An investigation into the relationship between the commitment of employees and their performance. A study within the Information and Communications Technology industry

Abstract

Employee commitment has been in the center of growing interests and studies for several decades. During this time different approaches and theories have been developed regarding this concept. In the same way the concept of employee performance related to the latter’s work has been the focus of attention due to a potential improvement that this term offers to an organization. A review of scientific literature explores how important it is to have committed employees and describes its impact on a company’s competitive advantage expressed through customer satisfaction, productivity, low employee turnover, tolerance to changes, low absenteeism, etc. Moreover, managing employees’ performance is also crucial related to the motivational theory with positive outcomes, such as employees’ relations, productivity, quality of the service or product, as well as financial performance of an organization. Besides, a number of authors have drawn attention to the need of exploring conceptually and empirically the relationship between employee commitment and performance. Even though, research has identified both positive and negative relationships between these two concepts, there still remain confusing points. In this thesis the relationship between employees’ commitment and performance in Information and Communications Technology industry in Armenia has been investigated. To note, no research related to this subject has been carried out in Armenia before. The critical review is followed by a field study in three ICT companies with an email-based interview conducted among 14 employees. As mentioned in the findings not only the importance of employee commitment to the firm but also the relationship and effects it has on employees’ performance as a key outcome have been identified. The findings are analyzed and discussed and conclusions are drawn at the end of the report.

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