The relationship between satisfaction, engagement, and organizational performance in securities companies

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Abstract

The stock market is a medium and long-term capital channel for the economy. The stock market only operates effectively when market participants operate effectively. As a core subject, the activities of securities companies have a great influence on the stable and sustainable development of the stock market, as well as on the existence and development of the securities companies themselves. Up to now, research on theoretical and empirical frameworks to clarify the relationship between satisfaction and engagement with performance in securities companies is still limited, especially research on securities companies on the stock market have the goal of upgrading the market from frontier to emerging market like Vietnam. This study proposes solutions to help top managers in Vietnamese securities companies enhance satisfaction, engagement, and organizational effectiveness. The research model was developed based on data collected from 1,250 survey responses from securities companies. By employing quantitative research using partial least squares structural equation modeling (PLS-SEM) in SPSS 20 and SPSS Amos 20 software, the results identified four factors influencing the satisfaction, engagement, and effectiveness of Vietnamese securities companies: 1) reliable and ethically driven top-level management; 2) appropriate job assignments, positions, and core technology systems supporting work; 3) employees’ income significantly affects the company’s effectiveness. Based on the research findings, this paper provides recommendations for securities companies in constructing management policies.

Keywords: Organizational Effectiveness, Employee Engagement, Employee Satisfaction, ROA, ROE

Authors’ individual contribution: Conceptualization — M.N.T. and T.C.M.; Methodology — M.N.T. and H.T.V.; Validation — H.H.V. and N.T.B.; Formal Analysis — T.C.M. and H.P.H.; Resources — L.V.T. and A.T.L.T.; Writing — Review & Editing — M.N.T. and H.T.V.; Supervision — T.C.M. and H.T.V.; Project Administration — M.N.T. and T.C.M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G24, G34, G39

Received: 13.09.2023
Accepted: 22.03.2024
Published online: 25.03.2024

How to cite this paper: Nguyen Thi, M., Cao Minh, T., Hoang Van, H., Vu Thuy, L., Binh, N. T., Pham Huy, H., Tran, A. T. L., & Tran Van, H. (2024). The relationship between satisfaction, engagement, and organizational performance in securities companies. Corporate Governance and Organizational Behavior Review, 8(2), 28–38. https://doi.org/10.22495/cgobrv8i2p3