Impact of Presenteeism on Project Performance and how Leadership role and Phycological

Well-Being Influence those Relationships

Thesis Part 1

Submitted by Abdul Rehman Baber

Roll no: 2167121

Supervisor: Dr. Fuwad

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Table of Contents
Abstract: ........................................................................................................................................................ 2
Purpose: ........................................................................................................................................................ 2
Originality/Value: .......................................................................................................................................... 2
Key words:..................................................................................................................................................... 2
Introduction .................................................................................................................................................. 2
Background: .............................................................................................................................................. 2
Problem Statement: .................................................................................................................................. 3
Literature review:.......................................................................................................................................... 3
Gap Analysis: ................................................................................................................................................. 5
Hypothesis: ................................................................................................................................................... 6
Conceptual model: ........................................................................................................................................ 6
Research design: ........................................................................................................................................... 6
Data collection method: ............................................................................................................................... 7
REFFERENCES: ............................................................................................................................................... 8
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Abstract:
In this research proposal, we propose research with sound literature evidence that one of the hidden

and less research area of research which cause huge performance/productivity loss on a work place

environment is presenteeism (employee unable to focus on the tasks due to many factors). We will

study this phenomenon along factors that influence presenteeism and project performance like

leadership role and phycological wellbeing.

Purpose:
Objective of this study is to examine the relationship between phycological wellbeing,

presenteeism and moderation effect of leadership and their collective effect on project

performance.

Originality/Value: The influence of the above-mentioned moderating and mediating factors

together has rarely explored. Therefore, we aim to interlink the effects of both these factors on

project performance.

Key words: HR Practices, Moderating Factors, Performance, Relationship, Presenteeism, well-

being, leadership.

Introduction
Background:
Productivity and performance improvement have always been the goal of any industrial domain

of the world. Technological advancements in this modern era provided us ease of communication,

automation of tasks, calculated planning and the list goes on. Economic industry has evolved so

far and yet there is one element in a work place which is difficult to quantify which is the human

element. The field of project management has evolved so much in the past few decades, made
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more mature and disciplined, with so many different methodologies for different domains of

industry and yet it too is affected by variables of human behavior that are yet to be determined.

Project management is not a straight science but a strategy which only works well when every

piece moves into place correctly on time and most of the time it’s because of human errors that

cause the delay not the strategy nor the methodology is at fault there.

Problem Statement:
Project performance is hindered by many factors but the most of is human element. This research

is based upon the idea on how to improve organization and human resource management practices

that leaves to better project team harmony and performance.

Literature review:
Human achievement in a work place can be determined by the health status of the employee [11]

which in turn cause absenteeism (employee is absent) or reduction in performance level of

employees at work (presenteeism) (12). Absenteeism has been much discussed phenomena in

work place but presenteeism is still less research comparatively. According to the literature

presenteeism is one of the main causes which leads to productivity loss (1). Presenteeism defines

that an employee is present at the work but is unwilling or unable to perform optimally due to

sickness or psychological issues on other hand absenteeism is a phenomenon that explains the that

employee is absent and not attending the work entirely. Known economist elaborate the

presenteeism phenomenon as the performance loss when they are at work and not giving their

optimal performance compared to the expected conventional performance [13]. A study by a US

insurance company (Cigna) came to the conclusion that their company utilized 2.4 days/week

solving personal problems (well-being) of employees so they can work optimally [14].
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As previous literature shows us that presentism may cause more performance and productivity

loss than absenteeism and it is far less researched area of research compared to absenteeism [1].

There are many factors that influence presenteeism, job stress, Burnout, chronic diseases such IBS,

or phycological one. Presenteeism can be divided into 2 types, sickness and non-sickness

presenteeism. Sickness presenteeism is an employee is physically sick like some chronic diseases

e.g., IBS, osteoporosis etc. while non-sickness presenteeism is explained as sickness which is not

apparent (not physically induced) but induced mentally. E.g., anxiety, depression, etc.

presenteeism can be explained as time wasting and unable to keep focus and complete tasks [1].

Measuring presenteeism is difficult but can be accomplished by Sandford presenteeism scale (SPS-

6) This research will be focused on those variables that directly leads to employee presenteeism

and thus cause performance loss in the projectized environment, those variables which are hard to

quantify such as human wellbeing. As it is obvious that an employee will work optimally when

he/she is in good health state (both mind and body). Some form of illness is easily determined by

status and gestures of employee but there are some forms that are hard to detect such as

phycological ones which cause performance loss that is hard to verify in a complex project when

multiple parts are moving in many places. As previous literature also backed up on this statement

that phycological wellbeing which is affected by number of causes such as depression, job stress,

personal issues lead to presenteeism where employee is unable to give its best in work place.

Phycological wellbeing can be defined by the state of mind which is focused on the task and

intolerable to the distractions. When phycological wellbeing is compromised, employee mind is

prone to wander off into thinking other than task at hand thus employee is less focused on work.

This research objective is not to look deep into what cause phycological wellbeing compromised

but to establish relationship that it drives towards presenteeism. Leadership style also play huge
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role in work environment. A good leadership style can motivate, govern employees from the worst

of situations to the best. Leadership not only sets the policies in a work place but also standards on

which they operate themselves. As literature shown that good leadership has positive influence on

both phycological wellbeing and reduce presenteeism in employees. In this research we choose

leadership style as a moderator because how a leader influences his relationship with his

employees directly affect presenteeism as found in the previous studies. How and what kind of

leader/manager deals with the presenteeism and how they tackle it reduce performance loss in a

situation where phycological wellbeing is compromised, in a summarized statement how

leadership style influences those relation between phycological wellbeing and presenteeism is a

one of the objectives of this research, along with how the combine model of all previously

discussed variables influence project performance. So, from the literature discussion we can

theorized this.

Gap Analysis:
Many researches mentioned that more research is required to determine the productivity loss due

to sickness and non-sickness presenteeism to have better understanding of its impact and also to

establish its impact along with other working conditions like leadership style, organizational

attachment etc. [1]. We also find research gap that reflects the need of research on presenteeism

related to phycological issues like, job stress, anxiety depression [2]. A study also placed an

argument that in work place, presenteeism is also embedded in organizational practices [3]. Wage

loss is also seeming to be higher in employees facing non-sickness presenteeism like anxiety,

depression [4]. Leadership role is also advised in few researches to determine and have better

understanding of presenteeism in work place environment and performance evaluation [5]. A

supervisory role like leadership/manager can also give better insights into how presentism impacts
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performance [6]. Human well-being can also be used to determine what causes the presenteeism

in the first place and impact employee performance [7].

Hypothesis:
H1: Phycological wellbeing has positive effect on project performance.

H2: Phycological wellbeing significantly affect presenteeism.

H3: Presenteeism significantly affect project performance.

H4: Leadership style moderates the relation between phycological wellbeing and presenteeism.(

leadership style will be selected after contextual analysis of the facts)

H5: Presenteeism mediates the relationship between Phycological wellbeing and project

performance.

Conceptual model:

PSCYCOLOGICAL Non-sickness PROJECT

WELLBEING PERFORMANCE
PRESENTEESIM

LEADERSHIP
SYLE

Research design:

Cross-sectional quantitative approach will be used on an IT based organization with questionnaire

based upon Stanford scale of presenteeism, leadership (autocratic or transformational),

phycological well being

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Data collection method:

Questionnaires will be used to collect data from employees as well as their leaders/managers. Since

there is no gold way to process performance loss so many different instruments may be used such

as SPS-6 for presenteeism, work productivity short inventory (WPSI) may be used to determine

the unproductive time of employees in monitory value [15]. HPQ survey may also be used which

is developed by world health organization (WHO). It is based on questions related to health and

work performance [16]. Stratified sampling will be incorporate to determine sample.

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REFFERENCES:
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10.1080/10803548.2022.2108660

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in Relation to Task Performance Among Chinese Medical Staff During COVID-19

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10.3389/fpubh.2022.836113. PMID: 35570903; PMCID: PMC9092281.

3) Baker-McClearn, D., Greasley, K., Dale, J. and Griffith, F. (2010), Absence management

and presenteeism: the pressures on employees to attend work and the impact of

attendance on performance. Human Resource Management Journal, 20: 311-

328. https://doi.org/10.1111/j.1748-8583.2009.00118.x

4) Koji WADA, Mikako ARAKIDA, Rika WATANABE, Motomi NEGISHI, Jun SATO,

Akizumi TSUTSUMI, (2013) The Economic Impact of Loss of Performance Due to

Absenteeism and Presenteeism Caused by Depressive Symptoms and Comorbid Health

Conditions among Japanese Workers, Industrial Health, Volume 51, Issue 5, Pages 482-

489

5) Mengyuan, Chang-qin Lu, Luo Lu, (2022), The positive potential of presenteeism: An

exploration of how presenteeism leads to good performance evaluation, Journal of Social

Behavior.

6) Jirachat Tangchareonsamut, Chathaya Wongrathanandha, Siriluk Khamsee, Wichai

Aekplakorn, (2021), Journal of Health Research

7) Prochaska JO, Evers KE, Johnson JL, Castle PH, Prochaska JM, Sears LE, Rula EY,

Pope JE. The well-being assessment for productivity: a well-being approach to

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presenteeism. J Occup Environ Med. 2011 Jul;53(7):735-42. doi:

10.1097/JOM.0b013e318222af48. PMID: 21691220.

8) Merrill RM, Aldana SG, Pope JE, Anderson DR, Coberley CR, Whitmer RW; Hero

Research Study Subcommittee. Presenteeism according to healthy behaviors, physical

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9) Qian, Z., Wang, D. The Double-edged sword effect of inclusive leadership on employee

presenteeism. Current Psychology (2022). https://doi.org/10.1007/s12144-022-03493

10) Haque, Md. Amlan Jahid, The Relationship between responsible leadership and

presenteeism and the mediating role of organizational commitment and employee

turnover intentions: an employee perspective, Doctor of Philosophy thesis, School of

Management, Operations and Marketing, University of Wollongong, 2016.

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Nursing Administration. 2005;35(6):300–303. doi:10.1097/00005110-200506000-00006

14) Mark S. The 2008 Health Leadership Series: absenteeism and presenteeism the new

productivity gap?
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loss in rheumatoid arthritis. Rheumatology. 2011;50(6):1083–1090.

doi:10.1093/rheumatology/keq399

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