Reinforcing innovation through transformational leadership: mediating role of job satisfaction

Abstract

Purpose The purpose of this paper is to examine the direct role being played by transformational leadership (TL) dimensions in reinforcing product and service innovation. More particularly, the paper focusses on the role of job satisfaction (JS) as a mediator in this relationship. Design/methodology/approach A concurrent mixed methods technique was employed. The researcher surveyed 486 participants from three major telecoms companies that operate in Jordan to supply the society with mobile phones and internet services. In addition, 15 team leaders were interviewed for the same purpose. Findings The results of this paper support the positive direct impact of transformational leaders on both employees’ innovativeness and JS. In addition, JS was found to positively impact product and service innovation. Moreover, the results revealed that JS mediates the relationship between TL and innovation. Research limitations/implications Leaders are playing a direct and significant role in reinforcing product and service innovation in an interesting manner, especially through JS. Other styles of leadership, populations, and methods may create new perceptions in further research works. Practical implications The findings in this paper indicate that practising superior level of TL behaviours enhances overall JS, which, as a result, reinforces product and service innovation within employees in the Jordanian telecom sector. Superior outputs are achieved through such styles both for the firm as a whole towards innovative products and services, and similarly, for individuals within teams who involve in further innovative team climate. Originality/value These outcomes augment understanding of practises in which transformational leaders endorse innovation, and emphasise the values added through endorsing more TL behaviours to yield more innovative outputs by employees.