Organizational Commitment Construct: Validity Measure Using SEM

Abstract

The organizational commitment is recognized as one of the most important determinants of employee attachment. It is define as the desire of employees to attach with organization and hence has a strong connection with employee behaviour and performance. The aim of this study is to establishing the validity and reliability of organizational commitment construct. The social lab for testing the nine items’ construct was small and medium scale firms operating in Pakistan. Total 311 respondents were participated in this study. Exploratory factor analysis (EFA) and confirmatory factor analysis (CFA) were used to measure the construct. The EFA results suggested that all nine items of organizational commitment are valid, hence applicable in context of SMEs. However, the in depth analysis of CFA results identified that three items of organizational commitment have very low factor loadings and hence not appropriate in this context. Therefore, only six items are appropriate to measure the organizational commitment in SMEs. Albeit, these results show that organizational commitment is a valid and reliable scale to measure commitment in SMEs.

Keywords: Organizational commitment, validity construct, EFA, CFA, SME

JEL Classification: C1, C10, E2, E24