Afework G. Kassa and R. Satya Raju
The purpose of this study is to investigate the relationship between corporate entrepreneurship and employee engagement. Corporate entrepreneurship is one of the widely researched…
Abstract
Purpose
The purpose of this study is to investigate the relationship between corporate entrepreneurship and employee engagement. Corporate entrepreneurship is one of the widely researched areas recently, as is employee engagement. Studies combining the two constructs, on the other hand, are generally scarce. Developing on this gap and based on existing literature, the basic purpose this study pursued was to explore the relationship between corporate entrepreneurship and employee engagement using the corporate entrepreneurship assessment instrument (CEAI) and Utrecht Work Engagement Scale (UWES).
Design/methodology/approach
Within the tenets of the pragmatic approach, this study followed a descriptive survey design in a cross-sectional time. To capture primary data structured questionnaire was constructed based on the CEAI developed by Hornsby et al. (2002) for assessing the corporate entrepreneurial atmosphere and UWES (Schaufeli et al., 2002) to assess employee engagement. The sample constitutes 332 respondents taken from six leather footwear companies in Addis Ababa, Ethiopia. The social exchange theory (SET) was used to describe the hypothesised relationships.
Findings
The findings of the current study reinforced the proposition by Saks (2006) that the SET can provide a meaningful theoretical basis for understanding and studying employee engagement. Accordingly, this study showed that the relationship between the organisation and its employees can be viewed as a mutually beneficial arrangement in a reciprocal exchange. Furthermore, it was shown that the five-factor model of the CEAI can be used to predict employee engagement and that a significant amount of the deviation in the engagement dimensions can be explained by the corporate entrepreneurial variables. Finally, it was indicated that different variables in the CEAI predict different engagement dimensions in the UWES.
Research limitations/implications
This study does not group the data based on demographic factors. Likewise, future studies can explore the effect of the CEAI on the dimensions of employee engagement, while considering different demographic groups like salary ranges, age groups, gender, experience, work position. Furthermore, the current study applies cross-sectional data; future studies might consider longitudinal data for better results.
Practical implications
The study findings suggest that it is important that practicing managers view the relationship between the organisation and employees as a two-way relationship guided by reciprocal exchange in which case when firm-specific entrepreneurial atmosphere is conducive, employees would respond by engaging themselves innovatively. Also, managers should know which CEAI variables affect which engagement dimensions for better outcomes.
Originality/value
Although there are scattered studies in corporate entrepreneurship and employee engagement separately, there is no attempt so far to relate the two concepts. Therefore, this study stood as a first attempt to relate the two constructs.
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Afework Getachew Kassa and Geremew Teklu Tsigu
Synthesizing theoretical and empirical literature, this study aims to build a theoretical model linking the constructs; corporate entrepreneurship, employee engagement and…
Abstract
Purpose
Synthesizing theoretical and empirical literature, this study aims to build a theoretical model linking the constructs; corporate entrepreneurship, employee engagement and innovation.
Design/methodology/approach
Using an integrative review method the current study conducted an examination of related literature on the areas of corporate entrepreneurship, employee engagement, as well as innovation and developed an integrated model which combines the three constructs. The study bases itself on the resource-based view (RBV) for looking into corporate entrepreneurial ecosystems as organizational capabilities and employee engagement as a human resource. The social exchange theory (SET) was also used to analyse the interrelationships.
Findings
An RBV synthesis made on corporate entrepreneurship, employee engagement, as well as innovation literature shows that while corporate entrepreneurship has been recognized as beneficial to bring positive organizational outcomes, attempts to tie it in the core resource, capability and competence input-output linkage are scanty. The study shows that the RBV can be a good way to see human resources as a source of organizational competitive advantage and corporate entrepreneurship as the capability to product innovation as a competence. The study also shows that by combining the RBV with the SET corporate entrepreneurship, employee engagement and innovation can be integrated as a basis for developing organizational competitiveness.
Practical implications
The implication of this paper to future empirical studies is that corporate entrepreneurship can be integrated with the RBV to relate it to the core competitive advantage development endeavour. The implication for policymakers and management practitioners on the other hand is that managers can consider corporate entrepreneurship as a major capability to bring the employee resource on board the innovation process. The study further implies that management practitioners need to provide time, freedom, boundary, reward and support to get their employees engaged in innovation. Hence, managers can integrate the SET into their motivation principles.
Originality/value
The study is original in its attempt to integrate the SET and RBV for studies in the area of corporate entrepreneurship, employee engagement and innovation.