The moderating effect of transformational leadership on the relationship between organisational culture and participative decision-making

Abstract

The importance of organisational culture, leadership style and participative decision-making are widely debated themes in driving job satisfaction in order to reduce employee turnover. In particular, the reciprocating relationship between organisational culture and transformational leadership was presented as a key area for focus in understanding the propensity for participative decision-making. In achieving the research objectives, the purpose of this research was to determine the moderating effect of transformational leadership on the relationship between organisational culture and participative decision-making. This study employed a quantitative, cross-sectional, and survey-styled approach to address the research purpose. The research instrument utilised three standardised and pre-tested measurement scales, with a total of 192 responses validated for statistical regression analysis. Through structural equation modelling, this study found that transformational leadership partially moderates the relationship between organisational culture and participative decision-making. Furthermore, the findings contribute to literature in the field of participative decision-making as well as present practical and empirically tested justification for business to invest in leadership development.