Organisational climate and managerial performance: the mediating role of goal commitment

Yousef L.S Sabbah · Ruzita Jusoh · S Zainuddin

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Employee Performance and Management Accounting and Organizational Management Management and Organizational Practices

Abstract

This study empirically examines the role of organisational climate characterised by fairness, innovativeness, and affiliation in increasing managerial performance. Besides, this study also explores the role of budget goal commitment in mediating the relationship between organisational climate and managerial performance. A total of 178 questionnaire surveys were collected from managers at publicly listed companies in Jordan and analysed using Smart PLS. The findings reveal an insignificant positive relationship between organisational climate and managerial performance. This study also found that organisational climate has a positive and significant relationship with budget goal commitment, affecting managerial performance. Hence, goal commitment plays a fully mediating role in the relationship between organisational climate and managerial performance, indicating that organisational climate, directly and indirectly, influences managerial performance through goal commitment.

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