Performance Implications of Employee Engagement in India’s IT Sector: A Contextual Analysis from Central India

Abstract

The purpose of this research is to determine the major determinants of the level of employee engagement in India’s Information Technology industry amid the pandemic. It also seeks to establish the correlation that exists between employee engagement and performance. Google Forms were used to obtain during the pandemic, the comments from employees working in the Information Technology industries in the Central India in particular Maharashtra for this study. Non-probability purposive sampling technique from 311 people was done to collect the information. Regression analysis and structural equation modelling were used for predicting and estimation of the associations. All variables, communication, leadership and the organization’s purpose and direction were those that made the greatest impact on the staff engagement with a coefficient of determination 0.734, which presents a strong connection between the indicators of the employee engagements and a range of the employee engagements. There exists a positive strong correlation ratio between employee engagement and employee performances as indicated by a coefficient of determination of 0.707. Organizations should focus on the engines of employee engagement i.e. communication, leadership, organization’s purpose and direction. Every level of the management should be encouraged to make transparent communication, horizontally and vertically up. Employees’ perception and evaluation of positive working relationship is affected by symmetrical communication whose implication is the focus on the necessity of open symmetrical communication, that is, communication that is two-way and transparent. Moreover, knowledge of factors to employee engagement will create a healthy working environment in the firm and there will be a lot of attention on the individuals which may translate to a better performance by the employees. The importance and the necessity of crystallizing the concept of employee engagement based on the growing popularity of this concept are accentuated in the research paper. The study is peculiar in the sense of the whole model that is constructed and evaluated.