Mediating Role of Organisational Culture in the Relationship Between People Dimensions and Employee Engagement in the Telecom Sector in Abu Dhabi

1. INTRODUCTION

The telecommunication sector is one of the fastest-growing and most competitive industries globally (PWC, 2023), and the UAE is no exception. As one of the most technologically advanced nations in the Middle East, the UAE’s telecom sector plays a vital role in driving the nation’s economy (Modor Intelligence, 2025). Dominated by major players like Etisalat and Du, the sector is valued at approximately $8.4 billion as of 2022, with a projected annual growth rate of 2% from 2022 to 2027 driven primarily by increasing demand for mobile services, digital technologies, and high-speed data solutions (Oxford Business Group, 2023). However, alongside technological advancements, people, dimensions, employee engagement, and organisational culture are essential to maintain the sector’s competitive edge. In such a dynamic and rapidly evolving industry, fostering a positive workplace culture and high levels of employee engagement are crucial for innovation, productivity, and long-term success.

Sustaining this growth in a competitive market alongside market dynamism requires telecommunication companies to prioritise optimised human capital development alongside technological development (Schwarzburg, 2024). Employee engagement represents the emotional organisational commitment of workers, which directly impacts workplace performance and productivity measurements (Yousif Ali & Hasaballah, 2020). Engaged employees tend to innovate further with their duties to create better customer relationships while driving higher profits for the company (Deepalakshmi et al., 2024). Organisations acknowledge the importance of employee engagement, yet most telecommunication operators struggle to sustain high engagement metrics. The Gallup State of the Global Workplace report-2021 shows that the Middle East and North Africa (MENA) region has just 15% of workers who maintain full engagement at work (Gallup, 2021). Employee engagement levels in the region stand at a critical low point, which particularly affects telecommunications industry operations because they heavily depend on innovation coupled with customer service.

The UAE telecom sector faces the challenge of maintaining high levels of employee engagement amid rapid technological advancements and fierce market competition. While the sector has experienced substantial growth, employee engagement remains relatively low, impacting productivity, innovation and service quality. Previous studies, such as (Nwachukwu et al., 2021; and Connolly et al., 2017) have focused on the direct impact of key factors such as customer centricity, managerial support and empowerment on engagement but have not evaluated the mediating role of organisation culture. In such a dynamic and competitive industry, a positive organisational culture is important to increase employee motivation and commitment (Setrojoyo et al., 2023). However, not much attention is provided to organisation culture with these dimensions to influence employee engagement, especially in the context of Abu Dhabi’s telecom sector. The study aims to investigate how organisational culture, as a mediator, interacts with People Dimensions (Customer Centricity, Managerial Support, and Empowerment) to influence employee engagement in the telecom sector of Abu Dhabi.

2. LITERATURE REVIEW

Employee engagement is a key driver of organisational performance, particularly in service sectors like telecommunications (Kadim, 2018). Employee engagement refers to the extent to which employees are emotionally connected, committed and involved in their work in the organisation (Yadav et al., 2022). It is an important factor driving key performance outcomes that involve enhanced productivity, increased creativity and improved customer satisfaction (Turner, 2020). In the telecommunications sector, where competition is stiff and technological advancements are rapid, workplace engagement is a major driving factor behind organisational excellence (Atiku et al., 2024).

Highly involved staff are more productive, creative, and innovative, and engagement is thus an integral ingredient in maintaining competitive advantage (Elidemir et al., 2020). (Ahmed & Shafiq, 2014) conducted a study to evaluate the impact of organisational culture on organisational performance in the telecom industry of Bahawalpur, Pakistan. The study demonstrated that dedicated employees are more likely to participate in knowledge-sharing activities, directly resulting in organisational success. In addition, dedicated employees enjoy higher customer loyalty, service quality, and efficiency (He et al., 2021). Achieving high levels of employee engagement is not solely dependent on individual factors; it is also significantly influenced by external elements such as organisational culture and leadership. It indicates the organisation environment including values, norms, and practices influencing employee work experiences. It includes how leadership styles and cultural elements foster or hinder employees’ emotional and cognitive commitment. Supportive culture and effective leadership develop conditions that increase engagement promoting trust, recognition and purpose (Parent & Lovelace, 2018). Hence, the understanding employee engagement requires considering both individual attributes and boarder organisation dynamics affecting motivation and involvement.

2.1. Hypotheses Development

H1: Customer centricity positively affects employee engagement in the telecom sector of Abu Dhabi

Customer centricity is a business strategy that focuses on building favourable experiences and long-term value for customers by putting their needs, wants, and satisfaction at the centre of organisational decisions and activities (Gupta & Ramachandran, 2021; Saeed, 2023). It means getting to know customers intensely, adapting products, services, and interactions to address their expectations, and building solid relationships to create loyalty and retention (Sparrow et al., 2015). In contrast to product-centric strategies, customer centricity centres on one-on-one interaction, ongoing feedback, and responsiveness to changing customer needs. This strategy propels sustainable growth by aligning the operations, culture, and strategies of the firm with delivering superior customer value repeatedly (Rajagopal, 2020).

Customer centricity functions as a resource and a demand through the Job Demands-Resources (JD-R) model because it enhances or hinders employee engagement based on the job demands versus resource equilibrium (Bakker & Demerouti, 2007). In the JD-R model, customer centricity is both a resource and a demand that affects employee engagement (Sparrow et al., 2015). As a resource, customer centricity motivates employees by giving those meaningful interactions, independence, and a sense of mission, potentially increasing motivation and engagement. Yet, when customer expectations are too high, it becomes a demand, inducing stress and burnout, and hence decreasing engagement. This balance is key between the requirements of the job (customer demands) and resources (caring leadership, training). A healthy environment encourages constructive employee engagement, while a lack of equilibrium results in disengagement and reduced performance (Gillet et al., 2024).

The study of (MacGillavry & Sinyan, 2016) investigated the impact of customer centricity on employee engagement in DHL Freight. The findings of the study suggested that there exists a significant relationship between customer centricity and employee engagement. It shows that customer centred approach leads to higher engagement of employees and they are motivated towards catering to the customer needs. However, the study of (Ghlichlee & Bayat, 2021) reflected that employee engagement has an impact on customer centric approaches when testing these variables in the retail banking sector.

H2: Managerial support positively affects employee engagement in the telecom sector of Abu Dhabi

Managerial support is the extent to which managers give advice, resources, encouragement, and help to workers to allow them to finish tasks and develop their careers. It involves emotional, informational, and instrumental support to promote a good working environment, employee motivation, and performance. Managerial support involves direct communication, positive feedback, appreciation of efforts, and facilitating access to tools and training. This assistance is important in enabling employees to overcome obstacles, attain organisational objectives, and sustain job satisfaction, thereby leading to general organisational effectiveness and employee welfare (Aldabbas et al., 2025).

According to the Social Exchange Theory positive manager-employee interactions establish a mutual connection that enhances employee perception of value and engagement. Managers providing support, respect, and fairness trigger valued resources for the employees, eliciting a sense of obligation to repay through higher commitment and involvement (Ahmad et al., 2023). Such exchange reinforces employees’ sense of value in the organisation, influencing their motivation and loyalty. This dynamic interaction fosters a positive work environment, ultimately resulting in enhanced performance and organisational success by aligning the interests of individuals and organisations through continuous, mutually rewarding interactions (Kilroy et al., 2023). Managerial support, consisting of guidance, encouragement, and recognition from managers, is crucial to increase employee engagement (Aldabbas et al., 2025). Managers who show emotional support while acknowledging employee work achieve better job satisfaction and employee motivation for improved engagement (Celestin et al., 2024).

H3: Empowerment positively affects employee engagement in the telecom sector of Abu Dhabi

Organisations implement empowerment by providing employees with the freedom to make decisions and the necessary tools and resources to take ownership of their work-related choices. Employee involvement enhances when organisations provide authority and autonomy while offering essential resources to their staff, who thus demonstrate higher levels of organisational engagement (Okochi & Ateke, 2020). Empowered employees are more likely to feel responsible for their work, showing greater enthusiasm and commitment. According to the Empowerment Theory, employees feel more motivated when their professional competence and work meaning receive enhancement through empowerment practices. Studies such as (Shkoler & Kimura, 2020) emphasise empowerment’s role in boosting engagement, particularly in jobs requiring decision-making autonomy. Meanwhile, (Lai et al., 2020) argued that empowered employees tend to show higher engagement levels, especially in industries like telecommunications where creativity is essential for competitiveness. However, some studies have found contradictory results, suggesting that excessive empowerment without proper support can lead to confusion, stress, and disengagement. Employees may feel overwhelmed by the added responsibility, especially if they lack the necessary resources or guidance, negatively impacting engagement (Dennerlein & Kirkman, 2022).

H4a: Organisational culture mediates the relationship between customer centricity and employee engagement in Abu Dhabi’s telecom sector

Organisational culture significantly shapes the relationship between Customer Centricity and Employee Engagement (Slabbert, 2018). A customer-centric culture aligns employees’ values and behaviours to provide excellent customer service (Banović-Ćurguz & Ilišević, 2018). When employees see their roles as integral to customer satisfaction, it boosts their emotional commitment to the organisation (Al Kurdi et al., 2020). According to Schein’s Organisational Culture Theory, a strong, customer-focused culture helps employees feel more connected to the organisation’s goals, enhancing engagement (Schein, 2010). This positive culture acts as a mediator by reinforcing the connection between customer-centric practices and employee engagement, driving employees to deliver higher performance and customer satisfaction. However, the studies previously have not investigated the mediating effect of organisation culture between these variables, yet it can be justified using theoretical grounding.

H4b: Organisational culture mediates the relationship between managerial support and employee engagement in the Abu Dhabi telecom sector

Managerial Support is essential for employee engagement, but its effects are often shaped by the underlying organisational culture (Tyagi, 2021). When an organisation fosters a culture of support, trust, and respect, employees are more likely to feel valued by their managers, which enhances their overall engagement (Pougajendy et al., 2024). A positive organisational culture ensures that managerial support is aligned with the values and norms of the organisation, creating a conducive environment for motivation and commitment. As highlighted by (Kithae, 2023), when a supportive culture exists, it strengthens the effects of managerial support by ensuring that employees feel appreciated and encouraged, leading to higher engagement and productivity. However, the studies previously have not investigated the mediating effect of organisation culture between these variables, yet it can be justified using theoretical grounding.

H4c: Organisational culture mediates the relationship between empowerment and employee engagement in the telecom sector of Abu Dhabi

Empowerment gives employees the autonomy and resources to make decisions, directly influencing engagement (Afram et al., 2022). However, the effectiveness of empowerment is heavily influenced by the organisational culture in which it is implemented (Ljubica et al., 2022). A culture that encourages autonomy, values creativity, and promotes responsibility supports the empowerment process and enhances its effects on employee engagement. According to (Connolly et al., 2017), a culture of empowerment makes employees feel more invested in their work, leading to greater engagement. When the organisational culture aligns with empowerment practices, it ensures that employees are empowered and motivated to take ownership of their roles, resulting in increased organisational commitment and performance. However, the studies previously have not investigated the mediating effect of organisation culture between these variables, yet it can be justified using theoretical grounding.

Organisational Culture is the common set of values, norms, and practices that direct employees’ actions and interactions. It plays a major role in mediating the relationship between different organisational drivers (such as customer focus, managerial support, and empowerment) and employee engagement. Positive culture supports the effect of these drivers by synchronising employees’ attitudes with the organisational objectives (Kithae, 2023). Schein’s Organisational Culture Theory highlights that culture influences how employees think about their work and affects their attitudes and behaviour. If organisational culture is customer-centric, managerially supported, and empowering, it positively impacts employee engagement (Schein, 2010).

2.2. Conceptual Framework

Fig. (1) presents the conceptual model of the study that are representing the hypothesis developed above. The independent variables of the study as elaborated above are customer centricity, managerial support and empowerment while dependent variable is employee engagement. The mediating variable of the study is organisation culture. The framework is supported with the Job-Demand model and Schein’s organisational culture theory.