Investigating the mediating effects of organisational ethics on the relationship between talent management, corporate governance, and employee engagement in selected public institutions in Ghana

Chilala Osman; Godfrey Adda; Michael Yipake Banseh; Mustapha Torobo Seidu; William Aduah Yorose

doi:10.51867/AQSSR.2.2.27

Authors

Chilala Osman Bolgatanga Technical University, Ghana Author https://orcid.org/0000-0002-8694-6352
Godfrey Adda Bolgatanga Technical University, Ghana Author https://orcid.org/0000-0002-9118-0750
Michael Yipake Banseh CK Tedam University, Ghana Author https://orcid.org/0000-0003-0993-0725
Mustapha Torobo Seidu Bolgatanga Technical University, Ghana Author https://orcid.org/0009-0000-1922-6534
William Aduah Yorose Bolgatanga Technical University, Ghana Author https://orcid.org/0009-0003-4421-0114

DOI:

https://doi.org/10.51867/AQSSR.2.2.27

Keywords:

Corporate Governance, Employee Engagement, Ghana, Organizational Ethics, Structural Equation Modelling (SEM), Talent Management

Abstract

In the context of Ghana's emerging economy, the interrelationships between talent management, corporate governance, and employee engagement are pivotal for organizational success. This study investigates the mediating effects of organizational ethics on these relationships in selected public institutions in Ghana. The Ethical Climate Theory provides a robust theoretical foundation for this study. Adopting a cross-sectional design, and a quantitative research approach, and a purposive sampling technique, data were collected from HR managers and senior executives across various sectors using structured questionnaire. 15 public Universities were purposively sampled out of 25 public Universities in Ghana. The results, analysed through Structural Equation Modelling (SEM), reveal significant direct relationships between talent management, corporate governance, and employee engagement. Moreover, organizational ethics significantly mediate these relationships, enhancing the positive impacts of talent management and corporate governance on employee engagement. These findings underscore the critical role of ethical practices in fostering a positive organizational climate and enhancing employee outcomes. By integrating ethical principles into management practices, organizations can enhance employee engagement and achieve sustainable performance outcomes. The study provides valuable insights for organizational leaders and policymakers aiming to integrate ethical principles into management practices, thereby promoting sustainable development and economic growth in Ghana. Future research should consider longitudinal study to establish causal relationships and explore the role of organizational ethics in different cultural contexts.

References

Aguilera, R. V., & Cuervo-Cazurra, A. (2004). Codes of good governance worldwide: What is the trigger? Organization Studies, 25(3), 415-443.

https://doi.org/10.1177/0170840604040669 DOI: https://doi.org/10.1177/0170840604040669

Ariani, D. W., & Feriyanto, N. (2024). How leader-member exchange affects work outcomes in small-and-medium enterprises? SA Journal of Human Resource Management, 22, Article a2397. https://doi.org/10.4102/sajhrm.v22i0.2397 DOI: https://doi.org/10.4102/sajhrm.v22i0.2397

Aguilera, R. V., Desender, K. A., Bednar, M. K., & Lee, J. H. (2021). Corporate governance and organizational ethics: A strategic perspective. Academy of Management Annals, 15(1), 315-347. https://doi.org/10.

American Psychological Association. (2017). Ethical principles of psychologists and code of conduct. Retrieved from https://www.apa.org/ethics/code

Bedi, A., Alpaslan, C. M., & Green, S. (2016). A meta-analytic review of ethical leadership outcomes and moderators. Journal of Business Ethics, 139(3), 517-536. https://doi.org/10.1007/s10551-015-2625-1 DOI: https://doi.org/10.1007/s10551-015-2625-1

Bianchi, C., & Tamburrini, A. (2018). Corporate governance and firm performance: Evidence from Italy. Corporate Governance: The International Journal of Business in Society, 18(5), 958-978.

Brown, M. E., & Treviño, L. K. (2006). Ethical leadership: A review and future directions. The Leadership Quarterly, 17(6), 595-616.

https://doi.org/10.1016/j.leaqua.2006.10.004 DOI: https://doi.org/10.1016/j.leaqua.2006.10.004

Cadbury, A. (1992). Report of the Committee on the Financial Aspects of Corporate Governance. London: Gee Publishing.

https://doi.org/10.1093/oso/9780198258599.003.0003 DOI: https://doi.org/10.1093/oso/9780198258599.003.0003

Choudhury, B., & Petrin, M. (2022). Revisions to the G20/OECD Principles of Corporate Governance-Sustainability in name only. Oxford Business Law Blog.

Collings, D. G., & Mellahi, K. (2009). Strategic talent management: A review and research agenda. Human Resource Management Review, 19(4), 304-313. https://doi.org/10.1016/j.hrmr.2009.04.002 DOI: https://doi.org/10.1016/j.hrmr.2009.04.001

Collings, D. G., & Mellahi, K. (2019). Strategic talent management: A review and research agenda. Human Resource Management Review, 29(2), 100670. https://doi.org/10.

Creswell, J. W., & Creswell, J. D. (2017). Research design: Qualitative, quantitative, and mixed methods approaches (4th ed.). Sage Publications.

Demirtas, O., & Akdogan, A. A. (2015). The effect of ethical leadership behavior on ethical climate, turnover intention, and affective commitment. Journal of Business Ethics, 130(1), 59-67. https://doi.org/10.1007/s10551-014-2196-6 DOI: https://doi.org/10.1007/s10551-014-2196-6

Den Hartog, D. N. (2015). Ethical leadership. Annual Review of Organizational Psychology and Organizational Behavior, 2(1), 409-434.

https://doi.org/10.1146/annurev-orgpsych-032414-111237 DOI: https://doi.org/10.1146/annurev-orgpsych-032414-111237

Dillman, D. A., Smyth, J. D., & Christian, L. M. (2014). Internet, phone, mail, and mixed-mode surveys: The tailored design method (4th ed.). Wiley. https://doi.org/10.1002/9781394260645 DOI: https://doi.org/10.1002/9781394260645

Donaldson, T., & Preston, L. E. (1995). The stakeholder theory of the corporation: Concepts, evidence, and implications. Academy of Management Review, 20(1), 65-91. https://doi.org/10.2307/258887 DOI: https://doi.org/10.2307/258887

Ferrell, O. C., Harrison, D. E., Ferrell, L., & Hair, J. F. (2019). Business ethics, corporate social responsibility, and brand attitudes: An exploratory study. Journal of Business Research, 95, 491-501. https://doi.org/10.1016/j.jbusres.2018.07.039 DOI: https://doi.org/10.1016/j.jbusres.2018.07.039

Ferrell, O. C., Harrison, D. E., Ferrell, L., & Hair, J. F. (2021). Business ethics: Ethical decision making and cases. Cengage Learning.

Garg, A. K., & Kumar, S. (2020). Corporate governance, firm performance, and risk: The role of institutional environment. Journal of Business Research, 117, 347-359.

Garg, N., & Sharma, B. (2020). Organizational ethics and talent management: Examining the linkages. Journal of Business Ethics, 165(1), 87-102.

Huhtala, M., Kaptein, M., & Feldt, T. (2016). The role of perceived ethical culture in the ethical decision-making of managers. Journal of Business Ethics, 137(4), 681-707.

Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305-360. https://doi.org/10.1016/0304-405X(76)90026-X DOI: https://doi.org/10.1016/0304-405X(76)90026-X

Kaptein, M. (2019). The moral entrepreneur: A new component of ethical leadership. Journal of Business Ethics, 156(4), 1133-1148.

https://doi.org/10.1007/s10551-017-3641-0 DOI: https://doi.org/10.1007/s10551-017-3641-0

Mayer, D. M. (2014). A review of the literature on ethical climate and culture. In B. M. Staw & A. P. Brief (Eds.), Research in Organizational Behavior (Vol. 34, pp. 55-74). Elsevier.

Newman, A., Kiazad, K., Miao, Q., & Cooper, B. (2017). Examining the cognitive and affective trust-based mechanisms underlying ethical climates and perceived organizational support. Journal of Business Ethics, 145(1), 1-13. https://doi.org/10.1007/s10551-015-2877-6

Resick, C. J., Hargis, M. B., Shao, P., & Dust, S. B. (2021). Ethical leadership, ethical climate, and unethical behavior: A meta-analytic review. Journal of Business Ethics, 170(3), 595-610. https://doi.org/10.1007/s10551-019-04361-4

Schneider, B., Ehrhart, M. G., & Macey, W. H. (2017). Organizational climate and culture: An integrative review. Journal of Applied Psychology, 102(3), 468-482. https://doi.org/10.1037/apl0000090 DOI: https://doi.org/10.1037/apl0000090

Victor, B., & Cullen, J. B. (1988). The organizational bases of ethical work climates. Administrative Science Quarterly, 33(1), 101-125. https://doi.org/10.2307/2392857 DOI: https://doi.org/10.2307/2392857