Impact of Leader Values and Transformational Leadership on Followers

The relationships between spirituality, values, and transformational leadership of managers and performance and organisational identification of subordinates were studied using a sample of 101 manager-subordinate dyads from a multinational bank in India. Managers answered questions on their own spirituality and values, and on their subordinates' task and contextual performance, subordinates answered questions on their manager's transformational leadership and on their own organisational identification, and performance ratings of subordinates were obtained from the organisation's official records. Results of regression analyses show that transformational leadership is positively related to self-transcendence values and spiritual beliefs of managers and this relationship is enhanced by selfenhancement values. The results demonstrate that both self-oriented as well as other-oriented drives interact synergistically. Transformational leadership is also positively related to subordinates' contextual, task and actual ratings of performance, and organisational identification. The implications of the findings for understanding the importance of and for developing transformational leadership are discussed.