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A model of the relationship between leadership styles, organisational climate, innovation and performance

Knowledge about the antecedents to and the consequences of innovation is often
studied in a fragmented way, resulting in an incomplete understanding of the dynamics
that drive organisational performance. The purpose of this study is to develop a
comprehensive model explaining the relationship between leadership style,
organisational climate, innovation and organisational performance. The systematic
literature review procedure was used to identify, analyse and critically evaluate studies
that examined the relationship between leadership style, organisational climate,
innovation and organisational performance. Given this information as background a
cross-sectional survey design was used to test the relationship between the named
variables. Firstly, a measurement model was tested with data collected from 3 180
respondents, representing 52 companies. Secondly, a structural path model was
tested, with data collected from 231 employees representing 112 companies. The
findings of the systematic literature review revealed that empirical studies that link the
four variables are scarce; in the main, combinations of three variables are found. It
also revealed that measures of innovation and performance vary vastly, inhibiting the
incremental development of a comprehensive empirical body of knowledge. The
results of the measurement model substantiated differentiation between leadership
styles and the expected positive correlation between both transformational and
transactional leadership and innovative behaviour. Furthermore, the results showed
that not all components of leadership impacted positively on innovative behaviours.
The structural path model showed that a transformational leadership style has a direct
impact on the organisational climate, innovation and organisational performance. In
contrast, a transactional leadership style had a direct impact on organisational
performance, but no relationship was found between transactional leadership style
and organisational climate and innovation. This study is important as it provides a
unified model of innovation that focuses on both antecedents, as well as the outcomes
of innovation, in a more comprehensive manner than any previous study. / Graduate School of Business Leadership (SBL / DBL

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:unisa/oai:uir.unisa.ac.za:10500/23615
Date11 1900
CreatorsSethibe, Tebogo Gilbert
ContributorsSteyn, Renier
Source SetsSouth African National ETD Portal
LanguageEnglish
Detected LanguageEnglish
TypeThesis
Format1 online resource (v, 247 leaves) : color illustrations

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