Linking Islamic Work Ethics With Employee Performance: Perceived Organizational Support And Psychological Ownership As A Potential Mediators In Financial Institutions

Abstract

This research aims to investigate the mediating effect of Psychological Ownership (PO) and Perceived Organizational Support (POS) in linking Islamic Work Ethic (IWE) with Employee Performance (EP) in Indonesian Islamic Financial Institutions (IFI). A subset of 299 respondents from IFI has participated. The study has used PLS-SEM to analyze the data and to generate the findings. The results have suggested that IWE influences the attitudinal and behavioral consequences both directly and indirectly. Managers who seek to increase the attitudes and behavior of their employees should pay due attention to the IWE principle. In addition, training programs must be carried out with a view to instilling certain principles and underlining the vital role of increasing the efficiency and effectiveness of their organizations. The aim of this research is to contribute IWE knowledge by assessing its predictive potential for employee performance, their understanding of employees' sense of psychological ownership and perceived organizational justice, and to examine the relationship between IWE and EP through the mediation of PO and POJ in the Islamic institutions of Indonesia. © 2021, Journal of Legal* Ethical and Regulatory Issues. All Rights Reserved.