Citation:

Romel B. Balucio, Gaudencio G. Abellanosa. "A Structural Equation Model on Relationship Continuity of Construction Firms in Davao Region" International Research Journal of Economics and Management Studies, Vol. 2, No. 1, pp. 113-118, 2023.

Abstract:

The primary purpose of this study was to come up with the best fit model for relationship continuity in the construction sector in Davao Region in the context of employee engagement, top management commitment, and service quality. This study employed a stratified random sampling technique in selecting a total of 430 full time employees in various departments. An adapted standardized survey questionnaire published in scholarly journals was utilized as a primary data gathering instrument. This research utilized a descriptive non-experimental research design utilizing correlational and structural equation modeling approach as method of analysis. Results showed that employee engagement, top management commitment, service quality, and relationship continuity is related with each other. Furthermore, the generated model provide a new concept in the context of relationship continuity in the construction sector which is reinforced by top management commitment with the retained indicators: quality vision, resource allocation, quality policies and quality leadership and the employee engagement as defined by the remaining indicators: emotional engagement, rational identification, compatibility, team orientation and motivation.

References:

[1] Arbuckle, J.L., 2013. SPSS Amos. IBM SPSS: Chicago.
[2] Arslan, I.K., 2020. The importance of creating customer loyalty in achieving sustainable competitive advantage. Eurasian Journal of Business and Management, 8(1), pp.11-20.
[3] Ashnai, B., Henneberg, S.C., Naudé, P. and Francescucci, A., 2016. Inter-personal and inter-organizational trust in business relationships: An attitude– behavior–outcome model. Industrial Marketing Management, 52, pp.128-139.
[4] Bagozzi, R.P. and Yi, Y., 2012. Specification, evaluation, and interpretation of structural equation models. Journal of the academy of marketing science, 40(1), pp.8-34.
[5] Byrne, B.M., 2016. Adaptation of assessment scales in cross-national research: Issues, guidelines, and caveats. International Perspectives in Psychology, 5(1), pp.51-65.
[6] Caroline, N., Harriet, K. and Anne, N., 2016. Top management commitment for successful small and medium-enterprises (SMEs): a hoax or a reality?. European Scientific Journal, 12(4)
[7] Chams-Anturi, O., Moreno-Luzon, M.D. and Escorcia-Caballero, J.P., 2019. Linking organizational trust and performance through ambidexterity. Personnel Review.
[8] Crespin-Mazet, F., Goglio Primard, K., Havenvid, M.I. and Linné, Å., 2019. Innovating in project-based organizations: patterns of interaction over time. In IMP Conference.
[9] Crespin-Mazet, F., Goglio-Primard, K., Havenvid, M.I. and Linné, Å., 2021. The diffusion of innovation in project-based firms–linking the temporary and permanent levels of organisation. Journal of business & industrial marketing.
[10] Demirkesen, S., Wachter, N., Oprach, S. and Haghsheno, S., 2019, July. Identifying barriers in lean implementation in the construction industry. In Proceedings of the 27th Annual Conference of the International Group for Lean Construction (IGLC), Dublin, Ireland (pp. 3-5).
[11] Dubois, A., Gadde, L.E. and Mattsson, L.G., 2021. Purchasing behaviour and supplier base evolution–a longitudinal case study. Journal of Business & Industrial Marketing.
[12] Durairatnam, S., Chong, S.C., Jusoh, M. and Dharmaratne, I.R., 2020. Does people-related total quality management “work” for people? An empirical study of the Sri Lankan apparel industry. The TQM Journal.
[13] Forsythe, P., 2008. Modelling customer perceived service quality in housing construction. Engineering, Construction and Architectural Management.
[14] George, D. and Mallery, P., 2018. Reliability analysis. In IBM SPSS Statistics 25 Step by Step (pp. 249-260). Routledge.
[15] Hair, J.F., Sarstedt, M., Ringle, C.M. and Mena, J.A., 2012. An assessment of the use of partial least squares structural equation modeling in marketing research. Journal of the academy of marketing science, 40(3), pp.414-433.
[16] Havenvid, M.I., Bygballe, L.E. and Håkansson, H., 2019. Innovation among project islands: A question of handling interdependencies through bridging. In The Connectivity of Innovation in the Construction Industry (pp. 126-142). Routledge.
[17] Heck, R.H. and Thomas, S.L., 2020. An introduction to multilevel modeling techniques: MLM and SEM approaches. Routledge.
[18] Hoyle R., 2011. Structural equation modeling for social and personality psychology. Sage, London
[19] Hu, L.T. and Bentler, P.M., 1999. Cutoff criteria for fit indexes in covariance structure analysis: Conventional criteria versus new alternatives. Structural equation modeling: a multidisciplinary journal, 6(1), pp.1-55.
[20] Kandula, S., Shanbhag, A., Vitorovic, A., Olma, M., Grandl, R., Chaudhuri, S. and Ding, B., 2016, June. Quickr: Lazily approximating complex adhoc queries in bigdata clusters. In Proceedings of the 2016 international conference on management of data (pp. 631-646).
[21] Kirsch, C., 2016. What is ‘Employee Engagement’?–Analysis of the Factor Structure of the Engagement Construct.
[22] Kline, R.B., 2015. Principles and practice of structural equation modeling. Guilford publications.
[23] Mone, E.M. and London, M., 2018. Employee engagement through effective performance management: A practical guide for managers. Routledge.
[24] Mugarura, J.T., Ntayi, D.J. and Muhwezi , D.M., 2010. Buyer-supplier collaboration, adaptation, trust, commitment and relationship continuity of selected private manufacturing firms in Kampala. A masters dissertation,(Uganda): Makerere University Business School.
[25] Nguyen, T.D., Shih, M.H., Parvathaneni, S.S., Xu, B., Srivastava, D. and Tirthapura, S., 2020, April. Random sampling for group-by queries. In 2020 IEEE 36th International Conference on Data Engineering (ICDE) (pp. 541-552). IEEE.
[26] Nyakio, M., 2016. An Assessment of the Influence of Supplier Relationship Management on Procurement Performance: A Case Study of Nakummatt Holdings
[27] Rahman, S.H.A., Faisol, N., Kamaruding, M. and Nusa, F.N.M., 2022, November. Revisiting the critical success factors (CSFs) contributing to a good subcontracting relationship: Analysing Malaysian construction projects. In AIP Conference Proceedings (Vol. 2532, No. 1, p. 090006). AIP Publishing LLC.
[28] Rezaei Vandchali, H., Cahoon, S. and Chen, S.L., 2021. The impact of power on the depth of sustainability collaboration in the supply chain network for Australian food retailers. International Journal of Procurement Management, 14(2).
[29] Schumacker, R. E., & Lomax, R. G. (2010). A beginners guide to structural equation modeling. New York: Routledge
[30] Seppälä, P., Hakanen, J.J., Tolvanen, A. and Demerouti, E., 2018. A job resources-based intervention to boost work engagement and team innovativeness during organizational restructuring: For whom does it work?. Journal of Organizational Change Management.
[31] Simon, M. and Choi, Y.J., 2018. Using factor analysis to validate the Clance Impostor Phenomenon Scale in sample of science, technology, engineering and mathematics doctoral students. Personality and Individual Differences, 121, pp.173-175.
[32] Sunindijo, R.Y., Hadikusumo, B.H. and Phangchunun, T., 2014. Modelling service quality in the construction industry. International Journal of Business Performance Management, 15(3), pp.262-276.
[33] Sunindijo, R.Y., Hadikusumo, B.H. and Phangchunun, T., 2014. Modelling service quality in the construction industry. International Journal of Business Performance Management, 15(3), pp.262-276.
[34] Wanyoike, R.W., 2016. Quality management practices and firm performance among manufacturing firms in Kenya. Unpublished PHD Thesis (Human Resource Management). Kenyatta University, Kenya.
[35] Wu, C.Y., Kuo, C.C., Lin, C.W., Hu, W.H., Wu, C.Y. and Cheng, S., 2020. How does benevolent leadership lead to work–family enrichment? The mediating role of positive group affective tone. Stress and Health, 36(4), pp.496-506.

Keywords:

Employee engagement, top management commitment, and service quality, relationship continuity, structural equation model, Philippines.