Organizational justice and managerial commitment in corporate mergers

Research output: Journal contributionsJournal articlesResearchpeer-review

Authors

Purpose - The purpose of this paper is to investigate whether perceptions of distributive, procedural and interactional justice can explain the frequently reported low organizational commitment of managers in corporate mergers. Specifically, it aims to examine whether each of the justice dimensions is significantly and uniquely related to affective commitment, which of the justice dimensions has the strongest relationship with the criterion, and whether instrumental evaluations or trust might function as a mediator. Design/methodology/approach - A total of 128 managers from 37 companies completed a questionnaire. They had been involved in domestic or European mergers or acquisitions, which varied in the application of fairness rules. Findings - Although each fairness dimension correlated positively with affective commitment, only interactional justice showed a unique relationship with it. Results indicate that both instrumental evaluations and trust can function as a mediator. Research limitations/implications - Because of the cross-sectional design, conclusions about the causal order of the variables cannot be drawn. Practical implications - The authors recommend that top managers should pay extra attention to timely, candid and specific internal communication with thorough and reasonable explanation of decisions, as well as the respectful treatment of managers. Moreover, the results indicate that managers reacted positively to fairness because it conveys positive relational signals, and because one can gain personal advantages through fair outcomes and processes. Originality/value - The organizational justice approach has not yet been applied, to the authors' knowledge, in quantitative field studies of mergers. Furthermore, this paper offers a contribution to the literature on fairness heuristic theory.

Original languageEnglish
JournalJournal of Managerial Psychology
Volume24
Issue number1
Pages (from-to)29-45
Number of pages17
ISSN0268-3946
DOIs
Publication statusPublished - 2009

    Research areas

  • Business psychology - Acquisitions and mergers, Management attitudes, Managers, Organizational strategy, True and fair view
  • Acquisitions and mergers, Management attitudes, Managers, Organizational strategy, True and fair view

Recently viewed

Researchers

  1. Yannik A. Escher

Publications

  1. Short term effects of sensorimotor training on postural reflexes in parkinson's disease
  2. Protected area management in a post-natural world
  3. Queering
  4. Backstage: Organizing Events as Proto-Institutional Work in the Popular Music Industry
  5. Towards a relational paradigm in sustainability research, practice, and education
  6. Mädchen/Frauen
  7. Hydration and dehydration of salt hydrates and hydroxides for thermal energy storage – kinetics and energy release
  8. Bioconversion of renewable feedstocks and agri-food residues into lactic acid
  9. Die Politisierung von ‚Gesellschaft‘: Ernesto Laclaus und Chantal Mouffes postmarxistische Theorie des Sozialen
  10. Interiors and Interiority
  11. Sustainable chemistry and food systems lessons-the same procedure as every year?
  12. Eine ‚höhere Form der Erkenntnis’
  13. Is audit committee expertise connected with increased readability of integrated reports
  14. Start-up Teams and Venture Capital Exit Performance in Germany
  15. Extreme Climate Events as Opportunities for Radical Open Citizenship
  16. Occurrence and fate of the antidiabetic drug metformin and its metabolite guanylurea in the environment and during drinking water treatment
  17. Social life cycle assessment
  18. Identification of Dermatophyte and mold species by MALDI-TOF Mass Spectrometry
  19. Mixed Methods and Mixed Theories –
  20. Die Wiederkehr der Postmoderne. Pädagogische Reflexionen zum neuen Fin de siècle
  21. Vergemeinschaftung in Zeiten der Zombie-Apokalypse
  22. Der Nachhaltigkeitsprozess der Universität Graz - analysiert durch das Grazer Modell für Integrative Entwicklung
  23. First rate constants reactions of OH radicals with amides
  24. Rotating Barley, Sugar Beet and Wheat under Elevated CO2 Conditions: