There has been no clear evidence about whether organizational investment works for countering occupational fraud, and where to focus the investment if it works. In this regard, the present study explored the mediating roles of ethical culture and monitoring control in the 'organizational investment-occupational fraud' linkage. Using a sample of 392 Korean banking employees, a series of structural equation models were estimated. The results showed that the perception of increased investment in anti-occupational fraud enhanced two mediating variables, ethical culture and monitoring control. However, only the perception of an improved ethical culture was negatively related to the perceived frequency of occupational fraud with statistical significance. These findings imply that investing in ethical culture is more effective in preventing occupational fraud.
Purpose
– The purpose of this paper is to explore whether the relation between police transformational leadership and organizational commitment is mediated by organizational culture. Drawing on the competing values framework (Quinn, 1988), four types of cultural orientations (group, developmental, hierarchical, and rational) are analyzed.
Design/methodology/approach
– In total, 358 South Korean police officers are surveyed. Using competing values as multiple mediators, a parallel four mediator model is estimated. Bias-corrected bootstrapping methods are employed to consider the small sample size, as well as the possible non-normal distribution of specific indirect effects.
Findings
– The linkage between transformational leadership and commitment appears to be fully mediated by group culture. Interestingly, multiple individual officer characteristics, duty type, and departmental size do not impact respective constructs overall.
Research limitations/implications
– The use of cross-sectional data hinders causal ordering among constructs included.
Practical implications
– Given the full mediation relationships among the three constructs, it is advisable to develop more nuanced leadership training programs optimized for fostering “considerate and supportive leaders” who have been known to impact group culture.
Originality/value
– Including two understudied police organizational correlates (i.e. transformational leadership and organizational culture), this study accounts for the mediating role of organizational culture in the transformational leadership-commitment link with multiple variables frequently used in previous research being controlled.
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