Impact of Psychological Capital and Intellectual Capital on Organizational Commitment with the Mediating Role of Employee Engagement; Evidence from Higher Educational Institutions of Pakistan

Abstract

The aim of this study is to investigate the impact of psychological capital and intellectual capital on organizational commitment with the mediating role of employee engagement in the context of universities of Islamabad, Pakistan. The quantitative approach is adopted to carry out the research. For data collection several universities were approached as per the requirement of the study and approximately 320 responses have been gathered through questionnaires. Correlation and regression analysis is performed on the data to study the relationship among the variables. The results have confirmed that intellectual capital and psychological capital have a positive and significant impact on organizational commitment. The mediating role of employee engagement was proved as well. The result signifies that organizations should emphasize the psychological well-being of employees. They should also consider the importance of provision of adequate job resources. The findings could help organizations in maintaining a healthy environment where human assets could thrive and grow as a team and contribute towards the overall organizational performance. The study also provides various measures organizations can take to enhance the commitment of its employees such as confidence development programs, cultivation of learning and knowledge sharing culture, and need based training programs. Overall the research has contributed substantially to the existing literature of organizational commitment.