1

Unraveling the Relationship between Employeesrsquo Perception to Organization

and Turnover Intentions

Exploring the Mediating Effects of Trust to Organization

Prepared By

Name - Shweta SethiEnroll No- 02661203909

MBA 2nd Semester

Unraveling the Relationship between Employeesrsquo Perception to Organization and Turnover Intentions

Exploring the Mediating Effects of Trust to Organization

2

ABSTRACT

Staff turnover is a serious issue in the field of human resources management Organizations of all kind must pay more attention to this phenomenon and must not be overlooked so it is important to understand their needs and be able to satisfy it in order to reduce or may be strongly control the turnover This study therefore was conducted to examine the main effects of employeesrsquo perceived organizational support and external prestige on their turnover intentions with themediating effects of their trust to organization Questionnaire was designed and administered to collect data from sample of 402 employees of various levels selected from different insurance companies in Jordan The study findings show that employees with higher level of perceived organizational support and perceived external prestige may have higher level of trust towards the management of their company and hence less likely to leave the firm Therefore the key to maintain a stable workforce is to make employees perceive the support from the company and become proud of their company The direct and indirect effects of these constructs on turnover intention are analyzed by structural equation modeling (SEM) The findings of this study will assist top management in business organizations to better deal with the phenomena of staff turnover finally the limitations of the study directions for future research and implications of the results are discussed

Keywords Perceived organizational support Perceived external prestige Trust to organization Turnover intention

INTRODUCTION

Staff turnover is a serious issue in the field of human resources management Turnover costs can be as much as six months to three yearsrsquo pay and benefits depending on job types Many

3

researchers try to understand the major determinants of turnover intention and develop some managerial implications to deal with the problem of high turnover ratehereit is attempted to link perceived external prestige (PEP) perceived organizational support (POS) and turnover intention through the trust in organization For many years social exchange theory is applied to investigate and explain a variety of organizationally desired work attitudes and behavioral outcomes (Wayne Shore amp Liden 1997)The employment relationship allows the employee to acquire for valuable resources which include material goods such as pay and fringe benefits and social goods such as approval trust and prestige After receiving the benefits the norm of reciprocity required employees to repay the party who provided them those benefits For example individual who are well treated are more likely to become effectively committed to the organization which display more organizational citizenship behaviors

To operationalize the concepts of social exchange Eisenberger Huntington Hutchison amp Sowa (1986) Developed the perceived organizational support (POS) construct which defined as employeesrsquo general perception as how an organization values their contributions and concerns their well-being (Eisenberger Cummings Armeli amp Lynch 1997 Eisenberger et al 1986) POS affected employeesrsquo behaviors in different aspects such as their innovativeness and sense of responsibility to their jobs (Eisenberger et al1986)In addition employees with high POS are more likely to demonstrate higher work performance thus reducing theLikelihood of absenteeism and the propensity to leave (Mathieu amp Zajac 1990 Meyer amp Allen 1997 Mowday Porter amp Steers 1982 Rhoades amp Eisenberger 2002) Fuller Hester Barnett Prey amp Relyea (2006) extended the model of social exchange by examining the indirect impersonal transaction between the employees and other parties related They argued that the social exchange process involved two different processes direct exchange with the organization (as in the case of POS) and indirect impersonal transactions with outsiders For example the employees may satisfy with their esteem needs by both internal promotions within the organization and indirectly from the good reputation of their company held by outsiders As a result there is a need to incorporate relational variables such as Perceived External Prestige (PEP) into the social-exchange framework (Fuller et al 2006) Perceived external prestige also known as ldquoconstrued external imagerdquo which refers to an employeersquos own beliefs about how other people outside the organization evaluate the status and prestige of the organization (Smidts Pryun amp VanRiel 2001) Many research studies suggested that PEP is strongly related to employeersquos identification with hisher organization and hence their behaviors (Fuller Bamett Hester Relyea 2003 Dukerich Golden amp Shortell 2002 Dutton Dukerich amp Harquail 1994) The Research objective of this study is therefore to develop a better conceptual model of the nature of social exchange by examining whether employees report trust to reciprocate their perceptions of support and prestige from the organization It also adds to the body of research on turnover intention antecedents by investigating the mediating effects of trust on the relationships between perceived organizational support (POS) perceived external prestige (PEP) and Turnover Intention

EXPLORING EMPLOYEE PERCEPTION OF ORGANIZATIONAL IMAGE

Figure 1 Image discrepancy matrix

Favorable internal image Negative internal image

4

High PEP or (Favorable External Image)

Low PEP or(Negative External Image)

Figure 2 The influence of communications on perceptions of organizational images and Identification (Internal and external communication)

Figure 1 about here

Positive congruency is the status where members of organizations positively evaluate organizational images both internally and externally while

Organizational Identification

Citizenship BehaviorTrust in top manager

Perceived InternalImage

Attentiveness to Organizational

Medium

Awareness of Organization

Citizenship Behavior

Internal-External Image Dissonance

Perceived External Image

Media Coverage(visibility favorability)

Advertising

Positive CongruencyMy organization is great and have a good public reputation

Negative CongruencyPeople are being fooled by propaganda

Positive CongruencyItrsquos a really good organization but people are now blind to it

Negative CongruencyMy organization is a jerk and thatrsquos how others see us

5

negative congruency is the status where members of organizations negatively evaluate organizational images both internally and externally

Positive incongruency indicates that a member positively evaluate organizational image internally but negatively evaluate external image or less positively than internally perceived image

Negative incongruency condition members have positive perception of external organizational image while evaluating negatively internally or less positively than external image Since people try to maintain cognitive consistency and decrease cognitive dissonance employeesrsquo evaluation of external and internal images may tend to be similar

However there might be the cases that environmental cues break the balance For example when an organizational crisis receives public attention employees in the positive congruency condition will move to positive incongruency condition If the organization recovers from the crisis it can go back to positive congrucncy but if it struggle with the crisis and employees lose trust in top managers then it again move forward to the negative congruency condition Also if an organization fails to deliver clear vision or policy to its employees it will make employees to move negative incongruency from positive congruency Image congruency and employee behaviors Before mentioned perceptions of organizational images have significant impacts on employeesrsquo behavior Furthermore we argue that by addressing the issue of image congruency between internally perceived and externally perceived it provides insights to employeesrsquo behaviors especially in terms of organizational identification and citizenship behaviors As ldquoa perception of oneness with a grouprdquo organizational identification is a form of social identification ldquowhere the individual defines him or herself in terms of their membership in a particular organizationrdquo (Mael amp Ashforth 1992p105)

Organizational identification have been considered as an important construct because it was found that organizational identification is positively related with employees supportive attitude toward their organization Research has shown that positive evaluation of organizationsrsquo external images contributes to organizational identification (Smidts et al 2001) but has not considered the issue of image discrepancy In conjunction with image discrepancy it is conceivable that in the positive congruency condition membersrsquo organizational identification would be the greatest while in the negative consonance condition memberrsquos organizational identification would be the least because in that way they can enhance or protect their self-esteem On the other hand it would be probable that membersrsquo identification would be greater in the positive dissonance condition than in the negative dissonance condition because as long as a member holds positive perception about hisher organization how others think would not be much matter

Therefore following propositions are proposed

Proposition 1

6

Organizational identification will be greatest among employees in the positive consonance condition followed by positive dissonance negative dissonance and negative consonance conditions

Furthermore image congruency would be related to citizenship behaviors Management literatures define organizational citizenship behavior as ldquoindividual behavior that is discretionary not directly or explicitly recognized by the formal reward system and that in the aggregate promotes the effective functioning of the organizationrdquo (Organ 1988 p4) That may include active positive contributions such as punctuality and attendance beyond what a strictly enforced as well as avoiding engaging in behaviors that are harmful to ones colleagues or to ones organization such as complaints appeals and accusations Organizational citizenship behaviors would be especially important during organizational crisis where organizations require voluntary and active behaviors from their members For example if the organization faces a crisiswho hold more positive internal image will involve more actively in image restoration efforts in responding to the impaired external images On the other hand if an employee has negative images about his organization he would be more likely to distance himself from the organization and remain inactive during a crisis Therefore following propositions are proposed

Proposition 2a When employees perceive that external image is derogated employees who have more positive internal image will engage in image restoration behaviors more actively than those who have negative internal image

Proposition 2b When employees perceive that external image is derogated employees who have negative internal image will more distance themselves from their organizations (ie more dis-identification) than those who have positive internal image

As addressed above employeesrsquo perceptions of organizational images seems to influence employeesrsquo behaviors and especially congruency of images between internally perceived images and perceived external images may cause significant consequences Since employees become to shape their perceptions about organizational images through diverse communication channels and messages it is important to discuss this issue in conjunction with communication process The following section will discuss how internal and external communications play a role in shaping employeesrsquo perceptions of images and the congruency issue related to communication process

Organizational Images and Communication

7

Individuals become to shape images about organizations through diverse communications From the anticipatory socialization perspective individuals become have rudimentary images about organization through education mass media and occupational experience (Jablin 2001) That is individuals may have images about organizations regardless to membership to the organization as consumers or potential job applicants Through the recruiting process a job candidate would be exposed diverse communication messages which aim to cultivate organizational image and heshe will enter into the organization with these pre-shaped images Once an individual become a member of an organization there might be two paths through which employees receives information of organizational image a direct path ndash ldquoan employee receives an image projected by the top management team of an organizationrdquo indirect path ndash employee receives ldquofeedbacks from external stakeholder in the form of communicated perceptions of how the image was interpreted and of the impressions that external stakeholders hold of the organizationrdquo (Corley et al 2001 p56) Among many factors following key communication-related factors are proposed as influencing employeesrsquo perceptions of organizational image This is presented in Figure 2

Figure 2 about here

Internal communications and perceptions of organizational images

Through the socialization process employees are exposed to diverse internal communications They would include formal communications from the management which have been developed to build the positive image among employees (Oliver amp Karim 2004) as well as informal communication with coworkers In general formal communications such as newsletters initiated by organizations is intended to poster positive organizational images among employees They deliver corporate visions values and norms which would constitute employeesrsquo perceptions of organizational images that is internally perceived image Therefore

Proposition 3 The more attentive to organizational medium the more positive organizational images employees will have

On the other hand internal communications also can provide employees cues to external images For example informing employees of corporate citizenship behaviors would enhancenot only internally perceived images but also perceived external image According to the Fortune reputation data demonstration of social concern has been considered as a predictor to a firmrsquos reputation Similarly a previous study also evidenced that corporationrsquos reputation is directly related to lsquoto the extent of the firmrsquos social welfare activitiesrsquo (Fombrun amp Shanley 1990) On the other hand it has been also argued that organizationrsquos citizenship have impact on employees as well as external public For example it has been found that corporate citizenship is positively related to employees commitment (Maignan Ferrell amp Hult 1999) Similarly social prestige (eg ldquoresponsibility for environmental issue quality of products and servicesrdquo p 448) was shown to have greater influence on employeesrsquo affective commitment to organizations than economic prestige (Abraham Carmeli 2005) Corley et al (2001) also argued that images of organizationrsquos social performance are more likely to strike broad range of external public and employees because of its affective link Based on signaling theory it is possible that organizationrsquos citizenship behaviors may signals about organizationrsquos identity to external and

8

internal publics Because those behaviors reflect socially desirable values and norms it is probable that external and internal publics would shape favorable image about the organizations Therefore it is possible that when employee aware about socially responsible activities of their organization they may think it would send good signals to external stakeholders thus having more favorable perception of external imageGreening and Turban (2000) suggested that ldquopart of a firmrsquos reputation and image is influenced by knowledge of the firmrsquos actions regarding developing social and political issues and their associated stakeholdersrdquo (p258) Therefore it would be plausible that employeesrsquo awareness or knowledge of their organizationrsquos citizenship behavior (such as community involvement and environmental safety actions) may influence perceived external prestige In addition it would also directly influence employeesrsquo perception of internal image because organizationrsquos behavior would signal to employees what their organization values In sum active communication about organizationrsquos citizenship behaviors may increase employeesrsquo awareness of them and make value them This in turn may make employees to have favorable perception of organizational image internally and externally

Therefore following propositions are proposed

Proposition 4a The more organizations engage in citizenship behaviors the more favorable externalinternal images employees will perceive about their organization

Proposition 4b The more awareness employees have about their organizationrsquos citizenship behaviors the more favorable externalinternal image employees will perceive about their organization

External communications and perceptions of organizational images

Furthermore employees would become have some sense of how others think about their organization by being exposed to external communications such as news reports advertisings and reference groups Traditionally media has been considered as one of the influential actors which contribute to publicrsquos perception of organization images According to Fortune reputation data media visibility was a predictor to a firmrsquos reputation However it is unclear to what extent media exposure is significant For example Fombrun and Shanley (1990)rsquos finding reputed the hypothesis that the greater a firmrsquos media visibility and the more favorable a firmrsquos media coverage the better its reputation Unexpectedly in their study negative effect of intensive media coverage was found on firmsrsquo reputations However there are also evidences that media coverage contribute to organizationrsquos reputation Proposing a concept of media reputation Deephouse (2000) argued that media reputation is a resource which increases the performance of organization He defined media reputation of a firm as ldquothe overall evaluation of a firm presented in the mediardquo and argued that media reputation may influence other stakeholdersrsquo knowledge and opinions about a firm thus influencing firmrsquos performance

From the perspective of employees it is possible that employeersquos evaluation about media coverage of their organization may have significant influence on employeesrsquo perceived external image In fact Smidts et al (2001) found that the impact of perceived external prestige on organizational identification was stronger when the companyrsquos visibility was higher than

9

lower From this finding they proposed that organization can improve perceived external prestige by investing in the visibility According to the media theories people tend to think other people are more susceptible to media reports than themselves (ie third-person effect) (Davison 1983) and media have strong influence on peoplersquos perception of public opinion (ie persuasive press influence) (Gunther 1998) Therefore it is possible that employees may be more sensitive to media reports and infer external prestige of their organizations based on their evaluation of media coverage Also the media often deliver cues of public opinion about organizations Since the construed external image can be seen as reflection of public opinion (Dutton et al 1994) organizationrsquos presentation in the media may have influence employees evaluation of their firmrsquos external image

Therefore following hypotheses are proposed

Proposition 5 The more visible and favorable media coverage of the organization employees perceive the more positively employees will evaluate their organizationrsquo external images

Also the impact of paid-communication on employees should be considered Advertising is considered as one of the most ldquovisible recognizable and memorable elements of organizational communicationrdquo and a purveyor of organizational image (Gilly amp Wolfinbarger 1998 p69) Since advertising campaign increase visibility in the media it can contribute to employeesrsquo positive perceptions of external images Also based on the third-person perception employees will tend to believe advertising have strong influence on publics thus the more favorably evaluate advertisings the more positive public attitude toward their organization will assume However scholars also have pointed that if the images presented in the advertising are not congruent with employeesrsquo pre-perceived images it may bring adverse effects such as frustrated feelings and distrust Therefore following propositions are proposed

Proposition 6aEmployeesrsquo attitude toward advertising will be positively related to perceived external images

Proposition 6b The more incongruency employees perceive between externally disseminated images (such as advertising) by their organizations and internally perceived images the less organizational identification and trust in top managers will employees have

THEORETICAL BACKGROUND OF THE RESEARCH MODEL

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

2

ABSTRACT

Staff turnover is a serious issue in the field of human resources management Organizations of all kind must pay more attention to this phenomenon and must not be overlooked so it is important to understand their needs and be able to satisfy it in order to reduce or may be strongly control the turnover This study therefore was conducted to examine the main effects of employeesrsquo perceived organizational support and external prestige on their turnover intentions with themediating effects of their trust to organization Questionnaire was designed and administered to collect data from sample of 402 employees of various levels selected from different insurance companies in Jordan The study findings show that employees with higher level of perceived organizational support and perceived external prestige may have higher level of trust towards the management of their company and hence less likely to leave the firm Therefore the key to maintain a stable workforce is to make employees perceive the support from the company and become proud of their company The direct and indirect effects of these constructs on turnover intention are analyzed by structural equation modeling (SEM) The findings of this study will assist top management in business organizations to better deal with the phenomena of staff turnover finally the limitations of the study directions for future research and implications of the results are discussed

Keywords Perceived organizational support Perceived external prestige Trust to organization Turnover intention

INTRODUCTION

Staff turnover is a serious issue in the field of human resources management Turnover costs can be as much as six months to three yearsrsquo pay and benefits depending on job types Many

3

researchers try to understand the major determinants of turnover intention and develop some managerial implications to deal with the problem of high turnover ratehereit is attempted to link perceived external prestige (PEP) perceived organizational support (POS) and turnover intention through the trust in organization For many years social exchange theory is applied to investigate and explain a variety of organizationally desired work attitudes and behavioral outcomes (Wayne Shore amp Liden 1997)The employment relationship allows the employee to acquire for valuable resources which include material goods such as pay and fringe benefits and social goods such as approval trust and prestige After receiving the benefits the norm of reciprocity required employees to repay the party who provided them those benefits For example individual who are well treated are more likely to become effectively committed to the organization which display more organizational citizenship behaviors

To operationalize the concepts of social exchange Eisenberger Huntington Hutchison amp Sowa (1986) Developed the perceived organizational support (POS) construct which defined as employeesrsquo general perception as how an organization values their contributions and concerns their well-being (Eisenberger Cummings Armeli amp Lynch 1997 Eisenberger et al 1986) POS affected employeesrsquo behaviors in different aspects such as their innovativeness and sense of responsibility to their jobs (Eisenberger et al1986)In addition employees with high POS are more likely to demonstrate higher work performance thus reducing theLikelihood of absenteeism and the propensity to leave (Mathieu amp Zajac 1990 Meyer amp Allen 1997 Mowday Porter amp Steers 1982 Rhoades amp Eisenberger 2002) Fuller Hester Barnett Prey amp Relyea (2006) extended the model of social exchange by examining the indirect impersonal transaction between the employees and other parties related They argued that the social exchange process involved two different processes direct exchange with the organization (as in the case of POS) and indirect impersonal transactions with outsiders For example the employees may satisfy with their esteem needs by both internal promotions within the organization and indirectly from the good reputation of their company held by outsiders As a result there is a need to incorporate relational variables such as Perceived External Prestige (PEP) into the social-exchange framework (Fuller et al 2006) Perceived external prestige also known as ldquoconstrued external imagerdquo which refers to an employeersquos own beliefs about how other people outside the organization evaluate the status and prestige of the organization (Smidts Pryun amp VanRiel 2001) Many research studies suggested that PEP is strongly related to employeersquos identification with hisher organization and hence their behaviors (Fuller Bamett Hester Relyea 2003 Dukerich Golden amp Shortell 2002 Dutton Dukerich amp Harquail 1994) The Research objective of this study is therefore to develop a better conceptual model of the nature of social exchange by examining whether employees report trust to reciprocate their perceptions of support and prestige from the organization It also adds to the body of research on turnover intention antecedents by investigating the mediating effects of trust on the relationships between perceived organizational support (POS) perceived external prestige (PEP) and Turnover Intention

EXPLORING EMPLOYEE PERCEPTION OF ORGANIZATIONAL IMAGE

Figure 1 Image discrepancy matrix

Favorable internal image Negative internal image

4

High PEP or (Favorable External Image)

Low PEP or(Negative External Image)

Figure 2 The influence of communications on perceptions of organizational images and Identification (Internal and external communication)

Figure 1 about here

Positive congruency is the status where members of organizations positively evaluate organizational images both internally and externally while

Organizational Identification

Citizenship BehaviorTrust in top manager

Perceived InternalImage

Attentiveness to Organizational

Medium

Awareness of Organization

Citizenship Behavior

Internal-External Image Dissonance

Perceived External Image

Media Coverage(visibility favorability)

Advertising

Positive CongruencyMy organization is great and have a good public reputation

Negative CongruencyPeople are being fooled by propaganda

Positive CongruencyItrsquos a really good organization but people are now blind to it

Negative CongruencyMy organization is a jerk and thatrsquos how others see us

5

negative congruency is the status where members of organizations negatively evaluate organizational images both internally and externally

Positive incongruency indicates that a member positively evaluate organizational image internally but negatively evaluate external image or less positively than internally perceived image

Negative incongruency condition members have positive perception of external organizational image while evaluating negatively internally or less positively than external image Since people try to maintain cognitive consistency and decrease cognitive dissonance employeesrsquo evaluation of external and internal images may tend to be similar

However there might be the cases that environmental cues break the balance For example when an organizational crisis receives public attention employees in the positive congruency condition will move to positive incongruency condition If the organization recovers from the crisis it can go back to positive congrucncy but if it struggle with the crisis and employees lose trust in top managers then it again move forward to the negative congruency condition Also if an organization fails to deliver clear vision or policy to its employees it will make employees to move negative incongruency from positive congruency Image congruency and employee behaviors Before mentioned perceptions of organizational images have significant impacts on employeesrsquo behavior Furthermore we argue that by addressing the issue of image congruency between internally perceived and externally perceived it provides insights to employeesrsquo behaviors especially in terms of organizational identification and citizenship behaviors As ldquoa perception of oneness with a grouprdquo organizational identification is a form of social identification ldquowhere the individual defines him or herself in terms of their membership in a particular organizationrdquo (Mael amp Ashforth 1992p105)

Organizational identification have been considered as an important construct because it was found that organizational identification is positively related with employees supportive attitude toward their organization Research has shown that positive evaluation of organizationsrsquo external images contributes to organizational identification (Smidts et al 2001) but has not considered the issue of image discrepancy In conjunction with image discrepancy it is conceivable that in the positive congruency condition membersrsquo organizational identification would be the greatest while in the negative consonance condition memberrsquos organizational identification would be the least because in that way they can enhance or protect their self-esteem On the other hand it would be probable that membersrsquo identification would be greater in the positive dissonance condition than in the negative dissonance condition because as long as a member holds positive perception about hisher organization how others think would not be much matter

Therefore following propositions are proposed

Proposition 1

6

Organizational identification will be greatest among employees in the positive consonance condition followed by positive dissonance negative dissonance and negative consonance conditions

Furthermore image congruency would be related to citizenship behaviors Management literatures define organizational citizenship behavior as ldquoindividual behavior that is discretionary not directly or explicitly recognized by the formal reward system and that in the aggregate promotes the effective functioning of the organizationrdquo (Organ 1988 p4) That may include active positive contributions such as punctuality and attendance beyond what a strictly enforced as well as avoiding engaging in behaviors that are harmful to ones colleagues or to ones organization such as complaints appeals and accusations Organizational citizenship behaviors would be especially important during organizational crisis where organizations require voluntary and active behaviors from their members For example if the organization faces a crisiswho hold more positive internal image will involve more actively in image restoration efforts in responding to the impaired external images On the other hand if an employee has negative images about his organization he would be more likely to distance himself from the organization and remain inactive during a crisis Therefore following propositions are proposed

Proposition 2a When employees perceive that external image is derogated employees who have more positive internal image will engage in image restoration behaviors more actively than those who have negative internal image

Proposition 2b When employees perceive that external image is derogated employees who have negative internal image will more distance themselves from their organizations (ie more dis-identification) than those who have positive internal image

As addressed above employeesrsquo perceptions of organizational images seems to influence employeesrsquo behaviors and especially congruency of images between internally perceived images and perceived external images may cause significant consequences Since employees become to shape their perceptions about organizational images through diverse communication channels and messages it is important to discuss this issue in conjunction with communication process The following section will discuss how internal and external communications play a role in shaping employeesrsquo perceptions of images and the congruency issue related to communication process

Organizational Images and Communication

7

Individuals become to shape images about organizations through diverse communications From the anticipatory socialization perspective individuals become have rudimentary images about organization through education mass media and occupational experience (Jablin 2001) That is individuals may have images about organizations regardless to membership to the organization as consumers or potential job applicants Through the recruiting process a job candidate would be exposed diverse communication messages which aim to cultivate organizational image and heshe will enter into the organization with these pre-shaped images Once an individual become a member of an organization there might be two paths through which employees receives information of organizational image a direct path ndash ldquoan employee receives an image projected by the top management team of an organizationrdquo indirect path ndash employee receives ldquofeedbacks from external stakeholder in the form of communicated perceptions of how the image was interpreted and of the impressions that external stakeholders hold of the organizationrdquo (Corley et al 2001 p56) Among many factors following key communication-related factors are proposed as influencing employeesrsquo perceptions of organizational image This is presented in Figure 2

Figure 2 about here

Internal communications and perceptions of organizational images

Through the socialization process employees are exposed to diverse internal communications They would include formal communications from the management which have been developed to build the positive image among employees (Oliver amp Karim 2004) as well as informal communication with coworkers In general formal communications such as newsletters initiated by organizations is intended to poster positive organizational images among employees They deliver corporate visions values and norms which would constitute employeesrsquo perceptions of organizational images that is internally perceived image Therefore

Proposition 3 The more attentive to organizational medium the more positive organizational images employees will have

On the other hand internal communications also can provide employees cues to external images For example informing employees of corporate citizenship behaviors would enhancenot only internally perceived images but also perceived external image According to the Fortune reputation data demonstration of social concern has been considered as a predictor to a firmrsquos reputation Similarly a previous study also evidenced that corporationrsquos reputation is directly related to lsquoto the extent of the firmrsquos social welfare activitiesrsquo (Fombrun amp Shanley 1990) On the other hand it has been also argued that organizationrsquos citizenship have impact on employees as well as external public For example it has been found that corporate citizenship is positively related to employees commitment (Maignan Ferrell amp Hult 1999) Similarly social prestige (eg ldquoresponsibility for environmental issue quality of products and servicesrdquo p 448) was shown to have greater influence on employeesrsquo affective commitment to organizations than economic prestige (Abraham Carmeli 2005) Corley et al (2001) also argued that images of organizationrsquos social performance are more likely to strike broad range of external public and employees because of its affective link Based on signaling theory it is possible that organizationrsquos citizenship behaviors may signals about organizationrsquos identity to external and

8

internal publics Because those behaviors reflect socially desirable values and norms it is probable that external and internal publics would shape favorable image about the organizations Therefore it is possible that when employee aware about socially responsible activities of their organization they may think it would send good signals to external stakeholders thus having more favorable perception of external imageGreening and Turban (2000) suggested that ldquopart of a firmrsquos reputation and image is influenced by knowledge of the firmrsquos actions regarding developing social and political issues and their associated stakeholdersrdquo (p258) Therefore it would be plausible that employeesrsquo awareness or knowledge of their organizationrsquos citizenship behavior (such as community involvement and environmental safety actions) may influence perceived external prestige In addition it would also directly influence employeesrsquo perception of internal image because organizationrsquos behavior would signal to employees what their organization values In sum active communication about organizationrsquos citizenship behaviors may increase employeesrsquo awareness of them and make value them This in turn may make employees to have favorable perception of organizational image internally and externally

Therefore following propositions are proposed

Proposition 4a The more organizations engage in citizenship behaviors the more favorable externalinternal images employees will perceive about their organization

Proposition 4b The more awareness employees have about their organizationrsquos citizenship behaviors the more favorable externalinternal image employees will perceive about their organization

External communications and perceptions of organizational images

Furthermore employees would become have some sense of how others think about their organization by being exposed to external communications such as news reports advertisings and reference groups Traditionally media has been considered as one of the influential actors which contribute to publicrsquos perception of organization images According to Fortune reputation data media visibility was a predictor to a firmrsquos reputation However it is unclear to what extent media exposure is significant For example Fombrun and Shanley (1990)rsquos finding reputed the hypothesis that the greater a firmrsquos media visibility and the more favorable a firmrsquos media coverage the better its reputation Unexpectedly in their study negative effect of intensive media coverage was found on firmsrsquo reputations However there are also evidences that media coverage contribute to organizationrsquos reputation Proposing a concept of media reputation Deephouse (2000) argued that media reputation is a resource which increases the performance of organization He defined media reputation of a firm as ldquothe overall evaluation of a firm presented in the mediardquo and argued that media reputation may influence other stakeholdersrsquo knowledge and opinions about a firm thus influencing firmrsquos performance

From the perspective of employees it is possible that employeersquos evaluation about media coverage of their organization may have significant influence on employeesrsquo perceived external image In fact Smidts et al (2001) found that the impact of perceived external prestige on organizational identification was stronger when the companyrsquos visibility was higher than

9

lower From this finding they proposed that organization can improve perceived external prestige by investing in the visibility According to the media theories people tend to think other people are more susceptible to media reports than themselves (ie third-person effect) (Davison 1983) and media have strong influence on peoplersquos perception of public opinion (ie persuasive press influence) (Gunther 1998) Therefore it is possible that employees may be more sensitive to media reports and infer external prestige of their organizations based on their evaluation of media coverage Also the media often deliver cues of public opinion about organizations Since the construed external image can be seen as reflection of public opinion (Dutton et al 1994) organizationrsquos presentation in the media may have influence employees evaluation of their firmrsquos external image

Therefore following hypotheses are proposed

Proposition 5 The more visible and favorable media coverage of the organization employees perceive the more positively employees will evaluate their organizationrsquo external images

Also the impact of paid-communication on employees should be considered Advertising is considered as one of the most ldquovisible recognizable and memorable elements of organizational communicationrdquo and a purveyor of organizational image (Gilly amp Wolfinbarger 1998 p69) Since advertising campaign increase visibility in the media it can contribute to employeesrsquo positive perceptions of external images Also based on the third-person perception employees will tend to believe advertising have strong influence on publics thus the more favorably evaluate advertisings the more positive public attitude toward their organization will assume However scholars also have pointed that if the images presented in the advertising are not congruent with employeesrsquo pre-perceived images it may bring adverse effects such as frustrated feelings and distrust Therefore following propositions are proposed

Proposition 6aEmployeesrsquo attitude toward advertising will be positively related to perceived external images

Proposition 6b The more incongruency employees perceive between externally disseminated images (such as advertising) by their organizations and internally perceived images the less organizational identification and trust in top managers will employees have

THEORETICAL BACKGROUND OF THE RESEARCH MODEL

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

3

researchers try to understand the major determinants of turnover intention and develop some managerial implications to deal with the problem of high turnover ratehereit is attempted to link perceived external prestige (PEP) perceived organizational support (POS) and turnover intention through the trust in organization For many years social exchange theory is applied to investigate and explain a variety of organizationally desired work attitudes and behavioral outcomes (Wayne Shore amp Liden 1997)The employment relationship allows the employee to acquire for valuable resources which include material goods such as pay and fringe benefits and social goods such as approval trust and prestige After receiving the benefits the norm of reciprocity required employees to repay the party who provided them those benefits For example individual who are well treated are more likely to become effectively committed to the organization which display more organizational citizenship behaviors

To operationalize the concepts of social exchange Eisenberger Huntington Hutchison amp Sowa (1986) Developed the perceived organizational support (POS) construct which defined as employeesrsquo general perception as how an organization values their contributions and concerns their well-being (Eisenberger Cummings Armeli amp Lynch 1997 Eisenberger et al 1986) POS affected employeesrsquo behaviors in different aspects such as their innovativeness and sense of responsibility to their jobs (Eisenberger et al1986)In addition employees with high POS are more likely to demonstrate higher work performance thus reducing theLikelihood of absenteeism and the propensity to leave (Mathieu amp Zajac 1990 Meyer amp Allen 1997 Mowday Porter amp Steers 1982 Rhoades amp Eisenberger 2002) Fuller Hester Barnett Prey amp Relyea (2006) extended the model of social exchange by examining the indirect impersonal transaction between the employees and other parties related They argued that the social exchange process involved two different processes direct exchange with the organization (as in the case of POS) and indirect impersonal transactions with outsiders For example the employees may satisfy with their esteem needs by both internal promotions within the organization and indirectly from the good reputation of their company held by outsiders As a result there is a need to incorporate relational variables such as Perceived External Prestige (PEP) into the social-exchange framework (Fuller et al 2006) Perceived external prestige also known as ldquoconstrued external imagerdquo which refers to an employeersquos own beliefs about how other people outside the organization evaluate the status and prestige of the organization (Smidts Pryun amp VanRiel 2001) Many research studies suggested that PEP is strongly related to employeersquos identification with hisher organization and hence their behaviors (Fuller Bamett Hester Relyea 2003 Dukerich Golden amp Shortell 2002 Dutton Dukerich amp Harquail 1994) The Research objective of this study is therefore to develop a better conceptual model of the nature of social exchange by examining whether employees report trust to reciprocate their perceptions of support and prestige from the organization It also adds to the body of research on turnover intention antecedents by investigating the mediating effects of trust on the relationships between perceived organizational support (POS) perceived external prestige (PEP) and Turnover Intention

EXPLORING EMPLOYEE PERCEPTION OF ORGANIZATIONAL IMAGE

Figure 1 Image discrepancy matrix

Favorable internal image Negative internal image

4

High PEP or (Favorable External Image)

Low PEP or(Negative External Image)

Figure 2 The influence of communications on perceptions of organizational images and Identification (Internal and external communication)

Figure 1 about here

Positive congruency is the status where members of organizations positively evaluate organizational images both internally and externally while

Organizational Identification

Citizenship BehaviorTrust in top manager

Perceived InternalImage

Attentiveness to Organizational

Medium

Awareness of Organization

Citizenship Behavior

Internal-External Image Dissonance

Perceived External Image

Media Coverage(visibility favorability)

Advertising

Positive CongruencyMy organization is great and have a good public reputation

Negative CongruencyPeople are being fooled by propaganda

Positive CongruencyItrsquos a really good organization but people are now blind to it

Negative CongruencyMy organization is a jerk and thatrsquos how others see us

5

negative congruency is the status where members of organizations negatively evaluate organizational images both internally and externally

Positive incongruency indicates that a member positively evaluate organizational image internally but negatively evaluate external image or less positively than internally perceived image

Negative incongruency condition members have positive perception of external organizational image while evaluating negatively internally or less positively than external image Since people try to maintain cognitive consistency and decrease cognitive dissonance employeesrsquo evaluation of external and internal images may tend to be similar

However there might be the cases that environmental cues break the balance For example when an organizational crisis receives public attention employees in the positive congruency condition will move to positive incongruency condition If the organization recovers from the crisis it can go back to positive congrucncy but if it struggle with the crisis and employees lose trust in top managers then it again move forward to the negative congruency condition Also if an organization fails to deliver clear vision or policy to its employees it will make employees to move negative incongruency from positive congruency Image congruency and employee behaviors Before mentioned perceptions of organizational images have significant impacts on employeesrsquo behavior Furthermore we argue that by addressing the issue of image congruency between internally perceived and externally perceived it provides insights to employeesrsquo behaviors especially in terms of organizational identification and citizenship behaviors As ldquoa perception of oneness with a grouprdquo organizational identification is a form of social identification ldquowhere the individual defines him or herself in terms of their membership in a particular organizationrdquo (Mael amp Ashforth 1992p105)

Organizational identification have been considered as an important construct because it was found that organizational identification is positively related with employees supportive attitude toward their organization Research has shown that positive evaluation of organizationsrsquo external images contributes to organizational identification (Smidts et al 2001) but has not considered the issue of image discrepancy In conjunction with image discrepancy it is conceivable that in the positive congruency condition membersrsquo organizational identification would be the greatest while in the negative consonance condition memberrsquos organizational identification would be the least because in that way they can enhance or protect their self-esteem On the other hand it would be probable that membersrsquo identification would be greater in the positive dissonance condition than in the negative dissonance condition because as long as a member holds positive perception about hisher organization how others think would not be much matter

Therefore following propositions are proposed

Proposition 1

6

Organizational identification will be greatest among employees in the positive consonance condition followed by positive dissonance negative dissonance and negative consonance conditions

Furthermore image congruency would be related to citizenship behaviors Management literatures define organizational citizenship behavior as ldquoindividual behavior that is discretionary not directly or explicitly recognized by the formal reward system and that in the aggregate promotes the effective functioning of the organizationrdquo (Organ 1988 p4) That may include active positive contributions such as punctuality and attendance beyond what a strictly enforced as well as avoiding engaging in behaviors that are harmful to ones colleagues or to ones organization such as complaints appeals and accusations Organizational citizenship behaviors would be especially important during organizational crisis where organizations require voluntary and active behaviors from their members For example if the organization faces a crisiswho hold more positive internal image will involve more actively in image restoration efforts in responding to the impaired external images On the other hand if an employee has negative images about his organization he would be more likely to distance himself from the organization and remain inactive during a crisis Therefore following propositions are proposed

Proposition 2a When employees perceive that external image is derogated employees who have more positive internal image will engage in image restoration behaviors more actively than those who have negative internal image

Proposition 2b When employees perceive that external image is derogated employees who have negative internal image will more distance themselves from their organizations (ie more dis-identification) than those who have positive internal image

As addressed above employeesrsquo perceptions of organizational images seems to influence employeesrsquo behaviors and especially congruency of images between internally perceived images and perceived external images may cause significant consequences Since employees become to shape their perceptions about organizational images through diverse communication channels and messages it is important to discuss this issue in conjunction with communication process The following section will discuss how internal and external communications play a role in shaping employeesrsquo perceptions of images and the congruency issue related to communication process

Organizational Images and Communication

7

Individuals become to shape images about organizations through diverse communications From the anticipatory socialization perspective individuals become have rudimentary images about organization through education mass media and occupational experience (Jablin 2001) That is individuals may have images about organizations regardless to membership to the organization as consumers or potential job applicants Through the recruiting process a job candidate would be exposed diverse communication messages which aim to cultivate organizational image and heshe will enter into the organization with these pre-shaped images Once an individual become a member of an organization there might be two paths through which employees receives information of organizational image a direct path ndash ldquoan employee receives an image projected by the top management team of an organizationrdquo indirect path ndash employee receives ldquofeedbacks from external stakeholder in the form of communicated perceptions of how the image was interpreted and of the impressions that external stakeholders hold of the organizationrdquo (Corley et al 2001 p56) Among many factors following key communication-related factors are proposed as influencing employeesrsquo perceptions of organizational image This is presented in Figure 2

Figure 2 about here

Internal communications and perceptions of organizational images

Through the socialization process employees are exposed to diverse internal communications They would include formal communications from the management which have been developed to build the positive image among employees (Oliver amp Karim 2004) as well as informal communication with coworkers In general formal communications such as newsletters initiated by organizations is intended to poster positive organizational images among employees They deliver corporate visions values and norms which would constitute employeesrsquo perceptions of organizational images that is internally perceived image Therefore

Proposition 3 The more attentive to organizational medium the more positive organizational images employees will have

On the other hand internal communications also can provide employees cues to external images For example informing employees of corporate citizenship behaviors would enhancenot only internally perceived images but also perceived external image According to the Fortune reputation data demonstration of social concern has been considered as a predictor to a firmrsquos reputation Similarly a previous study also evidenced that corporationrsquos reputation is directly related to lsquoto the extent of the firmrsquos social welfare activitiesrsquo (Fombrun amp Shanley 1990) On the other hand it has been also argued that organizationrsquos citizenship have impact on employees as well as external public For example it has been found that corporate citizenship is positively related to employees commitment (Maignan Ferrell amp Hult 1999) Similarly social prestige (eg ldquoresponsibility for environmental issue quality of products and servicesrdquo p 448) was shown to have greater influence on employeesrsquo affective commitment to organizations than economic prestige (Abraham Carmeli 2005) Corley et al (2001) also argued that images of organizationrsquos social performance are more likely to strike broad range of external public and employees because of its affective link Based on signaling theory it is possible that organizationrsquos citizenship behaviors may signals about organizationrsquos identity to external and

8

internal publics Because those behaviors reflect socially desirable values and norms it is probable that external and internal publics would shape favorable image about the organizations Therefore it is possible that when employee aware about socially responsible activities of their organization they may think it would send good signals to external stakeholders thus having more favorable perception of external imageGreening and Turban (2000) suggested that ldquopart of a firmrsquos reputation and image is influenced by knowledge of the firmrsquos actions regarding developing social and political issues and their associated stakeholdersrdquo (p258) Therefore it would be plausible that employeesrsquo awareness or knowledge of their organizationrsquos citizenship behavior (such as community involvement and environmental safety actions) may influence perceived external prestige In addition it would also directly influence employeesrsquo perception of internal image because organizationrsquos behavior would signal to employees what their organization values In sum active communication about organizationrsquos citizenship behaviors may increase employeesrsquo awareness of them and make value them This in turn may make employees to have favorable perception of organizational image internally and externally

Therefore following propositions are proposed

Proposition 4a The more organizations engage in citizenship behaviors the more favorable externalinternal images employees will perceive about their organization

Proposition 4b The more awareness employees have about their organizationrsquos citizenship behaviors the more favorable externalinternal image employees will perceive about their organization

External communications and perceptions of organizational images

Furthermore employees would become have some sense of how others think about their organization by being exposed to external communications such as news reports advertisings and reference groups Traditionally media has been considered as one of the influential actors which contribute to publicrsquos perception of organization images According to Fortune reputation data media visibility was a predictor to a firmrsquos reputation However it is unclear to what extent media exposure is significant For example Fombrun and Shanley (1990)rsquos finding reputed the hypothesis that the greater a firmrsquos media visibility and the more favorable a firmrsquos media coverage the better its reputation Unexpectedly in their study negative effect of intensive media coverage was found on firmsrsquo reputations However there are also evidences that media coverage contribute to organizationrsquos reputation Proposing a concept of media reputation Deephouse (2000) argued that media reputation is a resource which increases the performance of organization He defined media reputation of a firm as ldquothe overall evaluation of a firm presented in the mediardquo and argued that media reputation may influence other stakeholdersrsquo knowledge and opinions about a firm thus influencing firmrsquos performance

From the perspective of employees it is possible that employeersquos evaluation about media coverage of their organization may have significant influence on employeesrsquo perceived external image In fact Smidts et al (2001) found that the impact of perceived external prestige on organizational identification was stronger when the companyrsquos visibility was higher than

9

lower From this finding they proposed that organization can improve perceived external prestige by investing in the visibility According to the media theories people tend to think other people are more susceptible to media reports than themselves (ie third-person effect) (Davison 1983) and media have strong influence on peoplersquos perception of public opinion (ie persuasive press influence) (Gunther 1998) Therefore it is possible that employees may be more sensitive to media reports and infer external prestige of their organizations based on their evaluation of media coverage Also the media often deliver cues of public opinion about organizations Since the construed external image can be seen as reflection of public opinion (Dutton et al 1994) organizationrsquos presentation in the media may have influence employees evaluation of their firmrsquos external image

Therefore following hypotheses are proposed

Proposition 5 The more visible and favorable media coverage of the organization employees perceive the more positively employees will evaluate their organizationrsquo external images

Also the impact of paid-communication on employees should be considered Advertising is considered as one of the most ldquovisible recognizable and memorable elements of organizational communicationrdquo and a purveyor of organizational image (Gilly amp Wolfinbarger 1998 p69) Since advertising campaign increase visibility in the media it can contribute to employeesrsquo positive perceptions of external images Also based on the third-person perception employees will tend to believe advertising have strong influence on publics thus the more favorably evaluate advertisings the more positive public attitude toward their organization will assume However scholars also have pointed that if the images presented in the advertising are not congruent with employeesrsquo pre-perceived images it may bring adverse effects such as frustrated feelings and distrust Therefore following propositions are proposed

Proposition 6aEmployeesrsquo attitude toward advertising will be positively related to perceived external images

Proposition 6b The more incongruency employees perceive between externally disseminated images (such as advertising) by their organizations and internally perceived images the less organizational identification and trust in top managers will employees have

THEORETICAL BACKGROUND OF THE RESEARCH MODEL

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

4

High PEP or (Favorable External Image)

Low PEP or(Negative External Image)

Figure 2 The influence of communications on perceptions of organizational images and Identification (Internal and external communication)

Figure 1 about here

Positive congruency is the status where members of organizations positively evaluate organizational images both internally and externally while

Organizational Identification

Citizenship BehaviorTrust in top manager

Perceived InternalImage

Attentiveness to Organizational

Medium

Awareness of Organization

Citizenship Behavior

Internal-External Image Dissonance

Perceived External Image

Media Coverage(visibility favorability)

Advertising

Positive CongruencyMy organization is great and have a good public reputation

Negative CongruencyPeople are being fooled by propaganda

Positive CongruencyItrsquos a really good organization but people are now blind to it

Negative CongruencyMy organization is a jerk and thatrsquos how others see us

5

negative congruency is the status where members of organizations negatively evaluate organizational images both internally and externally

Positive incongruency indicates that a member positively evaluate organizational image internally but negatively evaluate external image or less positively than internally perceived image

Negative incongruency condition members have positive perception of external organizational image while evaluating negatively internally or less positively than external image Since people try to maintain cognitive consistency and decrease cognitive dissonance employeesrsquo evaluation of external and internal images may tend to be similar

However there might be the cases that environmental cues break the balance For example when an organizational crisis receives public attention employees in the positive congruency condition will move to positive incongruency condition If the organization recovers from the crisis it can go back to positive congrucncy but if it struggle with the crisis and employees lose trust in top managers then it again move forward to the negative congruency condition Also if an organization fails to deliver clear vision or policy to its employees it will make employees to move negative incongruency from positive congruency Image congruency and employee behaviors Before mentioned perceptions of organizational images have significant impacts on employeesrsquo behavior Furthermore we argue that by addressing the issue of image congruency between internally perceived and externally perceived it provides insights to employeesrsquo behaviors especially in terms of organizational identification and citizenship behaviors As ldquoa perception of oneness with a grouprdquo organizational identification is a form of social identification ldquowhere the individual defines him or herself in terms of their membership in a particular organizationrdquo (Mael amp Ashforth 1992p105)

Organizational identification have been considered as an important construct because it was found that organizational identification is positively related with employees supportive attitude toward their organization Research has shown that positive evaluation of organizationsrsquo external images contributes to organizational identification (Smidts et al 2001) but has not considered the issue of image discrepancy In conjunction with image discrepancy it is conceivable that in the positive congruency condition membersrsquo organizational identification would be the greatest while in the negative consonance condition memberrsquos organizational identification would be the least because in that way they can enhance or protect their self-esteem On the other hand it would be probable that membersrsquo identification would be greater in the positive dissonance condition than in the negative dissonance condition because as long as a member holds positive perception about hisher organization how others think would not be much matter

Therefore following propositions are proposed

Proposition 1

6

Organizational identification will be greatest among employees in the positive consonance condition followed by positive dissonance negative dissonance and negative consonance conditions

Furthermore image congruency would be related to citizenship behaviors Management literatures define organizational citizenship behavior as ldquoindividual behavior that is discretionary not directly or explicitly recognized by the formal reward system and that in the aggregate promotes the effective functioning of the organizationrdquo (Organ 1988 p4) That may include active positive contributions such as punctuality and attendance beyond what a strictly enforced as well as avoiding engaging in behaviors that are harmful to ones colleagues or to ones organization such as complaints appeals and accusations Organizational citizenship behaviors would be especially important during organizational crisis where organizations require voluntary and active behaviors from their members For example if the organization faces a crisiswho hold more positive internal image will involve more actively in image restoration efforts in responding to the impaired external images On the other hand if an employee has negative images about his organization he would be more likely to distance himself from the organization and remain inactive during a crisis Therefore following propositions are proposed

Proposition 2a When employees perceive that external image is derogated employees who have more positive internal image will engage in image restoration behaviors more actively than those who have negative internal image

Proposition 2b When employees perceive that external image is derogated employees who have negative internal image will more distance themselves from their organizations (ie more dis-identification) than those who have positive internal image

As addressed above employeesrsquo perceptions of organizational images seems to influence employeesrsquo behaviors and especially congruency of images between internally perceived images and perceived external images may cause significant consequences Since employees become to shape their perceptions about organizational images through diverse communication channels and messages it is important to discuss this issue in conjunction with communication process The following section will discuss how internal and external communications play a role in shaping employeesrsquo perceptions of images and the congruency issue related to communication process

Organizational Images and Communication

7

Individuals become to shape images about organizations through diverse communications From the anticipatory socialization perspective individuals become have rudimentary images about organization through education mass media and occupational experience (Jablin 2001) That is individuals may have images about organizations regardless to membership to the organization as consumers or potential job applicants Through the recruiting process a job candidate would be exposed diverse communication messages which aim to cultivate organizational image and heshe will enter into the organization with these pre-shaped images Once an individual become a member of an organization there might be two paths through which employees receives information of organizational image a direct path ndash ldquoan employee receives an image projected by the top management team of an organizationrdquo indirect path ndash employee receives ldquofeedbacks from external stakeholder in the form of communicated perceptions of how the image was interpreted and of the impressions that external stakeholders hold of the organizationrdquo (Corley et al 2001 p56) Among many factors following key communication-related factors are proposed as influencing employeesrsquo perceptions of organizational image This is presented in Figure 2

Figure 2 about here

Internal communications and perceptions of organizational images

Through the socialization process employees are exposed to diverse internal communications They would include formal communications from the management which have been developed to build the positive image among employees (Oliver amp Karim 2004) as well as informal communication with coworkers In general formal communications such as newsletters initiated by organizations is intended to poster positive organizational images among employees They deliver corporate visions values and norms which would constitute employeesrsquo perceptions of organizational images that is internally perceived image Therefore

Proposition 3 The more attentive to organizational medium the more positive organizational images employees will have

On the other hand internal communications also can provide employees cues to external images For example informing employees of corporate citizenship behaviors would enhancenot only internally perceived images but also perceived external image According to the Fortune reputation data demonstration of social concern has been considered as a predictor to a firmrsquos reputation Similarly a previous study also evidenced that corporationrsquos reputation is directly related to lsquoto the extent of the firmrsquos social welfare activitiesrsquo (Fombrun amp Shanley 1990) On the other hand it has been also argued that organizationrsquos citizenship have impact on employees as well as external public For example it has been found that corporate citizenship is positively related to employees commitment (Maignan Ferrell amp Hult 1999) Similarly social prestige (eg ldquoresponsibility for environmental issue quality of products and servicesrdquo p 448) was shown to have greater influence on employeesrsquo affective commitment to organizations than economic prestige (Abraham Carmeli 2005) Corley et al (2001) also argued that images of organizationrsquos social performance are more likely to strike broad range of external public and employees because of its affective link Based on signaling theory it is possible that organizationrsquos citizenship behaviors may signals about organizationrsquos identity to external and

8

internal publics Because those behaviors reflect socially desirable values and norms it is probable that external and internal publics would shape favorable image about the organizations Therefore it is possible that when employee aware about socially responsible activities of their organization they may think it would send good signals to external stakeholders thus having more favorable perception of external imageGreening and Turban (2000) suggested that ldquopart of a firmrsquos reputation and image is influenced by knowledge of the firmrsquos actions regarding developing social and political issues and their associated stakeholdersrdquo (p258) Therefore it would be plausible that employeesrsquo awareness or knowledge of their organizationrsquos citizenship behavior (such as community involvement and environmental safety actions) may influence perceived external prestige In addition it would also directly influence employeesrsquo perception of internal image because organizationrsquos behavior would signal to employees what their organization values In sum active communication about organizationrsquos citizenship behaviors may increase employeesrsquo awareness of them and make value them This in turn may make employees to have favorable perception of organizational image internally and externally

Therefore following propositions are proposed

Proposition 4a The more organizations engage in citizenship behaviors the more favorable externalinternal images employees will perceive about their organization

Proposition 4b The more awareness employees have about their organizationrsquos citizenship behaviors the more favorable externalinternal image employees will perceive about their organization

External communications and perceptions of organizational images

Furthermore employees would become have some sense of how others think about their organization by being exposed to external communications such as news reports advertisings and reference groups Traditionally media has been considered as one of the influential actors which contribute to publicrsquos perception of organization images According to Fortune reputation data media visibility was a predictor to a firmrsquos reputation However it is unclear to what extent media exposure is significant For example Fombrun and Shanley (1990)rsquos finding reputed the hypothesis that the greater a firmrsquos media visibility and the more favorable a firmrsquos media coverage the better its reputation Unexpectedly in their study negative effect of intensive media coverage was found on firmsrsquo reputations However there are also evidences that media coverage contribute to organizationrsquos reputation Proposing a concept of media reputation Deephouse (2000) argued that media reputation is a resource which increases the performance of organization He defined media reputation of a firm as ldquothe overall evaluation of a firm presented in the mediardquo and argued that media reputation may influence other stakeholdersrsquo knowledge and opinions about a firm thus influencing firmrsquos performance

From the perspective of employees it is possible that employeersquos evaluation about media coverage of their organization may have significant influence on employeesrsquo perceived external image In fact Smidts et al (2001) found that the impact of perceived external prestige on organizational identification was stronger when the companyrsquos visibility was higher than

9

lower From this finding they proposed that organization can improve perceived external prestige by investing in the visibility According to the media theories people tend to think other people are more susceptible to media reports than themselves (ie third-person effect) (Davison 1983) and media have strong influence on peoplersquos perception of public opinion (ie persuasive press influence) (Gunther 1998) Therefore it is possible that employees may be more sensitive to media reports and infer external prestige of their organizations based on their evaluation of media coverage Also the media often deliver cues of public opinion about organizations Since the construed external image can be seen as reflection of public opinion (Dutton et al 1994) organizationrsquos presentation in the media may have influence employees evaluation of their firmrsquos external image

Therefore following hypotheses are proposed

Proposition 5 The more visible and favorable media coverage of the organization employees perceive the more positively employees will evaluate their organizationrsquo external images

Also the impact of paid-communication on employees should be considered Advertising is considered as one of the most ldquovisible recognizable and memorable elements of organizational communicationrdquo and a purveyor of organizational image (Gilly amp Wolfinbarger 1998 p69) Since advertising campaign increase visibility in the media it can contribute to employeesrsquo positive perceptions of external images Also based on the third-person perception employees will tend to believe advertising have strong influence on publics thus the more favorably evaluate advertisings the more positive public attitude toward their organization will assume However scholars also have pointed that if the images presented in the advertising are not congruent with employeesrsquo pre-perceived images it may bring adverse effects such as frustrated feelings and distrust Therefore following propositions are proposed

Proposition 6aEmployeesrsquo attitude toward advertising will be positively related to perceived external images

Proposition 6b The more incongruency employees perceive between externally disseminated images (such as advertising) by their organizations and internally perceived images the less organizational identification and trust in top managers will employees have

THEORETICAL BACKGROUND OF THE RESEARCH MODEL

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

5

negative congruency is the status where members of organizations negatively evaluate organizational images both internally and externally

Positive incongruency indicates that a member positively evaluate organizational image internally but negatively evaluate external image or less positively than internally perceived image

Negative incongruency condition members have positive perception of external organizational image while evaluating negatively internally or less positively than external image Since people try to maintain cognitive consistency and decrease cognitive dissonance employeesrsquo evaluation of external and internal images may tend to be similar

However there might be the cases that environmental cues break the balance For example when an organizational crisis receives public attention employees in the positive congruency condition will move to positive incongruency condition If the organization recovers from the crisis it can go back to positive congrucncy but if it struggle with the crisis and employees lose trust in top managers then it again move forward to the negative congruency condition Also if an organization fails to deliver clear vision or policy to its employees it will make employees to move negative incongruency from positive congruency Image congruency and employee behaviors Before mentioned perceptions of organizational images have significant impacts on employeesrsquo behavior Furthermore we argue that by addressing the issue of image congruency between internally perceived and externally perceived it provides insights to employeesrsquo behaviors especially in terms of organizational identification and citizenship behaviors As ldquoa perception of oneness with a grouprdquo organizational identification is a form of social identification ldquowhere the individual defines him or herself in terms of their membership in a particular organizationrdquo (Mael amp Ashforth 1992p105)

Organizational identification have been considered as an important construct because it was found that organizational identification is positively related with employees supportive attitude toward their organization Research has shown that positive evaluation of organizationsrsquo external images contributes to organizational identification (Smidts et al 2001) but has not considered the issue of image discrepancy In conjunction with image discrepancy it is conceivable that in the positive congruency condition membersrsquo organizational identification would be the greatest while in the negative consonance condition memberrsquos organizational identification would be the least because in that way they can enhance or protect their self-esteem On the other hand it would be probable that membersrsquo identification would be greater in the positive dissonance condition than in the negative dissonance condition because as long as a member holds positive perception about hisher organization how others think would not be much matter

Therefore following propositions are proposed

Proposition 1

6

Organizational identification will be greatest among employees in the positive consonance condition followed by positive dissonance negative dissonance and negative consonance conditions

Furthermore image congruency would be related to citizenship behaviors Management literatures define organizational citizenship behavior as ldquoindividual behavior that is discretionary not directly or explicitly recognized by the formal reward system and that in the aggregate promotes the effective functioning of the organizationrdquo (Organ 1988 p4) That may include active positive contributions such as punctuality and attendance beyond what a strictly enforced as well as avoiding engaging in behaviors that are harmful to ones colleagues or to ones organization such as complaints appeals and accusations Organizational citizenship behaviors would be especially important during organizational crisis where organizations require voluntary and active behaviors from their members For example if the organization faces a crisiswho hold more positive internal image will involve more actively in image restoration efforts in responding to the impaired external images On the other hand if an employee has negative images about his organization he would be more likely to distance himself from the organization and remain inactive during a crisis Therefore following propositions are proposed

Proposition 2a When employees perceive that external image is derogated employees who have more positive internal image will engage in image restoration behaviors more actively than those who have negative internal image

Proposition 2b When employees perceive that external image is derogated employees who have negative internal image will more distance themselves from their organizations (ie more dis-identification) than those who have positive internal image

As addressed above employeesrsquo perceptions of organizational images seems to influence employeesrsquo behaviors and especially congruency of images between internally perceived images and perceived external images may cause significant consequences Since employees become to shape their perceptions about organizational images through diverse communication channels and messages it is important to discuss this issue in conjunction with communication process The following section will discuss how internal and external communications play a role in shaping employeesrsquo perceptions of images and the congruency issue related to communication process

Organizational Images and Communication

7

Individuals become to shape images about organizations through diverse communications From the anticipatory socialization perspective individuals become have rudimentary images about organization through education mass media and occupational experience (Jablin 2001) That is individuals may have images about organizations regardless to membership to the organization as consumers or potential job applicants Through the recruiting process a job candidate would be exposed diverse communication messages which aim to cultivate organizational image and heshe will enter into the organization with these pre-shaped images Once an individual become a member of an organization there might be two paths through which employees receives information of organizational image a direct path ndash ldquoan employee receives an image projected by the top management team of an organizationrdquo indirect path ndash employee receives ldquofeedbacks from external stakeholder in the form of communicated perceptions of how the image was interpreted and of the impressions that external stakeholders hold of the organizationrdquo (Corley et al 2001 p56) Among many factors following key communication-related factors are proposed as influencing employeesrsquo perceptions of organizational image This is presented in Figure 2

Figure 2 about here

Internal communications and perceptions of organizational images

Through the socialization process employees are exposed to diverse internal communications They would include formal communications from the management which have been developed to build the positive image among employees (Oliver amp Karim 2004) as well as informal communication with coworkers In general formal communications such as newsletters initiated by organizations is intended to poster positive organizational images among employees They deliver corporate visions values and norms which would constitute employeesrsquo perceptions of organizational images that is internally perceived image Therefore

Proposition 3 The more attentive to organizational medium the more positive organizational images employees will have

On the other hand internal communications also can provide employees cues to external images For example informing employees of corporate citizenship behaviors would enhancenot only internally perceived images but also perceived external image According to the Fortune reputation data demonstration of social concern has been considered as a predictor to a firmrsquos reputation Similarly a previous study also evidenced that corporationrsquos reputation is directly related to lsquoto the extent of the firmrsquos social welfare activitiesrsquo (Fombrun amp Shanley 1990) On the other hand it has been also argued that organizationrsquos citizenship have impact on employees as well as external public For example it has been found that corporate citizenship is positively related to employees commitment (Maignan Ferrell amp Hult 1999) Similarly social prestige (eg ldquoresponsibility for environmental issue quality of products and servicesrdquo p 448) was shown to have greater influence on employeesrsquo affective commitment to organizations than economic prestige (Abraham Carmeli 2005) Corley et al (2001) also argued that images of organizationrsquos social performance are more likely to strike broad range of external public and employees because of its affective link Based on signaling theory it is possible that organizationrsquos citizenship behaviors may signals about organizationrsquos identity to external and

8

internal publics Because those behaviors reflect socially desirable values and norms it is probable that external and internal publics would shape favorable image about the organizations Therefore it is possible that when employee aware about socially responsible activities of their organization they may think it would send good signals to external stakeholders thus having more favorable perception of external imageGreening and Turban (2000) suggested that ldquopart of a firmrsquos reputation and image is influenced by knowledge of the firmrsquos actions regarding developing social and political issues and their associated stakeholdersrdquo (p258) Therefore it would be plausible that employeesrsquo awareness or knowledge of their organizationrsquos citizenship behavior (such as community involvement and environmental safety actions) may influence perceived external prestige In addition it would also directly influence employeesrsquo perception of internal image because organizationrsquos behavior would signal to employees what their organization values In sum active communication about organizationrsquos citizenship behaviors may increase employeesrsquo awareness of them and make value them This in turn may make employees to have favorable perception of organizational image internally and externally

Therefore following propositions are proposed

Proposition 4a The more organizations engage in citizenship behaviors the more favorable externalinternal images employees will perceive about their organization

Proposition 4b The more awareness employees have about their organizationrsquos citizenship behaviors the more favorable externalinternal image employees will perceive about their organization

External communications and perceptions of organizational images

Furthermore employees would become have some sense of how others think about their organization by being exposed to external communications such as news reports advertisings and reference groups Traditionally media has been considered as one of the influential actors which contribute to publicrsquos perception of organization images According to Fortune reputation data media visibility was a predictor to a firmrsquos reputation However it is unclear to what extent media exposure is significant For example Fombrun and Shanley (1990)rsquos finding reputed the hypothesis that the greater a firmrsquos media visibility and the more favorable a firmrsquos media coverage the better its reputation Unexpectedly in their study negative effect of intensive media coverage was found on firmsrsquo reputations However there are also evidences that media coverage contribute to organizationrsquos reputation Proposing a concept of media reputation Deephouse (2000) argued that media reputation is a resource which increases the performance of organization He defined media reputation of a firm as ldquothe overall evaluation of a firm presented in the mediardquo and argued that media reputation may influence other stakeholdersrsquo knowledge and opinions about a firm thus influencing firmrsquos performance

From the perspective of employees it is possible that employeersquos evaluation about media coverage of their organization may have significant influence on employeesrsquo perceived external image In fact Smidts et al (2001) found that the impact of perceived external prestige on organizational identification was stronger when the companyrsquos visibility was higher than

9

lower From this finding they proposed that organization can improve perceived external prestige by investing in the visibility According to the media theories people tend to think other people are more susceptible to media reports than themselves (ie third-person effect) (Davison 1983) and media have strong influence on peoplersquos perception of public opinion (ie persuasive press influence) (Gunther 1998) Therefore it is possible that employees may be more sensitive to media reports and infer external prestige of their organizations based on their evaluation of media coverage Also the media often deliver cues of public opinion about organizations Since the construed external image can be seen as reflection of public opinion (Dutton et al 1994) organizationrsquos presentation in the media may have influence employees evaluation of their firmrsquos external image

Therefore following hypotheses are proposed

Proposition 5 The more visible and favorable media coverage of the organization employees perceive the more positively employees will evaluate their organizationrsquo external images

Also the impact of paid-communication on employees should be considered Advertising is considered as one of the most ldquovisible recognizable and memorable elements of organizational communicationrdquo and a purveyor of organizational image (Gilly amp Wolfinbarger 1998 p69) Since advertising campaign increase visibility in the media it can contribute to employeesrsquo positive perceptions of external images Also based on the third-person perception employees will tend to believe advertising have strong influence on publics thus the more favorably evaluate advertisings the more positive public attitude toward their organization will assume However scholars also have pointed that if the images presented in the advertising are not congruent with employeesrsquo pre-perceived images it may bring adverse effects such as frustrated feelings and distrust Therefore following propositions are proposed

Proposition 6aEmployeesrsquo attitude toward advertising will be positively related to perceived external images

Proposition 6b The more incongruency employees perceive between externally disseminated images (such as advertising) by their organizations and internally perceived images the less organizational identification and trust in top managers will employees have

THEORETICAL BACKGROUND OF THE RESEARCH MODEL

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

6

Organizational identification will be greatest among employees in the positive consonance condition followed by positive dissonance negative dissonance and negative consonance conditions

Furthermore image congruency would be related to citizenship behaviors Management literatures define organizational citizenship behavior as ldquoindividual behavior that is discretionary not directly or explicitly recognized by the formal reward system and that in the aggregate promotes the effective functioning of the organizationrdquo (Organ 1988 p4) That may include active positive contributions such as punctuality and attendance beyond what a strictly enforced as well as avoiding engaging in behaviors that are harmful to ones colleagues or to ones organization such as complaints appeals and accusations Organizational citizenship behaviors would be especially important during organizational crisis where organizations require voluntary and active behaviors from their members For example if the organization faces a crisiswho hold more positive internal image will involve more actively in image restoration efforts in responding to the impaired external images On the other hand if an employee has negative images about his organization he would be more likely to distance himself from the organization and remain inactive during a crisis Therefore following propositions are proposed

Proposition 2a When employees perceive that external image is derogated employees who have more positive internal image will engage in image restoration behaviors more actively than those who have negative internal image

Proposition 2b When employees perceive that external image is derogated employees who have negative internal image will more distance themselves from their organizations (ie more dis-identification) than those who have positive internal image

As addressed above employeesrsquo perceptions of organizational images seems to influence employeesrsquo behaviors and especially congruency of images between internally perceived images and perceived external images may cause significant consequences Since employees become to shape their perceptions about organizational images through diverse communication channels and messages it is important to discuss this issue in conjunction with communication process The following section will discuss how internal and external communications play a role in shaping employeesrsquo perceptions of images and the congruency issue related to communication process

Organizational Images and Communication

7

Individuals become to shape images about organizations through diverse communications From the anticipatory socialization perspective individuals become have rudimentary images about organization through education mass media and occupational experience (Jablin 2001) That is individuals may have images about organizations regardless to membership to the organization as consumers or potential job applicants Through the recruiting process a job candidate would be exposed diverse communication messages which aim to cultivate organizational image and heshe will enter into the organization with these pre-shaped images Once an individual become a member of an organization there might be two paths through which employees receives information of organizational image a direct path ndash ldquoan employee receives an image projected by the top management team of an organizationrdquo indirect path ndash employee receives ldquofeedbacks from external stakeholder in the form of communicated perceptions of how the image was interpreted and of the impressions that external stakeholders hold of the organizationrdquo (Corley et al 2001 p56) Among many factors following key communication-related factors are proposed as influencing employeesrsquo perceptions of organizational image This is presented in Figure 2

Figure 2 about here

Internal communications and perceptions of organizational images

Through the socialization process employees are exposed to diverse internal communications They would include formal communications from the management which have been developed to build the positive image among employees (Oliver amp Karim 2004) as well as informal communication with coworkers In general formal communications such as newsletters initiated by organizations is intended to poster positive organizational images among employees They deliver corporate visions values and norms which would constitute employeesrsquo perceptions of organizational images that is internally perceived image Therefore

Proposition 3 The more attentive to organizational medium the more positive organizational images employees will have

On the other hand internal communications also can provide employees cues to external images For example informing employees of corporate citizenship behaviors would enhancenot only internally perceived images but also perceived external image According to the Fortune reputation data demonstration of social concern has been considered as a predictor to a firmrsquos reputation Similarly a previous study also evidenced that corporationrsquos reputation is directly related to lsquoto the extent of the firmrsquos social welfare activitiesrsquo (Fombrun amp Shanley 1990) On the other hand it has been also argued that organizationrsquos citizenship have impact on employees as well as external public For example it has been found that corporate citizenship is positively related to employees commitment (Maignan Ferrell amp Hult 1999) Similarly social prestige (eg ldquoresponsibility for environmental issue quality of products and servicesrdquo p 448) was shown to have greater influence on employeesrsquo affective commitment to organizations than economic prestige (Abraham Carmeli 2005) Corley et al (2001) also argued that images of organizationrsquos social performance are more likely to strike broad range of external public and employees because of its affective link Based on signaling theory it is possible that organizationrsquos citizenship behaviors may signals about organizationrsquos identity to external and

8

internal publics Because those behaviors reflect socially desirable values and norms it is probable that external and internal publics would shape favorable image about the organizations Therefore it is possible that when employee aware about socially responsible activities of their organization they may think it would send good signals to external stakeholders thus having more favorable perception of external imageGreening and Turban (2000) suggested that ldquopart of a firmrsquos reputation and image is influenced by knowledge of the firmrsquos actions regarding developing social and political issues and their associated stakeholdersrdquo (p258) Therefore it would be plausible that employeesrsquo awareness or knowledge of their organizationrsquos citizenship behavior (such as community involvement and environmental safety actions) may influence perceived external prestige In addition it would also directly influence employeesrsquo perception of internal image because organizationrsquos behavior would signal to employees what their organization values In sum active communication about organizationrsquos citizenship behaviors may increase employeesrsquo awareness of them and make value them This in turn may make employees to have favorable perception of organizational image internally and externally

Therefore following propositions are proposed

Proposition 4a The more organizations engage in citizenship behaviors the more favorable externalinternal images employees will perceive about their organization

Proposition 4b The more awareness employees have about their organizationrsquos citizenship behaviors the more favorable externalinternal image employees will perceive about their organization

External communications and perceptions of organizational images

Furthermore employees would become have some sense of how others think about their organization by being exposed to external communications such as news reports advertisings and reference groups Traditionally media has been considered as one of the influential actors which contribute to publicrsquos perception of organization images According to Fortune reputation data media visibility was a predictor to a firmrsquos reputation However it is unclear to what extent media exposure is significant For example Fombrun and Shanley (1990)rsquos finding reputed the hypothesis that the greater a firmrsquos media visibility and the more favorable a firmrsquos media coverage the better its reputation Unexpectedly in their study negative effect of intensive media coverage was found on firmsrsquo reputations However there are also evidences that media coverage contribute to organizationrsquos reputation Proposing a concept of media reputation Deephouse (2000) argued that media reputation is a resource which increases the performance of organization He defined media reputation of a firm as ldquothe overall evaluation of a firm presented in the mediardquo and argued that media reputation may influence other stakeholdersrsquo knowledge and opinions about a firm thus influencing firmrsquos performance

From the perspective of employees it is possible that employeersquos evaluation about media coverage of their organization may have significant influence on employeesrsquo perceived external image In fact Smidts et al (2001) found that the impact of perceived external prestige on organizational identification was stronger when the companyrsquos visibility was higher than

9

lower From this finding they proposed that organization can improve perceived external prestige by investing in the visibility According to the media theories people tend to think other people are more susceptible to media reports than themselves (ie third-person effect) (Davison 1983) and media have strong influence on peoplersquos perception of public opinion (ie persuasive press influence) (Gunther 1998) Therefore it is possible that employees may be more sensitive to media reports and infer external prestige of their organizations based on their evaluation of media coverage Also the media often deliver cues of public opinion about organizations Since the construed external image can be seen as reflection of public opinion (Dutton et al 1994) organizationrsquos presentation in the media may have influence employees evaluation of their firmrsquos external image

Therefore following hypotheses are proposed

Proposition 5 The more visible and favorable media coverage of the organization employees perceive the more positively employees will evaluate their organizationrsquo external images

Also the impact of paid-communication on employees should be considered Advertising is considered as one of the most ldquovisible recognizable and memorable elements of organizational communicationrdquo and a purveyor of organizational image (Gilly amp Wolfinbarger 1998 p69) Since advertising campaign increase visibility in the media it can contribute to employeesrsquo positive perceptions of external images Also based on the third-person perception employees will tend to believe advertising have strong influence on publics thus the more favorably evaluate advertisings the more positive public attitude toward their organization will assume However scholars also have pointed that if the images presented in the advertising are not congruent with employeesrsquo pre-perceived images it may bring adverse effects such as frustrated feelings and distrust Therefore following propositions are proposed

Proposition 6aEmployeesrsquo attitude toward advertising will be positively related to perceived external images

Proposition 6b The more incongruency employees perceive between externally disseminated images (such as advertising) by their organizations and internally perceived images the less organizational identification and trust in top managers will employees have

THEORETICAL BACKGROUND OF THE RESEARCH MODEL

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

7

Individuals become to shape images about organizations through diverse communications From the anticipatory socialization perspective individuals become have rudimentary images about organization through education mass media and occupational experience (Jablin 2001) That is individuals may have images about organizations regardless to membership to the organization as consumers or potential job applicants Through the recruiting process a job candidate would be exposed diverse communication messages which aim to cultivate organizational image and heshe will enter into the organization with these pre-shaped images Once an individual become a member of an organization there might be two paths through which employees receives information of organizational image a direct path ndash ldquoan employee receives an image projected by the top management team of an organizationrdquo indirect path ndash employee receives ldquofeedbacks from external stakeholder in the form of communicated perceptions of how the image was interpreted and of the impressions that external stakeholders hold of the organizationrdquo (Corley et al 2001 p56) Among many factors following key communication-related factors are proposed as influencing employeesrsquo perceptions of organizational image This is presented in Figure 2

Figure 2 about here

Internal communications and perceptions of organizational images

Through the socialization process employees are exposed to diverse internal communications They would include formal communications from the management which have been developed to build the positive image among employees (Oliver amp Karim 2004) as well as informal communication with coworkers In general formal communications such as newsletters initiated by organizations is intended to poster positive organizational images among employees They deliver corporate visions values and norms which would constitute employeesrsquo perceptions of organizational images that is internally perceived image Therefore

Proposition 3 The more attentive to organizational medium the more positive organizational images employees will have

On the other hand internal communications also can provide employees cues to external images For example informing employees of corporate citizenship behaviors would enhancenot only internally perceived images but also perceived external image According to the Fortune reputation data demonstration of social concern has been considered as a predictor to a firmrsquos reputation Similarly a previous study also evidenced that corporationrsquos reputation is directly related to lsquoto the extent of the firmrsquos social welfare activitiesrsquo (Fombrun amp Shanley 1990) On the other hand it has been also argued that organizationrsquos citizenship have impact on employees as well as external public For example it has been found that corporate citizenship is positively related to employees commitment (Maignan Ferrell amp Hult 1999) Similarly social prestige (eg ldquoresponsibility for environmental issue quality of products and servicesrdquo p 448) was shown to have greater influence on employeesrsquo affective commitment to organizations than economic prestige (Abraham Carmeli 2005) Corley et al (2001) also argued that images of organizationrsquos social performance are more likely to strike broad range of external public and employees because of its affective link Based on signaling theory it is possible that organizationrsquos citizenship behaviors may signals about organizationrsquos identity to external and

8

internal publics Because those behaviors reflect socially desirable values and norms it is probable that external and internal publics would shape favorable image about the organizations Therefore it is possible that when employee aware about socially responsible activities of their organization they may think it would send good signals to external stakeholders thus having more favorable perception of external imageGreening and Turban (2000) suggested that ldquopart of a firmrsquos reputation and image is influenced by knowledge of the firmrsquos actions regarding developing social and political issues and their associated stakeholdersrdquo (p258) Therefore it would be plausible that employeesrsquo awareness or knowledge of their organizationrsquos citizenship behavior (such as community involvement and environmental safety actions) may influence perceived external prestige In addition it would also directly influence employeesrsquo perception of internal image because organizationrsquos behavior would signal to employees what their organization values In sum active communication about organizationrsquos citizenship behaviors may increase employeesrsquo awareness of them and make value them This in turn may make employees to have favorable perception of organizational image internally and externally

Therefore following propositions are proposed

Proposition 4a The more organizations engage in citizenship behaviors the more favorable externalinternal images employees will perceive about their organization

Proposition 4b The more awareness employees have about their organizationrsquos citizenship behaviors the more favorable externalinternal image employees will perceive about their organization

External communications and perceptions of organizational images

Furthermore employees would become have some sense of how others think about their organization by being exposed to external communications such as news reports advertisings and reference groups Traditionally media has been considered as one of the influential actors which contribute to publicrsquos perception of organization images According to Fortune reputation data media visibility was a predictor to a firmrsquos reputation However it is unclear to what extent media exposure is significant For example Fombrun and Shanley (1990)rsquos finding reputed the hypothesis that the greater a firmrsquos media visibility and the more favorable a firmrsquos media coverage the better its reputation Unexpectedly in their study negative effect of intensive media coverage was found on firmsrsquo reputations However there are also evidences that media coverage contribute to organizationrsquos reputation Proposing a concept of media reputation Deephouse (2000) argued that media reputation is a resource which increases the performance of organization He defined media reputation of a firm as ldquothe overall evaluation of a firm presented in the mediardquo and argued that media reputation may influence other stakeholdersrsquo knowledge and opinions about a firm thus influencing firmrsquos performance

From the perspective of employees it is possible that employeersquos evaluation about media coverage of their organization may have significant influence on employeesrsquo perceived external image In fact Smidts et al (2001) found that the impact of perceived external prestige on organizational identification was stronger when the companyrsquos visibility was higher than

9

lower From this finding they proposed that organization can improve perceived external prestige by investing in the visibility According to the media theories people tend to think other people are more susceptible to media reports than themselves (ie third-person effect) (Davison 1983) and media have strong influence on peoplersquos perception of public opinion (ie persuasive press influence) (Gunther 1998) Therefore it is possible that employees may be more sensitive to media reports and infer external prestige of their organizations based on their evaluation of media coverage Also the media often deliver cues of public opinion about organizations Since the construed external image can be seen as reflection of public opinion (Dutton et al 1994) organizationrsquos presentation in the media may have influence employees evaluation of their firmrsquos external image

Therefore following hypotheses are proposed

Proposition 5 The more visible and favorable media coverage of the organization employees perceive the more positively employees will evaluate their organizationrsquo external images

Also the impact of paid-communication on employees should be considered Advertising is considered as one of the most ldquovisible recognizable and memorable elements of organizational communicationrdquo and a purveyor of organizational image (Gilly amp Wolfinbarger 1998 p69) Since advertising campaign increase visibility in the media it can contribute to employeesrsquo positive perceptions of external images Also based on the third-person perception employees will tend to believe advertising have strong influence on publics thus the more favorably evaluate advertisings the more positive public attitude toward their organization will assume However scholars also have pointed that if the images presented in the advertising are not congruent with employeesrsquo pre-perceived images it may bring adverse effects such as frustrated feelings and distrust Therefore following propositions are proposed

Proposition 6aEmployeesrsquo attitude toward advertising will be positively related to perceived external images

Proposition 6b The more incongruency employees perceive between externally disseminated images (such as advertising) by their organizations and internally perceived images the less organizational identification and trust in top managers will employees have

THEORETICAL BACKGROUND OF THE RESEARCH MODEL

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

8

internal publics Because those behaviors reflect socially desirable values and norms it is probable that external and internal publics would shape favorable image about the organizations Therefore it is possible that when employee aware about socially responsible activities of their organization they may think it would send good signals to external stakeholders thus having more favorable perception of external imageGreening and Turban (2000) suggested that ldquopart of a firmrsquos reputation and image is influenced by knowledge of the firmrsquos actions regarding developing social and political issues and their associated stakeholdersrdquo (p258) Therefore it would be plausible that employeesrsquo awareness or knowledge of their organizationrsquos citizenship behavior (such as community involvement and environmental safety actions) may influence perceived external prestige In addition it would also directly influence employeesrsquo perception of internal image because organizationrsquos behavior would signal to employees what their organization values In sum active communication about organizationrsquos citizenship behaviors may increase employeesrsquo awareness of them and make value them This in turn may make employees to have favorable perception of organizational image internally and externally

Therefore following propositions are proposed

Proposition 4a The more organizations engage in citizenship behaviors the more favorable externalinternal images employees will perceive about their organization

Proposition 4b The more awareness employees have about their organizationrsquos citizenship behaviors the more favorable externalinternal image employees will perceive about their organization

External communications and perceptions of organizational images

Furthermore employees would become have some sense of how others think about their organization by being exposed to external communications such as news reports advertisings and reference groups Traditionally media has been considered as one of the influential actors which contribute to publicrsquos perception of organization images According to Fortune reputation data media visibility was a predictor to a firmrsquos reputation However it is unclear to what extent media exposure is significant For example Fombrun and Shanley (1990)rsquos finding reputed the hypothesis that the greater a firmrsquos media visibility and the more favorable a firmrsquos media coverage the better its reputation Unexpectedly in their study negative effect of intensive media coverage was found on firmsrsquo reputations However there are also evidences that media coverage contribute to organizationrsquos reputation Proposing a concept of media reputation Deephouse (2000) argued that media reputation is a resource which increases the performance of organization He defined media reputation of a firm as ldquothe overall evaluation of a firm presented in the mediardquo and argued that media reputation may influence other stakeholdersrsquo knowledge and opinions about a firm thus influencing firmrsquos performance

From the perspective of employees it is possible that employeersquos evaluation about media coverage of their organization may have significant influence on employeesrsquo perceived external image In fact Smidts et al (2001) found that the impact of perceived external prestige on organizational identification was stronger when the companyrsquos visibility was higher than

9

lower From this finding they proposed that organization can improve perceived external prestige by investing in the visibility According to the media theories people tend to think other people are more susceptible to media reports than themselves (ie third-person effect) (Davison 1983) and media have strong influence on peoplersquos perception of public opinion (ie persuasive press influence) (Gunther 1998) Therefore it is possible that employees may be more sensitive to media reports and infer external prestige of their organizations based on their evaluation of media coverage Also the media often deliver cues of public opinion about organizations Since the construed external image can be seen as reflection of public opinion (Dutton et al 1994) organizationrsquos presentation in the media may have influence employees evaluation of their firmrsquos external image

Therefore following hypotheses are proposed

Proposition 5 The more visible and favorable media coverage of the organization employees perceive the more positively employees will evaluate their organizationrsquo external images

Also the impact of paid-communication on employees should be considered Advertising is considered as one of the most ldquovisible recognizable and memorable elements of organizational communicationrdquo and a purveyor of organizational image (Gilly amp Wolfinbarger 1998 p69) Since advertising campaign increase visibility in the media it can contribute to employeesrsquo positive perceptions of external images Also based on the third-person perception employees will tend to believe advertising have strong influence on publics thus the more favorably evaluate advertisings the more positive public attitude toward their organization will assume However scholars also have pointed that if the images presented in the advertising are not congruent with employeesrsquo pre-perceived images it may bring adverse effects such as frustrated feelings and distrust Therefore following propositions are proposed

Proposition 6aEmployeesrsquo attitude toward advertising will be positively related to perceived external images

Proposition 6b The more incongruency employees perceive between externally disseminated images (such as advertising) by their organizations and internally perceived images the less organizational identification and trust in top managers will employees have

THEORETICAL BACKGROUND OF THE RESEARCH MODEL

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

9

lower From this finding they proposed that organization can improve perceived external prestige by investing in the visibility According to the media theories people tend to think other people are more susceptible to media reports than themselves (ie third-person effect) (Davison 1983) and media have strong influence on peoplersquos perception of public opinion (ie persuasive press influence) (Gunther 1998) Therefore it is possible that employees may be more sensitive to media reports and infer external prestige of their organizations based on their evaluation of media coverage Also the media often deliver cues of public opinion about organizations Since the construed external image can be seen as reflection of public opinion (Dutton et al 1994) organizationrsquos presentation in the media may have influence employees evaluation of their firmrsquos external image

Therefore following hypotheses are proposed

Proposition 5 The more visible and favorable media coverage of the organization employees perceive the more positively employees will evaluate their organizationrsquo external images

Also the impact of paid-communication on employees should be considered Advertising is considered as one of the most ldquovisible recognizable and memorable elements of organizational communicationrdquo and a purveyor of organizational image (Gilly amp Wolfinbarger 1998 p69) Since advertising campaign increase visibility in the media it can contribute to employeesrsquo positive perceptions of external images Also based on the third-person perception employees will tend to believe advertising have strong influence on publics thus the more favorably evaluate advertisings the more positive public attitude toward their organization will assume However scholars also have pointed that if the images presented in the advertising are not congruent with employeesrsquo pre-perceived images it may bring adverse effects such as frustrated feelings and distrust Therefore following propositions are proposed

Proposition 6aEmployeesrsquo attitude toward advertising will be positively related to perceived external images

Proposition 6b The more incongruency employees perceive between externally disseminated images (such as advertising) by their organizations and internally perceived images the less organizational identification and trust in top managers will employees have

THEORETICAL BACKGROUND OF THE RESEARCH MODEL

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

10

Perceived Organizational Support (POS) and Perceived External Prestige (PEP) have been found to be related to various employee work outcomes such as affective organizational commitment in-role performance and organizational citizenship behaviors (Rhoades amp Eisenberger 2002)

This study suggests a mediation model in which the relationship between PEP amp POS and turnover intention is mediated by the employeersquos trust in organization The Mediating effects of trust in organization Different researchers define trust differently In this paper the definition of trust in organization adapted from Tan amp Tan (2000) is the lsquoglobal evaluation of an organizationrsquos trustworthiness as perceived by the employeersquo POS PEP and trust represent distinct but related constructs Eisenberger et al (1990) argued that POS ldquocreates trust that the organization will fulfill its exchange obligation of noticing and rewarding employee efforts made on its behalfrdquo Tan amp Tan (2000) also showed that perceived organizational support is significantly related to trust in organization When employees perceived that the organization values their contributions and concerns with their well-being which creates a general trust feeling toward this organization Perceived organizational support is also part of a reciprocal exchange agreement in the view of social exchange theory The perceptions of good treatment by the organization create feelings of employee obligation to repay the organization through trust and commitment following from these findings we argue that employeersquos perception of organizational support may increase their feelings of trust in organization Thus we put forward the followinghellip

STUDY HYPOTHESIS

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

11

Thus we hypothesized the following

H1 POS is positively related to trust in organization

The present study also investigates how organizational prestige plays a substantial role in binding these individuals to their employer which is a relatively understudied area in the field of organizational studies Perceived external prestige (PEP) is the employeersquos personal beliefs about what outsiders such as customers competitors and suppliers think about their organization represents or stands for (Dutton et al 1994) Based on their set of evaluative criteria employeesmake judgment or evaluation about their organizations status and prestige (Carmeli 2005) PEP is a socio-emotional reward that employees gain indirectly from the organization After the company creates favorable corporate reputation by its corporate communication programs employees learn the outsidersrsquo image of their organization through feedback and develop their perceptions of the organizationrsquos external prestige (Gotsi amp Wilson 2001) To the extent that PEP has satisfied an employeersquos need for self-esteem he or she should develop an obligation to trust and repay the organization for this reward (Fuller et al 2006) We therefore expect PEP to be related to trust in organization

H2 PEP is positively related to trust in organization

Turnover intention refers to ldquoan individual own estimated probability that they are permanently leaving the organization at some point in the near future (Vandenberg amp Nelson 1999) Many studies found that high level of trust in organization could help to reduce employee turnover With higher level of trust in management employees are less willful to leave the organization High level of trust to organization may enhance their attachment to the organization and make them have little or no intention to leave

H3 Trust in organization is negatively related to turnover intention

H1-H3 can logically be combined to predict a mediating relationship (Baron amp Kenny 1986) Some researchers have suggested that POS an organizational variable is likely to serve as an antecedent to trust in organization with trust then leading to individual-level outcomes The norm of reciprocity also explains the influence of trust on employeersquos work outcomes (Dirks amp Ferrin 2002) Trust has been shown to be positively related to many work outcomes such asorganizational commitment and OCB (Aryee Budhwar amp Chen 2002 Whitener 2001) As shown in Chen et al (2004) trust fully mediates the relationship between POS and the organizational commitment and in-role performance I expect trust in organization would also mediate the relationship between POS PEP and the turnover intention of employees

H4 The relationship between PEP amp POS and turnover intention are mediated by trust in organization

METHODOLOGY

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

12

Sample and Procedure

Data were collected through self-administered questionnaires in this study Snowball sampling was used by given out the questionnaires to respondents in various firms and the fieldworkers collected the questionnaires back Of the 500 questionnaires distributed 436 were returned yielding a response rate of 862 30 of them were incomplete and could not be used The final response rate for usable questionnaires was 800 The sample of employees was 471 percent male and 529 percent female In this sample 39 percent of the employees were aged of 18-24 19 percent of 25-29 263 per cent were 30-42 and 158 percent aged 43 or above The average job tenure was 68 years

Measures

For consistency all items using a 6-point Likert-type scale (1=strongly disagree 6=strongly agree) were administered seven items from the scale developed by Eisenberger et al (1986) to measure Perceived Organizational Support (POS) with Cronbach Alpha 93 was usedwe used the seven items with the highest factor loadings from the original 36-item scale as this study began prior to the publication of the short form of the POS scale (Eisenberger et al 1997) Items included for example ldquoMy employer cares about my well-beingrdquo and ldquoMy employer values my contributions to its well beingrdquo We measured perceived external prestige through Riordan Gatewood and Billrsquos (1997) five-item scale with CronbachAlpha 81 Items included for example ldquoGenerally I think my organization has a good reputation in the communityrdquo and ldquoGenerally I think my organization has a good overall imagerdquo We measured trust in organization using Wong Ngo amp Wongrsquos (2002) eight item measure which were originally adapted from Ashford Lee amp Bobko (1989) and Cook amp Wall (1980) This scale measures employeesrsquo trusts to tworeferents specific individuals and groups (eg their supervisors) and generalized representatives (eg the company)Items included for example ldquoI trust this organization to look out for my best interestsrdquo and ldquoI believe in the top management of this organizationrdquo In this sample the alpha coefficient was 86 We assessed turnover intentions using four-item scale measure from Farh Tsui Xin amp Cheng (1998) with Cronbachrsquos alpha 081 Items included for example ldquoI often think of quitting my present jobrdquo and ldquoI may leave this company and work for another company in the next yearrdquo

Data Analysis

H1 and H2 were tested by path coefficients between POS and trust in organization and between PEP and trust in organization respectively H3 was tested by the path coefficient between trust in organization and turnover intention To test the hypothesized mediating role of trust in organization we assessed the four conditions for mediation (a) the independent variable must be related to the mediator (b) the independent variable must be related to the dependent variable (c) the mediator must be related to the dependent variable and (d) the independent variable must have no effect on the dependent variable when the mediator is held constant (full mediation) or should become significantly smaller (partial mediation) [34] To test the mediation model presented a path analysis was performed using LISREL 8 (Joreskog amp Sorbom 1993) To avoid the bias of single indicator this paper would rely on multiple goodness-of-fit indices to assess

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

13

the fit of the model (Medsker et al 1994) The indices relied upon here included the Chi-square divided by the degree of freedom (10491242df) (Kline 1998) which recommended to be less than three As pointed out by Joreskog amp Sorbom (1993) it might not be realistic to assess the exact fit of model As a result we also include some less sensitive tests in our analysis which include root mean squared error of approximation (RMSEA) (acceptable value below 008) relative fit index (RFI) thenormed fit index (NFI) and the comparative fit index (CFI) (recommended to be gt090 and close to a value of 100)

DISCUSSION

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

14

The findings not only suggest that the perceptions on organizational support and external prestige are important to employeesrsquo perceptions of the quality of their exchange relationships with their organizations but also suggest that these perceptions affect employeesrsquo work attitudes and behaviors indirectly through the quality of exchange relationships with their organization Trust in organization not only affected by the internal exchange but also by the indirect exchange of rewards that individuals receive outside the company The results provide support to different propositions within the literature Consistent with Rhoades amp Eisenberger (2002) this research examined how POS relate to the work outcomes Employees reciprocate the organizationrsquos cares and recognitions by developing trust in organization and reduce their intention to leave the company Dutton et al (1994) suggested the declines in organizational performance might lower the PEP of employees which would result in weakened their organizational identification and less organizational-supportive behaviors The suggested research model provides support to this mechanism which suggests that the decrease of PEP would weaken employees trust inorganization and increase their intention to leave the company The findings of this study point to several implications for management practice Most importantly this study indicates the possibility that desirable organizational outcomes might be achieved by both strong corporate communication campaigns that promote its position in the society and internal communication strategies enhance their feelings ofsupport and cares For example employee recognition programs training programs that incorporate information about the accomplishments of the organization and its employees internal newsletters company websites and other ways to enhance the image of the company are all effective in building up employeesrsquo trust in organization The findings also provide support to the view of incorporating corporate social responsibility programs in companies as these programs can have positive effects on employeesrsquo attitudes and hence their behaviors By fulfilling the expectations of society corporations not only avoid the governmentrsquos tighten up of regulatory actions but also develop trust of employees to the company Thus it is in the best interests of a company to operate above the moral minimum of the market

CONCLUSION

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

15

To conclude the present study provides an explanation for why PEP and POS has been shown to be related to trust in organization and turnover intentions However several major limitations concerning this study need to be acknowledged First of all to avoid common method bias the importance of collecting data from multiple sources and by using a longitudinal design instead of collecting data from a single questionnaire As this study utilized a cross-sectional design we cannot draw conclusions about the direction of causality Longitudinal research is needed to firmly establish the direction of causality for the model presented here Furthermore according to Carmeli et al (2006) differential effects of PEP among different stakeholder groups were found with regard to employeesrsquo affective commitment to the company Thus the future studies should first identify those key and most influential stakeholders to explore whether there is a variation across organizations industries and different levels of employeesFinally as advise caution with regard to generalizing the results of the study The majority of the subjects were lower level workers and most of these workers are worked in service companies However as discussed in Fuller et al (2006) the importance of rewards that individuals receive through direct and indirect exchange may vary across different groups and classes of employees Thus more future studies need to be conducted in different industries and different classes of employees to see whether the findings can be generalized to other part of the company

The current study is also proposed to explore (1) two facets of organizational images held by employees and their influences on organizational identification (2) and communication related factors which influence employeesrsquo perception of organizational images Through exploring this research questions the study addresses the issue of integrative communication management in the organization That is it is argued that both internal communications as well as external communications contribute employeesrsquo perception of organizational images While previous studies tend to consider only one of the aspects of communication the study proposes that considering both aspect of communication provide fuller understanding of how employees shape perceptions of organizational images Furthermore it is also addressed that because of lack of integrative perspective of communication management in the organization it is possible that there exist discrepancy between internally-perceived image and construed external image held by employees The study suggests that this may have significant consequence in terms of organizational identification Finally the study explored what communication-related factors influence which aspect of organizational images

Future studies which empirically examine the relationships discussed above will provide practical implications to communication practitioners in the organizations First by exploring what communication related factors influence perception of organizational images it will provide practical suggestions for communication management In particular depending on image discrepancy condition communicators may want to focus one aspect of organizational image over the other For example if many of employees are in the condition of positive dissonance communicators may be able to transfer it to positive consonance condition by focusing on external communication components or involving active internal communication of organizationrsquos citizenship behavior Second the study will provide an insight for the value of integrative communication perspective in the organization By showing how external communication can influence internal publics it will address external and internal communication should be consistent Furthermore it will address an ethical issue of organizational communication When the messages are delivered through external

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

16

communication is different from the messages delivered through internal communication it brings out an ethical concern In particular in the negative dissonance condition employees may feel the top management is not trustworthy or cheating on the consumers Therefore by diagnosing the extent of image discrepancy the top management may be able to diagnose the healthiness of its communication practices and organizational images held by employees

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

17

REFERENCES

Aryee S Budhwar P amp Chen Z X (2002) Trust as a mediator of the relationship between organizational justice andwork outcomes Test of a social exchange model Journal of Organizational Behavior 23 267-285Ashford S Lee C amp Bobko P (1989) Content causes and consequences of job insecurity a theory-based measureand substantive test Academy of Management Journal 32 803-829Baron R amp Kenny D (1986) The moderatorndashmediator variable distinction in social psychological research Journalof Personality and Social Psychology 51 1173ndash1182Carmeli A Gilat G amp Weisberg J (2006) Perceived external prestige organizational identification and affectivecommitment A stakeholder approach Corporate Reputation Review 9 92-104Chen Z X Aryee S amp Lee C (2004) Test of a mediation model of perceived organizational support Journal ofVocational Behavior 66 457-470Cook J amp Wall T D (1980) New work attitude measures of trust organizational commitment and personal neednon-fulfillment Journal of Occupational Psychology 53 39-52Dirks K T amp Ferrin D L (2002) Trust in leadership Meta-analytic Wndings and implications for research andpractice Journal of Applied Psychology 87 611ndash628Dukerich J M Golden B and Shortell SM (2002) Beauty is in the eye of the beholder The impact oforganizational identification identity and image on physician cooperative behavior Administrative Service Quarterly45507-33Dutton J E Dukerich J M amp Harquail C V (1994) Organizational images and member identificationAdministrative Science Quarterly 39 239-263Eisenberger R Cummings J Armeli S amp Lynch P (1997) Perceived organizational support directionary treatmentand job satisfaction Journal of Applied Psychology 82 812-820Eisenberger R Fasolo P amp Davis ndashLaMastro V (1990) Perceived organizational support and employee diligencecommitment and innovation Journal of Applied Psychology 75 51ndash59Eisenberger R Huntington R Hutchison S amp Sowa D (1986) Perceived organizational support Journal ofApplied Psychology 71 500-507Farh J L Tsui A S Xin K R amp Cheng B S (1998) The influence of relational demography and guanxi TheChinese case Organizational Science 9 1-18Fitz-Enz J (1998) Top 10 calculations for your HRIS HR Focus 75 3Fuller J B Bamett T Hester K amp Relyea C (2003) A social identity perspective on the relationship between

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

18

perceived organizational commitment The Journal of Social Psychology 143 789-791Fuller J B Marler L Hester K Frey L amp Relyea C (2006) Construed external image and organizationalidentification a test of the moderating influence of need for self-esteem The Journal of Social Psychology 146701-717Gotsi M amp Wilson A (2001) Corporate reputation management Living the brand Management Decision 3999-105Joreskog K G amp Sorbom D (1993) LISREL 8 Structural equation modeling with the SIMPLIS Command LanguageChicago Scientific Software International IncKline R B (1998) Principles and Practices of Structural Equation Modeling New York The Guilford PressMathieu J E amp Zajac D M (1990) A review and meta-analysis of the antecedents correlates and consequences oforganizational commitment Psychological Bulletin 108 171-194Medsker G J Williams L J amp Holohan P J (1994) A review of current practice for evaluating causal models inorganizational behavior and human resources management research Journal of Management 20 439ndash464Mowday R T Porter L W amp Steers R M (1982) Organizational linkages The psychology of commitmentabsenteeism and turnover San Diego CA Academic PressRhoades L amp Eisenberger R (2002) Perceived organizational support A review of the literature Journal of AppliedPsychology 87 698ndash714Riordan C M Gatewood R D amp Bill J B (1997) Corporate image Employee reactions and implications formanaging corporate social performance Journal of Business Ethics 16 401-412Smidts A Pryun A amp VanRiel C B M (2001) The impact of employee communication and perceived externalprestige on organizational identification Academy of Management Journal 44 1051-1062Tan H H amp Tan C S (2000) Toward the differentiation of trust in supervisor and trust in organization GeneticSocial and Psychology Monographs 126 241-260Tuzun I K (2007) Antecedents of turnover intention toward a service provider The Business Review 8 128-135Vandenberg J R amp Nelson J B (1999) Disaggreatives the motives underlying turnover intentions when dointentions predict turnover behaviour Human Relations 52 1340-1352Wayne S J Shore L M amp Liden R C (1997) Perceived organizational support and leaderndashmember exchange Asocial exchange perspective Academy of Management Journal 40 82ndash111Whitener E M (2001) Do ldquohigh commitmentrdquo human resource practices affect employee commitment A cross-level

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

19

analysis using hierarchical linear modeling Journal of Management 27 515-535Wong Y T Ngo H Y amp Wong C S (2002) Affective organizational commitment of workers in Chinese jointventures Journal of Managerial Psychology 17 580-598

20

20