Impact of Psychological Capital and Emotional Intelligence on the Job Performance; Reference to Higher Education Institutes in Sri Lanka

Impact of Psychological Capital and Emotional Intelligence on the Job Performance; Reference to Higher Education Institutes in Sri Lanka
Karshika J. W. Dissanayake¹ & P.G.R.B. Chandrasekara^2
1Graduate, Faculty of Management Studies, Rajarata University of Sri Lanka.
²Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka.

DOI: https://doi.org/10.51244/IJRSI.2023.10913

Received: 22 August 2023; Revised: 12 September 2023; Accepted: 16 September 2023; Published: 04 October 2023

 ABSTRACT

Psychological capital and emotional intelligence have been identified as a new approach to increase employee performance despite the fact that there are various factors that lead to the performance of the academic staff, which fulfills a very high national mission by producing educated and intelligent young generations who need to develop to protect the future of the country. Later, researchers found that it can change the way employees feel about their jobs. So, the researcher decided to investigate the impact of psychological capital and emotional intelligence on job performance in higher education institutions in Sri Lanka as this aspect has not been examined in the Sri Lankan context.

The question investigated in this study is the effect of psychological capital and emotional intelligence on job performance in higher education institutions in Sri Lanka. It is the primary objective of this study. As a specific objectives of the study were developed on the four variables of the Psychological Capital and four variable of emotional intelligence construct. In summary, the researcher found that there is a positive effect of psychological capital and emotional intelligence on job performance.

Finally, the study gives some recommendations for improving job performance by increasing psychological capital and emotional intelligence. Although psychological capital is a novel idea for many Vietnamese managers, they see it as a resource that can assist people improve their job performance (NGO, 2021). Understanding psychological capital, developing a questionnaire to measure its level based on work characteristics, business industries, conducting annual evaluations, and convening short-term psychological training courses for employees are some managerial initiatives. Furthermore, in order to improve employees’ job performance, managers should implement two-way internal communication activities that successfully match employees’ requirements, work goals, and assigned tasks at the personal level. Employee selection and promotion decisions can benefit from psychological capital and emotional intelligence. That is, management should prioritize self-efficacy, power contracts, and high levels of self-efficacy among those who can pay. Assist these employees in performing effectively in the workplace, they will be less likely to participate in risky behavior. During the hiring/promotion process, a psychological development status assessment might be conducted.

Keywords : Psychological Capital, Emotional Intelligence, Job Performance.

 INTRODUCTION

 Sri Lanka, with a population of 21 million, has a rapidly changing nature that has negatively impacted political, social, and economic aspects. The country’s free education policy, gender equality, and universal primary and lower secondary school coverage have contributed to its high human development achievement. The country’s success is largely attributed to the effectiveness and efficiency of its higher education institutions (Kappagoda, 2014).

Job performance, the visible actions people take to achieve organizational goals, is crucial for the nation’s future (Motowildo et al., 2009). High-quality lectures are the foundation of the country’s efforts to build its human capital for a knowledge-based economy (Kappagoda, 2013). However, traditional criteria are no longer sufficient to boost employee job satisfaction, emphasizing the need for innovative strategies (Kappagoda, 2017).

Psychological capital, One of POB’s main concepts is psychological capital (Luthans & Youssef, 2004). Introduced by Luthans (2002), is a personality attribute that influences individual productivity. It is essential for human motivation, cognitive function, aspiration for success, and workplace performance. The EI ability model, first described by Peter Salovey and John Mayer in 1990, is a type of intelligence that involves tracking thoughts and actions. Performance in a job or profession is the output generated by tasks or indications over a predetermined amount of time. Quality scholars are essential for higher education and other educational institutions, and proper job performance of university administrators and instructors is necessary for educational success.

According to the findings of Sridevi and Srinivasan (2012), much of the research in Psychological Capital has been conducted by Luthans and his colleagues in the United States. The US and China. Psychological Capital study in various cultures and circumstances is needed to generalize its value in the workplace. “Psychological capital has not been studied in the South Asian context” (Sridevi & Srinivasan, 2012). While considering the preceding statement, there is an increasing need to assess Psychological Capital in other cultural contexts to determine acceptability and adaptability to other circumstances.

The impact on performance in Sri Lanka is not well understood as there is a dearth of studies on the topic. Hence the researcher chose this. The question investigated in this study is the effect of psychological capital and emotional intelligence on job performance in higher education institutions in Sri Lanka. It is the primary objective of this study. As a specific objectives of the study were developed on the four variables of the Psychological Capital and four variable of emotional intelligence construct.

LITERATURE REVIEW

JP (Job Performance) is a crucial concept in organizational and industrial psychology, measuring an organization’s ability to achieve its objectives through its people’s valuable contributions (Okolie & Emoghene, 2019). Performance is an indicator of an organization’s success in achieving its objectives, and it is the desired result that a company aims to attain efficiently and effectively. Murphy and Campbell were the first to define individual work performance, focusing on task behaviors, interpersonal behaviors, downtime behaviors, and destructive/hazardous behaviors (Koopmans et al., 2011)(Murphy & Kroeker, 1988). Campbell’s methodology included eight elements: communication, effort demonstration, self-discipline maintenance, fostering peer and team performance, supervision, management, and administration. Viswesvaran (1993) created ten dimensions of individual work performance based on 486 measurements of job performance, dividing factors into productivity, quality of work, job knowledge, communication skills, effort, leadership, administrative skills, interpersonal skills, and compliance with authority.

Borman and Motowidlo define task performance and contextual performance as actions that support the technological core of an organization, while contextual performance refers to actions that support the organizational, social, and psychological framework. These categories overlap, with contextual performance referring to actions that support the technological core’s functioning (Lepine et al., 2002). Unproductive work behavior, such as absenteeism, distraction, thievery, and substance misuse, negatively impacts a company’s success.

Job-specific and generic frameworks describe work performance differently, with task performance, contextual performance, and counterproductive work behavior being broad dimensions. However, some frameworks do not place certain characteristics like proactive, innovative, and adaptive performance in these groups.

Psychological capital (PsyCap) is a psychological concept that focuses on positive psychological states and their impact on work results. It is a composite component that can help organizations address human capital issues (Newman et al., 2014). PsyCap is based on four positive psychological qualities: hope, optimism, resilience, and efficacy (Saman & Wirawan, 2021). These qualities have beneficial impacts on both individuals and organizations, as they help individuals feel hopeful, optimistic, resilient, and able to overcome obstacles. PsyCap has been studied in various contexts, including workplaces, colleges, and high schools, and has been found to positively impact workers’ productivity, positive working attitudes, engagement, and commitment (Vanno et al., 2014). However, few studies have compared its impact on students and workers (Saman & Wirawan, 2021).

Emotional intelligence (EI) emerged in 1900, with early studies focusing on cognitive abilities like memory and problem-solving (Kappagoda, 2012). EI was first described in 1990 by psychologists Peter Salovey and John Mayer, who created the EI ability model (Carmeli, 2003). EI covers four key areas: recognizing and expressing emotions, integrating feelings into thought, comprehending and analyzing feelings, and controlling feelings through introspection (Mayer et al., 2009). In 1995, Daniel Goleman introduced the concept of EI, defining it as one’s capacity to sustain motivation, persevere, restrain impulses, manage moods, empathize, and hope.

Goleman’s 1998 model included five fundamental EI elements: Self Awareness, Self-Control, Motivation, Empathy, and Social Skills. In 2000, Goleman expanded his research by working with Richard Boyatzis,  introducing four EI components: relational management, social awareness, self-awareness, and self-management. These components focus on self-awareness, self-management, social awareness, and relationship management. The EI model has since evolved to encompass a wide range of emotional intelligence skills and abilities.

Psychological Capital is positively related to job satisfaction, organizational commitment, and psychological well-being at work, while negatively related to employee cynicism, turnover, stress, and anxiety. It has a favorable correlation with employee behaviors like organizational citizenship and a negative correlation with deviance. Research on psychological capital components shows each component is generally desirable in organizations and life. Performance is the most explored outcome variable in psychological capital research, with higher levels of Psychological Capital resulting in energized individuals who put forth more effort towards goals. These individuals have willpower, multiple solutions to difficulties, optimism, patience, and resilience. Overall, Psychological Capital should improve motivation for intentional action towards completing goals and activities, resulting in better performance.

METHODOLOGY

The study’s goal is to learn more about how psychological capital and emotional intelligence affects higher education institutions’ productivity on the job in Sri Lanka. Job performance is the dependent variable and psychological capital and emotional intelligence are the independent variables in this study. The following figure shows how the variables are related to one another.

An outline or plan for collecting, evaluating, and analyzing data in order to address research questions is known as a research design. Additionally, research design considerations include choices on the method of data collection to be used, the type of sample (sampling design), the way variables will be measured, and the way they will be processed to test the hypotheses (Sekaran & Bougie, 2016).

There are two types of research: basic research and applied research. The goal of this research is to investigate the impact of psychological capital and emotional intelligence on the job performance. Consequently, this research is regarded as applied research. There are three purposes of research namely exploratory, descriptive and explanatory researchers (Sekaran, 2021). In this study, researcher attempted to investigate the impact of psychological capital and emotional intelligence on the job performance. This study practiced and tried to achieve objective through the hypothesis. Therefore, this study could be considered as an explanatory one. Deductive and inductive research approaches are the two categories, according to Sekaran (2021). In this study, the researcher used the prior literature to track out potential relationships and interdependencies among the variables that would support the study’s hypotheses. As a result, the deductive technique applies to this investigation. Research strategy is questionnaire survey strategy. There are two types of research studies which are quantitative and qualitative. In this study, researcher has investigated the effect of psychological capital and emotional intelligence on job performance in higher education institutions in Sri Lanka by collecting data as a large-scale survey using a questionnaire, so this study is a quantitative research. The units of analysis at the individual level in this study are Professor, Senior Lecturer, Lecturer, Lecturer (Probationary), and Lecturer (Temporary) in higher education institutions. Each of these units provides information to this study individually. Thus, these units can be recognized as analytical units.

The population of this study was higher education institutions in Sri Lanka. As no such research has been done for this field in Sri Lanka, the researcher has focused on this sector. Focusing on five major districts, the researcher selected five universities as higher education institutions. Therefore, the population consists of five universities namely University of Sri Jayewardenepura, University of Peradeniya, University of Ruhuna, Rajarata University of Sri Lanka, and Eastern University of Sri Lanka. The population is divided into samples. The sample of this study was the academic staff of universities in Sri Lanka. Here the population is 420 and the researcher has selected the sample according to the Morgan Table. It is 201 (Krejcie & Morgan, 1970). The Convenience sampling technique was used to obtain a sample of 207 academic members of the faculty of management studies in the selected universities. The questionnaire method was used by the researcher to get information from the samples.

RESULTS AND DISCUSSION

Pearson Correlation Analysis

In order to ascertain the nature of the relationship between independent variables and independent and dependent variables, this study used the Pearson correlation coefficient, a number with a range of +1 to -1. Table 4.1 contains the research’s pearson correlation findings, which are as follows.

Table 4.1: Pearson Correlation – Psychological Capital

		Job Performance
Psychological Capital	Pearson Correlation	0.631**
	Sig. (2-tailed)	0.000
	N	207
Hope	Pearson Correlation	0. 550**
	Sig. (2-tailed)	0.000
	N	207
Optimism	Pearson Correlation	0.536**
	Sig. (2-tailed)	0.000
	N	207
Self-efficacy	Pearson Correlation	0.514**
	Sig. (2-tailed)	0.000
	N	207
Resiliency	Pearson Correlation	0.479**
	Sig. (2-tailed)	0.000
	N	207

**. Correlation is significant at the 0.01 level (2-tailed).

According to above table 4.1 there is a positive relationship between psychological capital and job performance. The Pearson correlation value was 0.631; it is a high positive level. It has perfect linear relationship. And this was accepted at the 0.01 significant level (P <0.01). The sig value was 0.000. Therefore, there is a strong positive significant relationship between psychological capital and job performance. A similar relationship exists between other variables.

Table 4.2: Pearson Correlation – Emotional Intelligence

		Job Performance
Emotional Intelligence	Pearson Correlation	0.712**
	Sig. (2-tailed)	0.000
	N	207
Self-awareness	Pearson Correlation	0.581**
	Sig. (2-tailed)	0.000
	N	207
Self-management	Pearson Correlation	0.533**
	Sig. (2-tailed)	0.000
	N	207
Social Awareness	Pearson Correlation	0.584**
	Sig. (2-tailed)	0.000
	N	207
Relationship Management	Pearson Correlation	0.567**
	Sig. (2-tailed)	0.000
	N	207

**. Correlation is significant at the 0.01 level (2-tailed).

According to the above table 4.2, there is a positive relationship between emotional intelligence and job performance. The Pearson correlation value was 0.712; it is a high positive level. It has perfect linear relationship. And this was accepted at the 0.01 significant level (P <0.01). The sig value was 0.000. Therefore, there is a strong positive significant relationship between emotional intelligence and job performance. A similar relationship exists between other variables.

Multiple Regression Analysis

To assess the relationship between one dependent variable and two or more dependent variables, multiple regression analysis is utilized. To ascertain the important influence of psychological capital and emotional intelligence on work performance in higher education institutions in Sri Lanka, multiple regression analysis was used in this study. Two model was created to fulfill the study’s objective.

Coefficients

Table 4.3: Multiple Regression Analysis – Model 01

Model		Unstandardized Coefficient		Standardized Coefficient	t	Sig.
		B	Std. Error	Beat
1	(Constant)	1.688	0.212		7.947	0
	Hope	0.157	0.06	0.21	2.605	0.01
	Optimism	0.172	0.061	0.218	2.81	0.005
	Self-efficacy	0.119	0.057	0.159	2.086	0.038
	Resilience	0.129	0.05	0.177	2.579	0.011

Dependent Variable: JP

Source: Survey Data

As per the regression table 4.3, regression coefficient of hope was 0.157 and its significance value was 0.010. As the significant value was greater than 0.05, study accepted that hope has significant impact to job performance. The results of the regression analysis indicated that there is a positive impact of hope on job Performance. The found impact is statistically significant. That means, there is a significant impact Thus, there is statistical evidence to claim that hope is positively impacted on job performance. A similar relationship exists between other variables.

Table 4.4: Multiple Regression Analysis – Model 02

Model		Unstandardized Coefficient			Standardized Coefficient	t	Sig.
		B		Std. Error	Beat
1	(Constant)		1.07	0.214		4.994	0.000
	Self-awareness		0.206	0.046	0.275	4.47	0.000
	Self-Management		0.114	0.048	0.149	2.351	0.02
	Social Awareness		0.222	0.058	0.247	3.841	0.000
	Relationship Management		0.168	0.047	0.226	3.597	0.000

a.  Dependent Variable: JP

Source: Survey Data

As per the regression table 4.4, regression coefficient of self-awareness was 0.206 and its significance value was 0.000. As the significant value was greater than 0.05, study accepted that self-awareness has significant impact to job performance. The results of the regression analysis indicated that there is a positive impact of self-awareness on job Performance. The found impact is statistically significant. That means, there is a significant impact Thus, there is statistical evidence to claim that self-awareness is positively impacted on job performance. A similar relationship exists between other variables.

Descriptive Statistics

To evaluate the core components of a research study, descriptive statistics are used. It offers concise summaries of the metrics and samples. In this study, the means, SDs, and skewness of the variables were determined.

To determine the fundamental focus of this study, descriptive statistics were used. To analyze the information gathered through surveys, the researcher generated measurements for the mean, standard deviation, and skewness. The following Table 4.5 is a summary of the results.

Table 4.5: Descriptive Statistics

	N Statistic	Mean Statistic	Std. Deviation Statistic	Skewness
				Statistic	Std. Error
PyCap	207	4.2025	0.52051	-2.152	0.169
EI	207	4.2917	0.48271	-1.741	0.169
JP	207	4.118	0.47661	-0.779	0.169
Valid N (listwise)	207

Source: Survey Data

The means of each independent and dependent variable are all close to 4 according to the table 4.5. It demonstrates that the vast majority of survey participants obtained positive results for every variable. The emotional intelligent variable has the highest mean value, 4.2917, and awareness has the lowest, 4.1180.

There was only a small amount of variation in the responses, as shown by the fact that all standard deviations were less than 1. Additionally, the skewness of all variables ranged from +1 to -1. Indicating that the data set was negatively skewed values for skeweness, a sign of normal distribution, were near to 1. According the table 4.5 statistics all the variables has shown negative Skewness.

Summary of Hypothesis Results

Table 4.6: Summary of Hypothesis Testing

Hypothesis	Correlation		Regression		Decision
	r	Sig.	Unstandardized Coefficient	Sig.
H1: There is a significant impact of Psychological Capital on Job Performance of Higher Education Institutes in Sri Lanka.	0.631**	0	–	0	Accepted
H1a: There is a significant impact of Hope on Job Performance of Higher Education Institutes in Sri Lanka.	0.550**	0	0.157	0.01	Accepted
H1b: There is a significant impact of Optimism on Job Performance of Higher Education Institutes in Sri Lanka.	0.536**	0	0.172	0.005	Accepted
H1c: There is a significant impact of Self-Efficacy on Job Performance of Higher Education Institutes in Sri Lanka.	0.514**	0	0.119	0.038	Accepted
H1d: There is a significant impact of Resiliency on Job Performance of Higher Education Institutes in Sri Lanka.	0.479**	0	0.129	0.011	Accepted
H2: There is a significant impact of Emotional Intelligence on Job Performance of Higher Education Institutes in Sri Lanka.	0.712**	0	–	0	Accepted
H2a: There is a significant impact of Self-Awareness on Job Performance of Higher Education Institutes in Sri Lanka.	0.581**	0	0.206	0	Accepted
H2b: There is a significant impact of Self-Management on Job Performance of Higher Education Institutes in Sri Lanka.	0.533**	0	0.114	0	Accepted
H2c: There is a significant impact of Social Awareness on Job Performance of Higher Education Institutes in Sri Lanka.	0.584**	0	0.222	0	Accepted
H2d: There is a significant impact of Relationship Management on Job Performance of Higher Education Institutes in Sri Lanka.	0.57	0	0.168	0	Accepted

Source: Survey Data

CONCLUSIONS AND IMPLICATIONS

The researcher’s major goal was to determine the effect of psychological capital and emotional intelligence on the performance of higher education institutions in Sri Lanka. To accomplish this goal, the researcher chose management faculty from five universities in Sri Lanka’s five districts. The survey included replies from 207 higher education personnel. Frequency analysis was utilized to analyze the sample profile, and regression analysis was performed to test the hypothesis.

Although several studies have examined the impact of psychological capital and emotional Intelligence on job performance, no research has been conducted in the financial industry or within the Sri Lankan cultural setting. As a result, this work will serve as a model for future researchers in this field. Increasing university professors’ psychological capital can improve their performance. Furthermore, this can be applied to personnel from any industry.

SUGGESTION FOR FUTURE RESEARCH

While this study focuses solely on the impact of psychological capital and emotional intelligence on performance, other moderating factors such as satisfaction, motivation, and commitment may also be present. Future study can also focus on this. Because this study focuses on higher education institutions, findings cannot be generalized to other companies, industries, or countries. To solve those problems, future study can be conducted in different sectors. Furthermore, this study only looked at the influence of psychological capital and emotional intelligence on performance. By introducing influence, the relationship between psychological capital and emotional intelligence might improve performance even further. As a result, future study should focus on this.

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