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UNIVERSITY OF CINCINNATI

7th April, 2005


Date:___________________

Shalini Khazanchi
I, _________________________________________________________,
hereby submit this work as part of the requirements for the degree of:
Doctorate of Philosophy
in:
Business Administration
It is entitled:
A "Social Exchange" Model of Creativity

This work and its defense approved by:

Suzanne S. Masterson
Chair: _______________________________
M. Ann Welsh
_______________________________
David C. Lundgren
_______________________________
_______________________________
_______________________________
A Social Exchange Model of Creativity

A Dissertation submitted to the Division of Research and Advanced Studies of the


University of Cincinnati in partial fulfillment
of the requirements for the degree of
Doctorate of Philosophy

2005

By

Shalini Khazanchi

Advisory Committee:

Professor Suzanne S. Masterson, Chair


Professor M. Ann Welsh
Professor David Lundgren
ABSTRACT

In todays business environment, creativity has become essential for gaining and

sustaining competitive advantage for organizations. As such, researchers and practitioners alike

have been interested in understanding ways to enhance creativity. In todays highly interactive

work environment social relationships have become an important feature of organizational life.

Yet there has been little empirical research that focuses on the relational environment and its

impact on creativity. To fill this gap in the literature, this study develops and empirically tests a

social exchange model of creativity, proposing that employees perceptions of the relational

environment (i.e., fairness and trust) will influence their social exchange relationships, which in

turn will affect creativity-relevant behaviors, and ultimately, creativity. The model

simultaneously proposes and tests these linkages for both organizational and supervisory levels.

To test the model, the data were collected from 205 employees and their supervisors at a

large chemical engineering plant, where creativity is an explicitly stated goal. Employees

reported on their perceptions of organizational fairness and trust, supervisory fairness and trust,

perceived organizational support, and leader member exchange. Supervisors provided

information on employees creativity-relevant behaviors (information sharing, risk taking, social

loafing, and political tactics), and creativity.

Structural equation modeling was used to analyze the data and test the social exchange

model of creativity. The results revealed support for several hypotheses. At the organizational

level, employees perceptions of procedural and informational justice were significantly related

to organizational trust, which in turn was significantly related to perceived organizational

support. Furthermore, perceived organizational support was marginally related to two types of

political tactics, exchange and upward appeal, which were not found to be related to creativity.
At the supervisory level, employees perceptions of supervisory distributive justice and

interpersonal justice were significantly, and supervisory informational justice was marginally,

related to supervisory trust, which in turn was significantly related to leader member exchange.

Finally, leader member exchange was significantly related to information sharing and social

loafing, both of which were significantly related to creativity.

Overall, these results show that a fair and trusting environment can be important for

fostering stronger exchange relationships, and hence, creativity. These results have important

implications for both research and practice.


Copyright by

Shalini Khazanchi

2005
DEDICATION

There are several people without whom this dream would have remained just that-a dream. I

dedicate this dissertation to them.

To Suzanne Masterson, for being a great mentor or as I often say, the best advisor. Without her

continuous support, guidance and of course her remarkable patience with all my mistakes, none

of this would have been possible. She continues to be a source of inspiration for me to be a better

teacher and a scholar.

To my parents and two wonderful brothers. To my mom and dad for their unconditional love and

for always believing in me. Thank you for letting me be me. To my brothers, Ashish and

Abhishek, for being who they are, best brothers in the world.

To Sudhir, my love, for being there.

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Acknowledgements

Many people helped me complete the data collection for this dissertation. I would like to thank

N.L.Jain for showing enthusiasm and support for this study. I would also like to thank Raj

Kamal, Rahul Chopra and Deepak Pathak from the HR department for providing much needed

timely support for survey administration. I would also like to thank Nazneen for taking phone

calls from participants on my behalf and Shaukat Khan for taking me around the plant site.

I would also like to thank many respondents who took time out of their busy schedules to fill out

the eleven pages long surveys within a weeks time. It was their support and cooperation, and

willingness to help me that made data collection possible.

Finally, I would like to express my thanks for the support and suggestions of my committee

members: Suzanne Masterson, Ann Welsh and David Lundgren.

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Table of Contents

List of Tables. ...............................................................................................iv

List of Figures...............................................................................................v

Chapter 1: Introduction and Purpose of Study ................................................................. 1


Social Exchange Model: An Overview....................................................................... 2
Creativity Defined....................................................................................................... 4
Contributions of the Research..................................................................................... 6
Structure of the Dissertation Proposal ........................................................................ 7
Chapter 2: Development of the Generic Social Exchange Model of Creativity............. 8
Creativity: Literature Review .................................................................................... 8
Building the Generic Social Exchange Model of Creativity .....................................11
Relational Environment and the Quality of Exchange Relationships............11
Perceived Quality of Exchange Relationships and Creativity .......................12
Multi-Foci Effect of Social Environment of Creativity.................................13
Summary. ...............................................................................................15
Chapter 3: Full Model Development and Hypotheses Specification...............................16
Relational Environment: Fairness Trust ...............................................................16
Fairness. .............................................................................................16
Trust. ..............................................................................................19
Fairness Trust ...........................................................................................20
Trust Perceived Quality of Exchange Relationship ..................................22
Perceived Quality of Exchange Relationships Creativity-Relevant Behaviors ....23
Perceived Organizational Support (POS) ......................................................25
Information Sharing ...........................................................................25
Risk Taking................................................................................26
Social Loafing....................................................................................27
Political Behaviors.... .........................................................27
Leader Member Exchange (LMX) ................................................28
Information Sharing ...........................................................................29
Risk Taking................................................................................30
Social Loafing....................................................................................30
Political Behaviors .... ........................................................31
Creativity-Relevant Behaviors Creativity ............................................................31
Information Sharing Creativity . ...............................................32
Risk Taking Creativity .....................................................................32
Social Loafing Creativity...........................................................................33
Political Behaviors Creativity .............. ....................................33
Summary ....................................................34
Chapter 4: Research Methodology.........................................................................35
Research Design.............................................................35
Sample ...........................................................................................36
Procedure. ..........................................................................................37
Administration of Employees Survey ......................................................37

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Administration of Supervisors Survey .........38
Survey Design .......................................................39
Employees Survey . ......................................39
Fairness .....................................39
Trust. ..................................................................................40
Perceived Organizational Support .....................................................40
Leader Member Exchange .........................................................40
Pilot Testing ......................................................................................40
Supervisors Survey ...................................................................44
Information Sharing ...........................................................................44
Risk Taking................................................................................47
Social Loafing....................................................................................47
Political Behaviors .........................................................47
Creativity............................................................................................48
Pilot Testing. ..........................................................................48
Data Analysis ................................................................................................48
Model Estimation and Hypothesis Testing ................................................................49
Summary ...........................................................................................50
Chapter 5: Results ...............................................................................................51
Confirmatory Factor Analysis ...................................................................................51
Employees Data ...........................................................................................51
Supervisors Data ..........................................................................................60
Final Set of Variables to be Included in the Structural Model ......................63
Structural Equation Modeling Results ......................................................................69
Testing the Hypothesized Model ..................................................................70
Exploratory Analyses.....................................................................................70
Exploratory Model 1 ..........................................................................72
Exploratory Model 2 ..........................................................................72
Exploratory Model 3 ..........................................................................74
Exploratory Model 4 ..........................................................................75
Test of Individual Hypotheses ......................................................................77
Hypothesis 1a and 1b ........................................................................77
Hypothesis 2a and 2b ........................................................................78
Hypothesis 3a, 3b, 3c, and 3d ...........................................................78
Hypothesis 4a, 4b, 4c, and 4d ............................................................78
Hypothesis 5, 6, 7, and 8....................................................................81
Comparison of Originally-Hypothesized and Final Exploratory
Models................................................................................................81
Alternative Models ................................................................................................82
Alternative Model 1 .......................................................................................83
Alternative Model 2 .......................................................................................83
Alternative Model 3 .......................................................................................84
Chapter 6: Discussion . ............................................................................................88
Findings .............................................................................................89
The Hypothesized Social Exchange Model of Creativity .............................89
Fairness Trust ...............................................................................89

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Trust Perceived Quality of Exchange Relationships ....................93
Perceived Organizational Support (POS) and Leader Member
Exchange (LMX) Creativity-Relevant Behaviors .......................94
Information Sharing, Risk Taking, and Social Loafing.....................95
Political Behaviors ............................................................................96
Creativity-Relevant Behaviors Creativity ....................................98
Multi-Foci Effect ..............................................................................99
Limitations . ...............................................................................................100
Contributions of the Study ........................................................................................102
Contributions to Research .............................................................................102
Contributions to Practice ...............................................................................104
Future Research .. ..............................................................................................104
Conclusion . ...........................................................................................105

References..........................................................................106

Appendix 1: Sample Email Message Seeking Employee Participation.................................117

Appendix 2: Sample Consent Form ......................................................................................118

Appendix 3: Employee Survey Coversheet ..........................................................................119

Appendix 4: Supervisor Survey Coversheet .........................................................................120

Appendix 5: Employee Survey. .................................................................................121

Appendix 6: Supervisory Survey ..................................................................................133

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LIST OF TABLES

Table 1: Employee Survey Measures ..................................41

Table 2: Supervisor Survey Measures .............45

Table 3: Parcels of Variables Used in CFA of Employee Data ..................................57

Table 4: Variables Created for Structural Modeling (Employee Survey) ...................60

Table 5: Summary of CFA Model Results for Supervisors Data (Information Sharing,
Risk Taking, Social Loafing, and Creativity) ................................................61

Table 6: Summary of CFA Model Results for Political Behaviors ............................63

Table 7: Variables Created for Structural Modeling (Supervisor Survey) .................64

Table 8: Correlation Matrix .. ..................................................................................66

Table 9: Fixed Values in Structural Models ...............................................................68

Table 10: Summary of Exploratory SEM Results .........................................................76

Table 11: Comparison of Standardized Estimates Between Hypothesized and Final


Exploratory Models for Tests of Hypotheses ...............................................78

Table 12: Explained Variance in Endogenous Factors in the Final Exploratory


Model ................................................................................................81

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LIST OF FIGURES

Figure 1: Generic Social Exchange Model of Creativity ............................................. 9

Figure 2: Full Social Exchange Model of Creativity .................................................... 17

Figure 3: CFA Results on Organizational Justice ........................................................53

Figure 4: CFA Results on Supervisory Justice .............................................................54

Figure 5: CFA Results on Organizational and Supervisory Trust ................................55

Figure 6: CFA Results on POS and LMX ....................................................................56

Figure 7: CFA Results on Organizational Level Variables ..........................................58

Figure 8: CFA Results on Supervisory Level Variables ..............................................59

Figure 9: CFA Results on Supervisors Data (Information Sharing, Risk Taking, Social
Loafing, and Creativity) ................................................................................62

Figure 10: CFA Results on Supervisors Data (Political behaviors) ..............................65

Figure 11: Hypothesized Social Exchange Model Results .............................................70

Figure 12: Final Exploratory Model ...............................................................................75

Figure 13: Alternative Model 1 .......................................................................................84

Figure 14: Alternative Model 2 .......................................................................................85

Figure 15: Alternative Model 3 .......................................................................................86

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Chapter 1: Introduction and Purpose of Study

In todays knowledge economy, creativity has become essential for gaining and sustaining

competitive advantage for organizations (Woodman, Sawyer, & Griffin, 1993), and thus, it is a topic

of interest amongst researchers and practitioners alike (e.g., Arndt, 2002). For the most part, interest

has been in understanding ways to enhance creativity. Early research on creativity focused on

understanding creative personality traits (e.g., Barron & Harrington, 1981); however, recently the

focus has been on understanding the impact of social environment and social processes on creativity

(e.g., Amabile, 1996). This stream of research has focused primarily on contextual factors such as

receipt of rewards (Eisenberger, Armeli & Pretz, 1998), task complexity (Oldham & Cummings,

1996) and evaluative context (Shalley, 1995).

Researchers such as Csikszentmihalyi (1988), and Perry-Smith and Shalley (2003) have

emphasized creativity as a social process. Perry-Smith and Shalley (2003) suggest if creativity is

truly a social process, then focusing more explicitly on the social side of creativity should enhance

our understanding of what it takes to be creative in a highly interactive work environment of which

most workers are a part of (p.89). Given that social relationships are an important feature of an

informal or a highly interactive work environment, of which most workers are a part of, studying the

impact of social relationships on creativity becomes an important area for research inquiry.

Yet, relatively limited research has been done on the impact of relational aspects such as

pattern of social relationships (Perry-Smith & Shalley, 2003; Burt, 2004) as well as the quality of

social relationships (e.g., Bruce & Scott, 1994; Tierney, Farmer, & Graen, 1999). The study of

relational aspects such as social exchange, an important social process, has been somewhat scattered

and limited. Hence, there is a need to systematically investigate how multiple social exchange

relationships in organizations can affect creativity. In response to this need, I develop and empirically

test a social exchange model of creativity.


Relational concepts such as social exchange have much promise in understanding ways to

improve creativity for several reasons. First, past research has shown that high quality social

exchange relationships can positively influence desirable employee behaviors and attitudes (e.g.,

Rhoades & Eisenberger, 2002; Wayne, Shore, & Liden, 1997). In organizations that value creativity,

it is likely that employees social exchange relationships will facilitate desirable creativity-relevant1

behaviors. Second, the concept of social exchange may be used not only to better understand the

impact of social relationships on creativity but also to identify antecedents to creativity. Finally,

social exchange theory (Blau, 1964) may be particularly useful in examining the effect of multiple

exchange relationships on creativity. This is particularly important since there are multiple levels

with organization (Rousseau, 1985), possibly each with a distinct effect on creativity.

Social Exchange Model of Creativity: An Overview

To develop a social exchange model of creativity, Blaus (1964) social exchange theory

is utilized here to identify factors, referred to here as relational factors or variables, which might

influence employees exchange relationships in organizations, and ultimately, affect creativity.

Social exchange involves unspecified obligations and requires a certain amount of trust for

exchange to take place (Blau, 1964). Therefore, trust could be critical for developing and

sustaining social exchange relationships in organizations. In addition, research also suggests that

fairness plays an important role in the forming and sustaining social exchange relationships in

organizations (e.g., Cropanzano, Prehar, & Chen, 2002; Masterson, Lewis, Goldman, & Taylor,

2000). Perhaps fairness and trust constitute the relational environment within which social

relationships form and develop. Research within the separate streams of fairness and trust

suggests that both are closely related to social exchange relationships (e.g., Lewicki,

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The term creativity-relevant behavior is being applied for convenience purposes, to signify
that these behaviors are hypothesized to facilitate creativity. An empirical test will be necessary
to demonstrate whether the relationships will actually hold.

2
McAllister, & Bies, 1998; Masterson et al., 2000); however, little empirical research exists that

has simultaneously examined the effect of employees perceptions of fairness and trust on the

quality of their exchange relationships (i.e., social exchange relationships) with the organization

and the supervisor. Therefore, I propose and test fairness and trust as key relational factors that

may potentially impact creativity because of their influence on employees social exchange

relationships.

Once established, employees quality of exchange relationships both with the

organization and the supervisor might facilitate desirable employee behaviors that might

facilitate creativity (i.e., creativity-relevant behaviors). Employees who have a high quality

exchange relationship with the organization may engage in behaviors that are likely to be

beneficial to the organization (e.g., Rhoades & Eisenberger, 2002). Thus, in organizations that

value creativity, high quality exchange relationships may encourage employees to engage in

creativity-relevant behaviors, and ultimately, creativity. To sum up, no research has examined

the effect of fairness and trust together on the quality of exchange relationships between

employees and the organization and the supervisor, and their subsequent effect on creativity by

fostering the appropriate employee behaviors.

Due to the presence of multiple levels within organizations (i.e., organization and

supervisor; Rousseau, 1985), it is important to consider the relational environment (fairness and

trust) and its impact on exchange relationships at both the organizational and supervisory level. It

is likely that employees distinguish between the relational environment fostered at the

organizational level versus the one at the supervisory level, thereby forming distinct social

exchange relationships with the organization and the supervisor. As a result, employees

perceptions of the relational environment at the organizational and supervisory level might

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differentially affect their creativity. Yet again, no study has examined the multi-foci effect of the

relational variables on creativity. Overall, the potential multi-foci effect of the relational factors

(i.e., fairness and trust) on employees social exchange relationships and their impact on

creativity-relevant behaviors, and ultimately, on creativity has not been studied and needs to be

studied. This dissertation attempts to do so by addressing several questions: (1) do relational

factors (i.e., trust and fairness), at both the organizational and supervisory level, affect the

perceived quality of employees exchange relationships with the organization and the supervisor

respectively, (2) does the perceived quality of exchange relationships affect creativity-relevant

behaviors and, eventually, employee creativity; and (3) is there a multi-foci effect of the

relational factors on employee creativity.

To answer these questions, I develop a multi-foci social exchange model of creativity.

More specifically, I propose that employees perceptions of organizational and supervisory

fairness and trust will independently influence the perceived quality of their exchange

relationships. This will in turn facilitate creativity-relevant behaviors, and ultimately, creativity.

In other words, this dissertation attempts to show that organizations may be able to enhance

creativity by fostering appropriate relational environment both at the organizational and

supervisory level. In the next two sections, creativity is defined, followed by a discussion of

theoretical and practical contributions of this research. The chapter ends with a brief plan for the

reminder of the dissertation.

Creativity Defined

While there is some agreement among researchers over the criteria, including novelty,

value, appropriateness and usefulness, that should be used to assess creativity, there has been

considerable debate over what should be evaluated (i.e., person, process, or product; Amabile,

4
1996; Ford & Gioia, 1995). This is an important issue because this question essentially refers to

whether the subject of investigation should be the person, process or product.

Guilford (1950) defined creativity in terms of creative personality, such that creativity

refers to the abilities that are most characteristic of a creative person (pg. 229). Research

concerned with studying personality traits of creative individuals constituted a bulk of creativity

research in the early 50s and 60s. The process-based approach to creativity is concerned with

identifying characteristics of the processes that would result in anything creative (e.g., Ghieselin,

Rompel, & Taylor, 1964). Finally, the product-based approach defines creativity in terms of

product attributes: A product or response will be judged as creative to the extent that (a) it is

novel and appropriate, useful, correct or valuable response to the tasks at hand, and (b) the task is

heuristic rather than algorithmic (Amabile, 1996; p.35).

While all three definitions represent different yet important facets of creativity, the

product-based definition is often considered the most useful, even in the research dealing with

creative people and processes. Whether the person or process is creative can only be determined

by the novelty, value and usefulness of the outcome (Amabile, 1996). For example, an individual

may fit the profile of a highly creative individual or may adopt creative processes, but in the

absence of a creative outcome, it will be extremely difficult, if not impossible, to assess the

creativity of either the person or process. In other words, the distinguishing feature of both the

creative person and process is a creative product (Amabile, 1996). Therefore, the recent trend in

creativity research has been to adopt a product-based definition of creativity (Ford & Gioia,

1995). Alternatively, those employees whose ideas are both novel as well as useful, are

considered creative. Thus, the product-based definition of creativity is adopted in this

dissertation.

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Contributions of the Research

This dissertation makes several contributions. It extends the extant literature on the impact

of the social environment on creativity by focusing specifically on relational aspects. This

dissertation integrates two different streams of research, social exchange and creativity, in an attempt

to provide a richer understanding of how social exchange relationships may be instrumental in

enhancing creativity. In addition, this research identifies relational antecedents to creativity, thereby

enhancing our understanding of additional social factors that might affect creativity. In doing so, it

extends the extant literature on social factors that affect creativity, which has focused primarily

on contextual elements such as supervisory support, reward structure and evaluation

apprehension (e.g., Amabile, 1996; Shalley, 1995). Finally, this study develops a multi-foci model

of creativity, and hence, contributes to our understanding of how different levels within the

organization might affect employee creativity.

The findings of this study are likely to have important implications for managers as well,

through addressing the important issue of enhancing creativity, which is a primary concern for

many organizations. In todays business world, CEOs and managers are concerned with

understanding and implementing ways to enhance creativity in order to sustain innovativeness

and competitive advantage of their organization. The results of this study may provide managers

with insights into how to enhance creativity through encouraging stronger social exchange

relationships with the organization and the supervisor. For example, managers may be able to

facilitate creativity through a fair and trusting environment, which can be achieved through relatively

inexpensive means such as changes in organizational policies and practices. This dissertation

provides a better understanding of how the social environment, which managers can influence,

may have important effect on creativity. Overall, these results may provide managers ways to

6
manage and enhance creativity, by adopting practices that will facilitate employees perceptions

of fairness and trust.

Structure of the Dissertation

The structure of the remaining dissertation is as follows. Chapter Two reviews creativity

research, develops a generic social exchange model of creativity, and identifies general

propositions for the effect of the relational environment on the perceived quality of employees

social exchange relationships and their subsequent effect on employee creativity. Chapter Three

develops specific hypotheses, at both the organizational and supervisory level, based on the

social exchange model of creativity. Chapter Four discusses the research methodology used for

studying social exchange model of creativity. Chapter Five reports results and findings and,

finally, Chapter Six discusses these findings and implications for research and practice.

7
Chapter 2: Development of the Generic Social Exchange Model of Creativity

This dissertation develops a social exchange model of creativity in order to understand

the effect of the relational environment on employees social exchange relationships, and

ultimately, their subsequent effect on creativity. This chapter reviews past research on creativity,

focusing specifically on its meaning, definition and the shift in the way creativity has been

studied from a mystical process that resides inside the brain (psychological view) to more as a

social phenomenon (social view).

This review is used as a foundation for developing the generic social exchange model of

creativity (Figure 1). More specifically, the purpose is to highlight: (1) the importance of

studying the impact of the relational factors on employees social exchange relationships with

the organization and the supervisor, and their subsequent effect on creativity, and (2) the

potential multi-foci effect of the relational factors on creativity. This chapter is divided into three

sections: the first section discusses the meaning and definition of creativity, the second discusses

the growth and current trends in creativity research, and the third develops general propositions

for the generic social exchange model of creativity.

Creativity: Literature Review

J.P Guilfords (1950) address to American Psychological Association marked the

beginning of much of the psychological research on creativity (e.g., Barron & Harrington, 1981).

Research on the creative personality provides evidence for certain creativity-related traits such as

divergent thinking and ideational fluency (e.g., Barron, 1955; MacKinnon, 1965). Although this

line of research provides valuable insights into the kind of person likely to be creative, it is

limited in a sense that it is unable to account for why individuals with creative personalities are not

always creative (Pelz & Andrews, 1966).

8
Figure 1: Generic Social Exchange Model of Creativity

Employees
Perceptions
of the relational environment
at (a) organizational level
(b) supervisory level

Perceived Quality of
Exchange
Relationship at
(a) organizational level
(b) supervisory level

Creativity-Relevant
Behaviors

Employee Creativity

9
This limitation of research on creativity personality led to the development of the social view of

creativity, which implies that creativity cannot be fully understood without considering the impact of

historical, social, economic and cultural environments (Csikszentmihalyi, 1988). In other words,

creativity is a social process and is influenced by the social environment. This view has been gaining

popularity, perhaps because the implications of this view are that creativity is not just a

personality trait but something that can be managed, influenced and enhanced through proper

interventions (Montuori & Purser, 1999).

The social view of creativity is particularly useful because creativity in organizations is

essentially a collaborative process involving interactions among many persons, rather than being a

product of lone geniuses (Montuori & Purser, 1999). Not surprisingly, within organizational science,

this view has resulted in extensive research on understanding how the social environment of

organizations influences creativity (e.g., Amabile, 1996). However, the research on the impact of the

social environment on creativity has primarily focused on contextual factors such as the evaluative

context, receipt of rewards and supervisory support (Amabile, Conti, Coon, & Lazenby, 1996), with

relatively lesser attention given to the relational environment and social relationships.

While the impact of the relational environment on creativity has not been studied, there has

been some research on the impact of social relationships on creativity (e.g., Graen & Cashman, 1975;

Burt, 2004 ). Within the creativity literature, social relationships have been studied from two distinct

views: (1) structural, focusing on a network of informal social relationships or social networks (e.g.,

Perry-Smith & Shalley, 2003; Burt, 2004), and (2) relational, focusing on the quality of social

exchange relationships (e.g., Bruce & Scott, 1994; Tierney et al., 1999). While both streams of

research are important and have resulted in valuable insights, this study focuses specifically on the

relational aspect, thereby emphasizing the quality of exchange relationships. Much of the research

focusing on the relational aspect of social relationships has emphasized employees relationship with

10
their supervisor (e.g., Bruce & Scott, 1994; Tierney et al., 1999), while ignoring other exchange

relationships such as with the organization. Thus, our understanding of how different social exchange

relationships in organizations affect creativity is primarily limited to leader member exchange

relationships (LMX). It is unclear as to how other exchange relationships such as with the

organization, when considered along with LMX, affect creativity. I fill this gap in the literature by

developing a multi-foci social exchange model of creativity that includes the relational environment

as well as exchange relationships both at the organizational and supervisory level. In the following

section, the propositions of the generic social exchange model are developed.

Building the Generic Social Exchange Model of Creativity

Relational Environment and the Quality of Exchange Relationships

Social exchange relationships are different from purely work relationships (e.g., reporting

relationship between employee and manager) because such relationships are neither mandated by

organizational policies nor based on purely economic exchange. Rather, social exchange

relationships are a result of employees perceptions of their relational environment. More

specifically, employees perceptions of fairness and trust are likely to affect the quality of their

exchange relationships with both the organization and the supervisor.

The norms of justice influence social exchange relationships (e.g., Blau, 1964; Molm,

Quist, & Wiesely, 1993) because exchange actions need to be of similar value and benefit to

facilitate an on-going relationship. Alternatively, it is important that parties to a social exchange

perceive it as a fair exchange. For example, fair treatment such as honesty and absence of deceit

on the part of the supervisor might facilitate a high quality employee-supervisor exchange

relationship. Thus, employees perceptions of fairness are likely to affect the quality of their

exchange relationships with focal exchange partners.

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Further, social exchange involves voluntary behaviors which create future obligations for

reciprocity. The nature of the return obligations cannot be specified in advance and, therefore,

require trusting others to fulfill their obligations (Blau, 1964). Trust is important for the

development and continuance of social relationships because it reduces risk and uncertainty

involved in such relationships (Molm et al., 1993). Thus, trust serves as a foundation for social

exchange relationships. Overall, fairness and trust are important aspects of the social reality of

organizations and constitute the relational environment, thereby influencing employees

perceptions of the quality of their exchange relationships with the organization and supervisor.

Therefore, I propose:

Proposition 1: The relational environment, more specifically fairness and trust, will

facilitate the perceived quality of employees social exchange relationships with both

the organization and supervisor.

Perceived Quality of Exchange Relationships and Creativity

In the previous section, I proposed that the relational environment is likely to influence

employees social exchange relationships in organizations. This section develops proposition for

the next phase of the model (Figure 1): the effect of the perceived quality of exchange

relationships on creativity.

The concept of social exchange (Blau, 1964) and norm of reciprocity (Gouldner, 1960)

have long been used to explain functional employee behaviors and attitudes. Employees form

multiple exchange relationship in organizations and the perceived quality of their exchange

relationship with a partner produces felt obligations within them to reciprocate in mutually

beneficial ways. This thesis was subsequently tested and supported by researchers such as

Settoon, Bennett, and Liden (1996). Their study showed that employees perceiving a high quality

12
exchange relationship with a focal exchange partner such as organization will feel indebted to

reciprocate through behaviors and attitudes that are valued by and beneficial to the organization.

Thus, to the extent that employees perceive high quality exchange relationships with the

organization and the supervisor, they will feel obligated to reciprocate by engaging in behaviors

that are beneficial to and valued by both. In some organizations, where creativity is valued, this

obligation may result in higher levels of creativity-relevant behaviors. Thus, it is likely that the

perceived quality of exchange relationships might encourage employees to engage in creativity-

relevant behaviors, which in turn may influence employee creativity. Therefore, I propose

Proposition 2: The perceived quality of employees social exchange relationships will

facilitate creativity-relevant behaviors, and hence, overall creativity.

Multi-foci effect of social environment on creativity

Finally, it is important to distinguish among different foci of employees perceptions of

the relational environment and their differential effects on the quality of exchange relationships,

and ultimately, on creativity. A study of multi-foci effects is particularly important because

employees are likely to experience related yet distinct work environments at the organizational

and supervisory level. In other words, it is possible that supervisors may foster an environment

which is distinct from that of the organization, which could then differentially affect employee

creativity.

Research on other organizational phenomenon such as organizational commitment (e.g.,

Becker, 1992) and justice (Rupp & Cropanzano, 2002) suggest that employees distinguish

between different foci (supervisor, team and organization). Becker (1992) suggested that

employees distinguish between their attachments to the organization and the work group.

Similarly, Rupp and Cropanzano (2002) suggest that employees distinguish between

13
organizational and supervisory fairness. Based on past research, it seems likely that employees

will distinguish between their perceptions of the relational environment at the organizational and

supervisory level.

Employees form social exchange relationships with a partner based on their perceptions

of that exchange partner (Wayne et al., 1997), and thus, it is likely that the relational

environment at the organizational and supervisory level will affect employees social exchange

relationship with the organization and the supervisor respectively. For example, employees

perceptions of a positive relational environment (i.e., fair and trusting) at the organizational level

may positively influence the quality of their exchange relationship with the organization. In

contrast, employees perceptions of negative relational environment at the supervisory level may

adversely influence the quality of their exchange relationship with the supervisor. Then,

employees quality of exchange relationships with the organization and the supervisor may in

turn facilitate or hinder creativity-relevant behaviors, and ultimately, creativity. This suggests

that employees perceptions of the relational environment at the organizational and supervisory

level could impact creativity through different mechanisms.

Furthermore, organizations are multi-level entities with each level being embedded

within the other (Rousseau, 1985). For examples, supervisors may be embedded within the work

group, which may be embedded within the organization, implying that perhaps the more

immediate context for employees is the relational environment fostered by the supervisor. It is

likely that the relational environment at the supervisory level may have stronger impact on

creativity-relevant behaviors because it is more proximate to employees. Alternatively, it is also

possible that the relational environment at the organizational level is more pervasive, perhaps

because of stronger organizational culture, thereby having a stronger impact on creativity. Thus,

14
the relational environment at either level may have stronger impact on creativity. While I do not

formally hypothesize which of the two relational environments, organizational or supervisory,

will have stronger impact on employees creativity-relevant behaviors and creativity, I will

explore the comparative effect of the relational environment at two levels. As such, I propose:

Proposition 3: Employees perceptions of the relational environment at the

organizational and supervisory level will affect creativity differently.

Summary

This chapter developed the generic social exchange model of creativity and offered

general propositions for: (1) the effect of the relational environment (fairness and trust) on

employees social exchange relationships; (2) the effect of employees social exchange

relationships on creativity-relevant behaviors, and creativity; and (3) the multi-foci effect of the

relational environment on creativity. The next chapter will deal with each proposition in greater

detail and develop testable hypotheses.

15
Chapter 3: Full Model Development and Hypotheses Specification

The basic proposition of the social exchange model of creativity is that fairness and trust

may affect employee creativity because of their influence on employees social exchange

relationships with the organization and supervisor. The previous chapter developed general

propositions for the effects; however, to be able to test those propositions, specific hypotheses

must be developed. The full model to be tested is presented in Figure 2, and subsequent sections

of this chapter develop hypotheses for each of the specific relationships.

Relational Environment: Fairness Trust

Before developing specific hypotheses, the two key relational concepts, fairness and trust,

are defined and briefly discussed.

Fairness

Traditionally, organizational justice, or employees perceptions of fairness in the

workplace, has been categorized into three distinct although related types of fairness: (1) the

fairness of the outcomes received in terms of equality and equity (e.g., Adam, 1965), referred to

as distributive justice (DJ); (2) the fairness of formal procedures and the procedures used to

distribute outcomes (e.g., Lind & Tyler, 1988), referred to as procedural justice (PJ); and (3) the

fairness of the quality of interpersonal relationships and treatment (e.g., Bies & Moag, 1986)

referred to as interactional justice (IJ). Recently, Colquitt (2001) has empirically demonstrated

that interactional justice (IJ) has two sub-dimensions: (1) interpersonal justice (IPJ), which

specifically focuses on interpersonal sensitivity, for example, politeness and civility in

interactions; and (2) informational justice (IFJ) which focuses specifically on the adequacy of the

information or explanations provided. Based on the most recent research findings, organizational

16
Figure 2: Full Social Exchange Model of Creativity

Info.
Organizational
sharing
Trust
H2a H5
H1a
H3a
Organizational Perceived
Fairness Organizational H3b Risk
Support (POS) taking
H3c H6
H3d
Creativity

H4a H7
Social
Leader Member H4b
loafing
Supervisory Exchange H4c
Fairness (LMX)
H4d H8
H1b
H2b
Political
Supervisory
behavior
Trust

Employees Perceptions of Relational Perceived


Environment Quality of Creativity-Relevant Creativity
Relationship Behaviors

17
justice is best considered as a four dimensional construct: (1) distributive justice, (2) procedural

justice, (3) interpersonal justice, and finally, (4) informational justice (Colquitt, 2001). All four

dimensions are considered as distinct and have independent effects on employee attitudes and

behaviors.

Early research on organizational justice did not specifically examine the source of

fairness, even though it has been proposed that employees direct their responses or behaviors to

the party believed to be responsible for fair (unfair) acts. For example, Bies and Moag (1986)

suggested that interactional justice will result in behaviors and attitudes directed at the person

considered responsible for enacting procedures. However, original research on organizational

justice and social exchange focused primarily on the types of fairness, often treating types of

fairness (e.g., procedural and interactional) as a proxy for the source (organizational and

supervisor) (e.g., Malatesta & Byrne, 1997; Masterson et al., 2000).

In order to incorporate both the source and type effects of fairness, more recently,

researchers such as Rupp and Cropanzano (2002) and Byrne (1999) have proposed a multi-foci

model of fairness. Under this perspective, different entities (person, team or organization) can be

a source of all four types of fairness. For example, a supervisor can be responsible for

formulating procedures, allocating outcomes, conducting interactions, and providing

explanations for the procedures or policies being used, and hence, can be seen as a source of

procedural, distributive and interpersonal and informational justice. All four types of supervisory

fairness (i.e., supervisory procedural justice (SPJ), supervisory distributive (SDJ), supervisory

interpersonal justice (SIPJ) and supervisory informational (SIFJ)) are likely to have distinct

effects on employee attitudes and behaviors. In addition, supervisory justice (i.e., procedural,

distributive, interpersonal and informational) is proposed to affect supervisor related outcomes

18
such as favor doing for the supervisor whereas organizational justice (i.e., procedural,

distributive, interpersonal and informational) should affect organization related outcomes such as

employees organizational commitment (Rupp & Cropanzano, 2002).

The multi-foci model of fairness may be particularly useful in studying social exchange

relationships because employees form social exchange relationships with an entity on the basis

of the evaluation of that entity as a source of all four types of fairness (Rupp & Cropanzano,

2002). For example, employees are likely to consider all four of the following: (1) whether the

distribution of outcomes by the supervisor is fair, (2) whether the procedures adopted by the

supervisor are fair, (3) whether they are being treated with sensitivity by the supervisor, and

finally, (4) whether they are being provided adequate explanations by the supervisor. Unfairness

in any of the four types of fairness (i.e., the distribution of outcomes, procedures, interpersonal

treatment and information provided) is likely to impact employees overall assessment of

fairness of that source (person, team or organization), which may subsequently affect employees

social exchange relationships with that source (Rupp & Cropanzano, 2002). Given the focus of

this dissertation on employees perceptions of the quality of exchange relationships with the

organization and supervisor, I adopt the multi-foci approach to fairness. As such, I will examine

both the organization and the supervisor as a source of all four types of fairness (distributive,

procedural, interpersonal and informational justice).

Trust

Unlike fairness, there is much diversity in the conceptualization of trust. There are many

definitions of trust including, (1) positive expectations of and confidence in others behaviors

(Barber, 1983; McAllister, 1995), (2) a calculative decision to cooperate with others (Gambetta,

1988), and (3) a willingness to make oneself vulnerable to the actions of others (Mayer, Davis, &

19
Schoorman, 1995). With so many different conceptualizations, it seems appropriate to identify

the one definition that is best suited to the problem under investigation (Bigley & Pearce, 1998).

In their review of different definitions of trust, Bigley and Pearce (1998) offered a problem

centered approach, advising researchers to acknowledge diversity in trust definitions and to

move from what trust to which trust and when? (pg. 406).

Based on theoretical grounds underlying social relationships, Bigley and Pearce (1998),

suggested that the definition offered by Mayer et al., (1995) is appropriate for studying social

relationships in an organizational context. Mayer and colleagues (1995) conceptualized trust as a

unidimensional construct and defined it as, the willingness of a party to be vulnerable to the

actions of another party based on the expectation that the other will perform a particular action

important to the trustor, irrespective of the ability to monitor or control that other party (pg.

712). They further go on to suggest that this definition of trust may be particularly applicable to

relationships that are voluntary in nature.

Trust is often grounded in expectations, assumptions or beliefs that the other party will

behave in a way that is beneficial, favorable or at least not detrimental to ones interest (e.g.,

Robinson, 1996; Gambetta, 1988). Trust enables one to take risks and become vulnerable to

others actions (Mayer et al., 1995) because of the belief in the reliability, predictability and

dependability of the others actions, and in the good intentions and motives underlying the

actions (McAllister, 1995).

Fairness Trust

The relationship between fairness and trust has been supported theoretically as well as

empirically (e.g., Konovsky & Pugh, 1994; Lind, 1998; van den Bos, Wilke, & Lind, 1998).

Fairness heuristic theory (Lind, 2001) suggests, when faced with a social dilemma, employees

20
utilize fairness related information to assess the trustworthiness of that party. In support of this

line of reasoning, van den Bos and colleagues (1998) found that when information regarding the

trustworthiness of an authority is not available (an antecedent of trust), employees are likely to

base their decision to trust on fairness perceptions of that authority. Specifically, employees

fairness perceptions of an entity may lead employees to believe that the entity will consistently

behave in a fair manner. For example, if employees previous interactions with the supervisor

have been fair, then employees are likely to expect that, in the future, the supervisor will

continue to behave in a fair manner. Thus, positive fairness perceptions will encourage

employees to rely and depend on future exchange actions, and hence, take risk and be more

willing to be vulnerable to others actions. In other words, to the extent a party is perceived to be

acting in a fair manner it is likely to be trusted.

Similarly, the relational model of fairness (Tyler & Lind, 1992) may be used to explain

the role of fairness perceptions in the development of trust. Employees care about fairness

because it reduces the risk of rejection or loss of identification with a group, and provides a sense

of belongingness or inclusion in a group (Cropanzano, Byrne, Bobocel, & Rupp, 2001), which

can in turn facilitate trust in the group (Tyler & Degoey, 1996). For example, employees who

are being treated fairly by the organization will perceive reduced risk of rejection or loss of

identification with the organization leading employees to feel like a part of the organization. This

in turn may increase employees willingness to be vulnerable to organizations actions, thereby

facilitating employees trust in their organization.

Although the relationship between fairness and trust has been examined primarily in

relation to procedural justice (e.g, Kovnosky & Pugh, 1994; Van den Bos et al., 1998), given the

evidence for multi-foci model of fairness (e.g., Rupp & Cropanzano, 2002), it is likely that

21
employee will utilize all four types of fairness related information to evaluate the trustworthiness

of a source. Therefore, employees perceptions of all four types of fairness (PJ, DJ, IPJ, & IFJ) of

the organization and the supervisor are likely to influence their trust in the organization and the

supervisor respectively. Therefore, I hypothesize:

Hypothesis 1a: Employees perceptions of organizational fairness (ODJ, OPJ, OIPJ,

OIFJ) will be positively related to their organizational trust.

Hypothesis 1b: Employees perceptions of supervisory fairness (SDJ, SPJ, SIPJ,

SIFJ) will be positively related to their supervisory trust.

Trust Perceived Quality of Exchange Relationship

Social exchange relationships involve voluntary and unspecified reciprocal obligations

and, in such relationships, trust that each party will fulfill its obligations is a necessary and an

important condition (Blau, 1964). Unlike economic exchange, return obligations cannot be

bargained for and have to be left at the discretion of the other party (Blau, 1964), because of

which there is some uncertainty and risk involved in social exchange (Molm et al., 1993). Trust

reduces the uncertainty and risk involved in social exchange relationships (Mayer et al., 1995),

thereby providing confidence in others future exchange actions.

Specifically, trust provides confidence in the predictability, reliability and dependability

of others actions, which reduces the uncertainty and risk involved in future social exchange

actions (Molm, et al., 1993). Trust in a focal exchange partner is likely to enhance the

expectation that the partner will reciprocate with exchange actions of equivalent values and

benefits, thereby reducing ones perceptions of the risk involved in social exchange relationships.

Further, trust implies a partys good intentions and motives, which gives confidence in future

22
reciprocal exchange actions of similar values and benefits. Therefore, trust will positively

influence employees perceptions of the quality of their exchange relationships with the party.

It has been established that employees distinguish between work environments (Becker,

1992), and that employees form multiple social exchange relationships in organizations (e.g.,

Wayne et al., 1997). Past research has shown that employees form social exchange relationship

with a party based on their perceptions of that party (e.g., Rupp & Cropanzano, 2002). Thus, the

relational environment at the organizational level is likely to influence employees perceptions of

the quality of exchange relationship with the organization, manifested through perceived

organizational support (POS). Similarly, the relational environment at the supervisory level is

likely to influence employees perceptions of the quality of exchange relationships with the

supervisor, manifested through leader member exchange (LMX). Moreover, exchange

relationships such as LMX are characterized by mutual trust between the supervisor and the

employee (e.g., Gerstner & Day, 1997). Therefore, employees trust in the organization and their

supervisor is likely to influence the perceptions of the quality of their exchange relationship with

the organization (i.e., POS) and the supervisor (i.e., LMX) respectively. Therefore, I

hypothesize:

Hypothesis 2a: Employees organizational trust will be positively related to

perceived organizational support (POS).

Hypothesis 2b: Employees supervisory trust will be positively related to leader

member exchange (LMX).

Perceived Quality of Exchange Relationship Creativity Relevant Behaviors

According to social exchange theory (Blau, 1964), employees high quality exchange

relationships produce obligations within employees to reciprocate to the focal exchange partner

23
through comparable exchange actions. Often, employees social exchange relationships

positively affect desirable behaviors and attitudes towards that exchange partner. For example,

employees perceptions of the quality of their exchange relationships with the organization (i.e.,

POS) will obligate employees to reciprocate through functional behaviors (e.g., citizenship

behaviors; Wayne et al., 1997) and corresponding attitudes (e.g., organizational commitment;

Wayne, Tetrick, Shore & Bommer, 2002).

Often employee attitudes are directed toward a specific exchange partner, for example,

organizational commitment that is directed towards the organization, whereas certain functional

behaviors, such as citizenship behaviors, may not be directed toward a specific exchange partner.

For example, employees social exchange relationships with both the organization and supervisor

independently affect citizenship behaviors that are not specifically directed towards either the

organization or the supervisor but that are valued by and beneficial to both (e.g., Wayne et al.,

1997). Thus, employees social exchange relationships with different exchange partners (e.g.,

organization and supervisor) may be associated with functional employee behaviors that are not

necessarily directed at a specific exchange partner but in fact are valued by and benefit both.

Drawing an analogy from previous research, I propose that employees perceptions of the

quality of their exchange relationships with both the organization (i.e., POS) and the supervisor

(i.e., LMX) will independently affect creativity-relevant behaviors that are not directed

specifically toward either the organization or the supervisor but are valued by and beneficial to

both. In the following sections, I develop specific hypotheses for the relationships linking POS

and LMX with each of the creativity relevant-behaviors: information-sharing, risk-taking, social

loafing and political behaviors.

24
Perceived Organizational Support (POS)

Perceived organizational support (POS) reflects employees beliefs that the organization

values their contributions and cares for their well being (Rhoades & Eisenberger, 2002), and is

often used as a measure of the quality of exchange relationship with the organization (e.g.,

Masterson et al., 2000). Further, POS is associated with employees beliefs that the organization

will provide both the work-related and socio-emotional help and support required to complete

the job effectively and to deal with stressful situations (Rhoades & Eisenberger, 2002). In return,

employees feel obligated to care about organizational welfare and objectives by engaging in

functional behaviors that are beneficial to the organization, such as citizenship behaviors (Wayne

et al., 1997). POS is also associated with employees beliefs that the organization supports,

recognizes and rewards increased performance, which motivates employees to engage in

functional work-related behaviors that may help increase their performance (Rhoades &

Eisenberger, 2002).

Applying the reasoning underlying the relationships between POS and employee

behaviors (e.g., Rhoades & Eisenberger, 2002; Wayne et al., 1997), I propose that employees

who report high levels of perceived organizational support in organizations that value creativity

are likely to engage in creativity-relevant behaviors, both because of their felt obligations to care

about organizational welfare and objectives, and because of their beliefs that such behaviors are

likely to be supported, recognized and rewarded. The four creativity-relevant behaviors I will

examine are: (1) information-sharing, (2) risk-taking, (3) social loafing, and (4) political

behaviors.

Information-sharing. Information-sharing refers to the extent to which employees are

willing to share work-related ideas and information with others. Typically, information-sharing

25
has been operationalized as a team-level construct (e.g., Team members keep each other

informed about work related issues; Anderson & West, 1996). Here, I operationalize it as an

individual-level construct (e.g., I am willing to share job-related information with others). I

propose that POS will be positively associated with information-sharing for two reasons. First, in

organizations that value creativity, one option for employees who wish to reciprocate positive

organizational support is to engage in information-sharing. This may be perceived as an

appropriate exchange for organizational support because it helps to enhance their own as well as

others creativity, thereby benefiting the organization. Second, employees are likely to believe

that information-sharing will be supported, recognized, and rewarded by the organization that

values creativity. As a result, employees are likely to be motivated to engage in information-

sharing with others. Therefore, I hypothesize:

Hypothesis 3a: POS will be positively related to information-sharing.

Risk-taking. Risk-taking behaviors refer to those behaviors that may be associated with

uncertain, difficult to realize, or radical outcomes (Sitkin & Pablo, 1992). For example, risk-

taking may involve offering ideas that may be extremely difficult to implement or that will

adversely affect ones reputation if they fail. In organizations that value creativity, risk-taking

behaviors are considered beneficial to the organization (Amabile, 1996) and hence, may be

perceived as a comparable form of repayment for organizational support. Thus, employees

perceiving high organizational support may engage in risk-taking behaviors to reciprocate for the

organizations support. Further, in organizations that value creativity, high POS encourages

employees to engage in risk-taking behaviors because it reduce the risks associated with

uncertain or failed outcomes of the ideas or suggestions offered (Zhou & George, 2001). Finally,

employees beliefs that risk-taking behaviors are likely to be supported, recognized and rewarded

26
by the organization will further motivate them to engage in risk-taking behaviors. Therefore, I

hypothesize:

Hypothesis 3b: POS will be positively related to risk-taking.

Social loafing. Social loafing is defined as the tendency of individual team members to

exert less effort when working in teams as compared to when working alone (George, 1992). For

example, social loafing may involve employees putting forth less effort during brain storming

sessions. A supportive organization is more attractive and involving, and thus, employees

perceiving high levels of organizational support are less likely to withdraw, psychologically or

physically (Cropanzano, Howes, Grandy, & Toth, 1997). High levels of POS will encourage

employees to reciprocate by engaging in behaviors that are valued by and beneficial to the

organization in order to maintain the equilibrium of the exchange relationship. Engaging in

social loafing will negatively impact their own and others performance, and in turn harm the

organization, which could disrupt the equilibrium of the exchange relationships. Thus,

employees perceiving high levels of organizational support are likely not to engage in social

loafing. Therefore, I hypothesize:

Hypothesis 3c: POS will be negatively related to social loafing.

Political behaviors. Political behaviors or tactics2 refer to those informal behaviors that involve

the use of influence tactics, particularly in situations that involve dissensus about choices or

conflict, to achieve desired ends (Kipnis, Schmidt, & Wilkinson, 1980) such as creativity.

Political behaviors may involve the use of one or more of the following influence tactics:

ingratiation, upward appeal, assertiveness, rationality, coalition, and exchange (e.g., Kipnis et al.,

2
The terms political tactics and political behaviors will used alternatively through out the

dissertation.

27
1980; Schiresheim & Hinkin, 1990).

Political behaviors may be used to support organizational goals (e.g., Schien, 1977). In

organizations that value creativity, political behaviors or the use of influence tactics to enhance

creativity is likely to be valued, may even be encouraged, and hence, seen as a comparable form

of repayment for organizational support. Employees perceiving high levels of organizational

support will feel obligated to repay the organization by engaging in behaviors that will contribute

towards or support organizational goals such as creativity. In order to reciprocate for

organizational support, employees may use one or more political tactics as a means to enhance

their creativity. For example, employees may form a coalition with other employees for the

purpose of exchanging ideas or receiving feedback on their ideas, which could further develop

their ideas, and hence, enhance their creativity. Thus, employees perceiving high organizational

support are likely to engage in political behaviors with a purpose of enhancing creativity, thereby

benefiting the organization. Therefore, I propose:

Hypothesis 3d: POS will be positively related to political behaviors (i.e.,

assertiveness, ingratiation, rationality, coalition, exchange, upward appeal).

Leader Member Exchange (LMX)

Leader Member Exchange (LMX) focuses on the dyadic relationship between a

supervisor and an employee, and is indicative of the employees quality of social exchange

relationships with the supervisor (Wayne et al., 1997; Graen & Scandura, 1987). High quality

LMX is characterized by high levels of support, discretion, autonomy, trust, liking and respect

(Schriesheim, Castro, & Cogliser, 1999). Although both POS and LMX are grounded

predominantly in social exchange theory (Blau, 1964) and norms of reciprocity (Gouldner,

28
1960), the two are conceptually distinct and differentially affect important outcomes (e.g.,

Setton, et al., 1996).

While no research has examined the relationship between POS and creativity, past

research has found support for a positive and direct relationship between LMX and creativity

(e.g., Graen & Cashman, 1975; Bruce & Scott, 1994; Tierney et al., 1999). However, the

relationships between LMX and specific creativity-relevant behaviors have not been examined. I

draw from existing research on LMX and creativity to propose specific relationships between

LMX and information sharing, risk taking, social loafing, and political behaviors. Moreover, I

will examine the relative contribution of POS versus LMX in influencing employees creativity-

relevant behaviors.

Overall, I propose that employees who report high levels of LMX are likely to engage in

creativity-relevant behaviors, both because of the role expectations (e.g., Bruce & Scott, 1994),

and support, discretion and autonomy received (e.g., Graen & Cashman, 1975; Tierney et al,

1999). LMX will be related positively to information sharing, risk taking and political behaviors,

and negatively to social loafing.

Information-sharing. High LMX is indicative of effective working relationships that are

characterized by mutual trust and respect in cooperation and collaboration (Bruce & Scott,

1994), which could foster an environment characterized by openness. Such an environment is

likely to encourage employees to be open and share work-related information. Therefore, in the

presence of high levels of LMX, employees are more likely to share work-related information

because of the trusting environment. Furthermore, according to LMX theory, managers facilitate

desirable employee behavior by setting role expectations (e.g., Kacmar, Witt, Zivnuska, & Gully,

2003). Bruce and Scott (1994) suggest that supervisors expectations of employees to be creative

29
are likely to result in employees creativity-relevant behaviors. Thus, in high quality LMX,

where supervisors expect employees to be creative, employees may strive to meet those

expectations by engaging in information-sharing as it could facilitate creativity (Parnes, 1964).

Finally, in the presence of high quality LMX relationships, employees are likely to

reciprocate by engaging in behaviors that are directed towards others but indirectly help the

supervisor (e.g., Wayne et al., 1997). For example, sharing work-related information may be

targeted at improving team or departmental brain storming, but its positive effects may also

indirectly help supervisors. Therefore, I hypothesize:

Hypothesis 4a: LMX will be positively related to information-sharing.

Risk-taking. In the presence of high quality LMX, supervisors are likely to provide more

opportunities for challenging tasks, which may encourage or even require employees to take

risks (e.g., Tierney et al., 1999). High quality LMX relationships are also characterized by high

levels of support, discretion and autonomy, which allow employees to feel supported and allows

discretion necessary for employees to take risk (e.g., Graen & Cashman, 1975). Furthermore,

high LMX leads employees to believe that their work environment is supportive of creativity

because of which employees are more likely to take risks (Graen & Cashman, 1975). Overall,

high quality LMX is likely to facilitate risk taking because employees believe that it is

encouraged, recognized, rewarded and at times even required. Therefore, I hypothesize:

Hypothesis 4b: LMX will be positively related to risk-taking.

Social loafing. Past research has found support for a negative relationship between LMX

and social loafing (Murphy, Wayne, Liden, & Erdogan, 2003). In their study, Murphy and

colleagues (2003) theorized that employees with high quality LMX tend to exert extra effort and

engage in behaviors that go beyond the ones mandated by the job, whereas employees with low

30
quality LMX will not be motivated to put in extra effort because their task performance will

contribute towards supervisors performance. They further suggested that employees with low

quality LMX relationships will reciprocate by slacking off (i.e., engaging in social loafing) in

order to maintain an equitable exchange relationship with the supervisor. Therefore, I

hypothesize:

Hypothesis 4c: LMX will be negatively related to social loafing.

Political behaviors. Employees with high quality LMX relationships are likely to engage

in behaviors that go beyond and are not mandated by the job (Wayne et al., 1997). Political

behaviors are informal behaviors that are not mandated by the job or the organization (Gandz &

Murray, 1980), and may be used to support organizational goals (e.g., Schien, 1977) such as

creativity. Employees with high quality LMX relationships may reciprocate by engaging in

political behaviors because such behaviors are likely to indirectly contribute towards

supervisors performance, thereby maintaining an equitable exchange relationship. Furthermore,

as suggested earlier, employees may also engage in political behaviors because of their belief

that these behaviors are supported, recognized and rewarded. Therefore, I hypothesize:

Hypothesis 4d: LMX will be positively related to political behaviors (i.e.,

assertiveness, ingratiation, rationality, coalition, exchange, and upward appeal).

Creativity-Relevant Behaviors Creativity

This section discusses the impact of each of the creativity-relevant behaviors

(information-sharing, risk-taking, political behaviors and social loafing) on employee creativity.

Specifically, it is proposed that information-sharing, risk-taking, and political behaviors will

positively, whereas social loafing will negatively, impact employee creativity.

31
Information-sharing Creativity

Sharing ideas and information with others increases the probability of individual creative

idea generation (Parnes, 1964), primarily because of the possibility of receiving developmental

feedback. Feedback can help employees evaluate and refine their ideas, and hence, enhance their

own creativity (Zhou, 2003). However, feedback will only be possible when employees are

willing to expose or share ideas or work-related information with others. Thus, information-

sharing can facilitate individual creativity as a result of feedback and help from others.

Information-sharing can also enhance creativity through collaborative idea flow. Information-

sharing is a component of participation (Anderson & West, 1996) through which collaborative

idea flow increases, which may in turn generate new ideas and suggestions and hence, positively

influence creativity (Amabile, 1996). Therefore, I hypothesize:

Hypothesis 5: Information-sharing will be positively related to creativity.

Risk-taking Creativity

There is theoretical as well as empirical research evidence supporting the role of risk in

enhancing creativity (e.g., Amabile, 1996). By definition, creativity is something new or original

(Amabile, 1996), which often requires exploring new ideas, the outcomes of which are uncertain

and, often, unknown. Creativity requires the courage to take risks, challenge existing knowledge,

or venture into unexplored areas (Kogan & Wallach, 1964). Employees who take risks and

challenge existing knowledge and norms are most likely to generate unusual, novel and original

ideas (e.g., Kirton, 1976). Thus, risk-taking behaviors increase the probability of employees

being creative. Therefore, I hypothesize:

Hypothesis 6: Risk-taking will be positively related to creativity.

32
Social loafing Creativity

Social loafing can be particularly problematic because it is easy for employees to reduce

or slack off their efforts in generating creative ideas when they are working with others

collaboratively or as a work group (Paulus, 2000; West, 2001). The reduced efforts may

adversely impact both the quality as well as the quantity of the ideas generated by an individual.

For example, employees who engage in social loafing will have fewer ideas to contribute during

team or departmental meetings, thereby directly affecting their own creativity. Therefore, I

hypothesize:

Hypothesis 7: Social loafing will be negatively related to creativity.

Political behaviors Creativity

Employees may engage in a variety of political behaviors, such as ingratiation, upward

appeal, and rationality (e.g., Kipnis et al., 1980) to acquire additional information to enhance

their individual creativity. For example, employees can get others to share subject- or task-

related information by praising them (ingratiation), asking a supervisor to back their request

(upward appeal) or explaining reasons for their request in detail (rationality). This information

may improve employees task related skills or knowledge base, both of which have been shown

to be positively related to creativity (e.g., Amabile, 1996).

In addition, political tactics can facilitate creativity through increased support and

acceptance of the ideas. Given that creativity is domain specific and the evaluation of creativity

is ultimately a subjective evaluation by others (e.g., Amabile, 1996), the support and acceptance

of others can be critical for creativity. For example, creativity is not about whether employees

think that their ideas are creative, rather it is about whether the supervisor or the team think that

33
the idea is creative. Therefore, it then becomes important to convince those who matter of their

creativity. For example, employees may try to manage impressions by inflating the significance

of their ideas (ingratiation), write a detailed justification for their ideas (rationality), or build a

coalition to influence the subjective evaluations of relevant experts or judges, all of which will

result in positive evaluation of their creativity. Overall, employees may engage in a number of

political behaviors to improve their subject knowledge or task-related skills and positively

influence subjective evaluation of their creativity. Therefore, I hypothesize:

Hypothesis 8: Employees political behaviors (i.e., assertiveness, ingratiation,

rationality, coalition, exchange, and upward appeal) will be positively related to

creativity.

Summary

This chapter developed the full social exchange model of creativity and presented

specific hypotheses for each relationship in the model. The next chapter will discuss the research

methodology proposed for testing the social exchange model of creativity.

34
Chapter 4: Research Methodology

The purpose of this chapter is to describe research methodology used to test the social

exchange model of creativity proposed in the Chapter 3.

Research Design

The social exchange model of creativity proposes relationships between employees

perceptions of the relational environment of the organization and creativity-relevant behaviors,

and ultimately, creativity. A field study design, in which surveys from employees and their

supervisors were collected from a single organization, was used to test the model. The field study

design not only increased the external validity but also provided a real context for studying

employees perceptions of the relational environment of the organization, making the study more

meaningful to practitioners by increasing the generalizabilty and acceptability of the results.

The organizational setting chosen for this study was a large chemical plant in India. The

organization was particularly suited for this study for several reasons. First, the organization

meets the most important criteria for testing this model in that creativity is an explicitly stated

organizational goal. For example, there are regularly held periodic think tank forums whose

purpose is to provide every employee a forum for presenting the creative ideas. This forum

helps in identifying potential areas of improvement to achieve excellence in cost, quality, safety,

environment, customer satisfaction, employee moral and Quality Management as a whole.

[source: company documents]. Moreover, the description of employees key performance areas

(KPA) includes innovativeness towards improving product and service quality. Second, the

organization deliberately strives to provide a nurturing environment for creativity, making it an

ideal setting to study the impact of the relational environment on employee creativity

35
Third, the organization primarily employs engineers who are actively engaged in various

problem solving tasks such as product quality improvement and reduction in cost of production

through process improvisation. Finally, the companys hierarchical structure allows for

examining the differential effects of the relational factors both at the organizational and

supervisory level. For these reasons, the organization is well suited to study the potential impact

of the organizations relational environment on creativity-relevant behaviors, and ultimately, on

creativity.

Sample

In order to identify participants for the study, a list detailing the reporting relationships

for all employees was obtained from the Human Resources department. Due to the hierarchical

structure of the company, employees often served both as an employee of a particular supervisor

as well as in a supervisory role to other employees. To minimize bias in the data, it was

necessary that employees fill out a survey in only one role. Thus, a total of 234 salaried

employees were asked to fill out the employees survey, and then their immediate supervisors

were asked to fill out supervisors survey.

Of 234 employees sampled, 223 returned the completed survey for a 95% response rate.

All participants were males between the ages of 23 and 55. Most of the employees were from

lower and middle level management and their tenure varied widely ranging from one year to

sixteen years. Only employees from the middle and lower level management were included in

the sample because employees beyond a certain level were extremely busy and the company was

particularly interested in the creativity of employees in low and middle level management. The

minimum education level for all employees was a Bachelors degree. All participants were very

well versed in spoken and written English because of the technical nature of their work, which

36
was exclusively in English, and also because of their education level. All supervisors were male

between the ages of 33 to 59. Supervisors knew employees between 6 months to 9.5 years. The

minimum education level for all supervisors was a Bachelors degree as well.

Procedure

Administration of employees survey

An email explaining the purpose of the study and requesting employees participate in the

study was sent to all employees from the Human Resources department (a sample email message

is included in Appendix 1). Following the email, all department heads were contacted by phone

to gain permission for employees to be released from their daily work schedule for a period of

25-30 minutes, in batches of 5-10 employees twice in a eight hour shift. Permission was granted

from all the department heads.

At the meeting, employees were requested to read through the survey and to ask any

questions. All employees were given a consent form and a survey whose front sheet explained

the purpose and procedure of the project (a sample of the consent form and cover sheet is

included in Appendix 2 and 3). Surveys were pre-coded with an identification number given by

the researcher. No other identifying information was included on the survey. Employees were

clearly instructed to separate the consent form from their survey at the time of returning so that

their responses could not be matched with their name by anyone other than the researcher.

Employees were asked to return the survey within one week. Follow-up phone calls were

made to those employees who did not return the survey within that time frame. Two alternative

methods were offered for returning surveys. One way was to drop-off the consent form and

survey in two separate sealed-off boxes, one for signed consent form and other for the survey,

37
kept in the Human Resources department. In the second way, the researcher periodically visited

the department to collect completed surveys.

Administration of supervisors survey

For the 234 employees, there were 61 supervisors. All of the 61 supervisors were

contacted to schedule a meeting time to explain the purpose and procedure of the study. Before

administrating the survey to employees, the researcher first met with the supervisors because it

was important for supervisors to know about the project as they were the ones to grant

permission for a release time for their employees. Supervisors were given a consent form

(similar to that of employees) and survey along with the cover sheet explaining the purpose and

procedure of the project (a sample cover sheet is included as Appendix 4). Of the 61 supervisors

contacted, 58 returned the survey for a 95 % response rate.

Although supervisors were responsible for reviewing and appraising multiple employees,

including some who were not included in the sample, supervisors were asked to specifically

provide information only about those employees whose names appeared on their survey forms.

Supervisors too were given a week to return the survey and given two alternative options to

return the consent form and completed survey. In order to ensure the participation of as many

supervisors as possible, several follow-up phone calls were made to supervisors who had not

returned the survey in a week. This was necessary in order to make employee data complete and

usable because without the supervisors information about employees behaviors and

performance, employees responses could not be included in the final data set.

38
Survey Design

To test the social exchange model of creativity, measures were identified or developed

for both the employees and supervisors surveys. This section describes the process of designing

the surveys for supervisors and employees.

Employees survey

The employees survey measured 12 variables: distributive justice, procedural justice,

interpersonal justice, and informational justice at both the organizational and supervisory level,

organizational trust, supervisory trust, perceived organizational support (POS), and leader

member exchange (LMX). Table 1 contains a full item list for each of these variables. All items

were measured on a seven-point Likert-type scale, with one being either to a small extent or

strongly disagree and seven being either to a large extent or strongly agree. A sample

employee survey is included in Appendix 5.

Fairness. Colquitts (2001) measure of justice perceptions was used to measure

employees' perceptions of both the organizational and supervisory fairness along the four type of

fairness: distributive justice, procedural justice, interpersonal justice, and informational justice.

The scale for distributive justice measured the extent to which employees perceive outcomes to

be proportional to their contribution (sample item: The outcomes controlled by your organization

(or supervisor) reflect the effort you have put into your work.).

The scale for procedural justice measured the extent to which employees perceive the

procedures used to arrive at the outcomes as fair (sample item: The procedures used by the

organization (or supervisor) are applied consistently). The scale for interpersonal justice

measured the extent to which employees perceive interpersonal treatment as fair (sample item:

The organization (or supervisor) treated you in a polite manner. The scale for informational

39
justice measured the perceived adequacy of explanation (sample item: The organization (or

supervisor) provided a through explanation for the procedures.).

Trust. Robinsons (1996) seven item scale was adapted to measure employees trust in

the organization and supervisor. One item from the original scale, I dont think my employer

treats me fairly was dropped because of the possibility of fairness confounding the relationship

between fairness and trust. Thus, the adapted measure was a 6 item scale that measured the

extent to which employees trust both the organization and the supervisor (sample item: I believe

this organization (or supervisor) has high integrity.).

Perceived Organizational Support The short form of the Survey of Perceived

Organizational Support Perceptions was used to measure employees perceptions of

organizational support (Eisenberger, Huntington, Hutchison, & Sowa, 1986). It includes the 8

highest loading items representing both components of perceived organizational support; the

work-related and socio-emotional support (sample item: Help is available from the organization

when I have a problem.).

Leader Member Exchange (LMX). Employees perception of leader member exchange

relationship was measured using the scale adapted from Liden and Graen (1980) and Wayne et

al., (1997). (sample item: My supervisor will be personally inclined to help solve problems in my

work.).

Pilot Testing. Before administrating the final survey to participants, it was pilot tested on

10 randomly selected employees. Since most of the measures included in employees survey

were based on past research and were reliable and valid, it was considered more important to

identify and correct any potential problems associated with the readability and/or

understandability of survey items than testing for reliability. Thus, employees selected for pilot

40
Table 1: Employee Survey Measures

______________________________________________________________________________
Fairness (Colquitt, 2001)
Organizational Distributive Justice
Please respond to the following regarding the outcomes you potentially receive that are decided
by your organization. The outcomes that are controlled by the organization .
1. . reflect the effort you have put into your work.
2. . are appropriate for the work you have completed.
3. . reflected what you contributed to the organization.
4. . justified given your performance.
Organizational Procedural Justice
Please respond to the following questions regarding the procedures used by your organization to
make decisions. The procedures used by your organization to make decisions
1. . are applied consistently.
2. . are free of bias.
3. . are based on accurate information.
4. . uphold ethical and moral standards.
5. . allow for you to express your views and feelings
6. . allow for you to appeal the outcomes arrived at by those procedures.
Organizational Interpersonal Justice
Please respond to the following items regarding the way procedures are carried out by the
organization. With respect to carrying out procedures, the organization ..
1. . treated you in a polite manner.
2. . treated you with dignity.
3. . treated you with respect.
4. . refrained from improper remarks or comments.
Organizational Informational Justice
Please respond to the following items regarding the way procedures are carried out by the
organization. With respect to carrying out procedures, the organization ..
1. . communicated candidly with you.
2. . explained procedures thoroughly.
3. . offered adequate explanations.
4. . communicated details in timely manner.
5. . tailored communications to your specific needs.
Supervisory Distributive Justice
Please respond to the following regarding the outcomes which are controlled by your supervisor.
The outcomes that are controlled by your supervisor..
1. . reflected the effort you have put into your work.
2. . are appropriate for the work you have completed.
3. . reflected what you contributed to the organization.
4. . justified given your performance.
Supervisory Procedural Justice
Please respond to the following questions regarding the procedures used by your supervisor. The
procedures used by your supervisor to make decisions
1. . are applied consistently.

41
2. . are free of bias.
3. . are based on accurate information.
4. . upheld ethical and moral standards.
5. . allow for you to express your views and feelings
6. . allow for you to appeal the outcomes arrived at by those procedures.
Supervisory Interpersonal Justice
Please respond to the following items regarding the interpersonal treatment that you received
from your supervisor. With respect to the interpersonal treatment, supervisor..
1. . treated you in a polite manner.
2. . treated you with dignity.
3. . treated you with respect.
4. . refrained from improper remarks or comments.
Supervisory Informational Justice
Please respond to the following items regarding the information provided to you about the
procedures used by your supervisor. With respect to carrying out procedures,
1. . candid communication was present
2. . through explanation about the procedures was provided.
3. . adequate explanation was offered.
4. . detailed communication in a timely manner was provided.
5. . tailored communication specific to your needs was provided.
______________________________________________________________________________
Trust (Based on Robinson, 1996)
Organizational Trust
1. I believe this organization has high integrity.
2. I can expect this organization to treat me in a consistent and predictable fashion.
3. This organization is not always honest and truthful.
4. In general, I believe this organizations motives and intentions are good.
5. This organization is open and upfront with me.
6. I am not sure I fully trust this organization.
Supervisory Trust
1. I believe my supervisor has high integrity.
2. I can expect my supervisor to treat me in a consistent and predictable fashion.
3. My supervisor is not always honest and truthful.
4. In general, I believe my supervisors motives and intentions are good.
5. My supervisor is open and upfront with me.
6. I am not sure I fully trust my supervisor.
______________________________________________________________________________
Perceived Organizational Support (POS; Based on Eisenberger, Huntington, Hutchison, &
Sowa, 1986)
1. Even if I did the best job possible, the organization would fail to notice.
2. Help is available from the organization when I have a problem.
3. The organization really cares about my well-being.
4. The organization takes pride in my accomplishments at work.
5. The organization cares about my opinions.
6. The organization shows very little concern for me.
7. The organization strongly considers my goals and values.

42
8. The organization is willing to extend itself in order to help me perform my job to the best
of my ability.
______________________________________________________________________________
Leader Member Exchange (Based on Liden & Graen, 1980; Wayne, Shore & Liden, 1997;
Janssen & Yperen, 2004)
1. My supervisor would be personally inclined to help me solve problems in my work.
2. My working relationship with my supervisor is effective.
3. I have enough confidence in my supervisor that I would defend and justify his/her
decisions if he or she were not present to do so.
4. My supervisor considers my suggestions for change.
5. My supervisor understands my problems and needs.
6. My supervisor recognizes my potential.

43
testing were asked to provide feedback on the overall content of survey items in terms of

readability and understandability. Furthermore, participants were also asked if all of the items

were applicable, and if the referent level (e.g., organization vs. supervisor) was clear.

Employees provided written feedback on the margins as well as at the end of the survey.

Although overall feedback was quite positive, some minor changes were made in the survey

items so that the survey could be better understood. For example, items measuring equity-

sensitivity were re-written to further clarify the meaning. Also, instructions were further clarified

to clearly emphasize the supervisor as a referent level. In addition, some items about the

promotion policy were also included in the survey.

Supervisor Survey

The supervisors survey included 10 variables: creativity-relevant behaviors: information-

sharing, risk taking and social loafing and six political tactics including, assertiveness,

ingratiation, rationality, coalition, exchange and upward appeal, and creativity. A full list of

items for each of the measure is given in Table 2. All items were measured on a seven-point

Likert type scale with one being either to a greater extent or strongly agree to seven being

either to a smaller extent or strongly disagree. A sample supervisory survey is included in

Appendix 6.

Information-sharing. There is no established scale for measuring information-sharing

behavior. Anderson and West (1998) developed a reliable and valid scale for measuring team

climate supportive of innovation. One of the factors or dimension of innovation-supportive

climate was team participation, which was designed to tap three dimensions of participation, one

of which was information-sharing. In their study (Anderson & West, 1998), the information-

44
Table 2: Supervisor Survey Measures
______________________________________________________________________________
Information-sharing (Based on Anderson & West, 1996)
The extent to which you agree or disagree that this employee ..
1. shares work-related information with others rather than keeping it to himself or herself.
2. keeps others informed about work-related issues.
3. makes real attempts to share information with others.
4. shares information which he/she things might be helpful to others.
______________________________________________________________________________
Risk-taking (Based on Calantone et al., 2003; Sitkin & Pablo, 1992)
The extent to which you agree or disagree that this employee ..
1. considers failure of some ideas as being normal.
2. offers ideas, knowing that some will fail.
3. suggests drastically new ways of looking at the problem even when he/she is unsure of
the outcome.
4. offers ideas, which if fail, might affect his/her reputation.
______________________________________________________________________________
Social loafing (Based on George, 1992)
The extent to which you agree that this employee.
1. defers responsibility of actively suggesting new ideas.
2. puts forth less effort in brainstorming sessions.
3. avoids offering new ideas or suggestions, knowing that others will.
4. spends less time solving problems, knowing that others will as they require.
______________________________________________________________________________
Political Behaviors (Schiresheim & Hinkin, 1990)
While engaging in activities that are likely to enhance their performance (such as requesting
information helpful to himself/herself and/or gathering support for their ideas), this employee
Assertiveness
1. uses a forceful manner; tries to demanding and sets deadlines.
2. expresses his/her anger verbally.
3. has showdown in which he/she confronts others face-to-face.
Ingratiation
1. make the person feel good about himself/herself before making his/her request.
2. acts very humbly to the person while making his/her request.
3. acts in a friendly manner prior to asking for what he/she want.
Rationality
1. present the person with information in support of his/her point of view.
2. explains the reasons for his/her request.
3. uses logic to convince the person.
Coalitions
1. obtains the support of co-workers to back up his/her request.
2. obtains the support of his/her subordinates to back up his/her request.
3. mobilizes other people in the organization to help him/her in influencing the person.

45
Exchange
1. offers an exchange (e.g. if you do this for me, I will do something for you).
2. reminds the person of past favors that he/she did for them.
3. offers to make a personal sacrifice if the person does what he/she wants (e.g. work late,
work harder, do his/her share of the work, etc.).
Upward Appeal
1. makes a formal appeal to higher levels to back up his/her request.
2. obtains the informal support of higher ups.
3. relies on the chain of command - on people higher up in the organization who have
power over the person.
______________________________________________________________________________
Creativity (Developed on the basis of companys definition of creativity)
In order to bring down the cost of operations this employee
1. .seeks and accepts new challenges.
2. .creates new opportunities.
3. .offers imaginative ideas and solutions to problems.
4. .steps outside the traditional boundaries and constraints.

In order to improve the quality of products and services this employee..


1. .seeks and accepts new challenges.
2. .creates new opportunities.
3. .offers imaginative ideas and solutions to problems.
4. .steps outside the traditional boundaries and constraints.

______________________________________________________________________________

46
sharing scale was a team level construct and measured the extent to which employees perceive

that team members are sharing information with each other. The items from this scale were

adapted to measure individual information-sharing behaviors. The scale measured the extent to

which employees share information with others (sample item: This employee share work-related

information with others rather than keeping it to himself/herself.).

Risk taking. There are no established scales to measure risk-taking behaviors and thus, a

scale was constructed specifically for this study by creating items based on the scale developed

by Calantone et al., (2001) to measure top managements risk taking behaviors. In addition, new

items were developed based on the three dimensions of risk-taking behaviors that are associated

with uncertain, difficult to realize or radical outcomes, as proposed by Sitkin and Pablo (1993).

The scale measured the extent to which employees are willing to engage in risk-taking behaviors

(sample item: This employee considers failure of some ideas as being normal.).

Social loafing. Georges (1992) social loafing scale was adapted and rephrased to reflect

social loafing within the context of creativity. The adapted scale measured the extent to which

employees hold back or slack-off their efforts in relation to creativity (sample item: this

employee defers responsibility of actively suggesting new ideas.)

Political behaviors. Schiresheim and Hinkins (1990) refined version of the Kipnis et al.s

(1980) scale for political behaviors was used to assess the extent to which employees engaged in

political activities/behaviors. The scale measured the extent to which employees engage in one or

more of the six different influence tactics, assertiveness, ingratiation, rationality, coalition,

exchange and upward appeal, to either gather information that may be of use or get ideas

accepted.

47
Creativity. The measure for creativity was developed for this study on the basis of

companys definition of creativity (job description and KPA). This approach to assessing

creativity has been advocated and previously used by researchers such as Amabile (1996) and

West and Anderson (1996). In this company creativity implies ideas, suggestions and/or

solutions to a problem that would either improve the production process thereby reducing the

cost of operations or improving the quality of products and services. Thus, creativity was

measured along two dimensions: cost of operations and improvement in the quality of products

and services (sample item: In order to bring down the cost of operations (or improve the quality

of products and services), this employee seeks and accepts new challenges.).

Pilot testing. Like employees survey, the supervisors survey was pilot tested before

being distributed to study participants. As in case of employees survey, given that most of the

measures were based on past research, it was considered more important to focus on the

readability and/or understandability of survey items. Moreover, it was not possible to pilot test

the survey on large enough sample to run statistical reliability and other tests, given that total

participants for the final study was only 61. As such, six supervisors were asked to provide

feedback on the overall content of survey items in terms of their readability, applicability, and/or

understandability. Overall the feedback was quite positive with extremely minor changes.

Data Analysis

Before doing any statistical analyses, the data were tested for accuracy by verifying

descriptives, minimum and maximum range and randomly testing cases for the accuracy of data

entry. EQS verion 6.0 was used for model estimation and hypotheses testing. This section

discusses the issues involved in the use of EQS for model estimation and hypotheses testing.

48
Model Estimation and Hypotheses Testing

The full social exchange model of creativity was tested using EQS 6.0 structural equation

modeling software. First, a confirmatory factor analysis for all the variables was performed to

test whether the measured variables loaded as expected. Separate confirmatory factor analyses

were run on the employees and supervisors data. For employees data, separate confirmatory

factor analyses were performed for all the variables measured at the organizational and

supervisory level. In addition, separate confirmatory factor analyses were performed for each

construct at both the organizational and supervisor level.

Based on the confirmatory factor analyses results, single indicators were formed for all

the variables shown in the model expect for organizational and supervisor fairness, in which case

single factors were formed for each type of fairness. For each single indicator, the path from the

latent factor to the indicator was set equal to one, and the error variance was set equal to the

variance of the scale multiplied by one minus the reliability of the scale (e.g., Hayduk, 1987).

Due to the large sample size requirements, it was not possible to run the full information model

and hence, single indicator variables were used to test the hypothesized model.

The model was estimated using maximum likelihood estimation. Although several fit

indices are reported in result outputs of EQS run, two fit indices are considered particularly

important (e.g., Hoyle & Panter, 1995), and hence, will be reported and used to interpret the

results in this study. The two fit indices are the nonnormed fit index (NNFI) and comparative fit

index (CFI); the NNFI and CFI estimates of .90 or higher are generally considered as adequate

fit to the data (e.g., Bollen, 1989), though recently, some researchers such as (Bentler & Hu,

1995) recommend estimates of .95 or higher to have good fit to the data. In addition, the root

mean square error value (RMSEA; MacCallum, Browne, & Sugawara, 1996) will also be

49
reported as it indicates the extent to which the residuals in the model differ from zero; the higher

the RMSEA value, poorer the model fit. The RMSEA value greater than .10 indicates a poorer

fit. Although chi square value is reported, it is not used as much in interpreting results because of

its sensitivity to the sample size (e.g., Bollen, 1989). Once fit indices indicate an acceptable

model fit, individual path coefficients are examined to test for individual hypotheses as put forth

in chapter 3.

Summary

This chapter summarized the methodological issues involved and steps taken to test the

social exchange model of creativity. The next chapter discusses the results.

50
Chapter 5: RESULTS

This chapter begins with a discussion of confirmatory factor analyses and the

identification of variables to be included in the structural equation model. Test results for the

originally hypothesized model are reported, along with those of several alternative exploratory

models. Tests of hypotheses are reported for both the originally hypothesized model as well as

the final exploratory model.

Confirmatory Factor Analysis

Initial confirmatory factor analyses were run to confirm the factor structure of all the

variables in the social exchange model of creativity. For all confirmatory analyses, the error

terms for all the reverse coded items in a factor structure were allowed to covary a priori.

Separate factor analyses were run on employees and supervisors data, results of which are

reported in the following sections.

Employees Data

Employees data included 65 items that were expected to form twelve factors. The first

step involved testing for internal validity for all of the variables, and therefore, a series of

confirmatory factor analyses were run to test whether the items were internally consistent and

formed the expected factor structure. The results revealed adequate to good fit for all models and

supported the a priori factor structure for organizational justice, supervisory justice,

organizational trust, supervisory trust, perceived organizational support and leader member

exchange. The results for these four confirmatory factor analyses were as follows: (1)

organizational justice: 2 (166, N = 205) = 383.47, NNFI = .92, CFI = .93, RMSEA = .09, (2)

supervisory justice: 2 (166, N = 205) = 377.30, NNFI = .93, CFI = .94, RMSEA = .11, (3)

organizational trust and supervisory trust: 2 (50, N = 205) = 172.94, NNFI = .88, CFI = .91,

51
RMSEA = .12, and (4) perceived organizational support and leader member exchange: 2 (88, N

= 205) = 193.683, NNFI = .94, CFI = .95, RMSEA = .81. Also, for results see Figure 3 though 6.

The second step involved testing for discriminant or external validity by running

confirmatory factor analyses on all of the items. The full model would have required 195

parameters to be estimated. The final sample size of 205 (of 223 employee surveys returned,

only 205 were usable, having the corresponding supervisory survey data),was significantly short

of the recommended five to one parameter ratio (Bentler & Byrne, 1995); thus, it was not

possible to run full confirmatory factor analyses. Therefore, the confirmatory factor analyses

were broken down into two separate analyses based on the level (i.e., organization and

supervisor).

Although this approach reduced the number of parameters to be estimated to 47, it still

did not meet the recommended 5:1 ratio. To overcome the sample size restrictions, parcels were

formed by combining randomly selected items from the measures of each variable. Given that all

the measures were well established and their factor structure had already been tested, this

approach to parceling was considered appropriate (Bentler & Byrne, 1995). Parcels were formed

for all the variables except interpersonal justice since it only had four items. The parcels are

shown in Table 3.

The results of the confirmatory factor analyses for both the organizational and

supervisory levels revealed good fit for the measurement model. For the organizational level, 2

(75, N = 205) = 205.32, NNFI = .93, CFI = .95, RMSEA = .10. For the supervisory level, 2 (75,

N = 205) = 142.60, NNFI = .97, CFI = .98, RMSEA = .07. The results are also shown in Figure 7

and 8. Based on these results, as well that of the confirmatory factor analyses run on individual

factors, the multiple indicators were combined into single variables to be included in the final

52
Figure 3: CFA Results on Organizational Justice
.49 ODJ 1
.87

.41 ODJ 2 .91 Organizational


.92 Distributive Justice
.40 ODJ 3
.87

.49 ODJ 4

.52 OPJ 1

.86
.59 OPJ 2
.81

.47 OPJ 3 .88 Organizational


.86 Procedural Justice
.51 OPJ 4
.82
.69 .92
.73 OPJ 5 .65

.76 OPJ 6 .59


Organizationa
.81
l Justice
OPJ 7

.85
.46 OIJ 1
.89 .92
Organizational
.37 OIJ 2 .93
Interpersonal
.88

.47 OIJ 3

.69 OIJ 5

.73
.49 OIJ 6
.87
Organizational
.90
.43 OIJ 7 Informational
.87

.49 OIJ 8
.79

.61 OIJ 9

2 (166, N = 205) = 383.47, NNFI = .92, CFI = .93, RMSEA = .09;


Standardized solution shown.

53
Figure 4: CFA Results on Supervisory Justice
.50 SDJ 1
.86

.40 SDJ 2 .92 Supervisory


.90 Distributive Justice
.44 SDJ 3
.87

.49 SDJ 4

.62 SPJ 1

.78
.49 SPJ 2
.87

.47 SPJ 3 .88 Supervisory


.82 Procedural Justice .86
.57 SPJ 4
.78 .96
.63 SPJ 5 .81

.59 SPJ 6 .72


Supervisory
Justice
.69 SPJ 7

.46 SIJ 1
.83
.89 .88
Supervisory
.48 SIJ 2 .88
Interpersonal Justice
.91

.41 SIJ 3

.62 SIJ 5

.79
.49 SIJ 6
.87
Supervisory
.92
.40 SIJ 7
Informational Justice
.90

.44 SIJ 8
.74

.67 SIJ 9

2 (166, N = 205) = 377.30, NNFI = .93, CFI = .94, RMSEA = .11;


Standardized solution shown.

54
Figure 5: CFA Results on Organizational and Supervisory Trust

.58 Otrust 1

.81
.78 Otrust 2
.63

.73 ROtrust 3 .69 Organizational


.73 Trust
.68 Otrust 4
.81

.59 Otrust 5 .61

.79 ROtrust 6

.53 Strust 1

.85
.66 Strust 2
.75

.81 RStrust 3 .59 Supervisory


.84 Trust
.54 Strust 4
.87

.49 Strust 5 .62

.78 RStrust 6

2 (50, N = 205) = 172.94, NNFI = .88, CFI = .91, RMSEA = .12 Standardized solution shown;
All factors allowed to covary (not shown).

55
Figure 6: CFA Results on POS and LMX

.85 SRPOS 1

.64 POS 2
.52

.49 POS 3 .77

.87
.52 POS 4
.85 Perceived
.59 POS 5 .80 Organizational Support
.53
.84 RPOS 6
.82

.57 POS 7 .73

.69 POS 8

.68 LMX 1

.73
.64 LMX 2
.76

.57 LMX 3 .82


Leader-Member
.54 LMX 4 .84 Exchange
.88
.47 LMX 5
.85

.53 LMX 6
.85

.53 LMX 7

2 (88, N = 205) = 193.683, NNFI = .94, CFI = .95, RMSEA = .81


Standardized solution shown; All factors allowed to covary (not shown).

56
Table 3: Parcels of Variables Used in CFA of Employee Data

Variable Parcel Label Items Mean (sd)


Organizational Distributive Justice PODJ 1 ODJ 1, 3 4.27 (1.70)
PODJ 2 ODJ 2, 4 4.32 (1.60)
Organizational Procedural Justice POPJ 1 OPJ 1, 3 4.15 (1.63)
POPJ 2 OPJ 2, 4, 6 4.0 ( 1.42)
POPJ 3 OPJ 5, 7 3.82 (1.52)
Organizational Informational Justice POIFJ 1 OIPJ 5, 7 4.18 (1.51)
POIFJ 2 OIPJ 6, 8, 9 4.19 (1.50)
Supervisory Distributive Justice PSDJ 1 SDJ 1, 3 4.78 (1.45)
PSDJ 2 SDJ 2, 4 4.77 (1.45)
Supervisory Procedural Justice PSPJ 1 SPJ 1, 3 4.87 (1.42)
PSPJ 2 SPJ 2, 4, 6 4.68 (1.34)
PSPJ 3 SPJ 5, 7 4.77 (1.33)
Supervisory Informational Justice PSIFJ 1 SIPJ 5, 7 4.96 (1.37)
PSIFJ 2 SIPJ 6, 8, 9 4.78 (1.40)
Organizational Trust POtrust 1 Otrust 1, 2, 3 4.68 (1.33)
POtrust 2 Otrust 4, 5, 6 4.61 ( 1.30)
Supervisory Trust PStrust 1 Strust 1, 2, 3 4.97 (1.30)
PStrust 2 Strust 4, 5, 6 5.10 (1.34)
Perceived Organizational Support PPOS 1 POS 1, 2, 3 4.18 (1.47)
PPOS 2 POS 4, 5, 6 4.36 (1.34)
PPOS 3 POS 7, 8 4.36 (1.50)
Leader Member Exchange PLMX 1 LMX 1, 3 ,5 5.15 (1.30)
PLMX 2 LMX 2, 4 5.48 (1.15)
PLMX 3 LMX 6, 7 5.15 (1.42)
N = 205

57
Figure 7: CFA Results on Organizational level variables

.35 PODJ1
.94
Organizational
.37 PODJ2
.93 Distributive Justice

.40 POPJ1
.92
Organizational
.31 POPJ2 .95
Procedural Justice
.73
.69 POPJ3

.47 OIPJ1
.88
.40 OIPJ2 .92 Organizational
Interpersonal Justice
.87
.49 OIPJ3

.38 POIFJ1
.93
Organizational
.92 Informational Justice
.39 POIFJ2

.44 POtrust1
.90
Organizational Trust
.98
.47 POtrust

.49 PPOS1
.87
Perceived
.42 PPOS2
.91 Organizational Support
.82

.56 PPOS3

2 (75, N = 205) = 205.32, NNFI = .93, CFI = .95, RMSEA = .10


Standardized solution shown; All factors allowed to covary (not shown).

58
Figure 8: CFA Results on Supervisory level variables
.41 PSDJ1
.91
Supervisory
.31 PSDJ2
.95 Distributive Justice

.46 PSPJ1
.89
Supervisory
.22 PSPJ2 .97
Procedural Justice
.81
.57 PSPJ3

.47 SIPJ1
.88
.46 SIPJ2 .89 Supervisory
.92
Interpersonal Justice
.39 SIPJ3

.37 PSIFJ1
.93
Supervisory
.92 Informational
.39 PSIFJ2

.46 PStrust1
.90
Supervisory Trust
.93
.36 PStrust1

.31 PLMX1
.95
Leader Member
.45 PLMX2 .90 Exchange
.89
.46 PLMX3

2 (75, N = 205) = 142.60, NNFI = .97, CFI = .98, RMSEA = .07


Standardized solution shown; All factors allowed to covary (not shown).

59
structure model. The alpha reliabilities for all the variables from employees survey were in the

acceptable range of above 0.70 (Nunnally & Bernstein, 1977), and ranged from 0.86 to 0.94;

alpha reliabilities for all the variables are reported in Table 4.

Table 4: Variables Created for Structural Modeling (Employee Survey)

Variable # Items Alpha


Organizational Distributive Justice 4 0.94
Organizational Procedural Justice 7 0.91
Organizational Interpersonal Justice 3 0.92
Organizational Informational Justice 5 0.92
Organizational Trust 6 0.86
Perceived Organizational Support 8 0.91
Supervisory Distributive Justice 4 0.94
Supervisory Procedural Justice 7 0.93
Supervisory Interpersonal Justice 3 0.92
Supervisory Informational Justice 5 0.92
Supervisory Trust 6 0.90
Leader Member Exchange 7 0.94

Supervisors Data

Supervisor data included 38 items comprising ten a priori factors: information sharing,

risk taking, social loafing, assertiveness, ingratiation, rationality, coalition, upward appeal, and

creativity. Since there were no well established scales for measuring information sharing, risk

taking, and creativity, the scales for these measures had to be constructed for this study. Even

though the constructed measures were grounded in theoretical and empirical research in the field

or were adapted from similar existing scales, internal validity was still a concern. Therefore,

unlike employees data, it was decided to run confirmatory factor analyses on all the items at one

time.

However, it was not possible to run one confirmatory factor analyses because such a

model would have required 141 parameters to be estimated. This would have severely stretched

60
the sample size. As such, two confirmatory factor analyses were run; one for information-

sharing, risk taking, social loafing, and creativity and the other for all of the six political tactics.

First, a confirmatory factor analysis was conducted on information sharing, risk taking, social

loafing and creativity. Initial analyses for creativity revealed that the two types of creativity,

reducing the cost of operations and improving the quality of product and services, were highly

correlated (r = 0.97), indicating that the two types are not distinct as was projected by the

organization. As such, the two types of creativity were collapsed to form one variable termed

creativity.

A full confirmatory factor analyses was run on all the items for information sharing, risk

taking, social loafing and creativity. Initial results revealed a marginal model fit. Based on these

initial results, two items (Risk taking # 1 and Information sharing # 2) seemed to cross load on to

other factors. These relationships did not make sense either theoretically or substantively.

Therefore, adding parameters for the sake of improving model fit did not seem warranted, and

the items were dropped from the model in order to achieve a clean factor structure. Once these

two items were dropped, the fit indices revealed acceptable model fit: 2 (120, N = 205) =

285.626, NNFI = .90, CFI = .92, RMSEA = .08. See Table 3 for summary results; results for the

final model are also shown pictorially in Figure 10.

Table 5: Summary of CFA Model Results for Supervisors Data (Information sharing, Risk
taking, Social loafing, and Creativity)
Model Item(s) Deleted 2 NNFI CFI RMSEA
Baseline ------ 439.756, df = 155 0.85 0.88 0.10
1 Risk taking 1 358.632, df = 136 0.87 0.90 0.09
Final Information sharing 2 285.626, df = 120 0.90 0.92 0.08
N = 205

Second confirmatory factor analysis was conducted on all the items for political tactics.

The originally hypothesized model did not converge, and hence, the results could not be

61
Figure 9: CFA Results on supervisor-provided data

.64 RSKS 2
.77
.74
Risk Taking
.68 RSKS 3
.50
.87 RSKS 4

.70 INFSH 1
.71

.51 INFSH 3 .86 Information-Sharing


.89
.45 INFSH 4

.73 SCLF 1
.68
.87 SCLF 2 .49
Social Loafing
.58
.81 SCLF 3
.98

.25 SCLF 4

.73 CREAT 1

.66 CREAT 2
.68

.52 CREAT 3 .76

.86
.75 CREAT 4
.67
Creativity
.58 CREAT 5 .81

.80
.60 CREAT 6
.88

.48 CREAT 7

.75 CREAT 8

2 (120, N = 205) = 285.63, NNFI = .90, CFI = .92, RMSEA = .08


Standardized solution shown; All factors allowed to covary (not shown).

62
interpreted. As a next step, exploratory factor analysis using varimax rotation for political

behaviors was run to identify any specific items that were crossloading on other factors. The

results showed that three items in particular, assertiveness # 1, exchange # 3, and upward appeal

# 3, were not loading as hypothesized and crossloading onto other factors. Therefore, it was

decided to drop these items from the model. Although the model fit is still not adequate, it was

decided to make no more modifications to this model mainly because the LM tests revealed no

specific path or item that was specifically contributing to the model misfit. Moreover, given that

the measures have been widely used and are considered reliable and valid (e.g., Kipnis et al.,

1980), it did not seem justified to alter the factor structure based on the results from this one

sample. Therefore, the existing factor structure was kept despite the poor model fit. See Table 4

for summary results. Results for the final model are also shown pictorially in Figure 8.

Table 6: Summary of CFA Model Results for Political Behaviors

Model Item(s) Deleted 2 NNFI CFI RMSEA


Baseline ----- Condition code on assertiveness, model did not converge, and
hence, results could not interpreted
1 Assertiveness 1 403.01, df = 104 0.67 0.75 0.13
2 Exchange 3 312.85, df = 89 0.72 0.80 0.12
Final Upward 3 279.00, df = 75 0.73 0.81 0.12
N = 205

Final Set of Variables to be included in the Structural Model

Based on the results of the confirmatory factor analyses, 10 supervisor-provided and 12

employee-provided variables were formed to be included in the structural model. The

supervisory variables are reported in Table 7, along with the number of items per scale and alpha

reliability. Except for assertiveness, rationality and upward appeal, the alpha reliabilities are in

the acceptable range (Nunnally & Bernstein, 1977). The poor reliabilities for these variables are

63
probably because of the political behavior factor structure not holding together as expected.

Table 8 reports the means, standard deviations, and correlations between these variables.

Table 7: Variables Created for Structural Modeling (Supervisor Survey)

Variable # Items Alpha


Information-Sharing 4 0.85
Risk-Taking 4 0.72
Social Loafing 4 0.77
Assertiveness 2 0.65
Ingratiation 3 0.74
Rationality 3 0.63
Coalition 3 0.80
Exchange 2 0.80
Upward Appeal 2 0.68
Creativity 8 0.80
N = 205

64
Figure 10: CFA Results on supervisor-provided data (political behaviors)
.75 ASR 2
.66

.80 Assertiveness
.61 ASR 3

.74 INGR 1
.67

.74 INGR 2 .67 Ingratiation


.79
.61 INGR 3

.77 RAT 1
.64

.58 RAT 2 .81 Rationality


.62
.79 RAT 3

.66 INGR 1
.75

.51 INGR 2 .86 Coalition


.69
.73 INGR 3

.51 EXC 1
.86

Exchange
.61 EXC 2 .79

.66 UPW 1
.75

.76 UPW 2 .66 Upward Appeal

2 (75, N = 205) = 287.74, NNFI = .73, CFI = .81, RMSEA = .11


Standardized solution shown; All factors allowed to covary (not shown).

65
Table 8: Correlation Matrix

M SD 1 2 3 4 5
1. Organizational Distributive 4.29 1.60
Justicea
2. Organizational Procedural 3.98 1.37 .75**
Justicea
3. Organizational Interpersonal 4.61 1.57 .64** .70**
Justicea
4. Organizational Informational 4.17 1.44 .68** .80** .77**
Justicea
5. Supervisory Distributive 4.78 1.43 .53** .58** .55** .61**
Justicea
6. Supervisory Procedural Justicea 4.76 1.28 .55** .59** .55** .58** .78**

7. Supervisory Interpersonal 5.25 1.27 .37** .44** .45** .43** .59**


Justicea
8. Supervisory Informational 4.86 1.34 .45** .52** .46** .55** .71**
Justicea
9. Organizational Trusta 4.63 1.24 .64** .71** .66** .72** .56**
10. Supervisory Trusta 5.03 1.27 .52** .53** .49** .54** .72**
11. Perceived Organizational 4.30 1.30 .65** .76** .68** .79** .64**
Supporta
12. Leader Member Exchangea 5.24 1.22 .42** .49** .52** .49** .72**
13. Information sharingb 5.32 1.01 -.03 -.06 -.12 -.12 .16*
14. Risk takingb 4.45 1.07 -.05 -.03 -.09 -.09 .02
15. Social loafingb 3.21 1.05 -.03 -.08 .09 .01 -
.18**
16. Assertivenessb 3.64 1.41 .01 .04 -.07 .04 -.03
17. Ingratiationb 5.19 1.02 .12 .08 .05 .12 .17*
18. Rationalityb 5.29 0.92 .05 -.04 .08 .02 .15*
19. Coalition buildingb 4.53 1.29 .07 .05 .03 .02 .12
20. Exchangeb 3.24 1.50 .04 .08 .12 .13 .07
21. Upward Appealb 4.50 1.29 .09 .12 .04 .12 .05
22. Creativityb 4.98 1.06 .03 .07 .04 .03 .23**

N = 205
a
indicates variables measured on Employee Survey
b
indicates variables measured on Supervisor Survey
* = p < 0.05; ** = p < 0.01

66
6 7 8 9 10 11 12
7. Supervisory .76**
Interpersonal
Justicea
8. Supervisory .78** .72**
Informational
Justicea
9. Organizational .50** .45** .50**
a
Trust
10. Supervisory .71** .71** .73** .61**
a
Trust
11. Perceived .54** .44** .52** .85** .60**
Organizational
Supporta
12. Leader .76** .76** .76* .56** .86* .57**
Member
Exchangea
13. Information .03 .07 .06 -.02 .05 .02 .12
sharingb
14. Risk takingb -.05 -.03 -.04 .07 .04 .04 .03
b
15. Social loafing -.21** -.20** -.20** .06 -.19** -.04 -.18*
b
16. Assertiveness -.01 .02 -.04 -.03 -.05 .02 .07
b
17. Ingratiation .12 .12 .18* .02 .04 .10 .09
b
18. Rationality .10 .17* .10 .05 .08 .03 .15*
19. Coalition .09 .13 .08 .20** .13 .13 .20**
buildingb
20. Exchangeb .04 -.01 .02 .18* .03 .14* .05
21. Upward .05 .03 .02 .17* .05 .15* .07
Appealb
22. Creativityb .19** .16* .18* .02 .17* .02 .20**
N = 205
a
indicates variables measured on Employee Survey
b
indicates variables measured on Supervisor Survey
* = p < 0.05; ** = p < 0.01

67
13 14 15 16 17 18 19
b
14. Risk taking .34**
15. Social loafingb -.31** .09
16. Assertivenessb -.08 .04 .32**
17. Ingratiationb .27** .01 -.22** -.12
18. Rationalityb .48** .06 -.35** -.05 .43**
19. Coalition .35** .25** .04 .13 .30** .47**
buildingb
20. Exchangeb .01 .17* .32** .39** .12 .10 .47**
21. Upward Appealb .16* .44** -.08 .24** .11 .09 .51**
22. Creativityb .54** .25** -.47** -.09 .22** .38** .27**
20 21
21. Upward Appealb .45**
22. Creativityb .01 -.02
N = 205
a
indicates variables measured on Employee Survey
b
indicates variables measured on Supervisor Survey
* = p < 0.05; ** = p < 0.01

68
Structural Equation Modeling Results

The full structural model was tested using EQS 6.0. The model consisted of 22 variables.

Based on the confirmatory factor analyses, the items comprising each variable were combined to

form a single indicator of that variable. Given that all of the 22 variables were represented by a

single indicator, it was important to incorporate measurement error into model in order to assess

pure relationships (Anderson & Gerbing, 1988). To incorporate measurement error, the paths

between each indicator and the corresponding variable were fixed to one and the error variances

were fixed to the value equal to one minus reliabilities multiplied by variance (e.g., Hayduk,

1987). These values are indicated in table 9.

Table 9: Fixed Values in Structural Models

Measured Variable Factor to Variable Error Variance


Patha Valueb
Organizational Distributive Justice 1.00 .15
Organizational Procedural Justice 1.00 .17
Organizational Interpersonal Justice 1.00 .19
Organizational Informational Justice 1.00 .16
Supervisory Distributive Justice 1.00 .12
Supervisory Procedural Justice 1.00 .12
Supervisory Interpersonal Justice 1.00 .12
Supervisory Informational Justice 1.00 .15
Organizational Trust 1.00 .22
Supervisory Trust 1.00 .16
Perceived Organizational Support 1.00 .15
Leader Member Exchange 1.00 .09
Information sharing 1.00 .18
Risk taking 1.00 .41
Social loafing 1.00 .26
Assertiveness 1.00 .69
Ingratiation 1.00 .28
Rationality 1.00 .32
Coalition building 1.00 .34
Exchange 1.00 .46
Upward Appeal 1.00 .50
Creativity 1.00 .09
a
all fixed to value of 1.00 (Hayduk, 1987)
b
= ( 1- alpha reliability) * variance of scale, N = 205

69
Testing the Hypothesized Model
The hypothesized model developed in chapter 3 was tested. As discussed in chapter 3, all

four forms of fairness both at the organizational and supervisor level are tested. Similarly, for

political tactics, the relationships with all the six types of political tactics, (assertiveness,

ingratiation, rationality, coalition, exchange and upward appeal) were examined. In addition to

the relationships hypothesized in the chapter 3, two additional set of paths were estimated. The

four types of fairness for each source (i.e., organization and supervisor) were allowed to covary a

priori. Past research on justice has shown that even though the four types of fairness are distinct

concepts, they tend to be correlated (e.g., Colquitt, 2001). The results revealed a poor fit

between the hypothesized model and data collected: 2 (182, N =205) = 638.221, NNFI =.72, CFI

= .78, RMSEA = .14 (see Figure 11).

Bagozzi and Baumgartner (1994) do not recommended interpreting results for individual

hypotheses from a model that has poor fit indices because in such a model there is a possibility of

certain relationships being enhanced or suppressed. To test paths for individual hypotheses, it was

necessary to improve the model fit. In order to improve the model fit, exploratory analyses were

done. The results of the LM tests and evidence from the past research and theory were used to

identify those paths that were contributing to model misfit. In the following section, the steps

involved in the exploratory analyses are discussed, and results are reported and compared for the

originally hypothesized and final exploratory model.

Exploratory Analyses

Given that LM test results are based purely on statistical analyses, only those paths that

seemed logical on the basis of past theory and research were included in the respecified models.

Before moving further, at this point, it is important to emphasize that caution should be exerted when

interpreting the results of exploratory analyses because these results are primarily data driven and

should be replicated in future research before firm conclusions are drawn (MacCallum, 1986).

70
Figure 11: Hypothesized Social Exchange Model INFSH

ODJ -.14
.17 .22
.49
RSKS
OTRUST
OPJ .28* .26*
-.09
.99 -.12
-.09 .12 SCLF
OIPJ .56* POS -.39*
-.52*
.04 ASRT
OIFJ .04
-.19
.10
INGR -.01
.02 Creativity

SDJ -.03
.06
.12 RAT .07
.28* LMX .14*
SPJ .21
-.17*
.14
.05 COA
.96
SIPJ .21 STRUST .31*
-.15
EXC
.34 .33
SIFJ -.13

2 (182, N =205) = 638.221, NNFI =.72, CFI = .78, RMSEA = .14 UPW

71
Exploratory Model 1. As a first step, based on the model results, three political behaviors,

(assertiveness, ingratiation, and rationality) that showed insignificant paths were dropped from

the model. The LM test results seemed to indicate that assertiveness and rationality were cross

loading with other behaviors in the model. It may be recalled that the confirmatory factor

analysis also revealed somewhat similar results in that these three variables were not holding

together as expected. In addition, poor reliabilities for assertiveness and rationality (0.64 and

0.63 respectively) further point toward measurement problems. Thus, it was decided to drop

these three variables.

The three remaining political behaviors, coalition building, exchange of benefits and

upward appeal, seem conceptually similar in that all the three are aimed at enhancing

collaboration with others (e.g., peers and supervisor) and involve active participation from

others. In contrast, assertiveness, ingratiation, and rational persuasion do not seem to have any

such common ground. Thus, both for statistical as well as theoretical reasons, assertiveness,

ingratiation, and rational persuasion were dropped from the model. The resulting model revealed

a significant improvement in the model fit, yet the overall fit indices still showed a relatively

poor fit to the data collected: 2 (131, N = 205) = 434.240, NNFI = .79, CFI = .84, RMSEA =

.13, 2 = 203.981, df = 41.

Exploratory Model 2. Even though the exploratory model 1 showed significant

improvement over the hypothesized model, the model itself did not fit adequately to the data

collected. As a second step to further improve the model fit, the covariance between the

disturbance terms for the following variables were freed: (1) information sharing and risk taking,

(2) coalition and exchange, (3) coalition and upward appeal, and (4) upward appeal and

72
exchange. The error terms of these variables were estimated on the basis of past research as well

LM test results.

In terms of information sharing and risk taking, a possible explanation for the correlation

could be creative personality traits such as divergent thinking and openness to experience (e.g.,

Feist, 1999) For example, a creative individual who is open to experience and engages in

divergent thinking is more likely to be open to feedback to learn and better understand the

problem as well as to explore risky and untried solutions to a problem. Therefore, creative

individuals are likely to take risk and share information with the purpose of seeking feedback, as

well as engage in risk taking behaviors. Yet another reason for these behaviors to covary could

be the companys work culture; employees in this company often work collaboratively in quality

circles to solve problems. The purpose of these quality circles is to provide employees with a

group where they can share information and ideas (however risky they might be). Given that

similar practices are observed throughout the organization, it is possible that such a culture

within the company may be causing employees behaviors such as information-sharing and risk-

taking.

In terms of the three remaining political tactics, individual characteristics such as being

socially adept, ambitious, and self-confident have been directly associated with the use of

political tactics by employees (e.g., Madison, Allen, Porter, Renwick, & Mayes, 1980). For

example, it is possible that employees who are self-confident are more likely than others to

engage in political tactics. Furthermore, the use of political tactics by employees is guided by the

organizations political norms (e.g., Allen & Porter, 1983). It is possible that the organizations

political norms are supportive of activities such as coalition building, exchange of benefits and

upward appeals, and thus, their use might be correlated. For these reasons, it was decided to

73
estimate covariance between the disturbances terms amongst the three political behaviors,

coalition, exchange and upward appeal. The resulting model revealed a significant improvement

over the previous model, yet the fit indices did not show an entirely adequate fit with the data

with NNFI being below the acceptable range: 2 (127, N =205) = 323.604, NNFI =.86, CFI = .90,

RMSEA = .107, 2 = 108.636, df = 4.

Exploratory Model 3. In this model, three additional paths were estimated, (1)

supervisory trust to organizational trust, (2) supervisory informational justice to leader member

exchange, and (3) organizational informational justice to perceived organizational support. Based

on the recommendations of LM test results, estimating these three paths could result in

significant improvement in the model fit. Moreover, these paths seemed in accordance with

theoretical and empirical research.

It seems logical that employees may utilize information about the supervisors

trustworthiness to infer the organizations trustworthiness. An analogy may be drawn from the

recruitment and selection literature, which shows that job applicants perceptions of recruiter

personality and mannerisms affect their evaluation of the company (e.g., Schmitt & Coyle, 1976;

Rynes, 1991). Yet another explanation can be offered on the basis of past research in decision

making (e.g., Kahneman & Tversky, 1982). It is also possible that the determination of

organizational trustworthiness may be a difficult and complex decision, and therefore, employees

might use information about supervisory trust as a proxy for inferring organizational

trustworthiness. Thus, the path from supervisory trust to organizational trust seems logical and is

estimated.

In addition, the paths between supervisory informational justice and leader member

exchange, and organizational informational justice and perceived organizational support were

74
also freed. Research on organizational justice has shown that employees perceptions of fairness

about a source form a basis for the social exchange relationship with that source, and hence, a

direct relationship between employees fairness perceptions and social exchange relationship

with that source (e.g., Rupp & Cropanzano, 2001). The LM test results suggest that

informational justice, both at the organizational and supervisory level, seems to be directly

impacting employees quality of exchange relationship with the organization and supervisor

respectively. Thus, the paths from organizational informational justice to POS and supervisory

informational justice to LMX were estimated. The results showed a significant improvement in

the model fit over the previous model: 2 (124, N = 205) = 291.414, NNFI =.88, CFI = .91,

RMSEA = .100, 2 = 32.91, df = 3.

Exploratory Model 4. A final model was run, in which risk taking and coalition building,

and any other paths that were insignificant at p < .10 level were dropped from the model. The

results revealed a significant improvement over the previous model while maintaining the

significance in terms of both the magnitude and strength of previously significant relationships.

The results revealed acceptable model fit to the data collected: 2 (104, N = 205) = 223.516,

NNFI =.91, CFI = .93, RMSEA = .095, 2 = 67.89, df = 20. Therefore, this model is

preferred because it is parsimonious explanation for the observed effect. The final model is

shown in the Figure 12. A summary of all exploratory structural equation modeling results is

provided in Table 10.

75
ODJ
Figure 12: Final Exploratory Model
INFSH

OPJ
-.15
.47* Otrust
.79* POS
.51*
OIPJ
.16 SCLF
.33*
.23* -.42*
OIFJ .17
CREAT

EXC .19
SDJ .28*
.23*
-.32*
.40* -.16
SPJ

Strust LMX
.68*
SIPJ .29*

.26 .32* UPW

SIFJ
2 (104, N = 205) = 223.516, NNFI =.91, CFI = .93, RMSEA = .095.

76
Table 10: Summary of Exploratory SEM Results

Model Change 2 2 NNFI CFI RMSEA


d.f d.f
Originally n.a. 638.221** n.a .72 .78 .143
Hypothesized 182
Model
Exploratory Dropped Assertiveness, 434.240** 203.981** .79 .84 .13
Model 1 Ingratiation, and 131 51
Rationality
Exploratory INFSH RSKS 323.604** 108.636** .86 .90 .107
Model 2 COA EXC 127 4
COA UPW
UPW EXC

Exploratory OIIFJ POS 291.414** 32.91** .88 .91 .100


Model 3 SIFJ LMX 124 3
STRUST OTRUST
Exploratory Dropped Risk taking, 223.516** 67.89** .91 .93 .095
Model 4 Coalition building and 104 20
any other insignificant
path at p< 0.10 level.

N = 205
* = p < .05, ** = p < .001
______________________________________________________________________________

Test of Individual Hypotheses

The test results of individual hypothesis paths are reported for both the initially

hypothesized model and final exploratory model. A summary of the standardized estimates of all

paths for the hypothesized and final exploratory model are reported in Table 11.

Hypotheses 1a and 1b. The first set of hypotheses predicted the relationship between all

four types of fairness at the organizational level and organizational trust. It may be recalled that

in the hypothesized model, hypothesis 1 specified the relationship between all four types of

fairness and organizational trust. For the purposes of clarity and interpretation, numbers have

been allotted for each type of fairness: 1 = distributive justice, 2 = procedural justice, 3 =

interpersonal justice, 4 = informational justice. At the organizational level, procedural justice

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(H1a2) and informational justice (H1a4) are significantly related to organizational trust whereas

distributive (H1a1) and interpersonal justice (H1a3) are not significantly related to organizational

trust. At the supervisory level, distributive justice (H1b1) and interpersonal justice (H1b3) are

significantly, and informational (H1b4) is marginally, related to supervisory trust. Supervisory

procedural justice (H1b2) is not significantly related to supervisory trust. In addition, the four

types of fairness for each source (organization and supervisor) were allowed to covary in all

models; all covariances were significant (see Table 11 for standardized estimates).

Hypotheses 2a and 2b. The second set of hypotheses predicted the relationship between

organizational trust and POS (H2a), and supervisory trust and LMX (H2b). Both these

relationships were found significant.

Hypotheses 3a, 3b, 3c, 3d. The third set of hypotheses predicted relationship between

POS and employees creativity-relevant behaviors: such as information sharing (H3a), risk

taking (H3b), social loafing (H3c), assertiveness (H3d1), ingratiation (H3d2), rationality (H3d3),

coalition (H3d4), exchange (H3d5), and upward appeal (H3d6). Again, for the purpose of clarity

and interpretation, numbers have been allotted to all of the six political behaviors: assertiveness

(1), ingratiation (2), rationality (3), coalition (4), exchange (5), and upward appeal (6). POS was

found to be only marginally significantly related to upward appeal (H3d5) and exchange (H3d6)

and it was found to be marginally related to information sharing (H3a) but not in the predicted

direction. POS was not found to be significantly related to risk taking (H3b), social loafing

(H3c), assertiveness (H3d1), ingratiation (H3d2), rationality (H3d3) and coalition (H3d4).

Hypotheses 4a, 4b, 4c, 4d. The fourth set of hypotheses predicted relationship between

LMX and employees creativity relevant behaviors such as information sharing (H4a), risk

taking (H4b), social loafing (H4c), assertiveness (H4d1), ingratiation (H4d2), rationality (H4d3),

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Table 11: Comparison of Standardized Estimates Between Hypothesized and Final Exploratory
Models for Tests of Hypotheses

Paths/Relationship Hyp # Hyp. Model Final Expl.


(Figure 9) Model
(Figure 10)
ODJ OPJ Covariance 0.79* 0.79*
ODJ OIPJ Covariance 0.75* 0.75*
ODJ OIFJ Covariance 0.72* 0.72*
OPJ OIPJ Covariance 0.81* 0.81*
OPJ OIFJ Covariance 0.85* 0.85*
OIPJ OIFJ Covariance 0.84* 0.83*
SDJ SPJ Covariance 0.87* 0.87*
SDJ SIPJ Covariance 0.67* 0.67*
SDJ SIFJ Covariance 0.76* 0.76*
SPJ SIPJ Covariance 0.83* 0.83*
SPJ SIFJ Covariance 0.89* 0.88*
SIPJ SIFJ Covariance 0.85* 0.84*
ODJ Organizational Trust 1a1 0.17 n.a
OPJ Organizational Trust 1a2 0.28* 0.47*
OIPJ Organizational Trust 1a3 -0.09 n.a
OIFJ Organizational Trust 1a4 0.56* 0.33*
OIFJ Perceived Organizational Support n.a 0.23*
SDJ Supervisor Trust 1b1 0.28* 0.40*
SPJ Supervisor Trust 1b2 0.14 n.a
SIPJ Supervisor Trust 1b3 0.21 0.29*
SIFJ Supervisor Trust 1b4 0.34* 0.26
SIFJ LMX n.a 0.32*
Organizational Trust Perceived Organizational Support 2a 0.99* 0.79*
Supervisor Trust Leader Member Exchange 2b 0.96* 0.68*
Supervisor Trust Organizational Trust n.a 0.28*
Perceived Organizational Support Information sharing 3a -0.13 -0.15
Perceived Organizational Support Risk taking 3b 0.26* n.a
Perceived Organizational Support Social loafing 3c -0.12 n.a
Perceived Organizational Support Assertiveness 3d1 0.04 n.a
Perceived Organizational Support Ingratiation 3d2 0.10 n.a
Perceived Organizational Support Rationality 3d3 -0.03 n.a
Perceived Organizational Support Coalition 3d4 0.21* n.a
Perceived Organizational Support Exchange 3d5 0.31* 0.16
Perceived Organizational Support Upward Appeal 3d6 0.33* 0.17
Leader Member Exchange Information sharing 4a 0.22* 0.23*
Leader Member Exchange Risk taking 4b -0.09 n.a
Leader Member Exchange Social loafing 4c -0.39* -0.32*
Leader Member Exchange Assertiveness 4d1 -0.19 n.a
Leader Member Exchange Ingratiation 4d2 0.02 n.a

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Paths/Relationship Hyp # Hyp. Model Final Expl.
(Figure 9) Model
(Figure 10)
Leader Member Exchange Rationality 4d3 0.12 n.a
Leader Member Exchange Coalition 4d4 0.05 n.a
Leader Member Exchange Exchange 4d5 -0.15 n.a
Leader Member Exchange Upward Appeal 4d6 -0.13 n.a
Information sharing Creativity 5a 0.49* 0.51*
Risk taking Creativity 5b -0.12 n.a
Social loafing Creativity 5c -0.52* -0.42*
Assertiveness Creativity 5d1 0.04 n.a
Ingratiation Creativity 5d2 -0.01 n.a
Rationality Creativity 5d3 0.06 n.a
Coalition Creativity 5d4 0.07 n.a
Exchange Creativity 5d5 0.14* 0.19
Exchange Upward Appeal Covariance n.a 0.62*
Upward appeal Creativity 5d6 -0.17* -0.16
= p < 0.10; * = p < 0.05

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coalition (H4d4), exchange (H4d5), and upward appeal (H4d6). LMX was significantly related

to information sharing (4a) and social loafing (H4c), but was not significantly related to risk

taking (H4b), assertiveness (H4d1), ingratiation (H4d2), rationality (H4d3), coalition (H4d4),

exchange (H4d5), and upward appeal (H4d6).

Hypotheses 5, 6, 7, 8. The final set of hypotheses predicted relationships between

employees creativity-relevant behaviors and creativity. Only information sharing (H5) and

social loafing (H7) were found to be significantly related to creativity, and exchange (H8-6) was

found to be marginally significantly to creativity. All the remaining hypotheses predicting the

relationship between creativity and risk taking (H6), assertiveness (H8-1), ingratiation (H8-2),

rationality (H8-3), coalition (H8-4) were found to be nonsignificant.

Comparison of Originally-Hypothesized and Final Exploratory Models. Again, as

mentioned earlier, the results of exploratory analyses should be carefully interpreted as these

results are primarily data driven, and hence, capitalize on chance. Therefore, these findings need

to be replicated in future research (MacCallum, 1986), nevertheless, the results are encouraging,

particularly for certain creativity-relevant behaviors. Even after several modifications were made

to improve the model fit, the overall pattern of relationships remained the same both in terms of

the significance level and magnitude, which suggests that the social exchange model of creativity

is meaningful. One final observation about the final exploratory model is that while the variance

explained for some of the factors was relatively high, it was relatively low for some of the other

factors, particularly creativity-relevant behaviors. The variance explained for all of the factors is

reported in Table 12.

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Table 12: Explained Variance in Endogeneous Factors in the Final Exploratory Model

Factor Standardized Explained Variance


Coefficient for the
Disturbance Term
Organizational Trust .577 .667
Supervisory Trust .504 .745
Perceived Organizational Support .222 .95
Leader Member Exchange .286 .918
Information sharing .961 .077
Social loafing .946 .105
Exchange .985 .027
Upward appeal .986 .030
Creativity .649 .579
N = 205, Explained variance = 1 (standardized coefficient)2

Alternative Models

In addition to the exploratory models, several alternative models were run as well. The

purpose of running alternative models was twofold. First, it was important to explore the effect

of tenure and routine performance as control variables. To this end, two alternative models were

run. The first alternative model was run with tenure as a control variable i.e., tenure was included

in the model as an independent predictor of creativity and an additional path from tenure to

creativity was estimated. The second alternative model was run with routine performance both as

a control variable and dependent variable. The routine performance was included as a dependent

variable because creativity is an explicitly stated goal of the company, and is a part of

employees overall performances. Thus, there is a reason to suspect that a similar pattern of

relationships might hold for routine performance as well.

The secondary purpose of running alternative models was to understand the phenomenon

parsimoniously. To this end, the third alternative model was run using a second order factor

structure with the purpose of providing a broader view and perhaps, a parsimonious explanation

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of the social exchange model of creativity. This section reports the results of all the three

alternative models.

Alternative model 1. In the first model, tenure was included as a control variable to see if

any of the relationships would change in terms of either strength or magnitude. Tenure was

considered as an important control mainly because high tenure or increased length of service is

not only desired but also rewarded by the organization. Therefore, it is likely that high tenure

may positively bias supervisors evaluations of employee creativity. This combined with the

evidence from the previous research on employee performance (Schmidt, Hunter, & Outbridge,

1986), indicated that it was important to include tenure as a control variable. The results showed

that tenure was not significantly related to creativity and that previously significant relationships

remained the same, both in terms of strength and magnitude. (see Figure 13): 2 (120, N = 205) =

257.059, NNFI =.903, CFI = .924, RMSEA = .091.

Alternative model 2. In the second model, routine performance was included as a control

variable to explore any changes in the relationships due to its presence. Routine performance was

also included as a dependent variable because it is possible that employees routine performance

can have halo effects on other measures of performance. The routine performance was measured

using a three item measure based on the companys definition of routine performance. The items

were as follows: In terms of planning and paying attention to detail regarding a days routine

task, this employee is (1) able to lay down a plan of action for days routine activities, (2) is able

to pay attention to details that affect the quality of the days routine work, and (3) is able to

perform days routine task well. The results showed that routine performance is only marginally

significantly related to creativity and its presence does not impact any other relationships in the

model (see figure 14): 2 (116, N = 205) = 254.343, NNFI =.903, CFI = .93, RMSEA = .093.

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Alternative model 3. The final alternative model was run to understand the proposed effect at

a broader level. To this end, a second order factor structure was created for the following variables:

organizational justice, supervisory justice, information-sharing, risk taking, social loafing, coalition,

exchange, and upward appeal. Based on the results of the alternative model 2, in addition to

creativity, routine performance too was included in the model. The results of the model are: (see

Figure 15): 2 (159, N = 205) = 379.104, NNFI =.87, CFI = .89, RMSEA = .10. The results

showed that the supervisory level relational environment affects both creativity and routine

performance through employees exchange relationships with the supervisor. In contrast, the

organizational level relational environment was not found to influence creativity but influenced

routine performance through employees exchange relationship with the organization. Overall,

the results of this model provide some support for the social exchange model of creativity.

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ODJ Figure 13: Alternative Model 1

INFSH
Tenure
OPJ
-.15
.47*
Otrust
.79* POS
.51* .04
OIPJ
.16 SCLF
.33*
.23* -.42*
OIFJ .17
CREAT

EXC .19
SDJ .28*
.23*
-.32*
.40* -.16
SPJ

Strust LMX
.68*
.29*
SIPJ

.26 .32* UPW

SIFJ
2 (120, N = 205) = 257.059, NNFI =.903, CFI = .924, RMSEA = .091.

85
ODJ Figure 14: Alternative Model 2

INFSH

OPJ
-.15 .57*
.47*
Otrust .45*
.79* POS
Routine
OIPJ
.16 SCLF -.34*
.33*
.23* -.37* .21
OIFJ .17

.51*
.03
EXC
SDJ .28*
.23* .19
-.32* CREAT
.40*
SPJ

Strust LMX .14


.68*
.29* -.09
SIPJ

.26 .32* UPW

SIFJ
2 (116, N = 205) = 254.343, NNFI =.903, CFI = .93, RMSEA = .093.

86
Figure 15: Alternative Model 3

.16*
Organizational
Justice
.80* .20* Routine
Organizational Info-share,
Trust risk, social .84*
.80* Perceived -.13 loaf
Organizational
Support .90*
.27*
.26*
.33* .05
Leader Member -.04
Exchange -.05
Politics
.65*
Supervisory -.03
Trust
.88*
Supervisory .33* Creativity
Justice

2 (159, N = 205) = 379.104, NNFI =.87, CFI = .89, RMSEA = .10

87
Chapter 6: Discussion

The primary purpose of this study was to test the social exchange model of creativity,

which proposed that (1) the relational environment within an organization will positively

influence employees perceived quality of exchange relationships, and (2) employees

perceptions of the quality of their exchange relationships will then facilitate creativity-relevant

behaviors, and ultimately, employee creativity. The secondary purpose of this study was also to

explore unique or multi-foci effects of the relational environment at the organizational and

supervisory level on creativity.

The data reported in this study were collected from a large chemical engineering plant.

The setting was particularly suited for the purpose of testing the social exchange model because

creativity is one of the explicitly stated organizational goals, which was a necessary condition for

testing this model. The data were analyzed using structural equation modeling techniques (EQS

version 6.0). This chapter summarizes and discusses the results and findings in view of existing

research in the field, followed by a discussion of the limitations and contribution of this study.

Finally, directions for future research are suggested.

The discussion of results is organized into three sections: (1) the first section discusses

the results for hypotheses (hypotheses 1 through 2) specified to test the linkage between the

relational environment both at the organizational and supervisory level and employees

perception of the quality of their exchange relationships, (2) the second section discusses the

results for all hypotheses (hypotheses 3 through 8) specified to test the linkage between the

perceived quality of exchange relationships and creativity-relevant behaviors, and their

subsequent impact on creativity, and (3) finally, the third section discusses the multi-foci effect

of the relational environment at the organizational and supervisory level on employee creativity.

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Findings

The Hypothesized Social Exchange Model of Creativity

The EQS results revealed a poor fit between the originally proposed model and the data

collected, indicating that the hypothesized model may not be an accurate reflection of reality.

Post hoc analyses, which involved several modifications to the hypothesized model, resulted in

the final exploratory model that adequately fit the data collected. In addition to exploratory

models, alternative models were run to better understand the findings. The results and findings

from the final exploratory model and alternative models are discussed.

Relational Environment and the Quality of Exchange Relationships.

Fairness Trust. Of the four justice types, procedural and informational justice were

found to be significantly related to organizational trust, whereas distributive and interpersonal

justice were not related to organizational trust. Although Cohen-Charash and Spector (2001), in

their meta-analytic review, showed that three types of justice (distributive, procedural and

interactional) should be similarly associated with trust in the organization, other research

suggests that procedural and not distributive justice should be related to trust in the organization

(e.g., Konovsky & Cropanzano, 1991; Konovsky & Pugh, 1994).

The reason for the insignificant relationship between distributive justice and trust could

be that the outcomes controlled by the organization (i.e., organizational distributive justice) may

be situationally-specific (Konovsky & Cropanzano, 1991). Thus, the information regarding the

outcomes controlled by the organization may not be used in predicting future actions. For

example, certain discretionary rewards controlled by the organization, such as festival benefits or

bonus rewards, may depend on how well the organization has performed in that year. Given that

this may change from year to year, it is likely that distributive justice may not be related to

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organizational trust. In comparison, procedural justice is not situationally-specific: procedures

and policies, once formed, are likely to generate expectation of fair treatment in the long run

(e.g., Konovsky & Pugh, 1991). Information regarding procedural justice provides confidence in

future actions. Thus, it seems that employees may be more likely to rely on procedural justice to

determine the trustworthiness of the organization. Therefore, procedural justice and not

distributive justice is found to be be related to organizational trust.

Furthermore, the meta-analytic review by Cohen-Charash and Spector (2002) showed

that interactional justice is significantly associated with trust in the organization. However, the

current studys results show that only the informational, and not the interpersonal, aspect of

interactional justice is positively related to organizational trust. The insignificant relationship

between interpersonal justice and organizational trust could suggest the lack of emotional aspect,

since interpersonal justice has been associated with emotions/affect (Bies & Tripp, 2001). Based

on these results, it may be concluded that employees trust in the organization builds primarily

on the fairness of the organizational procedures and policies, as well as the communication and

explanations provided by the organization.

In comparison, at the supervisory level, the results were slightly different. Unlike

organizational trust, distributive justice and not procedural justice was significantly related to

supervisory trust. Furthermore, interpersonal justice was found to be significantly and

informational justice was found to be marginally related to supervisory trust. It was particularly

surprising to find that procedural justice is not related to supervisory trust, particularly in view of

past research findings (e.g., van den Bos, et al., 1998), which suggest a strong relationship

between the two. One possible explanation for this finding could be that the employees may not

hold their supervisors responsible or accountable for formulating procedures, and instead see

90
them as only implementing the procedures and policies formulated by the company. This may be

particularly true in this company because many procedures are formulated by the corporate head

office, even though supervisors are responsible for their implementation. Therefore, in this

situation, employees may not hold supervisors responsible for the fairness of the procedures, and

hence, it may not affect their trust in the supervisor.

However, the question remains as to why employees would hold supervisors responsible

for the outcomes received (distributive justice) and not for the procedures utilized to arrive at

those outcomes (procedural justice). Although, at a first glance, this finding seems somewhat

contradictory, it may be possible to explain on the basis of the information gathered from several

conversations with employees and supervisors at the company site.

In this company, supervisors have full discretion over how procedures and policies are

implemented and used to allocate outcomes. For example, the performance appraisal systems is

developed and formulated by the corporate head office, whereas, the outcomes such as

performance ratings and merit-based rewards that are based on the appraisal system are under the

complete and direct control of supervisors. Supervisors have full discretion over the performance

ratings and/or merit-based rewards of employees. Thus, it is possible that employees in this

situation hold supervisors responsible for the outcomes and not for the procedures. Clearly,

future research is needed, but in this situation, it appears that employees separate the two.

Furthermore, the significant relationship between interpersonal justice and supervisory

trust may be reflective of the emotional/affective component of interpersonal trust. Unlike

organizational trust, supervisory trust is an interpersonal trust, which has an emotional/affective

component to it (e.g., Lewis & Weigert, 1985; McAllister, 1995). Overall, based on these

findings, it may be concluded that employees do not use all types of fairness, but instead rely on

91
different types of fairness to determine the trustworthiness of the organization versus the

supervisor. These findings could also be a reflection of the differences between organizational

and supervisory level trust. For example, supervisory trust and not organizational trust may have

emotional/affective aspect. Obviously, more research is warranted to further support these

relationships.

Yet another important finding that was not hypothesized a priori was a significant

relationship between supervisory trust and organizational trust. This finding is not entirely

surprising. Evidence for a similar relationship may be found in the research on recruitment and

selection, where job applicants perceptions of the recruiters personality and mannerisms have

been shown to affect their evaluation of the company (e.g., Schmitt & Coyle, 1976; Rynes,

1991). Yet another explanation for this relationship may also be drawn from the research on

decision making, which suggests the use of heuristics, or simplified rules in order to make

difficult and complex decisions (e.g., Khaneman & Traversky, 1982). It is possible that

determining the organizations trustworthiness may be difficult and complex, and therefore, trust

in supervisors may serve as a proxy for organizational trust. Thus, it is possible to understand

that employees trust in the supervisor may affect their evaluation of the organizations

trustworthiness.

In addition to the final exploratory model, an alternative model (three) was run with the

purpose of understanding the relationship between justice and trust at a more general level.

Second order factor structures for organizational and supervisory justice were used to run this

model, and the results revealed that when employees perceptions of all four justice types are

taken together, they are positively related to organizational and supervisory trust respectively.

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Trust Perceived Quality of Exchange Relationships. As expected, trust in the

organization and the supervisor was found to be significantly related to POS and LMX. Two

additional relationships that were not hypothesized a priori were found to be significant: (1)

organizational informational justice to POS, and (2) supervisory informational justice to LMX.

What is interesting is the finding that only informational justice, both at the organizational, and

supervisory level and not any other justice type was found to be significantly directly related to

POS and LMX. In other words, the effect of informational justice, both at the organizational and

supervisory level, on POS and LMX respectively, was above and beyond its effect through trust.

A study by Rupp and Cropanzano (2001) found that only perceptions of interactional justice and

not procedural justice (distributive justice was not included in the model) of the organization and

supervisor were found to be significantly related to POS and LMX respectively. In general, the

findings of their study support the overall importance of interactional justice in influencing social

exchange relationships.

Based on the findings of the current study, it seems, of the two components of

interactional justice, informational justice seems to affect exchange relationships both through

trust as well as directly. A possible explanation for this finding could be the fact that supervisors

in this company expect employees to share work-related information on a continuous basis in

order for them to run the company efficiently and effectively. There are daily reports that take

place in the organization about work-related issues, the direction of which is from employees to

supervisors. There is no such formal requirement on the part of supervisors. Therefore, when

supervisors willingly share information with employees in a manner that is fair (informational

justice), such as offering explanations for the decisions made or communicating candidly, it is

93
likely to be received well by employees. This could directly impact their relationship with the

supervisor.

Again, these findings, combined with those from alternative model three, reveal a broader

pattern of relationships between justice, trust and social exchange relationship both at the

organizational and supervisory level. The results suggest that employees overall perceptions of

organizational and supervisory fairness may affect the quality of exchange relationships with the

organization (i.e., POS) and supervisor (i.e., LMX) directly as well as through trust. Therefore,

contrary to what has been suggested in past research (e.g., Aryee, Budhwar, & Zhen, 2002), trust

was not found to fully mediate the relationship between fairness perceptions and social exchange

relationships, although partial mediation is indicated. Thus, employees perceptions of fairness

play an important role in building high quality social exchange relationships both directly as well

through trust. Taken together, it may be concluded that the relational environments (i.e. fairness

and trust) at the organizational and supervisory level are likely to influence employees social

exchange relationships with the organization and supervisor. Of course, these findings should be

viewed with caution, particularly with respect to implied causality and common method bias,

because all the data were collected at one point in time and from one source only (i.e.,

employees).

Perceived Quality of Exchange Relationship Creativity

Perceived Organizational Support (POS) and Leader Member Exchange (LMX)

Creativity-Relevant Behaviors. It was hypothesized that both POS and LMX would be

significantly and positively related to creativity-relevant behaviors such as information sharing,

risk taking, political behaviors (assertiveness, rationality, ingratiation, coalition, exchange and

upward appeal), and negatively related to social loafing. I discuss the results for all the four

94
creativity-relevant behaviors: information sharing, risk taking and social loafing, followed by the

results for political tactics.

Information sharing, Risk taking, and Social loafing. The results were different for POS

and LMX. First, it was found that POS was not related to risk taking and social loafing. Also,

the relationship between POS and information sharing was marginally significant but not in the

predicted direction. Theoretically, it is unclear as to why high levels of perceived organizational

support would discourage employees from sharing work-related information. It is possible that

this could be a methodological problem arising out of random error due to the presence of many

variables as well as unexplained variance present in the model, particularly, given that POS and

information sharing are not negatively correlated (r = .02).

In contrast, LMX was found to be significantly related to both information sharing and

social loafing in the predicted directions. The relationship between LMX and risk taking was

found to be nonsignificant. The question remains with respect to the nonsignificant relationship

of LMX with risk taking despite some evidence for this relationship in past research (e.g., Bruce

& Scott, 1994). It is possible that there may be a problem in the way risk taking was

operationalized. Items such as offer ideas even if they affect my reputation and offer ideas

knowing that some will fail seem to suggest that risk taking has to be at the expense of

reputation or is associated with failure. It could be that in this company, reputation may be of

concern to employees, and even though employees may be taking risks and offering risky ideas

they may not do so at the expense of their reputations. Furthermore, in view of recent layoffs in

the company, employees may feel the need to protect their reputation or disassociate themselves

from the failures even more.

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These findings, when taken together with those from the alternative model three, clearly

show that LMX and not POS is related to the second order factor structure of creativity-relevant

behavior created by using information sharing, risk taking and social loafing as indicators. The

reason for LMX and not POS being significantly related to creativity-relevant behaviors such as

information sharing and social loafing could be that these behaviors in particular may be seen as

in-role or required behaviors, given that creativity is a desired and stated goal of the company.

Past research has shown that LMX and not POS is associated with in-role behaviors (e.g., Wayne

et al., Setton et al., 1996). These findings suggest that creativity-relevant behaviors such as

information sharing and social loafing seem to assume in-role behavior status, particularly in

organizations that value creativity. Therefore, employees relationship with the supervisor and

not with the organization might affect creativity-relevant behaviors such as information sharing

and social loafing.

Political Tactics. Of the six political tactics, LM tests indicated that assertiveness,

ingratiation, and rationality had measurement problems and seemed to cross load with other

variables in the model. Therefore, in order to improve the model fit, the three were dropped from

the final exploratory model. Subsequent results revealed that POS was marginally related to

exchange and upward appeal, but was not related to coalition. A possible explanation for the

insignificant relationship between POS and coalition could be the political norms of the

organization. The choice of political tactics to achieve desired means is influenced by the

political norms of the organization (Allen & Porter, 1981). It is possible that coalition building is

not encouraged or seen as an acceptable norm in the company, perhaps because of the partly

unionized workforce.

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In contrast, LMX was not related to any of the political tactics. These findings when

taken together with those from alternative model three, reveal that POS and not LMX is

significantly related to the second order factor structure of creativity-relevant behaviors created

by using three political tactics, coalition, exchange and upward appeal, as indicators. It seems

that employees reporting a high quality of exchange relationship with the organization are likely

to use indirect means such as the use of political tactics. A possible explanation for this finding

could be that creativity-relevant behaviors such as the use of political tactics may be seen as

extra-role behaviors that are supportive of organizational goals, but are also behaviors that go

above and beyond the requirements of the job. Past research has shown that POS and not LMX

facilitate extra role behaviors that are directed towards the organization (e.g., Shore & Wayne,

1993; Masterson et al., 2001). In other words, as a result of high levels of POS, employees may

be encouraged to go above and beyond the call of duty and utilize political tactics that are going

to ultimately benefit the organizational goals. However, despite the significant paths, it is

important to note that the variance explained for information sharing, social loafing, exchange

and upward appeal is quite low (see Table 10), suggesting a possibility of other relationships not

captured by this model.

Overall, these findings suggest that employees relationship with the supervisor may be

instrumental in facilitating creativity-relevant behaviors such as information sharing and social

loafing, that seem like in-role behaviors. In contrast, employees relationship with the

organization may play an important role in facilitating creativity-relevant behavior such as the

use of various political tactics that are supportive of organizational goals but go beyond the job

requirements.

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Creativity-Relevant Behaviors Creativity. Finally, it was hypothesized that

information sharing, risk taking, social loafing and all of the six political tactics would be

significantly related to creativity. As mentioned in the previous section, three political tactics,

assertiveness, ingratiation, and rationality were dropped from the final exploratory model due to

measurement problems. It was found that both information sharing and social loafing were

significantly related to creativity, whereas risk taking was not related to creativity. This is

contradictory to expectations and inconsistent with much of the research on creativity, which

suggests that risk taking is positively related to creativity (e.g., Amabile, 1996; Zhou & George,

2001).

It is possible that risk taking is not necessary for being creative in this organization

because creativity in this organization is primarily achieved through process improvisation,

which relies on incremental improvement rather than on risky and radical ideas that may result in

expensive mistakes. If risk taking is not considered a creativity-enhancing behavior, employees

are less likely to engage in it. Furthermore, those employees who do take risks may not be

viewed as creative.

Of the three political tactics, only exchange was found to be marginally related to

creativity, whereas coalition and upward appeal were not related to creativity. It is possible that

the high inter-correlation among coalition, exchange and upward appeal could be suppressing

relationships between other political tactics and creativity. Moreover, it is also possible that the

use of exchange may facilitate creativity through various means such as feedback and additional

ideas and coalition building and upward appeal are not acceptable forms of influence tactics.

Therefore, employees who do use these tactics are not viewed as creative.

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Finally, in order to better understand these findings, routine performance was included as

both a dependent variable and a control variable in the alternative model three. The primary

purpose for including routine performance as a dependent variable was to see if similar pattern of

results exists for both routine performance and creativity. The results showed a similar social

exchange effect existed for the routine performance as well. This finding was not surprising,

particularly because the company is an engineering firm where employees are expected to be

creative. More importantly, including routine performance in the model did not take away from

or dampen any of the relationships for creativity suggesting that the two are distinct from each

other. Also, the nonsignificant path from routine performance to creativity suggests that good

performance on routine tasks does not necessarily imply high levels of creativity.

Overall, these findings show that the employees who report high quality of exchange

relationships with their supervisors are likely to engage in creativity-relevant behaviors such as

increased information sharing and reduced social loafing, which in turn facilitates creativity. In

contrast, employees who report high quality exchange relationships with the organization are

likely to engage in creativity-relevant behaviors such as the use of political influence tactics,

although political tactics do not seem to impact creativity. It is possible, as has been suggested in

past research, that political tactics may be related to other outcomes (e.g., Pfeffer, 1981), and not

necessarily to creativity. Interestingly, high levels of organizational support directly affect

employees routine performance suggesting that the relational environment at the organizational

level may be important for routine performance and not necessarily for creativity.

Multi-Foci Effect. One final purpose of this study was to explore any differential effects

of the relational environment at the organizational and supervisory level on creativity. Based on

the findings from the structural equation models, it may be inferred that the organizational and

99
supervisory level environments differentially affect creativity and routine performance. The

results show that the relational environment at the organizational level is related to POS, and

creativity-relevant behaviors such as political behaviors but does not affect creativity.

Interestingly, POS is directly and marginally related to routine performance. In contrast, the

relational environment at the supervisory level affects LMX, which in turn affects creativity-

relevant behaviors such as information sharing and social loafing, and hence, creativity. In

addition, the relational environment at the supervisory level affects routine performance through

LMX and what seems like in-role creativity-relevant behaviors (i.e., information sharing and

social loafing).

These findings suggest that the relational environment at the organizational level plays a

more important role in influencing routine performance than creativity. In contrast, the relational

environment at the supervisory level appears to be important for both creativity and routine

performance. These findings are along the line of previous research which has demonstrated the

importance of leaders in influencing creativity (e.g., Gilson & Shalley, forthcoming). Overall,

these findings provide a basis for comparing and contrasting the effect of relational environment

at two different levels on two different outcomes, creativity and routine performance.

Limitations

One limitation of this study is that the data collected was cross-sectional (i.e., collected at

one point in time). This poses a concern for causality among relationships. Although structural

equation modeling allows for the simultaneous estimation of paths and uses the variance-

covariance matrix for estimating paths, causality may not be inferred from these results.

Furthermore, due to the possibility of alternative models fitting the data equally well, these

results do not preclude the possibility of an alternative model (e.g., Bagozzi & Baumgartner,

100
1994). However, the complexity of the models tested reduces the concern for reverse

relationships. Given that the model represents a network of relationships, it is unlikely that

reverse relationships should be involved.

Another limitation of this study is common method bias in certain portions of the model.

Even though an attempt was made to minimize the common method bias in this study by

collecting data from two sources, employees and supervisors, there is a possibility of common

method bias within the employee and supervisor portions of the model. The relationships among

justice, trust and the quality of exchange relationships, both at the organizational and supervisory

level were tested using employees data. In contrast, the relationships between behaviors and

performance variables (i.e., creativity and routine performance) were tested using the data

collected from supervisors.

Furthermore, less than perfect sample size for testing the model was another limitation of

this study. The rule of thumb for the structural equation modeling is 5:1 parameters to sample

size ratio. The final exploratory model required estimating 56 parameters, which required a

sample size of 280 (current sample size = 205), thereby violating the rule. However, since higher

degrees of freedom, which in this case was 97, require much lesser sample size (e.g., McCallum,

1986), it was decided to run the model. Moreover, EQS allowed all the models to converge

indicating no special problems with respect to the sample size. This allows for confidence in the

results despite lesser sample size. Finally, due to restricted sample size, parceled and single

indicator variables were used, and hence, the full power of structural equation modeling could be

utilized, though incorporating measurement error in the model allowed for pure relationships

to emerge.

101
Contributions of the Study

The findings of this study make several contributions both to the theory and research on

the influence of social environment on creativity. In addition, there are some practical lessons for

managers as well.

Contributions to Research

For long, researchers and practitioners alike have touted the importance of understanding

the effect of the social environment on creativity. Much of the research has focused narrowly,

perhaps purposefully, on understanding the impact of specific contextual elements on creativity.

In comparison to previous research, this study attempts to give definition or meaning to what has

remained a rather fuzzy social environment. This study identifies at least two social factors

(i.e., fairness and trust), that may constitute this fuzzy and perhaps less understood social

environment. Broadly speaking, this study models creativity as a two phase model wherein the

social environmental factors are shown as distant yet important predictors of exchange

relationships and creativity-relevant behaviors that are proximal and direct predictors of

creativity. In essence, this study shows at least one way in which fair and trusting environment

might affect creativity, and opens up the lines for future research to explore other ways in which

fair and trusting environment might affect creativity. Such a research may also result in

identification of new unexplored variables that might influence creativity.

Yet another contribution of this study is that it underscores the importance of

simultaneously studying the multi-foci effect of the relational environment on creativity.

Through this study, it was possible to gain a better and comprehensive understanding how the

social environment at two different levels (i.e., organizational and supervisory) influences

creativity through different variables or mechanisms. Specifically, this study extends the existing

102
literature on creativity, which until now focused primarily on employees relationship with the

supervisor (e.g., Graen & Cashman, 1975; Tierney et al., 1999), by including and examining the

impact of fairness and trust on employees social exchange relationships both at the

organizational and supervisory level and the subsequent impact on creativity. This, combined

with the fact that employees routine performance was also included as another dependent or

outcome variable allowed for comparing and contrasting of the effect of variables at two levels,

i.e., organizational and supervisory, on creativity and routine performance. Also, including

routine performance as a control and dependent variable, allowed parsing out any potential

confounding effects of routine performance on creativity. Thus, including the two levels in

combination with routine performance as another dependent variable provides a richer

understanding of how social exchange processes might influence employee creativity.

In addition to extending the literature on creativity, this study also contributes to the

literature on organizational justice. Past research has suggested but not fully tested

simultaneously the relationships between justice, trust and social exchange relationships at both

the organizational and supervisory level. This study highlights the importance of trust in shaping

employees social exchange relationships within organization. In addition, this study shows that

it is important to include both the source and type of fairness as the relationships may depend on

both. Simply put, it not only matters what type of fairness (i.e., DJ, PJ, IPJ, IFJ) but also who is

the source (i.e., organization versus supervisor) of fairness that influences employees social

exchange relationships.

Overall, this study brings together several previously studied relationships to explain a

broader phenomenon of social exchange process and its influence on important outcome

variables such as creativity and routine performance. While it is important to understand

103
individual specific relationships, it is equally important to understand how these relationships

may be integrated into a more coherent model within organizations. This study looks at

creativity as a result of social exchange processes rather than as a result of individual factors,

thereby consolidating some of the previous research on creativity as well as providing some new

findings.

Contributions to Practice

The results of this study have implications for managers in terms of understanding the

impact of the social environment, specifically the relational environment, on employee creativity.

It is not a new understanding that managers should be concerned about fair procedures, policies,

outcomes and treatment. This study shows that employees perceptions of fairness are not only

important for retaining employees or keeping employees committed, but also for creativity.

Managers should be concerned with fostering a fair and trusting environment because such an

environment will help employees build stronger social exchange relationships within the

organization, which could be important for nurturing creativity. Moreover, the measures required

to ensure fair and trusting environment are a cost effective means for organizations to facilitate

creativity. Simply put, managers should be aware that the relational environment of the company

is important.

Future Research

In order to achieve desired fit, several modification were made to the originally

hypothesized model in terms of both adding links that were not hypothesized earlier and

eliminating links that were hypothesized. These modifications were primarily data driven,

thereby increasing the possibility of capitalizing on chance (MacCallum, 1986). Therefore, it is

important that the final model should be replicated in future studies. In addition, there could be

104
several other areas for future research. For example, coworkers could be a third source of

relational environment as well as a target of social exchange relationships, which should be

included in future research. This is a particularly under-researched area.

Another area of research could focus on understanding how the use of political tactics

might affect creativity or other important organizational outcomes. Due to the poor measurement

model of the political tactics, this link could not be satisfactorily tested. Another related area of

future research could be to test the social exchange model in a team-based organization. In view

of increasing trend among organizations to be team-based, this could be an important area of

research. Finally, future studies could also include personality characteristics as moderators to

better understand the effect of social exchange on creativity.

Conclusion

Both practitioners and researchers alike are concerned with enhancing employee

creativity to develop and sustain competitive advantage. Past research has clearly demonstrated

the importance of social relationships in predicting important outcomes, and therefore, it is

important to understand how these factors might impact employee creativity.

This study examined the impact of relational factors such as fairness and trust on

employees social exchange relationships, and its subsequent impact on employee creativity. The

results of this study showed that the supervisors who are fair and can be trusted are likely to

build stronger relationships with their employees, and as a result, facilitate both creativity as well

as routine performance. In contrast, results showed that fair and trusting organizations are likely

to affect routine performance and not necessarily creativity. Overall, the results of this study

point towards the importance of relational environment and social exchange relationships in

affecting both creativity and routine performance.

105
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Appendix 1: Sample Email Message Seeking Employee Participation

To: All Engineers (all departments)

From: HR department

Re: Research study being conducted by Shalini Khazanchi

As part of her dissertation requirements, Shalini Khazanchi is conducting a study examining


organizational creativity within our company. Participation will involve completing a survey
designed to identify various factors that may influence creativity. The results may benefit our
organization by identifying factors that influence our overall creativity. It may also benefit
engineers by revealing those factors important to your experience in the organization. Thus, we
endorse this study, and encourage you to participate by completing the required survey.
However, your participation is completely voluntary, and we will not be informed as to whether
you choose to participate or not. We will only receive a final report of the results, aggregated to
the company level.

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Appendix 2: Sample Consent Form

You are being asked to participate in a study that I am completing as part of my doctoral program requirements.
The study is being supervised by Professor Suzanne Masterson of the Management Department, College of
Business, University of Cincinnati. The following information summarizes the purpose of the study, how long it will
take to participate, what you are asked to do in the study, the risks/discomforts and benefits for being in the study,
your right to not be in the study or stop at any time, and who to call if you have any questions.

I am studying the impact of an organizations relational environment on employee performance. As a participant,


you will be asked to complete a survey which will take approximately 25 minutes. There will be an additional
supervisor survey, which will request your supervisor to provide information on your work-related behaviors.

I assure you that your name will not be shared in any way; all data are completely confidential and will be used only
for the purposes of data analysis. Your survey is identified only by an ID number assigned by the researcher, making
it impossible for anyone other than the researcher to establish your identity. Furthermore, you will return the
completed survey and signed consent forms in separate sealed drop-off boxes, accessible only to the researcher, kept
in your department. The information from the surveys will be used for the purposes described here and will not be
shared in any way with others. Your participation is voluntary and you may refuse to participate, or may discontinue
participation at any time, without penalty or loss.

There are no foreseeable discomfort or risks involved in participating in this study. Defer You will receive no direct
benefit from your participation in this study, but your participation will help researchers and managers better
understand how an organizations relational environment may impact employee performance.

If you would like additional information about the study or your rights as a participant before or after the study is
completed, please feel free to contact any of the following people.

(1) Shalini Khazanchi (2) Suzanne S. Masterson, Ph.D.


Doctoral Candidate Assistant Professor
Department of Management College of Business Department of Management College of Business
University of Cincinnati University of Cincinnati
Ph: (513) 556-7133 Ph. (513) 556- 7125
Email: guptash@email.uc.edu Email: masters@uc.edu.

(2) XYZ
Manager, HR

Sincerely,

Shalini Khazanchi
Doctoral Candidate
Department of Management College of Business
University of Cincinnati
(513) 556-7133

With my signature, I affirm that I am at least 18 years old and I have been offered a copy of this consent form to
keep.

Name and Signature of the participant ___________________________________________________.

118
Appendix 3: Employee Survey Cover Sheet

This study is a part of my dissertation research being conducted at the College of Business at the
University of Cincinnati. My research examines the impact of an organizations social
environment on employee creativity. This survey should take about 25-30 minutes to complete.
Please read the consent form provided with the survey. If you choose to participate in the study,
please return the completed survey and the signed consent form in their respective sealed-off
boxes, kept in your department.

Your answers to this questionnaire will be seen only by the researcher, and will be held
completely confidential. You have been assigned an ID number that appears on your survey.
The purpose of this ID is to protect your identity from anyone other than the researcher. Your
individual responses will never be shared with anyone else other than the researcher. Your
supervisor will be asked to provide information on your work-related behaviors but will not
know your ID number as it is assigned by the researcher and thus, will never be able to match
your responses with your names.

Your responses will be combined with those from all other participants and analyzed as a
complete dataset. Your name will never be matched with this data. By returning this completed
survey, you are giving me permission to collect information from your supervisor on your work-
related behaviors. Any reporting of study results will be based on this aggregated data, so that no
individual respondent can ever be identified. There are no known risks involved with
participating in this research project, and your participation is completely voluntary.

Thank you in advance for your cooperation with this project. If you have any comments about
the survey or project, feel free to write them at the end of the survey. Alternatively, feel free to
contact principal investigator, Shalini Khazanchi, Department of Management, College of
Business, University of Cincinnati, P.O.Box 210165, OH 45221-0165, ph. 513-556-7133 (US),
Ext. 5138 (India), Email: guptash@email.uc.edu.

119
Appendix 4: Supervisor Survey Coversheet

This study is a part of my dissertation research being conducted at the College of Business at the
University of Cincinnati. My research examines the impact of an organizations social
environment on employee performance. This survey should take about 25 minutes to complete.
Please read the consent form provided with the survey. Please return both the signed consent
form and completed survey in a sealed-off box, kept in the HR department. Please return the
completed survey form/s in 3 days.

Your answers to this questionnaire will be seen only by the researcher, and will be held
completely confidential. You have been assigned an ID number that appears on your survey.
The purpose of this ID is to protect your identity from anyone other than the researcher. Your
individual responses will never be shared with anyone else other than the researcher.
Furthermore, only the researcher will have access to the sealed-off box kept in the HR
department.

Your responses will be combined with those from all other participants and analyzed as a
complete dataset. Your name will never be matched with this data. Any reporting of study
results will be based on this aggregated data, so that no individual respondent can ever be
identified. There are no known risks involved with participating in this research project, and your
participation is completely voluntary.

Thank you in advance for your cooperation with this project. If you have any comments about
the survey or project, feel free to write them at the end of the survey. Alternatively, feel free to
contact principal investigator, Shalini Khazanchi, Department of Management, College of
Business, University of Cincinnati, P.O.Box 210165, OH 45221-0165, ph. 513-556-7133 (US),
4644 (India), Email: guptash@email.uc.edu.

120
Appendix 5: Employee Survey

Throughout this survey, organization refers to XYZ Fertilizers Ltd. Supervisor refers to the person to whom you directly report and
who appraises/evaluates your performance. For all items, please circle the number that best describes how you feel.

The following items refer to important outcomes such as annual bonus and number of days of vacations and that are decided
by your organization (i.e., officials much above the level of your supervisor, including top level officials). In answering the
questions below, please consider only those outcomes that are controlled by the organization.
to a to a
1. To what extent have your outcomes that are controlled by the small large
organization extent extent
1a. reflected the effort you have put into your work? 1 2 3 4 5 6 7
1b. been suitable for the work you have completed? 1 2 3 4 5 6 7
1c. reflected what you have contributed to the organization? 1 2 3 4 5 6 7
1d. seemed justified, given your performance? 1 2 3 4 5 6 7

The following items refer to the procedures that are used by the organization in deciding important outcomes that you
receive. For example, the organization may utilize performance appraisal system to make decisions regarding promotions,
pay raises etc. In answering the questions below, please consider only the procedures used by your organization to make
decisions.
to a to a
2. To what extent have your organizations procedures. small large
extent extent
2a. been applied consistently? 1 2 3 4 5 6 7
2b. been free of bias? 1 2 3 4 5 6 7
2c. been based on accurate information? 1 2 3 4 5 6 7
2d. upheld ethical and moral standards? 1 2 3 4 5 6 7

to a to a
To what extent have you small large
extent extent
2e. been able to express your views and feeling during your 1 2 3 4 5 6 7

121
organizations procedures?
2f. had influence over the outcome arrived at by your 1 2 3 4 5 6 7
organizations procedures?
2g. been able to challenge or question the outcome arrived at by 1 2 3 4 5 6 7
your organizations procedures?

The following items refer to the way procedures are carried out by the organization. In answering the questions below,
please think specifically about how the organization acts in carrying out its procedures.
3. With respect to carrying out procedures, to what extent has your to a to a
organization small large
extent extent
3a. treated you in a polite manner? 1 2 3 4 5 6 7
3b. treated you with dignity? 1 2 3 4 5 6 7
3c. treated you with respect? 1 2 3 4 5 6 7
3d. refrained from improper remarks or comments? 1 2 3 4 5 6 7
3e. been candid in communications with you? 1 2 3 4 5 6 7
3f. explained the procedures thoroughly? 1 2 3 4 5 6 7
3g. provided reasonable explanations about the procedures 1 2 3 4 5 6 7
used?
3h. communicated details in a timely manner? 1 2 3 4 5 6 7
3i. seemed to tailor communications to your specific needs? 1 2 3 4 5 6 7

For each item below, please circle the number that best describes the extent to which you agree or disagree with each
statement regarding your work organization.
Strongly Strongly
disagree agree
4a. I believe that this organization has high integrity. 1 2 3 4 5 6 7
4b. I can expect this organization to treat me in predictable 1 2 3 4 5 6 7
and consistent fashion.
4c. This organization is not always honest and truthful. 1 2 3 4 5 6 7
4d. In general, I believe this organizations motives and 1 2 3 4 5 6 7
intentions are good.
4e. This organization is open and up front with me. 1 2 3 4 5 6 7
4f. I am not sure if I fully trust this organization. 1 2 3 4 5 6 7
4g. Even if I did the best job possible, the organization would 1 2 3 4 5 6 7

122
fail to notice.

4h. Help is available from the organization when I have a 1 2 3 4 5 6 7


problem.
4i. The organization really cares about my well being. 1 2 3 4 5 6 7
4j. The organization takes pride in my accomplishments at 1 2 3 4 5 6 7
work.
4k. The organization cares about my opinion. 1 2 3 4 5 6 7
4l. The organization shows very little concern for me. 1 2 3 4 5 6 7
4m. The organization strongly considers my goals and values. 1 2 3 4 5 6 7
4n. The organization is willing to extend itself in order to help 1 2 3 4 5 6 7
me perform my job to the best of my ability.

For each item below, please circle the number that best describes the extent to which you agree or disagree with each
statement regarding your supervisor.
Strongly Strongly
disagree agree
5a. I believe my supervisor has high integrity. 1 2 3 4 5 6 7
5b. I can expect my supervisor to treat me in a predictable and 1 2 3 4 5 6 7
consistent fashion.
5c. My supervisor is not always honest and truthful. 1 2 3 4 5 6 7
5d. In general, I believe my supervisors motives and 1 2 3 4 5 6 7
intentions are good.
5e. My supervisor is open and up front with me. 1 2 3 4 5 6 7
5f. I am not sure if I fully trust my supervisor. 1 2 3 4 5 6 7
5g. My supervisor would be personally inclined to help me 1 2 3 4 5 6 7
solve problems in my work.
5h. My working relationship with my supervisor is effective. 1 2 3 4 5 6 7
5i. I have enough confidence in my supervisor that I would 1 2 3 4 5 6 7
defend and justify his/her decisions if he or she were not
present to do so.
5j. My supervisor considers my suggestions for change. 1 2 3 4 5 6 7
5k. My supervisor and I are suited to each other. 1 2 3 4 5 6 7
5l. My supervisor understands my problems and needs. 1 2 3 4 5 6 7

123
5m. My supervisor recognizes my potential. 1 2 3 4 5 6 7

The following items refer to important outcomes you potentially receive that are decided by your supervisor. For example,
your supervisor may control outcomes such as merit based pay raises and other performance-related rewards. In answering the
questions below, please consider only those outcomes that are controlled by your supervisor.
to a to a
6. To what extent have your outcomes that are controlled by your small large
supervisor extent extent
6a. reflected the effort you have put into your work? 1 2 3 4 5 6 7
6b. been appropriate for the work you have completed? 1 2 3 4 5 6 7
6c. reflected what you have contributed to the organization? 1 2 3 4 5 6 7
6d. seemed justified, given your performance? 1 2 3 4 5 6 7

The following items refer to the procedures that are used the supervisor in deciding important outcomes that you receive.
For example, your supervisor may create procedures regarding managing work load, shift hours, etc. In answering the
questions below, please consider only the procedures used by your supervisor to make decisions.
7. With respect to deciding important outcomes, to what extent To a to a
have your supervisors procedures. small large
extent extent
7a. have been applied consistently? 1 2 3 4 5 6 7
7b. been free of bias? 1 2 3 4 5 6 7
7c. been based on accurate information? 1 2 3 4 5 6 7
7d. upheld ethical and moral standards? 1 2 3 4 5 6 7

To a to a
To what extent have you small large
extent extent
7e. been able to express your views and feeling about your 1 2 3 4 5 6 7
supervisors procedures?
7f. had influence over the outcome arrived at by your 1 2 3 4 5 6 7
supervisors procedures?
7g. been able to appeal the outcome arrived at by your 1 2 3 4 5 6 7
supervisors procedures?

124
The following items refer to the way procedures are carried out by your supervisor. In answering the questions below,
please think specifically about how your supervisor acts while carrying out its procedures.
to a to a
8. To what extent has your supervisor small large
extent extent
8a. treated you in a polite manner? 1 2 3 4 5 6 7
8b. treated you with dignity? 1 2 3 4 5 6 7
8c. treated you with respect? 1 2 3 4 5 6 7
8d. refrained from improper remarks or comments? 1 2 3 4 5 6 7
8e. been candid in his/her communications with you? 1 2 3 4 5 6 7
8f. explained the procedures thoroughly? 1 2 3 4 5 6 7
8g. provided reasonable explanations about the procedures 1 2 3 4 5 6 7
used?
8h. communicated details in a timely manner? 1 2 3 4 5 6 7
8i. seemed to tailor his/her communications to your specific 1 2 3 4 5 6 7
needs?

For each of the item below, please circle the number that best describes the extent to which you agree or disagree with the
following statements.
Strongly Strongly
disagree agree
9a. I prefer to depend on myself than others. 1 2 3 4 5 6 7
9b. I rely on myself most of the time. 1 2 3 4 5 6 7
9c. I rarely rely on others. 1 2 3 4 5 6 7
9d. I often do my own thing. 1 2 3 4 5 6 7
9e. My personal identity, independent of others, is very 1 2 3 4 5 6 7
important to me.
9f. It is important that I do my job better than others. 1 2 3 4 5 6 7
9g. Winning is everything. 1 2 3 4 5 6 7
9h. Competition is the law of nature. 1 2 3 4 5 6 7
9i. When another person does better than I do, I get tense. 1 2 3 4 5 6 7
9j. If a coworker gets a prize, I would feel proud. 1 2 3 4 5 6 7
9k. The well being of my coworkers is important to me. 1 2 3 4 5 6 7
9l. To me pleasure is spending time with others. 1 2 3 4 5 6 7

125
9m. I feel good when I cooperate with others. 1 2 3 4 5 6 7
9n. Parents and children must stay together as much as 1 2 3 4 5 6 7
possible.
9o. Family members should stick together, no matter what 1 2 3 4 5 6 7
sacrifices are required.
9p. It is important to me that I respect the decisions made by 1 2 3 4 5 6 7
my group.
9q. Employees should not disagree with management 1 2 3 4 5 6 7
decisions.
9r. Managers should seldom ask for the opinions of 1 2 3 4 5 6 7
employees.
9s. It is frequently necessary for managers to use power and 1 2 3 4 5 6 7
authority when dealing with subordinates.
9t. Employees in a company should pay high respect to their 1 2 3 4 5 6 7
direct supervisor.
9u. Managers should try to look less powerful than they are. 1 2 3 4 5 6 7
9v. Subordinates should consider supervisors as being of a 1 2 3 4 5 6 7
different kind.
9w. I am confident that justice always prevails over injustice. 1 2 3 4 5 6 7
9x. I firmly believe that injustices in all areas of life (e.g., 1 2 3 4 5 6 7
politics, family, professional.) are the exception rather than
the rule.
9y. I think that people try to be fair when making important 1 2 3 4 5 6 7
decisions.
9z. I am convinced that people will be compensated for 1 2 3 4 5 6 7
injustices.
10a. I believe that, by and large, people get what they fairly 1 2 3 4 5 6 7
deserve.
10b. I basically believe the world is a just (fair) place. 1 2 3 4 5 6 7
10c. A lot of people suffer an unjust (unfair) fate. 1 2 3 4 5 6 7
10d. I feel that important decisions are often unfair. 1 2 3 4 5 6 7
10e. I basically believe that the world is an unjust (unfair) 1 2 3 4 5 6 7
place.

126
10f. I feel that people wont be compensated for injustices 1 2 3 4 5 6 7
too often.

For each of the following pairs of statements, please assign a total of ten (10) between the two options to express the
strength of your preference. Note: the total points assigned to the options for any one questions must total 10 points.

11. In any organization, (and not just XYZ Fertilizers Ltd.) I


might work for
__6___ be liked by the supervisor.
Example: It would be more important for my to = 10 __3___ be liked by the organization.
..
______ get from the organization.
11a. It would be more important for me to = 10 ______ give to the organization.
______ help others. .
11b. It would be more important for me to = 10 ______ watch out for my own good.
______ what I receive from the organization.
11c. I would be more concerned about. = 10 ______ what I contribute to the organization.

______ benefit the organization.


11d. The hard work I would do should = 10 ______ benefit me.

For each item below, please circle the number that best describes the extent to which you agree or disagree with each
statement regarding your own behaviors.
12. While engaging in activities that are likely to enhance my Strongly Strongly
performance (such as requesting information helpful to myself disagree agree
and/or gathering support for my ideas), I
12a. am demanding and set deadlines. 1 2 3 4 5 6 7
12b. express my anger verbally. 1 2 3 4 5 6 7
12c. have a showdown in which I confront him/her face to 1 2 3 4 5 6 7
face.
12d. make the other person feel good about me before 1 2 3 4 5 6 7

127
making my request.
12e. act very humbly to the person while making my 1 2 3 4 5 6 7
request.
12f. act in a friendly manner prior to asking for what I 1 2 3 4 5 6 7
want.

12g. present the person with information in support of my 1 2 3 4 5 6 7


point of view.
12h. explain the reasons for my request. 1 2 3 4 5 6 7
12j. use logic to convince the person. 1 2 3 4 5 6 7
12k. obtain the support of coworkers to back up my 1 2 3 4 5 6 7
request.
12m. obtain the support of my subordinates to back up my 1 2 3 4 5 6 7
request.
12n. mobilize other people in the organization to help me 1 2 3 4 5 6 7
influence the person.
12o. offer an exchange (e.g., if you do this for me, I will do 1 2 3 4 5 6 7
something for you).
12p. remind the person of past favors I did for them. 1 2 3 4 5 6 7
12q. offer to make a personal sacrifice if the person does 1 2 3 4 5 6 7
what I want (e.g., work late, work harder, do his/her share of
work.)
12r. make a formal appeal to higher levels to back up my 1 2 3 4 5 6 7
request.
12s. obtain the informal support of higher ups. 1 2 3 4 5 6 7
12t. rely on the chain of command (e.g., on people higher 1 2 3 4 5 6 7
up in the organization who have power over the person).

128
For each item below, please circle the number that best describes the extent to which you agree or disagree with each
statement regarding your own behaviors.
Strongly Strongly
disagree agree
13a. I share work related information with others rather than 1 2 3 4 5 6 7
keeping it to myself.
13b. I keep others informed about work-related issues. 1 2 3 4 5 6 7
13c. I make a real attempt to share information with others. 1 2 3 4 5 6 7
13d. I share information which I think might be useful to 1 2 3 4 5 6 7
others.
13e. I consider failure of some ideas as being normal. 1 2 3 4 5 6 7
13f. I offer ideas knowing that some will fail. 1 2 3 4 5 6 7
13g. I suggest drastically new ways to looking at the problem 1 2 3 4 5 6 7
even when I am unsure of the outcome.
13h.I offer ideas which, if they fail, might affect my 1 2 3 4 5 6 7
reputation.
13i. I defer (put-off) responsibility of actively suggesting 1 2 3 4 5 6 7
new ideas.
13j. I put forth limited effort in brainstorming sessions. 1 2 3 4 5 6
13k. I avoid offering new ideas and suggestions, knowing 1 2 3 4 5 6 7
that others will.
13l. I spend limited time solving problems, knowing that 1 2 3 4 5 6 7
others will as they require.

For each item below, please circle the number that best describes your performance.
14. In order to bring down the cost of operations, I. To a To a
small great
extent extent
14a. seek and accept new challenges. 1 2 3 4 5 6 7
14b. create new opportunities. 1 2 3 4 5 6 7
14c. offer imaginative ideas and solutions to problems. 1 2 3 4 5 6 7
14d. step outside the traditional boundaries and constraints. 1 2 3 4 5 6 7

129
15. In order to improve the quality of products and services, I
.
15a. seek and accept new challenges. 1 2 3 4 5 6 7
15b. create new opportunities. 1 2 3 4 5 6 7
15c. offer imaginative ideas and solutions to problems. 1 2 3 4 5 6 7
15d. step outside the traditional boundaries and constraints. 1 2 3 4 5 6 7

16. In terms of planning and paying attention to detail regarding


a days routine tasks, I..
16a. am able to lay down a plan of action for the days routine 1 2 3 4 5 6 7
activities.
16b. am able to pay attention to details that affect quality of the 1 2 3 4 5 6 7
days routine work.
16c. am able to perform the days routine tasks well. 1 2 3 4 5 6 7

For the items below, please indicate your agreement with each statement.
To a To a
17. In my organization small great
extent extent
17a. job performance is directly linked to annual salary 1 2 3 4 5 6 7
increases.
17b. job performance is directly linked to promotion 1 2 3 4 5 6 7
opportunities.
17c. high job performance is recognized. 1 2 3 4 5 6 7
17d. high job performance is rewarded. 1 2 3 4 5 6 7

130
Please provide the following information about yourself, your supervisor and Indo-Gulf Fertilizers Ltd. This
information will not be used to identify you, but rather to provide contextual information to help us
understand the studys results.

Age ________years

Gender (check one) ________Male _______Female


Level of Education (check one)
________Bachelors Degree _______Masters Degree
________ Other; please specify: _______________________

How many positions have you held in this organization? _____________________

What is your current title? _____________________


How long have you held this title? _____________________ years

How long have you worked with this organization? _____________________ years

Based on organizational hierarchy, which best describes your position?


_______ Senior or upper-level management
_______ Middle-level management
_______ Lower management

Which best describes your overall performance in the organization?


_______ Excellent
_______ Good
_______ Satisfactory
_______ Unsatisfactory
_______ Poor

How long have you worked under your current supervisor? _____________________

Which best describes you current job?


_______ High level of complexity _______ High level of difficulty
_______ Medium level of complexity _______ Medium level of difficulty
_______ Low level of complexity _______ Low level of difficulty

131
Please respond to these questions using the following scale.

1 2 3 4 5

Which face comes closest to expressing how you feel about your supervisor right 1 2 3 4 5
now?
Which face comes closest to expressing how you feel about your organization right 1 2 3 4 5
now?
Which face comes closest to expressing how you feel about your job right now? 1 2 3 4 5

Thank you for your time and participation!

132
Appendix 6: Supervisor Survey

Please use a scale of 1 to 7 with one being strongly disagree and 7 being strongly agree to evaluate employee
performance. Employee names are written in boxes at the top of each column. For each item below, please write
the number that best describes the extent to which you agree or disagree with each statement regarding the
employees behaviors. Note: Please evaluate employee behavior with others in the company and not just with
you.

1 2 3 4 5 6 7

Strongly Disagree Somewhat Neither disagree Somewhat Agree Strongly


Disagree disagree nor agree agree agree

Employees name
To evaluate employees behaviors, please use the columns
corresponding to that employees name.

Ravi Gupta
1. While engaging in activities that are likely to enhance

Example,
his/her performance (such as requesting information helpful
to himself/herself and/or gathering support for his/her ideas),
this employee...

1a. tries such things as demands, the setting of deadlines, 7


and the expression of strong emotions.

1b. expresses anger verbally. 5

1c. has a showdown in which he/she confronts others face 4


to face.

1d. makes the other person feel good about himself/herself 3


before making his/her request.

133
1e. .acts very humbly to the person while making the 4
request.

1f. .acts in a friendly manner prior to asking for what 2


he/she wants

1g. presents the person with information in support of 1


his/her point of view.

1h. explains the reasons for his/her request. 5

1j. uses logic to convince the person. 7

1k. obtains the support of coworkers to back up his/her 2


request.

1m. obtains the support of his/her subordinates to back up 5


his/her request.

134
1 2 3 4 5 6 7

Strongly Disagree Somewhat Neither disagree Somewhat Agree Strongly


Disagree disagree nor agree agree agree

Employees name
To evaluate employees behaviors, please use the
columns corresponding to that employees name.

Ravi Gupta
1. While engaging in activities that are likely to enhance

Example,
his/her performance (such as requesting information helpful
to himself/herself and/or gathering support for his/her ideas),
this employee...

1n. mobilizes other people in the organization to help 5


himself/herself in influencing the person.

1o. offers an exchange (e.g., if you do this for me, I will 4


do something for you.)

1p. reminds the person of past favors he/she did for them. 3

1q. offers to make a personal sacrifice if the person does 7


what he/she want (e.g., work late, work harder, do his/her
share of work etc.)

1r. makes a formal appeal to higher levels to back up 5


his/her request.

1s. obtains the informal support of higher ups. 6

135
1t. relies on the chain of command (e.g., on people higher 6
up in the organization who have power over the person).

1 2 3 4 5 6 7

Strongly Disagree Somewhat Neither disagree Somewhat Agree Strongly


Disagree disagree nor agree agree agree

Employees name
To evaluate employees behaviors, please use the columns

Ravi Gupta
corresponding to that employees name.

Example,
2. The extent to which you agree or disagree that this
employee...

2a. suggests radically new ways to looking at the problem 7


even when he/she is unsure of the outcome.

2b. offers ideas which if they fail might affect his/her 6


reputation.

2c. offers ideas knowing that some will fail. 5

2d. considers the failure of some ideas as being normal. 5

2e. shares work-related information with others rather than 7


keeping it to himself/herself.

136
2f. keeps others informed about work-related issues. 3

2g. makes a real attempt to share information with others. 4

2h. shares information which he/she thinks might be useful 5


to others.

2i. puts-off the responsibility of actively suggesting new 7


ideas.

2j. puts forth limited in brainstorming sessions. 1

2k. avoids offering new ideas and suggestions, knowing that 2


others will.

2l. spends limited time solving problems knowing that 4


others will as they require.

137
1 2 3 4 5 6 7

Strongly Disagree Somewhat Neither disagree Somewhat Agree Strongly


Disagree disagree nor agree agree agree

Employees name
Please use the columns corresponding to that employees
name to respond to the following questions.

Ravi Gupta
Example,
Please write the number that best describes the extent to
which you agree or disagree with each statement regarding
these employees.

3a. He/she would be personally inclined to help me solve 1


problems in my work.

3b. My working relationship with him/her is effective. 3

3c. I have enough confidence in him/her that I would defend


and justify his/her decisions if he or she were not present to 4
do so.

3d. He/she considers my suggestions for change. 5

3e. He/she and I are suited to each other. 2

3f. He/she understands my problems and needs. 7

138
3g. He/she recognizes my potential. 3

3h. I am confident in his/her ability to be creative. 5

3i. I feel that his/her performance is a reflection of my 6


guidance.

3j. I like him/her better than others. 2

3k. I feel his/her performance is likely to positively influence


your departments performance ratings. 4

3l. In reality, he/she deserves lower performance ratings than


given.

3m. If his/her performance ratings are poor then it will


negatively affect my reputation amongst other employees.

139
1 2 3 4 5 6 7

Strongly Disagree Somewhat Neither disagree Somewhat Agree Strongly


Disagree disagree nor agree agree agree

Employees name
The following items ask you to evaluate your employees

Ravi Gupta
performance along three dimensions. Please write the

Example,
number that best describes the employees performance
in the columns corresponding to that employees name.

4. In order to bring down the cost of operations, to what


extent does this employee .
4a. seeks and accepts new challenges.
1
4b. creates new opportunities.
2
4c. offers imaginative ideas and solutions to problems.
5
4d. steps outside the traditional boundaries and constraints.
7
5. In order to improve the quality of products and services,
to what extent does this employee .
5a. seeks and accepts new challenges.
3
5b. creates new opportunities.
7
5c. offers imaginative ideas and solutions to problems.
4
5d. steps outside the traditional boundaries and constraints.
5

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6. In terms of planning and paying attention to detail to
days routine work, to what extent does this employee .
6a. is able to lay down a plan of action for the days routine
activities. 4
6b. is able to pay attention to details that affect the quality of
the days routine work. 6
6c. is able to perform a days routine tasks well.
6

Please provide the following information about yourself, your employees, and Indo-Gulf Fertilizers Ltd. This
information will not be used to identify you, but rather to provide contextual information to help us
understand the studys results.

Age ________years

Gender (check one) ________Male _______Female

How many positions have you held in this organization? _____________________

How long have you worked with this organization? _____________________ years

Based on organizational hierarchy, which best describes your position?


_______ Senior or upper-level management
_______ Middle-level management
_______ Lower management

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Which best describes your overall performance in the organization?
_______ Excellent
_______ Good
_______ Satisfactory
_______ Unsatisfactory
_______ Poor
Which best describes the performance appraisal system of the organization?
_______ Very effective
_______ Effective
_______ Satisfactory
_______ Not Effective
_______ Useless

How long have you worked with each of the following employees?
1. Ravi Gupta ___5__ years __6___months
______ years ______months
______ years ______months
______ years ______months
______ years ______months

Thank you for your time and participation!

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