The Role of HRM System and Organisational Culture in Employee Engagement and Organisational Performance
Degree GrantorUniversity of Canterbury
Degree NameMaster of Science
Work engagement is a desirable attribute of employees that organisations must attempt to foster and enhance. Engaged employees are focused and fully immersed in their tasks, resilient to high levels of job demands, and experience a sense of pride and meaningfulness within their work. Therefore, it is important that organisations understand the mechanisms that enhance work engagement, particularly whether and how its HRM systems contribute to levels of engagement. The present study examined the contributions of HRM systems to engagement. Furthermore, although organisations implement HRM systems with the purpose of increasing the performance of their workforce, empirical evidence supporting the relationship between HRM systems and organisational performance is scarce, therefore this is also a focus of this study. Additionally, organisational culture will be investigated as the social context that enhances engagement and performance beyond the effects of existing HRM systems. Hence, this study explored the role of HRM systems and organisational culture on employee engagement and perceived organisational performance. Ninety-seven Thai employees from various organisations completed an internet- based survey. Results from multiple regressions suggest that engagement can be maintained or enhanced to the extent that employees are offered responsibility in the organisation and participate less in job training, and that the organisational culture is one that focuses on flexibility, individualism, entrepreneurship, and innovativeness. Moreover, the findings show a positive association between organisational performance and opportunities for advancement, job security, and competitive and goal oriented organisational culture. The limitations and implications of this study were addressed, along with recommendations for future research.