The Mediating Effect of Employee Commitment on the Relationship between Talent Management, Reward System, and Bank Performance

Anas Alhajjar1 , Kateryna Vorobyova2 , Ahmad Alzabadani Alrifai3 , Rezian-na Muhammad Kassim4
1 The International Academy of Strategic Research, Malaysia
2,3 Post-Graduate Center - LUCT
4 Universiti Teknologi Mara (UiTM), Selangor, Malaysia



The purpose of this paper was to investigate the mediation effect of employee commitment on the relationship between talent management, reward system, and bank performance. The study population constituted all employees working at 8 Private Banks in Syria (Bank of Jordan- Syria, Bank AUDI, Bank of Syria and Overseas, The International Bank for Trade & Finance, Byblos Bank, Ibdaa Bank, Banque Bemo Saudi Fransi and Arab Bank). Structural Equation Modeling (SEM) was employed to test the hypothesis. A total of 270 questionnaires were distributed, and 242 questionnaires were retrieved. The measurement model testing results revealed that the model was reliable and valid. Furthermore, the structural model testing results indicated that there were statistically positive relationships between talent management and bank performance, talent management and employee commitment, and employee commitment and bank performance. Through the mediating test, the results showed that commitment did not mediate the relationship between reward system and bank performance, while commitment had mediated the relationship between talent management and bank performance. The results of the study can help the human resource management department to develop appropriate practices to manage talented employees which enhances their performance effective and commitment. This study can also help management to understand the role of the rewards system in influencing employees' commitment and performance. The banking industry could develop effective strategies and practices to manage the talent in embracing the challenges of the Industrial revolution 4.0.

Keywords: Employee Commitment, Reward System, Bank Performance, Industrial Revolution 4.0