Predicting employee performance through organizational virtuousness

Purpose: The purpose of this paper is to value the role of organizational virtuousness in predicting employee performance through mediation of affective well-being and work engagement. Design/methodology/approach: Data were collected through questionnaires from 487 banking employees from 60 branches of ten banks. Findings: Analysis through structural equation modeling proves that virtuousness positively predicts employees’ well-being and engagement, which in turn influence their performance. Furthermore, both well-being and engagement proved to be partial mediation in the relation, where well-being had stronger explanatory role. Originality/value: This study offers novel explanatory mechanism in the relationship of employee performance and organizational virtuousness, where in past studies such mediation mechanism has not received due attention.