predictors of job

satisfaction.

Levin, I., & Stokes, J. (1989). Dispositional Approach to Job Satisfaction: Role of Negative Affectivity. Journal of Applied Psychology, 74(5): 752-758.



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Organizational Factors

Organizational Climate Set of characteristics that describe an organization and that (a) distinguish the organization from other organizations,

(6) are relatively enduring over time, and (c) influence the behavior of people in the organization (Forehand & Gilmer,

1964, p. 362)

Sets of characteristics include size, structure, systems complexity, leadership style, and goal directions

Job Characteristics Skill Variety, Task Identity, Task Significance, Autonomy, Feedback (Hackman & Oldham)

Loher, Noe, Moeller & Fitzgeralds (1985) meta-analysis suggests a positive relationship between job characteristics and

job satisfaction

Managerial Practices While the evidence is mixed, there is some support for the idea that high-performance and high-commitment work

practices, such as selective hiring, intensive training and performance-related pay may be associated with higher jobsatisfaction. However, labour process theorists have claimed that such practices induce stress.



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Why should organizations care about employee

satisfaction?



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The link between job satisfaction and

Organizational Performance

Until the mid-1980s it was considered that this association was weak

and inconsistent

Iaffaldano and Muchinskys (1985) meta-analysis showed that the correlation between

job satisfaction and performance was only about .17

More recent research suggests that the link between employeesatisfaction and organizational performance is more robust

Judge, Thoresen, Bono & Patton (2001) estimated the average correlation between job

satisfaction and job performance to be around .30

NOTE: These more positive results are partly explained by a broader conceptualization of performance

which includes a number of employee outcomes such as turnover, absenteeism or organizational

citizenship behaviors



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The Service Profit Chain

HESKETT, J. L., JONES, T. O., LOVEMAN, G. W., SASSER, W. E. & SCHLESINGER, L. A. (1994) Putting the service-profit chain to work. Harvard Business Review, 72, 164-174.



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The link between employee satisfaction and

customer satisfaction

Emotional contagion theory - the emotions displayed by an individual

produce a corresponding change in the emotional state of the observer(Wangenheim, Evanschitzky & Wunderlich, 2007: 692)

Evidence

Harter, Schmidt & Hayes (2002) - Using data from 7939 business units in 36

companies found that employee satisfaction is associated with customer

satisfaction and organizational productivity and profit

Brown & Lam (2008) - Their meta-analysis suggests that employee satisfaction is

associated with customer satisfaction and perceived service quality



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SEARS employee-customer-profit model

HOW did SEARS went from big losses to big profits under the leadership of CEO Arthur Martinez?

STEP 1- Focus on employees: Turning SEARS into a great place to work Replacing extensive procedure manuals (+29000 pages) with consice collection of documented principles such

as freedoms and obligations of staff, shared beliefs and leadership principles

Empower managers by giving them information to make decisions

Intensive training Emphasis on a value-oriented environment

360 feedback for a larger number of managers

STEP2 Focus on customers: Making SEARS a great place to shop Great merchandise at great values

Excellent customer service from the best people

Fun place to shop

Customer loyalty

STEP3 Making SEARS a great place to Invest

Revenue growth Efficient asset management

Productivity gains


Documents

Job Satisfaction & Performance