The Effect of Internal Marketing on Organizational Commitment: Job Involvement and Job Satisfaction as Mediators

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<ul><li><p> http://eaq.sagepub.com/Quarterly</p><p>Educational Administration</p><p> http://eaq.sagepub.com/content/47/2/353The online version of this article can be found at:</p><p>DOI: 10.1177/0013161X10387589November 2010</p><p> 2011 47: 353 originally published online 5Educational Administration QuarterlyShueh-Chin Ting</p><p>Involvement and Job Satisfaction as MediatorsThe Effect of Internal Marketing on Organizational Commitment: Job</p><p>Published by:</p><p> http://www.sagepublications.com</p><p>On behalf of: </p><p> University Council for Educational Administration</p><p>at: can be foundEducational Administration QuarterlyAdditional services and information for </p><p> http://eaq.sagepub.com/cgi/alertsEmail Alerts: </p><p> http://eaq.sagepub.com/subscriptionsSubscriptions: </p><p> http://www.sagepub.com/journalsReprints.navReprints: </p><p> http://www.sagepub.com/journalsPermissions.navPermissions: </p><p> http://eaq.sagepub.com/content/47/2/353.refs.htmlCitations: </p><p> at UNIV OF SOUTHERN CALIFORNIA on April 2, 2014eaq.sagepub.comDownloaded from at UNIV OF SOUTHERN CALIFORNIA on April 2, 2014eaq.sagepub.comDownloaded from </p></li><li><p> What is This? </p><p>- Nov 5, 2010 OnlineFirst Version of Record </p><p>- Mar 15, 2011Version of Record &gt;&gt; </p><p> at UNIV OF SOUTHERN CALIFORNIA on April 2, 2014eaq.sagepub.comDownloaded from at UNIV OF SOUTHERN CALIFORNIA on April 2, 2014eaq.sagepub.comDownloaded from </p></li><li><p>Educational Administration Quarterly47(2) 353382</p><p> The University Council forEducational Administration 2011</p><p>Reprints and permission: http://www.sagepub.com/journalsPermissions.nav</p><p>DOI: 10.1177/0013161X10387589http://eaq.sagepub.com</p><p>387589 EAQ</p><p>1Graduate Institute of Educational Entrepreneurship and Management, National University of Tainan, Taiwan</p><p>Corresponding Author:Shueh-Chin TingEmail: tingsc@ms49.hinet.net</p><p>The Effect of Internal Marketing on Organizational Commitment: Job Involvement and Job Satisfaction as Mediators</p><p>Shueh-Chin Ting1</p><p>Abstract</p><p>Purpose: After reviewing previous research, this study found that few school or educational studies have simultaneously explored both internal marketing and organizational commitment, and of those that have, only direct effects were examined. This study clarifies the relationship between school organiza-tions internal marketing and teachers organizational commitment by exami-ning the mediating role of teachers job involvement and job satisfaction. Research Methods: The participants in the study were 275 elementary school teachers. This is an empirical study based on questionnaire surveys. A nested model and structural equation modeling (SEM) were used for analy-sis. Findings: The results show that internal marketing, job involvement, and job satisfaction all have a direct impact on organizational commitment. Moreover, job involvement and job satisfaction play partial mediating roles in the relationship between internal marketing and organizational commit-ment. Implications: Research implications are that we cannot neglect the effect of job involvement and job satisfaction in explaining the relationship between school organizations internal marketing and teachers organizational commitment.</p><p>Article</p><p> at UNIV OF SOUTHERN CALIFORNIA on April 2, 2014eaq.sagepub.comDownloaded from </p></li><li><p>354 Educational Administration Quarterly 47(2)</p><p>Keywords</p><p>internal marketing, job involvement, job satisfaction, organizational commitment, teacher</p><p>Barnes, Fox, and Morris (2004) suggested that marketing has traditionally concentrated on external customers but in recent years has begun to emphasize the need to understand internal customers and their relationships with the organization and external customers. Internal marketing is a perquisite for successful external marketing. By satisfying the needs of its internal customers, the organization becomes a whole with its employees; in turn, employees want to satisfy the needs of the external customers.</p><p>Internal marketing, which is derived from marketing management in the service industry, emphasizes that organizations should treat, value, and respect employees from an internal customers perspective (Longbottom, OsseoAsare, Chourides, &amp; Murphy, 2006) to attract, develop, motivate, and retain qualified employees (Berry &amp; Parasuraman, 1991). Internal marketing is important to organizations because it is related to employees job satisfaction and organizational commitment (Sihombing &amp; Gustam, 2007). According to Ham (2003), schools rarely systematically monitor and pay attention to internal customers (teachers) needs; thus, there may be gaps between the schools operations and the teachers expectations, as well tangible and intangible losses. Schools are a location for the cultivation of talents and teachers are one of the schools most important assets. In order for teachers to commit to their school, this study believes the concept of internal marketing, originating from business, deserves an infusion into educational leadership. Thus, it is an important issue for schools to understand the influence of internal marketing on teachers.</p><p>Kushman (1992) suggested that teachers are critical to schools and their identification with the organization and devotion are essential factors that enhance school efficacy. The teachers commitment to a school reveals their identification with and devotion to the organization. Chien and Lin (2002) suggested that teachers with more organizational commitment perform better, have a significant emotional attachment to the school, and put forth greater efforts to accomplish the organizational objectives. According to related research, internal marketing is aimed at satisfying internal customers needs in order to obtain organizational employees commitment (Longbottom et al., 2006). In other words, internal marketing positively influences organizational commitment (Caruana &amp; Calleya, 1998; Hogg, 1996). Although internal marketing has an influence on employees organizational commitment, this study believes that the influence is not a direct relationship of input/output or </p><p> at UNIV OF SOUTHERN CALIFORNIA on April 2, 2014eaq.sagepub.comDownloaded from </p></li><li><p>Ting 355</p><p>stimulation/reaction but involves the transformation process of mediators. Baron and Kenny (1986) indicated that all active organisms could be actively involved in the process of input/output or stimulation/reaction and the process could influence their individual behaviors and performance through transformation. In other words, there is little empirical evidence of a positive relationship between internal marketing and organizational commitment. There is even less research examining the mechanics of this relationship. Thus, by treating organizational internal marketing as an input and organizational commitment as an output, this study wants to understand the transformation process between input and output. Therefore, this study searches for mediators to explain the transformation process.</p><p>First, in terms of job satisfaction, internal marketing treats employees as customers and their works as products in order to satisfy internal customers demands and needs (Sihombing &amp; Gustam, 2007). Thus, it is reasonable to believe that internal marketing could lead to job satisfaction (Bansal, Mendelson, &amp; Sharma, 2001). Hogg (1996) suggested that internal marketing is the best approach to obtain employees organizational commitment. According to Rafiq and Ahmed (2000), Collins and Payne (1991), and Tansuhaj, Randall, and McCullough (1991), organizational internal marketing could enhance employees job satisfaction and organizational commitment. Unfortunately, few studies have examined whether internal marketing directly or indirectly influences organizational commitment through job satisfaction.</p><p>Second, in terms of job involvement, Cheloha and Farr (1980) as well as Rabinowitz and Hall (1977) indicated that job involvement is positively related to job satisfaction. Lee, Carswell, and Allen (2000) indicated that there is a positive correlation between job involvement and organizational commitment. Brown (1996) suggested that job involvement could influence both job satisfaction and organizational commitment at the same time. Thus, there is a close relationship among job involvement, job satisfaction, and organizational commitment. Since job involvement and job satisfaction are related to organizational commitment, if the predication of organizational commitment only depends on job involvement and job satisfaction, it would possibly result in a spurious phenomenon, as suggested by Williams and Anderson (1991). Thus, when studying the influence of internal marketing on organizational commitment through job satisfaction, it is necessary to consider job involvement.</p><p>The review of literature suggests that only a few studies have probed into internal marketing and organizational commitment, and those that have mostly focused only on the direct relationship, such as Bansal et al. (2001) and Farzad, Nahavandi, and Caruana (2008), but the studies regarding the mediating eff ects are very few. Thus, the purpose of this study is, from the perspective of an overall </p><p> at UNIV OF SOUTHERN CALIFORNIA on April 2, 2014eaq.sagepub.comDownloaded from </p></li><li><p>356 Educational Administration Quarterly 47(2)</p><p>model, to probe into the path of influence of internal marketing strategies of schools on organizational commitment of teachers by including teachers job involvement and satisfaction in the mediating process.</p><p>Teachers of public elementary schools in Taiwan were used as the empirical targets for this research. The Taiwan factor is important because it has some specific characteristics. All public elementary schools in Taiwan have to follow the national curriculum standards, using approved textbooks. Under the educational system in Taiwan, many aspects of teachers jobs have been clearly stipulated and defined so that the Taiwanese teachers have lacked the autonomy to develop their own curriculum and instructional plans (Fwu &amp; Wang, 2002).</p><p>Literature ReviewInternal Marketing</p><p>Internal marketing is an application of marketing philosophy and method with the purpose of stimulating employees to complete the tasks (Greene, Walls, &amp; Schrest, 1994). Palmer (2001) defined internal marketing as the application of the principles and practices of marketing to an organizations dealings with its employees. Internal marketing treats the employee as an internal customer, regards jobs as products, and intends to satisfy the employees demands through products (Longbottom et al., 2006). Kotler and Armstrong (1991) viewed internal marketing as the building of customer orientation among employees by training and motivating both customercontact and support staff to work as a team. Zeithaml and Bitner (2000) indicated that in the Golden Triangle model of service, external marketing aims to construct commitment, interactive marketing aims to fulfill commitment, and internal marketing aims to enhance an employees ability to fulfill commitment. Although external and interactive marketing are important, internal marketing places greater value on internal employees human resources management and applications. Gronroos (1994) asserted that without active and continuous internal marketing efforts, the interactive marketing impact on customers will deteriorate, service quality will suffer, and customers will start to defect with negative effects on profitability as a result. Gummesson (2000) suggested that internal marketing is a strategic operation that combines marketing and human resources management in order for firstline service personnel to provide the best service when interacting with customers. Joseph (1996) suggested that internal marketing motivates, mobilizes, recruits, and manages employees by using marketing and human resource management approaches to continuously improve services to employees, which was consistent with Kotler and Levy (1969), who defined internal marketing as follows: firms successfully hire, train, </p><p> at UNIV OF SOUTHERN CALIFORNIA on April 2, 2014eaq.sagepub.comDownloaded from </p></li><li><p>Ting 357</p><p>and motivate employees to provide better service to customers. In summary, internal marketing embraces the notion that a company should treat its internal employees as external customers in satisfying their needs. Thus, through management satisfying the needs of internal customers, employees become more motivated and committed to the company, which leads to ext ernal customers being well served (Barnes et al., 2004).</p><p>Many academic studies in the internal marketing literature identified key elements of internal marketing, including Conduit and Mavondos (2001) market training and education, management support, internal communication, personnel management, and employee involvement in external communication; Ahmed, Rafiq, and Saads (2003) top management support, business process support, and crossfunctional coordination; Tsai and Tangs (2008) service training programs, performance incentives, and vision for service excellence. After reviewing these studies and focusing on Conduit and Mavondos (2001) dimensions, this study developed four dimensions to measure internal marketing as support, motivation, communication, and training.</p><p>Organizational CommitmentIn the field of organizational behavior, organizational commitment is an important influential variable on an organization. Steers (1977) suggested that organizational commitment is valued for the following reasons: (1) organizational commitment can predict employee turnover, (2) employees with high levels of organizational commitment perform better at work, and (3) organizational commitment could be an index to predict organizational efficacy. Organizational commitment is a psychological state of identifying with an organization (Buchanan, 1974). The employees identification with an organization could be regarded as their psychological attachment to the organization (OReilly &amp; Chatman, 1986). Mowday, Porter, and Steers (1982) suggested that when there is a positive connection between individuals and their organization (i.e., high level of individual commitment to their organization) it leads to good results for individuals, organizations, and society. Thus, the teachers commitment could be a bridge between individuals and their school. When teachers have a high level of commitment to their school, it means that they are involved and devoted.</p><p>Hypothesis DevelopmentDirect relationship between internal marketing and organizational commitment. </p><p>Internal marketing could motivate an employees sense of belonging and identification (Kudo, Satoh, Hosoi, Miki, Watanabe, &amp; Kido, 2006). According to </p><p> at UNIV OF SOUTHERN CALIFORNIA on April 2, 2014eaq.sagepub.comDownloaded from </p></li><li><p>358 Educational Administration Quarterly 47(2)</p><p>Makanjee, Hartzer, and Uys (2006), there is a positive correlation between internal marketing and organizational commitment. Hogg (1996) suggested that when traditional internal communications cannot function, internal marketing is the best approach to obtain an employees organizational commitment...</p></li></ul>