Effect of transactional and transformational leadership on talent engagement: Mediating role of talent development

Abstract

Leadership is an essential antecedent to talent development and engagement, but there is a dearth of literature related to transactional or transformational leadership and talent management (TM). The paper investigates the impact of transactional and transformational leadership on talent engagement and the mediating role of talent development between them. Based on a cross‐sectional survey of 450 employees, the study employs structural equation modeling using social exchange theory as a lens to test the hypothesized relationship among transactional leadership, transformational leadership, talent development and engagement. The results confirmed that transactional leadership is positively related to talent engagement and development while transformational leadership is neither associated with talent engagement nor talent development. Moreover, talent development mediates the relationship between transactional leadership and talent engagement. The study outcomes are helpful to managers and leaders in comprehending the significance of transactional leadership in developing and engaging talents.

Disentangling the relationships between talent management, organizational commitment and turnover intention: Evidence from higher educational institutions in India

“…Third, future studies may focus on the effect of transformational leadership and transactional leadership in talent management. A recent study reported that transactional leadership had a significant effect on talent development and transformational leadership did not have any effect on talent management (Ali et al., 2023). However, the role of leadership style on talent management and turnover intention are worth investigation by future scholars.…”

“…Talent management has received increasing attention from academicians and practitioners in the field of human resource management (HRM) over the last two decades (Ali et al., 2023; Ashton & Morton, 2005; Boštjancic & Slana, 2018; Collings & Mellahi, 2009; Painter‐Morland et al., 2019; Pandey et al., 2019; Tymon et al., 2010). In addition, several researchers have empirically demonstrated the positive outcomes of talent management in various sectors, such as hospitality, information technology, medicine, and public sector organizations (Hoffman, 2010; Hughes et al., 2008; Mathew, 2015; McDonnell, 2011; Nazari et al., 2014; Swailes, 2013).…”

“…Previous researchers reported that “talent management remains a silo‐driven and disjointed endeavor” (Toterhi & Ricardo, 2013: p. 22) because of poor strategy, lackluster processes and ineffective talent management by the leaders. A growing body of current literature emphasized the importance of talent management in organizations (Ali et al., 2023; Kumar, 2021).…”

“…First, the literature is rich, consisting of several studies documenting numerous findings on talent management influencing organizational performance (Collings et al., 2019; Harsch & Festing, 2020; Kim et al., 2014; King & Vaiman, 2019; Whysall et al., 2019). However, there is a shortage of studies focusing on applying talent management in higher educational institutions (HEIs) (Ali et al., 2023; Farooq et al., 2017; Mohammed et al., 2020). Secondly, previous studies considered talent management as a global measure consisting of five dimensions: talent recruitment strategies, talent acquisition, talent development, talent engagement, and talent retention.…”

The impact of entrepreneurial leadership on the project success: the mediating role of knowledge-oriented dynamic capabilities

“…, 2022). Furthermore, transformational leadership improves adaptivity and enables the organization to facilitate the simultaneous execution of opportunities (Ali et al. , 2023).…”