Exploring the relationship between performance feedback and medical managers' budgetary performance:The role of managerial self-efficacy

This study addresses recent calls for more research on the potential intervening role exerted by certain individual variables in the relationship between performance feedback and performance. Specifically, this study selects medical managers' sense of managerial self-efficacy as a potential mediational variable in the feedback-performance relationship. A mediational model examining how the effect of performance feedback on medical managers' budgetary performance is influenced by their sense of managerial self-efficacy was established based on survey data from 60 medical managers working in a hospital. Data analysis was conducted using the partial least squares technique, and the results confirmed the hypothesised relationships. Specifically, performance feedback was positively associated with managerial self-efficacy, and managerial self-efficacy exerted a positive influence on medical managers' budgetary performance. Further, performance feedback was determined not to be directly associated with budgetary performance; however, a full mediating effect of managerial self-efficacy was found. These findings make several contributions to the literature and can help healthcare managers have a better understanding of the consequences and importance of the technical features of performance feedback reports.