Which comes first: employee attitudes or organizational financial and market performance?

Employee attitude data from 35 companies over 8 years were analyzed at the organizational level of analysis against financial (return on assets; ROA) and market performance (earnings per share: EPS) data using lagged analyses permitting exploration of priority in likely causal ordering. Analyses revealed statistically significant and stable relationships across various time lags for 3 of 7 scales. Overall Job Satisfaction and Satisfaction With Security were predicted by ROA and EPS more strongly than the reverse (although some of the reverse relationships were also significant); Satisfaction With Pay suggested a more reciprocal relationship with ROA and EPS. The discussion of results provides a preliminary framework for understanding issues surrounding employee attitudes, high-performance work practices, and organizational financial and market performance.

The impact of chief executive officer personality on top management team dynamics:one mechanism by which leadership affects organizational performance.

This article explores 1 mechanism by which leader personality affects organizational performance. The authors hypothesized and tested the effects of leader personality on the group dynamics of the top management team (TMT) and of TMT dynamics on organizational performance. To test their hypotheses, the authors used the group dynamics q-sort method, which is designed to permit rigorous, quantitative comparisons of data derived from qualitative sources. Results from independent observations of chief executive officer (CEO) personality and TMT dynamics for 17 CEOs supported the authors' hypothesized relationships both between CEO personality and TMT group dynamics and between TMT dynamics and organizational performance.

Substance versus style: a new look at social desirability in motivating contexts.

Although there is an emerging consensus that social desirability does not meaningfully affect criterion-related validity, several researchers have reaffirmed the argument that social desirability degrades the construct validity of personality measures. Yet, most research demonstrating the adverse consequences of faking for construct validity uses a fake-good instruction set. The consequence of such a manipulation is to exacerbate the effects of response distortion beyond what would be expected under realistic circumstances (e.g., an applicant setting). The research reported in this article was designed to assess these issues by using real-world contexts not influenced by artificial instructions. Results suggest that response distortion has little impact on the construct validity of personality measures used in selection contexts.