An Empirical Study of the Relationship between Transformational Leadership, Empowerment and Organizational Commitment

Azman Ismail, Hasan Al-Banna Mohamed, Ahmad Zaidi Sulaiman, Mohd Hamran Mohamad and Munirah Hanim Yusuf
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Azman Ismail: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,, Postal: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,
Hasan Al-Banna Mohamed: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,, Postal: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,
Ahmad Zaidi Sulaiman: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,, Postal: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,
Mohd Hamran Mohamad: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,, Postal: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,
Munirah Hanim Yusuf: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,, Postal: Faculty of Defence & Management Studies, National Defence University of Malaysia, Kuala Lumpur. Malaysia,

Business and Economics Research Journal, 2011, vol. 2, issue 1, 89

Abstract: Organizational leadership literature highlights that transformational leadership has four salient features: intellectual stimulation, individualized consideration, individualized influenced attributed, and individualized influence behavior. The ability of leaders to properly implement this leadership style may have a significant impact on organizational commitment. More importantly, recent studies in this area reveal that effect of transformational leadership style on organizational commitment is indirectly affected by empowerment. The nature of this relationship is interesting, but little is known about the mediating effect of empowerment in organizational leadership literature. Therefore, this study was conducted to examine the influence of empowerment in the relationship between transformational leadership and organizational commitment using a sample of 118 usable questionnaires gathered from employees who have worked in one US subsidiary firm in East Malaysia, Malaysia. The results of exploratory factor analysis confirmed that the measurement scales used in this study satisfactorily met the standards of validity and reliability analyses. Further, the outcomes of Stepwise Regression analysis showed that the relationship between empowerment and transformational leadership positively and significantly correlated with the organizational commitment. Statistically, this result confirms that empowerment acts as a mediating variable in the relationship between transformational leadership and organizational commitment in the organizational sample. In addition, discussion, implications and conclusion are elaborated.

Keywords: Transformational leadership; Empowerment; Organizational commitment (search for similar items in EconPapers)
JEL-codes: L20 M12 M19 (search for similar items in EconPapers)
Date: 2011
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Citations: View citations in EconPapers (6)

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