Measuring the Impact of Learning Organization on Job Satisfaction and Individual Performance in Greek Advertising Sector

Outline

• Abstract
• Keywords
• 1. Introduction
• 2. Theoretical Background
• 2.1. Learning Organization & Work Outcomes
• 3. Sample & Questionnaire Design
• 4. Data Analysis & Results
• 4.1. Principal Component Analysis
• 4.2. Mediated Regression Analysis
• 5. Discussion & Conclusions
• References

Conclusions

The present study provides additional support for prior research works reporting that learning organization exerts a strong positive impact on both job satisfaction (Chang & Lee, 2007; Dirani, 2009; Egan et al, 2004) and individual performance (Davis & Daley, 2008; Ellinger et al, 2002; Weldy. 2009).

Findings testify a positive relationship between learning organization and job satisfaction, stating that the higher the extent to which an organization has set workplace learning as a principal priority, the more satisfied staff members appear with their job. This result supports findings of several previous empirical studies, which discovered organization’s learning behaviour to be critical predictor of job satisfaction (Erdem et al, 2014; Lee-Kelley et al, 2007; Mirkamali et al, 2011; Rose et al, 2009; Rowden & Conine, 2005; Nasiopoulos, Sakas, Vlachos, 2014). Moreover, this study is in congruence with inquiries conducted by Leslie et al (1998), Mulraney and Turner (2001), who combined the ample provision of learning and development opportunities to staff members, with the attainment of their individual objectives and the consequent work pleasure originated from this accomplishment. Among the seven components of learning organization, strategic leadership, empowerment, inquiry and dialogue, emerged as the most significant dimensions directly associated with job satisfaction. The learning leader tends to regularly offer employees generous opportunities for learning and training, self-improvement and professional advancement. Ηe systematically mentors and coaches his/her subordinates as well as empowers them to be actively involved in the implementation of organizational vision and the achievement of corporate goals. Job satisfaction stemming from staff members’ ability to strongly impact their work environment and daily routine, is also significantly reinforced by the regular provision of opportunities for unhindered dialogue and opinion exchange, free flow of information, questioning and experimentation as well as by the establishment of trustful and respectful relationships between staff members. These results are in accordance with prior inquiries that have indicated regular provision of learning opportunities, shared leadership and empowerment, open communication and trusting relations as critical job satisfaction enhancers (Chang & Lee, 2007; Gaertner, 2000; Griffin et al, 2001; Kim, 2002).

The attainment of personal objectives does not only bring about satisfaction generation, but also ameliorates individual performance (Weldy, 2009). Our results stress that the more a company bases its operation on learning organization model, the higher performing its employees are. This finding is in congruence with inquiries carried out by Camps and Luna-Arocas (2012), Kontoghiorghes et al (2005), Yang et al (2004), who found learning organization dimensions to be crucial determinants of staff productivity and effectiveness. Moreover, this result is consistent with Vemić’s (2007) point of view emphasizing the critical significance of staff life-long learning and development for continuous individual performance improvement, as well as with findings generated by Rose et al’s (2009) research, which postulated a positive association between organizational learning and individual performance, and indicated job satisfaction as a partial mediator of this relationship. System connection, empowerment, inquiry and dialogue, are the learning organization components most significantly and directly associated with individual performance. When a company defends employee professional and individual well-being, and makes staff feel and behave as parts of a system, both their job satisfaction and performance increase. Empowering staff members to contribute to the realization of organizational vision, strengthens their commitment to organization’s principles, values and objectives; employees are highly motivated to intensify their attempts to contribute to the most effective possible organization’s operation and the achievement of optimum organizational outcomes through their continuous self-enhancement and professional advancement. In Knowledge Intensive Firms, elevated employee performance coincides with ability to efficiently acquire, manage and utilize knowledge (Storey, 2005). Therefore, unhindered dialogue and opinion sharing, questioning and experimentation, which are fundamental learning sources, favour individual performance in such companies.

In addition, our findings are consistent with prior inquiries emphasizing that job satisfaction is a significant predictor of individual performance (e.g. Chen & Silverthorne, 2008; Zimmerman & Todd, 2009). Staff members deriving increased mental and physical pleasure from their job, are strongly motivated to intensify their efforts to achieve superior individual performance and make maximum contribution to the accomplishment of organizational objectives (Judge et al, 2001; Lee et al, 2010; Rigopoulou et al, 2011). In addition, job satisfaction was found to be a mediator of the relationship between learning organization and individual performance. This finding is in agreement with the limited research work that has explored this mediating relationship (Kasim et al, 2009; Rose et al, 2009); individuals employed by organizations operating on the pattern of learning organization, portray themselves as more satisfied with their job, and this in turn strengthens their individual performance.

In the context of Greek advertising industry, learning orientation proved to constitute a factor that critically influences both job satisfaction and performance, while job satisfaction acts as a mediator of the relationship between learning organization and individual performance. Hence, in order for Greek advertising companies to deal effectively with economic malaise jeopardizing their survival, they are required to adopt a more learning-oriented modus operandi, promote knowledge-based work and strongly focus on strengthening the potential of their human asset as a prescription for increased job satisfaction and elevated individual performance. Individuals at the helm of these firms need to regularly create and utilize learning and training opportunities, generously mentor and coach their subordinates, systematically share with them views, knowledge and information as well as highly motivate all staff members to contribute to the attainment of organizational goals. Employees of all levels should be encouraged to take initiative, pursue creativity and innovation, express freely their opinion, question and experiment. Greek advertising firms should be in close and regular connection with their operating environment by safeguarding their staff well-being, taking into consideration customer views and market trends in organizational processes, foster critical understanding and thinking from a global perspective.

Although more than 67% of variance in job performance is explained by the mediation model, further research should be conducted. A more holistic approach could also examine the influence of other concepts both at the individual level such as emotional intelligence (Trivellas, Gerogiannis & Svarna, 2011; 2013), work stress (Trivellas, Reklitis & Platis, 2011; 2013; Kakkos & Trivellas 2011), infrastructure (Trivellas & Santouridis, 2013), work motivation and commitment (Trivellas, 2009; 2011; Trivellas, Kakkos & Reklitis, 2010) and at the organizational level, such as culture (Trivellas and Dargenidou, 2009; Trivellas, Reklitis & Konstantopoulos, 2007; Trivellas, Reklitis & Santouridis, 2006), strategy (Garri & Konstantopoulos, 2013; Garri et al., 2013; Trivellas, 2012), supply chain management (Antoniadis & Ananikas, 2004; Marinagi et al., 2014; Serdaris et al., 2014;), TQM (Trivellas & Santouridis, 2009), and leadership style (Antoniadis & Ananikas, 2005; Trivellas & Drimoussis, 2013; Trivellas & Reklitis, 2014).