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Leadership Styles in Relation to Employees’ Trust and Organizational Change Capacity

Muhammad Yasir, Rabia Imran, Muhammad Kashif Irshad, Noor Azmi Mohamad and Muhammad Muddassar Khan

SAGE Open, 2016, vol. 6, issue 4, 2158244016675396

Abstract: This article intends to examine the role of leadership styles (transformational, transactional, and laissez-faire) and employees’ trust toward organizational change capacity (OCC). Data were collected from a convenient sample of managers, coordinators, officers, community facilitators, social organizers, and activists through questionnaires. A total of 250 respondents were sent questionnaire, usable questionnaires were 204. Results revealed positive and significant relationship between transformational leadership and employees’ trust. Moreover, an insignificant relationship was found between transactional leadership and employees’ trust, whereas laissez-faire and employees’ trust were found to be negatively associated. Findings of the study also depicted a positive and significant relationship of transformational leadership and transactional leadership with OCC. However, laissez-faire was negatively associated with OCC. Results also revealed that employees’ trust mediates the relationship between leadership styles (transformational and laissez-faire) and OCC. However, employees’ trust did not mediate the relationship between transactional leadership and OCC. Finally, implications and suggestions for future research are provided.

Keywords: leadership styles; employees’ trust; organizational change capacity; non-profit organizations (search for similar items in EconPapers)
Date: 2016
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Citations: View citations in EconPapers (8)

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Persistent link: https://EconPapers.repec.org/RePEc:sae:sagope:v:6:y:2016:i:4:p:2158244016675396

DOI: 10.1177/2158244016675396

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