The Moderating Role of Power Distance on the Relationship Between Employee Participation and Outcome Variables

Abstract

Background: Many organizations have realized the importance of human resource for their competitive advantage. Empowering employees is therefore essential for organizational effectiveness. This study aimed to investigate the relationship between employee participation with outcome variables such as organizational commitment, job satisfaction, perception of justice in an organization and readiness to accept job responsibilities. It further examined the impact of power distance on the relationship between participation and four outcome variables.

Methods: This was a cross sectional study with a descriptive research design conducted among employees and managers of hospitals affiliated with Tehran University of Medical Sciences, Tehran, Iran. A questionnaire as a main procedure to gather data was developed, distributed and collected. Descriptive statistics, Pearson correlation coefficient and moderated multiple regression were used to analyze the study data.

Results: Findings of the study showed that the level of power distance perceived by employees had a significant relationship with employee participation, organizational commitment, job satisfaction, perception of justice and readiness to accept job responsibilities. There was also a significant relationship between employee participation and four outcome variables. The moderated multiple regression results supported the hypothesis that power distance had a significant effect on the relationship between employee participation and four outcome variables.

Conclusion: Organizations in which employee empowerment is practiced through diverse means such as participating them in decision making related to their field of work, appear to have more committed and satisfied employees with positive perception toward justice in the organizational interactions and readiness to accept job responsibilities.

Keywords: Job Satisfaction, Organizational Justice, Organizational Readiness, Organizational Commitment, Power Distance Culture