Effect of competitive psychological climate on unethical pro-team behavior: The role of perceived insider status and transformational leadership
More details
Hide details
Ph.D., School of Management, Huazhong University of Science and Technology, Wuhan, Hubei, PR-China, Lecturer; Siyane College of Education, Veyangoda, Sri Lanka
School of Management, Huazhong University of Science and Technology, Wuhan, Hubei, PR-China
School of Management, Huazhong University of Science and Technology, Wuhan, Hubei, PR-China, Department of Business Administration, ILMA University, Karachi, Pakistan
MS, Administrative Officer; Department of Food Technology and Quality Control, Babarmahal, Kathmandu, Nepal
Online publication date: 2021-07-05
Management 2021;25(1):1–27
The purpose of this study is to explain why employees in financial companies in Sri Lanka are likely to engage in unethical pro-team behaviors and how transformational leaders involve controlling unethical pro-team behaviors in a competitive work environment. The study employed a quantitative approach to investigate the association between the competitive psychological climate and perceived insider status on unethical pro-team behaviors. The authors collected data from 426 sales representatives at a finance company in Sri Lanka and tested hypotheses using Structural Equation Modelling analyses through Smart PLS version 3. The results indicate that competitive psychological climate and perceived insider status are positively associated with unethical pro-team behaviors. Further, the transformational leadership’s moderation is negatively significant on the relationship between competitive psychological climate and unethical pro-team behaviors. The study has shown that the leader will delegate more responsibility to the employee, associated with increased employee empowerment and high-quality, ethical behaviors. Besides, it contributes to the literature as of the new theoretical base and offers practical implications with the richer view of a nomological link between the leader, competitive employee, and competitive work environment.
Ashforth, B. E., Gioia, D. A., Robinson, S. L., & Trevino, L. K. (2008). Re-viewing organizational corruption. Academy of Management review, 33 (3), 670-684 https://doi.org/10.5465/amr.20....
Barreto, M., Ellemers, N. J. P., & Bulletin, S. P. (2000). You can’t always do what you want: Social identity and self-presentational determinants of the choice to work for a low-status group. 26(8), 891-906 https://doi.org/10.1177/014616....
Bass, B. M. (1985). Leadership and performance beyond expectations: Collier Macmillan.
Bass, B. M., & Avolio, B. J. (1994). Improving organizational effectiveness through transformational leadership: Sage.
Bell, A. J. C., Rogers, M. B., & Pearce, J. M. (2019). The insider threat: Behavioral indicators and factors influencing likelihood of intervention. International Journal of Critical Infrastructure Protection, 24, 166-176. doi:10.1016/j.ijcip.2018.12.001.
Bergami, M., & Bagozzi, R. P. (2000). Self-categorization, affective commitment and group self-esteem as distinct aspects of social identity in the organization. British Journal of Social Psychology, 39(4), 555-577 https://doi.org/10.1348/014466....
Brief, A. P., Buttram, R. T., & Dukerich, J. M. (2001). Collective corruption in the corporate world: Toward a process model. Groups at work: Theory and research, 471, 499.
Brown, S. P., Cron, W. L., & Slocum Jr, J. W. (1998). Effects of trait competitiveness and perceived intraorganizational competition on salesperson goal setting and performance. Journal of Marketing, 62(4), 88-98 https://doi.org/10.1177/002224....
Buunk, B. P., & Mussweiler, T. (2001). New directions in social comparison research. European Journal of Social Psychology, 31(5), 467-475 https://doi.org/10.1002/ejsp.7....
Carleton, E. L., Barling, J., & Trivisonno, M. (2018). Leaders’ trait mindfulness and transformational leadership: The mediating roles of leaders’ positive affect and leadership self-efficacy. Canadian Journal of Behavioral Science/Revue canadienne des sciences du comportement, 50(3), 185 https://doi.org/10.1037/cbs000....
Caron, J., Asselin, H., Beaudoin, J.-M., & Muresanu, D. (2019). Promoting perceived insider status of indigenous employees A review within the psychological contract framework. Cross Cultural & Strategic Management, 26(4), 609-638. doi:10.1108/ccsm-02-2019-0031.
Černe, M., Nerstad, C. G., Dysvik, A., & Škerlavaj, M. (2014). What goes around comes around: Knowledge hiding, perceived motivational climate, and creativity. Academy of Management Journal, 57(1), 172-192 https://doi.org/10.5465/amj.20....
Chen, X., Liao, J., Wu, W., & Zhang, W. (2017). Perceived Insider Status and Feedback Reactions: A Dual Path of Feedback Motivation Attribution. Front Psychol, 8, 668. doi:10.3389/fpsyg.2017.00668.
Crowley, M. (2004). A” is for average, not for achievement or accomplishment or all-American. Not anymore. Reader’s Digest.
Ding, C. G., & Shen, C.-K. (2017). Perceived organizational support, participation in decision making, and perceived insider status for contract workers. Management Decision, 55(2), 413-426. doi:10.1108/md-04-2016-0217.
Effelsberg, D., & Solga, M. (2015). Transformational Leaders’ In-Group versus Out-Group Orientation: Testing the Link Between Leaders’ Organizational Identification, their Willingness to Engage in Unethical Pro-Organizational Behavior, and Follower-Perceived Transformational Leadership. Journal of Business Ethics, 126(4), 581-590. doi:10.1007/s10551-013-1972-z.
Eliaz, K., & Wu, Q. (2018). A simple model of competition between teams. Journal of Economic Theory, 176, 372-392 https://doi.org/10.1016/j.jet.....
Fletcher, T. D., Major, D. A., & Davis, D. D. (2008). The interactive relationship of competitive climate and trait competitiveness with workplace attitudes, stress, and performance. Journal of Organizational Behavior, 29(7), 899-922. doi:10.1002/job.503.
Fumeng, L. (2017). The Effect of Proactive Personality and Perceived Insider Status Fit on Employee Innovative Behavior: A Moderated Mediation Model. International Journal of Science and Research (IJSR), Volume 7 (Issue 12).
Garcia, S. M., Tor, A., & Schiff, T. M. (2013). The psychology of competition: A social comparison perspective. Perspectives on Psychological Science, 8(6), 634-650 https://doi.org/10.1177/174569....
Gardner, H. K. (2012). Performance pressure as a double-edged sword: Enhancing team motivation but undermining the use of team knowledge. Administrative Science Quarterly, 57(1), 1-46. https://doi.org/10.1177/000183....
Gibson, K. R., Harari, D., Marr, J. C. J. O. B., & Processes, H. D. (2018). When sharing hurts: How and why self-disclosing weakness undermines the task-oriented relationships of higher status disclosers. 144, 25-43 https://doi.org/10.1016/j.obhd....
Hair, J. F., Ringle, C. M., & Sarstedt, M. (2013). Partial least squares structural equation modeling: Rigorous applications, better results and higher acceptance. Long range planning, 46(1-2), 1-12.
Horng, J.-S., Tsai, C.-Y., Hu, D.-C., & Liu, C.-H. (2015). The Role of Perceived Insider Status in Employee Creativity: Developing and Testing a Mediation and Three-Way Interaction Model. Asia Pacific Journal of Tourism Research, 21(sup1), S53-S75. doi:10.1080/10941665.2015.1008527.
Houston, J. M., Harris, P. B., Howansky, K., & Houston, S. M. (2015). Winning at work: Trait competitiveness, personality types, and occupational interests. Personality and Individual Differences, 76, 49-51. https://doi.org/10.1016/j.paid....
Imran, R., Saeed, T., Anis-Ul-Haq, M., & Fatima, A. (2010). Organizational climate as a predictor of innovative work behavior. African Journal of Business Management, 4 (15), 3337-3343.
Jones, J. L., Davis, W. D., & Thomas, C. H. (2017). Is competition engaging? Examining the interactive effects of goal orientation and competitive work environment on engagement. Human Resource Management, 56(3), 389-405 https://doi.org/10.1002/hrm.21....
Keller, A. C., Spurk, D., Baumeler, F., & Hirschi, A. (2016). Competitive climate and workaholism: Negative sides of future orientation and calling. Personality Individual Differences, 96, 122-126 https://doi.org/10.1016/j.paid....
Kohn, A. (1992). No contest: The case against competition: Houghton Mifflin Harcourt.
Li, V., Mitchell, R., & Boyle, B. (2016). The divergent effects of transformational leadership on individual and team innovation. GroupOrganization Management, 41(1), 66-97 https://doi.org/10.1177/105960....
Liao, P.-Y. (2015). The Role of Self-Concept in the Mechanism Linking Proactive Personality to Employee Work Outcomes. Applied Psychology-an International Review-Psychologie Appliquee-Revue Internationale, 64(2), 421-443. doi:10.1111/apps.12003.
Lin, X., Clay, P. F., Hajli, N., & Dadgar, M. (2018). Investigating the Impacts of Organizational Factors on Employees’ Unethical Behavior Within Organization in the Context of Chinese Firms. Journal of Business Ethics, 150(3), 779-791. doi:10.1007/s10551-016-3209-4.
Mitchell, M. S., Baer, M. D., Ambrose, M. L., Folger, R., & Palmer, N. F. (2018). Cheating under pressure: A self-protection model of workplace cheating behavior. Journal of Applied psychology, 103(1), 54 https://doi.org/10.1037/apl000....
Moore, C. (2009). Psychological processes in organizational corruption. 35-71.
Moore, D. A., & Loewenstein, G. (2004). Self-interest, automaticity, and the psychology of conflict of interest. Social Justice Research, 17(2), 189-202 https://doi.org/10.1023/B:SORE....
Mudrack, P. E., Bloodgood, J. M., & Turnley, W. H. (2012). Some ethical implications of individual competitiveness. Journal of Business Ethics, 108(3), 347-359 https://doi.org/10.1007/s10551....
Mukherjee, S., Huang, Y., Neidhardt, J., Uzzi, B., & Contractor, N. (2019). Prior shared success predicts victory in team competitions. Nature Human Behavior, 3(1), 74-81. doi:10.1038/s41562-018-0460-y.
Nerstad, C. G., Dysvik, A., Kuvaas, B., & Buch, R. (2018). Negative and positive synergies: On employee development practices, motivational climate, and employee outcomes. Human Resource Management, 57(5), 1285-1302 https://doi.org/10.1002/hrm.21....
Kumar, N., Zhiqiang, L., & Hossain, M. Y. (2020). Examining the relationship between self-actualization and job performance via taking charge. International Journal of Research in Business and Social Science (2147-4478), 9(5), 43–49. https://doi.org/10.20525/ijrbs....
Ordónez, L. D., Schweitzer, M. E., Galinsky, A. D., & Bazerman, M. H. (2009). On good scholarship, goal setting, and scholars gone wild. Academy of Management Perspectives, 23(3), 82-87 https://doi.org/10.5465/amp.20....
Owens, B. P., & Hekman, D. R. (2012). Modeling how to grow: An inductive examination of humble leader behaviors, contingencies, and outcomes. Academy of Management Journal, 55(4), 787-818 https://doi.org/10.5465/amj.20....
Owens, B. P., & Hekman, D. R. (2016). How does leader humility influence team performance? Exploring the mechanisms of contagion and collective promotion focus. Academy of Management Journal, 59(3), 1088-1111 https://doi.org/10.5465/amj.20....
Parton, B. J., & Neumann, D. L. (2019). The effects of competitiveness and challenge level on virtual reality rowing it performance. Psychology of Sport and Exercise, 41, 191-199. doi:10.1016/j.psychsport.2018.06.010.
Sahadev, S., Seshanna, S., & Purani, K. (2014). Effects of competitive psychological climate, work-family conflict and role conflict on customer orientation: The case of call center employees in India. Journal of Indian Business Research, 6(1), 70-84 https://doi.org/10.1108/JIBR-0....
Sauers, D. A., & Bass, K. A. (1990). Sustaining the positive effects of goal setting: The positive influence of peer competition. Business Economic Review, 21(4), 30.
Schrock, W. A., Hughes, D. E., Fu, F. Q., Richards, K. A., & Jones, E. (2016). Better together: Trait competitiveness and competitive psychological climate as antecedents of salesperson organizational commitment and sales performance. Marketing Letters, 27(2), 351-360 https://doi.org/10.1007/s11002....
Shu, L. L., Gino, F., & Bazerman, M. H. (2011a). Dishonest deed, clear conscience: When cheating leads to moral disengagement and motivated forgetting. Personality social psychology bulletin, 37(3), 330-349 https://doi.org/10.1177/014616....
Spurk, D., & Hirschi, A. (2018). The Dark Triad and competitive psychological climate at work: A model of reciprocal relationships in dependence of age and organization change. European Journal of Work and Organizational Psychology, 27(6), 736-751. doi:10.1080/1359432x.2018.1515200.
Stamper, C. L., & Masterson, S. S. (2002). Insider or outsider? how employee perceptions of insider status affect their work behavior. Journal of Organizational Behavior, 23(8), 875-894. doi:10.1002/job.175.
Tajfel, H. T., J (1986). The social identity theory of intergroup behavior. u: Worchel S. i Austin WG (ur.) Psychology of intergroup relations.
Tanis, M., & Postmes, T. (2005). A social identity approach to trust: Interpersonal perception, group membership and trusting behavior. European Journal of Social Psychology, 35(3), 413-424 https://doi.org/10.1002/ejsp.2....
Tenenhaus, M., Vinzi, V. E., Chatelin, Y.-M., & Lauro, C. (2005). PLS path modeling. Computational statistics data analysis, 48(1), 159-205 https://doi.org/10.1016/j.csda....
Thau, S., Derfler-Rozin, R., Pitesa, M., Mitchell, M. S., & Pillutla, M. M. (2015). Unethical for the sake of the group: Risk of social exclusion and pro-group unethical behavior. Journal of Applied psychology, 100(1), 98. doi:DOI: https://doi.org/10.1037/a00367....
Treviño, L. K., Nieuwenboer, N. A. d., & Kish-Gephart, J. J. (2014). (Un) Ethical Behavior in Organizations. Annual Review of Psychology, 65(1), 635-660. doi:10.1146/annurev-psych-113011-143745.
Umphress, E. E., & Bingham, J. B. (2011). When Employees Do Bad Things for Good Reasons: Examining Unethical Pro-Organizational Behaviors. Organization Science, 22(3), 621-640. doi:10.1287/orsc.1100.0559.
Umphress, E. E., Bingham, J. B., & Mitchell, M. S. (2010). Unethical behavior in the name of the company: the moderating effect of organizational identification and positive reciprocity beliefs on unethical pro-organizational behavior. J Appl Psychol, 95(4), 769-780. doi:10.1037/a0019214.
Wang, H., Feng, J., Prevellie, P., & Wu, K. (2017). Why do I contribute when I am an “insider”? A moderated mediation approach to perceived insider status and employee’s innovative behavior. Journal of Organizational Change Management, 30(7), 1184-1197. doi:10.1108/jocm-06-2016-0109.
Wang, H., Wang, L., & Liu, C. (2018). Employee Competitive Attitude and Competitive Behavior Promote Job-Crafting and Performance: A Two-Component Dynamic Model. Frontiers in psychology, 9, 2223 https://doi.org/10.3389/fpsyg.....
Wang, L., Malhotra, D., & Murnighan, J. K. (2011). Economics education and greed. Academy of Management Learning & Education, 10(4), 643-660 https://doi.org/10.5465/amle.2....
Wang, X.-H. F., & Howell, J. M. (2010). Exploring the dual-level effects of transformational leadership on followers. Journal of Applied psychology, 95(6), 1134. doi:10.1037/a0020754.
Yıldız, I. G., & Şimşek, Ö. F. (2016). Different Pathways from Transformational Leadership to Job Satisfaction: The Competing Mediator Roles of Trust and Self-Efficacy. Nonprofit Management and Leadership, 27(1), 59-77 https://doi.org/10.1002/nml.21....
Zhang, W., Jex, S. M., Peng, Y., & Wang, D. (2017). Exploring the effects of job autonomy on engagement and creativity: The moderating role of performance pressure and learning goal orientation. Bus Psychol, 32(3), 235-251. doi:10.1007/s10869-016-9453-x.
Zhou, J., & George, J. M. (2001). When job dissatisfaction leads to creativity: Encouraging the expression of voice. Academy of Management Journal, 44(4), 682-696 https://doi.org/10.5465/306941....
Zhu, X., & Bao, M. (2017). Substitutes or complements? Individual-focused and group-focused transformational leadership in different organizational structures in new firms. Leadership Organization Development Journal, 38(5), 699-718 https://doi.org/10.1108/LODJ-0....
Zuber, F. (2015). Spread of unethical behavior in organizations: A dynamic social network perspective. Journal of Business Ethics, 131(1), 151-172 https://doi.org/10.1007/s10551....
ISSN:1429-9321 (1997-2019)