Embracing the duality of consideration and initiating structure: CEO leadership behaviors and small firm performance

2020 ◽  
Vol 41 (3) ◽  
pp. 449-462
Author(s):  
Inger N. Basker ◽  
Therese E. Sverdrup ◽  
Vidar Schei ◽  
Alexander M. Sandvik

PurposeThis paper examines the relationship between chief executive officers' (CEOs') leadership behaviors (consideration and initiating structure) and firm and individual performance (i.e. profitability, affective commitment and employees' willingness to change) in small and medium-sized firms (SMEs) that need to adapt to changing environments.Design/methodology/approachSurvey data was collected from SMEs (28 firms, 235 employees) in the accounting industry along with objective performance register data (profit and return on assets). The predicted model was tested with multilevel structural equations modeling (MSEM) using a maximum likelihood estimator.FindingsThe CEO leadership behavior of initiating structure was positively related to firms' profitability, while the CEO leadership behavior of consideration was positively related to employees' willingness to change and affective commitment.Practical implicationsSmall accounting firms typically offer standard services that are now being replaced by digital solutions. These firms have an incentive to offer new services, such as business advisory services. Therefore, leaders should embrace the duality of consideration and initiating structure to gain employees' willingness to change and optimize overall firm performance.Originality/valueThe paper contributes to leadership literature by examining a novel context (CEO consideration and initiation of structure in SMEs in uncertain environments) using a combination of firm performance measures (e.g. objective outcomes at the firm level and employees' willingness to change as a new measure at the individual level). In addition, it reports a comprehensive test of the full model using MSEM, the findings of which demonstrate the importance of dual leadership behaviors for CEOs.

2014 ◽  
Vol 27 (6) ◽  
pp. 900-921 ◽  
Author(s):  
Carolin Abrell-Vogel ◽  
Jens Rowold

Purpose – Followers’ affective commitment to change has been found to constitute a strong predictor of the success of change initiatives in organizations. Several studies have yet shown positive effects of transformational leadership on followers’ commitment to change. However, up to date there is no study examining the direct effects of different transformational leadership behaviors on followers’ commitment to change and the moderating impact of leaders’ commitment to change on these relationships. The paper aims to discuss these issues. Design/methodology/approach – This study uses a cross-sectional, multilevel design based on multisource date from 38 teams from different organizations with a total of 177 participating team members. Data of leaders’ and followers’ commitment to change as well as ratings of transformational leadership behavior were captured applying a quantitative approach. Findings – Results show a significant positive effect of the transformational leadership behavior “individual support” on followers’ affective commitment toward change. Moreover, the transformational leadership behavior “providing an appropriate model” was shown as only positively contributing to followers’ commitment to change when leaders’ own commitment toward change was high. Research limitations/implications – Due to the multilevel and multisource data, the sample is relatively small which limits the external validity of findings. Also, future studies should invest in longitudinal replication of relationships. Research on leaders’ and followers’ commitment to change should continue to develop more complete models of interacting influence factors. Practical implications – For team leaders and organizations, results underline the importance of individual support of team members. Thus, leaders need to be enabled to invest individual leadership in the long run. Also, leaders need to become aware of their own commitment toward the change and, going beyond, need to develop a positive bond to the change if they want to be able to act as successful role models. Originality/value – This paper contributes to existing literature by offering a more detailed insight for researchers and practitioners into the effectiveness of transformational leadership in change by exploring the impact of different transformational leadership behaviors effecting followers’ commitment to change. Moreover, it provides important knowledge about the relevance of leaders’ own commitment to change as a moderator of effective leadership in change.


2019 ◽  
Vol 41 (5) ◽  
pp. 1098-1119 ◽  
Author(s):  
Neha Gahlawat ◽  
Subhash C. Kundu

Purpose The purpose of this paper is to examine the relationship between participatory HRM and firm performance through a series of mediators. Design/methodology/approach Primary data were collected from 569 respondents belonging to 207 organizations operating in India. Structural equation modeling and bootstrapping via PROCESS were used to analyze the hypothesized relationships between participatory HRM and firm performance. Findings The study has highlighted that participatory HRM in the form of self-managed teams, flexible work arrangements and empowerment results in better organizational climate, heightened affective commitment, reduced intention to leave and enhanced firm performance. Furthermore, it has been established that organizational climate, affective commitment and intention to leave serially mediate the relationship between participatory HRM and firm performance. Practical implications The study gives strong indications that adopting bundle of participatory HRM practices is beneficial for generating positive organizational climate, enhanced employee attitudes and superior firm performance. Originality/value By establishing serial mediation through organizational climate, affective commitment and employees’ intention to leave, this study brings new insights into the interpretation of underlying mechanism existing between participatory HRM and firm performance, thus uniquely contributes to the HRM and OB literature.


2019 ◽  
Vol 40 (8) ◽  
pp. 829-844
Author(s):  
Tae Kyung Kouzes ◽  
Barry Z. Posner

Purpose The purpose of this paper is to focus on exploring the link between managers’ mindset (fixed vs growth) and their choice of leadership behaviors. Design/methodology/approach The sample was drawn from a proprietary database provided by a global organization that offers 360-degree online leadership surveys. Individuals in management positions provided an assessment of their mindset orientation as well as how often they engaged in various leadership behaviors. Findings Growth-minded managers consistently displayed more frequent use of leadership behaviors than did their fixed mindset counterparts; and this relationship was independent of demographic or organizational factors. Research limitations/implications The findings are consistent with previous mindset research but prominently extend those results to managers in corporate settings; and supports previous research regarding the limited influence of demographic and organizational factors on both mindset and leadership. Practical implications Managers’ mindsets influence how much they engage in various leadership behaviors, and improving leadership competencies is more likely to occur when managers hold a growth mindset that abilities can be developed through effort as compared to fixed mindset managers who believe that abilities are inherent and unchangeable. The mindset of managers is predictive of the behavioral choices they make about exercising leadership, and has practical significance since studies have shown that managers are generally more effective in direct relationship to how often they are seen as engaging in leadership. Originality/value This study extends the significance of mindset from the educational to the corporate environment, using a robust sample of managers, and finding that the relationship between mindset and leadership is independent of various demographic and organizational characteristics.


2014 ◽  
Vol 22 (2) ◽  
pp. 205-223 ◽  
Author(s):  
M. Birasnav

Purpose – It is widely agreed that top management's leadership behavior is a source for achieving and sustaining competitive advantage. Very few research studies analyzed the prevalence of transformational leadership style in the manufacturing environment, and importantly, the associations between transformational behaviors and manufacturing strategies in connection with flexibility, quality, delivery, and cost are not yet deeply explored in the literature. In this direction, efforts are initiated to explain the relationships between transformational leadership behaviors and manufacturing strategies in this study. The paper aims to discuss these issues. Design/methodology/approach – A systematic literature review was conducted by analyzing all traditional and contemporary research studies in the fields of leadership and operations management in order to examine the link between transformational leadership and manufacturing strategies comprising of flexibility, quality, delivery, and cost strategy. Findings – It was found from the review that top-level leaders exhibit transformational leadership behaviors while implementing manufacturing strategies in their firms. In particular, transformational leaders are capable to transform the production system into flexible system, and in addition, they develop new production processes for manufacturing both new and old products. Such leaders ensure quality in all the levels of production process and support to speed up order delivery process with the help of technology. Finally, they also concentrate on reducing cost growth. Research limitations/implications – This study is bounded by its focus on Bass and Avolio's transformational leadership behaviors and Ward and Duray's manufacturing strategies comprising of flexibility, quality, delivery, and cost strategy. Originality/value – This study shows that transformational leaders, in the manufacturing environment, use manufacturing strategy as a tool to improve operational performance. Thus, they have potential to achieve and sustain competitive advantage through formulation of manufacturing strategy.


2018 ◽  
Vol 39 (5) ◽  
pp. 608-619 ◽  
Author(s):  
Stephanie Gilbert ◽  
E. Kevin Kelloway

Purpose A critical assumption of the organizational leadership literature is that leaders want to engage in effective leadership behaviors (Gilbert and Kelloway, 2014). However, leaders may vary in their motivation to be effective in a leadership role, leading to different levels of performance. Drawing on self-determination theory, the authors address the question of what motivates leaders to engage in transformational leadership behaviors (Gilbert et al., 2016). The paper aims to discuss these issues. Design/methodology/approach The current study examined the effects of self-determined leader motivation for transformational leadership on aggregated follower leadership ratings using a sample of 37 leaders matched with 179 followers in two organizations. Findings Results show how leaders’ own motivation relates to followers’ perceptions of leader behavior, and specifically that, across contexts, some autonomous levels of leader motivation are positively related to follower perceptions of leaders’ active-constructive leadership and negatively related to follower perceptions of passive avoidant leadership. Research limitations/implications The research is limited by a small level-two sample size and cross-sectional design. The results suggest that some forms of leader motivation relate to follower ratings of leadership behavior. Originality/value This study is the first to examine how self-determined motivation for transformational leadership predicts follower perceptions of leadership behavior using a multilevel design.


2020 ◽  
Vol 38 (6) ◽  
pp. 1237-1258
Author(s):  
Caroline Lacroix ◽  
Lova Rajaobelina ◽  
Anik St-Onge

PurposeThis article proposes two studies to demonstrate the impact of three dimensions of perceived experiential advertising – cognitive/affective/sensory advertising, relate advertising and behavioural advertising – on consumer behaviour (brand credibility, affective commitment and emotions) in the banking sector.Design/methodology/approachFor study 1, a total of 506 online panellists of a recognized Canadian research firm were asked to evaluate a local bank advertisement using an online self-reported questionnaire. For study 2, a total of 65 Canadian respondents recruited through Facebook and Google adverts were asked to watch two video advertisements (one more experiential and the other less experiential). After viewing the advertisements on a computer equipped with FaceReader software by Noldus, participants completed a short online questionnaire.FindingsUsing structural equations modelling, the first study shows that brand credibility explains the positive impact of perceived cognitive/affective/sensory advertising (complementary mediation) and perceived behavioural advertising (indirect mediation only) on affective commitment. The second study illustrates that the cognitive/affective/sensory dimension is more important for experiential advertising than experiential advertising. Employing FaceReader facial expression recognition software results indicate that the bank advertisement with a higher score of perceived cognitive/affective/sensory advertising produces a higher level of happiness among respondents.Originality/valueBoth studies provide new insights into perceived experiential advertising and the impact of the latter on consumers. Benefits to scholars and practitioners include an enhanced understanding of advertising effectiveness in the banking sector.


2015 ◽  
Vol 36 (1) ◽  
pp. 54-68 ◽  
Author(s):  
Hannes Zacher ◽  
Kathrin Rosing

Purpose – The purpose of this paper is to report the first empirical test of the recently proposed ambidexterity theory of leadership for innovation (Rosing et al., 2011). This theory proposes that the interaction between two complementary leadership behaviors – opening and closing – predicts team innovation, such that team innovation is highest when both opening and closing leadership behaviors are high. Design/methodology/approach – Multi-source survey data came from 33 team leaders of architectural and interior design firms and 90 of their employees. Findings – Results supported the interaction hypothesis, even after controlling for leaders’ transformational leadership behavior and general team success. Research limitations/implications – The relatively small sample size and the cross-sectional design are potential limitations of the study. The findings provide initial support for the central hypothesis of the ambidexterity theory of leadership for innovation. Practical implications – The results suggest that organizations could train team leaders’ ambidextrous leadership behaviors to increase team innovation. Social implications – Identifying ways to facilitate organizational innovation is important, as it contributes to employment and company growth as well as individual and societal well-being. Originality/value – This multi-source study contributes to the literatures on leadership and innovation in organizations by showing that ambidextrous leadership behaviors predict team innovation above and beyond transformational leadership behavior.


2019 ◽  
Vol 40 (7) ◽  
pp. 777-790
Author(s):  
Guilin Zhang ◽  
Michelle Inness

Purpose Drawing on the model of proactive motivation, the purpose of this paper is to examine how transformational leadership influences followers’ voice behavior through three proactive motivation states, namely, “reason to,” “can do” and “energized to.” It also examines the moderating role of followers’ proactive personality in the relationship between transformational leadership and employee voice. Design/methodology/approach The online survey was distributed through Qualtrics using a two-wave design. In total, 1,454 participants completed the survey at Time 1, of those 447 also completed the survey at Time 2. Findings Transformational leadership influences employee voice via followers’ promotion focus, role-breadth self-efficacy and affective commitment. Followers’ proactive personality attenuates the impact of transformational leadership on voice, supporting the substitute for leadership hypothesis. Research limitations/implications Self-reported data are the main limitation of the present study. Other limitations include treating employee voice as a unidimensional construct and oversimplifying the impact of positive affect on voice. Practical implications The present study suggests that training managers to demonstrate more transformational leadership behavior, enhancing employees’ proactive motivation and hiring proactive individuals are strategies to facilitate employee voice. Originality/value The present study contributes to a better understanding of employee voice from a proactive motivation perspective. It also demonstrates that followers’ proactive personality is important “boundary condition” to transformational leadership.


Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings Provision of support to employee teams and groups enables both directive and supportive leaders to achieve positive employee outcomes. The affective commitment that emerges facilitates important group-level helping behaviors which can lead to superior organizational performance. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.


Author(s):  
Titik Rosnani

Objective - The purpose of this study is to investigate the relationship between trust in the leader and affective commitment as a mediator between servant leadership behavior and extra-role behavior. In addition, the study examines, whether person-organization fit has a moderating effect. Methodology/Technique - In total, 250 teachers of the border area responded to the research questionnaires, which were then analyzed using structural equation modeling with a partial least squares approach. Findings - The outputs of this study indicate an indirect influence between the principal servant leadership behaviors and extra-role behaviors among teachers, which was mediated by trust in the principal and the teacher's affective commitment to the principal. Furthermore, the results show a significant and direct relationship between servant leadership behaviors towards trust in the principal, affective commitment, and extra-role behaviors. Trust in the principal and teacher's affective commitment also had a significant and direct effect on extra-role behavior. However, the person-organization fit which moderates the effect of servant leadership behaviors on extra-role behaviors did not have a significant or direct effect on extra-role behaviors, in fact, it actually weakened the influence of servant leadership behaviors on extra-role behaviors. Novelty - The findings of this study suggest that trust in the principal and teacher's affective commitment has an important moderating effect which must be managed to strengthen the relationship between servant leadership behaviors and extra-role behaviors. Type of Paper: Empirical Paper. Keywords: Affective Commitment; Extra-role Behavior; Person-organization Fit; Servant Leadership Behavior; Trust in Leader. JEL Classification: M10. M11. M19.


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