Organisational capabilities, employee growth mindset, intrapreneurship and employee engagement in Malaysian four-and five-star hotels

The key challenges in the hotel sector are in maintaining employee performance satisfaction and retaining them within the organisation. There is no doubt that these challenges require employee engagement to achieve organisational performance. Past research has shown that factors such as organisational capabilities, employee growth mindset and intrapreneurship have an impact on employee engagement. Therefore, this study aimed to shed light on the relationship between organisational capabilities factors such as employee value proposition (EVP), innovative culture and diversity, with the effect of a mediating variable, namely employee growth mindset, and a moderating variable - intrapreneurship, which has also been studied in linkages of variables for employee engagement. Respondents were among four and five-star hotel workers in Malaysia. Using the structural equation model, the results of the survey respondents revealed that factors such as EVP and diversity, had a significant impact on employee engagement. Meanwhile, with the presence of the growth mindset as a mediating variable, it further reinforces the link between innovative culture and diversity towards employee engagement. Besides, intrapreneurship plays a role as a moderator between variables of growth mindset and employee engagement. The results suggest that the presence of intrapreneurship moderates the relationship between these two variables. This research confirms that employees who contribute too much to the organisation can exhibit fatigue and thus, reduce their potential involvement. This study shows that to increase employee engagement, the human resources in the hospitality sector especially, may be able to take initiatives such as implementing training and development to enhance employee growth mindset, as well as designing helpful and better packages for employees within the organisation. Finally, this research can assist the Ministry of Tourism, Arts and Culture Malaysia in identifying elements that can improve performance in the hotel sector.