Uncovering the Significance of Transformational Leadership in Islamic-Based Institutions: A Systematic Exploration

Abstract

Studies on transformational leadership have shown to be beneficial for employees and organizations, particularly those with an Islamic foundation. Islamic elements present within Islamic institutions seem to have different viewpoints regarding the numerous implications of transformational leadership. To have a clear understanding of the transformational leadership presence in Islamic-based institutions, it is crucial to compile prior literature. Then will ensure the efficiency on effectiveness of transformational leadership in Islamic-based institutions for future reference. Regrettably, there has yet to be enough research that thoroughly reviews the body of knowledge on transformational leadership implications for employees in Islamic-based institutions. Therefore, a thorough literature assessment on the impact of transformational leadership on employees in Islamic-based institutions was conducted in this project. This study used the PRISMA (Preferred Reporting Items for Systematic Reviews and Meta-Analyses) review approach to guarantee that the results were of high quality. Two eminent databases, Scopus and Web of Science, as well as one auxiliary database, Google Scholar, were used to retrieve the articles. Two key topics were found through thematic analysis, including 1) employee performance and effectiveness, and 2) employee ethical behavior. Six sub-themes were then created by combining these two primary themes. This research will add to the body of knowledge currently available in the fields of transformational leadership and practical application in institutions with an Islamic foundation. The following are the study's key contributions: 1) pinpointing the beneficial effects of transformational leadership towards employees in Islamic-based organizations, and 2) formulating recommendations for more research in this area.