The Impact of Transformational Leadership on Team Performance with Mediating Effect of Emotional Intelligence and Moderating Effect of Employee Trust in NGOs Sector of Islamabad, Pakistan

Abstract

Transformational leadership has been widely discussed because of its significant impact on organizations, especially concerning the performance of the teams. In today’s world emotional intelligence is a critically important skill for effective transformational leadership and team performance. Therefore, the study's objective is directed towards establishing a correlation between transformational leadership and team performance. This research considers the role of employee trust in the relationship between transformational leadership and team performance and how it mitigates the mediating role played by emotional intelligence. The study utilized valid instruments to measure the key constructs. The sample size for the study consisted of 356 manager-level employees of non-governmental organizations (NGOs) in Islamabad, Pakistan. Simple random sampling was applied in the research, whereby posed questions in the questionnaires provided direct data collected from the respondents. The results are analyzed by employing the statistical i.e. SPSS and SMART PLS techniques to see the regression, correlation and descriptive analysis of the dataset. The findings of this study have confirmed that transformational leadership has a significant positive impact on team performance. The findings also indicate that emotional intelligence mediates the relationship between transformational leadership and team performance. The implications of the study are significant to the organizations, especially in the development of transformational leadership skills such as inspiration, setting of a vision and individualized consideration. The implications for organizations include designing such leadership development programs that emphasize emotional intelligence and trust-building to form teams for delivering high performance.