Effects of transformational and shared leadership styles on employees’ perception of team effectiveness

Suk Bong Choi1, Kihwan Kim2, Seung-Wan Kang3
1College of Global Business, Korea University, Republic of Korea
2School of Management and Marketing, Kean University, United States
3College of Business, Gachon University, Republic of Korea
Cite this article:  Choi, S. B., Kim, K., & Kang, S.-W. (2017). Effects of transformational and shared leadership styles on employees’ perception of team effectiveness. Social Behavior and Personality: An international journal, 45(3), 377-386.

Volume 45 Issue 3 | e5805 | Published: April 2017 | DOI: https://doi.org/10.2224/sbp.5805

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Using 3 sets of multiple regression models, we examined the effectiveness of transformational and shared leadership styles in relation to team effectiveness, based on the perceptions of 424 employees of Korean financial and insurance firms. Transformational leadership is a vertical leadership style emanating from the formal leader of a team, whereas shared leadership is a distributed leadership style that emanates from the team members. We found that trans- formational leadership contributed to team output effectiveness, whereas shared leadership improved the team’s organizing and planning effectiveness. These findings imply that different styles of leadership contribute to different aspects of team effectiveness. We suggest that managers should collaborate more with team members and should pay attention to the fit between the leader’s behavior and the characteristics of the team output in order to promote overall team effectiveness.

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