The measurement model of performance determinants: A case study of Islamic insurance (takaful) in Malaysia

Abstract

Purpose

The study aims to investigate the measurement model of four constructs, namely, spirituality at the workplace (SP), Islamic spirituality (ISP), organizational commitment (OC) and organizational citizenship behaviours (OCB). The study aims to contribute new knowledge to the existing literature whereby performance determinants comprising these constructs, serve to improve employee well-being which ultimately improves organizational performance.

Design/methodology/approach

Using disproportionate stratified random sampling, the survey data used for this empirical research were drawn from 482 employees working in takaful agencies in Malaysia. After yielding an instrument to measure SP, ISP, OCB and OC, principal component analysis (PCA) using SPSS and confirmatory factor analysis (CFA) using AMOS were carried out.

Findings

Good fit indices from CFA revealed that OC is explained by three variables, namely, normative, continuance and affective; SP is also explained by three variables comprising alignment with organizational values (AWOV), sense of community (SC) and meaningful work (MW); ISP is explained by three variables comprising belief, forgiveness and remembrance of Allah; and finally, OCB is explained by civic virtue, conscientiousness and altruism. The findings of this study will enable Islamic insurance companies to understand the importance of spirituality and Islamic spirituality on well-being and will further improve their function and performance by way of enhancing employees’ spirituality in the workplace. Moreover, Human Resource development professionals, organizational managers and government authorities may use the findings of this study to justify their efforts in designing appropriate learning and performance improvement interventions so that OC, OCB, IS and ISP among non-Muslim and Muslim employees can be monitored and further enhanced.

Originality/value

This study raises awareness on the importance of four critical constructs that can be used by corporate organizations, NGOs and other institutions, to justify their efforts in performance improvement interventions.

Citation

Djafri, F., Bin Noordin, K. and Naail Mohammed, K. (2018), "The measurement model of performance determinants: A case study of Islamic insurance (takaful) in Malaysia", International Journal of Ethics and Systems, Vol. 34 No. 2, pp. 166-185. https://doi.org/10.1108/IJOES-05-2017-0075