Workplace spirituality and nepotism-favouritism in selected ASEAN countries: the role of gender as moderator

Pages31-49
DOIhttps://doi.org/10.1108/JABS-01-2018-0019
Date10 January 2020
Published date10 January 2020
AuthorQaisar Iqbal,Noor Hazlina Ahmad
Subject MatterInternational business,Strategy
Workplace spirituality and nepotism-
favouritism in selected ASEAN countries:
the role of gender as moderator
Qaisar Iqbal and Noor Hazlina Ahmad
Abstract
Purpose Many scholars of businessethics have emphasised for new research theories and methods
that make a substantialcontribution to improving business ethicalpractices and standards globally. This
study aims to explore the impact of workplace spirituality and its four dimensions-meaningful at work,
transcendence, mindfulness and compassion over the nepotism-favouritism in ASEAN Region. This
study also contributes to literature by investigating role of gender over the association of workplace
spirituality,and its dimensions with nepotism-favouritism.
Design/methodology/approach Data was collected through self-administered questionnaires from
employees of the service sector working in Singapore, Malaysia and Myanmar. SPSS and SmartPLS
softwarewere used for data analysis.
Findings The findings of this study suggest that there is significant negative impact of workplace
spirituality on the nepotism-favouritism. Four dimensions-meaningful at work, transcendence,
mindfulness and compassionhas significantly negative influence on nepotism/favouritism. With change
of gender, impactof workplace spirituality and its three dimensions-meaningfulat work, compassion and
transcendence exhibit varying influence on the nepotism-favouritism, which indicates presence of
moderating effect. This study concludes with no moderating impact of gender over the association of
mindfulnessand nepotism-favouritism.
Originality/value This study presents empirical evidence from ASEAN region, which is useful for
practitionersto abolish corruption in the contextof nepotism-favouritism.
Keywords Preferential treatment, Nepotism, Favouritism, Workplace spirituality, Gender,
Meaningful at work, Ethics, Business ethics, ASEAN region
Paper type Research paper
Introduction
Nepotism/favouritism has been a major dilemma as early as the fourteenth century until
today. Nepotism is the proliferation of family ties from politics to publishing. Nepotism/
favouritism is a form of cheating on behalf of a member of one’s social group or family. It
comes at the detriment of one or more people outside that group (Bertrand and Schoar,
2006). Businessmen are losing approximately 5 per cent of their annual revenues to various
forms of consumer fraud, an amount equal to the $1tn in losses globally (Ratley, 2010).
Nepotism/favouritism hurts employees and managers and weakens organisational
performance (Jones and Stout, 2015). Such an attitude among managers weakens the
sense of fairness among workers (Karakose, 2014). Employees have also reported
nepotism/favouritism as preferential treatment. Such preferential treatment results in the
lack of motivation and morale, dissatisfaction among employees, depression, burnout,
distrust and many other negative moods (Chegini, 2009;Karakose, 2014). Preferential
treatment enhances work stress,which manifests in employee dissatisfaction. Fair treatment
Qaisar Iqbal is PhD
Candidate at the School of
Management, Universiti
Sains Malaysia, Penang,
Malaysia.
Noor Hazlina Ahmad is
Professor and Dean at the
School of Management,
Universiti Sains Malaysia,
Penang, Malaysia.
Received 20 January 2018
Revised 19 July 2018
17 October 2018
15 April 2019
Accepted 27 August 2019
DOI 10.1108/JABS-01-2018-0019 VOL. 14 NO. 1 2020, pp. 31-49, ©Emerald Publishing Limited, ISSN 1558-7894 jJOURNAL OF ASIA BUSINESS STUDIES jPAGE 31
of employees enhances commitment and collaboration within organisations (De Cremer
et al.,2004
). Under preferential treatment, employees reported more cheating, reduced
employee commitment, greater employee fearfulness and obsequiousness towards
managers in an attempt to become a favourite (Zhao et al.,2008). Once favouritism/
nepotism is perceived, employees start reporting less procedural justice because
promotion and rewards are allotted on the basis of personal relationships rather than
individual performance (Sonnentag, 2012). Procedural justice and organisational trust exert
substantial influence over organisational commitment (Iqbal and Ahmad, 2016).Once there
are perceptions of cronyism in organisations, it does not change even years after the
implementation of formal systems to eliminate preferential treatment (Pearce et al.,2011).
Favouritism and cronyism do not only affect employees but also influence the way
management thinks under the prevalence of personal relationships within organisations.
Depending on personal relationships, managers withhold information from their
subordinates because of legitimacy issues (Pearce et al.,2011), which enhances the level
of distrust and over-centralisation(Redding and Hsiao, 1990).
The modern organisation is facing employee-related problems such as stress-related
illness, burnout, absenteeism, violence and corruption. Nepotism/favouritism is also a form
of corruption. These problems occur in the absence of spirituality (Nasina et al., 2011). It is
useful for organisations to tap into spiritual resources to survive in the twenty-first century
(Marschke et al.,2011). Employees will be more productive and creative provided they
employ their physical, intellectual, emotional and spiritual attributes in the workplace (Iqbal
et al., 2018). In the context of the workplace, spirituality does not necessarily imply that the
organisation has a spiritual nature, but merely provides opportunities and encourages
employees to experience spirituality within the working environment. Value congruence
emerges once both the organisation and employees are spiritual, which enhances
organisational outcomes such as profitability, productivity and quality (Van der Walt and de
Klerk, 2014).
By giving the job to the relative or friend of an employee, the employer or manager may
have passed over more qualified applicants, which are dangerous both for the organisation
and employees without personal relationships. Organisations are made up of individuals. It
is too optimistic to expect from managers or employees to always behave objectively. It is
normal for human beings to display favouritism (O
¨zsemerci, 2003;Tarhan et al., 2006).
When management makes appointments based on political favouritism in the public sector
(Kapucu and Palabıyık, 2008), it is nepotism/favouritism, which is common in developing
countries (Kapucu and Palabıyık, 2008). Loyalty is based on group, family, religion, caste,
linguistic community and class in Southeast Asian societies (Kis-Katos and Schulze, 2013).
The major religions in Asian countries are Islam, Buddhism, Hinduism and Christianity. All
these religions strongly condemn corrupt practices (Wescott, 2003). The violation of this
value contributes to the emergence of nepotism and favouritism. Nepotism/favouritism have
evolved within Southeast Asian societies (Quah, 2003). The researchers have selected
Singapore, Myanmar and Malaysia for their research as they are majority Buddhist and
Muslim. There is a lack of literature linkage workplace spirituality with nepotism/favouritism.
The purpose of this study is to identify the relationship between workplace spirituality and
nepotism/favouritism. Thisstudy also provides empirical evidence for the moderating role of
gender in the associationof workplace spirituality with nepotism/favouritism.
Literature review
Nepotism-favouritism (preferential treatment)
Preferential treatment is a form of corruption that emerges in the political decision making
process (Kayabası, 2005). Preferential treatment may not always be for financial benefits.
Certain commitments and obligations such as kinship ties are a source of preferential
treatment (Berkman, 1992). Non-pecuniary and interest-oriented practices are defined as
PAGE 32 jJOURNAL OF ASIA BUSINESS STUDIES jVOL. 14 NO. 1 2020

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