The Effects of Internal Corporate Governance on Employee Attitudes: Evidence from the Hotel Industry in Turkey

Yıl 2020, Cilt: 7 Sayı: 2, 267 - 281, 22.12.2020

Çağrı Bulut , Murat Nazlı

Öz

The dominant
excellence frameworks suggest that the attitudes of the stakeholders,
especially the employees towards the organization are one of the fundamental
indicators of excellence in the workplace. The current study propounds a
three-dimensional structure of internal corporate governance (ICG) and examines
the effects of ICG dimensions on work engagement, job satisfaction, and
organizational commitment through the hypotheses. Confirmatory factor analyses are
conducted for validating the theoretical constructs on the self-reported data
that is from 224 hotel-employees. To examine the effects of ICG on hotel
employees, five multiple regression models are developed. The results reveal
that the effects of ICG on work-related attitudes are significant. Three ICG
dimensions have joint effects on the organizational commitment of hotel
employees. Responsibility and transparency of ICG jointly predict the vigor and
dedication. The fairness of ICG predicts the absorption dimension of work
engagement. Fairness and responsibility have joint significant effects on the
job satisfaction of the hotel employees. The results provide implications for
researchers and senior managers

Anahtar Kelimeler

Fairness, Responsibility, Transparency, work engagement, organizational commitment

Kaynakça

• Alipour, H. (1996). Tourism development within planning paradigms: The case of Turkey. Tourism Management, 17 (5), 367-377.Allen, J. N., & Meyer, P. J. (1990). The measurement and antecedents of affective, continuance, normative commitment to the organization. Journal of Occupational Psychology, 63, 1-18.Aziri, B. (2014). Corporate Governance: A Literature Review. Management Research and Practice, 6 (3), 53-65.Bakker, A. B., & Demerouti, E. (2008). Towards a model of work engagement. Career Development International, 13, 209-223. Bentler, P. M. (1990). Comparative fit indexes in structural models. Psychological Bulletin, 107 (2), 238-246.Bentler, P. M., & Bonett, D. G. (1980). Significance tests and goodness of fit in the analysis of covariance structures. Psychological Bulletin, 88 (3), 588.Berglöf, E., & Pajuste, A. (2005). What Do Firms Disclose and Why? Enforcing Corporate Governance and Transparency in Central and Eastern Europe. Oxford Review of Economic Policy, 21 (2), 178-197.Blair, M. M. (2004). The Great Pension Grab: Comments on Richard Ippolito, Bankruptcy and Workers. Washington University Law Quarterly, 82, 1305-1312.Bollen, K. A. (1989). A new incremental fit index for general structural equation models. Sociological Methods and Research, 17 (3), 303-316.Botha, M. M. (2015). Responsibilities of companies towards employees. PER: Potchefstroomse Elektroniese Regsblad, 18 (2), 1-67. Bulut C., & Culha, O. (2010). Effects of organizational training on organizational commitment. International Journal of Training and Development, 14 (4), 309-323. Chen, Y., & Li, X. R. (2018). Does a happy destination bring you happiness? Evidence from Swiss inbound tourism. Tourism Management, 65, 256-266.Chen, Y. W., Huang, M. Y., Wang, J. C., & Chen, H. H. (2013). Mediating effect of organizational equity on freshmen’ organizational commitment in the workplace. Life Science Journal, 10 (3), 1162-1170.Chen, J. (2004). International Institutions and Multinational Enterprises. Edward Elgar Publishing: UK.Chi, C. G., & Gursoy, D. (2009). Employee satisfaction, customer satisfaction, and financial performance: An empirical examination. International Journal of Hospitality Management, 28 (2), 245-253.Choi, Y., & Dickson, D. R. (2009). A case study into the benefits of management training programs: Impacts on hotel employee turnover and satisfaction level. Journal of Human Resources in Hospitality & Tourism, 9 (1), 103-116.Colquitt, J. A., Conlon, D. E., Wesson, M. J., Porter, C. O., & Ng, K. Y. (2001). Justice at the millennium. Journal of Applied Psychology, 86 (3), 425-445. Corbett, D. (2004). Excellence in Canada: Healthy organizations-achieve results by acting responsibly. Journal of Business Ethics, 55 (2), 125-133.Costen, W. M., & Salazar, J. (2011). The impact of training and development on employee job satisfaction, loyalty, and intent to stay in the lodging industry. Journal of Human Resources in Hospitality & Tourism, 10 (3), 273-284.Di Fabio, A. (2016). Positive Relational Management for Healthy Organizations: Psychometric Properties of a New Scale for Prevention for Workers. Frontiers in Psychology, 7, 1523, 1-9.Dincer, M. Z., Dincer, F. I., & Ustaoglu, M. (2015). Reel Effective Exchange Rate Volatilities Impact on Tourism Sector in Turkey: An Empirical Analysis of 2003-2014. Procedia Economics and Finance, 23, 1000-1008.Doty, D. H., & Glick, W. H. (1988). Method variance in I/O research major effect or mythical beast. In Society for Industrial and Organizational Psychology Conference (pp. 374-406).Drydakis, N. (2017). Trans-employees, transitioning, and job satisfaction. Journal of Vocational Behavior, 98, 1-16.Fisher, C. D. (2010). Happiness at Work. International Journal of Management Reviews, 12 (4), 384-412.Fisher, C. D. (2000). Mood and emotions while working: Missing pieces of job satisfaction? Journal of Organizational Behavior, 21, 185-202.Freeman, R. E., Harrison, J. S., Wicks, A. C., Parmar, B. L., & De Colle, S. (2010). Stakeholder Theory: The State of the Art. Cambridge University Press, Cambridge. Friedman, A., Carmeli, A., & Dutton, J. E. (2018). When does respectful engagement with one's supervisor foster help-seeking behaviors and performance? Journal of Vocational Behavior, 104, 184-198.Gawke, J. C., Gorgievski, M. J., & Bakker, A. B. (2017). Employee intrapreneurship and work engagement: A latent change score approach. Journal of Vocational Behavior, 100, 88-100.Gonzalez-Mulé, E., Carter, K. M., & Mount, M. K. (2017). Are smarter people happier? Meta-analyses of the relationships between general mental ability and job and life satisfaction. Journal of Vocational Behavior, 99, 146-164.Gracia, E., Marisa, S., Rosa, G., & Eva, C. (2013). How to enhance service quality through organizational facilitators, collective work engagement, and relational service competence. European Journal of Work and Organizational Psychology, 22 (1), 42-55.Guillet, B., & Mattila, A. (2010). A descriptive examination of corporate governance in the hospitality industry. International Journal of Hospitality Management, 29 (4), 677-84.Guo, L., Baruch, Y., & Russo, M. (2017). Work resources and civic engagement: Benefits to employee physical and mental health. Journal of Vocational Behavior, 100, 56-66.Hackman, J. R., & Oldham, G. R. (1980). Work redesign. Addison-Wesley Publishing Company: Reading, Massachusetts. Hackman, R. J., & Oldham, R. G. (1974). Job Diagnostic Survey. Technical Report No. 4, Yale University. Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2010). Multivariate Data Analysis, Pearson: New Jersey. Harrison, J. S., & Freeman, R. E. (1999). Stakeholders, Social Responsibility and Performance. Academy of Management Journal, 42 (5), 479-485.Hosie, P. J., Sevastos, P. P., & Cooper, C. L. (2006). Happy performing managers. Edward Elgar Publishing: Northampton, MA.Hsiao, J. P. H., Jaw, C., Huan, T. C., & Woodside, A. G. (2015). Applying complexity theory to solve hospitality contrarian case conundrums. International Journal of Contemporary Hospitality Management, 27 (4), 608-647.Janssen, O. (2001). Fairness perceptions as a moderator in curvilinear relationships between job demands, performance and satisfaction. Academy of Management Journal, 44, 1039-1050.Jensen, M. C. (1993). The modern industrial revolution, exit, and the failure of internal control systems. The Journal of Finance, 48 (3), 831-880.Kabasakal, H., & Bodur, M. (2002). Arabic cluster: a bridge between East and West. Journal of World Business, 37 (1), 40-54.Kahn, W. A. (1990). Psychological conditions of personal engagement and disengagement at work. Academy of Management Journal, 33, 692-724.Karatepe, M. O., & Olugbade, A. O. (2009). Effects of job and personal resources on hotel employees’ work engagement. International Journal of Hospitality Management, 28, 504-512.Linda, S., Jeanne, B., Joseph, P. B., & Anne, H. R. (1996). Agency Theory and Variable Pay Compensation Strategies. Academy of Management Journal, 39 (33), 751-767.Lindell, M. K., & Whitney, D. J. (2001). Accounting for common method variance in cross-sectional research designs. Journal of Applied Psychology, 86 (1), 114.Lu, L., Lu, A. C. C., Gursoy, D., & Neale, N. R. (2016). Work engagement, job satisfaction, and turnover intentions: A comparison between supervisors and line-level employees. International Journal of Contemporary Hospitality Management, 28 (4), 737-761.Luo, Y. (2005). Corporate Governance and Accountability in Multinational Enterprises: Concepts and Agenda. Journal of International Management, 11 (1), 1-18.Lundberg, C., Gudmundson, A., & Andersson, T. D. (2009). Herzberg’s two-factor theory of work motivation tested empirically on seasonal workers in hospitality and tourism. Tourism Management, 30 (6), 890-899.Macey, W. H., & Schneider, B. (2008). Meaning of employee engagement. Industrial and Organizational Psychology, 1, 3-30.Marsh, H. W., & Hocevar, D. (1985). Application of confirmatory factor analysis to the study of self-concept: First and higher-order factor models and their invariance across groups. Psychological Bulletin, 97 (3), 562-582.Meyer, J. P., & Allen, N. J. (1991). A three-component conceptualization of organizational commitment. Human Resource Management Review, 1 (1), 61-89.Ministry of Culture and Tourism (2007). Tourism Strategy 2023. T.R. Ministry of Culture and Tourism Publications, No. 3090.Nart, S., Sututemiz, N., Nart, S., & Karatepe, O. M. (2019). Internal marketing practices, genuine emotions and their effects on hotel employees’ customer-oriented behaviors. Journal of Human Resources in Hospitality & Tourism, 18 (1), 47-70.Nazli, M. (2016). Does Sustainability Matter? A Qualitative Study in Tourism Industry in Turkey. Journal of Yaşar University, 11 (44), 339-350.Ng, T. W., & Allen, T. D. (2018). Organizational attachment and health. Journal of Vocational Behavior, 107, 1-14.OECD (2015). G20/OECD Principles of Corporate Governance. OECD Publications: Paris.OECD (2004). Corporate Governance. OECD Publications: Paris.Okuyucu, A. (2013). Tourism Development in Turkey: Development Process, Challenges, and Patterns. International Journal of Social Science, 6 (7), 815-827.Podsakoff, P. M., MacKenzie, S. B., & Podsakoff, N. P. (2012). Sources of method bias in social science research and recommendations on how to control it. Annual Review of Psychology, 63, 539-569.Salami, O. L., Johl, S. K., & Ibrahim, M. Y. (2014). A holistic approach to corporate governance: A conceptual framework. Global Business and Management Research, 6 (3), 251-255.Setyaningrum, R. P. (2017). Relationship between Servant Leadership in Organizational Culture, Organizational Commitment, Organizational Citizenship Behavior, and Customer Satisfaction. European Research Studies, 20 (3A), 554-569.Sherf, E. N., & Venkataramani, V. (2015). Friend or Foe? The impact of relational ties with comparison others on outcome fairness and satisfaction judgments. Organizational Behavior and Human Decision Processes, 128, 1-14.Sonnentag, S., Venz, L., & Casper, A. (2017). Advances in recovery research: What have we learned? What should be done next? Journal of Occupational Health Psychology, 22 (3), 365.Timor, A. N. (2011). International Congress Tourism: Overview in the World and Turkey. Nature Sciences, 6 (3), 124-144.Tosun, C., Timothy, D. J., & Ozturk, Y. (2003). Tourism Growth, National Development and Regional Inequality in Turkey. Journal of Sustainable Tourism, 11 (2/3), 133-161. Weiss, H. M. (2002). Deconstructing job satisfaction: Separating evaluations, beliefs, and affective experiences. Human Resource Management Review, 12 (2), 173-194.Wintoki, M. B., Linck, J. S., & Netter, J. M. (2012). Endogeneity and the dynamics of internal corporate governance. Journal of Financial Economics, 105 (3), 581-606.WTO (2019). International Tourism Highlights 2019 Edition. UNWTO Publications.WTO (2017). Tourism Highlights 2017 Edition. UNWTO Publications. Varotti, F. D. P., & Malaia, J. M. (2016). The practice of corporate governance and its influence on stakeholders involved in the development of a sporting project of SESI-SP. PODIUM: Sport, Leisure and Tourism Review, 5 (1), 1-17.Venkatachalam, B. V., & Patwardhan, V. (2011). An Exploratory Study on Corporate Governance Practices in the Indian Hotel Industry. South Asian Journal of Tourism and Heritage, 4 (2), 68-77.