Abstract
PurposeThe purpose of this study was to analyze, through a sequential model, the underlying mechanisms connecting transformational leadership with employee task performance. Specifically, it examined the causal chain of transformational leadership-job characteristics (task variety and task significance)-job engagement-task performance.Design/methodology/approachThe hypotheses were tested on a sample of 320 employees and their supervisors from Spanish young technology and knowledge-intensive small and medium-sized enterprises (SMEs) using structural equations.FindingsThe results show that the effect of transformational leadership on task performance (assessed by supervisors) occurs sequentially via task significance and job engagement. Additionally, job engagement mediates the relationship between task variety and task performance.Practical implicationsFindings highlight the relevance for supervisors to employ a transformational leadership style that leads employees directly and indirectly, through task significance, to be more engaged and achieve higher task performance. They also emphasize the importance of proper job design that allows employees to be fully invested in their job performance.Originality/valueDespite the importance of leadership and employee performance for the survival and growth of these firms, the study of these relationships is largely unexplored. This study proposes and tests a serial model in which supervisor transformational leadership is linked to employee task performance through two sequential mediators: job characteristics (task variety and task significance) and job engagement.