Influence of organizational context and follower’s deposition on the effectiveness of transformational leadership

Past research on transformational leadership in organizations has neglected the organizational context in which such leadership is embedded, and the significance of the disposition of followers. The purpose of the present study was to enrich and refine transformational leadership theory by linking it to organizational context and the self-esteem of followers. It was expected that organizational characteristics and subordinates’ self-esteem could moderate the effects of transformational leadership behavior on job satisfaction, organizational commitment, and organizational citizenship behavior. Results revealed that only organizational-based self-esteem (OBSE) significantly moderated the impact of transformational leadership behavior on organizational citizenship behavior (OCB). Within-and-between-analysis procedures (WABA) were used to determine the appropriate level of data analysis. Research finding suggests that managers should provide individualized performance feedback for high OBSE subordinates and spend more time coaching those subordinates with low OBSE on a one-to-one basis.