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Leadership Styles in Relation to Employees’ Trust and Organizational Change Capacity

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  • Muhammad Yasir
  • Rabia Imran
  • Muhammad Kashif Irshad
  • Noor Azmi Mohamad
  • Muhammad Muddassar Khan

Abstract

This article intends to examine the role of leadership styles (transformational, transactional, and laissez-faire) and employees’ trust toward organizational change capacity (OCC). Data were collected from a convenient sample of managers, coordinators, officers, community facilitators, social organizers, and activists through questionnaires. A total of 250 respondents were sent questionnaire, usable questionnaires were 204. Results revealed positive and significant relationship between transformational leadership and employees’ trust. Moreover, an insignificant relationship was found between transactional leadership and employees’ trust, whereas laissez-faire and employees’ trust were found to be negatively associated. Findings of the study also depicted a positive and significant relationship of transformational leadership and transactional leadership with OCC. However, laissez-faire was negatively associated with OCC. Results also revealed that employees’ trust mediates the relationship between leadership styles (transformational and laissez-faire) and OCC. However, employees’ trust did not mediate the relationship between transactional leadership and OCC. Finally, implications and suggestions for future research are provided.

Suggested Citation

  • Muhammad Yasir & Rabia Imran & Muhammad Kashif Irshad & Noor Azmi Mohamad & Muhammad Muddassar Khan, 2016. "Leadership Styles in Relation to Employees’ Trust and Organizational Change Capacity," SAGE Open, , vol. 6(4), pages 21582440166, November.
    • Handle: RePEc:sae:sagope:v:6:y:2016:i:4:p:2158244016675396
    DOI: 10.1177/2158244016675396
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    References listed on IDEAS

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    7. Nofal Razan Jamil & Bader Obeidat, 2019. "Reviewing the Mediating Role of Organizational Learning Capability on the Effect of Transformational Leadership on Entrepreneurial Orientation," Journal of Business & Management (COES&RJ-JBM), , vol. 7(2), pages 111-136, April.
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