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The purpose of this paper is to examine how transformational leadership may relate to corporate entrepreneurship by adopting a multilevel approach. The authors also theorized and tested the top-down and bottom-up intermediate process linking transformational leadership and corporate entrepreneurship.

Multisource data across different timeframes were collected from 129 managers and 244 employees from 55 units of 27 firms.

The results showed that transformational leadership and corporate entrepreneurship were positively related at the unit level. Furthermore, unit-level collective efficacy mediated the relationship between unit-level transformational leadership and unit-level corporate entrepreneurship. The authors also found that the firm-level empowerment climate moderated the indirect effect of unit-level collective efficacy on the relationship between unit transformational leadership and unit-level corporate entrepreneurship.

First, the goal of this study is to extend the single focus of transformational leadership on corporate entrepreneurship (e.g. Ling et al., 2008) and develop a more thoughtful approach on determining how transformational leaders influence corporate entrepreneurship across levels. This study responds to calls for research to look at the impact of unit-level transformational leaders, such as middle managers, across levels (Ren and Guo, 2011) and creates a multilevel framework in which transformational leaders at the unit level influence the appearance of corporate entrepreneurship at the unit level.

The purpose of this paper is to explore the role of mediation and moderation mechanisms between firm-level effects of transformational leadership (TFL) on unit-level performance across levels.

The authors used surveys to collect data from 800 senior managers at the firm level and 1,377 unit managers from 800 units of 100 firms from semiconductors, optoelectronics, computer electronics, and telecommunications industries. The industries were chosen because these firms focus on expanding their businesses and encourage extensive knowledge sharing among the firms and at all levels within the organizations.

In this study, the authors theorized that firm-level effects of TFL on unit-level performance across levels were positively related to unit-level performance. Unit-level knowledge sharing mediates the positive relationship between firm-level TFL and unit-level performance. A cross-level interaction effect of firm-level TFL and unit-level absorptive capacity showed that a positive unit-level absorptive capacity enhanced firm-level influence of TFL on unit-level knowledge sharing. Unit-level absorptive capacity moderates the positive relationship between unit-level knowledge sharing and unit-level performance.

First, the authors attempt to integrate the leadership and knowledge management research by exploring the critical mediator of unit-level knowledge sharing in explaining the effects of firm-level TFL on employees’ performance at the unit level. This approach is important because it extends the research areas of the two fields, and also clarifies issues regarding how and why TFL at the top of the organization positively impacts the performance of employees at a lower level of the organizational hierarchy. Second, the effectiveness of firm-level TFL depends on the absorptive capacity of each unit. The importance of absorptive capacity and the consequences of leadership behaviors have been emphasized in studies.

The study investigates the experience and significance of strategic factors in organizational innovation (OI) and organizational learning (OL). The study also examines the impact of OI and OL on organizational performance.

The study takes a quantitative approach, with cross-sectional data collected to achieve its purpose. The respondents are CEOs of different organizations. The data collection tool, a survey questionnaire, is applied to a random sample. In total, data from 360 usable cases are analyzed to infer the results.

After employing structural equation modeling (SEM), the study findings reveal the positive and significant impact of strategic factors on OI and OL, with these factors comprising personal mastery, transformational leadership, a shared vision, proactivity, and the environment. Furthermore, OI and OL have a positive and significant impact on organizational performance.

The study's findings may reinforce knowledge of the different strategic factors/capabilities needed to attain a satisfactory level of organizational capabilities and, consequently, may increase organizational performance and encourage entrepreneurship. An investigation of these factors may impart benefits to an organization, such as becoming more innovative or providing a boost to learning. Managers of organizations may generate circumstances to make it easier to achieve the growth of these strategic factors/capabilities.

The study's findings may help to develop a better understanding of strategic factors, OI, OL, and organizational performance, particularly in a developing country context.

The purpose of this paper is to examine, theoretically and empirically, whether an employee training program can enhance the collective perception of empowerment of work units within an organization. The authors hypothesized that training participation relates to empowerment by enhancing the potency, meaningfulness, impact, and autonomy of the employees.

The authors collected data at two time points, before and after the training intervention. Over the two periods, the sample consisted of an average of 2,383 employees nested in 36 work units of a large multinational company.

The results indicated a positive relationship between training participation and increased levels of collective psychological empowerment, with differential effects on the dimensions of empowerment.

This study provides evidence of the positive relationship between training and empowerment, suggesting training effects across levels of analysis. The results indicated dimensions of empowerment that are more and such that are less prone to training. Such knowledge may help to inform organizations in developing training strategies. The authors provide recommendations for a respective training program.

This is one of the first studies to investigate the relationship between training participation of individual employees and shared empowerment perceptions within their work units, adding an important antecedent to the research on empowerment. In addition, the authors propose ways of how individual employees can affect shared perceptions among work-unit members. The study offers insights into the development of empowered work units, the vertical transfer of training across levels of analysis and implications for training programs.

Organizational researchers have become increasingly interested in multi-level constructs – that is, constructs that are meaningful at multiple levels of analysis. However, despite the plethora of theoretical and empirical work on multi-level topics, explicit frameworks for validation of multi-level constructs have yet to be fully developed. Moreover, available principles for conducting construct validation assume that the construct resides at a single level of analysis. We propose a five-step framework for conceptualizing and testing multi-level constructs by integrating principles of construct validation with recent advancements in multi-level theory, research, and methodology. The utility of the framework is illustrated using theoretical and empirical examples.

The purpose of this paper is to test a multilevel model, supported by an ambidexterity perspective, to examine the process linking high-performance work systems (HPWS) and organizational ambidexterity using both unit- and firm-level analyses.

The author collected multisource and multilevel data from 346 employees and 184 managers of 33 electronic engineering firms.

The results revealed that unit HPWS were positively related to unit organizational ambidexterity. The author considers that the role of firm-level transformational leadership (TFL) is to create a climate of autonomy that can be delegated to promote organizational ambidexterity within units. Furthermore, a firm-level empowerment climate moderates the effect of unit-level HPWS on a unit’s organizational ambidexterity. The author contributes to the research on leadership and ambidexterity by revealing the impact of HPWS as experienced in the unit- and of firm-level TFL. The author also identify boundary conditions for pursuing unit organizational ambidexterity.

Responding to the call for more research into the effects of the empowerment climate on employees’ behaviors and the behavioral outcomes of employees, this research reveals that not only is the macro perspective of HPWS at the organizational level useful to promote ambidextrous activities at lower levels, but also that the unit experience of HPWS more directly affects employees’ behaviors in engaging in the search for new opportunities for new products/services and refining current products simultaneously at the unit level. The broader implication is that the effectiveness of HPWS as an antecedent for organizational ambidexterity (Gibson and Birkinshaw, 2004; Kang and Snell, 2009) depends on the unit experience of HPWS being used to influence autonomous employees to actively undertake ambidextrous activities at the unit level.

The purpose of this paper is to examine the extent to which racioethnicity influences perceptions of inclusion (i.e. information sharing, collective efficacy, satisfaction and relationship conflict) when working in racially heterogeneous groups.

Individuals were placed in groups in order to participate in ethical-decision making tasks.

Results reveal that individuals representing varied racioethnic groups are in general satisfied working in racially heterogeneous groups. However, reports of relationship conflict and information sharing varied as a function of racioethnicity.

The authors discuss possible rationales for differences in how racioethnic groups perceive and experience group processes over time as well as practical implications for social psychology and diversity in teams.

Team composition research considers how configurations (e.g., team-level diversity) of team members’ attributes (e.g., personality, values, demographics) influence important outcomes. Our chapter describes key issues in understanding and effectively managing team composition over time.

We discuss how context shapes team composition. We review empirical research that examined relationships between team composition, and team processes and emergent properties over multiple time points. We review research that examined how composition can be effectively managed over the lifecycle of a team.

Context shapes the nature of team composition itself (e.g., dynamic composition). To the extent that membership change, fluid boundaries, and multiple team membership are present should be accounted for in research and practice. The research we reviewed indicated no, or fleeting effects for surface-level (e.g., demographics) composition on the development of team processes and emergent properties over time, although there were exceptions. Conversely, deep-level composition affected team processes and emergent properties early in a team’s lifespan as well as later. Team composition information can be used in staffing; it can also inform how to best leverage training, leadership, rewards, tasks, and technology to promote team effectiveness.

Teams are the building blocks of contemporary organizations. Understanding and effectively managing team composition over time can increase the likelihood of team.

Our chapter provides novel insights into key issues in understanding and effectively managing team composition over time.

The use of teams has increased significantly over the past two decades, with recent estimates suggesting that between 50% and 90% of employees work in some kind of team. This chapter examines the implications of this trend for the literature on organizational justice – the study of fairness perceptions and effects in the workplace. In particular, we explore three specific research questions: (1) Will the justice effects observed in individual contexts generalize to team contexts and member-directed reactions? (2) Will the justice experienced by specific teammates have direct or interactive effects on members’ own reactions? (3) Will the justice experienced by the team as a whole impact reactions at the team level of analysis? Our review of almost 30 studies suggests that each question can be answered in the affirmative, illustrating that team contexts can magnify the importance of justice in organizations.

Using social identity theory, the authors hypothesize that transformational leadership (TL) leads to better person-organization fit (P-O fit), which in turn contributes to the emergence of organizational social capital (i.e. OSC). Furthermore, the authors suggest that the relationship between P-O fit and OSC is contingent upon the level of TL. The paper aims to discuss these issues.

Field study data were used to test the hypotheses. In total, 336 employees from eight different service sector organizations in Pakistan participated in this study. Hierarchical linear modeling was used to analyze the data.

In support of the hypotheses, the authors found that TL was positively related to both P-O fit and OSC. Also, P-O fit mediated the TL-OSC relationship. Finally, TL moderated the relationship between P-O fit and OSC.

Cross-sectional data were collected through self-reports, which raises concerns of reporting bias.

Managers can benefit from the study by focusing on TL as a vehicle for not only achieving change, but also for creating an environment that facilitates better P-O fit and enhanced OSC.

This study provided a rare opportunity to examine the proposed relationships in a developing country. This enhances our insight into the efficacy of theories that have been mainly developed and tested in developed countries.

Previous research hypothesized P-O fit as a mediator between leadership and performance, yet failed to receive support. The current study is unique by demonstrating that TL, as a relational leadership style, contributes to building an important resource (OSC) through the mediating effect of P-O fit.