Transformational leadership: an antecedent for organizational effectiveness in Indian banks

Abstract

Purpose The purpose of this study is to empirically explore the connection between transformational leadership (TL) and organizational effectiveness (OE). Also, the paper looks at the mediating impact of employee innovative behaviour (EIB) and the moderating effect of knowledge sharing (KS) on the aforementioned association. Design/methodology/approach The respondents included 410 bank employees from North India. The mediating effect of EIB and moderating effect of KS was explored by plug-in for SPSS, PROCESS Macro (Hayes). Findings The investigation demonstrated that there exists a significant relationship between the constructs under examination. Further, it was seen that EIB mediated and KS moderated the connection between TL and OE. Practical implications Looking at the associations among TL, KS, EIB and OE can have significant implications for organizations. The considered framework as proposed can be used to outline organizational practices, to frame organizational policies and to build a pool of innovative employees who will in turn enhance OE. Originality/value The general comprehension of the associations among TL, KS, EIB and OE is insufficient in existing literature. This examination expands on past studies by examining the mediating role of the EIB and moderating role of KS between TL and OE. The present work is one of the rare attempts to investigate this nested association in the Indian context.