Transformational Leadership and Organizational Culture as Predictors of Employees Attitudinal Outcomes

Abstract

Organizational commitment and employee job satisfaction are presented in the literature as key work attitudes leading to higher organizational performance. This paper examines the extent to which transformational leadership and organizational culture influence employees' attitudinal outcomes, as well as the effect of job satisfaction on organizational commitment. Data for the study was collected from Egyptian employees working across seven industries. A structure equation model was used to test the hypothesized relations. Results provided support to all of the research hypotheses. 47% of the variance in job satisfaction was explained by perceptions of organizational culture and transformational leadership, with culture having the stronger impact, while 69% of the variance in organizational commitment was explained by employee job satisfaction, culture, and transformational leadership, with satisfaction having the strongest impact, followed by culture and transformational leadership. With increasing globalization, the findings driven from this study is expected to advance the existing understanding of the interaction between organization culture, transformational leadership, and employees' attitudes in the context of an Arab country such as Egypt. Implications for theory and practice are discussed and possible directions for future research are presented.