The current issue and full text archive of this journal is available on Emerald Insight at: www.emeraldinsight.com/0143-7720.htm Testing the mediation effect of Testing themediation person-organisation fit on the effect of P-O fit relationship between talent management and talented 319 employees’ attitudes Received 25 August 2016Revised 7 November 2016 28 March 2017 James Kwame Mensah 25 April 2017 Department of Business Administration, Accepted 14 May 2017 University of Professional Studies, Accra, Ghana, and Justice Nyigmah Bawole Department of Public Administration and Health Services Management, University of Ghana Business School, Accra, Ghana Abstract Purpose – Previous studies suggested that talent management (TM) is positively related to employee work attitudes. However, a few studies have examined the mechanisms through which TM leads to employee work attitudes. The purpose of this paper is to examine the mediating role of person-organisation (P-O) fit on the relationship between TM and employee’s job satisfaction, and organisational citizenship behaviours (OCBs). Design/methodology/approach – Using a sample of 232 talented employees from the Ghanaian banking sector, a partial mediation model was outlined and tested using structural equation modelling. Findings – The results showed that TM had positive relationship with P-O fit, job satisfaction and OCBs. The findings further show that P-O fit had positive relationship between job satisfaction and OCBs and partially mediated the relationship between TM and both job satisfaction, and OCBs. Research limitations/implications – This study used cross-sectional data; hence, conclusions regarding causality cannot be made. That is, the results must be interpreted as associations rather than causality. Practical implications – Management should endeavour to use TM to help align talented employee’s competences, values and goals to those of their organisation. Originality/value – This study contributed to the TM literature by providing a stronger and more plausible explanation of the relationship between TM and talented employees’ outcomes. Keywords Talent management, Satisfaction, Ghana, Banking sector, Organizational citizenship behaviours, Person-organization fit Paper type Research paper 1. Introduction Talent management (TM) has attracted the attention of scholars and practitioners since its appearance in the managerial lexicon in the 1990s. Indeed, Thunnissen et al. (2013) have described interest and research in the field of TM as having grown from infancy to adolescent. This is because for organisations, TM practices have become the cornerstone not only of attracting the best and bright employees but also achieving organisational sustainability in this dynamic and competitive global environment. Previous findings from the extant literature suggest that TM practices are positively related to talented employee outcomes such as job satisfaction, affective commitment, work motivation, retention and citizenship behaviours (Collings and Mellahi, 2009; Bethke-Langenegger et al., 2011; Bjorkman et al., 2013; Chami-Malaeb and Garavan, 2013; Gelens et al., 2015; Luna-Arocas International Journal of Manpower and Morley, 2015; Mensah et al., 2016). Vol. 39 No. 2, 2018 pp. 319-333 However, the mechanisms through which TM affect talented employees’ outcomes still © Emerald Publishing Limited need more research (e.g. Dries, 2013; Gallardo-Gallardo and Thunnissen, 2016; 0143-7720DOI 10.1108/IJM-08-2016-0162 IJM Thunnissen, 2016). Several mechanisms such as employee engagement (Mensah, 2015), 39,2 perceived organisational support (Gelens et al., 2015), perceived organisational justice (Gelens et al., 2013), psychological contract (Hoglund, 2012; Sonnenberg et al., 2014) and social exchange theory (Sonnenberg et al., 2014) have been researched. A further mechanism proposed by Collings and Mellahi (2009) is person-organisation (P-O) fit. This mechanism has been extensively used in the HRM literature, but it is yet to be tested 320 sufficiently in the TM field. Generally, P-O fit is referred to as the compatibility between the characteristics of employees and their organisation (Kristof, 1996). Even though several studies have examined the mechanisms that affect talented employees’ outcomes (e.g. Chami-Malaeb and Garavan, 2013; Gelens et al., 2015; Luna-Arocas and Morley, 2015), little have considered the mediation effect of P-O fit on the relationship between TM and talented employees’ outcomes. We argued that TM does not guarantee talented employees’ outcomes as talented employees also have their values and goals to achieve. We incorporate P-O fit theory as a frame to understand talented employees’ reactions to TM. This study aims to examine the mediating effect of P-O fit on the relationship between TM and talented employees’ attitudes ( job satisfaction and organisational citizenship behaviours (OCBs)). Our argument is that TM will increase congruence (P-O fit) between talented employees and their organisation because TM communicates organisational values and goals to talented employees. We proposed that increased congruence will generate talented employees’ outcomes of job satisfaction and OCBs. The selection of job satisfaction and OCBs is based on the premise that both significantly influence talented employee and organisational performance (e.g. Collings and Mellahi, 2009; Luna-Arocas and Morley, 2015). Although, there is a growing body of scholarly research linking TM with talented employees’ outcomes in different regions of the world (Bethke-Langenegger et al., 2011; Bjorkman et al., 2013; Chami-Malaeb and Garavan, 2013; Gelens et al., 2015; Luna-Arocas and Morley, 2015), a few studies have evaluated this link in Ghana. As a response to the call by Vaiman et al. (2012), Thunnissen et al. (2013) and Gallardo-Gallardo and Thunnissen (2016) for more empirical research on TM from different context, this paper will explore TM’s impact on P-O fit and, in turn, on talented employees work attitudes in the Ghanaian banking sector. The Ghanaian banking sector has recently seen implementation of strategies aimed at attracting, developing and retaining talented employees (Mensah et al., 2016). Therefore, conducting this study from the Ghanaian banking sector will provide evidence of whether TM will have similar effects on talented employees as in western context. The contribution of this paper is twofold. First, the paper explores the concept of P-O fit as the mechanism through which TM leads to both talented employees’ job satisfaction and OCBs. Thus, the paper explores both empirically and theoretically how the congruence between the values and goals of organisations and that of talented employees influences their work outcomes. This is important as voices are increasingly being raised as to how to gain substantially from talented employees for competitive advantage in this turbulent and fast changing environment. Second, this paper makes an important contribution to the development of TM theory as we increase the international breadth of empirical research on the link between TM and talented employees’ outcomes. In short, we contributed to the TM literature by providing a stronger and more plausible explanation of the relationship between TM and talented employees’ outcomes. Structurally, this paper first discusses the theoretical mechanism linking TM to job satisfaction and OCBs. This is then followed by the potential mediator, P-O fit, through which TM affects job satisfaction and OCBs. Following a description of the research context and methodology, the seven hypotheses are tested using structural equation modelling (SEM). The paper concludes with an analysis of the theoretical and managerial implications as well as limitations. 2. Theoretical framework and hypotheses Testing the The operational environment of the twenty-first century calls for a different kind of war; mediation a war not between the forces of nation states, but a war for talents. The well-known phrase effect of P-O fit “the war for talent” was coined by a group of Mckinsey consultants in the late 1990s. This subsequently ignited current day interest in TM research. Over the course of the last decade, TM has increasingly become pertinent research area and has grown from infancy to adolescence (Thunnissen et al., 2013). Generally, TM focusses on the activities 321 and processes that are used to identify key positions, the development of a talent pool of high potential and high performing employees to fill these roles and the continuous management of such employees with differentiated human resource architecture to ensure their continued commitment to the organisation (Lewis and Heckman, 2006; Collings and Mellahi, 2009; Gelens et al., 2013). The ability, motivation and opportunity (AMO) theory of Appelbaum et al. (2000) provides a theoretical underpinning for examining the relationship between TM and employee outcomes. According to the AMO theory, performance is a function of employee ability (A), motivation (M) and opportunity (O) to participate. The theory predicts that employees will perform well when: they possess the required knowledge and skills to undertake the job (abilities); they are incentivised and adequately interested in the work (motivation); they are provided with opportunities to express themselves at the workplace (opportunity to participate). It is argued that talented employees possess the desired abilities (Collings and Mellahi, 2009) and, consequently, the implementation of TM seeks to motivate and incentivise talented employees; and provide them with the opportunity to participate by placing them in key positions (Collings and Mellahi, 2009). From the AMO perspective, organisations’ interests are best served by TM practices that attend to talented employees’ interests such as their skill requirements, motivations and the quality of their jobs. Therefore, the use of TM can help to positively influence talented employees’ attitudes and behaviours (Collings and Mellahi, 2009). Several studies have found a positive relationship between TM and talented employees’ outcomes such as work motivation, job satisfaction, affective commitment, OCBs and a negative relationship between TM and intention to quit (e.g. Bjorkman et al., 2013; Chami-Malaeb and Garavan, 2013; Gelens et al., 2015; Luna-Arocas and Morley, 2015). This paper focusses on two outcomes – job satisfaction and OCBs because they have been shown to have a significant impact on both employee and organisational performance (Collings and Mellahi, 2009; Luna-Arocas and Morley, 2015). 2.1 Job satisfaction Job satisfaction is one of the most studied concepts in organisational research because of its important connotations for employee behaviours such as performance, turnover and absenteeism. Job satisfaction is seen as “a pleasurable or positive emotional state resulting from one’s job or job experience” (Locke, 1976, p. 1304). Also, job satisfaction is defined as “the extent to which people like or dislike their jobs” (Spector, 1997, p. 2). Apart from these definitions, Chiu and Chen (2005) distinguished between two dimensions of job satisfaction – intrinsic and extrinsic. According to Chiu and Chen (2005), the extent to which employees are satisfied with factors related to the job itself is referred to as intrinsic job satisfaction while extrinsic job satisfaction is related to factors not related to the job (Chiu and Chen, 2005). Generally, three groups of variables have been identified that affect job satisfaction. These are job/task-related characteristics, individual characteristics and organisational characteristics. TM may relate to job satisfaction because talented employees are recruited, placed in strategic positions and developed with a broad variety of TM practices (Collings and Mellahi, 2009; Chami-Malaeb and Garavan, 2013). Recent studies have found a positive IJM relationship between TM and job satisfaction (Mensah et al., 2016). For instance, 39,2 Luna-Arocas and Morley (2015) reported a positive relationship between TM and talented employee’s job satisfaction in their study of 198 public and private sector employees in Valencia. Similar findings were reported by Gelens et al. (2013) who argued that TM leads to higher levels of job satisfaction even though this is mediated by perceptions of distributive justice. Bethke-Langenegger et al. (2011) studied 322 138 Swiss companies and found that TM initiatives aimed at retaining and developing talented employees positively impact on job satisfaction. Accordingly, the following hypothesis is suggested: H1. TM will positively affect talented employee’s job satisfaction. 2.2 OCBs According to Organ (1988, p. 4), OCBs are “individual behaviours that are discretionary, not directly or explicitly recognised by the formal reward system and that in the aggregate promote the effective functioning of the organisation”. Based on this definition, Organ (1988) put forward a seven-factor model of OCBs – sportsmanship, civic virtue, conscientiousness, altruism, courtesy, peacekeeping and cheerleading. Williams and Anderson (1991), on the other hand, suggested just two components of OCBs – those directed at individual employees and those directed at the employing organisation. However, this dichotomous classification integrates Organ’s seven-factor model in that courtesy, cheerleading, altruism and peacekeeping behaviours are directed towards individuals within the organisation, while the conscientiousness (compliance), civic virtue and sportsmanship dimensions are directed at the organisation (Podsakoff et al., 2009). Stressing on the twofold dimensions of OCBs, Eatough et al. (2011, p. 620) defined OCBs as “discretionary behaviours that benefit organisations and their members by improving the social and psychological context in which the technical core of the organisation operates”. OCBs are different from in-role task performance to the extent that in-role performance is formally prescribed by the job while OCBs are not (Podsakoff et al., 2009). Therefore, OCBs entail taking on responsibilities beyond the normal role requirements such as helping work colleagues with their tasks, encouraging a positive work environment, avoiding unnecessary conflicts and getting more involved in organisational activities. Collings and Mellahi’s (2009) definition of strategic TM emphasises matching pivotal positions with pivotal talented employees which will subsequently lead to discretionary effort (OCBs). Scholars have found that employees who are members of a more favourable group (talent pool) portray more discretionary effort and OCBs (e.g. Collings and Mellahi, 2009; Mensah et al., 2016). Mensah (2015) argued that the implementation of TM systems will lead to contextual performance of talented employees, which is similar to OCBs. Drawing implications from the AMO theory and the above studies, the following hypothesis is suggested: H2. TM will positively affect OCBs. 2.3 P-O fit: the mechanism linking TM to talented employee outcomes P-O fit has become one of the widely researched topics in the fields of HRM, organisational behaviour and general management. Generally, P-O fit is defined as “the compatibility between individuals and organisations” (Kristof, 1996, p. 3). Kristof (1996, p. 4) argued that P-O fit occurs when: “(1) at least one entity provides what the other needs or (2) they share similar fundamental characteristics or (3) both”. Muchinsky and Monahan (1987) identified two main types of P-O fits – supplementary fit and complementary fit. Whereas supplementary fit is achieved when an individual possesses characteristics that are similar to other individuals in an organisation, that of complementary fit is achieved when an Testing the individual’s characteristics add something that is missing to the organisation (Muchinsky mediation and Monahan, 1987). effect of P-O fit Schneider’s (1987) attraction-selection-attrition (ASA) framework provides a useful lens to examine P-O fit between talented employees and their organisations. Broadly, ASA framework suggests that organisations attract, select and retain employees whose personal characteristics suit or fit the organisation (Schneider, 1987). According to the 323 ASA framework, whereas employees are attracted to organisations based on their pre-entry beliefs of the organisation’s principal values and goals, organisations also choose through formal and informal selection strategies, employees who fit their values and goals. The ASA framework also proposes that where employees do not fit the organisation’s core values and goals, they will exit (Schneider, 1987). In applying the ASA framework, we argued that organisations that implement TM practices will not only attract talented employees but will also be able to retain them as such employees fit into the core values of the organisation. TM is therefore believed to be one of the main factors that help align talented employees with their organisations (i.e. achieving P-O fit). TM practices such as differentiation of employees, favourable opportunities for rewards, fast-track career, special job training and job autonomy (Poocharoen and Lee, 2013) constantly communicate organisational values and expectations to employees, which, in turn, should facilitate greater P-O fit (Collings and Mellahi, 2009). The HRM literature has examined the propositions underlying the ASA framework and their findings support the idea that HRM has an influence on P-O fit (Cable and Judge, 1997; Carless, 2005). Although, HRM concentrates on all organisational employees rather than employees in the talent pool, they provide useful insights and this study adopts a similar approach in testing the implementation of TM on P-O fit. Therefore, on the basis of the ASA theory and HRM empirical studies, the following hypothesis is suggested: H3. TM will positively affect P-O fit. Empirical studies examining the relationship between P-O fit and job satisfaction have generally found a positive relationship between them. Studies from the USA found a positive relationship between P-O fit and job satisfaction (Lauver and Kristof-Brown, 2001; Westerman and Cyr, 2004). Research findings from a sample of workers in Spain (Vilela et al., 2008) and teachers in India (Narayanan and Sekar, 2009) came to similar conclusions. Finally, Iplik et al. (2011) studied a sample of hotel managers in Turkey and found a positive relationship between P-O fit and job satisfaction. Studies examining the relationship between P-O fit and OCBs have found a positive relationship (e.g. Lauver and Kristof-Brown, 2001). Therefore, the higher the talented employees recognise a stronger link between their personal values and those of the organisation (P-O fit), the greater the job satisfaction and willingness to perform OCBs (Collings and Mellahi, 2009). From the perspective of theory and the above evidence, the following hypotheses are suggested: H4. P-O fit will positively affect talented employees’ job satisfaction. H5. P-O fit will positively affect talented employees’ OCBs. Recent studies have begun to examine the mediating mechanisms through which TM practices lead to employee outcomes (Chami-Malaeb and Garavan, 2013; Gelens et al., 2015; Luna-Arocas and Morley, 2015). Despite the appealing logic of the P-O fit, little empirical studies exist on its mediating role between TM and talented employees’ outcomes. Whereas TM leads to both P-O fit and employee outcomes (Collings and Mellahi, 2009; Gelens et al., 2013; Luna-Arocas and Morley, 2015), the literature also shows that P-O fit IJM positively affects employee outcomes (Lauver and Kristof-Brown, 2001; Vilela et al., 2008). 39,2 Therefore, we argue that P-O fit will partially mediate the relationship between TM and employee outcomes. We draw from the ASA theory and argue that P-O fit is one of the main mechanisms through which TM affects talented employees’ job satisfaction and OCBs. Our theoretical argument is also underpinned by HRM literature (Carless, 2005; Iplik et al., 2011). Therefore, this study predicts that P-O fit will partially mediate the relationship 324 between TM and both talented employees’ job satisfaction and OCBs. We therefore, hypothesise, as follows: H6. P-O fit will partially mediate the relationship between TM and talented employees’ job satisfaction. H7. P-O fit will partially mediate the relationship between TM and talented employees’OCBs. 3. Method 3.1 Research context Ghana has a well-developed banking system and there are about 33 banks, the majority of which are foreign owned. With the increasing use of technology, all banks in Ghana have rolled out a number of services such as VISA electronic debit card, internet banking, smartcards and mobile phone banking. In fact, the banking sector in Ghana has become one of the most innovative, resilient and competitive sectors in the country. The Ghanaian banking sector in recent years has constantly updated their strategies to keep up with regulatory requirements, the changing demands of their customers and radical shift in technology (Baba, 2012). All these call for innovation across the entire value chain of the banking sector. This can only be achieved through the right set of talented employees. However, due to the specialised nature of the banking sector, it has a limited pool of skilled and experienced talent to recruit from, resulting in a constant shortage of talented employees (PricewaterhouseCoopers, 2014; Mensah et al., 2016). This is further exacerbated by competition for talented employees from multinational corporations. The banks are responding to this challenge with the implementation of TM strategies through the attraction, development and retention of talented employees (Mensah et al., 2016). These banks usually engaged on early career development that follows a highly selective recruitment of talented employees with the perceived potential to reach very senior leadership levels over their career. Such early career employees have rapid early career progression and a wide range of early experiences to accelerate the early stages of their career development before they finally become talent pool members. Some of the banks have adopted internally ran academies as one route to address the challenge of the talent shortage as the labour market continues to heat up (PricewaterhouseCoopers, 2014). The banks now have official positions for TM with names for such positions varying slightly (e.g. TM and performance management; learning and talent development; leadership, learning and talent development; etc.). To be eligible as a talent pool member, one must master expertise beyond the technical, deliver credible results and behave in ways consistent with the banks values. The Ghanaian banking sector therefore represents an interesting context to study the relationships proposed in this paper. 3.2 Sample and procedure Our data were collected by means of a survey questionnaire distributed to licensed Banks in the Bank of Ghana database. We followed a series of steps to get data from the respondents. As a first step, a letter of permission was sent to the HR managers of these banks to conduct the study. The second stage involved ensuring that our respondents were actually talented Testing the employees. In our study, the 33 participating banks had formal yearly corporate talent mediation review systems in place, which they used for identifying talented employees effect of P-O fit (PricewaterhouseCoopers, 2014, 2015). Based on agreement, the list of talent pool members was obtained from the HR managers of the participating banks. Thus, all respondents had to meet a pre-set criterion of being labelled talented employee. This approach has been used in previous studies (e.g. Chami-Malaeb and Garavan, 2013; Mensah 325 et al., 2016). A simple random sampling technique was then used to select the respondents (Creswell, 2014). In the third stage, questionnaires were given to the HR managers to administer to the sampled talent pool members. This is because we had no direct access to the employees and therefore, it was imperative to use the HR managers to facilitate the proper administration of the survey. All completed questionnaires were returned to the HR managers who subsequently handed them over to the researchers after three months. Of the 300 questionnaires distributed to talented employees, 232 usable questionnaires were returned, representing a response rate of 77.3 per cent. Table I presents the demographic characteristics of the respondents in terms of their gender, age distribution, educational level and job titles. 3.3 Measures All the indicators in this study allowed respondents to answer on a five-point Likert scale (1¼ strongly disagree, 5¼ strongly agree) except the TM scale. Perceived TM practices. Festing and Schäfer (2014, pp. 295-296) argued that whereas a scale that could be employed to measure TM has not yet been developed, the CIPD (2006) has developed a list of 16 practices which are commonly used by organisations and could serve as a first reference to operationalising TM in empirical studies. These measures were also used by Sonnenberg et al. (2014). To ensure uniformity in the measure of TM, interactions were held with the HR managers of the studied banks and it was revealed that Sample size (n¼ 232) Demographic variable Category Frequency Percentage Gender Male 127 54.7 Female 105 45.3 Age 21-30 29 12.5 31-40 100 43.1 41-50 99 42.7 51-60 4 1.7 Highest Level of education Bachelor 58 25.0 Masters 170 73.3 PhD 1 0.4 Professional 3 1.3 Job titles Investment banker 30 12.9 Financial analyst 25 10.8 IT specialist 27 11.6 Development manager 12 5.2 HR manager 9 3.9 Project manager 33 14.2 Operations manager 22 9.5 Table I. Corporate banker 31 13.3 Demographic Marketing specialist 20 8.7 characteristics Credit risk analyst 23 9.9 of respondents IJM 13 of the items from the CIPD measures are being used by all of them. These 13 items were 39,2 therefore used in this study. Respondents were asked whether or not they perceived their employer as offering to them the opportunity to make use of those 13 TM practices items. The number of TM practices was operationalised by summing for each employee the number of perceived TM practices. As this concerns perceived practices, the total can vary between employees in the same organisation (Sonnenberg et al., 2014). Sample item 326 includes “I am part of the high-potential development schemes”. The coefficient α was 0.86 in our sample. P-O fit. P-O fit was measured based on four items taken from Cable and Judge (1996) and Bright (2007). These items are based on talented employees’ perceptions of fit between their values and goals and those of their bank. Bright (2007) maintained that perception ratings have been extensively used in P-O fit research because they have been found to be better predictors of employee attitudes and behaviours. Sample item includes “my values match the values of my bank”. The coefficient α was 0.89 in our sample. Job satisfaction. In this study, job satisfaction was measured using three items of overall job satisfaction developed by Seashore et al. (1982). This scale is “global” and the preferred measure of job satisfaction (Wanous et al., 1997) because it focusses on employees’ perceptions of their job, rather than on different aspects of their work. Employees’ perception of their job is more likely to result in fewer methodological concerns (Wanous et al., 1997). Sample item includes “In general, I like working here”. The coefficient α was 0.87 in our sample. OCBs. We measured OCBs using five items from the scale developed by Lee and Allen (2002). Thus, two of the items tap into behaviours that are beneficial to individuals while three items tap into behaviours that are beneficial to the organisation. Sample item includes “I willingly give up time to help others who have work-related problems”. The coefficient α was 0.86 in our sample. 4. Analysis and results We tested the proposed framework with the methodology of structural equation modelling (SEM) via analysis of moment structures (AMOS 20) and the maximum likelihood estimation. It has been stated that SEM is effective for testing models that are path analytic with mediating variables (Hair et al., 2010). In assessing the model, we followed the recommended two step analysis procedure (Hair et al., 2010). We validated the measurement model in the first step and the structural model in the second step. 4.1 Measurement model evaluation Construct validity was examined by applying confirmatory factor analysis (CFA). We performed CFA for the individual constructs in the first stage and the data provided a good fit for all of them (TM, P-O fit, job satisfaction and OCBs). We examined the fit of the model with the use of multiple indices as it is possible for a model to be adequate on one-fit index but inadequate on many others (Hair et al., 2010). Hence, we used the χ2 test (with critical insignificant level, pW0.05), the normed χ2 ratio (with critical level not more than 3 or at most 5), the GFI, CFI, TLI and IFI (with critical level not lower than 0.90) and the RMSEA (with critical level not more than 0.08) (Hair et al., 2010). The result of the measurement is given as follows: χ2¼ 219.891, df¼ 113, p¼ 0.000, χ2/df¼ 1.946, GFI¼ 904, CFI¼ 0.957, IFI¼ 0.957, TLI¼ 0.948 and RMSEA¼ 0.064. All the loadings are high (0.623-0.980) and fall within the accepted range (⩾0.50) while all the path estimates are significant ( po0.001) (Hair et al., 2010). We examined the internal consistency by evaluating the computed Cronbach alphas which shows that the instruments are reliable as all Cronbach alphas are much higher than 70 per cent. The average variance extracted (AVE) values are higher than 50 per cent indicating acceptable survey instrument while the calculated composite reliability scores also Testing the indicated that the degree of construct reliability is acceptable (Hair et al., 2010). mediation Discriminant validity was examined by comparing the square root of each factor’s AVE effect of P-O fit with the correlation estimates between constructs. Table II shows that the correlation coefficients are significantly different from unity, and are smaller than the square root of each factor’s AVE, providing evidence for separate constructs. Again, the correlation coefficients among the constructs do not exceed 80 per cent, indicating that multicollinearity 327 does not appear to be a problem (Hair et al., 2010). Finally, we assessed common method bias by using Harman’s (1967) single factor test. After performing this test, we found that the simultaneous loading of all the 25 items in a factor analysis revealed 9 factors with eigenvalues greater than 1.0. While the 9 factors accounted for 61.2 per cent, the first factor accounted for only 10.8 per cent of the total variance explained, indicating that the common method bias is unlikely in the data (Podsakoff et al., 2003). 4.2 Structural model evaluation The conceptual model as provided in Figure 1 shows that TM has direct as well as indirect effects (via P-O fit) on both job satisfaction and OCBs. Thus, we argue that P-O fit mediates the relationship between TM and both job satisfaction and OCBs. The result of the structural model is as follows: χ2¼ 236.5, df¼ 114, p¼ 0.000, χ2/df¼ 2.075, GFI¼ 0.895, CFI¼ 0.947, IFI¼ 0.947, TLI¼ 0.936 and RMSEA¼ 0.068, providing evidence of good fit. In our model, TM and P-O fit account for 46.5 per cent of the variance of job satisfaction (R2¼ 0.465) and 27.1 per cent of the variance of OCBs (R2¼ 0.271). Again, TM accounts for 11.0 per cent of the variance in P-O fit (R2¼ 0.110). The predictions of all the direct hypotheses were supported by the structural model. Thus, TM had significant positive effects on talented employees’ job satisfaction ( β¼ 0.161, po0.001) and OCBs ( β¼ 0.283, po0.001). Also, TM had significant positive effect on P-O fit ( β¼ 0.330, po0.001) which, in turn, had significant positive effect on talented employees’ job satisfaction ( β¼ 0.438, po0.001) and OCBs ( β¼ 0.209, po0.001). The findings therefore suggest that TM practices have positive influences on talented employees’ attitudes and also help create P-O fit. Constructs α AVE Mean (SD) Composite reliability 1 2 3 4 1. P-O fit 0.89 0.59 3.73 (1.22) 0.89 (0.77) 2. OCBs 0.86 0.55 3.51 (1.55) 0.85 0.29 (0.74) Table II. 3. Satisfaction 0.87 0.78 3.82 (1.61) 0.91 0.48 0.33 (0.88) Consistency and 4. TM 0.86 0.56 3.44 (1.01) 0.86 0.33 0.34 0.29 (0.75) reliability measures, Notes: Diagonal figures in parentheses represent square root of AVE. Sub-diagonal entries are the latent and inter-correlation construct inter-correlations. All inter-correlation coefficients are significant at po0.001 for all the variables 0.161*** Satisfaction 0.438*** 0.330*** TM P-O fit 0.209*** OCB 0.283*** Figure 1. Note: ***p<0.001 Conceptual model IJM 4.3 Test of mediation effects 39,2 Figure 1 shows that P-O fit mediates the relationship between TM and both job satisfaction and OCBs. To test whether P-O fit partially mediated the relationship between TM and both job satisfaction and OCBs, we compared the fit of two different models. The first model did not include a direct path between TM and both job satisfaction and OCBs, indicating a full mediation, while the second model included a direct path suggesting partial mediation. 328 The results for the full-mediation model demonstrated a poor fit ( χ 2¼ 236.5, df¼ 114, p¼ 0.000, χ2/df¼ 2.075, GFI¼ 0.894, CFI¼ 0.884, IFI¼ 0.960, TLI¼ 0.896 and RMSEA¼ 0.058), while the partial mediation model demonstrated a good model fit and a significantly better fit than the full-mediation model ( χ2¼ 236.5, df¼ 114, p¼ 0.000, χ2/df¼ 2.075, GFI¼ 0.895, CFI¼ 0.947, IFI¼ 0.947, TLI¼ 0.936 and RMSEA¼ 0.068). Thus, our results support a partial mediation model. Consequently, H6 and H7 were supported. We used the Sobel test with bootstrap standard errors to examine the significant of the mediation effect of P-O fit on the relationship between TM and both job satisfaction and OCBs (Hayes and Preacher, 2010). We used a bootstrapped based on 1,000 re-sampling because the Sobel test requires large sample size (Hayes and Preacher, 2010). Using the Sobel online calculator, the results showed that P-O fit mediated the relationship between TM and both talented employees’ job satisfaction (Sobel test¼ 3.382, po0.001) and OCBs (Sobel test¼ 2.415, po0.001). 4.4 Control variables We controlled for gender, education and experience on P-O fit, job satisfaction and OCBs. However, there were no significant differences among the respondents in terms of gender, education and experience. 5. Discussion 5.1 Theoretical implications The purpose of this study was to test the mediating effect of P-O fit on the relationship between TM and both talented employees’ job satisfaction and OCBs. Thus, the mechanisms through which TM leads to talented employee outcomes have received little empirical research (Thunnissen, 2016). This therefore limits our understanding of why TM leads to such outcomes. This study therefore addressed this gap by examining the mediating effect of P-O on the relationship between TM and both talented employees’ job satisfaction and OCBs. The findings showed that TM had significant positive direct and indirect effects on talented employees’ job satisfaction and OCBs through P-O fit. This study contributes to the TM literature by establishing an innovative link between TM and P-O fit. Thus, P-O fit may be valuable in explaining the relationship between TM practices and positive employee outcomes. This means that both TM and P-O fit are effective in explaining and predicting talented employees’ outcomes of job satisfaction and OCB. The findings of this study are also consistent with the argument that achieving congruence between the values and goals of employees and their organisations (i.e. P-O fit) is an important factor in determining employee attitudes and behaviours (Cable and Judge, 1997; Carless, 2005). Thus, when talented employees sense that there is a close fit between their values and goals and those of their organisation, they will be more satisfied with their jobs and more willing to display citizenship behaviours. Even though, this study is specific to the Ghanaian banking sector, previous studies (e.g. Lauver and Kristof-Brown, 2001; Narayanan and Sekar, 2009) have also confirmed a relationship between P-O fit and job satisfaction and OCBs. This is because the compatibility between the characteristics of employees and their organisations helps to increase job satisfaction and perform OCBs. Consequently, this finding is consistent with the underlying principle of the ASA framework. Therefore, both TM and P-O fit are influential predictors of talented employees’ job Testing the satisfaction and OCBs in the Ghanaian banking sector. mediation Many scholars have highlighted the need to examine TM in different contexts effect of P-O fit (Vaiman et al., 2012; Thunnissen et al., 2013; Gallardo-Gallardo and Thunnissen, 2016). This study addressed this lacuna by examining the effects of TM on talented employees’ job satisfaction and OCBs through the mediating role of P-O fit. Generally, the findings are consistent with those in western context (e.g. Bjorkman et al., 2013; Gelens et al., 2015; 329 Luna-Arocas and Morley, 2015) indicating that the effects of TM are not confined to Anglo-Saxon countries but are evident in the Ghanaian banking sector as well. This is, however, not surprising as the Ghanaian banking sector has an Anglo-Saxon background. Thus, the findings provide additional support for the positive effects of TM on both talented employees’ job satisfaction and OCBs in the Ghanaian banking sector. These findings from Ghana are significant because they do not only serve as lessons to other emerging economies but also help organisations to use TM to achieve congruence between their goals and values and that of talented employees. With respect to the mediating effect of P-O fit on the relationship between TM and both talented employees’ job satisfaction and OCBs, the results show that P-O fit partially mediates this relationship. Thus, TM helps orient talented employees to their organisational values and goals, which, in turn, shape their satisfaction and OCBs. The paper makes a contribution to the TM literature by exploring both empirically and theoretically how the congruence (P-O fit) between the values and goals of organisations and that of talented employees influences their work outcomes. Indeed, this will help increase the international breadth of empirical research on the link between TM and talented employees’ outcomes. 5.2 Managerial implications The findings of this study show that TM does not only have a direct positive effect, but also an indirect positive effect on both talented employees’ job satisfaction and OCBs through their influence on P-O fit. This means that both TM and P-O fit are important independent variables in explaining talented employees’ job satisfaction and OCBs. Management and organisations should adopt TM practices that enhances talented employees’ P-O fit. This, according to the current study, should facilitate talented employees’ P-O fit, which will, in turn, benefit organisations through greater talented employee satisfaction and enthusiasm to exhibit OCBs. To make TM beneficial, HR managers in the Ghanaian banking sector should align talented employee’s competences, values and goals to those of their banks. Thus, organisations gain when they align talented employees’ behaviours and actions to the goals of the organisation. To achieve congruence between their organisation and individuals, managers have to take note of the following issues. First, they must put in place an effective TM system that helps them to source, screen and select employees with the right knowledge, skills and experiences. Second, they should implement an on-boarding system that will quickly help to immerse employees into the organisation’s cultural values, thereby achieving fit. Third, once the right employees are on-board, they should be deployed in a way that will continuously develop their skills, knowledge and experiences, and match their career interests and competencies with the short- and long-term needs of the organisation. These actions are aimed at ensuring congruence between employee and organisational values in order to achieve employee satisfaction and OCBs. Talented employees should be provided with more autonomy and opportunities to participate in strategic planning and goal setting with the purpose of aligning their goals and those of the banks. Management should continuously communicate organisational values and goals to talented employees. In other words, to facilitate fit between talented employees and the Ghanaian banks, managers should provide talented employees IJM information about the culture and values of their banks during recruitment and selection in 39,2 order for them to assess whether the bank is likely to fit well with their own personal values. From this study, it could be argued that TM is not only beneficial to western organisations, but have positive effects on employee work attitudes when applied in the Ghanaian banking sector. Despite the growth of TM in recent years, there is still a paucity of TM research in Ghana. Therefore, the findings of this study will offer an encouraging ground on which to 330 conduct further TM research in Ghana. Finally, putting in place TM practices requires major shifts in HR practices which require strong support from top management. Therefore, top management has to prioritise TM practices along with common HRM functions. This requires top management to have a talented mindset as this will help to attract talented employees whose values and goals are similar to that of their organisation. 5.3 Limitations and further research The findings of this study should be interpreted by taking into consideration a number of limitations. First, the study used cross-sectional data and therefore conclusions regarding casualty cannot be assumed but rather the findings must be interpreted as associations. Second, the data for this study were collected from talented employees in the Ghanaian banking sector with the use of a simple random sampling. Therefore, the findings of this study cannot be generalised to the Ghanaian context as a whole. Further research can be conducted across other public and private sector organisations in Ghana. Second, respondents in our study scored high on mean for all the items. This has implications for the generalisability of our findings as the results could have been different if the sample scored low or moderate on all or some of the items. Again, this study examined talented employees’ job satisfaction and OCBs. Other variables such as job performance, quit intentions and organisational commitment can be used in order to confirm whether the positive findings reported in this study are replicable across a range of employee outcomes. Finally, our data came from a single source – self-report and subjective measures of all the variables. Self-report has been criticised to have biases relating to order, bias in inflating results and concerns about the common method variance. 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(2010), “Reconsidering Baron and Kenny: myths and truths about mediation analysis”, Journal of Consumer Research, Vol. 37 No. 2, pp. 197-206. About the authors Dr James Kwame Mensah is a Lecturer at the Department of Business Administration, University of Professional Studies, Accra, Ghana. He received a PhD in Development Administration from GSPA, National Institute of Development Administration, Thailand. His research interests include public management, talent management, development management, local economic development, public policy and green industrialisation. Dr Mensah has published in peer-reviewed journals including Management Research Review, International Journal of Productivity and Performance Management, International Review of Administrative Sciences and Development Southern Africa. Dr James Kwame Mensah is the corresponding author and can be contacted at: mensjam@gmail.com Professor Justice Nyigmah Bawole is an Associate Professor and the Head in the Department of Public Administration and Health Services Management, University of Ghana Business School, Accra, Ghana. He received a PhD in Development Policy and Management from IDPM, University of Manchester, UK. His research interests include public sector performance management, sustainable development and NGOs. Dr Bawole has published widely in reputable journals including International Journal of Public Administration, Voluntas, International Review of Administrative Sciences and Public Organisation Review. For instructions on how to order reprints of this article, please visit our website: www.emeraldgrouppublishing.com/licensing/reprints.htm Or contact us for further details: permissions@emeraldinsight.com