Transformational Leadership Impact on Organizational Effectiveness

Abstract

This study aimed to analyze the impacts of transformational leadership on organizational effectiveness in training and development sectors. The research considers the impact of transformational leadership through its dimensions; idealized influence, inspirational motivation, intellectual stimulation, and individual consideration with their influence on organizational effectiveness. In the research, mixed type method is used and it contains quantitative and qualitative elements. The data is analyzed using SPSS and linear regression with a significance level of p < 0.05. The result of the research indicates that transformational leadership has positive and significant impact on organizational effectiveness through its components which are inspirational motivation, intellectual stimulation, and individual consideration. And finally, the research brought the researcher to conclude that transformational leadership has significant positive impact in training and development sectors. Recommendation also provided that leaders may need to focus on these elements of transformational leadership to improve the outcomes for organizational effectiveness.