Jurnal Administrasi Bisnis
2009, Vol. 5 No 2
Mediation effect of trust on the relationship between
perception of organization politics and commitment
Setyabudi Indartono
Email: setyabudi_indartono@uny.ac.id
Abstract:
This paper is the extension study of the relationship between perception of
organization politics (POP), and commitment. This study investigates how
trust explained the relation between these relationships. Mediation effect of
trust was used to explain how this perception was related to commitment.
Moderation effect was used for further explanation on investigation the
complexities of these relationships.
The result showed that the model was adequacy fit. PoP has negative
correlation with commitment. Trust has fully mediated the relationship
between PoP and commitment. In order to the moderation, the result showed
that employee who has higher of trust was seen stronger POP-Commitment
relationship than those who has lower ones.
Implication of the findings for organizations and suggestions for future
research are discussed.
Keywords: perception of organizational politics, perception of equity, trust,
Commitment
Introduction
In the face of increased global competition, the construct of employee
commitment is importance to both scholars (e.g., Mowday, Porter, & Steers,
1982) and practitioners (e.g., O’Malley, 2000). Commitment is the construct
which is able to reinforce the processes and reinforce the relationship
between employees and organization, gaining to the best performance
(Mathieu & Zajac, 1990; Riketta, 2002, Lavelle, 2009). The focus of present
commitment studies is exploring the understanding of commitment’s
antecedents, processes, and its consequences. Antecedents of commitment
may explain in various situations in the workplace such as political behavior.
Reducing the employee’s commitment might occur if political behavior was
Mediation effect of trust on the relationship between perception of organization politics and
commitment
arising up and if employee was felt treat unfairly. Sometimes heightened
political activity in the workplace promotes the defamation of character, or
set up the down playing of the achievement motivation of another employee
(Vigoda, 2000).
Previous studies found that higher level of political behavior lead to
anxiety and job stress (Poon, 2003; Valle & Perrewe, 2000), poor employee
attitudes, diminished job satisfaction and reduce organizational commitment
(Hochwarter, 2003; Randall et al., 1999; Valle & Perrewe, 2000; Vigoda, 2000;
Witt, Andrews, & Kacmar, 2000). In nature, higher levels of political
behaviors often indicate the presence of injustice and the inequitable
distribution of resources among employees (Thompson and Ingraham 1996),
than may influence in reducing employee’s commitment to the organization
(Hochwarter, 2003; Randall et al., 1999; Valle & Perrewe, 2000; Vigoda, 2000;
Witt, Andrews, & Kacmar, 2000).
Perception of organization politics (POP) which is defined as being
characterized by self-serving and manipulative behaviors mostly conveyed
negative connotations (Vigoda, 2000). However, Pfeffer (1981) suggested that
the organization politics might not be as disruptive as perceived by some
individuals, but political activities can sometimes facilitate organizational
change and adaptation to the environment. It was become complex
phenomena especially because the different ways of perception, between
individual employees and managers (Brian, K. et al, 2008). Now days study,
no one of scholar has provided the explanations of why or how the
perception of organizational politics and commitment are related.
In order to continue the broaden explanation of commitment antecedent
and which is the understanding on the consequence of organizational politics
Setyabudi Indartono
(Poon, 2003; Vigoda, 2000), this study attempted to provide the explanations
of this perception (POP) and commitment relationship. Trust that is known as
the most necessary to reduce the risk of opportunistic behavior, and develop
a long-term orientation (Arrow, 1974; Williamson, 1975, 1979; Anderson and
Weitz, 1989; Ganesan, 1994), found has the most important antecedents, i.e.,
organizational justice (Pillai et al., 2001; Aryee et al., 2002) and also mediate
the relationship between organizational justice and outcomes (Ertürk, A.,
2007). Thus, by mediating effect mechanism (Muller and Judd, 2005,
MacKinnon, 2008), trust is expected providing the answers of why or how
POP and commitment are related. For further investigation to identify the
strength and direction of this relationship, the moderation effect was used. It
was expected that employee who has higher of trust was seen stronger POPcommitment relationship than those who has lower ones.
Figure 1
Research Model of Mediation (M) and Moderation (Z) effect of Trust on the
relationship for POP and Commitment
Conceptual background and hypotheses
Perceptions of organizational politics and commitment
Although Ferris and colleagues have consistently argued that POP has a
negative effect on organizational commitment (e.g., Ferris et al. 1989, 2002).
But there is a complex phenomena’s on POP. This complex phenomena of
Mediation effect of trust on the relationship between perception of organization politics and
commitment
POP was because the different perception among members, especially
between employees and managers (Brian, K. et al, 2008). The different
perception is caused due to differences interest among member (Ferris et al
1989) and different organizations situation (Perrewe, 2000)
POP-commitment relationship has more complex phenomena. It is
caused by multiple dimensions of commitment it self. Organizational
commitment that is widely viewed as being multi-dimensional constructs
such as affective commitment, continuance commitment and normative
commitment (e.g., Allen and Meyer 1990; Porter et al. 1974) was still try to be
teased in the relationship with POP. Although, the most POP researchers
have measured organizational commitment by use of a uni-dimensional
measure (e.g. Mowday et al. 1979), there is only a few POP researchers (e.g.
Cropanzano et al. 1997; Hochwarter et al. 1999) have measured this construct
with only the Affective Commitment (sub-scale of Meyer and Allen 1984) and
one study measured more than one dimensions of organizational
commitment, i.e., affective commitment and continuous commitment
(Randall et al. 1999, Miller et al, 2008).
Empirical work on the POP-commitment relationship has been found
equivocal. Most have found POP to have an inverse relationship (e.g., Maslyn
and Fedor 1998; Nye and Witt 1993; Witt 1998), but others have found a
positive relationship (Khumar and ghadially, 1989; Cropanzano et al. 1997),
and two further studies have found no relationship at all between POP and
commitment (e.g., Cropanzano et al. 1997; Randall et al. 1999). This negative
relationship between POP- commitment found in the ranges of -.70
(Cropanzano et al. 1997) to -.13 (Vigoda-Gadot et al. 2003). This wide range of
the findings on the magnitude of the relationship and disparate findings on
Setyabudi Indartono
POP-commitment relationship directionality, begs for further research (Miller
et al, 2008) of this study within prediction:
Hypothesis 1: Perceptions of organizational politics negatively related to
commitment
Trust and Commitment
Trust that is believed to be central to the social relationships occurring
at the lateral and hierarchical levels in the organization, is usually needed in
uncertain situations (Ladebo, 2006), so that the lack of trust may circumscribe
the well-being of an organization (Ammeter, et al, 2004). It is believed that a
high level of trust climate in an organization is often associated with greater
employee loyalty, better customer service, increased efficiency, while a
climate of distrust promotes secrecy among employees in the organization
(Ladebo, 2006).
Empirical work on the trust-commitment relationships, previous study
found that trust has a direct and positive effect on commitment such as
affective commitment (Hopkins et al, 2006, N'Goala, 2007, Powel et all, 2006),
and normative commitment (Powel et all, 2006). Based on previous empirical
research, this study proposes the prediction:
Hypothesis 2: Trust positively related to Commitment
Mediation of trust
In order to provide the explanations of why or how the perception of
organizational politics and commitment are related, the construct of trust was
the most suspected mediator variable used on this study. The construct of
trust was necessary to reduce the risk of opportunistic behavior, and develop
a long-term orientation (Arrow, 1974; Williamson, 1975, 1979; Anderson and
Mediation effect of trust on the relationship between perception of organization politics and
commitment
Weitz, 1989; Ganesan, 1994). Thus, the explanation of PoP-commitment
relationship may able to be described by trust.
Point of the explanations, trust that was highly suspected as construct
that would clearly able to describe the relationship between POP and
commitment within predictions:
Hypothesis 3: Trust mediate the relation between perception of organizational
politics and Commitment
Moderation effect of trust
Explanation of the strength and direction of POP and commitment
relationship was explained by using the moderation effects. Previous
empirical work, trust is related to commitment (Hopkins et al, 2006, N'Goala,
2007, Powel et all, 2006), and trust was potential moderate between variables
(Goris, 2003), make the proposition of this study was plausible. Within the
finding of employees who work within higher trust to supervisor are more
supported to positive work attitude (Goris, 2003). In this study, the following
hypotheses are tested:
Hypothesis 4: employee who has higher of trust was seen stronger POPcommitment relationship than those who has lower ones,
1.
Method
3.1. Participant
Participants were 261 employees from several businesses. Participants
were approximately 36.5 years old and work for 7.7 years. Participants level
of study; 38 (14.6%) were colleges, 120 (46%) were undergraduate, 52 (19.9%)
were master and 12 (4.6%) were doctorate level. The participants that have
Setyabudi Indartono
leader/managerial level were 97 (37.2%) and 151 (57.9%) participants were
men, and 149 (57.1%) participant has married.
3.2. Measures
Measure Development
Items were written by the authors or obtained from previous research.
After review of wording, content, and so forth, 44 item sets for total items
were retained for inclusion in the instrument. Responses were made on a 5point Likert-type scale with scale anchors ranging from 1 (strongly disagree)
to 5 (strongly agree).
Perception of organization Politics were measured using 26 items taken
from Kacmar, K. M. & Baron, R. A. (1999). Participants were asked i.e., “People
in this organization attempt to build themselves up by tearing others down”.
A Five-point likert-type scale was used, and the individual items were
averaged (Cronbach’s α = .817; M=2.8028, SD= .442).
Trust was measured using 6 items taken from Podsakoff et al, 1990.
Participants were asked i.e., “I have a divided sense of loyalty toward my
manager”. A Five-point likert-type scale was used, and the individual items
were averaged (Cronbach’s α =.818, M=3.489, SD=.625).
Commitment was measured using 12 items taken from Meyer, Allen and
Smith’s, 1993 adopted by Chinen and Enomot, 2004. Participants were asked, i.e.,
“I feel a strong sense of belonging to company”. A Five-point likert-type scale
was used, and the individual items were averaged (Cronbach’s α =.716, M=
3.356, SD=0.718).
Mediation effect of trust on the relationship between perception of organization politics and
commitment
2.
Result
Model of fit
Evaluate the adequacy of the model of fit, the index of fit show Goodness of
fit with Model. Evaluation of the adequacy of the model of fit are; GFI=.997,
AGFI=979, CFI= .997, NFI = .988, TLI= .991, RMSEA= .036 and RMR=.008.
Coefficient of Cronbach's α measures how well a set of items measures a
single unidimensional latent construct. It showed that the items measure a
single construct of POP, trust and commitment. Average inter-correlation
among items of POP was .817, among items of trust was .818, and among
items of commitment was .716.
In order to test the first 3 hypothesis, correlation analysis was used.
Hypothesis 1 sought POP is negatively related to commitment. Hypothesis 2
sought that trust is positively related to commitment. Table 1 showed that
PoP has negative correlation with commitment (r=-0.251, p<.01), and Trust
has positive correlation with commitment (r=0.455, p<.01). Thus, hypothesis 1
and hypothesis 2 was supported.
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
Gender
Year Graduate
Education Grade
Marital
Children
Boss position
Ages
experience
Tenure
POP
Trust
Commitment
.495
1.42
1
2
7.11
6.09
-.084
4.88
1.07
-.049
-.212**
1.42
.53
.253**
-.328**
1.99
1.08
.008
.251*
1.60
.49
.030
-.073
36.54
57.5
-.074
.071
7.75
6.35
-.160*
.530**
5.26
5.32
-.089
.321**
2.83
.46
.015
-.128
3.49
.64
-.095
.152*
3.33
.72
-.127*
.180**
* Correlation is significant at the 0.05 level (2-tailed).
** Correlation is significant at the 0.01 level (2-tailed).
SD
Mean
Correlation and Cronbach’s α coefficient
Table 1
.009
.111
-.068
.041
.221**
.293**
.020
-.098
-.054
3
-.195
-.058
.013
-.265**
-.260**
.089
-.026
-.168**
4
-.138
.437**
.441**
.385**
-.136
-.015
.248*
5
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.047
-.133*
-.064
-.037
-.020
.082
6
.053
.021
-.127*
.147*
.535**
7
.764**
-.096
.077
.167*
8
-.013
.053
.162*
9
-.424**
-.251**
10
.455**
11
-
12
Mediation effect of trust on the relationship between perception of organization politics and
commitment
To test hypothesis 3 that sought trust mediate the relation between
perception of organizational politics and commitment, used multiple
regression of POP on commitment and POP with trust on commitment
together. Trust will known as mediator if trust will not have a significant
effect on commitment in a second step regression (β’). Regression equations
used to assess mediation was:
Y = C1 + βX + e1
Equation 1
Y = C2 + β’X + bM + e2
Equation 2
M = C3 + aX + e3
Equation 3
Where Y represented the dependent variable, X is the independent
variable, M is the mediating variable or mediator,
β
represents the relation
between the independent variable to the dependent variable in the first
equation,
β‘
is the parameter relating the independent variable to the
dependent variable adjusted for effects of the mediator, b is the parameter
relating the mediator to the dependent variable adjusted for the effect of the
independent variable, a is the parameter relating the independent variable to
the mediating variable,
e1, e2, and e3 represent unexplained or error
variability, and intercept are C1, C2, and C3. The parameters of this model can
be estimated by multiple regression. Equation 1 defines the total effect of POP
on Commitment. Equation 2 and 3 define the mediation model of trust on
POP – Commitment relationships.
We firstly regressed the POP on trust and commitment partially, then
regressed POP and trust together on commitment. The effect of POP on trust
on the equation 3 was -.424, and on commitment on the equation 1 was -.251.
These effects were significant, p < .01. Including the mediator, the effect of
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POP on commitment on the equation 2 was become not significant, β =-.071,
p > .05. Trust will mediate the POP-commitment relationship when the direct
effect of POP on commitment (equation 1) was significant and become not
significant if trust was included (equation 2). Table-II showed that trust
mediates the relationship between PoP and Commitment (β=-.251**; β’=.071*), thus hypothesis-3 was supported. And the indirect effect from PoP
mediated by trust to commitment is .424x.426= .18 (path coefficient).
Table II
Table Mediation effect analysis of trust on PoP-outcomes relationship
Trust (M)
Commitment (Y)
β Step1
POP (X)
Trust (Y)
R2
F
ΔR2
F change
-.424**
-**
.180**
56.689**
-.251**
-**
.063**
17.939**
β’ Step2
-.071**
.426**
.211**
34.597**
.205**
48.604**
* p < .05. ; ** p < .01.
Hypothesis 4, sough that employee who has higher trust was seen
stronger PoP-commitment relationship than those who has lower ones. This
prediction tested with multiple regression models that included the POP
interaction to trust. Trust will moderate the POP-commitment relationship if
the effect of POP(X) – trust (Z) interaction to commitment (β=-.132 p<.05) and
F change values X * Z (F change = 5.208, p<.05) were significant. Table III
showed that trust moderate the relationship between POP and Commitment
(β=-.132 p<.05; F change = 5.208, p<.05), thus hypothesis-4 is supported.
Mediation effect of trust on the relationship between perception of organization politics and
commitment
Table III
Moderation effect analysis of trust to POP- commitment correlation
Commitment (Y)
β in regression
R
Step 1
Step2
Perception of Organizational Politics (X)
-.251**
-.071** -.093**
Trust (Z)
.455**
.426**
.453**
X*Z
-.132**
R2
.211*
.227**
F
34.597** 25.177**
.016**
ΔR2
F change
5.208**
* p < .05. ; ** p < .01.
Figure 2 explain the interaction using the standardize regression weight,
plotting POP at below and upper of trust mean. The independent variables of
POP and trust has been mean-centered (minus by the variable means) in
order to avoid the multicollinearity among independent variables and
moderator. Employee who has higher on trust showed stronger (β=-.153;
n=109) POP-commitment relationship than those employees who has less on
trust (β=-.149; n=152).
Figure 2 contribution of trust x POP interaction to commitment
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4. Conclusion
5.1. Discussion
This study continue to the broaden explanation of commitment
antecedent and within the consequence of organizational politics (Poon, 2003;
Vigoda, 2000) and the consequence perception of equity. To find out the
deeper explanations of these perceptions and commitment relationship, trust
was used as a mediation effect on these two relationships (Muller and Judd,
2005; MacKinnon, 2008). This mediation effect was also used to explain why
POP and commitment are related. Finding of the direct relationship between
POP and trust with commitment was found consistent with previous studies
(Nye and with, 1993, Cropanzano et al, 1997, Maslyn and fedor 1998, Vigodagadot et al, 2003, Tansky et al, 1997, Robert et al, 1999, Lemons, 2001, Hopkins
et al, 2006, Powell et al, 2006, N’Goala, 2007, Brian et al, 2008). POPcommitment relationship findings was still explain as a negative relationship
within the range of Crapanzano and Vigoda-gadot study (-.13 ~ r=-.251 ~ .70).
To explain why and how the POP and commitment are related, finding
of mediation of trust answered this POP and commitment relationship. Trust
was able to improve the effect of PoP with Commitment relationship,
significantly. It was consist with previous studies (Judge, 2007, Ertürk, A.,
2007), that sough trust has a fully mediates the relationship between
organizational justice and outcomes. Thus, intervention of trust on perception
of organization politics would have significant effect on the commitment
changes. Other finding is that trust moderated the relationship between POP
and commitment. This finding explained the strength and direction of POP
commitment relationship. In an inverse direction, the higher of employee
Mediation effect of trust on the relationship between perception of organization politics and
commitment
trust will strengthen the POP-Commitment relationship, than the lower one.
This study proved the previous study that sough trust is a potential
moderator between variables (Goris et al, 2003).
5.2.
Managerial Implication
Relationship between POP and trust with commitment has number of
implications because of their complexity and uniqueness. Firstly, in order to
increase the employee’s commitment based on political perception point of
view, the manager/leaders should making sure the situation of political
behaviors in the workplace was controllable (Ferris & Kacmar, 1992; Kacmar
& Carlson, 1997). Increase the trustworthy to organization will also able to
decrease negative effect of POP on commitment. This study found that the
path coefficient of trust avoided the negative effect on commitment.
Secondly, regarding to the moderator effect of trust, the situation of high trust
in the relationship between POP and commitment, managers could playing
risky with decrease trust to reduce the power of POP-commitment
relationship within the limit of its significances. This process must be
followed with increasing trust to decrease and avoid the negative effect of
POP on commitment.
Other management implication of these relationship are; the leader have
to point out the reality of work it self (Lewin, 1936) equally percept both by
employee or managers their self (Brian K et al, 2008). The leaders also may
reduce the risk of opportunistic behavior, and develop a long-term
orientation of employee’s work (Arrow, 1974; Williamson, 1975, 1979;
Anderson and Weitz, 1989; Ganesan, 1994). Finally, Leaders should build the
productive organization culture and productive working system (creed et al.,
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1996; bradac et al., 1989, Dan et al, 2005) to improve the working environment
(Porter and Lawler, 1968).
5.3.
Limitation and Future Research Direction
Notwithstanding these contributions, this study also has several
limitations. Although this allows us to rule out employee perception of
organization politics on the job related explanations for the observed findings
(i.e., trust and commitment), it is an open question as to whether these results
on different complexities (such as different and complex individual or group
player within organization). By incorporating the issue of POP antecedents,
the future studies were hope to make an advance contribution to
understanding of how to manage organizational politics, precisely, gaining
higher behavioral and attitudinal outcomes. Another possible direction for
further development is to investigate the impact of trust on the relationship
between POP and others work behavioral and attitudinal outcomes.
Trust that is needed within uncertainty situation perspectives might be
expanded to others situational perspective based on the specific motivational
theory
background.
Comparison
of
the
different
perspective
and
motivational theory may determine when and under what circumstances
trust will contribute more preferable outcomes.
Additional longitudinal study on POP is needed so that its consequences
can more fully understand. Future study could investigate more time points
to determine the future POP able to influence the outcomes. Finally, although
these results support most of our hypotheses, additional research should be
conducted to measure different outcomes, investigate other mediation
variables, or trying to compare the sub conditions such as political perception
Mediation effect of trust on the relationship between perception of organization politics and
commitment
for profit versus non-profit organizations, or private versus public sectors,
home country versus host country strategic perspectives.
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Biographical notes:
Setyabudi Indartono is a Doctoral Student in Department of Business
Administration, National Central University, Taiwan. Lecturer of
Management Department, Yogyakarta state University, Indonesia.
His Major interest field of research includes Leadership, and
Organizational Behavior
Department of Business Administration
National Central University
No. 300, Jungda Rd, Jhongli City
Taoyuan, Taiwan 320, ROC