Nexus between Transformational Leadership and Organizational Performance: Systematic Review

Abstract

This research examines the relationship between transformational leadership and employee performance through an extensive literature review from 2019 to 2023. Grounded in James Macgregor Burns' transformational leadership theory, the study examines the multifaceted dimensions of leadership and evaluates organizational performance metrics. Distinctive features of the transformational leadership style, defined by idealized influence, inspiring motivation, intellectual stimulation, and personalized consideration, are scrutinized in light of their impact on employee outcomes. Transformational leadership emerges as a focal point, with the study highlighting its positive effect on organizational outcomes, including culture and vision. Case studies across diverse geographical locations, such as Pakistan, Nigeria, Jordan, and others, consistently reveal a strong correlation between transformational leadership and organizational success.