Does high-performance work system bring job satisfaction? Exploring the non-linear effect of high-performance work system using the ‘too much of a good thing’ theory

Abstract We examine the relationship between high-performance work system (HPWS) and job satisfaction, drawing on the ‘too much of a good thing’ theory, to establish whether a non-linear relationship can explain conflicts in previous findings. Moreover, we extend the study by exploring the mediating role of work overload and the moderating role of person–organization fit (P–O fit). Based on a cross-sectional data set of 220 employees and a longitudinal data set of 373 employees from organizations in China, the empirical findings show an inverted U -shaped relationship between HPWS and job satisfaction. Results also indicate that the relationship between HPWS and job satisfaction is fully mediated by work overload, and that P–O fit negatively moderates HPWS-work overload and HPWS-job satisfaction relationships. These results shed new light on how HPWS impacts employee outcomes and practical implications for managers are discussed.