Empowerment, P-O Fit, and Work Engagement A ... - EuroJournals
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European Journal of Economics, Finance <strong>and</strong> Administrative Sciences<br />
ISSN 1450-2275 Issue 38 (2011)<br />
© <strong>EuroJournals</strong>, Inc. 2011<br />
http://www.eurojournals.com<br />
<strong>Empowerment</strong>, P-O <strong>Fit</strong>, <strong>and</strong> <strong>Work</strong> <strong>Engagement</strong><br />
―A Mediated Moderation Model―<br />
Takuma Kimura<br />
Associate Professor, Hosei University, Tokyo, Japan<br />
E-mail: ktakuma@hosei.ac.jp<br />
Tel: +81-3-3264-6602<br />
Abstract<br />
Recently, researchers have paid much attention to antecedents of work engagement. In the<br />
current study, we extend the causal model of work engagement by suggesting a mediated<br />
moderation model. We assumed that structural empowerment <strong>and</strong> P-O fit interact to<br />
enhance work engagement via psychological empowerment. That is, (1) structural<br />
empowerment enhance psychological empowerment, (2) in this process, P-O fit functions<br />
as a moderator; the influence of structural empowerment on psychological empowerment is<br />
larger when one experience high level of P-O fit, (3) psychological empowerment works as<br />
a mediator; psychological empowerment, enhanced by interaction of structural<br />
empowerment <strong>and</strong> P-O fit, lead to higher level of work engagement.<br />
We tested our hypotheses in a sample of 290 sales managers <strong>and</strong> sales supervisors<br />
of Japanese companies. Our results indicated that both structural empowerment <strong>and</strong> P-O fit<br />
have positive effects on work engagement via psychological empowerment, <strong>and</strong> that P-O<br />
fit functions as a moderator, that is, structural empowerment <strong>and</strong> P-O fit interacts to<br />
enhance work engagement via psychological empowerment.<br />
Our findings extend the causal model of work engagement <strong>and</strong> integrate literatures<br />
of engagement <strong>and</strong> those of empowerment. In the last part of this article, we discuss<br />
limitations of our research, <strong>and</strong> directions for future research.<br />
Keywords: Wok <strong>Engagement</strong>, Structural <strong>Empowerment</strong>, Psychological <strong>Empowerment</strong>,<br />
Person-organisation <strong>Fit</strong> (P-O fit)<br />
1. Introduction<br />
During the past decade, work engagement has attracted much attention of academic researchers <strong>and</strong><br />
practitioners. According to Schaufeli et al, (2002), engagement is a positive, fulfilling, work-related<br />
state of mind that is characterized by vigour, dedication, <strong>and</strong> absorption. The reason why work<br />
engagement has been regarded as important is that, it contributes to various positive work outcomes<br />
<strong>and</strong> improves organisation performance. Indeed, empirical researches have revealed that work<br />
engagement predicts high level of organisational commitment, job satisfaction, <strong>and</strong> job performance<br />
(Hakanen et al, 2006; Koyuncu et al, 2006; Salanova et al, 2005). Therefore, recently, identifying<br />
antecedents of work engagement has drawn much attention from researchers.<br />
The most widely used theoretical basis for studying the antecedents of work engagement is the<br />
Job-Dem<strong>and</strong>–Resource (JD–R) model (Demerouti et al, 2001). This model assumed that job<br />
environments can usually divided into two categories: job dem<strong>and</strong>s <strong>and</strong> job resources. Job dem<strong>and</strong>s<br />
refer to those physical, social, or organisational aspects of the job that require sustained physical or<br />
mental effort <strong>and</strong> are therefore associated with certain physiological <strong>and</strong> psychological costs. Job
45 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
resources, on the other h<strong>and</strong>, refer to those physical, psychological, social, or organisational aspects of<br />
the job that may do any of the following: (a) be functional in achieving work goals; (b) reduce job<br />
dem<strong>and</strong>s at the associated physiological <strong>and</strong> psychological costs; (c) stimulate personal growth <strong>and</strong><br />
development (Demerouti et al, 2001).<br />
The JD-R model suggested that providing job resources with employees can enhance their work<br />
engagement. Empirical researches support this model, suggesting that job resources predict work<br />
engagement (Hakanen et al, 2005; Hakanen et al, 2008; Mauno et al, 2007; Salanova & Schaufeli,<br />
2008; Schaufeli et al, 2009). Job resources examined in previous studies were social support, job<br />
autonomy, performance feedback, <strong>and</strong> so on.<br />
However, empirical studies have not examined the effect of person-organisation fit (P-O fit) on<br />
work engagement. P-O fit is defined as the congruence between patterns of organisational values <strong>and</strong><br />
patterns of individual values, <strong>and</strong> is considered to be a meaningful way of assessing person-situation<br />
interaction because values are fundamental <strong>and</strong> relatively enduring <strong>and</strong> because individual <strong>and</strong><br />
organisational values can be directly compared (Chatman, 1991). To date, many empirical studies have<br />
found significant relationships between P-O fit <strong>and</strong> work attitudes. Therefore, in this study, we intend<br />
to extend the causal model of work engagement by including P-O fit.<br />
Another purpose of this study is to integrate the studies of work engagement <strong>and</strong><br />
empowerment. <strong>Empowerment</strong> is a noticeable motivational construct in recent literature, <strong>and</strong><br />
researchers begin to pay attention to the relationship between engagement <strong>and</strong> empowerment<br />
(Laschinger, et al, 2009). However, this relationship has not been sufficiently investigated in empirical<br />
studies. And to the best of our knowledge, no empirical research examined the causal relationship<br />
between P-O fit <strong>and</strong> these two construct (i.e. work engagement, <strong>and</strong> empowerment). Thus, we analyse<br />
a mediated moderation model consists of engagement, empowerment, <strong>and</strong> P-O fit.<br />
This article consists of five parts. First, we review previous researches to suggest the theoretical<br />
framework for our mediated moderation model. Second, we suggest research hypotheses. Next, we<br />
explain the sample design, research procedure, construct measurement, <strong>and</strong> the method of statistical<br />
analysis. Then, we report the results of this study. Lastly, we summarise our findings, discuss the<br />
limitations of the study, <strong>and</strong> offer suggestions for future research.<br />
2. Previous Research<br />
2.1. <strong>Empowerment</strong><br />
In the past decades, “empowerment” has received considerable scholarly attention as a construct that<br />
can enhance managerial efficiency <strong>and</strong> employees’ satisfaction. Conger <strong>and</strong> Kanungo (1988) define<br />
empowerment as “a process of enhancing feelings of self-efficacy among organisational members<br />
through the identification of conditions that foster powerlessness <strong>and</strong> through their removal by both<br />
formal organisational practices <strong>and</strong> informal techniques of providing efficacy information.” Conger<br />
<strong>and</strong> Kanungo viewed empowerment as a motivational construct, which is an enabling rather than a<br />
delegating process.<br />
Organizational researchers have distinguished between two major constructs of empowerment:<br />
structural empowerment <strong>and</strong> psychological empowerment. Structural empowerment is defined as a<br />
practice, or set of practices to offer access to information, resources, support <strong>and</strong> opportunity to learn in<br />
the work environment (Kanter, 1993).<br />
Psychological empowerment is defined as a motivational construct manifested in four<br />
cognitions: meaning, competence, self-determination, <strong>and</strong> impact (Spreitzer, 1995). According to<br />
Spreitzer, these four cognitions reflect an active, rather than a passive, orientation to a work role. Some<br />
theorists have considered that psychological empowerment is similar or relevant construct to intrinsic<br />
motivation. For example, Thomas <strong>and</strong> Velthouse (1990) posited that psychological empowerment is<br />
presumed to be a proximal cause of intrinsic task motivation.
46 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
Theoretically, structural empowerment contributes to strengthen psychological empowerment<br />
(Kanter, 1993). Whereas structural empowerment is the presence or absence of empowering conditions<br />
in the workplace, psychological empowerment is the employees’ psychological interpretation or<br />
reaction to these conditions. That is, psychological empowerment represents a reaction of employees to<br />
structural empowerment conditions (Laschinger et al, 2004). Therefore, it is rational to assume that<br />
structural empowerment is the main predictor of psychological empowerment. In fact, results of<br />
previous researches supported the positive relationship between structural empowerment <strong>and</strong><br />
psychological empowerment (Spreizer, 1996; Laschinger et al, 2001, 2004).<br />
Spreitzer (1996) examined the relationships between social structural characteristics at the level<br />
of the work unit <strong>and</strong> perceptions of empowerment. Spreitzer found that a work environment such as<br />
little role ambiguity, strong sociopolitical support, access to information, <strong>and</strong> participative unit climate,<br />
is positively related to psychological empowerment. Laschinger et al, (2001) reveal that practices of<br />
structural empowerment heightened the level of psychological empowerment. Laschinger et al, (2004)<br />
also found that perceptions of structural empowerment produced statistically significant change in<br />
psychological empowerment.<br />
2.2. <strong>Work</strong> <strong>Engagement</strong><br />
<strong>Engagement</strong> is defined as a positive, fulfilling, work-related state of mind that is characterized by<br />
vigour, dedication, <strong>and</strong> absorption. Rather than a momentary <strong>and</strong> specific state, engagement refers to a<br />
more persistent <strong>and</strong> pervasive affective-cognitive state that is not focused on any particular object,<br />
event, individual, or behaviour (Schaufeli et al, 2002).<br />
Salanova <strong>and</strong> Schaufeli (2008) argued that work engagement covers the basic dimensions of<br />
intrinsic motivation, which ensures goal oriented behaviour <strong>and</strong> persistence in attaining objectives<br />
along with high levels of activation (i.e. vigour) as well as feeling enthusiastic, identifying with <strong>and</strong><br />
being <strong>and</strong> proud of one’s job (i.e. dedication). Therefore, work engagement might be considered as a<br />
part of intrinsic motivation.<br />
Recently, many empirical studies have shown that work engagement has positive relationship<br />
with organisational performance. For example, Salanova et al, (2003) revealed that engagement has a<br />
positive effect on group task performance. Salanova et al, (2005) found that engaging employees<br />
improve service climate, <strong>and</strong> then enhance customer-assessed employee performance. Therefore,<br />
identifying antecedents of work engagement has begun to drawn much attention in the literature.<br />
In the studies on antecedents of work engagement, the most popular theoretical model is job<br />
dem<strong>and</strong>-resource model (JD-R model). The JD-R model assumes two processes. In the first process,<br />
dem<strong>and</strong>ing aspects of work (i.e. extreme job dem<strong>and</strong>s) lead to constant overtaxing, <strong>and</strong> in the end, to<br />
exhaustion. In the second process, a lack of resources complicates the meeting of the job dem<strong>and</strong>s,<br />
which further leads to withdrawal behaviour. The long-term consequence of this withdrawal is<br />
disengagement from work (Demerouti et al, 2001).<br />
Many empirical studies of the JD-R model supported the assumption of the model, showing<br />
that job resources are positively related to work engagement (e.g. Hakanen et al, 2005; Llorens et al,<br />
2006; Salanova & Schaufeli, 2008; Schaufeli & Bakker, 2004).<br />
Although, some empirical researches found a negative relationship between job dem<strong>and</strong>s <strong>and</strong><br />
work engagement (e.g. Hakanen et al, 2006), theorists have become to consider that job resources have<br />
larger effects in predicting work engagement than job dem<strong>and</strong>s. Mauno et al, (2007) examined the<br />
effect of job dem<strong>and</strong>s <strong>and</strong> job resources as antecedents of work engagement, <strong>and</strong> revealed that job<br />
resources are more robust determinants of work engagement than job dem<strong>and</strong>s. Moreover, other<br />
studies showed that there is no significant relationship between job dem<strong>and</strong>s <strong>and</strong> work engagement<br />
(Bakker et al, 2005; Schaufeli & Bakker, 2004; Sonnentag, 2003). On the basis of these recent studies,<br />
we can consider job resources as key antecedents of work engagement.<br />
Job resources refer to those physical, psychological, social, or organisational aspects of the job<br />
that may do any of the following: (a) be functional in achieving work goals, (b) reduce job dem<strong>and</strong>s at
47 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
the associated physiological <strong>and</strong> psychological costs, (c) stimulate personal growth <strong>and</strong> development<br />
(Demerouti et al, 2001). Bakker <strong>and</strong> Demerouti (2007) argued that job resources may be located at the<br />
level of the organisation at large (e.g. pay, career opportunities, job security), the interpersonal <strong>and</strong><br />
social relations (e.g. supervisor <strong>and</strong> co-worker support, team climate), the organisation of work (e.g.<br />
role clarity, participation in decision making), <strong>and</strong> at the level of the task (e.g. skill variety, task<br />
identity, task significance, autonomy, performance feedback).<br />
Laschinger et al, (2009) argued that job resources are conceptually similar to Kanters’ notion of<br />
empowering structures. Kanter (1977, 1993) conceptualizes structural empowerment as the presence of<br />
social structures in the workplace that enable employees to accomplish their work in meaningful ways.<br />
According to Kanter (1977), power is the ability to mobilize human <strong>and</strong> material resources to<br />
accomplish work, <strong>and</strong> is gained from access to the necessary information, support <strong>and</strong> resources in the<br />
work setting (Laschinger et al, 2009).<br />
Based on Kanter’s empowerment theory, Laschinger et al, (2001) developed a measure of<br />
structural empowerment, named “The Conditions for <strong>Work</strong> Effectiveness Questionnaire (CWEQ)”,<br />
<strong>and</strong> confirmed that structural empowerment measured by CWEQ, predicted psychological<br />
empowerment. Laschinger et al, (2009) pointed out the similarity between job resources <strong>and</strong> Kanter’s<br />
notion of empowering structures, <strong>and</strong> found that structural empowerment (measured by the CWEQ-II:<br />
a modification of the CWEQ) predicts work engagement. Therefore, we can assume that structural<br />
empowerment contributes to heighten work engagement.<br />
2.3. Person-Organization <strong>Fit</strong> (P-O fit)<br />
Person-organisation fit (P-O fit) is defined as the degree to which individual’s skills, needs, values, <strong>and</strong><br />
personality match job requirements (Bretz & Judge, 1994). Gregory et al, (2010) suggested that, in a<br />
broad sense, P-O fit can be viewed as the compatibility between the unique qualities of the individual<br />
worker <strong>and</strong> those of the overall organisation in which he or she works.<br />
Since Chatman’s (1989) seminal theory of P-O fit, which focused primarily on values, value<br />
congruence became widely accepted as the defining operationalization of P-O fit (Kristof-Brown,<br />
2005). Individual values within an organisation are relatively enduring beliefs that a specific mode of<br />
conduct or end-state is preferable to its opposite (Chatman, 1991). Thus, values guide actions,<br />
attitudes, <strong>and</strong> judgments beyond immediate goals to more ultimate goals (Chatman, 1991; Rokeach,<br />
1973).<br />
Results of empirical researches have revealed that P-O fit has significant effects on worker’s<br />
attitudes <strong>and</strong> behaviours such as job satisfaction, organisational commitment, intent to turnover, <strong>and</strong><br />
task performance (Boxx et al, 1991; Chatman, 1991; Hoffman & Woehr, 2006; Kristof-Brown et al,<br />
2005; Verquer et al, 2003; Wheeler et al, 2007). As mentioned earlier, both psychological<br />
empowerment <strong>and</strong> work engagement are similar or relevant constructs to intrinsic motivation.<br />
Therefore, we can assume that P-O fit results in high level of psychological empowerment <strong>and</strong> work<br />
engagement.<br />
Gregory et al, (2010) examined a causal model which assumed that P-O fit predicts<br />
psychological empowerment, <strong>and</strong> psychological empowerment mediates the relationship between P–O<br />
fit <strong>and</strong> in-role performance, as well as between P–O fit <strong>and</strong> job satisfaction. Their results supported the<br />
hypothesized relationship among these constructs. However, structural empowerment is not included in<br />
their analysis. As mentioned earlier, previous researches revealed that structural empowerment is a key<br />
antecedent of psychological empowerment.<br />
However, structural empowerment may not be a sufficient condition for psychological<br />
empowerment nor work engagement. Even employees with enough resources <strong>and</strong> structurally<br />
empowered may not be able to experience high level of motivation if job requirements do not match<br />
their needs, values, <strong>and</strong> personality. Therefore, we expect that P-O fit is a necessary condition for<br />
structural empowerment to enhance work engagement. More specifically, we assume that the positive
48 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
effect of structural empowerment on work engagement is stronger among individuals high rather than<br />
low in P-O fit.<br />
According to Thomas <strong>and</strong> Velthouse (1990), empowerment can be considered as increased<br />
intrinsic task motivation. Thus, we expect that P-O fit by combined with structural empowerment,<br />
enhance psychological empowerment. If structural empowerment, as suggested by Spreitzer (1996), is<br />
a main predictor of psychological empowerment, P-O fit is thought to function as a moderator of the<br />
effect of structural empowerment on psychological empowerment.<br />
2.4. Mediating Role of Psychological <strong>Empowerment</strong><br />
Although, both work engagement <strong>and</strong> psychological empowerment represent intrinsic motivation, there<br />
are only a few empirical researches that examine how these two construct are related. Greco et al,<br />
(2006) found that leader empowering behaviours predict psychological empowerment, <strong>and</strong> then, result<br />
in lower the level of burnout. Burnout has been assumed to be the opposite of engagement (Maslach et<br />
al, 2001). Some empirical studies supported this assumption, by finding the negative relationship<br />
between work engagement <strong>and</strong> burnout (e.g. González-Romá, 2006; Schaufeli et al, 2002). Therefore,<br />
we can say that the findings of Greco et al, (2006) provide the indirect evidence that psychological<br />
empowerment predicts work engagement.<br />
More direct evidence was provided by the study of St<strong>and</strong>er <strong>and</strong> Rothmann (2010). They<br />
empirically examined the relationship between work engagement <strong>and</strong> psychological empowerment,<br />
<strong>and</strong> found that psychological empowerment predicts work engagement. On the basis of these previous<br />
studies, we can assume that psychological empowerment will predict work engagement. And,<br />
psychological empowerment may play a mediating role between structural empowerment <strong>and</strong> P-O fit<br />
with work engagement.<br />
3. Hypotheses<br />
Based on the discussion above, we assume that structural empowerment <strong>and</strong> P-O fit interact to enhance<br />
work engagement via psychological empowerment. That is, (1) structural empowerment enhances<br />
psychological empowerment, (2) in this process, P-O fit functions as a moderator; the influence of<br />
structural empowerment on psychological empowerment is larger when one experience high level of P-<br />
O fit, (3) psychological empowerment works as a mediator; psychological empowerment, enhanced by<br />
interaction of structural empowerment <strong>and</strong> P-O fit, leads to higher level of work engagement. Figure 1<br />
presents our hypothesized model.<br />
Structural<br />
<strong>Empowerment</strong><br />
Figure 1: Hypothesized mediated moderation model<br />
P-O fit<br />
Psychological<br />
<strong>Empowerment</strong><br />
<strong>Work</strong><br />
<strong>Engagement</strong><br />
On the basis of Muller et al.’s (2005) approach for mediated moderation analysis, we test the<br />
following hypotheses to examine this model.
49 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
H1: Structural empowerment is positively related to work engagement.<br />
H2: P-O fit is positively related to work engagement.<br />
H3: P-O fit moderates the relationship between structural empowerment <strong>and</strong> work engagement.<br />
H4: Structural empowerment is positively related to psychological empowerment.<br />
H5: P-O fit is positively related to psychological empowerment.<br />
H6: P-O fit moderates the relationship between structural empowerment <strong>and</strong> psychological<br />
empowerment.<br />
H7: Psychological empowerment mediates the relationship between structural empowerment<br />
<strong>and</strong> work engagement.<br />
H8: Psychological empowerment mediates the relationship between P-O fit <strong>and</strong> work<br />
engagement.<br />
H9: Psychological empowerment mediates the relationship between interaction of structural<br />
empowerment <strong>and</strong> P-O fit with work engagement.<br />
4. Research Method<br />
4.1. Participants <strong>and</strong> Procedure<br />
Participants were sales managers <strong>and</strong> sales supervisors working in Japanese companies. They were<br />
registered members of an online research program administered by a research institution in Japan.<br />
From those members, we selected people who satisfied the condition of our survey (i.e. sales manager<br />
or sales supervisor, <strong>and</strong> tenure is three years or longer). In all, 290 members answered the<br />
questionnaire.<br />
This survey was conducted by online questionnaire. Participants accessed the URL of the<br />
questionnaire. To ensure anonymousness <strong>and</strong> confidentiality, each response data were automatically<br />
collected <strong>and</strong> converted into a Comma Separated Values (CSV) data. In this collection <strong>and</strong> conversion<br />
process, participants’ name or any identifying information were not recorded<br />
All of them were men, which reflected Japanese present situation that over 90 per cent of<br />
management position is occupied by male workers, <strong>and</strong> over 40 per cent of firms assign only male<br />
workers to sales divisions (Ministry of Health, Labour <strong>and</strong> Welfare, Japan, 2008). Participants were<br />
required to be currently employed <strong>and</strong> employed at the same firm for three years or longer before<br />
participation. The participants’ age ranged from 30 to 63 years (M = 47.1 years, SD = 6.4 years). All<br />
participants are Japanese.<br />
4.2. Hypotheses Testing: Measures<br />
4.2.1. Structural <strong>Empowerment</strong><br />
We measured structural empowerment using The CWEQ-II (Conditions of <strong>Work</strong> Effectiveness<br />
Questionnaire-II; Laschinger et al, 2001). CWEQ-II consists of nineteen items measuring six<br />
components of structural empowerment (opportunity, information, support, resources, formal power,<br />
<strong>and</strong> informal power) described by Kanter (1977, 1993), <strong>and</strong> two-item global empowerment scale.<br />
Among these, we use the former nineteen items.<br />
Originally, CWEQ-II was developed for measuring work conditions of staff nurses. Thus, we<br />
need to change some of the word used in these items. For example, we used “firm” instead of<br />
“hospital”, <strong>and</strong> “customer” instead of “patient”. The scale uses a five-point Likert-type scale (1=<br />
“Non” to 5= “A lot”). Examples of items include; “The chance to gain new skills <strong>and</strong> knowledge on<br />
the job,” “The values of top management,” “Specific information about things you do well,” <strong>and</strong> “Time<br />
available to accomplish job requirements.” To investigate internal consistency reliability, we use<br />
Cronbach’s alpha. Values of Cronbach’s alpha exceeded the value of .80 is now considered a generally<br />
accepted st<strong>and</strong>ard of internal consistency reliability (Henson, 2001). The Cronbach’s alpha for scores<br />
on this scale was .88.
50 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
4.2.2. Psychological <strong>Empowerment</strong><br />
Psychological empowerment experienced by participants was measured by a twelve-item scale<br />
developed by Spreitzer (1995). This scale measured four dimensions of psychological empowerment<br />
(meaning, competency, self-determination, <strong>and</strong> impact) using a seven-point Likert-type scale (1=<br />
“strongly disagree” to 7= “strongly agree”.<br />
Examples of items include “The work I do is very important to me,” “I am confident about my<br />
ability to do my job,” “I have significant autonomy in determining how I do my job,” “My impact on<br />
what happens in my department is large.” Cronbach’s alpha for scores on this scale was .93.<br />
4.2.3. Person-Organization <strong>Fit</strong><br />
P-O fit was measured by a four-item scale developed by Saks <strong>and</strong> Ashforth (2002). The scale uses a<br />
five-point Likert-type scale (1= “to a very little extent” to 5= “to a very large extent”). A sample item<br />
from this scale was “To what extent are the values of the organisation similar to your own values?”<br />
Cronbach’s alpha for scores on this scale was .92.<br />
4.2.4. <strong>Work</strong> <strong>Engagement</strong><br />
<strong>Work</strong> engagement was measured by the Japanese version of the Utrecht <strong>Work</strong> <strong>Engagement</strong> Scale<br />
(UWES-J). UWES-J was developed by Shimazu et al, (2008) based on the original Utrecht <strong>Work</strong><br />
<strong>Engagement</strong> Scale (UWES: Schaufeli et al, 2002).<br />
UWES-J is a seventeen-item scale consists of vigour (six items), dedication (five items), <strong>and</strong><br />
absorption (six items). Participants responded on a 7-point scale that ranged from 1 (never) to 7<br />
(always). Examples of items include; “At my work, I feel bursting with energy.” (vigour), “I am<br />
enthusiastic about my job.” (dedication), “Time flies when I am working.” (absorption). The<br />
Cronbach’s alpha for scores on this scale was. 95.<br />
4.2.5. Control Variables<br />
In addition to the four construct (structural empowerment, P-O fit, psychological empowerment, work<br />
engagement), we included age <strong>and</strong> “firm’s performance trend”. We collected this survey data in 2008,<br />
when many Japanese firms suffered from deterioration in performance due to the economic downturn<br />
caused by Lehman Shock. Therefore, during this period, employees in Japanese firms might be much<br />
concerned about their firm’s performance. Thus, we presume that work attitudes of them might be<br />
sensitively influenced by their perceptions of firm’s performance trend.<br />
4.3. Hypotheses Testing: Analysis<br />
We conducted multiple regression analysis to test our hypothesis. To examine the mediated<br />
moderation, we adopted Baron <strong>and</strong> Kenny’s (1986) framework for mediation analysis <strong>and</strong> the approach<br />
of Muller et al, (2005) for mediated moderation analysis. We use a three-step analysis.<br />
In step one, we examine if the independent variables <strong>and</strong> their interaction predict the dependent<br />
variable. In step two, we examine if the independent variables <strong>and</strong> their interaction predict the<br />
mediator. If, <strong>and</strong> only if, hypotheses are supported in step one <strong>and</strong> step two, we proceed to step three<br />
<strong>and</strong> step four. If hypotheses are not supported in step one <strong>and</strong> step two, we can conclude that assumed<br />
mediated moderation relationships does not exist, <strong>and</strong> the analysis should stop there.<br />
In step three <strong>and</strong> step four, we conduct a hierarchical regression analysis where independent<br />
variables <strong>and</strong> their interaction are entered first, <strong>and</strong> then, the mediator is entered. If the entering of the<br />
mediator to the equation reduces the effect of independent variables or their interaction to nonsignificance,<br />
the evidence of full mediation exists. If the independent variables <strong>and</strong> their interaction<br />
remain significant, but less in regression weights when the mediator is in the equation, the evidence of<br />
partial mediation exists. In the regression analysis, we centred the independent variables before the<br />
interaction term was computed in order to avoid multicollinearity problem (Aiken & West, 1991).
51 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
In addition to these analyses, we conduct Sobel tests to compute the significance of mediation<br />
(Sobel, 1982). Since Sobel test has been considered to be a very conservative test (MacKinnon et al,<br />
1995), using this test is helpful to confirm the hypothesized mediation.<br />
5. The Results of Hypotheses Testing<br />
5.1. Correlation Results<br />
We ran two-tailed tests of significance for the correlationship between the two control variables <strong>and</strong><br />
four focal constructs (i.e. structural empowerment, P-O fit, psychological empowerment, work<br />
engagement). Results are provided in Table 1. Because age was not significantly related to any of focal<br />
constructs, we eliminate it from analyses below. Firm’s performance trend was significantly related to<br />
structural empowerment (r=.28, p
52 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
Table 2: Step One: Hierarchical Regression Results for <strong>Work</strong> <strong>Engagement</strong><br />
Constant<br />
FPT<br />
SE<br />
P-O ft<br />
SE x P-O fit<br />
F-score<br />
<strong>Work</strong> <strong>Engagement</strong><br />
Controls Main Effects Interaction<br />
B s.e. β B s.e. β B s.e. β<br />
3.98<br />
.02<br />
.14<br />
.05<br />
.02<br />
1.25<br />
-.15<br />
.62<br />
.38<br />
.09 47.66**<br />
⊿F-score<br />
71.41**<br />
R 2<br />
⊿R 2<br />
Adjusted R 2<br />
.00<br />
.33<br />
.33<br />
.00<br />
.33<br />
Note: FPT=firm’s performance trend; SE=structural empowerment<br />
*p
53 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
Table 3: Step Two: Hierarchical Regression Results for Psychological <strong>Empowerment</strong><br />
Constant<br />
FPT<br />
SE<br />
P-O ft<br />
SE x P-O fit<br />
F-score<br />
Psychological <strong>Empowerment</strong><br />
Controls Main Effects Interaction<br />
B s.e. β B s.e. β B s.e. β<br />
5.00<br />
.3<br />
.14<br />
.05<br />
.03<br />
1.69<br />
-.14<br />
.96<br />
.18<br />
.0.29 62.97***<br />
⊿F-score<br />
94.22***<br />
R 2<br />
⊿R 2<br />
Adjusted R 2<br />
.00<br />
.40<br />
.40<br />
.00<br />
.39<br />
Note: FPT=firm’s performance trend; SE=structural empowerment<br />
*p
54 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
Table 4: Steps Three <strong>and</strong> Four: Hierarchical Regression Results for <strong>Work</strong> <strong>Engagement</strong><br />
Constant<br />
FPT<br />
SE<br />
P-O ft<br />
SE x P-O fit<br />
PE<br />
F-score<br />
<strong>Work</strong> <strong>Engagement</strong><br />
Step Three Interaction<br />
B s.e. β B s.e. β<br />
1.13<br />
-.16<br />
.66<br />
.37<br />
.07<br />
.31<br />
.04<br />
.11<br />
.07<br />
.04<br />
-.19***<br />
.36***<br />
.33***<br />
.09*<br />
.54<br />
-0.1<br />
.26<br />
.30<br />
.03<br />
.39<br />
36.81*** 42.04***<br />
⊿F-score<br />
41.85***<br />
R 2<br />
⊿R 2<br />
Adjusted R 2<br />
.34<br />
.43<br />
.08<br />
.33<br />
.42<br />
Note: FPT=firm’s performance trend; SE=structural empowerment; PE=psychological empowerment<br />
*p
55 European Journal of Economics, Finance And Administrative Sciences - Issue 38 (2011)<br />
act independently as well as interact to function as promoting factors for psychological empowerment.<br />
Then, enhanced psychological empowerment leads to increase in work engagement.<br />
Our study makes two major contributions to work engagement literature. First, we revealed the<br />
nature of relationship between work engagement <strong>and</strong> psychological empowerment. Previous researches<br />
have not investigated the relationship between psychological empowerment <strong>and</strong> work engagement. In<br />
our study, we found that psychological empowerment predicts work engagement by mediating effects<br />
of structural empowerment <strong>and</strong> P-O fit.<br />
Second, our study extend the causal model of work engagement by examining the moderating<br />
effect of P-O fit <strong>and</strong> mediating effect of psychological empowerment. As suggested by previous<br />
researches on value congruence (e.g. Meglino et al, 1989; Chatman, 1991; O’Reilly, 1991), a fit<br />
between organisation <strong>and</strong> individuals has been considered to be important to engage workers.<br />
However, it has not been included in previous theoretical <strong>and</strong> empirical studies regarding the JD-R<br />
model. This study revealed that, in addition to job resources – in the current study, equated with<br />
structural empowerment-, P-O fit plays a key role in predicting work engagement. Therefore, we can<br />
say that our study provides important implications for future researches.<br />
However, we should note that there are some limitations in our study. First, our analysis was<br />
based on cross sectional data. In order to reveal the lag effect of antecedents, we need to collect<br />
longitudinal data.<br />
Second, participants of our research are limited to male, sales manager <strong>and</strong> sales supervisor.<br />
Thus, it is uncertain that our results can be generalized to female workers or people with different types<br />
of jobs or status. Therefore, we should conduct a similar research on various types of workers <strong>and</strong><br />
examine the generalizability of the results of our study.<br />
Finally, although neither our study nor previous studies have provided enough evidence that<br />
enable us to equate structural empowerment with job resources, we did so in this study. Thus, future<br />
researches should examine the constructive similarity or distinctiveness between structural<br />
empowerment <strong>and</strong> job resources.<br />
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