Open Access Open Access  Restricted Access Subscription Access
Open Access Open Access Open Access  Restricted Access Restricted Access Subscription Access

Knowledge Management-A Mediating Link between Leadership Styles and Employee Turnover Intentions in Small and Medium Scale IT/ITES Organizations of North Indian Region


Affiliations
1 Department of Management Studies, SRM University, Haryana, India
     

   Subscribe/Renew Journal


Purpose: The purpose of this paper is to address three of the theoretical and empirical questions on two main leadership styles – transformational and transactional leadership – what effect both transformational and transactional leadership have on employees’ turnover intentions of executives working in Small and Medium IT/ITES organizations of north Indian region, what is the direct effect of implementation of knowledge management process (KMP) on employee turnover intentions, and what role it plays in between leadership styles (transactional and transformational) and turnover intentions.

Design/Methodology/Approach: A cross-sectional exploratory study was conducted to determine the concepts and relationships. Standardized questionnaires were used to collect data from sample of 250 employees working at executive level from 20 small and medium Indian IT/ ITES organization situated in north Indian region [Delhi (3), Haryana, (7) UP (6), and Punjab (4)] on the basis of financial turnover (Rs. 50–100 Cr.) and size of the organization from 50 to 100 employees. Data were analysed by using SPSS-23 with Hayes Process Plugin and Amos-21software.

Findings: A significant negative relation of transactional leadership style and transformational leadership with employee turnover intentions was observed. Also, both the leadership styles were positively associated with KMP and KMP was again negatively linked with employee turnover intentions. Mediation analysis also indicated the full mediation of KMP but only for transformational leaders and played no role in case of transactional leadership. The effects were significant at 95% of confidence level.

Practical Implications: Employers struggling with turnover intentions must emphasize on hiring effective leaders who can efficiently implement proper knowledge management systems, which include creating, sharing, absorbing, and receptivity of knowledge for executives..


Keywords

Turnover Intention, Transactional Leadership, Transformational Leadership, Knowledge Management, Leadership Style.
Subscription Login to verify subscription
User
Notifications
Font Size


  • Alshanbri, N., Khalfan, M., Noor, M. A., Dutta, D., Zhang, K., & Maqsood, T. (2015). Employees’ turnover, knowledge management and human recourse management: A case of nitaqat program. International Journal of Social Science and Humanity, 5(8),701– 706. https://doi.org/10.7763/IJSSH.2015.V5.543
  • Arab, R. M., & Mohammad, A. N. (2015). Transformationalleadership style and knowledge management relationship among tehran hospital libraries managers. IOSR Journal of Humanities and Social Science Ver. IV, 20(6), 63–71. https://doi.org/10.9790/0837–20646371
  • Abbasi, S. M., & Hollman, K. W. (2000). Turnover: The real bottom line. Public Personnel Management, 29(3), 333–342.
  • Abouraia, M. K., & Othman, S. M. (2017). Transformational leadership, job satisfaction, organizational commitment, and turnover intentions: The direct effects among bank representatives. American Journal of Industrial and Business Management, 7, 404–423.
  • Alzubi, Y. Z. W. (2018).Turnover intentions in Jordanian Universities: The role of leadership behaviour, organizational commitment and organizational culture. International Journal of Advanced and Applied Sciences, 5(1), 177–192.
  • Avolio, B. J., & Bass, B. M. (1999). Re-examining the components of transformational and transactional leadership using the multifactor leadership questionnaire. Journal of Occupational & Organizational Psychology, 72(4), 441–462.
  • Bass, B. M., & Riggio, R. E. (2006). Transformational leadership. Psychology Press.
  • Bass, B.M., & Avolio, B. J. (1995). Multifactor leadership questionnaire for research. Mind Garden, Redwood City, CA.
  • Das, P. (2017). Micro, Small and Medium Enterprises (MSME) in India: Opportunities, issues & challenges.
  • Great Lakes Herald, 11(1), 77–88. Retrieved from https://www.greatlakes.edu.in/herald/pdfs/ march-2017/article-5.pdf
  • Firth, L. (2003). How can managers reduce employee intention to quit? Journal of Managerial Psychology,19(2),170–187.
  • Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39–50.
  • Gul, S., Ahmad, B., Rehman, S. U., Shabir, N., & Razzaq, N. (2012). Leadership styles, turnover intentions and the mediating role of organizational commitment. Information and Knowledge Management, 2(7), 44–51.
  • Gwavuya, F. (2011). Leadership influences on turnover intentions of academic staff in tertiary institutions in Zimbabwe. Academic Leadership Online Journal, 9(2). Retrieved from http://www.academicleadership.
  • Gyensare, M. A., Otoo, E. A., Asare, J.-A., & Twumasi, E. (2016). Transformational leadership and employee turnover intention. World Journal of Entrepreneurship, Management and Sustainable Development, 12(3), 243–266. Retrieved from http:// dx.doi.org/10.1108/WJEMSD-02–2016–0008
  • Hana, U., & Lucie, L. (2011). Staff Turnover as a Possible Threat to Knowledge Loss. Journal of Competitiveness, (3), 84–98. Retrieved from http:// www.cjournal.cz/files/69.pdf
  • Hair, J. F., Black, W. C., Babin, B. J., et al. (1995). Multivariate data analysis. New Jersey: Pearson Prentice Hall,
  • Saeed, I., Waseem, M., Sikander, S., & Rizwan, M. (2014). The relationship of Turnover intention with job satisfaction, job performance, Leader member exchange, Emotional intelligence and organizational commitment. International Journal of Learning & Development, 4(2).
  • Jinuk, O., & Semi, O. (2017). Authentic leadership and turnover intention: Does organizational size matter?Leadership & Organization Development Journal. Retrieved from https://doi.org/10.1108/LODJ-08–2016–0209
  • Kerdngern, N., & Thanitbenjasith, P. (2017). Influence of contemporary leadership on job satisfaction, organizational commitment, and turnover intention: A case study of the construction industry in Thailand. International Journal of Engineering Business Management, 9, 1–8.
  • Khan, S. I. (2015). Using transformational leadership to predict employees’ turnover intention: The mediating effects of trust and employees’ job performance in Bangkok, Thailand. Academic Services Journal Prince of Songkla University, 26(1).
  • Long, C. S. et al. (2012). Leadership Styles and Employees’ Turnover Intention: Exploratory Study of Academic Staff in a Malaysian College. World Appl. Sci. J., 19(4), 575–581.
  • Linhartová, L., & Urbancová, H. (2011). Employee turnover and maintaining knowledge continuity in large and small organisations. Ekonomická Revue Central European Review of Economic Issues, 14(4), 265–274. Retrieved from https://doi.org/10.7327/cerei.2011.12.03
  • Masood, K., Shahzad, C., Nosheen, R., & Awais, K. (2011). Effects of self-leadership, knowledge management and culture on creativity. Business and Management, 3(8), 1–12. Retrieved from http://iiste.org/Journals/index.php/EJBM/article/view/596
  • Minavand, H. (2013). The impact of project managers’ leadership style on employees’ job satisfaction, performance and turnover. IOSR Journal of Business and Management,11(6), 43–49.
  • Mobley, W. H. (1982). Employee turnover: Causes, consequences, and control. Reading, MA: Addison-Wesley.
  • Nanjundeswaraswamy, T. S., & Swamy, D. R. (2014). Leadership styles. Advances in Management, 7(2), 57–64.
  • Ngethe, J. M., Namusonge, G. S., & Iravo, M. A. (2012). Influence of leadership style on academic staff retention in public universities in Kenya. International Journal of Business and Social Science,3(21).
  • Novak, R., Roblek, V., & Devetak, G. (2013). Relation between knowledge management and turnover in slovenian micro and small start-up organisations. Organizacija, 46(3), 99–107. Retrieved from https://doi.org/10.2478/orga-2013–0008
  • O’brien, R. (2007). A caution regarding rules of thumb for variance inflation factors. Quality & Quantity, 41(5), 673–690.
  • Puni, A., Agyemang, C. B., & Asamoah, E. S. (2016). Leadership styles, employee turnover intentions and counterproductive work behaviours. International Journal of Innovative Research and Development, 5(1), 1–7.
  • Roblek, V., Štok, Z. M., Meško, M., & Erenda, I. (2013). Factors of knowledge management and the impact of employee turnover in activity and performance in Scientific and technological parks in Slovenia. Journal of Information and Organizational Sciences, 37(1), 63–72. Retrieved from https://doi.org/10.2139/ssrn.2283573
  • Shapiro, S. S., & Wilk M. B. (1965). An analysis of variance test for normality (complete samples). Biometrika, 52(3–4), 591–611.
  • Siew, L. K. (2017). Analysis of the relationship between leadership styles and turnover intention within small medium enterprise in Malaysia. Journal of Arts & Social Sciences, 1(1), 1–11.
  • Soojin, K., Nam, K. J., & Yunna, R. (2017). Determinants of employee turnover intention: Understanding the roles of organizational justice, supervisory justice, authoritarian organizational culture and organization employee relationship quality. Corporate Communications: An International Journal, 22(3), 308–328.
  • Steiger, H. J. (1990). Structural model evaluation and modification: An interval estimation approach. Multivariate Behavioral Research, 25(2), 173–180.
  • Sanjeewani Dasanayaka, R., & Kuruppuge, R. H. (2015). Staff turnover as a strategy of knowledge management: Empirical evidence from information technology industry in Sri Lanka. Journal of Intercultural Management, 7(2), 151–163. Retrieved from http://doi.org/10.1515/joim-2015–001

Abstract Views: 414

PDF Views: 0




  • Knowledge Management-A Mediating Link between Leadership Styles and Employee Turnover Intentions in Small and Medium Scale IT/ITES Organizations of North Indian Region

Abstract Views: 414  |  PDF Views: 0

Authors

Anchal Luthra
Department of Management Studies, SRM University, Haryana, India
Kavita Singh
Department of Management Studies, SRM University, Haryana, India

Abstract


Purpose: The purpose of this paper is to address three of the theoretical and empirical questions on two main leadership styles – transformational and transactional leadership – what effect both transformational and transactional leadership have on employees’ turnover intentions of executives working in Small and Medium IT/ITES organizations of north Indian region, what is the direct effect of implementation of knowledge management process (KMP) on employee turnover intentions, and what role it plays in between leadership styles (transactional and transformational) and turnover intentions.

Design/Methodology/Approach: A cross-sectional exploratory study was conducted to determine the concepts and relationships. Standardized questionnaires were used to collect data from sample of 250 employees working at executive level from 20 small and medium Indian IT/ ITES organization situated in north Indian region [Delhi (3), Haryana, (7) UP (6), and Punjab (4)] on the basis of financial turnover (Rs. 50–100 Cr.) and size of the organization from 50 to 100 employees. Data were analysed by using SPSS-23 with Hayes Process Plugin and Amos-21software.

Findings: A significant negative relation of transactional leadership style and transformational leadership with employee turnover intentions was observed. Also, both the leadership styles were positively associated with KMP and KMP was again negatively linked with employee turnover intentions. Mediation analysis also indicated the full mediation of KMP but only for transformational leaders and played no role in case of transactional leadership. The effects were significant at 95% of confidence level.

Practical Implications: Employers struggling with turnover intentions must emphasize on hiring effective leaders who can efficiently implement proper knowledge management systems, which include creating, sharing, absorbing, and receptivity of knowledge for executives..


Keywords


Turnover Intention, Transactional Leadership, Transformational Leadership, Knowledge Management, Leadership Style.

References