Valley International Journal Digital Library

VIJ Digital library
Articles

Transformational Leadership and Employee Performance: Mediation of Organizational Citizenship Behavior

PDF
  • I Nengah Aristana,
  • I Nyoman Resa Adhika,
  • I Gede Rihayana,
  • Putu Pradiva Putra Salain
I Nengah Aristana
Universitas Mahasaraswati Denpasar, Faculty of Economics and Business, Denpasar-Bali,
I Nyoman Resa Adhika
Universitas Mahasaraswati Denpasar, Faculty of Economics and Business, Denpasar-Bali,
I Gede Rihayana
Universitas Mahasaraswati Denpasar, Faculty of Economics and Business, Denpasar-Bali,
Putu Pradiva Putra Salain
Universitas Mahasaraswati Denpasar, Faculty of Economics and Business, Denpasar-Bali,
Published in : International Journal of Scientific Research and Management (IJSRM) , Vol. 12 No. 05 (2024)

Published 2024-06-03

Keywords

  • Transformational Leadership, Organizational Citizenship Behavior, Employee Performance

Copyright (c) 2024 I Nengah Aristana, I Nyoman Resa Adhika, I Gede Rihayana, Putu Pradiva Putra Salain

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This research aims to measure transformational leadership and employee performance mediated by organizational citizenship behavior. This research uses a quantitative approach, data was collected from 210 employees of small and medium enterprises. Data were analyzed using Smart PLS 3.2.9. The research results show that transformational leadership does not affect employee performance. Meanwhile, transformational leadership contributes positively to organizational citizenship behavior, and organizational citizenship behavior also shows a positive impact on employee performance. Lastly, organizational citizenship behavior is proven to mediate transformational leadership about employee performance. Limitations of this research that can be stated include using a self-assessment report which allows for high subjectivity when filling out the questionnaire. The research only focuses on small and medium export businesses, so the research results tend to be less generalizable.

PDF

References

  1. Afsar, B., Badir, Y., & Saeed, B. (2014). Transformational leadership and innovative work behavior. Industrial Management and Data Systems, 114(8), 1270–1300.
  2. Aftab, J., Sarwar, H., Amin, A., & Kiran, A. (2022). Does CSR mediate the nexus of ethical leadership and employee’s job performance? Evidence from North Italy SMEs. Social Responsibility Journal, 18(1), 154–177.
  3. Al-Husseini, S., El Beltagi, I., & Moizer, J. (2021). Transformational leadership and innovation: the mediating role of knowledge sharing amongst higher education faculty. International Journal of Leadership in Education, 24(5), 670–693. Retrieved from https://doi.org/10.1080/13603124.2019.1588381
  4. Al-Husseini, S. J., & Dosa, T. A. (2016). The Effects of Transformational Leadership on Process Innovation Through Knowledge Sharing. World Academy of Science, Engineering and Technology International Journal of Economics and Management Engineering, 10(8), 2731–2738.
  5. Alqudah, I. H. A., Carballo-Penela, A., & Ruzo-Sanmartín, E. (2022). High-performance human resource management practices and readiness for change: An integrative model including affective commitment, employees’ performance, and the moderating role of hierarchy culture. European Research on Management and Business Economics, 28(1), 100177. Elsevier Espana, S.L. Retrieved from https://doi.org/10.1016/j.iedeen.2021.100177
  6. Aristana, I. N., Arsawan, I. W. E., & Rustiarini, N. W. (2022). Employee loyalty during slowdown of Covid-19: Do satisfaction and trust matter? International Journal of Tourism Cities, 8(1), 223–243.
  7. Aristana, I. N., Arsawan, I. W. E., & Wisnawa, I. M. B. (2023). Improving Employee Job Satisfaction: Do Transformational Leadership and Organizational Culture Matter? Jurnal Ekonomi Bisnis dan Kewirausahaan, 12(1), 36.
  8. Avolio, B. J., Bass, B. M., & Jung, D. I. (1999). Re-examining the components of transformational and transactional leadership using the Multifactor Leadership. Journal of Occupational and Organizational Psychology, 72(4), 441–462. Retrieved from http://doi.wiley.com/10.1348/096317999166789
  9. Babić, V. M., Savović, S. D., & Domanović, V. M. (2014). Transformational leadership and post-acquisition performance in transitional economies. Journal of Organizational Change Management, 27(6), 856–876.
  10. Basu, E., Pradhan, R. K., & Tewari, H. R. (2017). Impact of organizational citizenship behavior on job performance in Indian healthcare industries. International Journal of Productivity and Performance Management, 66(6), 780–796.
  11. Bonita, F. (2013). Strategi Pengembangan Industri Kecil Kerajinan Batik Di Kota Semarang. Economics Development Analysis Journal, 2(3), 234–245.
  12. Buil, I., Martínez, E., & Matute, J. (2019). Transformational leadership and employee performance: The role of identification, engagement and proactive personality. International Journal of Hospitality Management, 77(June), 64–75.
  13. Burns, J. M. (1978). Leadership. N.Y, Harper and Row.
  14. Chiang, C. F., & Hsieh, T. S. (2012). The impacts of perceived organizational support and psychological empowerment on job performance: The mediating effects of organizational citizenship behavior. International Journal of Hospitality Management, 31(1), 180–190.
  15. Chin, W. W. (1998). Issues and opinion on structural equation modeling. MIS Quarterly: Management Information Systems, 22(1), vii–xvi.
  16. Cun, X. (2012). Public service motivation and job satisfaction, organizational citizenship behavior: An empirical study based on the sample of employees in Guangzhou public sectors. Chinese Management Studies, 6(2), 330–340.
  17. Dharma, Y. (2018). The effect of work motivation on the employee performance with organization citizenship behavior as intervening variable at bank aceh syariah. Emerald Reach Proceedings Series, 1, 7–12.
  18. Eliyana, A., Ma’arif, S., & Muzakki. (2019). Job satisfaction and organizational commitment effect in the transformational leadership towards employee performance. European Research on Management and Business Economics, 25(3), 144–150. AEDEM.
  19. Forth, J., & Bryson, A. (2019). Management practices and SME performance. Scottish Journal of Political Economy, 66(4), 527–558.
  20. Gentle, J. E., Härdle, W. K., & Mori, Y. (2011). Handbook of Statistical Bioinformatics. Berlin, Heidelberg: Springer Berlin Heidelberg. Retrieved from https://link.springer.com/10.1007/978-3-642-16345-6
  21. de Geus, C. J. C., Ingrams, A., Tummers, L., & Pandey, S. K. (2020). Organizational Citizenship Behavior in the Public Sector: A Systematic Literature Review and Future Research Agenda. Public Administration Review, 1–12.
  22. Gong, B., Greenwood, R. A., Hoyte, D., Ramkissoon, A., & He, X. (2018). Millennials and organizational citizenship behavior: The role of job crafting and career anchor on service. Management Research Review, 41(7), 774–788.
  23. Grošelj, M., Černe, M., Penger, S., & Grah, B. (2021). Authentic and transformational leadership and innovative work behaviour: the moderating role of psychological empowerment. European Journal of Innovation Management, 24(3), 677–706.
  24. Guimaraes, G., Stride, C., & O’Reilly, D. (2014). Sport , Business and Management : An International Journal Article information : Sport, Business and Management: An International Journal, 6(2), 137–157.
  25. Gurmani, J. K., Khan, N. U., Khalique, M., Yasir, M., Obaid, A., & Sabri, N. A. A. (2021). Do Environmental Transformational Leadership Predicts Organizational Citizenship Behavior towards Environment in Hospitality Industry: Using Structural Equation Modelling Approach. Sustainability, 13(10), 1–29. Retrieved from https://www.mdpi.com/2071-1050/13/10/5594
  26. Hackett, R. D., Wang, A. C., Chen, Z., Cheng, B. S., & Farh, J. L. (2018). Transformational Leadership and Organisational Citizenship Behaviour: A Moderated Mediation Model of Leader-Member-Exchange and Subordinates’ Gender. Applied Psychology, 67(4), 617–644.
  27. Hair, J. F., Ringle, C. M., & Sarstedt, M. (2013). Editorial - Partial Least Squares Structural Equation Modeling: Rigorous Applications, Better Results and Higher Acceptance. Long Range Planning, 46(1–2), 1–12.
  28. Huberta, E., Brasit, N., Taba, M., & Amar, M. (2017). Moderation Of Local Culture qPela Gandongq On The Influence Of Personality Towards Organizational Citizenship Behavior And Employee Performance Moderation Of Local Culture qPela Gandongq On The Influence Of Personality Towards Organizational Citizenship B. Proceedings of the 2nd International Conference on Accounting, Management, and Economics 2017 (ICAME 2017) (Vol. 40, pp. 252–269). Paris, France: Atlantis Press. Retrieved from http://www.atlantis-press.com/php/paper-details.php?id=25885694
  29. Ingrams, A. (2020). Organizational Citizenship Behavior in the Public and Private Sectors: A Multilevel Test of Public Service Motivation and Traditional Antecedents. Review of Public Personnel Administration, 40(2), 222–244.
  30. Jiang, W., Zhao, X., & Ni, J. (2017). The impact of transformational leadership on employee sustainable performance: The mediating role of organizational citizenship behavior. Sustainability (Switzerland), 9(9), 1–17.
  31. Jiao, C., Richards, D. A., & Zhang, K. (2011). Leadership and Organizational Citizenship Behavior: OCB-Specific Meanings as Mediators. Journal of Business and Psychology, 26(1), 11–25.
  32. Kalia, N., & Bhardwaj, B. (2019). Contextual and Task Performance: Do Demographic and Organizational variables matter? Rajagiri Management Journal, 13(2), 30–42.
  33. Karhapää, S. J., Savolainen, T., & Malkamäki, K. (2022). Trust and performance: a contextual study of management change in private and public organisation. Baltic Journal of Management, 17(6), 35–51.
  34. Kazmi, S. W., & Javaid, S. T. (2022). Antecedents of organizational identification: implications for employee performance. RAUSP Management Journal, 57(2), 111–130.
  35. Khan, M. A., Ismail, F. B., Hussain, A., & Alghazali, B. (2020). The Interplay of Leadership Styles, Innovative Work Behavior, Organizational Culture, and Organizational Citizenship Behavior. SAGE Open, 10(1–16).
  36. Khan, N. A., Khan, A. N., Soomro, M. A., & Khan, S. K. (2020). Transformational leadership and civic virtue behavior: Valuing act of thriving and emotional exhaustion in the hotel industry. Asia Pacific Management Review, 25(4), 216–225. Elsevier Ltd. Retrieved from https://doi.org/10.1016/j.apmrv.2020.05.001
  37. Khan, S.-U.-R., Anjam, M., Abu Faiz, M., Khan, F., & Khan, H. (2020). Probing the Effects of Transformational Leadership on Employees’ Job Satisfaction With Interaction of Organizational Learning Culture. SAGE Open, 10(2), 1–9. Retrieved from http://journals.sagepub.com/doi/10.1177/2158244020930771
  38. Khokhar, A. M., & Zia-ur-Rehman, M. (2017). Linking Ethical Leadership to Employees’ Performance: Mediating Role of Organizational Citizenship Behavior and Counterproductive Work Behavior. Pakistan Journal of Commerce and Social Sciences, 11(1), 222–251.
  39. Khoreva, V., & Wechtler, H. (2018). HR practices and employee performance: the mediating role of well-being. Employee Relations, 40(2), 227–243.
  40. Laureani, A., & Antony, J. (2019). Leadership and Lean Six Sigma: a systematic literature review. Total Quality Management and Business Excellence, 30(1–2), 53–81. Taylor & Francis. Retrieved from https://doi.org/10.1080/14783363.2017.1288565
  41. Liu, D., Chen, X. P., & Yao, X. (2011). From Autonomy to Creativity: A Multilevel Investigation of the Mediating Role of Harmonious Passion. Journal of Applied Psychology, 96(2), 294–309.
  42. Mahmood, A., Akhtar, M. N., Talat, U., Shuai, C., & Hyatt, J. C. (2019). Specific HR practices and employee commitment: the mediating role of job satisfaction. Employee Relations, 41(3), 420–435.
  43. Manoppo, V. P. (2020). Transformational leadership as a factor that decreases turnover intention: a mediation of work stress and organizational citizenship behavior. TQM Journal, 32(6), 1395–1412.
  44. Masa’deh, R., Obeidat, B. Y., & Tarhini, A. (2016). A Jordanian empirical study of the associations among transformational leadership, transactional leadership, knowledge sharing, job performance, and firm performance. Journal of Management Development, 35(5), 681–705.
  45. Muchlas, Z. (2015). Strategi Inovasi dan Daya Saing Industri Kecil Menengah (IKM) Agro Industri Kota Batu. Jurnal Ilmiah Bisnis dan Ekonomi Asia, 9(2), 78–91.
  46. Nohe, C., & Hertel, G. (2017). Transformational Leadership and Organizational Citizenship Behavior: A Meta-Analytic Test of Underlying Mechanisms. Frontiers in Psychology, 8(AUG), 1–13.
  47. Noruzy, A., Dalfard, V. M., Azhdari, B., Nazari-Shirkouhi, S., & Rezazadeh, A. (2013). Relations between transformational leadership, organizational learning, knowledge management, organizational innovation, and organizational performance: An empirical investigation of manufacturing firms. International Journal of Advanced Manufacturing Technology, 64(5–8), 1073–1085.
  48. Okundaye, K., Fan, S. K., & Dwyer, R. J. (2019). Impact of information and communication technology in Nigerian small-to medium-sized enterprises. Journal of Economics, Finance and Administrative Science, 24(47), 29–46.
  49. Organ, D. W. (1988). Organizational citizenship behavior: The good soldier syndrome. Lexington Books/D. C. Heath and Com.
  50. Organ, D. W. (1990). The motivational basis of organizational citizenship behavior. In B. M. Staw & L. L. Cummings (Eds.). Research in organizational behavior, 12, 43–72.
  51. Organ, D.W, Podsakoff, P., & MacKenzie, S. B. (2006). Organizational citizenship behavior: Its nature, antecedents, and consequences. Thousand Oaks, CA: Sage.
  52. Organ, Dennis W. (1997). Organizational Citizenship Behaviour: It’s Construct Clean-Up Time. Human Performance, 10(2), 85–97.
  53. Polychroniou, P. V. (2009). Relationship between emotional intelligence and transformational leadership of supervisors: The impact on team effectiveness. Team Performance Management, 15(7), 343–356.
  54. Prabowo, T. S., Noermijati, & Irawanto, D. W. (2018). The Influence of Transformational Leadership and Work Motivation on Employee Performance Mediated By Job Satisfaction. Jurnal Aplikasi Manajemen, 16(1), 171–178.
  55. Rawung, F. H., Wuryaningrat, N. F., & Elvinit, L. E. (2015). The influence of transformational and transactional leadership on knowledge sharing: An empirical study on small and medium businesses in Indonesia. Asian Academy of Management Journal, 20(1), 123–145.
  56. Riana, I. G., Rihayana, I. G., & Kumala Ratih, I. A. D. (2019). Creating innovation through knowledge sharing and absorptive capacity. Polish Journal of Management Studies, 19(1), 338–352.
  57. Rita, M., Randa Payangan, O., Rante, Y., Tuhumena, R., & Erari, A. (2018). Moderating effect of organizational citizenship behavior on the effect of organizational commitment, transformational leadership and work motivation on employee performance. International Journal of Law and Management, 60(4), 953–964.
  58. Riyadi, S., Pujiarti, E. S., & Nurchyati. (2016). Peran Komitmen Organisasi Sebagai Mediasi Hubungan Kepemimpinan Transformasional dan Reward Terhadap Kinerja. Media Ekonomi Dan Manajemen, 31(2), 145–159.
  59. Shafi, M., Zoya, Lei, Z., Song, X., & Sarker, M. N. I. (2020). The effects of transformational leadership on employee creativity: Moderating role of intrinsic motivation. Asia Pacific Management Review, 25(3), 166–176.
  60. Sihombing, S., Astuti, E. S., Mussadieq, M., Hamied, D., & Rahardjo, K. (2018). The Effect of Servant Leadership to Rewards, Organizational Culture, and its Implication to Employee’s Performance (Case Study on the Employees of PT. Bank Tabungan Negara (Persero) Tbk. Indonesia). International Journal of Law and Management-Emerald Insight, 7(5), 781–796.
  61. Sintaasih, D. K., Riana, G., & Aristana, N. (2020). Entrepreneurial Leadership and Innovation: The Mediating Role of Knowledge Sharing (A Study on the Export-oriented Handicraft Industry in Bali). International Journal of Innovation, Creativity and Change., 13(1), 1288–1306.
  62. Smith, C. A., Organ, D. W., & Near, J. P. (1983). Organizational citizenship behavior: Its nature and antecedents. Journal of Applied Psychology, 68, 653–663.
  63. Sudibjo, N., & Sutarji, T. (2020). The roles of job satisfaction, well-being, and emotional intelligence in enhancing the teachers’ employee engagements. Management Science Letters, 10(11), 2477–2482.
  64. Thiruvenkadam, T., & Durairaj, I. Y. A. (2019). Organizational Citizenship Behavior: Its Definitions and Dimensions. GE-International Journal of Management Research, 46(February), 46–55. Retrieved from www.aarf.asiaEmail
  65. Thompson, G., Buch, R., Thompson, P. M. M., & Glasø, L. (2021). The impact of transformational leadership and interactional justice on follower performance and organizational commitment in a business context. Journal of General Management, 46(4), 274–283.
  66. Tuan, L. T. (2017). Knowledge Sharing in Public Organizations: The Roles of Servant Leadership and Organizational Citizenship Behavior. International Journal of Public Administration, 40(4), 361–373. Routledge.
  67. Turek, D. (2021). When does job burnout not hurt employee behaviours? Journal of Organizational Effectiveness, 8(1), 59–79.
  68. Ur Rehman, S., Bhatti, A., & Chaudhry, N. I. (2019). Mediating effect of innovative culture and organizational learning between leadership styles at third-order and organizational performance in Malaysian SMEs. Journal of Global Entrepreneurship Research, 9(1), 1–24. Journal of Global Entrepreneurship Research.
  69. Virgiawan, A. R., Riyanto, S., & Endri, E. (2021). Organizational culture as a mediator motivation and transformational leadership on employee performance. Academic Journal of Interdisciplinary Studies, 10(3), 67–79.
  70. Wang, H., Law, K. S., Hackett, R. D., Wang, D., & Chen, Z. X. (2005). Leader-member exchange as a mediator of the relationship between transformational leadership and followers’ performance and organizational citizenship behavior. Academy of Management Journal, 48(3), 420–432.
  71. Wojtczuk-Turek, A. (2022). Who needs transformational leadership to craft their job? The role of work engagement and personal values. Baltic Journal of Management, 17(5), 654–670.
  72. Wulandari, A. (2012). Pengaruh Orientasi Pelanggan, Orientasi Pesaing Dan Inovasi Produk Terhadap Kinerja Pemasaran. Management Analysis Journal, 1(2).
  73. Yue, C. A., Men, L. R., & Ferguson, M. A. (2019). Bridging transformational leadership , transparent communication , and employee openness to change : The mediating role of trust. Public Relations Review, 45(3), 1–13. Elsevier. Retrieved from https://doi.org/10.1016/j.pubrev.2019.04.012