Examining the Psychometric Properties and Validating the Multi- Dimension Ethical Leadership Instrument in Banking Sector of Pakistan

Abstract

This study examines the psychometric properties and validation of the multi-dimensional instrument of ethical leadership encompassing orientation, fairness, power-sharing, ethical guidance, role clarification and integrity dimensions in the banking sector of Pakistan. For the data collection purpose, five hundred questionnaires were distributed to the employees of banks in the province of Sindh, Pakistan based on multi-stage cluster sampling. A total of one hundred ninety-one usable questionnaires were received. The Partial Least Squares (PLS) path modeling was adopted to analyze the data using Smart-PLS 2.0. The findings revealed that all the ethical leadership dimensions considered in the study were highly relevant. The results of the study also demonstrate an adequate level of internal consistency, reliability, convergent validity and discriminant validity for each of the dimensions. This study has confirmed that the ethical leadership instrument could be useful in measuring ethical leadership construct in the service sector. The study findings established that ethical leadership dimensions demonstrate adequate psychometric properties in the banking sector of Sindh, Pakistan.