EconPapers    
Economics at your fingertips  
 

Transformational Leadership and Innovation at the Lebanese Banking Industry

Sherine Al Ahmad, Nasser Fathi Easa and Nehale Mostapha

International Journal of Economics & Business Administration (IJEBA), 2019, vol. VII, issue 4, 267-292

Abstract: Purpose: Transformational leadership (TL) has been recognized as one of the most important factor influencing innovation. It is argued that this style plays an essential role in developing the process, structure and climate for organizations to become innovative. This research aims to examine the impact of TL on two aspects of innovation namely product and process innovation. Design/Methodology/Approach: The quantitative and explanatory analysis was taken by using the Structural equations modeling (SEM) with AMOS 20 to examine the relationship between TL and innovation. Research data were collected through a survey method. The sample result was determined by the probability stratified sampling technique of about 310 employees at 27 banks in Lebanon. Findings: The findings confirmed the importance of TL in enhancing innovation in banking sector. The main implication of the research highlights that individualized consideration is the most important predictor of product and process innovation followed by, inspirational motivation and idealized influence, respectively, whereas, intellectual stimulation has insignificant influence on product and process innovation. Practical Implications: Findings point to how transformational style of leadership produce better outcomes for the banks by mobilizing employees to engage in innovative products and processes. Originality/Value: These findings extends the understanding of the processes through which transformational styles of leadership stimulate innovation, and also highlight the benefits gained by cultivating more transformational styles of leadership to generate more innovative outcomes.

Keywords: Transformational leadership; product innovation; process innovation; banks; Lebanon. (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://www.ijeba.com/journal/343/download (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ers:ijebaa:v:vii:y:2019:i:4:p:267-292

Access Statistics for this article

More articles in International Journal of Economics & Business Administration (IJEBA) from International Journal of Economics & Business Administration (IJEBA)
Bibliographic data for series maintained by Marios Agiomavritis (). This e-mail address is bad, please contact .

 
Page updated 2020-01-02
Handle: RePEc:ers:ijebaa:v:vii:y:2019:i:4:p:267-292