Synergistic effects of employee engagement and trust in supervisor on organisational performance

Orientation: Employee engagement (EE) may determine how trust in supervisor (TIS) affects organisational performance (OP), but it also encourages motivation, cooperation and commitment. This study examines their combined impact on Thailand’s local government sector. Research purpose: The goal of the study is to determine whether EE moderates the relationship between TIS and OP and to test the direct effects of EE and TIS on OP. Motivation for the study: While supervisory trust is associated with better results, little is known about how engagement affects this relationship, especially in public organisations. Research approach/design and method: Validated TIS, EE and OP scales were used in a cross-sectional survey of 401 officials from 31 local government units in a southern province of Thailand. Validity, reliability and predicted effects were evaluated using partial least squares structural equation modelling or PLS-SEM. Main findings: Employee engagement (β = 0.316, p = 0.001) and TIS (β = 0.595, p < 0.001) both markedly enhanced OP. The positive TIS–OP link was amplified by high EE, according to a simple slope analysis, and the interaction term (EE × TIS) was significant (β = 0.080, p = 0.010). Practical/managerial implications: To optimise performance gains, leaders should combine trust-building techniques with engagement programmes such as empowerment, acknowledgement and participatory decision-making. Contribution/value-add: This study offers a framework for integrating leadership and human resource strategies to achieve long-term organisational success, along with empirical evidence of the synergistic role of supervisory trust and engagement in improving public-sector performance.