Hayes Process Macro - Model 1 - Moderation Analysis with Categorial Moderator

Hayes Process Macro - Model 1(b) - Categorical Moderator

Hayes Process Macro - Lecture Series

The tutorial will guide on Model 1 of the Hayes Process Macro for Moderation Analysis using Categorical Moderator, and Continuous Independent & Dependent Variables.

Model 1a: 1 Moderator [BASIC MODERATION] Categorical Moderator

  • Example Variables: 1 predictor X, 1 moderator W, 1 outcome Y

Preliminary notes:

  • Model 1b assumes that:
  • The primary IV (variable X) is continuous.
  • The Moderator is Categorical with Multiple Categories.

Example

  • IV: Commitment
  • MoDV: Bank
  • DV: OP

How to Run

  • Step 1: Analyze -> Regression -> Process v4.0 by Andrew F. Hayes

  • Step 2: Put in the Required Variables. In this case,
    • Y Variable (Dependent Variable) is OP
    • X Variable (Independent Variable) is Commitment (COM)
    • Moderator Variable W: is Bank (Type of Bank)
    • Model Number is 1
  • Step 3: Select Option Button, and Choose the options as shown in the figure below ()
    • Select Generate code for visualizing interaction, this is to generate graphs for slope analysis
    • From Mean center for construction of products groups box, select Only continuous variables that define products. This will mean center the variables the are part of the interaction term. We do mean centering to avoid multi-collinearity between predictor variables and the interaction term.

Next,Click Continue, and Press Multicategorical button, and for Variable W, click Multicategorical and select the coding system indicator (Dummy Coding). If you would like to know more about Dummy Coding, Click Here

Output Interpretation - Basic Summary

  • Description of Model along with the different variables where Y is Dependent Variable, X is Independent Variable, and W is the Moderating Variable.
  • Bank is Categorical with Small, Medium, and Large Sized Banks
  • Coding of categorical W variable for analysis:
  • Bank W1     W2
  • 1.000 .000   .000
  • 2.000 1.000   .000
  • 3.000 .000  1.000

W1 – Medium vs Small (Small is Reference Category)

W2 – High vs Small

Output Interpretation - Model Summary

  • Model Summary, provides summary of the model with R, R-Sq, F Statistics, and P value for the overall model. Next, is the coefficients , with impact of Commitment, Bank, and the interaction effects to assess if there is moderation or not.
  • Differences in OP between Medium and Small bank is insignificant (W1, p > 0.05). Medium Sized Banks have a higher OP in comparison to Small Size Banks.
  • Differences in OP between Large and Small bank is significant (W2, p < 0.05). Large Sized Banks have a lower OP in comparison to Small Size Banks.
  • In this example, One interaction effect (Int_1) is significant, Impact of Commitment on Performance in Medium Sized banks is considerably different (lower) from Small Size Bank.
  • However, Impact of Commitment on Performance in Large Sized banks is not significantly different from Small Size Bank.
  • Test of unconditional interaction, this shows the change in R-Sq due to interaction (x*w), this is also significant.

Output Interpretation - Inreraction

  • Test of unconditional interaction, this shows the change in R-Sq due to interaction (x*w), this is also significant.
  • Next, the Conditional effects show that for Small and Large Sized Banks, the effects of Commitment on Organizational Performance is significant.

Data Visualization

  • Next part of the Hayes Process Macro output is about Data Visualization.
  • You will see the following code, to get the graph, copy the code by double clicking on the output.
  • Next, Click File menu, New, and then Syntax.
  • Paste the Data Visualization code that you copied. Now, Click the Run Selection button.
  • You will have the graph with the main output, at the bottom of the Hayes Process Macro original output.
  • In this example, i have connected the dots to make the graph more meaningful. 

Interpretation

  • The study assessed the moderating role of Bank Size on the relationship between Commitment and Organizational Performance (OP). Test of unconditional interaction, this shows the change in R-Sq due to interaction (x*w), this is also significant. The results revealed that although Medium Sized Banks have a higher OP in comparison to Small Size Banks. Differences in OP between Medium and Small bank were insignificant (W1, p > 0.05).
  • Furthermore, large sized Banks have a lower OP in comparison to Small Size Banks. Differences in OP between Large and Small bank were significant (W2, p < 0.05). In this example, One interaction effect (Int_1) is significant, Impact of Commitment on Performance in Medium Sized banks is considerably different (lower) from Small Size Bank. However, Impact of Commitment on Performance in Large Sized banks is not significantly different from Small Size Bank.

Video Tutorial - Categorical Moderator

Video Tutorial - Categorical Independent and Categorical Moderator

Next session focuses on How to Analyze a Categorical Independent and Categorical Moderator with Continuous Dependent Variable using Hayes Process Macro.