A 'Human Growth' Perspective on Organizational Resources, Worker Satisfaction and Firm Performance

33 Pages Posted: 10 Apr 2014

See all articles by Silvia Sacchetti

Silvia Sacchetti

University of Trento; European Research Institute on Cooperative & Social Enterprises (EURICSE)

Ermanno C. Tortia

University of Trento - Department of Economics and Management; Euricse

Date Written: April 9, 2014

Abstract

The paper deals with the mediating role of immaterial satisfaction between substantive organizational substantive features, defined as resources by on-the-job autonomy, involvement, teamwork and workload pressure, and organizational performance, defined in terms of improvements in product quality and innovation. We address this relationship in the Italian social service sector using a survey dataset that includes 4,134 workers and 320 not-for-profit social cooperatives. We apply a structural equation model including both observed and latent variables. Direct, indirect and total effects in the structural model show that: (i) worker autonomy in introducing innovation positively influences performance; (ii) involvement bears positively on performance when its effect is mediated by immaterial satisfaction; (iii) the negative impact of task-autonomy on performance is almost counterbalanced by its positive impact on worker satisfaction. To control for common method bias we resort to post-hoc testing and introduce three distal sources of subjective data from directors, managers and paid workers.

Keywords: Satisfaction, creativity, autonomy, involvement, teamwork, firm performance

JEL Classification: J28, J81, L15, L25, L84, M54

Suggested Citation

Sacchetti, Silvia and Tortia, Ermanno C., A 'Human Growth' Perspective on Organizational Resources, Worker Satisfaction and Firm Performance (April 9, 2014). Euricse Working Papers, 66 | 14, Available at SSRN: https://ssrn.com/abstract=2422805 or http://dx.doi.org/10.2139/ssrn.2422805

Silvia Sacchetti

University of Trento ( email )

Via Giuseppe Verdi 26
Trento, Trento 38152
Italy

European Research Institute on Cooperative & Social Enterprises (EURICSE)

Via S. Giovanni 36
38122 Trento (TN)
Italy

Ermanno C. Tortia (Contact Author)

University of Trento - Department of Economics and Management ( email )

Via Inama, 5
Trento, TN Trento 38122
Italy
00390461882383 (Phone)
00390461882222 (Fax)

HOME PAGE: http://www.unitn.it

Euricse ( email )

Via Torre Verde, 5
38122 Trento (TN), TN 38122
Italy

HOME PAGE: http://www.europee.eu

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