Spotlighting employee-organization relationships: The role of organizational respect and psychological capital in organizational performance through organizational-based self-esteem and perceived organizational membership

This research examines the function of organizational respect and psychological capital in influencing performance through organization-based self-esteem and perceived organizational membership as mediators. We gathered data from 240 working executives from different industries and employed partial least squares structural equation modeling to test hypotheses. We comprehensively tested the measurement and structural models to understand the relationships among the constructs. We find that organizational respect has a positive impact on organization-based self-esteem and perceived organizational membership and impacts organizational performance positively. Perceived organizational membership partially mediates the relationship between organizational respect and organizational performance. Organization-based self-esteem partially mediates the relationship between respect and perceived organizational membership. Employee's psychological capital facilitates organization-based self-esteem. This study highlights the importance of organizational respect in developing organization-based self-esteem and perceived organizational membership leading to performance. Psychological capital also plays a significant role in enhancing self-esteem and perceived organizational membership. We contribute by presenting one of the first studies establishing the role of organizational respect in enhancing performance through organization-based self-esteem and perceived organizational membership. We highlight that organizations should invest in developing strong employee-organization relationships through respect. This will enable them to cultivate a robust perception of sense of community and belongingness, enhance employees' self-esteem, promote cooperative behaviors and improve collective performance. They should also support the development of psychological capital through developmental training toward the same ends.