Organizational Commitment Case Study

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1.3 Problem Statement The term organizational commitment can be understood as “a psychological link between the employee and his or her organization that makes it less likely that the employee will voluntarily leave the organization” (Allen & Meyer, 1996), has been drawing the attention of organizational researchers in recent years. Though, it may be argued that while there is a growing body of theory and empirical research demonstrating relationships between HRM practices and Organizational Commitment, additional studies in this area are needed (Harter, Schmidt, & Hayes, 2002; Purcell &Kinnie, 2007). There seems to be a consensus among researchers that HRM practices are positively related to organizational commitment, there is a great need…show more content…
Thus, the relationship between HRM practices and organizational commitment need to be understood within the Ethiopian…show more content…
Firstly, the significance of the study lies in making a contribution to the literature on human resource management and organizational commitment. A literature survey suggests that previous studies have not examined the impact of human resource management practices in the context of the beverage industry. The result of the Study would help in developing a better understanding of how to manage the HRM practices keeping in view the dimensions of employee commitment. This study also raises important insights into how HRM practices encourage organizational commitment, which appears to have received little research attention in previous studies specifically in the breweries in Ethiopia. As a result, this study seeks to determine how HRM practices impact on organizational commitment in the beverage industry. Secondly, this study is significant in that it proposes to raise insights for management as stakeholders in any organization. This study proffers practical assistance to management on how management can transform their human resource management practices to motivate employees, and manage relationships and other variables so that employees can wholly commit to organizational activities. Most critical, this study informs management on the positive/negative correlation and causation between HRM practices

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