positive psychological capital and job performance

POSITIVE PSYCHOLOGICAL CAPITAL AND JOB PERFORMANCE: THE MEDIATING ROLE OF JOB SATISFACTION

Omar Durrah1*, Abdukarim Alhamoud2, Khaliquzzaman Khan3 1

Department of Management and Marketing, College of Commerce and Business Administration, Dhofar University, Salalah, Sultanate of Oman. 2Department of Management, Leaders Training Center, Istanbul, Turkey. 3Department of Management and Marketing, College of Commerce and Business Administration, Dhofar University, Salalah, Sultanate of Oman.*[email protected]

ABSTRACT The present research aims to explore the relationship between positive psychological capital and job performance among instructors in Philadelphia university, Jordan. Furthermore, it identifies job satisfaction as a mediator variable on the relationship between positive psychological capital and job performance. Survey data collected from 110 instructors from three academic ranks (assistant professor, associate professor and professor) of 8 faculties in Philadelphia University. Simple regression analysis and two-stage least squares analysis has been used to test of hypotheses. The results showed the level of positive psychological capital, job performance and job satisfaction are in high level among the instructors in Philadelphia university. As the research pointed to the existence of a significant relationship between Positive psychological capital and each of the job performance and job satisfaction, also job satisfaction significantly correlated to job performance. However, job satisfaction mediates the relationship between positive psychological capital and job performance. Keywords: Positive Psychological Capital (PsyCap), Job Performance, Job Satisfaction, Instructors, Philadelphia University, Jordan. JEL Classifications: M10, M12

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1. INTRODUCTION The educational sector plays an important role in forming the economy of Jordan, the success of sector of education as a service organization depends greatly on the psychological factor, instructor’s performance and their satisfaction. The instructors are the major factor in providing best service to students and help in improving the total performance of the universities. The instructors have a crucial role to improve the quality of educational service, and enhance the image of universities, and strengthen the level of satisfaction in general. So this research comes to confirm the importance of ambiguity in the psychological and behavioral side of the faculty members, and to find appropriate mechanisms that would provide fertile ground for the launch of talent and creative ideas of human capital in the universities from the premise that the psychological capital enhances the functionality of the instructors. Positive psychological capital (PsyCap) emerged as extending for recent another types of capital, such as social capital and human capital (Millard, 2011). Luthans & colleagues (2007) has defined PsyCap as “an individual’s good psychological situation of development". Concept of positive psychological capital has been given great interest in the recent to promote employee’s performance in organizations (Kappagoda, et al., 2014a). In contemporary business environment, employee’s performance is one of the central compositions that plays a key role in reaching goals of organizational. Job performance is the observable behaviors in tasks of employees that are related to the of the organization goals (Campbell, et al., 1990). Psychological capital plays crucial role for achieving the efficiency and effectiveness in educational organizations (Caza et al., 2010). Through a review of the literature, there are many researches about the relationship between positive PsyCap and job performance, and positive PsyCap and job satisfaction, some studies found direct correlation between positive PsyCap and job satisfaction, and job satisfaction and job performance. Anyway, the mediating role of job satisfaction on the relationship between positive PsyCap and job performance has not been tested in previous studies in Jordan and Arabic world. From this standpoint, this research aims to achieve a state of the integration between the thought of organizational behavior and the thought of human resource management, and determines the repercussions of the positive psychological capital in the educational sector on the performance of faculty members and their job satisfaction in Philadelphia university. 2. RESEARCH QUESTIONS - What is the extent of awareness of instructors at Philadelphia University, Jordan for the positive PsyCap, job performance and job satisfaction? - Does the positive PsyCap have relationship with job performance and job satisfaction? - Does the job performance correlate with job satisfaction? - Does job satisfaction mediate the relationship between positive PsyCap and job performance? 2

3. THEORETICAL FRAMEWORK 3.1. Positive Psychological Capital (PsyCap) The concept of positive psychological capital (PsyCap) is one of the new concepts in the field of organizational behavior (Peterson & Seligman, 2004), it is called positive organizational behavior (POB) (Mathe, 2011; Avey, et al., 2010). Luthans and colleagues (2008) considered PsyCap a positive input through achieving positive results in the development of human resources and job performance. According to studies Kappagoda and colleagues (2014a); Seaton (2011); Malone (2010); Luthans and colleagues (2007) there are four dimensions of positive PsyCap. First, SelfEfficacy which refers having trust and put in the needed efforts to success in difficult business (Luthans et al., 2007). While Stajkovic & Luthans (1998) defined the selfefficacy as capita trust of his Capabilities to make ready for the motivation, Second, Optimism which is an activity relating to reach the target and self-regulation (Peterson, 2000). Optimist is a person who expects fine things to happen while a pessimist is a person who expects worse things to happen (Carver et al., 2005), Luthans and colleagues (2007) confirmed that optimism is associated with views that incidents positive feeling. Seligman (1998) described the optimists that they individuals who have an internal stability. Third, hope which refers "positive motivational case that depends on an interactive way derived sense of long successful". Hope represents the perseverance of persons in heading towards achieving organizational goals (Luthans, et.al., 2008). The hope includes Agency (persons power and determination to achieve their goals) and pathway (the planning to face goals and ability to create alternative Paths) (Avey, et al, 2009; Luthans et al., 2007; Snyder, 2000). Fourth, Resilience which is "the possibility to bounce back from intensity and failure” (Mills, et al., 2013). Resilience in positive psychology represents the process of positive adjustment in the work place (Masten, et al., 2009). While (Kappagoda, et al., 2014a) have defined the resilience as "positive power which can be used to face negative juveniles and extreme positive juveniles". 3.2. Job Performance Motowidlo and colleagues (1997) defined job performance as activities or behaviors that are oriented into the goals of organizations. The job performance of the instructors plays an important role in achieving goals of educational organizations (Kappagoda, et al., 2014b; Wang, et al., 2015). Watkins & Thomas (1991) confirmed that the job performance measures of the ability of an instructor to accomplish the work and decision-making in university. Millcy & Gonsalves, (2003) pointed to several habits may annoy students during lectures through performance of instructors such as: speed talking and low sound and chaos in the classroom. Centra (1992) observed that the effectiveness of instructor at universities can be determined through good teaching, academic guidance, scientific research, administrative tasks, and community service. Neumann (2000) confirmed the job performance has impact on academic courses, teaching methods, feedback, diversification of methods and increase of effectiveness.

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3.3. Job Satisfaction Ogaard and colleagues (2008) noted that job satisfaction refers to the feelings of employees towards their work, while Robbins (2003) defined job satisfaction as "a subjective measure of worker attitudes". Job satisfaction according to Pan and colleagues (2015) is a positive emotional case arising from the evaluation of job experiences. Hedge and Borman (2012) have identified five characteristics of the job that make up overall job satisfaction are: the work itself, satisfaction with a supervisor, satisfaction with coworkers, promotion and pay. According to Hirschfeld, (2000) job satisfaction includes two dimensions. The first intrinsic satisfaction is feeling of employees about the nature of the work such as job activity, sense of accomplishment and use of ability. The second extrinsic satisfaction is feeling of employees about work aspects that are external to the job itself such as compensation of work, human relationships and working policies. 4. EMPIRICAL EVIDENCE BETWEEN THE VARIABLES AND HYPOTHESES DEVELOPMENT 4.1. Positive PsyCap and Job Performance According to studies of (Kappagoda, et al., 2014b; Polatci & Akdogan, 2014; Marginson, et al., 2014; Venkatesh & Blaskovich, 2012; Rego, et al., 2010) exist a significantly correlation between PsyCap and job performance. Herd (2010) found that Positive PsyCap plays a vital role in improving the academic performance in high school. Harms and Luthans (2012) explained the contribution of Positive PsyCap in promoting the behaviors of instructors and improving their performance and strengthen their personalities, and the ability to rational act as in a critical condition. Sun and colleagues (2011) indicated to that PsyCap increase employee’s performance and help them to achieving their goals. Nelson & Cooper, (2007) noted that PsyCap has a direct relationship with individual performance-related work. Luthans and colleagues (2012) indicated that PsyCap dimensions (self-efficacy, hope, optimism, resilience) use as a motivating tools for the develop of educational performance and encourage instructors to do scientific researches continuously. PsyCap was found as a positive predictor of job performance in various studies such as: (Avey, et al., 2010; Luthans, et al., 2007; Peterson & Byron, 2007). In light of this, the following hypothesis can be formulated: H1: There is a significant relationship between positive PsyCap and job performance. 4.2. Positive PsyCap and Job Satisfaction Jung &Yoon (2015) found positive correlation between dimensions of psychological capital (optimism, hope, resilience and self-efficacy) and job satisfaction among employees in deluxe hotels. The research conducted by Youssef and Luthans (2007) in private and public sector, findings pointed out three dimensions of PsyCap (resilience, optimism, and hope) were a positive relationship with job satisfaction. Likewise; Mello (2012) Conducted a study among administrative personnel at a private institution of higher education, results showed a positive relationship between PsyCap and Job Satisfaction. While Uslu (2010) in his research reached that positive 4

PsyCap has a negative impact on job satisfaction. The research which performed by Topcu and Ocak (2012) in industrialization sector in Bosnia Herzegovina and Turkey, where showed an inverse relationship between PsyCap and job satisfaction in sample of Bosnia Herzegovina; While, in the sample of Turkey was positive relationship. Similarly, studies (Kaplan & Biçkes, 2013; Cetin and Basım, 2011) found positive correlation between psychological resiliency and job satisfaction. Based on the aforementioned review, we state the following hypothesis: H2: There is a significant relationship between positive PsyCap and job satisfaction. 4.3. Job Satisfaction and Job Performance Muhammad (2015) found that the job satisfaction affects positively and significantly on instructor’s performance in High Schools, Also Ryan, (2012) confirmed existence positive influence for job satisfaction on performance of teachers in secondary schools. According to Ademola and colleagues (2009) explored that the performance of coaches not necessarily depends on job satisfaction; and job satisfaction might be more reliant on psychological and social situations of the work in secondary schools. Chamundeswari & Hallberg (2013) explained that countries progress in the scope of technology and science depends on the instructor’s quality in transfer knowledge and teach the students, where the findings showed a positive relationship between job satisfaction and job performance. Peng (2012) used (SEM) structural equation modeling, to explore the relationship between job satisfaction and job performance at university librarians in Taiwan. findings showed that job satisfaction is significantly related to job performance. Based on the aforementioned review, the following hypothesis is formulated: H3: There is a significant relationship between job satisfaction and job performance. 4.4. Job Satisfaction as Mediator between Positive PsyCap and Job Performance Studies that dealt with job satisfaction as a mediator variable on the relationship between psychological job performance is limited, from these studies mention study Muhammad and colleagues (2014) which concluded that job satisfaction plays mediating role in the relationship between the PsyCap and job performance. In another study of Gokhan & Azize (2014) checked the mediating effects of PsyCap on the relationship between individual performance and job satisfaction on a sample of 260 medical staff, the results found PsyCap playing the role of mediator variable on the relationship between individual performance and job satisfaction. The study fulfilled by Erkuş & Fındıklı, (2013) that there was significant correlation between every tow variable, PsyCap and job performance, PsyCap and job satisfaction, job performance and job satisfaction. In light of this, the following hypothesis can be formulated: H4: Job satisfaction mediates the relationship between positive PsyCap and job performance. Therefore, the proposed research model was formulated as following (Figure 1):

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Job Satisfaction

H2

H3 H4

Positive PsyCap

Job Performance

H1

Figure 1: Research Model 5. METHODOLOGY 5.1 Design The current research depended on descriptive analytical method to examine the relationship between positive psychological capital and job performance of the job at Philadelphia University. And investigate job satisfaction at instructors as a mediator on the relationship between positive PsyCap and job performance. 5.2 Population and Sample The population of research consisted of instructors from three academic ranks in 8 faculties at Philadelphia University. 110 instructors have been selected using a convenient sampling method. Table 1: Information about the publication and the sample Faculty Engineering Arts Business Pharmacy IT Sciences Law Nursing Total

No. of Instructors 57 43 42 24 17 15 8 7 213

No. of Sample 33 18 30 11 5 4 6 3 110

Percent 30.00 16.37 27.27 10.00 4.54 3.64 5.46 2.72 100.0

5.3 Measures To collect data, a structured questionnaire has been developed from existing measurement scales. Positive psychological capital was measured by scale of 6

(Luthans et al., 2007; Sapyaprapa, et al., 2013), it was consisted of 24 items. Scale of Saraira (2011) was used to measure job performance at instructors; it was consisted of 9 items. While job satisfaction of instructor in university was measured by scale of Peng (2014) which consist of 8 items. The questionnaire was sent to experts in scientific research field to give feedback about content and clarity of statements, thus had achieved scale validity. 5.4. Statistical Analysis Methods Program of (SPSS) has been used to test hypotheses of the research using the following statistical methods: mean, standard deviations, simple Pearson correlation coefficient, simple regression analysis and two -stage least squares analysis. 6. ANALYSIS AND RESULTS Table 2: Mean, standard deviation, items no, Cronbach's alpha and correlations M

S.D

Items No.

1

Positive PsyCap

4.31

0.409

24

(0.890)

2

Job Performance

4.53

0.428

9

0. 464**

(0.814)

3

Job Satisfaction

4.35

0.352

8

0.482**

0.779**

S

Variables

1

Values in parentheses indicate the Cronbach's alpha reliability estimates. N=110. the 0.01 level.

2

3

(0.720)

**

. Correlation is significant at

Table 3: Results of simple regression analysis Β

R2

Positive PsyCap (Independent Variable), Job Performance (Dependent Variable)

0.464

0.215

29.66*

0.00

Positive PsyCap (Independent Variable), Job Satisfaction (Dependent Variable)

0.482

0.232

32.61*

0.00

Job Satisfaction (Independent Variable), Job Performance (Dependent Variable)

0.779

0.808

455.70*

0.00

Variables

F- value P- value

Table 4: Results of two-stage least squares analysis Positive PsyCap & Job Performance Mediator Variable 2 Job Satisfaction

β

R

R

F value

T value

P value

0.964

0.724

0.524

118.88*

10.90

0.00

According to the data in table 2, reliability of the scales has been estimated using Cronbach’s Alpha where the results show high values of consistency, all the values were above (0.60). The data in table 2, showed that level of Positive PsyCap, Job Performance and Job Satisfaction was high among the instructors at Philadelphia University. Also the data in same table 2 represented coefficient of correlation between variables, which indicated to significant relationships between positive 7

PsyCap and job performance (r = 0.464). and positive PsyCap and job satisfaction (r = 0.482), and job satisfaction and job performance (r = 0.779). According to the data in table 3, positive PsyCap has significant correlation with job performance, and positive PsyCap has also significant correlation with job satisfaction. In addition, the job satisfaction has significantly correlated to job performance. According to the results of the correlation coefficient and analysis of simple regression, hypotheses H1, H2 and H3 can be accepted. Based on the results of two-stage least squares analysis in table 4, the introduction of job satisfaction as mediator variable between positive PsyCap and job performance increases the explanatory power from 0.215 to 0.524. This means the mediator variable has positive role in that relationship. Based on the results of two-stage least squares analysis, fourth hypothesis can be accepted. Table 5: Result of Hypotheses Hyp. Paths H1 Positive PsyCap Job Performance H2 Positive PsyCap Job Satisfaction H3 Job Satisfaction Job Performance Job Satisfaction Positive PsyCap & Job H4 Performance

P -value 0.00 0.00 0.00 0.00

Results Accepted Accepted Accepted Accepted

7. RESULT DISCUSSION Mean of Positive PsyCap among instructors in Philadelphia University was 4.31, this is high, due to the university's focus on the psychological aspect of an instructors because of its importance in the educational process composition. In addition to the instructors have psychological readiness and strong willingness to achieve the objectives and success. This result is consistent with results of studies of (Bergheim, et al., 2015; Avey, et al., 2010) which showed a high level of Positive PsyCap. Average of job performance of instructors at Philadelphia University was high, it reaches 4.53, this is because of the ability of instructors to familiarity with sufficient information about the work at the university, and availability of efficiency and effectiveness in the performance of tasks required of them and the desire for academic and professional growth. This finding is consistent with the findings of studies of (Venkatesh & Blaskovich, 2012; Saraira, 2011) which showed a high performance level. Similarly, job satisfaction level of instructors in Philadelphia university was high also, it reached 4.35, This may be due to instructors feeling of psychological comfort and equality among them in terms of salaries, incentives and promotion opportunities, as well as satisfaction about the official working hours and relationships with colleagues and management, and a sense of complacency about the regulations and instructions adopted in this university. This finding is consistent with the findings of studies of (Brian, et al., 2015; Peng, 2014) which revealed a high level of job satisfaction. 8

The results showed that positive PsyCap has significant relationship with job performance, where correlation coefficient was 0.464, The reason for the existence of this relationship is due to the support of the university management for instructors, and good selection for academic staff process, in addition to the desire the instructors to promotion, and possessing confidence and strong motivation to perform their job efficiently, whatever the circumstances. This finding is consistent with the findings of studies of (Anjum, e al., 2014; Polatci & Akdogan, 2014; Marginson, et al., 2014) who found significant relationship between positive PsyCap and job performance. The research found significant relationship between positive PsyCap and job satisfaction, where correlation coefficient was 0.482, can interpret this result because the availability of psychological factor motivates instructors to overcome the difficulties and problems in the work environment, and gives them the confidence and flexibility in their work and gives them hope to develop themselves in the university, All of these make them more satisfied about their work and their relationships with colleagues and the management and the university in general. This finding is consistent with the findings of (Jung &Yoon, 2015; Kaplan & Bickes, 2013) which reached a positive correlation between them, while varies with studies of (Topcu & Ocak, 2012; Gohel, 2012) which found no relationship between them. The results showed a strong correlation between job satisfaction and job performance, where the correlation coefficient was 0.779, this relationship is logical, As the instructor who rises satisfaction about his work, thus increasing enthusiasm for work and increasing turnout him, and rise his spirits, and his trends to his job and his university, this will reflect positively on his performance and productivity. This result reached many studies that proved the existence of a positive relationship between the job satisfaction and job performance such as: (Brian, et al., 2015; Jabbari, et al., 2014; Peng, 2012). Findings showed that job satisfaction mediates the relationship between positive PsyCap and job performance, where the correlation coefficient was 0.724; this refers to the entry of job satisfaction as a mediator variable led to the improvement of the relationship between two variables (positive PsyCap and job performance). Can explain this result that whenever the instructor was satisfied with his work, this will reflect positively on the psychological condition and gives him more self-confidence and resilience and optimism, and this in turn is reflected in improved job performance at the university. This result is consistent with study of Muhammad and colleagues (2014) which proved the existence of the effect of job satisfaction as the mediator variable on the relationship between the positive PsyCap and job performance. 8. PARTICAL IMPLICATIONS Our findings indicate to several practical implications. First, our results suggest that the research provide valuable insights for researchers, deans, managers and instructors in Jordanian universities. Second, results of research referred to the important and positive role of instructor’s satisfaction at the university, and its impact on the 9

psychological factor of the faculty members, and direct reflection on the improvement of the level of their performance at the university. Third, this research draws several implications, where the dean and chairman every division can utilize from this information when evaluation of instructor’s performance in university. So the university should pay more attention into positive PsyCap concept through hiring a specialized colleges and scientific research centers to adopt this concept, it can be enhanced by including it in the curriculum. The instructors must participate in training courses, scientific conferences and workshops in order to improve the level of performance commensurate with the quality of university education requirements. Also the university must encourage scientific achievements among faculty members with the need to facilitating and circulating the conditions and procedures of promotion, and equal opportunities for all, and adjust it in terms of requirements and needed time. In addition, adjust the number of students in the classrooms where not to exceed (30) students, as this has the effect of increasing the effectiveness of instructor and his satisfaction. Finally, necessity the focus on the specified factors of job satisfaction for instructors through reconsider in the level of salaries and increase in proportion to the nature of their profession, and attention to give equal opportunities for instructors to fill administrative jobs, and expand opportunities for instructors to acquire new skills and abilities in their work such as: languages, modern teaching, Sabbatical etc… 9. LIMITATIONS AND FUTURE DIRECTIONS There are several limitations in this research. The first limitation that data collection was limited to instructors at Philadelphia University. Second limitation was relying on instructors who have a PhD degree from following academic ranks (assistant professor, associate professor, professor). Third limitation in this research that the main variables were positive PsyCap, job performance and job satisfaction. Where the research attempted to determine the mediating role of job satisfaction on the relationship between positive PsyCap and job performance. The present research provided various paths for researchers in future to explore potential mediators for the relationship between positive PsyCap and job performance such as: organizational commitment, job stress, organizational climate. In addition, make similar researches on other communities such as banks, hospitals and hotels in Jordan. 10. CONCLUSION In this research, the relationship between positive PsyCap, job performance and job satisfaction is analyzed through set of data obtained from questionnaire tool at Philadelphia university in Jordan. Based on the findings of the research, it can be concluded that there is high level among instructors at Philadelphia university of positive PsyCap, job performance and job satisfaction. Also the correlation between PsyCap and job performance, PsyCap and job satisfaction, job satisfaction and job performance are positive and significant. In addition, the job satisfaction mediates the relationship between positive PsyCap and job performance.

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