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313 The Effect of Perceived Organizational Support on Work Engagement and Performance: A Study of International Assignees Wen-ching Chang, Chiung-han Wu, Liang-chieh Weng Providence University, Taiwan ABSTRACT Perceived organizational support (POS) emphasizes the degrees that employees recognize organizations commit to them. Randall et al. (1999) and Armeli et al. (1998) found that POS positively affects employee performance. Previous empirical studies have found that POS can positively influence the level of employee engagement (James et al. 2011; Biggs et al. 2014; Villotti et al. 2014), which shows when employees feel the concern, encourage, and support from organizations, they will have a strong work engagement in return (Bakker et al. 2008). Under the current international trend many companies are gradually becoming international. The relevant expatriate literature indicated that expatriates play very important roles in the overseas operation of multinational corporations (MNCs). Therefore, the effective management of expatriates is one of the keys to the success of MNCs. The failure of assignments, cross-cultural adjustment, turnover intentions, and repatriation are most discussed issues in the expatriates’ studies (Wang 2009; Hong 2004; Lee 2007), whereas the psychological factors is relatively rare been discussed. In addition, there are a few researches focused on the relationships among POS, work engagement, and performance of expatriates. This study thus attempts to explore the relationships among these three variables, and furthermore to investigate the mediating effect of work engagement. A total of 161 valid questionnaires answered by international assignees were used to test the hypothesis, and the results indicated that (1) POS has a significant positive effect on work engagement; (2) POS has a significant positive effect on performance; (3) work engagement has a significant positive effect on performance; and (4) work engagement has partial mediating effect on the relationship between POS and performance. In the end, this study proposes academic and practical implications and recommendations based on the research results, as well as the research limitations and recommendations for future studies. 1 INTRODUCTION Previous studies found a significant correlation between perceived organizational support and work engagement (James, McKechnie, and Swanberg 2011), moreover, many empirical studies reveal that perceived organizational support positively affects employees’ work engagement (Biggs et al. 2014; Villotti et al. 2014). It can be seen that when employees feel the concern, encouragement and support of the organization, they will be more willing to contribute to the organization and to accept challenging tasks. They will be passionate about their work, dedicate themselves to work, so that they will have higher work engagement (Bakker et al. 2008). Internationalization is the current trend worldwide. In the process of globalization, most multinational companies (MNCs) usually choose to set up subsidiaries or offices overseas for Aleria Sousa O suporte organizacional percebido (POS) enfatiza os graus que os funcionários reconhecem organizações comprometem-se com eles. Randall et al. (1999) e Armeli et al. (1998) descobriram que o POS positivamente afeta o desempenho dos funcionários. Estudos empíricos anteriores descobriram que o POS pode influenciar positivamente o nível de engajamento dos funcionários (James et al. 2011; Biggs et al. 2014; Villotti et al. 2014), que mostra Quando os funcionários sentem a preocupação, o incentivo e o apoio das organizações, eles terão uma forte trabalho engajado em troca (Bakker et al. 2008). Sob a atual tendência internacional, muitas empresas estão gradualmente se tornando internacionais. O relevante A literatura de expatriados indicou que os expatriados desempenham papéis muito importantes na operação de empresas multinacionais (EMNs). Portanto, o gerenciamento eficaz de expatriados é uma das chaves para o sucesso das multinacionais. O fracasso de atribuições, o ajuste transcultural, as intenções de rotatividade e repatriamento são as questões mais discutidas nos estudos dos expatriados (Wang 2009; Hong 2004; Lee 2007), enquanto os fatores psicológicos são relativamente raros foram discutidos. Além disso, existem alguns pesquisas focadas nas relações entre POS, engajamento no trabalho e desempenho de expatriados. Assim, este estudo tenta explorar as relações entre essas três variáveis e, além disso, investigar o efeito mediador do engajamento no trabalho. Um total de 161 questionários válidos respondidos por cessionários internacionais foi usado para testar a hipótese, e os resultados indicaram que (1) o POS tem um efeito positivo significativo no engajamento no trabalho; (2) O POS possui um efeito positivo significativo no desempenho; (3) o envolvimento no trabalho tem um efeito positivo significativo sobre desempenho; e (4) o envolvimento no trabalho tem efeito mediador parcial sobre a relação entre POS e desempenho. No final, este estudo propõe implicações e recomendações acadêmicas e práticas com base nos re 314 international deployment. In this period, MNCs need more talents which in turns of the demand of expatriates. Expatriates management has also received increasing attention as the pace of corporate internationalization has accelerated. As enterprises move toward globalization, talents must also be internationalized. The human resources department of the enterprise effectively selects outstanding talents and puts forward the method of good selection and training, and has become one of the important indicators of the enterprise. The expatriate literature also pointed out that expatriates play a very important role in the overseas company's business strategy of multinational corporations. Therefore, the effective management of expatriates is one of the keys to the success of multinational corporations in overseas operations. This study conducted a literature review and found that the majority researches of expatriates management is related to the reasons for failure of assignment, assignment performance, cross-cultural adaptation, and resignation. Few studies are aimed at the psychological level of expatriates. Previous studies on perceived organizational support, work engagement, and performance have less explored the interrelationships among these three variables on expatriates. The current study, therefore, attempted to investigate the mediating effect among these three variables. 2 LITERATURE REVIEW 2.1 POS and Work Engagement According to the jd-r model, organizational support is also a work resource (Sawang 2012; Schaufeli and Bakker 2004), which minimizes the psychological impact of employees on job demands and promotes individual employee growth, learning and development (Schaufeli and Bakker 2004), as well as work engagement (Bakker and Demerouti 2007). The higher the perceived organizational support employees have, the more encouragement, caring, assistance and appreciation from organization they recognize. When employees are aware of the organizational support, according to the social exchange theory, they will have a high sense of responsibility and obligation to the organization, and give back to the organization with progressive and positive attitudes and behaviors (Kuo and Tsaur 2004; Lo and Chou 2006). A significant correlation between perceived organizational support and work engagement is supported by James, Mckechnie and Swanberg (2011), moreover, empirical studies have found that perceived organizational support can positively influence the degree of work engagement (Biggs et al. 2014; Villotti et al. 2014). These findings indicate that employees can feel the concern, support and encouragement of the organization, and it will make employees willingto contribute to the organization, to accept challenging tasks, as well as have vitality to work, love their work, and have a strong work engagement (Bakker et al. 2008). Therefore, based on the results of previous researches, this study proposes the following hypothesis: Hypothesis 1. Perceived organizational support will have positive correlation with work engagement. 2.2 POS and Job Performance Previous researches have generally confirmed that the higher the organizational support perceived by employees, the higher the performance of citizenship they have (Podsakoff et al. 2000; Eisenberger et al. 2001; Bishop et al. 2000). Similar result found by Armeli et al. (1998) 315 and Randall et al. (1999) indicated that perceived organizational support affects employee performance, and the results of the study indicated that when employees perceive the organization to value and assist them, the employee's performance will be better than others who don’t perceive organizational support. Witt (1991) pointed out a mutual commitment between employees and organization that perceived organizational support is not only the organization's commitment to employees; relatively, employees also have a sense of obligation to the organization and work harder to improve work performance. In an organization, when employees feel the help of the organization and the supervisor, they will give more effort to the organization or supervisor. Wayne et al. (1997) pointed out that when employees feel that the interaction with the supervisor is good, employees will be aware of more supervisor support. Based on the principle of reciprocity, employees will want to repay their supervisors and organizations, and then improve their work performance. Such a positive reciprocal exchange relationship between employees and organization were revealed by many scholars (Armeli et al. 1998; Moorman, Blakely, and Niehoff 1998; Organ and Konovsky 1989; Seers, Petty, and Cashman 1995; Wayne, Shore, and Liden 1997). Along with this logic, we propose the following hypothesis: Hypothesis 2. Perceived organizational support will have positive correlation with performance. 2.3 Work Engagement and Job Performance Organizations exist for certain purposes. The organization controls its overall performance through effective management activities to bring its operations closer and even to achieve its goals. Performance is the extent to which an organization achieves its goals (Sloma 1980; Robbins 1990). Performance can be divided into individual job performance and overall organizational performance. Carmeli and Josman (2006) point out that there is a positive relationship between emotion and intelligence and job performance, indicating that emotion and intelligence are factors that affect individual job performance. According to past research, Schaufeli and Bakker (2004) proposed that work engagement is more stable and enduring. It is generated in the presence of enthusiasm and enthusiasm. Work engagement is a positive emotion and therefore has an impact on job performance. In view of this study, the relationship between work engagement and job performance is proposed. Hypothesis 3. Work engagement will have positive correlation with performance. 2.4 POS, Work Engagement, and Job Performance In the above discussion, it is pointed out that the degree of POS affects work engagement and job performance, and work engagement also affects job performance. However, there is very little research and inquiry work to deliberate whether the mediating effect exist in the relationship between POS and job performance, that is, the level of employees’ POS affects employee performance through work engagement. When employees feel the organization's appreciation, encouragement and assistance in the provision and performance of its resources, employees based on the principle of reciprocity will produce a sense of feedback, responsibility or obligation, willing to return to the organization. Therefore, this study considers that work engagement has a mediating effect on POS affecting job performance, so this study proposes the following hypothesis: 316 Hypothesis 4. Work engagement will have a mediating effect on the relationship between perceived organizational support and job performance. 3 METHODOLOGY The target participants were expatriates on an international assignment when taking this survey. These expatriates were identified through purposive sampling along with a snowball sampling method. A total of 161 valid questionnaires were used adhering to statistical analysis. The gender distribution was 54.7% male and 45.3% female. The average age of participants was 34.42. There were 64.6% of respondents who had maximum 3 years international assignments and most of them only have one foreign country working experience (54.7%). Of the participants answering the survey 37.2% did not have people management responsibility, whereas 62.8% did. 3.1 Perceived Organizational Support (POS) The POS scale was adopted from Eisenberger et al. (1986; 2001). A total of 8 items were incorporated into one dimension of this scale. All items were rated on a 5-point Likert scale (1 = strongly disagree, 7 = strongly agree). Sample item was included “The company really care about my personal wellbeing”. Cronbach’s alpha was .9 for the scale. 3.2 Work Engagement The work engagement scale was adopted from Schaufeli et al. (2006). A total of 9 items were incorporated into the one dimension of this scale. All items were rated on a 5-point Likert scale (1 = strongly disagree; 5 = strongly agree). Sample items included “I am very committed to my work”. Cronbach’s alpha was .82 for the scale. 3.3 Job Performance Job performance was measured on a 4-item scale that was drawn from Selmer and Lauring (2011). All the items were rated on a 5- point Likert scale (1 = strongly disagree; 5 = strongly agree). Cronbach’s alpha was .82 for the scale. 4 RESULTS Table 1 presents the means, standard deviations, and bivariate correlations among the study variables. We tested the proposed hypothesis by hierarchical regression (Table 2). To provide a more rigorous test of the proposed hypothesis, we included control variables, including gender (cf. Schaufeli and Bakker 2004), age (cf. Simpson 2009; Pitt-Catsouphes and Matz- Costa 2008; Schaufeli and Bakker 2004) and status (cf. Shaufeli and Bakker 2004), that may affect work engagement. The status variable was intended to measure if the expatriates had people management responsibility or not. Support for H1 required a significant relationship between POS and work engagement. This hypothesis was accepted, as the results indicated that POS was positively related to work engagement before and after control (r = 0.585, p< 0.01 and β = 0.544, p< 0.001). The correlation between POS and job performance were significant (r = 0.420, p< 0.01 and β = 0.400, p< 0.001), thus H2 was supported. H3 investigated the relationship between work engagement and job performance, and it was supported by the evidence of significant coefficients (r = 0.510, p< 0.01 and β = 0.508, p< 0.001). H4 predicted that work engagement would mediate the relationship between POS and job performance. Support for the mediation hypothesis required the following condition: the 317 independent variable (POS) must significantly impact the mediating variable (work engagement) in the first step; the independent variable (POS) must significantly impact the dependent variable (job performance) in the second step; and in the third step, the mediating variable (work engagement) must significantly impact the dependent variable (job performance). Additionally, in the third step the impact of independent variable (POS) on the dependent (job performance) must either become insignificant(total mediation) or become significant but the effect of the independent variable on the dependent variable would be reduced in size (partial mediation) (Baron and Kenny 1986). Consistent with Baron and Kenny’s (1986) procedure for testing mediating effect, work engagement (β=0.403, p<0.001) was significantly related to job performance in step six (see Table 2). The predictor variable (POS) in model 6 was significant and the beta value has reduced in size when the mediating variables (work engagement) entered in the equation (see model 6). This indicates that work engagement partially mediates the relationship between POS and job performance. Hence, it is fair to conclude that H4 is partially supported. Table 1. Descriptive statistics and correlation of the variable (n=161). Variable Mean Sd 1. 2. 3. 4. 5. 6. 1 Gendera - - 1 .215** .187* -.002 .053 .049 2 Statusb - - 1 .351** .207* .274** .238** 3 Age 34.42 7.35 1 .114 .271** .047 4 Perceived organizational support (POS) 3.66 .76 1 .585** .429** 5 Work engagement 3.89 .65 1 .510** 6 Job performance 4.09 .56 - 1 Note: ** p<.001, * p<.05; ab Dummy variables. 318 Table 2. Results of mediated regression analysis for POS and job performance (n=161). Work Engagement (WE) Job Performance M1(β) M2(β) M3(β) M4(β) M5(β) M6(β) Controls Gender -.030 .000 .003 .025 .018 .025 Status .209* .100 .252*** .172* .146 .131 Age .204* .175* -.042 -.064 -.146 -.134 Predictor POS .544*** .400*** .181* Mediator WE .508*** .403*** R2 .111 .393 .058 .211 .288 .309 Adj R2 .094 .377 .040 .190 .269 .287 F 6.527*** 25.230*** 3.223* 10.403*** 15.751*** 13.864*** Note: * p<.05, ** p< .01, *** p<.001; POS=perceived organizational support. 5 DISCUSSION AND CONCLUSION The purpose of this paper is to enhance our knowledge of the psychological effects of job performance for international assignees. We examine how perceived organizational support influences job performance both directly and indirectly. In this study, work engagement was found to partially mediate the relationship between POS and job performance. This means POS is partly direct contribute to the variance in job performance, and it is partly indirect mediated through work engagement. Therefore, in this study it can be concluded that in addition to the direct effect, POS (independent variable) predicts work engagement (mediator variable), and work engagement in turn predicts job performance (dependent variable) among international assignees from Taiwan. The results of this study appear to be in line with previous research that POS significantly influences the level of work engagement. The result confirmed the findings of Biggs et al. (2014), Villotti et al. (2014) and James, McKechnie, and Swanberg (2011) indicating that The higher level of organizational support expatriates perceived, the more they dedicate themselves to the work, as well as the higher work engagement they develop. This study also revealed a significantly positive correlation between POS and job performance. Based on these results, it can be concluded that individuals develop their psychological attachment and engagement to their work relied on the level of organizational support they received. When the individual's perceived organizational support increased and the follow up 319 positive experience enhanced their psychological affection, in so doing their work engagement will also be increased. This result echoed research results of Armeli,et al. (1998) and Randall et al. (1999) that POS and work engagement play important roles on job performance for expatriates. MNCs, therefore, can adopt methods that have been suggested by scholars to enhance expatriates’ perceived organizational support, such as increasing employees’ autonomy by providing supervisors' support and improving organizational justice. That is, when employees noticed that their needs, ideas, efforts, and performance are appreciated, understood, and recognized by their organizations, they are not only more willing to contribute to their organization, but to face the challenges. They will in addition to focus on the work and improve their performance. 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