Organisational Behaviour Formative Assignment - Organizational Justice Model

Introduction

KGDV is conducting a work-at-home programme in India office. This programme has been implementing for one year and the volume of it is continually increasing. The current success can be seen mainly two parts, higher productivity in work-at-home workers and decreasing cost in office operation and adding buildings.  However, the company is also facing some problems now and some potential issues that may prevent the programme’s further development and success. This essay will imply the organisational justice model to address the current problem as well as other interventions to help the firm implement the programme continually and make sure this programme works.

Organizational justice model

Motivation has been justified as high related to job performance (Robbins and Judge, 2015). Within many motivation theories, organisational justice theory will be applies in this case. The current problem the firm facing is that workers who cannot engage in work-at-home programme feel at a disadvantage and at a lower level compared with their counterparts. Organisational justice model is closely related to the current problem and can be applied to the issue. Organizational justice refers to people’s overall subjective perceptions of fairness in organisations (Colquitt, Conlon, Wesson, Porter and Ng, 2001). Organizational justice contains four factors which are distributive justice, procedural justice, informational justice and interpersonal justice (Robbins and Judge, 2015). Distributive justice and procedural justice focus on the organisation level as the resource allocation and guidelines for how allocate are established and controlled by the organisation (Loi and Yang, 2009). On the other hand, perceptions of interactional justice are thought to emphasise on the immediate supervisors who are more likely to influence their subordinates through interpersonal relations (Masterson, Goldman and Taylor, 2000). Colquitt et al. (2001) found that the four justice dimensions contained in organizational justice have unique relationships with different organisational outcomes, such as job satisfaction, organisational commitment and citizenship behaviour.

Distributive justice refers to the perceived fairness of outcomes allocated (Greenberg, 1987 cited in Poon, 2012). Adams (1963 cited in Robbins and Judge, 2015) found pay equity is a key determinant of satisfaction at work. Adams’ ‘Equity Theory’ holds that employees are concerned that rewards equate to output and are equal to rewards given to others. However, recent study has shown that differentiation in pay of employees on the basis of their inputs could attract more talented workers and increase overall organisational performance (Hu, Schaufeli and Taris, 2011). KGDV as a KPO company means that it is a traditional knowledge-based enterprise, compensating workers on the basis of job performance. The rewarding is not based on accurate calculation of input and output ration. Thus the judgement of fairness in terms of compensation is more likely to be affected by workers’ feeling and emotion and is subjective. In this case, employees who stay in office feel that they work as hard as others. However, they still could not gain the same level of outputs as colleagues who work from home. It is apparent in this case that the workers left in office are in lower level of job performance. Thereby their rewards received are also lower. The feeling of unfairness in distributive justice is high within workers who do not join the programme.