Exploring the mediating effects between transformational leadership and organizational performance

• Published in: Employee relations Vol. 40; no. 2; pp. 412 - 432
• Main Authors: Para-González, Lorena, Jiménez-Jiménez, Daniel, Martínez-Lorente, Angel Rafael
• Format: Journal Article
• Language: English
• Published: Bradford Emerald Publishing Limited 12.02.2018; Emerald Group Publishing Limited
• Subjects: Employee behavior; Employees; Exploitation; Human resource management; Innovations; Labor relations; Leadership; Management styles; Organizational learning; Performance management; Studies; Transformational leadership; Spain; Learning; Exploration; Innovation; Transformational leadership; Human resource management practices; Exploitation
• ISSN: 0142-5455; 1758-7069
• DOI: 10.1108/ER-10-2016-0190

Purpose The purpose of this paper is to study the possible mediating mechanisms (human resource management (HRM), learning and innovation) that could exist in the relationship between transformational leadership and organizational performance. This topic has been studied only by a few groups of researchers and these researchers have not analyzed all these concepts jointly. Design/methodology/approach This research explores the relationships using partial least squares with data from 200 Spanish industrial companies. Analyzing the mentioned relationships in the Spanish context has been done by few researchers before. Findings The study reveals that the adoption of transformational leadership styles improves performance when specific systems of HRM practices, learning and innovation are developed in an organization. Originality/value This study, therefore, contributes to the understanding of the link between transformational leaders and performance by proposing a model in which it is evinced that this leadership style produces synergies between HRM, learning and innovation, which in the end, affect performance.