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Transformational Leadership's Role in Promoting Corporate Entrepreneurship: Examining the CEO - TMT Interface

Yan Ling, Zeki Simsek, Michael Lubatkin and John F. Velga
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Yan Ling: EM - EMLyon Business School

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Abstract: Research about transformational CEOs' impact on firm-level outcomes, particularly corporate entrepreneurship, has been equivocal, partially because the underlying mechanisms remain largely unexplored. Given that the individuals most closely influenced by a firm's CEO are its top management team (TMT) members, we focus on the CEO-TMT interface as a salient intervening mechanism. We posit that transformational CEOs influence TMTs' behavioral integration, risk propensity, decentralization of responsibilities, and long-term compensation and that these TMT characteristics impact corporate entrepreneurship. Data from 152 firms supported most of our hypothesized links, underscoring how the CEO-TMT interface helps explain transformational CEOs' role in promoting corporate entrepreneurship.

Date: 2008-06-01
Note: View the original document on HAL open archive server: https://hal.science/hal-02276697
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Citations: View citations in EconPapers (101)

Published in Academy of Management Journal, 2008, 51 (3), pp.557-576 P

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