The role of transformational leadership in reinforcing product and service innovation : the direct and indirect impact : a case of Jordanian telecommunication sector

Today, the world is witnessing huge and comprehensive developments in the social, political and economic aspects of life. This dynamic environment describes the rapid change which can be attributed toward recent developments in the telecommunication tools. Evolving technology has transformed the wor...

Full description

Bibliographic Details
Main Author: Al-edenat, Malek
Published: University of Bolton 2017
Subjects:
658
Online Access:https://ethos.bl.uk/OrderDetails.do?uin=uk.bl.ethos.738137
Description
Summary:Today, the world is witnessing huge and comprehensive developments in the social, political and economic aspects of life. This dynamic environment describes the rapid change which can be attributed toward recent developments in the telecommunication tools. Evolving technology has transformed the world into one big country, a phenomenon referred to as globalisation. Jordan is a developing country and can tremendously benefit from this surge of rapidly evolving technologies. Recently, the telecommunication industry has gained massive attention because of the latest technologies that are catering to the growing demands of society. Innovation is the key element in this equation, particularly, in this sector since this sector is responsible for delivering the latest products and services that enhance the various aspects of life. On the one hand, leadership in organisations is characterised as a vital factor and trigger for managing people in this sector to be more innovative. On the other hand, it is imperative that leaders in such organisations possess specific skills equipping them to encourage and support employees for critical thinking and problem-solving. This in turn augments the idea generation process that results in the production of innovative products and services. Correspondingly, transformational leadership style gained more attention in the past two decades and is described as the main engine propelling the innovation wheel. Likewise, job satisfaction is fundamental to the efficient functioning of organisations. However, job satisfaction is likely to be the most affected by the leadership. In addition, knowledge sharing is identified as one of the most vital assets for organisations. Furthermore, knowledge sharing sustains a comparative advantage that allows an organisation to acquire a superior position among the competitors. Moreover, it is also a key element for enhancing the innovation. Also, previous literature has revealed that transformational leadership is one of the most influential styles that positively affects knowledge sharing, job satisfaction, and innovation. The current study responds to the call for more investigation regarding the direct impact of transformational leadership (TL) on innovation (INN). In addition, the study seeks to scrutinise the indirect impact of (TL) on (INN) through the mediating role of job satisfaction (JS) and the moderating role of knowledge sharing (KS), particularly in the context of Jordanian Telecommunication Sector (JTS). The study has been conducted by employing mixed methods (quantitative and qualitative). Therefore, for all study purposes a concurrent strategy was used, with the collection of quantitative data from the employees of this sector, and 486 valid responses were used to test the casual relationships among the study’s variables. Besides, 25 teams’ leaders from one company were interviewed for the qualitative analysis purpose. These interviews were designed and structured with the aim to explain the results obtained from the quantitative part. For the quantitative part, structural equation modelling (SEM) has been employed with Amos23 software in addition to SPSS software. Also, paths analysis was used to investigate the direct impact of TL behaviours on INN and the indirect impact through the mediating role of JS. The results revealed a direct positive impact of the TL on INN, and identified TL as the ideal style of leadership suited to this sector. However, the results also showed that TL behaviours have a positive and direct impact on the promotion and enhancement of the JS level among employees in this sector. Moreover, the study showed that JS acts as a vital element in the relationship between TL and INN in JTS. Additionally, JS was found to partially mediate this relationship. Alternatively, multi-group and interaction analysis were both employed for the purpose of investigating the moderating role of KS. The study found that KS moderated the relationship between TL and INN in JTS. The qualitative part, however, revealed differences and similarities in practising TL behaviours among team leaders in different departments within the same company. These differences lead to different consequences on JS as well as INN. The study has made significant contributions to the theoretical, practical, or/and methodological aspects. Theoretically, it contributes to the assertion on the direct impact of TL on INN, the mediating role of JS, and the moderating role of KS in the relationship between TL and INN. It also offers a better understanding regarding these relations in the business environment; particularly, in the telecommunication industry within a developing country. Although, Jordan qualifies for such an evaluative insight, it has been ignored from such a systematic investigation of the telecommunications sector. Moreover, the study provides a theoretical framework that links all variables undertaken in this investigation and can be instrumental towards other future researches evaluating such relationships. On the practical aspect, the study offers a number of recommendations that are worthy and helpful towards more developments in the telecommunication industry. Finally, the study uses a mixed methods approach that leverages the advantages of using two methods rather than one single method.