The Impact of Ethics Environment, Organizational Commitment, and Job Satisfaction on Organizational Performance

Abstract

Purpose-This research aims to identify the direct and indirect effects on organizational performance from the ethics environment, organizational commitment, and job satisfaction. Method-Research findings are based on the analysis of 250 participants within numerous organizations using partial-least-squares structural equation modeling (PLS/SEM). Findings-The ethics environment, organizational commitment, and job satisfaction are positively linked to organizational performance. The ethics environment positively impacts organizational commitment and job satisfaction, which both lead to increased organizational performance. The combined impact of the ethics environment, organizational commitment, and job satisfaction on organizational performance is assessed for the first time. Limitation-This study's generalizability is limited due to the sample consisting only of full-time workers in the United States. Implications-This study recommends managers take the necessary actions to improve organizational performance by building the foundation for implementing an ethics environment. The ethics environment can improve employees' organizational commitment and job satisfaction, which positively affects organizational performance. Originality-This empirical research is the first to connect the ethics environment to organizational performance through organizational commitment and job satisfaction.