Relationship between Transformational Leadership Dimensions and Employee Engagement: A Mediating Mechanism of Emotional Intelligence

Abstract

The mystery of what leaders can and ought to do in order to spark the best performance from their people is age-old. Until recently, no quantitative research has demonstrated which precise leadership behaviors yield positive results. This study takes much of the mystery out of effective leadership. The objective of this paper is to determine the level of prevalence of transformational leadership dimensions in private banks within the boundaries of KPK, Pakistan, and to evaluate whether emotional intelligence mediates between transformational leadership dimensions and Employee Engagement. Kenny’s contemporary approach to mediation was used to test the mediating effect of emotional intelligence. Our results reflect that with the exception of Idealized Influence dimension of transformational leadership remaining three dimensions inspirational motivation, intellectual stimulation, individualized consideration prevails within banking sector. Similarly, there is no direct relationship between transformational leadership dimensions and employee engagement, rather, this relationship is best explained by incorporating emotional intelligence in the model.