The Impact of "High Performance Work System" towards Employees' Innovative Work Behaviour and Mediated by Personal Factors and Psychological Empowerment in Malaysia

Yap, Ann Hui (2023) The Impact of "High Performance Work System" towards Employees' Innovative Work Behaviour and Mediated by Personal Factors and Psychological Empowerment in Malaysia. Masters thesis, Tunku Abdul Rahman University of Management and Technology.

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Abstract

Modern day organisations are seeking understanding from academicians and scholars to identify the factors that may improve the performance of employees in the organisation in terms of innovative work behaviour. Based on Ahmad and Bakar (2003), Malaysians will pose different attitudes whether they will stay longer within one organisation or not. High performance work systems, personal factors and psychological empowerment, as the facilitator of employees have a positive effect on organisational performance and job performance. Again, in light of the economic downturn and practice of new norms due to the Covid-19 pandemic crisis, organisations in Malaysia have to enhance their productivity and reduce costs to ensure sustainable operations. This has shed light to the importance of employee work performance. Thus, it is very important to focus on these variables to identify their influence on employee performance in the Malaysia context. This study examines the influences of the high performance work system, personal factors and psychological empowerment towards employees’ innovative work behaviour by employing the theories of social exchange and behavioural perspective. To achieve the objectives of this research, a quantitative cross-sectional study has been carried out by surveying 400 employees who are currently working in the Klang Valley area. The data obtained are then analysed via Statistical Package for Social Sciences (SPSS). The research findings reveal that the high performance work system builds employees a strong career self-efficacy and employee engagement and is mediated by personal factors and psychological empowerment in the organisation. The research contributes to IV the managerial level that faces difficulty in containing the negative impact of the COVID-19 pandemic on employee’s performance. For example, managers can use this research to fully understand employees’ ideas on how to perform innovatively. This research will be valuable for the organisation to foster innovative work behaviour among employees in Malaysian companies. Besides, the managers can improve the company’s innovation and performance through developing and implementing relevant practices under the high performance work system which ultimately can enable the employees to be more innovative.