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Impact of Psychological Climate & transformational Leadership on Employee Performance
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The perceptions of an employee about his/her work environment play a predictive role in determining his/her level of job satisfaction. Similarly, managerial leadership that is based on leader-member trust and non-formal methods of communication also increases the meaningfulness of job interpretation. This in turn leads to improved individual performance which, when summated, leads to an overall improvement in organizational effectiveness. The present paper attempts to study the influence of psychological climate and transformational leadership on job satisfaction which in turn leads to better levels of employee performance. Data for the present study were collected from manufacturing as well as service sector organizations all over India.
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