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The moderating effects of transformational leadership and self-worth in the idiosyncratic deals – employee reactions relationship

The moderating effects of transformational leadership and self-worth in the idiosyncratic deals –... This paper examines the relationship between timing of negotiations and idiosyncratic deals (i-deals) through the moderating effects of core self-evaluations (CSE), and between i-deals and employee reactions through the moderating effects of transformational leadership behaviour (TLB) in the Indian hospitality industry.Design/methodology/approachA total of 275 employees working in 39 companies responded to a self-administered questionnaire. To test the research hypotheses, the methodology of structural equation models was used.FindingsThe results show that the relationship between before hiring negotiations and i-deals is stronger for those individuals who had low self-worth, due to countervailing forces created by their belief that they may not be eligible for i-deals. In contrast, the relationship between after hiring negotiations and i-deals is stronger for those who had high self-worth, due to their belief that they were entitled to i-deals. Additionally, the research highlights that the relationship between i-deals and employee reactions is stronger for those organisations, which are high on TLB.Research limitations/implicationsThe data does not allow for investigating dynamic causal inferences, because they were collected using a questionnaire at a single point in time, and they were reported in retrospect, raising measurement concerns about recall bias.Practical implicationsFrom a managerial point of view, the findings of this study inform that in negotiating both employment conditions and work arrangements, organisations should try to achieve i-deals that are primarily flexibility focused, and that in increasing efficiency organisations should make the employees feel well supported in order to develop more confidence in deploying skills and abilities to address a more open view of their i-deals.Originality/valueThe study contributes to our understanding about the Indian hospitality industry by utilising the self-enhancement theory in examining whether individual differences moderate the relationship between the timing of negotiations and i-deals, and also by utilizing the social exchange theory to examine whether TLB moderates the relationship between i-deals and employee reactions. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Personnel Review Emerald Publishing

The moderating effects of transformational leadership and self-worth in the idiosyncratic deals – employee reactions relationship

Katou, Anastasia; Budhwar, Pawan; Chand, Mohinder D.
Personnel Review , Volume 49 (7): 20 – Sep 21, 2020
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Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
0048-3486
DOI
10.1108/pr-11-2019-0596
Publisher site
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Abstract

This paper examines the relationship between timing of negotiations and idiosyncratic deals (i-deals) through the moderating effects of core self-evaluations (CSE), and between i-deals and employee reactions through the moderating effects of transformational leadership behaviour (TLB) in the Indian hospitality industry.Design/methodology/approachA total of 275 employees working in 39 companies responded to a self-administered questionnaire. To test the research hypotheses, the methodology of structural equation models was used.FindingsThe results show that the relationship between before hiring negotiations and i-deals is stronger for those individuals who had low self-worth, due to countervailing forces created by their belief that they may not be eligible for i-deals. In contrast, the relationship between after hiring negotiations and i-deals is stronger for those who had high self-worth, due to their belief that they were entitled to i-deals. Additionally, the research highlights that the relationship between i-deals and employee reactions is stronger for those organisations, which are high on TLB.Research limitations/implicationsThe data does not allow for investigating dynamic causal inferences, because they were collected using a questionnaire at a single point in time, and they were reported in retrospect, raising measurement concerns about recall bias.Practical implicationsFrom a managerial point of view, the findings of this study inform that in negotiating both employment conditions and work arrangements, organisations should try to achieve i-deals that are primarily flexibility focused, and that in increasing efficiency organisations should make the employees feel well supported in order to develop more confidence in deploying skills and abilities to address a more open view of their i-deals.Originality/valueThe study contributes to our understanding about the Indian hospitality industry by utilising the self-enhancement theory in examining whether individual differences moderate the relationship between the timing of negotiations and i-deals, and also by utilizing the social exchange theory to examine whether TLB moderates the relationship between i-deals and employee reactions.

Journal

Personnel Review – Emerald Publishing

Published: Sep 21, 2020

Keywords: Idiosyncratic deals; Timing of negotiations; Employee reactions; Self-evaluation; Transformational leadership; India

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