Does Positive Relational Management Benefit Managers Higher Up the Hierarchy? A Moderated Mediation Study of New Zealand Managers

Abstract

Interpersonal relationships play an important role in work success, and this is especially so for managers. The present study tests the Positive Relational Management (PRM) Scale and its influence on organizational trust, with the effects potentially mediated by work-life balance. Hence, more positive relationships at work shape better management of work-life issues, and ultimately build trust perceptions. We test this on a sample of 600 New Zealand managers and include managerial hierarchy as a moderator to determine whether positive relationships become less important as management level increases. Ultimately, we test a moderated mediation model in PROCESS and confirm the dimensionality and reliability of the scale. We find PRM is positively related to work-life balance and organizational trust, while work-life balance partially mediates this effect. In addition to two significant two-way interactions, we find support for a moderated mediation effect, with the indirect effect of PRM being positive and strongest for low-level managers, but a reduction in the strength of the indirect effects for middle- and senior-managers. Hence, the importance of interpersonal relationships is especially powerful for low-level managers. The implications for understanding the importance of PRM for managers are discussed.

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