The influence of organizational justice on corporate performances

Authors

  • Biljana Đorđević
  • Maja Ivanović-Đukić
  • Vinko Lepojević
  • Sandra Milanović

Keywords:

Organizational justice, performances, employees, enterprise

Abstract

Professional and committed employees have always been a desirable resource in the portfolio of human
resources of each company because their expertise and engagement can significantly affect the overall
performance of businesses. The readiness to put the potential that have in the function of the company is,
however, under the influence of a variety of factors, starting from the design of the job, through the reward
system, to the possibility of promotion. As one of the most important factors, which is not sufficiently
addressed in domestic literature, is the perception of organizational fairness, as well. This category refers on
the degree to which employees believe that the decisions made in the company are fair, the procedures that
are applied are fair, and the treatment of the employees to whom the decisions are made for are fair.
Numerous empirical researches have shown that when a higher level of organizational justice is perceived in
the company, it has a positive impact on the manifestation of organizational citizenship behaviour, job
satisfaction, commitment, etc. Since all these forms of employees` behaviour and attitudes are positively
correlated with individual, and thus overall, organizational, performances, organizational justice could be seen
as one of the factors that can influence the performance that the company as a whole. Bearing in mind the
above, the subject of the paper is to examine whether organizational justice has a statistically significant
impact on the performance of companies in Serbia, and to what extent some forms of organizational justice
(distribution, procedural and interactive) affect them. The aim of the paper is to propose mechanisms and
measures based on the results of the research to managers, whose implementation can contribute to the
increase of organizational justice in those segments that are poorly assessed. The starting assumption of the
paper is that organizational justice has a statistically significant impact on company performance. In order to
verify the validity of this assumption, the methods of correlation and regression analysis will be used. The
analysis will be based on the data obtained from the primary research carried out in the companies mostly in
the South East of Serbia. The theoretical implications of the paper are reflected in filling in the gaps in
domestic literature regarding organizational justice and its possible implications, while empirical implications
are reflected in the ability to increase the level of justices in the companies in Serbia by applying the proposed
mechanisms and measures and thus positively influence attitudes, behaviour and performances of
employees.

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Published

2020-12-28