Effects of locus of control and organizational structure on job satisfaction and turnover intention of hotel managerial employees

Abstract

Scope and Method of Study: The purpose of this study was to examine the relationship between hotel managerial employees' job satisfaction, turnover intention, and their individual LOC and their perceptions of the organizational structure in which they work. It was further the purpose of this study to explore the relationship between LOC, organizational structure, and certain demographic variables. Participants in the study were 189 managerial and executive level hotel employees in the U.S. All participants received an email providing a cover letter and a URL link to the survey instrument including the Rotter I-E scale, organizational structure, job satisfaction, turnover intention, and demographic information. Seven null hypotheses were tested by using chi-square test and two-way ANOVA.

Findings and Conclusions: The results of this study indicated that internals preferred to work in a decentralized organizational structure, while externals preferred to work in a centralized organizational structure. In addition, hospitality managers were more internally control oriented. This study showed that LOC and organizational structure had a significant interaction effect as well as main effects on job satisfaction. Finally, the author found that LOC and organizational structure, respectively affected turnover intention indirectly, but there was no interaction effect of the two independent variables in relation to turnover intention.