The role of transformational leadership on implementing manufacturing strategy: an empirical study

Abstract

Leaders exhibiting transformational behaviours introduce advanced technologies in the key functions of the organisations (for example, production and operations management functions) and implement strategies to achieve and sustain competitive advantage. Studies investigating the associations between transformational leadership and manufacturing strategy are rarely documented in the operations management literature. In this direction, the purpose of this study is to investigate at what extent transformational leadership behaviours explain the implementation of manufacturing strategy with the help of data collected from 172 Indian manufacturing companies. Results of exploratory factor analysis showed that these companies implement manufacturing strategy in the forms of flexibility, quality and cost strategy. Results of hierarchical regression analyses proved that certain transformational leadership components have positive associations with flexibility, quality and cost strategy. Implications for theory and practice are also offered.