Transformational leadership and organisational performance

2015 ◽  
Vol 37 (3) ◽  
pp. 329-353 ◽  
Author(s):  
Anastasia A. Katou

Purpose – The purpose of this paper is to investigate the serially mediating mechanisms of organisational justice, organisational trust, and employee reactions in the relationship between transformational leadership and organisational performance. Design/methodology/approach – The study is based on a national sample of 133 organisations from the public and private sectors in Greece and on data obtained from 1,250 employees at three hierarchical positions. The statistical method employed is structural equation modelling. Findings – The findings of the study suggest that responsive and supportive transformational leadership behaviour have a positive impact on organisational growth. Additionally, this impact is mediated by organisational procedural justice, organisational trust integrity and dependability, and organisational commitment. Research limitations/implications – The study does not allow for dynamic causal inferences because the data were collected using a questionnaire at a single point in time. Furthermore, the findings of the study may not generalise across borders, because the study was applied in the Greek context, which is experiencing a severe economic and financial crisis. Practical implications – The major message of the study to decision makers and practitioners is that leaders should work at fostering organisational commitment by improving perceptions of fairness and trust, consistent with the context where the organisation is activated. Originality/value – There is hardly any research that has been conducted to examine the serially mediating relationships of justice, trust, and employee reactions using multi-dimensional constructs in investigating the relationship between transformational leadership and organisational performance.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nursyazwani Mohd Fuzi ◽  
Nurul Fadly Habidin ◽  
Sabrinah Adam ◽  
Sharon Yong Yee Ong

Purpose This study aims to examine the relationship between environmental cost (EC) on organisational performance (OPM) through an environmental management system (EMS) as the mediating variable. Design/methodology/approach A total of 2,600 manufacturers were identified and consequently selected as the entire study population. Additionally, this study used the structural equation modelling technique to identify the mediator effects of EMS between EC and OPM. Findings The EC and EMS relationship on OPM produced direct and indirect consequences. Hence, it is concluded that manufacturing industry in Malaysia are focused on the OPM when implementing EC and EMS. Originality/value The model would incorporate EC and EMS implementation on OPM in the Malaysian manufacturing industry. This study could also be advantageous to the industry in improving EC, EMS and OPM.


2015 ◽  
Vol 115 (8) ◽  
pp. 1457-1480 ◽  
Author(s):  
Dagmara Lewicka ◽  
Katarzyna Krot

Purpose – It is worth focusing on the examination of factors influencing the quality of the work environment. The purpose of this paper is to verify the influence of the HRM system and organisational trust on employee commitment. Design/methodology/approach – The survey was conducted in Poland among 370 employees in organisations from two sectors of the economy: services and industry. The verification of the theoretical model was performed based on structural equation modelling. Findings – Research findings made it possible to successfully verify the model of the relationship between the HRM system (practices, process), organisational trust and commitment. The starting point for trust in an organisation followed by commitment is the HRM system. It seems that the impact of the HRM process on creating organisational trust is higher. Research findings have also confirmed a relationship between each type of organisational trust and calculative commitment based on benefits, which is a strong determinant of affective commitment. Organisational trust is, therefore, an intermediary factor because the organisation must build trust in employees first before they become affectively committed. Originality/value – Current studies have not examined the issue of a mutual relationship between three constructs: perceived HRM practices and process, organisational trust and commitment. What is more, previous research was confined to the constructs analysed holistically without considering their complexity (different types of trust and commitment). In addition, the authors attempted to enrich Allen and Mayer’s (1991) model with a new aspect of the commitment – calculative, which is linked to the benefits received by employees. The authors also identified the mediating influence of the trust and calculative commitment onto the affective commitment.


2015 ◽  
Vol 1 (1) ◽  
pp. 50-69 ◽  
Author(s):  
Hong-bumm Kim ◽  
Sanggun Lee

Purpose – The purpose of this paper is to examine the causal relationships of city personality and city image, together with the possible effect of city image on the revisit intention of visitors, through empirical validation, so that some meaningful implications can reveal to city planners and marketers how the city tourists can be affected by the personality and image of the city. Design/methodology/approach – This study offers an integrated approach to understanding the relationship between city personality and city image. The research model investigates the relevant relationships among the underlying dimensions of city personality and city image by using a structural equation modeling (SEM) approach. Data obtained from a sample of 302 respondents drawn from a web-based survey in South Korea were analyzed with AMOS program. Findings – The results of this empirical study indicate that city personality positively or negatively affect city image depending on the nature of constructs. Positive relationships are found to exist between excitement as well as sophistication personality and dynamic image of city. On the contrary, the relationship between sincerity personality and dynamic image is negative. All the specific three images of city: dynamic, specific, and static image show positive impact on revisit intention of city tourists. Originality/value – The empirical results of this study provide tenable evidence that the proposed SEM designed to consider city personality and city image, and revisit intention simultaneously is acceptable. Even though in the previous literature, researchers tried to explain the relationship between city personality and city image, the conceptual model and empirical studies pertaining to causal relationships among those constructs have not been thoroughly examined. It is believed that this study has a substantial capability for generating more precise applications related to city tourism, especially concerning city personality and city image.


2018 ◽  
Vol 22 (4) ◽  
pp. 802-823 ◽  
Author(s):  
Gholamhossein Mehralian ◽  
Jamal A. Nazari ◽  
Peivand Ghasemzadeh

PurposeKnowledge is a key success factor in achieving competitive advantage in the current fast-paced and uncertain economic environment. Several studies in the literature have analyzed the relationship between knowledge creation (KC) and organizational success; however, the mechanisms by which KC leads to accumulation of intellectual capital (IC) and thereby affects various dimensions of organizational performance are understudied. The purpose of this paper is to examine how KC and IC and their relationship influence key dimensions of organizational performance.Design/methodology/approachA research model was developed and tested based on the literature in the areas of KC, IC and organizational performance. This study uses a survey sent to companies in an intensive knowledge-based industry. The balanced scorecard (BSC) approach was used to measure the key dimensions of organizational performance.FindingsThe results from structural equation modeling (SEM) on 470 completed questionnaires received from the pharmaceutical companies in Iran reveal that KC activities lead to the accumulation of organizational IC and IC has a crucial and positive impact on the BSC. Furthermore, the results from the path analysis indicate that IC mediates the effects of KC on the BSC.Practical implicationsThe findings of this study contribute to the extant literature on the relationship between knowledge and organizational performance by demonstrating that knowledge and KC lead to performance when organizations utilize KC activities and leverage them to accumulate IC. Once used effectively, IC will result in a better performance in the knowledge-intensive environments.Originality/valueThis is the first study that investigates how KC contributes to firm performance by incorporating the mediating impact of IC on the BSC. The proposed model and results will help organizations to identify the mechanisms through which KC initiatives improve organizational performance.


2020 ◽  
pp. 146735842097215
Author(s):  
Abu Elnasr E Sobaih ◽  
Ahmed M Hasanein ◽  
Meqbel M Aliedan ◽  
Hassan S Abdallah

This study examines the impact of both transformational leadership (TFL) and transactional leadership (TCL) on employee intention to stay (ITS) in deluxe hotels. It also examines the mediating role of organisational commitment (OC) in the relationship between leadership styles, i.e. TFL and TCL, and ITS. A pre-tested questionnaire survey was self-administered to front-line employees in deluxe hotels in Egypt, where these leadership styles were prominent. The key findings showed that TFL has more positive impact on OC and ITS than TCL. Affective commitment (AC) and normative commitment (NC) were found to partially mediate the relationship between both leadership styles and ITS. Employees exhibit higher ITS when they perceive proper leadership practices, especially TFL. Hotel executives should place more emphasis and investments on TFL to effectively achieve OC and positively influence ITS which is critical for the hotel industry that often suffers from high employee turnover.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohammed Saleh Alosani ◽  
Hassan Saleh Al-Dhaafri

PurposePolice agencies are under pressure to improve their performance and provide outstanding services for the community. In response, academics and practitioners have called to adopt effective methods that help these agencies to achieve their goals. Studies reported that benchmarking has a role to improve organisational performance. However, poor evidence of using benchmarking within police agencies and very few studies examine the relationship between it and police performance. Motivated by this gap, this study aims to explore and examine this relationship under the mediating role of innovation culture.Design/methodology/approachA quantitative methodology was utilised in this study. Data used to examine the hypotheses were obtained from the departments and stations of the Dubai Police Force (DPF), and the population comprised head section officers. A total of 338 questionnaires were distributed to respondents, 252 of which were returned. The hypothesised relationships were tested with the data collected by SPSS and SmartPLS statistical software.FindingsFindings clearly show that benchmarking is directly and indirectly associated with the organisational performance of the DPF through innovation culture. Results support the notion that innovation culture facilitates the implementation of proper benchmarking projects in the DPF, which positively affects different aspects of its performance.Research limitations/implicationsThis study includes several limitations. Specifically, the generalisability of the findings should be considered. The analysis applies only to the DPF in the UAE. Thus, investigating and analysing variables in different police agencies in the UAE or internationally would be valuable.Practical implicationsSeveral recommendations are provided in relation to the obtained results to assist managers and decision makers in the DPF and other police agencies. This study includes suggestions for improving police performance by establishing an innovation culture and adopting benchmarking practices.Originality/valueAlthough several contributions indicated that benchmarking and innovation culture is a key determinant of success, the literature lacks empirical studies investigating this link in the police field. This study is the only one to date that examined this relationship in police services. Accordingly, this study seeks to bridge this gap and delivers empirical evidence and theoretical insight to better understand this relationship.


2019 ◽  
Vol 13 (1) ◽  
pp. 103-127 ◽  
Author(s):  
Umer Zaman ◽  
Shahid Nawaz ◽  
Sidra Tariq ◽  
Asad Afzal Humayoun

Purpose Transformational leadership, flexibility and visibility improves project responsiveness to highly unpredictable and impactful events referred as the ‘black swans’ in mega projects (Bloch et al., 2012; Raziq et al., 2018; Zailani et al., 2016). However, these concepts have never been empirically tested in a single framework to determine their significant impact on multi-dimensional project success. The purpose of this paper is to investigate the interactional effects of project flexibility and project visibility on the relationship between transformational leadership and “multi-dimensions” of project success including meeting design goals; impact on customers and benefits to project-based organization. Design/methodology/approach Empirical data derived from cross-sectional survey of 160 project managers from telecom intensive companies in Pakistan were used to test the conceptual framework developed from recent literature. Partial least squares-structural equation modeling (PLS-SEM) provided detailed analysis of the measurement and structural model. The most recent reflective–formative PLS-SEM approach for higher-order constructs has been introduced. Findings The results indicate that project managers’ transformational leadership (β = 0.348, p < 0.01), project flexibility (β = 0.221, p < 0.01) and project visibility (β = 0.366, p < 0.01) are positively related with the multi-dimensional project success (second-order formative) construct. Interestingly, the relationship between transformational leadership and project success is influenced by significantly negative moderations established through project flexibility (β = −0.100, p < 0.01) and project visibility (β = −0.093, p < 0.05). Research limitations/implications This study in the telecom sector examined the interactional effects of risk mitigating strategies (i.e. project flexibility and project visibility) on the relationship between transformational leadership and multi-dimensional project success. This study creates a basis for future investigations extending to various project types and relevant to different industries especially those involving higher-order (formative) assessments of project success. Practical implications The study findings assist project leaders to meet their escalating commitments in achieving project success from a multi-dimensional standpoint. Additionally, this study underscores a renewed perspective of transformational leadership and project outcomes. Despite prevailing understanding developed through prior research, transformational leadership may become less favorable for project success in conditions of increased flexibility and visibility in projects. Originality/value Earlier studies have overlooked the multi-dimensional nature of project success (second-order formative) construct, despite several attempts to examine the interplay between transformational leadership and project success. Based on the knowledge gap and non-existence of empirical evidence, the authors introduced and empirically tested the moderating role of project flexibility and project visibility in the relationship between transformational leadership and multi-dimensional project success.


2020 ◽  
Vol 20 (3) ◽  
pp. 401-427
Author(s):  
Babatunji Samuel Adedeji ◽  
Tze San Ong ◽  
Md Uzir Hossain Uzir ◽  
Abu Bakar Abdul Hamid

Purpose The non-existence of the corporate governance (CG) concept for practices by non-financial medium-sized firms (MSFs) in Nigeria informed. This study aims to determine whether CG practices influence firms’ performance and whether sustainability initiative (SI) mediates the relationship between CG and MSFs’ performance in Nigeria. Design/methodology/approach A total of 300 firms were selected on convenience sampling basis from South Western Nigeria using a structured questionnaire. The authors used Statistical Package for Social Sciences for exploratory data analysis and hypotheses were tested using covariance-based structural equation modelling. Findings The results show that CG has a significant positive effect on performance [financial performance (FNP) and non-financial performance (NFP)] and SI. SI has a mixed impact on performance, e.g. a significant positive impact on NFP but insignificant negative impact on FNP. Similarly, SI has a combined mediating effect in the relationship between CG and performance, e.g. fully mediates CG → NFP and does not mediate CG → FNP. Firms are to invest in social and environmental initiatives substantially. CG codes will complement the International Financial Reporting Standards for MSFs. Research limitations/implications This study supports the assumptions of theories (institutional, stakeholder and agency) as the basis for the usage of multiple approaches to determine the outcome of hypotheses, especially in developing climes. Practical implications The study contributes to CG and performance literature by examining the mediating effects of SI. The paper also shows the necessity to emphasise NFP aspect. Policymakers should evolve CG codes to encourage stakeholders to believe more in the corporate existence of MSFs for strengthening capital-base and quality personnel engagement. Originality/value To the best of the authors’ knowledge, this is one of the first empirical attempts showing the evidence on the relationship between CG and NFP in Nigeria.


2016 ◽  
Vol 37 (7) ◽  
pp. 912-935 ◽  
Author(s):  
Xiaofeng Zheng ◽  
Zhiying Liu ◽  
Xiuyuan Gong

Purpose The purpose of this paper is to explore the role leader attention plays in the nurture of transformational leadership (TL) behavior, as well as the mechanism by which TL affects innovation ambidexterity, this research empirically studied the relationship between leader attention scope (LAS) and innovation ambidexterity (exploratory innovation and exploitative innovation) through the mediating role of TL. Further, the moderating effect of environmental dynamism (ED) on the relationship between TL and innovation ambidexterity was examined. Design/methodology/approach Empirical study was adopted by distributing questionnaires to high echelon leaders in mainland China to assess related variables. Structural equation modeling was used to examine the relationships of the variables based on the 188 returned questionnaires. Findings The results show that LAS had a positive effect on innovation ambidexterity, and the relationship was partially mediated by TL. ED negatively moderated the relationship between TL and innovation ambidexterity. Practical implications The results suggest that upper echelon leaders receive more unfamiliar, outward-oriented, and source-diverse information to broaden their attention scope. The broad outlook they get obliges them to engage in TL behavior which is beneficial for innovation ambidexterity. Originality/value Based on upper echelons theory, this research reveals the realization mechanism of innovation ambidexterity from the perspectives of leader attention and leadership behavior. This paper avoids the previous research limitation of prevalently employing demographic measurements to substitute for leaders’ psychological processes. The study of LAS also explains the formation mechanism of TL. ED is considered to examine the effectiveness of TL.


2015 ◽  
Vol 49 (7/8) ◽  
pp. 1234-1255 ◽  
Author(s):  
Yu-An Huang ◽  
Chad Lin ◽  
Ian Phau

Purpose – This paper aims to examine the importance and concept of idol attachment, model its antecedents and moderators and assess its influence on human brand loyalty. Design/methodology/approach – This paper includes two studies. In Study 1, survey questionnaires were distributed by mall intercept to quasi-random samples across Australia and Taiwan for completion and return. The return yielded 1,135 and 736 usable questionnaires, respectively, from which the data were analysed using LISREL structural equation modelling software. In Study 2, an experiment was used to examine whether idol attractiveness is likely to positively moderate the relationship between vanity traits and attachment. Findings – The results suggest that achievement vanity, variety seeking and peer norms have a positive impact on the phenomenon of idol attachment, which in turn positively affects human brand loyalty. Contradicting previous studies, the physical appearance of vanity was not found to be associated with idol attachment. However, the results of the experiment show that idol attractiveness has a positive moderating effect on the relationship between vanity traits and human brand attachment. Research limitations/implications – The findings suggest that idol attachment is more complex than previously understood. The constructs chosen in this research represent an initial step but other variables such as liking, involvement, affective commitment and brand love are not taken into account. Future research models should therefore include such variables. Practical implications – The findings contain many practical lessons for planners of marketing strategy for the music industry in an international context. Originality/value – Two existing theories of psychology are integrated with the concept of idol attachment to explain human brand loyalty in an international context.


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