Abstract
This study aims to examine the role of the transformational leadership (TL) style of accounting professionals towards subordinates’ performance, organizational citizenship behaviour (OCB), and innovation with the mediating role of integrity and thriving at the workplace in Karachi. A clustered sample of 471 accounting professionals has participated in the research based on the nonprobability convenience sampling method. A five-point Likert scale questionnaire was developed as a data collection instrument while the survey method was used to collect responses from the sample population. PLS-SEM has been employed in the study for data analysis using Smart PLS. The results demonstrate that integrity has a positive effect on performance, OCB has a negative but insignificant effect on performance whereas TL has a positive effect on integrity, integrity at the workplace (IWB), and thriving at the workplace. As far as mediation effects are concerned, it was found that TL has a positive effect on IWB with the mediation of thriving at the workplace, has a positive but insignificant effect on OCB with the mediation of thriving at the workplace, has a positive effect on performance with the mediation of integrity, has a positive but insignificant effect on performance with the sequential mediation of thriving at workplace and OCB, and has a positive effect on performance with the mediation of thriving at the workplace. Furthermore, thriving at the workplace has a positive effect on IWB and performance, and has a positive but insignificant effect on OCB as well as has a positive but insignificant relationship with the mediation of OCB and TL. The study findings propose that the managers should focus on developing a conducive network to help the organization strive. Moreover, the focus should be driven towards employees’ learning to share their views with fellow auditors whereas the controllers should discuss the intended primary purposes and nature of organizational financial targets.
Highlights
Rapid globalization has opened numerous avenues for each sector to grow and every field to be prospered
We proposed the following two hypotheses: H1a: Transformational leadership has a positive effect on integrity
The study results showed that organizational citizenship behaviour (OCB) has an insignificant and positive effect on performance
Summary
Rapid globalization has opened numerous avenues for each sector to grow and every field to be prospered. The increasing exchange of information and knowledge has been playing a significant role in the adoption of modern techniques and efficient utilization of resources in a useful manner (Rezaee et al, 2020). CMAs (Chartered Management Accountants) and CAs (Chartered Accountants) have their grooming in an environment greatly structured by the protocols. The structured upbringing makes them guru of catching a slight deviation from the standard accounting procedures. The problem arises when the increased competition forces them to venture out into the wilderness for which they are untrained. Leaders strong on the technical side, but weak in soft skills do not have the chance of a safe voyage in the troubled water of the dynamic markets (Kim et al, 2012)
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