The Impact of Despotic Leadership on Knowledge Sharing Behavior with the Mediating Role of Job Satisfaction: Application of Social Exchange Theory

Abstract

This study aims to explore the impact of despotic leadership (DL) on employee knowledge-sharing behaviors (KSBs) by examining the mediating role of job satisfaction (JS) within the framework of social exchange theory. Data were collected using an adapted questionnaire from a sample of 179 private and public bank employees across various cities in Pakistan. SPSS and Smart PLS were employed to test the hypothesized model. The empirical findings indicate that despotic leadership (DL) does not have a direct effect on knowledge-sharing behaviors (KSBs) but negatively influences job satisfaction (JS). Consequently, a full mediation effect is observed between despotic leadership and bank employees' knowledge-sharing behaviors (KSBs). The data collected in this study were sourced from a single source through a common method (i.e., a Likert-scale questionnaire). The study was cross-sectional and focused solely on a specific banking sector. The findings suggest that bank managers should be sensitive in their treatment of subordinates. Despotic leadership adversely affects job satisfaction among employees in the banking sector. Organizations that fail to identify leaders with despotic tendencies compromise their employees' job satisfaction, ultimately leading to negative knowledge-sharing behaviors.