Structural and Individual Determinants of Organization Morale and Satisfaction

This paper examines the causes of morale and satisfaction in organizations. The analysis of covariance is used to provide an empirical criterion for distinguishing collective from individual properties. Questionnaire responses from 2,335 managers in 12 industrial companies provide the data base. Results confirm that organization morale is a collective property, largely a function of group size, while satisfaction is an individual-level trait, affected mainly by perceived role structure. The analysis of covariance proved helpful in properly separating levels of analysis, and avoiding potentially misleading interpretations. One surprising substantive finding is that satisfaction is higher in more highly structured roles, contradicting the findings of previous research.