The effects of job-related tension on managerial performance in participative budgetary settings☆

Abstract The association between job-related tension and managerial performance has been the subject of speculation and some preliminary research, with little resolution. Four potential reasons for the lack of resolution on this issue are explored in this paper. These are (1) the use of single organizational samples in prior studies, (2) the measurement of managerial performance, (3) the prospect of a curvilinear relation between job-related tension and performance, and (4) the possibility that budgetary participation moderates the association, if any, between job-related tension and performance. By systematically varying both the measurement of managerial performance and the employment of random sampling, the findings of this research suggest that the association between job-related tension and performance is significant and negative. There is no evidence to support the proposition that participation moderates the relation between job-related tension and performance.

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