scholarly journals Measuring the mediating effect of customer trust - A case of corporate banking sector

2014 ◽  
Vol 11 (4) ◽  
pp. 463-468
Author(s):  
Nalin Abeysekera ◽  
Ananda Wickramasinghe
Keyword(s):  
Transformational Leadership ◽  
Relationship Marketing ◽  
Banking Sector ◽  
Mediating Effect ◽  
Intellectual Stimulation ◽  
Idealized Influence ◽  
Customer Commitment ◽  
Customer Trust ◽  
The Relationship

Understanding transformational leadership and relationship marketing is essential to exploit the future marketing strategies in the contemporary market environment, particularly in volatile and complex marketplace. This study attempts to explore and establish a link between these concepts through variables of transformational leadership; namely, intellectual stimulation and idealized influence with popular “trust-commitment” framework in relationship marketing. The corporate banking sector in Sri Lanka has been selected and one hundred salespersons were selected as a sample. It has been found that customer trust significantly mediates the relationship between the idealized influence behavior of a salesperson and customer commitment. Additionally customer trust significantly mediates the relationship between intellectual stimulation behavior of a salesperson and customer commitment .Thus the role of trust can be considered as important in the context of banking in bank-corporate client partnership strategy.

Examining the Role of Green Transformational Leadership on Promoting Green Organizational Behavior

2019 ◽  
pp. 200-224
Author(s):  
Chipo Mukonza ◽  
Ilze Swarts
Keyword(s):  
Transformational Leadership ◽  
Organizational Behavior ◽  
The Body ◽  
Intellectual Stimulation ◽  
Idealized Influence ◽  
Body Of Knowledge ◽  
Inspirational Motivation ◽  
Website Analysis ◽  
The Relationship

This chapter examines the role of green transformational leadership on promoting green organizational behavior. Green transformational leadership has been found to be influencing green organizational behavior. The study uses content analysis and website analysis. Nedbank is used in the chapter as an archetype of an organization with a green transformational leadership which has influenced green organizational behavior. Four characteristics of green transformational leadership namely idealized influence, inspirational motivation, intellectual stimulation, and individualized consideration were used. The leadership engages its customer and rewards them for green behavior which is important for intellectual stimulation and motivating their employees. The study contributes to the body of knowledge on green transformational behavior by confirming the relationship. The chapter recommends that more trainings and educational awareness on green values be provided to the management so that ultimately this are emulated and practiced by their employees.

scholarly journals Relationship between Transformational Leadership Dimensions and Employee Engagement: A Mediating Mechanism of Emotional Intelligence

2021 ◽  
Vol 4 (3) ◽  
pp. 693-701
Author(s):  
Shakeel Khan ◽  
Shahzad Khan Durrani ◽  
Bushra Hamid ◽  
Muhammad Ishtiaq
Keyword(s):  
Emotional Intelligence ◽  
Transformational Leadership ◽  
Employee Engagement ◽  
Quantitative Research ◽  
Banking Sector ◽  
Mediating Effect ◽  
Three Dimensions ◽  
Intellectual Stimulation ◽  
Idealized Influence ◽  
Leadership Dimensions

The mystery of what leaders can and ought to do in order to spark the best performance from their people is age-old. Until recently, no quantitative research has demonstrated which precise leadership behaviors yield positive results. This study takes much of the mystery out of effective leadership. The objective of this paper is to determine the level of prevalence of transformational leadership dimensions in private banks within the boundaries of KPK, Pakistan, and to evaluate whether emotional intelligence mediates between transformational leadership dimensions and Employee Engagement. Kenny’s contemporary approach to mediation was used to test the mediating effect of emotional intelligence. Our results reflect that with the exception of Idealized Influence dimension of transformational leadership remaining three dimensions inspirational motivation, intellectual stimulation, individualized consideration prevails within banking sector. Similarly, there is no direct relationship between transformational leadership dimensions and employee engagement, rather, this relationship is best explained by incorporating emotional intelligence in the model.

scholarly journals Leadership and Job Satisfaction in the Healthcare Sector: An Exploratory Study in Lebanon

2018 ◽  
Vol 11 (7) ◽  
pp. 46
Author(s):  
Said Hussein ◽  
Inaya Wahidi
Keyword(s):  
Job Satisfaction ◽  
Transformational Leadership ◽  
Healthcare Sector ◽  
Active Listening ◽  
Intellectual Stimulation ◽  
Idealized Influence ◽  
Inspirational Motivation ◽  
Administrative Employees ◽  
Leadership Components ◽  
The Relationship

More and more, healthcare institutions work to ameliorate the relation supervisor/supervised. In hospitals, transformational leadership proved to influence employee’s motivation and satisfaction (Spinelli, 2006, p.20) thus the hospital’s services. To our knowledge, there is no study conducted on the administrative employees in the healthcare sector in Lebanon that constitute our sample. There is only one study conducted on nurses by El-Jardali et al., (2008) in 69 hospitals in this country. Given this situation, we how can describe the relationship between transformational leadership and employee’s job satisfaction in hospitals? Data processing of a questionnaire administered to 455 employees of 28 over 125 hospitals in Lebanon shows that there is no significant relationship between the employee’s job satisfaction and these two transformational leadership components: leader’s idealized influence and intellectual stimulation. While we found a correlation between employee’s job satisfaction and two other components: inspirational motivation (Training; projects monitoring) and individualized consideration (Active listening to employee’s work issues).

scholarly journals MEDIATING EFFECTS OF EMPLOYEE COMMITMENT IN RELATIONSHIP BETWEEN TOXIC LEADERSHIP AND EMPLOYEES’ PERFORMANCE

2021 ◽  
Vol 9 (4) ◽  
pp. 56-64
Author(s):  
Muhammad Rahman Khan ◽  
Hamid Khan ◽  
Sajjad Ahmad Jan ◽  
Aziz Javad ◽  
Aman Ullah Khattak
Keyword(s):  
Organizational Commitment ◽  
Sample Size ◽  
Banking Sector ◽  
Employee Performance ◽  
Employee Commitment ◽  
Mediating Effect ◽  
Mediating Effects ◽  
Toxic Leadership ◽  
The Relationship

Purpose of Study: The study aimed to examine the mediating effects of employee commitment in the relationship between toxic leadership and employee performance in the context of the banking sector, KP, Pakistan. The study is expected to provide significant information to existing knowledge databases about the toxic leaders, organizational commitment, and employees’ performance. Methodology of Study: The cross-sectional design was used to conduct the study by using a 5-point Likert scale through the questionnaire to collect primary data from the high-level managers of selected commercial banks located south region of KP, Pakistan. The sample of 234 employees of both public/private sector banks was taken randomly as the sample. To compute sample, Yamane (1967) formula for selecting sample from finite population: n=population (566), level of significance, e = 0.05 & n=sample size, sample size (n) = N/1+Ne2 = 566/1+566(0.05), 2 = 234. Main Findings: The results of the study revealed that the significant and positive association among the research variables, the significant impact of the predictors on the criterion variable, and the significant partial mediating role of the employee commitment in the relationship between the toxic leadership and employees’ performance. Applications of Study: The current study focuses on examining the role of toxic leadership on employee performance with mediating effect of employee commitment within the banking sector of KP, Pakistan. This study's significance lies in the banking sector, desiring to acquire sustainable competitive advantage through increased employee performance and employee commitment. Novelty/Originality of Study: The expectation that organizational commitment can improve the relationship between toxic leadership and employee performance is missed to a certain extent in the educational context that is expected to offer a new contribution to an existing database of research.

Reversing the lens

2019 ◽  
Vol 41 (1) ◽  
pp. 1-18
Author(s):  
Sajjad Nawaz Khan ◽  
Siti Mariam Abdullah ◽  
Abdul Halim Busari ◽  
Muhammad Mubushar ◽  
Ikram Ullah Khan
Keyword(s):  
Transformational Leadership ◽  
Social Exchange ◽  
Social Exchange Theory ◽  
Strong Relationship ◽  
Intellectual Stimulation ◽  
Cultural Backgrounds ◽  
Content Type ◽  
Theoretical Contribution ◽  
Idealized Influence

Purpose The purpose of this paper is to investigate the role of followership dimensions in the transformational leadership process by reversing the lens from the traditional leader-centric perspective to emerging followership perspective and examine the role of trust as a mediating variable in the proposed relationship. Design/methodology/approach Using quantitative method data were collected through a questionnaire from 506 respondents of the telecom sector in Pakistan. The proposed hypotheses were tested using SPSS V.23 and PROCESS V.3.1. Findings The results indicate that followership dimensions (active engagement and independent critical thinking) positively affect all the four constructs of transformational leadership (idealized influence, inspirational motivation, intellectual stimulation and individualized consideration). Furthermore, trust in leadership partially mediates the direct relationship between followership dimensions and transformational leadership constructs. Research limitations/implications This study is conducted in a developing country context which limits its generalizability in other cultural backgrounds. Hence, further investigation could test the role of followership using different samples and methods. Practical implications Organizations need to pay more attention to followers’ development to produce better followership outcomes that will ultimately help establish strong relationships with transformational leaders and sustained positive outcomes. Originality/value This study empirically tests Shamir’s (2007) “reversing the lens” perspective and extends a distinct theoretical contribution to the social exchange theory that neither followers are passive participants, nor always on the receiving end of the relationship but they actively participate to establish a strong relationship with their leaders.

Frontline employees’ engagement and business performance: the mediating role of customer-oriented behaviors

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Behrooz Ghlichlee ◽  
Fatima Bayat
Keyword(s):  
Business Performance ◽  
Banking Sector ◽  
Retail Banking ◽  
Mediating Effect ◽  
Business Trend ◽  
Frontline Employees ◽  
Content Type ◽  
Mediating Role ◽  
The Relationship

Purpose Within the retail banking sector, the customer-centric business model has become an important and new business trend in recent years. The enhancement of the frontline service employees’ engagement and their customer-oriented behaviors are among the key factors affecting business performance (BP) in this sector of the banking industry. The purpose of this paper is to improve management decisions to enhance BP through examining the relationship between the frontline employees’ engagement and BP while taking into account the mediating effect of customer-oriented behaviors on this relationship. Design/methodology/approach A quantitative approach was adopted to conduct the present study, and the respondents were sampled from a large commercial bank in Iran using a structured questionnaire. Overall, 50 branch managers and 90 frontline employees were selected using random sampling. A confirmatory factor analysis was conducted to ascertain the validity and reliability of the observed items and a structural equation model was used for testing the proposed hypotheses and research framework. Findings The findings showed that customer-oriented behaviors mediated the relationship between the frontline employees’ engagement and bank’s branches’ BP. Higher levels of the frontline employees’ engagement enhance the customer-oriented behaviors. It was revealed that the frontline employees are engaged in their job and organization. Moreover, the engaged frontline employees listen carefully to customers, the customer’s problem is important to them and they complete their tasks precisely for customers. It has been confirmed that customer-oriented behaviors enhance branches’ BP. The bank frontline employees’ engagement and customer-oriented behaviors, in turn, affected the bank’s branches’ financial performance, process performance and employee performance compared with the bank’s key competitors. Research limitations/implications This study highlights the value of empirically establishing how employee customer-oriented behaviors are affected by employee engagement as an integrative construct bringing together BP. Practical implications This study can help improve BP by increasing the frontline employees’ engagement and their customer-oriented behaviors. This study suggests that organizations using the findings of this study could effectively assess their frontline employees’ engagement and their customer-oriented behaviors and then plan for improving them. Social implications This study offers a customer-oriented initiative as a social responsibility to be considered by retail banks. In light of the social exchange theory, the banks valuing customer-oriented can provide employees with knowledge, skills, values and support to develop motivation and abilities to demonstrate customer-oriented organizational citizenship behaviors. Originality/value Previous studies demonstrated that the employees’ engagement affects their customer-oriented behaviors. In addition, studies have referred to the effect of employees’ customer-oriented behaviors on BP. However, to the best of the knowledge, key questions regarding how the employees’ engagement at the branch level fosters customer-oriented behaviors and, in turn, the bank’s branches’ BP, remain unanswered. Hence, this study contributes to the investigation of the mediating role of the frontline employees’ customer-oriented behaviors in the relationship between their engagement and branches’ BP in the retail banking sector.

scholarly journals Assessing the Relevance of Green Banking Practice on Bank Loyalty: The Mediating Effect of Green Image and Bank Trust

2019 ◽  
Vol 11 (17) ◽  
pp. 4651 ◽  
Author(s):  
Ibe-Enwo ◽  
Igbudu ◽  
Garanti ◽  
Popoola
Keyword(s):  
Structural Equation Modeling ◽  
Relationship Marketing ◽  
Structural Equation ◽  
Banking Sector ◽  
Retail Banking ◽  
Mediating Effect ◽  
Equation Modeling ◽  
Sustainability Performance ◽  
Modeling Analysis ◽  
The Relationship

Studies that examine green banking practice from the relationship marketing perspective are limited. Bearing in mind the importance of loyalty to managers in the banking industry, and the increase in the call for greater sustainability performance from banking firms by customers, our study explore customers’ perception on green banking practice and its effect on bank loyalty. It also investigates the mediating effect of green image and bank trust in the relationship between green banking practice and bank loyalty. Through a quantitative survey, data for this study was adopted from 551 customers of the retail banking sector in North Cyprus. The structural equation modeling technique was used to test the relationship between the study variables. Results from the structural equation modeling analysis conducted indicated a direct and significant influence of green banking practice on green image, bank trust, and bank loyalty. Green image significantly affects bank trust and bank loyalty. No significant relationship exist between bank trust and bank loyalty. Green image mediates the relationship between green banking practice and bank loyalty, while bank trust does not mediate the relationship between green banking practice and bank loyalty.

scholarly journals Is “Individual Focused” Leadership More Effective And Satisfying Than “Group Focused” Leadership! An Empirical Research

2019 ◽  
Vol 8 (3) ◽  
pp. 6612-6621
Keyword(s):  
Transformational Leadership ◽  
Leadership Style ◽  
Leader Effectiveness ◽  
Intellectual Stimulation ◽  
Empirical Survey ◽  
Extra Effort ◽  
Idealized Influence ◽  
The Individual ◽  
The Relationship ◽  
Bass And Avolio

Purpose- The purpose of this paper is to explore the relationship between individual focused and group focused Transformational Leadership and outcomes measured in terms of extra effort, effectiveness and satisfaction through an empirical survey in three Indian industry segments. Transformational leadership is a leadership form which is fully evolved. Leadership is essentially motivating others but not coercing them. The focus of transformational leadership is to change the thought process of the followers to enable them to contribute their might for the organization instead of seeking rewards from the organization. Transformational leadership was explained in detail by James M Burns and was further elaborated by Bass and Avolio as consisting of five leadership constructs ie idealized influence related to the leader’s behaviors, idealized influence related to the leader’s attributes, inspirational motivation, intellectual stimulation, and individualized consideration. Process- Correlation between Transformational leadership and its impact in motivating people has been an interesting subject to evaluate. Bass and Avolio developed MLQ ( Multi factor leadership questionnaire ) to carry out such a study. This survey was carried out in a large Indian Paper and Paperboard manufacturing division, a tobacco division and an agri division of an enterprise of repute in which about 326 managers participated and the survey findings were subjected to statistical analysis. Findings-Transformational leadership is reputed to enhance employee satisfaction, motivation, technological innovation, and leader effectiveness ratings. While all of these have been proved by the survey quoted above, it was interesting to note the relationship between Individual focused leadership and Group focused leadership and the outcomes measured in terms of extra effort, effectiveness and satisfaction. Research limitations-In the empirical survey carried out, participants were males which is a limitation caused by non availability of lady managers. Originality/value-The current research compared the individual constructs of the Leadership style in terms of Individual focused leadership and Group focused leadership and each of the outcomes in detail and established their relationship.

The important role of ethical behavior in improving customer loyalty

2020 ◽  
pp. 1-16
Author(s):  
Gede Riana
Keyword(s):  
Customer Loyalty ◽  
Ethical Behavior ◽  
Positive Influence ◽  
Customer Commitment ◽  
Research Questions ◽  
Customer Trust ◽  
The Relationship ◽  
Positive Effect ◽  
Significant Positive Influence

PURPOSE: This research was done to 1). Explain the influence of ethical behavior on customer trust and loyalty. 2) Explain the influence of ethical behavior on customer commitment and loyalty. 3) Analyze the influence of ethical behavior on customer trust and commitment. DESIGN/METHODOLOGY: This research was done using well-structured and comprehensive procedures to examine the relationship among variables in order to obtain valid answers for the research questions. An explanatory design in the form of survey was employed to describe and investigate the relevant phenomena and factual information. FINDINGS: The conclusions of this research are drawn as follows. 1) Ethical behavior has a significant positive influence on trust. This means that the ethical behavior of employees in providing services to customers increases customer trust. 2) Ethical behavior has a positive and insignificant influence on commitment. This implies that ethical behavior shown by employees is not yet able to improve customer commitment. 3) Ethical behavior has a negative and insignificant influence on loyalty. Therefore, ethical behavior does not have any significant role in increasing customer loyalty. 4) Trust has a significant positive effect on customer commitment. This implies that customer trust plays an important role in increasing the commitment of customers. 5) Trust has a significant positive influence on customer loyalty. Thus, stronger trust supports stronger customer loyalty. 6) Commitment has a significant positive influence on loyalty. This implies that the customer’s commitment upon their perception of services provided by employees is able to increase customer loyalty. ORIGINALITY: The population of this study included all Bank customers in Denpasar City. Samples were selected using a purposive sampling method to select samples based on certain specific objectives. Only customers who had completed their transaction at the Bank could be selected as the samples.

The impact of transformational leadership on employees’ creativity

2018 ◽  
Vol 41 (1) ◽  
pp. 113-132 ◽  
Author(s):  
Taghrid S. Suifan ◽  
Ayman Bahjat Abdallah ◽  
Marwa Al Janini
Keyword(s):  
Transformational Leadership ◽  
Organizational Support ◽  
Structural Equation ◽  
Perceived Organizational Support ◽  
Banking Sector ◽  
Mediating Effect ◽  
Equation Modeling ◽  
Content Type ◽  
The Impact ◽  
The Relationship

Purpose The purpose of this paper is to examine the effect of transformational leadership on employees’ creativity in the Jordanian banking sector through the mediating effect of perceived organizational support. Design/methodology/approach The study is based on survey data collected from 369 employees working in Jordanian banks. Validity and reliability analyses were performed, and direct and indirect effects were tested using structural equation modeling. Findings The results indicate that transformational leadership positively affects some dimensions of employees’ creativity and perceived organizational support. However, perceived organizational support is found to not be significantly related to some dimensions of employees’ creativity. Additionally, the mediating effect of perceived organizational support on the relationship between transformational leadership and some dimensions of employees’ creativity is found to not be significant. Originality/value This paper is one of the first to examine the relationship between transformational leadership and employees’ creativity through perceived organizational support, especially in an Arab country and in the banking sector.

Sign in / Sign up

Export Citation Format

Share Document