International Journal of Physical Distribution & Logistics Management

Psychological capital: A new tool for driver retention

Steven A. Schulz, Kyle W. Luthans, Jake G. Messersmith,
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Steven A. Schulz, Kyle W. Luthans, Jake G. Messersmith, (2014) "Psychological capital: A new tool for
driver retention", International Journal of Physical Distribution & Logistics Management, Vol. 44 Issue: 8/9,
pp.621-634, https://doi.org/10.1108/IJPDLM-06-2013-0174
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Psychological capital Psychological

capital
A new tool for driver retention
Steven A. Schulz
Department of Marketing and MIS, University of Nebraska at Kearney,
Kearney, Nebraska, USA
621
Kyle W. Luthans and Jake G. Messersmith
Department of Management, University of Nebraska at Kearney, Kearney,
Nebraska, USA
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Abstract
Purpose – A number of studies have identified a relationship between the positive psychological
capital (PsyCap) of employees and desirable outcomes. Given current and projected shortages of truck
drivers that could become the “Achilles heel” of the global supply chain, the purpose of this paper is to
test whether and how drivers’ attitudes and PsyCap relates to their intentions to quit.
Design/methodology/approach – Using survey data from truckload drivers (n ¼ 251) from two
major transportation firms, correlation, regression, and path analysis were conducted to assess the
relationship between job satisfaction, organizational commitment, PsyCap, and intentions to quit.
Findings – Results of this study indicate strong positive relationships between PsyCap and job
satisfaction and organizational commitment and a strong negative correlation with intentions to
quit. Structural equation modeling suggests that job satisfaction and organizational commitment
mediate the relationship between PsyCap and turnover intentions.
Practical implications – Managerial implications for recognizing, understanding, and developing
PsyCap in the transportation industry are derived from this study. Specific training guidelines
are provided.
Originality/value – The major contribution of this paper is that it provides, for the first time,
empirical evidence that PsyCap can be utilized to improve retention rates for truckload drivers.
Keywords Employee turnover, Psychological capital, Driver retention,
Psychological capital development
Paper type Research paper

Globalization of markets and the emergence of the supply chain as a strategic function are
contributing to the shortfall of talent in supply chain management. Demographics also
affect the future supply of workforce talent as the number of retirees is expected to rise
dramatically. In a report by the World Economic Forum and the Boston Consulting Group
(2011), the northern hemisphere faces talent shortages in a number of occupational clusters
along every point of the supply chain. Manufacturing, distribution, and transportation
companies will continue to face shortages of qualified individuals to fill the growing
need for skilled employees. In order to develop an adequate supply of talent and skills,
organizations need to focus on the recruitment and retention of their employees (Cottrill,
2010). In particular, firms need to redefine retirement and transform management
and human resource practices in order to attract and retain workers of all ages and
backgrounds (Dychtwald et al., 2006). The focus of this report will be on the transportation International Journal of Physical
industry in general and on the trucking industry in particular. Distribution & Logistics Management
Vol. 44 No. 8/9, 2014
Trucking companies in the global supply chain are facing a crisis. In this era pp. 621-634
© Emerald Group Publishing Limited
of high unemployment, the paradox is that these firms cannot find enough truckload 0960-0035
drivers to fill their needs. White (2008) reported on this coming shortage of drivers and DOI 10.1108/IJPDLM-06-2013-0174
 IJPDLM Isidore (2010) projected a shortage of 400,000 drivers in the USA by 2014. Currently, the
Truckload Carriers Association has estimated a shortage of at least 200,000 drivers.
44,8/9 Beyond the US, a shortage of truckload drivers has also been forecasted globally. For
example, a new study released by the Conference Board estimated a shortage of 25,000
to 33,000 truck drivers in Canada by 2020 (Transport Topics, 2013). In addition, The
Wall Street Journal recently reported that a projected shortage of truckload drivers is
622 expected to impact markets across Europe (Rauwald and Schmidt, 2012). As a critical
link in the global supply chain, the shortage of drivers has already led to higher freight
rates and longer delivery times (Davidson, 2012).
A major reason for the shortage of drivers is voluntary turnover, which reached an
astounding 89 percent in 2011( Jackson and Feld, 2012). While the turnover rate for less-
than-truckload drivers is lower (Berman, 2012), the focus of this study is on those who
drive long distances usually on irregular routes. Some have speculated that the high
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turnover rate for these truckload drivers has been fueled by competition for skilled
labor from other industries such as construction, creating a tight labor market in the
transportation industry ( Jackson and Feld, 2012). Other factors include lack of
communication, lack of respect, extensive time away from home, insecurity toward
top-management, and pay and benefits. These issues not only lead drivers to leave
the industry, but also contribute to a high churn rate for trucking firms (Harrison
and Pierce, 2009).
Extant research has demonstrated a negative relationship between voluntary
employee turnover in a variety of contexts and organizational performance measures,
including hospital efficiency (Alexander et al., 1994), hotel profits (Simons and Hinkin,
2001), profit per loan in financial services (McElroy et al., 2001), and the profitability
of temporary employment agencies (Glebeek and Bax, 2004). A comprehensive
meta-analytic review by Hancock et al. (2013) found that the negative relationship
between turnover and organizational performance is stronger in manufacturing
and transportation industries. In a study of motor carriers, Shaw et al. (2005) found that
the voluntary turnover rates of truck drivers had an adverse relationship with key
industry performance measures such as revenue per driver, accident frequency ratio,
and out-of-service percentage.
Various HR practices and high performance work systems have traditionally been
noted to combat voluntary turnover (i.e. Huselid, 1995). For example, Shaw et al. (1998)
reported that salary and benefits were negatively related to employee turnover rates.
Recently, Muse and Wadsworth (2012) reported that the depth and diversity of benefits
packages has a strong negative relationship with turnover intentions and a positive
linkage with job dedication. Previous research on driver turnover has focused on either
the economics of driver replacement or the demographic profiles of drivers (Suzuki
et al., 2009). For example, in a study of truck drivers, Shaw and Gupta (2007) noted
a significant negative relationship between pay dispersion and the turnover of good
performers when incentive-based pay increases were emphasized and a strong positive
relationship when incentive-based pay increases were not emphasized. In a separate
study, Shaw et al. (2009) found that human resource management (HRM) inducements
and investments such as training, pay levels, benefits, and job security were significantly
and negatively related to the quit rates of high performing drivers.
As these studies suggest, there is a strong correlation between HRM practices and
employee attitudinal measures such as job satisfaction, organizational commitment,
and turnover intentions. However, given the tight labor market conditions and high
level of employee turnover in the trucking industry, it is important to consider
 additional strategies for managing employee commitment and retention. Beyond the Psychological
implementation of specific practices, we propose that the development of positive
psychological resources such as hope, efficacy, resiliency, and optimism (i.e. psychological
capital
capital (PsyCap), Luthans et al., 2004, 2007) among drivers might be a key to improving
desired attitudes and lowering turnover.
In proposing a linkage between positive PsyCap and turnover intentions this paper
offers three contributions to the literature. First, this study addresses a persistent and 623
practical issue faced by the trucking industry – employee turnover. Since there is not a
career ladder for most drivers, a key motivation in most turnover decisions is directed by
the thought that work would be better at another organization (Belman et al., 1998; Shaw
and Gupta, 2007). Second, the trucking industry offers a distinct work environment that
has not been assessed in PsyCap research. Exploring the relationship between positive
PsyCap and turnover rates within this context offers a theoretical extension to the
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boundary conditions of work within this scientific paradigm. Finally, this paper contributes
to existing knowledge by building a theoretical bridge at the individual driver level.

Background of psychological capital

The emergence of the positive psychology movement has reinforced the notion that
psychological strengths and resources can shape attitudes and lead to desirable
outcomes in a variety of domains and workplace outcomes (e.g. Lyubomirsky et al.,
2005). The positive psychology movement has sought to shift the predominant focus of
research in the field of psychology away from what is “wrong” with people and direct it
toward the positive qualities and traits of individuals, or what is “right” with people.
The goal of the movement has been to use scientific methodology to analyze and
promote factors that focus on health and vitality and to build upon the strengths
of people rather than being preoccupied with their weaknesses (Seligman and
Csikszentmihalyi, 2000).
Drawing from this positive psychology movement, Luthans (2002a) has called for
research which demonstrates the effectiveness and applicability of positive psychological
resources in the workplace. The term “positive organizational behavior” or simply POB,
was coined by Luthans (2002b) and defined as, “the study and application of positively
oriented human resource strengths and psychological capacities that can be measured,
developed, and effectively managed for performance improvement in today’s workplace”
(p. 59). Luthans (2002b) also noted that in order to be considered part of POB, the positive
construct must be grounded in theory and research, it must have valid and reliable
measures, it must be “state-like” and thus be open to development, and it must
demonstrate a positive impact on attitudes, behaviors, and workplace performance.
According to Luthans (2002a), the psychological resources that have been determined to
best meet these aforementioned inclusionary criteria of POB include hope, efficacy,
optimism, and resilience.
Theory development (Luthans and Youssef, 2007; Luthans et al., 2007) and extant
research (Luthans et al., 2007) indicate that the identified POB states of hope, efficacy,
optimism, and resilience represent a single latent, core factor termed PsyCap. PsyCap is
defined as, “an individual’s positive psychological state of development characterized
by: first, having confidence (self-efficacy) to take on and put in the necessary effort to
succeed at challenging tasks; second, making a positive attribution (optimism) about
succeeding now and in the future; third, persevering toward the goals, and when
necessary, redirecting paths to goals (hope) in order to succeed; and fourth, when beset
by problems and adversity, sustaining and bouncing back and even beyond (resilience)
 IJPDLM to attain success” (Luthans et al., 2007, p. 3). PsyCap has been identified as going
beyond traditional economic capital (what you have), human capital (what you know)
44,8/9 and social capital (who you know), and consists of “who you are” and “what you can
become” (Luthans et al., 2004).
Given this background, the focus of this study is to test the relationship between the
PsyCap levels of truck drivers and their job satisfaction, organizational commitment,
624 and intentions to quit. Although these relationships have been assessed in other
contexts, this is the first study to explore these important linkages in the trucking
industry. Since prior research has noted the importance of pay and benefits in retaining
truck drivers (Shaw et al., 2009; Shaw and Gupta, 2007), this analysis will also provide
a comparison concerning the impact of PsyCap and perceived relative salary on
attitudinal measures.
With the current and projected labor shortage and high turnover patterns of drivers
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within the transportation industry, an examination of the relationship between the

PsyCap of truck drivers and attitudinal outcomes becomes especially relevant.
In particular, the theoretical model assessed in this study explores the relationships
between PsyCap and turnover intentions as mediated by job satisfaction and
organizational commitment. Individuals who have a greater sense of efficacy, hope,
resiliency and optimism will be more likely to be both satisfied with the work that they
are asked to accomplish and also will demonstrate greater commitment to the
organization (Avey et al., 2011; Maertz and Griffeth, 2004; Meyer and Allen, 1991). Their
high levels of efficacy help them to perform their jobs well, which in turn further
supports the satisfaction that accompanies a job well done. Further, by holding
optimistic and hopeful views toward the future these individuals are more likely to
identify with the organization and ultimately to remain committed. Job satisfaction
and organizational commitment are proximal predictors of turnover intentions, as
individuals who are satisfied with their work and committed to the success of the
organization will be less likely to entertain thoughts of leaving.
With that said, it is particularly important to explore these potential mediating
linkages in the trucking industry. As noted above, this industry is characterized by low
levels of task-interdependence (Shaw et al., 2002). Truck drivers mainly work
independently to accomplish their specified goals. Prior research has demonstrated that
in such environments employees are motivated by individual incentive-based
pay schemas (Shaw et al., 2002). This study seeks to go beyond incentive-based pay
to address additional factors that might also be at play. As such, this study explores the
boundaries of PsyCap research to determine if the pattern of relationships holds in
environments characterized by low-levels of task-interdependence. At the root of this
work is the question, do elements of an individual’s psychological state predict
commitment, satisfaction and ultimately turnover intentions in a highly individualized
context? Based upon the analysis of the results pertaining to this question, practical
implications for managing and developing PsyCap among truckload drivers is provided.

Methodology
Sample specifics and procedures
Truckload drivers employed in the United States by two international transportation
companies participated in the study. Since professional truck drivers are away from
the company a great deal, both email invitations and banners posted on a corporate
intranet across regional truck terminals were used to recruit study participants.
In both cases, a link was provided for participants to complete an online survey.
 A total of 251 drivers, residing in 35 states participated in the study. Ninety percent of Psychological
the respondents were male. Participants were informed that the goal of the project was
to better understand the perceptions and attitudes of professional drivers.
capital

Measures
An abbreviated 12-item scale (PCQ-12) from the widely used (Luthans et al., 2007) and
validated (Luthans et al., 2007) 24-item PsyCap Questionnaire (PCQ) was utilized in order to 625
assess PsyCap. The PCQ-12 has been used and validated in previously published studies
(Avey et al., 2011; Norman et al., 2010). This instrument has adapted three items each
from published efficacy (Parker, 1998) and resilience (Wagnild and Young, 1993) scales.
In addition, four items have been adapted from a published hope (Snyder et al., 1996) scale
and two items were adapted from a widely used scale of optimism (Scheier and Carver,
1985). Sample items include, “If I should find myself in a jam at work, I could think of many
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ways to get out of it” (hope pathways), “Right now, I see myself as being pretty successful
at work” (hope agency), “I always look on the bright side of things regarding my job”
(optimism), “I usually take stressful things at work in stride” (resilience), “I feel confident
about discussing my work in meetings with management” (self-efficacy). The PCQ-12 in
the current study demonstrated an internal reliability of 0.833.
Highly related to actual employee turnover is the attitudinal measure of intention to
quit (ITQ). Prior research has demonstrated that pay satisfaction, job satisfaction, and
organizational commitment can have both direct and indirect effects on turnover intent
(Lum et al., 1998). A comprehensive meta-analytic review found organizational
commitment predicted turnover better than overall job satisfaction, and that quit
intentions remained the best predictor of actual turnover (Griffeth et al., 2000). The Hom
et al. (1984) three-item intentions to quit scale was utilized to measure turnover intent.
A sample item asked, “If I have my own way, I will be working for some other
organization one year from now.” The scale in this study demonstrated adequate
internal consistency with a Cronbach’s α of 0.848.
Previous research has shown that organizational commitment is positively related
to workplace performance (Wright and Bonett, 2002) and negatively related to
absenteeism and turnover (Harrison et al., 2006). Allen and Meyer’s (1990) eight-item
scale of affective organizational commitment was utilized. The affective dimension of
organizational commitment has been noted for its unique contribution (see Judge and
Bono, 2000), as it captures the employee’s emotional desire to stay with an organization
versus a calculated decision based upon the perceived costs of leaving an organization
(i.e. continuance commitment) or a sense of obligation to stay (i.e. normative commitment).
Sample items include, “I would be very happy to spend the rest of my career with this
organization,” and “I do not feel like ‘part of the family’ at this organization” (reversed
scored). This scale demonstrated acceptable internal reliability of 0.773.
Similar to the attitudinal measure of organizational commitment, job satisfaction is
generally considered to be a desirable work-related outcome. In a comprehensive
meta-analysis on 312 samples with a combined n of 54,417, Judge et al. (2001) found a mean
true correlation between overall job satisfaction and job performance of 0.30. Lambert et al.
(2001) have also noted that job satisfaction has a significant and direct effect on turnover
intent. A three-item scale, adapted from Hackman and Oldham’s (1980) measure, was used
to assess employee job satisfaction. The α reliability for this measure was 0.840.
The study participants’ were also asked to “rank your salary relative to other people
you know in similar positions at your current employer.” This question was designed to
assess issues related to the perceived internal equity and satisfaction of employees with
 IJPDLM their current pay levels. As mentioned previously, this question was also asked in order
to compare and contrast the impact of PsyCap on attitudinal outcomes in relation to the
44,8/9 influence of perceived pay fairness on organizational commitment, job satisfaction,
and quit intentions.

Results
626 The purpose of this exploratory study was to examine the relationship between the
PsyCap of professional truckload drivers and their work-related attitudes. As expected,
PsyCap was found to be positively correlated with job satisfaction (r ¼ 0.611,
p ¼ 0.000), organizational commitment (r ¼ 0.582, p ¼ 0.000), and perceived relative
salary (r ¼ 0.389, p ¼ 0.000). In addition, PsyCap was negatively correlated with ITQ
(r ¼ −0.582, p ¼ 0.000). These results indicated that PsyCap can be an important factor
in the analysis of turnover rates for truckload drivers. See Table I fordescriptive
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statistics and the correlation table for the variables in this study.
A more specific goal of this study was to identify variables that influence turnover
rates for truckload drivers. As one would expect, ITQ was negatively correlated with
job satisfaction (r ¼ −0.631, p ¼ 0.000), organizational commitment (r ¼ −0.779,
p ¼ 0.000), and perceived relative salary (r ¼ −0.443, p ¼ 0.000). Job satisfaction was
positively correlated with organizational commitment (r ¼ 0.656, p ¼ 0.000), and
perceived relative salary (r ¼ 0.359, p ¼ 0.000).
In a separate stepwise regression model using career miles of the drivers as a control
variable, PsyCap was significantly correlated with ITQ and was the third variable to
enter the model. Perceived relative salary did not enter the model. The results suggest
that PsyCap may be more important in developing intervention programs that address
the turnover rates for truckload drivers than perceived relative salary. Organizational
commitment, job satisfaction and PsyCap entered the final model. Organizational
commitment was the first variable to enter the model (R2 ¼ 0.511, p ¼ 0.000). The last
two variables to enter the model, job satisfaction and PsyCap, raised the R2 to 0.589 and
0.602, respectively (p ¼ 0.000 for each variable). Perceived relative salary did not enter
the model (see Table II).

Mean SD 1 2 3 4

1. Psychological capital 4.654 0.669 1

Table I. 2. Job satisfaction 5.433 1.181 0.611* 1
Mean, standard 3. Intention to quit 2.744 1.568 −0.579* −0.631* 1
deviations, and 4. Organizational commitment 4.345 1.148 0.582* 0.656* −0.779* 1
correlations of 5. Perceived relative salary 6.650 2.272 0.389* 0.359* −0.443* 0.469*
study variables Note: *Correlation is significant at the 0.01 level (two-tailed)

Predictors R R2 Adjusted R2 ΔF Δp

Organizational commitment 0.715 0.511 0.507 129.718 0.000

Table II. Job satisfaction 0.767 0.589 0.584 117.748 0.000
Stepwise regression PsyCap 0.776 0.602 0.595 92.999 0.000
model summary Notes: Dependent variable: ITQ. PsyCap, psychological capital
 In addition, a separate path analysis was completed to provide a more Psychological
thorough understanding of the relationships between the measured variables.
More specifically, LISREL 8.80 ( Jöreskog and Sörbom, 1993) with maximum
capital
likelihood estimation was used to examine a potential mediation model. Since
PsyCap has been linked to attitudinal variables in previous studies (Avey et al., 2011),
we expected that these variables might mediate the relationship between PsyCap
and turnover intentions. Individuals with higher levels of PsyCap may be more 627
likely to have positive attributions, to be satisfied with their work, and loyal
to their organization.
Prior to testing the model, an exploratory factor analysis (EFA) was conducted to
assess the dimensions of the various constructs assessed in the study. The EFA
showed that job satisfaction, organizational commitment, and turnover intentions were
best represented by a unidimensional construct. Therefore, the average of the items
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was taken to reflect each of these measures. The PsyCap items mapped on to three
separate sub-constructs. As a result, these items were parceled together to form the
three manifest constructs that produce the latent construct of PsyCap. Parceling has
been demonstrated to allow for a more thorough representation of latent constructs by
increasing reliability and decreasing the probability of distributional violations (Little
et al., 2002). In addition, parcels have been noted to be more effective with relatively
smaller sample sizes, because they require fewer parameters to be estimated (Bagozzi
and Edwards, 1998; Bagozzi and Heatherton, 1994; Little et al., 2002) and allow for a
greater ratio between subjects and items.
After fitting a measurement model with strong model fit ( χ2 ¼ 15.513; df ¼ 9;
p ¼ 0778; RMSEA ¼ 0.0730; CFI ¼ 0.986) a structural model was tested. The results of
this analysis suggest a reasonable fit for a mediation model ( χ2 ¼ 25.961; df ¼ 15;
p ¼ 0384; RMSEA ¼ 0.0699; CFI ¼ 0.979). The completely standardized structural path
information is presented in Figure 1. As seen from this model, PsyCap is positively
related to both job satisfaction and organizational commitment, which in turn are
negatively related to turnover intentions. Overall, the model provides preliminary
information suggesting that PsyCap may affect turnover intentions through the
mediational elements of job satisfaction and organizational commitment.

Job Satisfaction
0.749* –0.201*

Turnover
PsyCap
Intentions

0.864* –0.594*

Org.
0.087
Commitment
–107

Relative Pay Career Miles

Figure 1.
Notes: 2 = 25.961; df =15; p = 0384; RMSEA = 0.0699; CFI = 0.979, Structural mediation
model
* p <0.01 – Completely Standardized  Paths Presented
 IJPDLM Discussion
The results of this study offer important insights to both theory and practice. From a
44,8/9 theoretical standpoint the exploratory model linking PsyCap to turnover intentions
through the mediating roles of organizational commitment and job satisfaction offers
an extension of PsyCap theory to highly individualized contexts. In an environment
where exchange relationships tend to be primarily driven by financial incentives,
628 preliminary evidence suggests that the psychological components of drivers also
explain additional variance in turnover intentions. This represents a theoretical
extension to existing work in this industry to include additional characteristics beyond
the HR system and specific pay characteristics that affect turnover intentions.
Overall, the exploratory theoretical model offers some additional insights regarding the
channels through which PsyCap operates and also the contexts in which PsyCap
is relevant and important. As demonstrated in other contexts PsyCap seems to
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have a profound effect on attitudinal outcomes like job satisfaction and organizational
commitment. The results of this study also indicate that PsyCap has extensive applicability
to numerous contexts and industries. This work opens the field to additional exploration of
the mediating forces through which PsyCap affects performance-based outcomes and
offers an extension of the boundary conditions of research in positive psychology.
In terms of managerial relevance, the demand for truckload drivers has never been
greater and has the potential to cripple the global supply chain if not remedied.
The findings from this study suggest that those drivers who possess greater levels of
PsyCap have higher levels of job satisfaction, commitment to their organization, and
most importantly are less likely to quit. As transportation managers seek to decrease
turnover rates among their drivers, understanding and developing PsyCap may offer an
opportunity to enhance job satisfaction and organizational commitment and, especially,
retain high performers. Although the limitations of the study design in terms of same-
source bias and lack of causal conclusions must be noted, the following strategies for
developing the PsyCap of professional drivers can be offered to assist transportation
companies in building stronger, more committed workforces with lower levels of turnover.
The pschological capital intervention (PCI) model utilized in previous research has
focused on developing the four resources of hope, optimism, efficacy/confidence, and
resiliency. Each of these, when combined into PsyCap, could be readily adapted for the
development of the PsyCap of truck drivers (Luthans et al., 2010). Importantly, this PCI
training has even been shown to be effective when delivered on-line (Luthans et al., 2008).
Drawing upon the guidelines outlined by Snyder (2000), hope is developed in the
PCI through goal design, pathway generation, and proactive alternative strategies
for overcoming various obstacles. For example, in order to enhance their levels of
hope, drivers would be asked to identify work-related goals which are specific,
measurable, attainable, relevant, and timely (i.e. “SMART” goals). Next, they would be
asked to create multiple pathways to reach the goal, anticipate potential obstacles, and
to identify the various strategies and resources required to pursue each pathway. After
examining the goals and the various routes to reach each of them, the unrealistic
paths would be discarded and a smaller number of realistic ones would be identified
(i.e. the so-called “stepping process” in hope development).
Also targeted for truck driver development in the PCI would be the major recognized
aspects of resiliency drawn from the work of Masten (2001). These include asset
and risk factors. Asset factors are measureable characteristics that predict positive
outcomes and adaptation to challenging circumstances. By contrast, risk factors
are measurable characteristics that predict negative outcomes and poor adaptation to
 adverse situations. The most effective resiliency development strategies tend to be Psychological
based upon enhancing assets (e.g. networking through professional organizations and
peers, mentoring programs, and developing knowledge, skills and abilities through
capital
training programs) and avoiding threatening situations (e.g. working long, strenuous
hours, poor communication by supervisors, losing contact with family and friends, and
driving in hazardous conditions).
Stemming from the work of Seligman (1998), the PCI model also offers a relevant 629
framework for developing realistic optimism in professional drivers. This approach
would ask the driver to reflect, diagnose, and identify self-defeating beliefs (e.g. being
away from home several nights at a time or lack of healthy food and exercise).
Next, they would be asked to reflect and evaluate the accuracy of their beliefs about
this event and how it could be turned around. Finally, if their beliefs are discounted
or questioned, they would be replaced with more realistic, constructive, and accurate
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beliefs that turn the negatives into positives.

The last, and arguably most important, psychological resource targeted for
development in the PCI model would be efficacy or confidence. Bandura (1997)
has identified four widely recognized sources of efficacy development. These include
mastery experiences and success, vicarious learning or modeling, social persuasion
and positive feedback, and psychological, physiological, and/or emotional arousal.
Specific examples of how these development techniques could be operationalized for
the enhancement of efficacy in professional drivers include the following:
(1) Mastery experiences and success. When individuals successfully accomplish
a challenging task, they are obviously more confident in their abilities to
accomplish the task again. In other words, “success builds success.” With
regard to truck drivers, a practical suggestion for developing efficacy could
relate to scheduling. In particular, inexperienced truck drivers should not be
given exceedingly stressful (e.g. away from home for extended periods of time)
or difficult (e.g. congested routes, dangerous mountain passes) assignments.
Another example would be to set high expectations and challenges for drivers
in relation to safety and on-time deliveries.
(2) Vicarious learning or modeling. Bandura (1997) noted that if individuals
observe relevant others succeed, they will have increased efficacy in their
own ability to succeed. Increased use of job shadowing, realistic job
previews, mentoring programs, and tandem driver arrangements could
result in enhanced efficacy development. Having the opportunity to regularly
communicate with relevant others and observe how high performing role
models perform their jobs instills confidence and leads to the conclusion that “if
they can do it, I can do it.”
(3) Social persuasion. Feedback is essential for learning and for increasing con-
fidence. As reported previously, a comprehensive report by Harrison and
Pierce (2009), which examined driver turnover and retention in the trucking
industry, concluded that a lack of communication and a perceived lack of
respect for drivers were key factors in predicting quit rates. Based upon
these findings, it is expected that the motivation and confidence levels of
truck drivers may be strengthened by respected, competent others who
provide coaching and sincere developmental feedback. On the other hand,
condescending attitudes by all levels of management, as well as fellow drivers,
 IJPDLM could have a disabling and deflating impact on one’s confidence and desire to
stay with the company.
44,8/9
(4) Physical and psychological arousal. A final source of efficacy is one’s physical and
emotional state of well-being. Briefly stated, if people feel overly anxious or
physically tired or sick, their efficacy will be greatly diminished. For example,
better scheduling practices could be utilized to make sure that drivers are not
630 pushed to exhaustion. In addition, realistic deadlines should be set to make sure
drivers do not feel excessive pressure and anxiety to deliver their loads on a
difficult timeline. Transportation companies could also provide wellness programs
with access to gym memberships (even while en route) and other services that
result in social interaction (e.g. bowling or golf outings) in order to prevent
burnout, manage stress, and help their drivers keep mentally and physically fit.
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Conclusions
The trucking industry is currently facing challenges of almost crisis proportions in the
recruitment and retention of truckload drivers. While the costs of recruiting and
replacing truckload drivers is well-documented, the purpose of this exploratory
research is to determine if psychological resources may play a role in efforts to retain
the best drivers working at these organizations. Previous research has consistently
linked the psychological resources of hope, resiliency, efficacy and optimism (i.e. PsyCap)
to the retention and performance of employees in numerous industries.
Results from this study demonstrate a significant relationship between PsyCap and
intentions to quit for drivers. These results may serve as a catalyst for trucking
companies to look beyond traditional solutions (i.e. increased compensation) to examine
psychological factors that are likely to influence the turnover rates of drivers. In fact,
although the results of this study do indicate that while perceived relative salary was
negatively correlated with intentions to quit, PsyCap may be an even better predictor of
turnover rates. Further, preliminary evidence also indicates that PsyCap may work
through attitudinal variables to affect turnover intentions.
The results of the analysis presented should be considered in light of the study’s
limitations. For instance, additional control variables may have been omitted that
would play a significant role in predicting turnover intentions. Relationships with
supervisors and other drivers may play a role in the turnover intentions of drivers.
While the work is inherently individual, there are still social relationships within firms
that may contribute to the turnover intentions of individuals. Further, additional
factors like embeddedness (Mitchell et al., 2001) and pay level (Shaw et al., 1998)
have been linked to turnover intentions and were not included in the present analysis.
These omitted variables may have altered the relationships tested.
An additional limitation of the current study is that the sample of truckload drivers
were all employed in the USA. Future research on PsyCap in the transportation
industry may be completed to provide insights into the retention of drivers in
international markets. In particular, scholars may endeavor to complete experimental
studies that test the causal impact of specific interventions such as those outlined
above for onboarding new drivers, or such training may be integrated with the overall
retention efforts aimed at top-performing drivers. In conclusion, recognizing and
developing PsyCap may be a valuable addition to the retention efforts of international
trucking companies attempting to manage the critical shortage of truckload drivers.
Further, such efforts have the potential to become a source of competitive advantage
 through increased capacity, cost reductions, and higher performance within this Psychological
critical, but currently very vulnerable, component of the global supply chain.
capital
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About the authors

Dr Steven A. Schulz is an Assistant Professor of Marketing at the University of Nebraska at
Kearney, teaching in strategic product management and supply chain management. He holds
a PhD in marketing from the University of Nebraska-Lincoln. He has an active interest in
strategic supply chain management and channels of distribution.
Dr Kyle W. Luthans is a Professor of Management at the University of Nebraska at Kearney,
teaching classes in human resource management and business strategy. He received his PhD in
management from the University of Nebraska-Lincoln. Dr Luthans has published previous research
which has demonstrated a linkage between human resource management high performance work
practices and organizational performance. He also has an active interest in exploring the relationship
between positive psychological capital and workplace performance in a variety of industries.
Dr Kyle W. Luthans is the corresponding author and can be contacted at: luthanskw@unk.edu
Dr Jake G. Messersmith is an Assistant Professor of Management at the University of
Nebraska-Kearney. He received his PhD from the University of Kansas. His current research
focuses on strategic human resource management and human capital development.

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