The role of psychological capital in the relationship between authentic leadership and work engagement
Abstract
ORIENTATION: The focus on positive psychology in the workplace includes interest in
engagement of employees and the conditions and/or characteristics that explain variance in
engagement levels.
RESEARCH PURPOSE: Psychological capital (PsyCap) can be used as a substitute or enhancer for
leadership in the development of work engagement in cases where the individual has a high level
of PsyCap.
MOTIVATION FOR THE STUDY: With work engagement becoming increasingly critical to the
competitiveness of today’s organisations, there is a need to better understand the role of
leadership and psychological strengths that support work engagement among employees.
Research approach/design and method: In the quantitative study (on the responses of 647
managers from a national private healthcare organisation), the mediating and moderating role
of psychological capital (PsyCap) on the relationship between authentic leadership and work
engagement was tested.
MAIN FINDINGS: Psychological capital partially mediated the relationship between authentic
leadership and work engagement. Similarly, PsyCap was also a moderator of the relationship,
although the main effects remained significant.
PRACTICAL/MANAGERIAL IMPLICATIONS: Organisations and leaders should focus on developing a
high level of PsyCap within their followers in order to retain high levels of work engagement.
CONTRIBUTION/VALUE-ADD: The role of PsyCap in the leadership–engagement relationship
indicates that individuals can draw from their PsyCap to improve work engagement.