The Moderating Effect of Transformational Leadership on the Relationship between Organizational Culture and Organizational Effectiveness: An Empirical Study in Food Companies Listed at the Amman Stock Exchange-Jordan

Ayman Faisal Habtoosh and Mohi-Adden Y. Al-Qutop

International Journal of Business and Management, 2021, vol. 14, issue 4, 157

Abstract: The main aim of this study is to investigate the moderating effect of Transformational Leadership (Inspirational Motivation, Intellectual Stimulation, and Idealized Influence) on the relationship between Organizational Culture (Teamwork and Innovation) and Organizational Effectiveness in Food Companies listed at the Amman Stock Exchange -Jordan. The data was gathered through a questionnaire that was designed and distributed to convenient sample units that represented these Food Companies. A total of 236 respondents participated by answering the questionnaire, and they represented 10 percent of companies' employees. Descriptive analytical approaches were used to analyze the data for this study using Statistical Package for Social Sciences program V.21. The study results show that there was a significant statistical effect of Organizational Culture on Organizational Effectiveness, and there was a significant statistical moderating effect of Transformational Leadership on the relationship between Organizational Culture and Organizational Effectiveness in Food Companies listed at Amman Stock Exchange. The study recommended that these Companies need to adopt behavioral training programs for the current managers and supervisors to promote the transformational leadership style and create a climate of mutual trust and respect with employees and inspire and motivate them intellectually to increase the positive impact of transformational leadership on the relationship between organizational culture and organizational effectiveness.

Date: 2021
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Persistent link: https://EconPapers.repec.org/RePEc:ibn:ijbmjn:v:14:y:2021:i:4:p:157

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