47-psychological climate and transformational leadership as predictors of organizational...

7/31/2019 47-Psychological Climate and Transformational Leadership as Predictors of Organizational Effectiveness

1/22

Management & Change, Volume 12, Number 2 (2008)

PSYCHOLOGICAL CLIMATE AND

TRANSFORMATIONAL LEADERSHIIP AS

PREDICTORS OF ORGANIZATIONAL

EFFECTIVENESS

Soumendu Biswas

Perceptions of an employee about his/her work environment

play a predictive role in determining his/her level of job

satisfaction. Similarly, managerial leadership that is based on

leader-member trust and non-formal methods of communication

also increases meaningfulness of job interpretation. This in turn

leads to improved individual performance which, when

summated, leads to overall improvement in organizational

effectiveness. The paper attempts to study influence ofpsychological climate and transformational leadership on job

satisfaction which in turn leads to better levels of employee

performance. Furthermore, it is postulated that in such a

general climate of enhanced employee performance, there shall

be an increase in organizational effectiveness. Data for the

present study were collected from manufacturing as well as

service sector organizations all over India. The results and their

theoretical and practical implications are discussed in detail.

Key words: Psychological climate, transformational leadership,

job satisfaction, employee performance,

organizational effectiveness.

INTRODUCTION

Increasing global spread of business and greater participation of multi-national

corporations (MNCs) in developing markets, calls for greater attentiontowards management practices in different parts of the world (Budhwar,

2003; Napier & Vu, 1998). In this context, it is worth mentioning that among

the rapidly expanding economies of the world, India holds a prominent position.

(Biswas, Giri, & Srivastava, 2006; Budhwar & Boyne, 2004). It is evident

thus that global changes have made a significant impact on the Indian

economy as well.

Moreover, Chauhan, Dhar, and Pathak (2005) observed that change

Management & Change, Volume 12, Number 2 (2008) 2008 IILM Institute for Higher Education. All Rights Reserved.


2/22

www.IndianJournals.com

MembersCopy,NotforCommercialSale

Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


per se is a routine affair in contemporary business scenario; what is more

important is a recognition of the fact that managerial efficacy needs to keep

pace with such rapid transformations. Furthermore, it appears that in the

era following South East Asian financial crisis of 1997-98 (World Bank,

2001) and in accordance with the report published by Goldman Sachs

investment bank (2003), India along with Brazil, Russia, and China is poised

to be a major player in the world business scenario.

Indigenous culture and behavioral aspects of business. In continuation

with the discussion about swiftly evolving economies such as India, it is

necessary to examine cultural factors that affect behavoural features of

managerial effectiveness in the organizational context (Biswas, 2006). This

viewpoint is further corroborated by an earlier study by Zurcher (1968)

wherein it was mentioned that in a cross-cultural context it is necessary to

study behavioural constructs especially with the continuous growth of

worldwide commercial operations.

With reference to India in particular, it has been observed that its national

culture has a rich heritage which is helpful in clarifying different human

actions. It is further understood that these cultural facets are deeply ingrained

in individual psyche and are relevant in positive cognition and effect of

individuals at the workplace (Rao & Abraham, 2003). At the same time,

indigenous culture of India has been all along been receptive to accept alien

customs and mores while preserving its distinctive values and rules (Biswas

et al., 2006). This has established Indian social order as a classic exampleof oriental world. In terms of crossvergent socio-cultural ethos, India thus

stands as a leader in establishing norms and practices that dominate

managerial practices in contemporary borderless business environment

(Ralston, Holt, Terpstra, & Kai-Cheng, 1997). In a cross-cultural framework,

the above discussion indicates that stature of India is quite elevated in global

socio-economic map. So much so, that Varma, Budhwar, Biswas, and Toh

(2005) noted that Indias traditional cultural systems are acting as fulcrum

for the South East Asian business environment.

To continue, England and Lee (1974) noted that during periods of

environmental turmoil, societies in emergent economies such as India tend

to follow a path that leads to stability. This further implies that in a bid to

maintain internal homogeneity and acclimatize to the external changes, society

focuses on retaining certain behavioural aspects that are indigenous and at

the same time give way to a certain level of novelty. Given that organizations

operate within the domains of societal norms and values, it is evident that

48 Psychological Climate and Transformational Leadership ....


3/22


behavioral aspects of managing organizations call for further study. Based

on this supposition, objective of the current study was formulated wherein

interrelationship between five behavioural constructs were examined namely,

psychological climate, transformational leadership, job satisfaction, employee

performance, and organizational effectiveness. More specifically, the present

study investigates causal impact of psychological climate and transformational

leadership on organizational effectiveness through job satisfaction and

employee performance which act as the mediators. In following section, itis attempted to make literature review of key variables.

THEORETICAL BACKGROUND

Before the introduction of the New Economic Policy (NEP) in 1991, Indian

business environment was characterized by dominance of firms in the

manufacturing sector. These firms, whether public or private, were usually

large organizations and were marked by mechanistic processes and rigid

practices (Biswas & Varma, 2007). In fact, firms belonging to the service

sector such as educational institutions, healthcare organizations, and media

and communications were basically owned by the state. This was a direct

consequence of Nehruvian welfare philosophy that emphasized pluralistic

utilitarianism. The fallout of such a socio-political arrangement was the lack

of emphasis on individual aspirations and expectations (c.f. Varma, et al.,

2005). Thus, till the privatization of the Indian economy in the early 1990s,

Indian organizations were extremely bureaucratic and were characterized

by one-way flow of decision-making from the top to the bottom. Indeed,Hofstede (2001) observed that such managerial philosophies and practices

are not uncommon in social cultures that are dominated by collectivism and

high power distance norms.

However, with the liberalization of the Indian business environment

managerial practices especially those related to cognitive and affective facets

of individual employees at the workplace underwent major alterations.

Furthermore, human resource (HR) practices in Indian firms have

experienced a sea change, as contemporary HR policies and practices are

designed in a manner that promotes individual involvement on-the-job and

encourages extra-role behaviour in addition to the in-role behaviour of

employees (Biswas, 2006; Budhwar & Khatri, 2001; Pattnaik & Biswas,

2005). As Biswas and Varma (2007; p.666) observed that HR practices in

India are increasingly geared towards improving the way individual

employees perceive their day-to-day working environment, or the way they

perceive the psychological climate in the workplace.

Soumendu Biswas 49


4/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


Thus, to understand the group of actions in relation to the administration

of members of an organization, the appropriate literature recommends an

investigation of those variables that are related to an individuals acuity a

propos their immediate workplace atmosphere based on their everyday

experiences (Schneider, 1975; Strutton, Pelton, & Lumpkin, 1993). In this

regard, it is worth noting that the relevant literature recommend the

examination of psychological climate as a primary antecedent of a variety

of individual-level outcomes such as organizational commitment, jobsatisfaction, job involvement, and organizational citizenship behaviour (James,

James, & Ashe, 1990; Parker, Baltes, Young, Huff, Altmann, Lacost, &

Roberts, 2003; Woodard, Cassill, & Herr, 1994). This article seeks to

empirically inspect these theoretical suggestions in the context of the Indian

management scenario.

Leadership refers to encouraging followers to track collective or at

least joint objectives that symbolize values and drive of both leaders and

followers (Krishnan, 2003). Thus, the concern for the need and requirements

of the followers is at the core of leadership principles and practices. In this

connection, Tichy and Devanna (1986) noted that the real need of followers

was fulfilled by leaders who did not utilize their followership to attain their

own ends, but who endeavoured towards realization of mutual development.

Burns (1978) further notes that such leadership, which may be termed a

moral leadership in itself could not be a driver of need fulfillment of the

followers unless it took the form of transformational leadership. According

to Burns (1978; p.20), transformational leadership occurs when one ormore person engage with others in such a way that leaders and followers

raise one another to higher levels of motivation and morality .

In continuation, literature reveals that transformational leadership is a

significant correlate of the amount of effort exerted by followers, leader-

member satisfaction, employee performance, and overall effectiveness of

individuals and by extension, of the organization (Bass, 1998). According to

Kirkpatricke and Locke (1996), the leaders vision and its implementation

through job indications positively affect subordinates performance and

attitudes. Thus, organizational policy makers should recognize that effective

courses of action can be devised if one keeps in mind role of transformational

leaders as a predictor of such guidelines and practices.

According to Bass and Avolio (1994), transformational leadership

contributes to organizations attempts at improving operations by optimal

utilization of its human resources. In order to do so, transformational leaders



5/22


must chalk out appropriate designs related to HR practices and policies that

are geared towards greater autonomy and augmented individual performance.

In this connection, it was observed that transformational leadership led to

follower-organization value congruence, which as a result, became a

significant source of various positive outcomes in organizational and human

resource management practices (Seltzer & Bass, 1990; Yammarino &

Atwater, 1997).

Job Satisfaction has been defined as a pleasurable or positive emotional

state resulting from the appraisal of ones job or job experience (Locke,

1976; p.1300). Wanous and Lawler (1972) identified several different

operational definitions of job satisfaction examining different facets of job

satisfaction and their combined effect in providing a general understanding

of the job satisfaction construct. Job satisfaction has been found to be a

multidimensional construct manifesting the emotional evaluations of

individuals regarding their expectations and how well they have been met.

Schnake (1983) conceptualized three dimensions of job satisfaction

representing its intrinsic, extrinsic, and social aspects. In effect, Schnakes

(1983) dimensions of job satisfaction cover cognitive and effective responses

made by individuals in connection to their work environment.

Literature suggested that there are two forms of work performance

in-role and extra-role (Brief & Motowidlo, 1986; Williams & Anderson,

1991; Wolfe Morrison, 1994). In-role performance referred to an employees

action to fulfil the requirements of his/her job description (Williams &Anderson, 1991), whereas extra-role performances were those that were

outside the formal role requirements and are at the employees discretion

(George & Brief, 1992).

Studies suggested that participatory management practices such as open

communication and participatory leadership style would be positively

associated with higher levels of employee performance on both the counts,

viz. in-role and extra-role performance. Indeed, such practices would enhance

an employees level of job satisfaction leading to better performance.

It was observed that culture pragmatists as well as culture purists were

interested in specifying relationships between abstracted concepts such as

culture, leadership, structure, and strategy with an overt emphasis of their

summated impact on organizational effectiveness (Smircich, 1983).

Researchers in organizational sciences acknowledged that the central theme

of organizational theory pertained to organizational effectiveness (Goodman

Soumendu Biswas 51


6/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


& Pennings, 1977). However, the main constraint in conceptualizing

effectiveness was that historically, it was a problem-driven rather than a

theory-driven construct. This implies that a single theory regarding

organizational effectiveness was hard to come by. Another difficulty in

conceptualizing organizational effectiveness emerging from the relevant

literature review was the array of criteria under which it was studied.

Campbell (1977), for example, listed some thirty criteria to describe


In general, organizational effectiveness was defined as the degree to

which an organization attains its short-term and long-term goals, the selection

of which reflects strategic constituencies, self-interest of the evaluator, and

life-stage of the organization (Robbins, 2001). However, it was also observed

that, positive managerial practices leading to satisfaction of employees with

their jobs led to increased employee efficacy in terms of performance which,

on the whole resulted in higher levels of organizational effectiveness.

Based on the discussion above, the following hypotheses were formulated

for the purpose of empirical testing:

H1: Psychological climate will have a significantly positive impact on

job satisfaction of individual employees at work;

H2: Transformational leadership style will positively and significantly

influence an individual employees level of job satisfaction;

H3: An employee with high level of job satisfaction will exhibit higherlevels of performance; and,

H4: Employee performance has a positive and significant effect on or

ganizational effectiveness.

The four hypotheses above are presented schematically in the path

Psychological

climate

Transformational

leadership

Organizational

effectiveness

H1

H2

H3Job

satisfaction

H4Employee

performance

Fig.1 The Path Model Associating the Latent Constructs



7/22


STUDY METHODOLOGY

Sample

For the purpose of the present study, data was collected, first through

randomly selecting Indian organizations, irrespective of their zonal locations,

through the Yellow Pages directory. Further, a random selection of twenty

organizations was made. Subsequently, the HR department of the selectedfirms was contacted in order to gain permission to collect data. Nine of the

twenty organizations agreed to participate in the survey research. A list of

participants who voluntarily agreed fill the survey questionnaires was then

collated. Based on the availability of the participants during the data collection

period, four hundred questionnaires were distributed. Of these, three hundred

and fifty seven participants returned completely filled-in and analyzable

questionnaires which were subsequently subjected to statistical procedures.

Thus, the response rate of the study was nearly 90 per cent.

For the study, participants who were managerial level employees in

their organization were selected. Three levels of managerial executives

were considered, that is, those belonging to the senior, middle, and junior

management cadres to fill the study questionnaire. It was found that the

average age of the participants was thirty-seven years. Moreover, they had

a mean work experience of eleven years. Out of these three hundred and

fifty seven participants, 83.9 per cent were male, while 16.1 per cent were

females. With respect to the designation of the participants, 7.3 per centbelonged to the senior level of management, 35.6 per cent to the middle

managerial level, and 57.1 per cent belonged to the junior management cadre.

Measures

To measure the major variables of the study, items were selected from

standardized questionnaires. The participants of the survey indicated their

choice of response through a five-point scale. Furthermore, respondents

demographic details were elicited through five items.

Psychological climate. It was was calculated using the Psychological

Climate Measure as reported by Brown and Leigh (1996). This scale

comprised six factors of psychological climate namely, supportive

management, role clarity, contribution, recognition, self-expression, and

challenge and included 21 items. The reliability measure of this scale was

found to be 0.83.

Soumendu Biswas 53


8/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


Transformational leadership. Transformational Leadershipwas measured

using the multifactor leadership questionnaire (MLQ) form 5X (Bass &

Avolio, 1995). Transformational leadership comprised five factors which

were idealized influence (attributed), idealized influence (behavioral),

inspirational motivation, intellectual stimulation, and individual

consideration and was manifested by 21 items. The Cronbachs alpha

of this scale was 0.93.

Job satisfaction. Job Satisfaction was measured using the 11 item Job

Satisfaction Instrument covering the three dimensions of satisfaction,

namely, intrinsic, extrinsic, and social satisfaction as reported by Schnake

(1983). Three items were used to measure extrinsic satisfaction, four

items to measure intrinsic satisfaction, and four items were used to

measure social satisfaction. The Cronbachs alpha for this scale was

0.85.

Employee performance. Employee Performance was measured using

Lynch, Eisenberger and Armelis (1999) Employee Performance Scale.

This scale comprised a total of 16 items, of which 9 measured in-role,

and 7 measured extra-role performance. Participants had to indicate

the most appropriate response within a range of 1 (strongly disagree) to

5 (strongly agree). The reliability index as represented by the Cronbachs

alpha was0.84.

Organizational effectiveness. Organizational effectiveness wasmeasured with the help of the 8-item scale used by Mott (1972). The

scaling of the items was different as each question measured a unique

domain of effectiveness, which in turn required different adjectives as

response choices. The Cronbachs alpha for this scale was 0.88.

Data analysis technique

Statistical Package for Social Science version 10.0 (SPSS 10.0) and

Analysis of Moments Structure (AMOS 4.0) were used to analyze the

data. The statistical analyses that were conducted included a measurement

and a structural equation model (SEM). The path model based on the

hypotheses emerging out of the review of literature was subjected to

structural equation analysis and fit tests. Apart from the regression analysis,

a variety of statistics including the normed Chi-square (2/d.f.), goodness-

of-fit, centrality parameters, and normed-fit-indices as provided by AMOS

4.0 (Arbuckle & Wothke, 1999) were utilized to achieve the results.



9/22


RESULTS AND ANALYSIS

In Table 1, the means, standard deviations, correlations, and the reliability

indices of the key variables of the study are described.It was found that

psychological climate correlated significantly with job satisfaction (r=0.63,

p


10/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


A review of literature related to Structural Equation Modeling (SEM)

procedures suggested that the level of significance is based on the critical

ratio (CR) of the regression estimate (Byrne, 2001). Thus, when CR values

are greater than or equal to 2.58, it indicates a 99 per cent level of

significance. However, when CR values are greater than or equal to 1.96

but less than 2.58, it indicates a 95 per cent level of significance.

Moreover, to calculate fit indices which explain relationships betweenhypothesized paths between latent constructs, AMOS 4.0 SEM procedures

was resorted to (Arbuckle & Wothke, 1999). For this purposemaximum

likelihood estimation (MLE) algorithm in order to determine the fit indices

was used.Hence, Goodness-of-Fit Index (GFI) and the Root Mean Square

Error of Approximation (RMSEA) were reported as the absolute fit

measures. According to Byrne (2001), absolute fit measures were used to

compare the hypothesized model and an absence of any othermodel. Thus,

the Tucker-Lewis Index (TLI), Normed Fit Index (NFI), and Comparative

Fit Index (CFI) are also mentioned. These indices indicate a comparison

between the model that was hypothesized and the model with maximum

constraints. Finally, normed chi-square value was also considered as an

acceptable measure of fit.

According to Hair, Andersen, Tatham, and Black (1998), recommended

fit values for GFI, TLI, NFI, and CFI are > 0.90. Likewise, while an RMSEA

of 0.0 indicates perfect fit, values that are less than 0.07 are considered as

good fits. The range of the normed chi-square is generally accepted as1.00 < normed chi-square < 3.00 (Hair et al., 1998). Finally, the Adjusted

Goodness-of-Fit (AGFI) as well as the Parsimony-adjusted Goodness-of-

Fit (PGFI) measures were also reported.

With regards to the present study, Table 3 shows the fit measures of the

proposed model. For the model as depicted in Figure 1, the normed 2

value is 2.31. The GFI is 0.91, which is above the recommended value. The

TLI is equal to 0.93, the NFI value is 0.90, and the CFI value is 0.94. These

values are also much above the recommended values for the respective

indices. With the threshold value of RMSEA being 0.07, the value of RMSEA

for the proposed model is 0.06. Finally, the AGFI and the PGFI values are

equal to 0.86 and 0.73, respectively.


REVENGE IS UNWISE

An eye for eye only ends up making the whole world blind.

- Mahatma Gandhi


11/22


Table 3 Fit Indices

Fit Indices GFI AGFI PGFI TLI NFI CFI RMSEA Normed

2

Proposed Model .91 .86 .73 .93 .90 .94 .06 2.31

Independence Model .19 .12 .17 .00 .00 .00 .23 20.73

DISCUSSION AND CONCLUSIONS

With reference to the opening paragraphs of the present study, one

understands that the introduction of a new economic policy resulted in major

changes in the economic behaviour of the citizens therein. According to

Cowling and Newman (1995), these types of socio-political upheavals lead

to environmental transitions which in turn affect organizations and their

members. Such changes in the business environment lead to quite a few

adjustments at the individual as well as the organizational level. At the

individual level, primary factor that is affected would be individual perceptionsabout ones immediate environment (Martin, Jones, & Callan, 2005). A

perception about ones immediate work environment is what is known as

psychological climate. Thus, changes in the business environment do have

an impact on psychological climate which in turn affects many other individual

behaviour and outcomes.

The present study takes a cue from these past conclusions and notes

that perceptions of organizational members become critical data forunderstanding and interpreting individual behaviour and attitudes. Such

understanding shows that climate variables, individually interpreted, become

pointers for an employees level of job satisfaction (Drexler, 1977). Similarly,

interaction between group members, supervisor subordinate relationship,

and an individuals own perception about his/her job description also play a

role in attitudinal outcome related to their job.

Work environment and its relatedness to work related attributes and

behaviour suggest that work-place climate has a significant consequenceon employees perception about the work context. In so far as the construct

of climate is concerned, and extensive studies have confirmed (Katz &

Kahn, 1978), that description of role clarity, supervisory support, and perhaps

more importantly, an employees perception about various human resource

policies and practices go to create a day-to-day environment of enjoyment

and satisfaction. The above arguments are corroborated through the

acceptance of the first hypothesis, that is, psychological climate will have a

Soumendu Biswas 57


12/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


significantly positive impact on job satisfaction of individual employees at

work.

As the discussion above points out, individual and group level behavioural

factors have significant impact on individual level outcomes. In this context,

Bryman (1992) found that an important predictor of individual level outcomes,

such as perceived extra effort at work, organizational citizenship behaviour,

and job satisfaction was transformational leadership. Similar to psychologicalclimate, transformational leadership was also found to influence employee-

related outcomes during periods of intense economic competition that required

higher levels of creativity and innovativeness (Howell & Avolio, 1993; Keller,

1992; Niehoff, Enz, & Grover, 1990). Thus, during these periods there are

higher expectations about goal achievement. Due to consequent role clarity

provided by transformational leadership, it is expected that these enhanced

goals shall be achieved and there is a general atmosphere of euphoric

anticipation which leads to higher levels of job satisfaction.

Moreover, transformational leaders are those who enthuse and inspire

their followers and base their relationship on mutual understanding and trust

which involves fruitful non-verbal communication. Such leadership behaviour

inculcates a sense of self belief and confidence in the followers. This in

turn, would make employees less lackadaisical and open to more meaningful

interpretation of their work related roles. This is the process by which

transformational leadership affects individual job satisfaction levels.

The argument posited above supports the findings of the results wherein

it was hypothesized that transformational leadership would significantly and

positively influence an employees level of job satisfaction, and where this

hypothesis was found to be true, and thus accepted.

In this connection, positive levels of psychological climate and

transformational leadership, leading to higher levels of individual employees

job satisfaction were hypothesized to lead to higher levels of employee

performance. This implied that satisfied employees who are themselves

enthused enough about their work roles will display higher levels of in-role

and extra-role performance. As Voss, Keller, Ellinger, and Ozment (2004)

observe that augmented job satisfaction would result in higher levels of

employee productivity in conjunction with employee group behaviour. Indeed,

in todays business environment, transformational leadership, by generating

higher levels of job satisfaction ensures that employees are more motivated

and that they perform even better.



13/22


In this context, what is posited to happen in a practical context is that an

employee who is satisfied with his/her job, that is, in other words enjoys job

satisfaction will definitely not wish to run down his/her status quo and

would strategize to maintain the same (i.e. current level of high job

satisfaction) by displaying continuous improvement with regards to in-role

as well as extra-role performance, the summation of which would reflect

his/her overall job performance as an employee. The above argument

presumes that job satisfaction improves employee performance within ambitof day-to-day organizational life.

The above arguments provide justification for acceptance of the third

hypothesis that an employee with high level of job satisfaction will exhibit

higher levels of performance.

In the context of a liberalized and globalized business environment,

there is a gradual shift of focus from manufacturing sector to service sector.

Apart from this, there is also a notable decline in union-related activities.

The fallout of this is a reduction in inter-departmental and/or inter-divisional

rivalries and antagonism and promotion of a culture where co-workers are

looked upon as internal customers. This has led to greater cordiality and

harmony at the workplace which has in turn, improved individual employees

perceptions about his/her immediate work environment, making them more

satisfied with his/her job. As a result, this has improved individual

performance the overall effect of which has been an enhancement of


Furthermore, with increasing competition and superior levels of

performance expectations, employees are now required to achieve higher

targets than before. Thus, element of challenge has increased in the present

work context and meeting these challenges are intrinsically rewarding and

satisfying at individual level and it encourages employees to perform better.

While the element of job satisfaction leading to better performance is clear

from this argument, what is also revealed is that in such a climate of overall

enhanced performance, there shall be a significant improvement in


The arguments presented above support the acceptance of the fourth

hypothesis that is, employee performance has a positive and significant effect

on organizational effectiveness.

With regards to the limitations of the present study, it is believed that the

Soumendu Biswas 59


14/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


predictor variables could have included organizational culture and its strength

in shaping up psychological climate. Future researchers in this area may

examine relationships among the variables of the present study and look

into the similarities and differences with respect to different industries,

ownerships, and types of products and also include organizational climate,

an organizational level construct along with psychological climate, an

individual level construct as a predictor for the outcomes presented in the

model of the present study.

REFERENCES

Arbuckle, J.L. & W. Wothke (1999)Amos 4.0 Users Guide. Chicago, IL:

Smallwaters Corporation.

Arogyaswamy, B. & C. M. Byles (1987) Organizational Culture: Internal

and External Fits, Journal of Management Studies, 13(4): 647

659.

Bass, B,M. (1998) Leadership and Performance Beyond Expectations.

New York: Free Press.

Bass, B.M. & B.J. Avolio (1994)Improving Organizational Effectiveness

through Transformational Leadership. Thousand Oaks, CA:

Sage Publications.

Bateman, T.S. & D.W. Organ (1983) Job Satisfaction and the Good Sol

dier: The Relationship between Effect and Employee Citizenship,

Academy of Management Journal, 26: 587-595.

Baysinger, B.D. & W.H. Mobley (1983) Employee Turnover: Individual

and Organizational Analysis. In Ferris, G.R. and K.M. Rowland (eds.)

Research in Personnel and Human Resource Management, vol. 1

(pp. 269-319). Greenwich, CT: JAI Press.

Biswas, S. (2006) Organizational Culture and Psychological Climate as

Predictors of Employee Performance and Job Satisfaction. PhD

Thesis, Indian Institute of Technology, Kharagpur.

Biswas, S. & A Varma (2007) Psychological Climate and Individual Per

formance in India: Test of a Mediated Model, Employee Relations,

29(6): 664-676.



15/22


Biswas, S.V.N Giri & K.B.L. Srivastava (2006) Examining the Role of

HR Practices in Improving Individual Performance and Organizational

Effectiveness. Management & Labour Studies, 31(2):111-133.

Brief, A. P. & S.J Motowidlo (1986) Prosocial Organizational Behaviours,

Academy of Management Review, 11: 710 725.

Bryman, A. (1992) Charisma and Leadership in Organizations. London:Sage Publications.

Budhwar, P.S. (2003) Employment Relations in India, Employee

Relations, 25(2):132-148.

Budhwar, P.S. & G. Boyne (2004) Human Resource Management in the

Indian Public and Private Sectors: An Empirical Comparison.

International Journal of Human Resource Management, 15(2): 346-

370.

Budhwar, P.S. & N. Khatri (2001) A Comparative Study of HR Practices

in Britain and India. International Journal of Human Resource

Management, 12(5): 800-826.

Burns, J.M. (1978)Leadership. New York: Harper and Row.

Business Week. (1986) Retrieved October 3, 2008 from http://www.businessweek.com

Campbell, J.P. (1977) On the Nature of Organizational Effectiveness. In

Goodman, P.S. and J. M. Pennings (eds.), New Perspectives on

Organizational Effectiveness. San Francisco: Josey-Bass.

Chauhan, V.S., U. Dhar & R.D. Pathak (2005) Factorial Constitution of

Managerial Effectiveness: Re-examining an Instrument in Indian

Context, Journal of Managerial Psychology, 20(1/2): 164-177.

Cotton, J. & J. Tuttle (1986) Employee Turnover: A Meta Analysis and

Review with Implications for Research, Academy of Management

Review, 11: 55-70.

Cowling, A. & K.Newman (1995) Banking on People: TQM, Service,

Quality, and Human Resources, Personnel Review, 24:25-41.

Soumendu Biswas 61


16/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


Dean, J.W. & S.A Snell (1991) Integrated Manufacturing and Job Design:

Moderating Effects of Organizational Inertia, Academy of

Management Journal, 34( 4): 776-804.

Drexler, J.A. (1977) Organizational Climate: Its Homogeneity within

Organizations,Journal of Applied Psychology, 62: 38-42.

Drucker, P.F. (1990)Managing the Non-profit Organization. New York:Harper & Row.

England, G.W. & R. Lee (1974) The Relationship between Managerial

Values and Managerial Success in the United States, Japan, India, and

Australia, Journal of Applied Psychology, 59: 411-419.

Farh, J.L., P.M Podsakoff & D.W. Organ (1990) Accounting for

Organizational Citizenship Behavior: Leader Fairness and Task Scope

Versus Satisfaction, Journal of Management, 16: 705-721.

Farrell, D. & C.E. Rusbult (1981) Exchange Variables as Predictors of

Job Satisfaction, Job Commitment and Turnover: The Impact of Re

wards, Costs, Alternatives, and Investments, Organizational

Behaviour and Human Performance, 27: 78-95.

George, J.M. & A.P Brief (1992) Feeling Good-doing Good: A Conceptual

Analysis of the Mood at Work-organizational Spontaneity Relationship,Psychological Bulletin, 112 (2): 310-329.

Goldman Sachs Investment Bank. (2003)Dreaming with BRICs: The Path

to 2050. Retrieved on May 3, 2008 from http://en.wikipedia.org/wiki/

BRIC.

Goodman, P.S. & J.M Pennings (1977) New Perspectives on

Organizational Effectiveness. San Francisco: Jossey-Bass.

Hair, J.F.H., R.E Anderson, R.L Tatham & W C Black (1998)Multivariate

Data Analysis (5th ed.). Engelwood Cliffs, NJ: Prentice Hall.

Harrington, H.J. (1987)Business Process Improvement the Breakthrough

Strategy for Total Quality, Productivity and Competitiveness. New

York: McGraw-Hill.



17/22


Hayes, H.R., H.C. Wheelright & K B Clark (1988) Dynamic

Manufacturing. Creating the Learning Organization. USA: Boek2

Antiquariaat.

Hofstede, G. (2001) Cultures Consequences (2nd Ed.). Thousand Oaks,

NJ: Sage Publications.

Howell, J.M. & B.J Avolio (1993) Transformational Leadership, Locus ofControl, and Support for Innovation: Key Predictors of Consolidated-

business-unit Performance, Journal of Applied Psychology, 78(6):

891-902.

James, L.R., L.A James & D.K. Ashe (1990) The Meaning of

Organizations: The Role of Cognition and Values. In Schneider ,

Benjamin (ed.) Organizational Culture and Climate, pp.40-84. San

Francisco, CA: Jossey Bass.

Katz, D. & R. Kahn (1978) The Social Psychology of Organizations

(2nd ed.). New York: John Wiley.

Keller, R.T. (1992) Transformational Leadership and the Performance of

Research and Development Project Groups, Journal of

Management, 18(3): 489-501.

Kirkpatrick, S.A. & E.A Locke (1996) Direct and Indirect Effects of ThreeCore Charismatic Leadership Components on Performance and

Attitudes, Journal of Applied Psychology, 81:36-51.

Klein, R. B. (1998) Principles and Practice of Structural Equation

Modeling. New York: Guilford.

Krishnan, V.R. (2003) Power and Moral Leadership: Role of Self-other

Agreement. Leadership & Organizational Development, 24(5/6):

345-351.

Locke, E.A. (1976) The Nature and Causes of Job Satisfaction. In

Dunnette , M.D (ed.), Handbook of Industrial and Organizational

Psychology, pp. 1297-1349. Chicago: Rand McNally.

Martin, A. J, E.S. Jones & V.J. Callan (2005) The Role of Psychological

Climate in Facilitating Employee Adjustment during Organizational

Soumendu Biswas 63


18/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


Change, European Journal of Work and Organizational

Psychology, 14(3): 263-289.

McEvoy, G.M. & W.F. Cascio (1985) Strategies for Reducing Employee

Turnover: A Meta-analysis, Journal of Applied Psychology, 70(2):

342-353.

Mobley, W.H. (1982) Employee Turnover: Causes, Consequences andControl. Reading, MA: Addison-Wesley.

Mobley, W.H., R.W. Griffeth, H.H. Hand, & B.M. Meglino (1979)

Review and Conceptual Analysis of the Employee Turnover Process,

Psy chological Bulletin, 86: 493-522.

Moorman, R.H. (1993) The Influence of Cognitive and Affective Based

Job Satisfaction on Relationship between Satisfaction and

Organizational Citizenship Behavior,Human Relations, 46: 759-776.

Napier, N.K., & V.T Vu (1998) International Human Resource

Management in Developing and Transitional Economy Countries: A

Breed Apart? Human Resource Management Review, 8(1): 39-77.

Niehoff, B.P., C.A Enz, & R.A Grover (1990)The Impact of Top

Management Actions on Employee Attitudes and Perceptions, Group

& Organization Studies, 15(3): 337-352.

Organ, D.W. (1988) Organizational Citizenship Behaviour: The Good

Soldier Syndrome. Lexington, MA: Lexington Books.

Organ, D.W. (1994) Personality and Organizational Citizenship Behaviour,

Journal of Management, 20: 465-478.

Organ, D.W. & M.A. Konovsky (1989) Cognitive Versus Affective

Determinants of Organizational Citizenship Behaviour, Journal of

Applied Psychology, 74: 157-164.

Organ, D.W. & K. Ryan (1995) A Meta-Analytic Review of Attitudinal

and Dispositional Predictors of Organizational Citizenship Behaviour,

Personnel Psychology, 48: 775-802.

Parker, C.P., B.B Baltes, S.A Young, J.W Huff, R A Altmann, H A Lacost,



19/22


J.E Roberts, J.E. (2003) Relationship between Psychological Climate

Perceptions and Work Outcomes: A Meta-analytic Review,Journal

of Organizational Behaviour, 24:389-416.

Pattnaik, S. & S. Biswas (2005) The Mediating Role of Organizational

Citizenship Behavior between Organizational Identification and its

Consequences. Proceedings of the International Research

Conference of the Academy of Human Resource Development(AHRD), February 24-27, 2005 Estes Park, CO.

Podsakoff, P., S. MacKenzie., J. Paine & D. Bacharach (2000)

Organizational Citizenship Behaviours: A Critical Review of the

Theoretical and Empirical Literature and Suggestions for Future

Research, Journalof Management, 26(3): 513-563.

Price, J.L. & C.W Mueller (1981) Professional Turnover: The Case of

Nurses. New York: Spectrum.

Ralston, D.A., D.H. Holt, R.H. Terpstra & Y. Kai-Cheng (1997) The

Impact of National Culture and Economic Ideology on Managerial Work

Values: A Study of the United States, Russia, Japan, and China,

Journal of International Business Studies, 28(1): 177-207.

Rao, T.V. & E.S.J Abraham (2003) HRD Climate in Organizations. In Rao,

T.V (ed.)Readings in Human Resource Development, pp 36-45. NewDelhi: Oxford and IBH Publishing Co. Pvt. Ltd.

Robbins, S.P. (2001) Organizational Theory: Structure, Design and

Applications (3rd ed.). New Delhi : Prentice-Hall of India Private

Limited.

Schnake, M.E. (1983) An Empirical Assessment of the Effects of

Effective Response in the Measurement of Organizational Climate,

Personnel Psychology, 36 (4): 791-807.

Schneider, B. (1975) Organizational Climates: An Essay, Personnel

Psychology, 28: 447-479.

Seltzer, J. & B.M Bass (1990) Transformational Leadership: Beyond

Initiation and Consideration, Journal of Management, 16(4): 693-

703.

Soumendu Biswas 65


20/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010


Smircich, L. (1983) Concepts of Culture and Organizational Analysis,

Administrative Science Quarterly, 28: 339 358.

Steers, R. M. & R. T Mowday (1981) Employee Turnover and Post-

decision Accommodation Processes. In Staw. B.M & L. L. Cummins

(eds.), Research in Organizational Behaviour. 3, pp. 235-282.

Greenwich, CN: JAI Press.

Strutton, D., L.E Pelton.& J.R. Lumpkin (1993) The Relationship between

Psychological Climate and Salesperson-sales Manager Trust in Sales

Organization, Journal of Personal Selling and Sales Management,

13(4): 1-14.

The Economist (1986). Retrieved October 3, 2008 from http://

www.economist.com/printedition/

Tichy, N.M., & M.A. Devanna (1986) The Transformational Leader. New

York: John Wiley & Sons.

Varma, A., P Budhwar, S Biswas, & S.M. Toh (2005) An Empirical

Investigation of Host Country National Categorization of Expatriates in

the United Kingdom Proceedings of theEuropean Academy of

Management Conference, May 2005, Munich, Germany.

Voss, M. D., S.B. Keller, A.E. Ellinger, & J. Ozment (2004) Differentiatingthe Suppliers of Job Products to Union and Non-union frontline

Distribution Center Employees, Transportation Journal, 43(2):37-

58.

Wanous, J.P, & E.E. Lawler, III (1972) Measurement and Meaning of Job

Satisfaction. Journal of Applied Psychology, 56: 95-105.

Williams, L.J., & S.E. Anderson, (1991) Job Satisfaction and

Organizational Commitment as Predictors of Organizational Citizenship

and inrole Behaviours,Journal of Management, 17(3): 601-617.

Wolfe Morrison, E. (1994) Role Definitions and Organizational Citizenship

Behaviour: The Importance of the Employees Perspective,Academy

of Management Journal, 37: 1543-1567.

Woodard, G., N. Cassill, D. Herr (1994) The Relationship between



21/22


Psychological Climate and Work Motivation in a Retail Environment.

New York, NY: Routledge.

World Bank (2001) World Development Report. New York: Oxford

University Press.

Yammarino, F.J., & L.E. Atwater (1997) Do Managers See Themselves

as Others See Them? Implications of Self-other Rating Agreement forHuman Resource Management, Organizational Dynamics, 25(4):

35-45.

Zurcher, L.A. (1968) Particularism and Organizational Position: A Cross

Cultural Analysis,Journal of Applied Psychology, 52(2): 139-144.

Soumendu Biswas 67

Illustrious Son of Illustrious Father

AMITABH BACHCHAN, SCREEN LEGEND: SON OF HARIVANSH RAI

BACHCHAN, A LITERARY GIANT

Amitabh Bachchan, Screen legend, is son of a literary giant, a great Hindi poet,

writer of famous Bachchan ki Madhushala and former Professor of English

at University of Allahabad. If father earned extraordinary name from his creative

pursuits, so did his son, Amitabh. People say that in thousands of years an

actor like Amitabh is born, a phrase one commonly hears about Mahatma

Gandhi, that in thousands of years a leader like Gandhi is born. Lives of Gandhi

and Bachchan shows that when efforts are stupendous and unparalleled liketheirs, excellence and greatness comes in all fields, be it, service and politics

or arts and culture.

His father, Dr. Harivansh Rai Bachchan was a well-known Hindi poet,

while his mother, Teji Bachchan was a Sikh from Faisalabad (now in Paki-

stan). Amitabh is the elder of their two sons, the second being Ajitabh. His

mother had a keen interest in theatre and had been offered a role in a film, but

preferred her domestic duties. She apparently influenced Amitabhs choice of

career as actor in films as Amitabh often participated in theaters which were

rehearsed at home during his childhood.

Amitabh was born in 1942, the year of famous freedom movement, which

shook the foundation of British regime in India, at Allahabad which was at the

center of the thrust for freedom. Bachchan was initially named Inquilab, in-

spired from the phrase Inquilab Zindabad, during the Indian independence

struggle, but was re-christened Amitabh which means, the light that would

never vanish. Though it was nor a family surname, his father had adopted the

pen-name Bachchan, which he used as author for all his works. It is with this

surname that he is today known as Amitabh Bachchan world over for his


22/22



Downloade

dFromI

P-115.248.73.67ondated30-N

ov-2010



contributions in films and society at large.

Amitabh spent 14-15 years of his early years in smaller towns, while rest

of his 50 years in the urban metropolises. He attended Allahabads Jnana

Prabodhini and Boys High School (BHS), followed by Nainitals Sherwood

College, where he majored in the art stream. He later went on to study at Kirori

Mal College of the University of Delhi and completed a Bachelor of Science

degree. In his twenties, Bachchan gave up a job as freight broker for the ship-

ping firm, Bird and Co., based in Calcutta, to pursue a career in acting onreported advice of his brother and others in family seeing his talent in acting.

He has made many films which have famed him indelibly.

According to Harivansh Rai Bachchan, there are no excuses in life and no

blame. Every morning is a fresh challenge. Either you learn to pick up the

gauntlet and fight or learn to surrender to it. As long as there is life, there is

struggle. Jab tak jeevan hai, tab tak sanghgursh hai, said Amitabhs father, as

he lay weak and almost comatose in his bed in Prateeksha (TOI, 2008).

What are legendary son, Amitabhs views about life and nation at large. Hewrote (Amitabh Bachchan, The Indian Express, August 15, 2007): Leaders

with a vision and foresight designed, what I believe, is the direction in which

our country moves today. A direction, which needed to be given in order that we

do not get left behind. A direction, which needed for us to make quantum leaps,

to leapfrog as it were, to catch up with the rest of the world. I believe we do that

marvelously well. We possess the greatest minds, the strength of the great-

est will, the guile of the determined entrepreneur and the strength of a vibrant

democratic system. We can do it. We are doing it. And we will do it. Let us

educate ourselves. All of us, universally and equally. Let the tone of our diverse

and wonderful languages and cultures, be one Indian. In our culture we say:jab saatha, tab paatha!When you are 60, that is when you gain wisdom

The room where Dr. Harivansh Rai Bachchan breathed is last is adorned

by his large framed photograph, exactly where he breathed his last. Amitabh

dresses his portrait with a garland of fresh flowers every day and a diya(earthen

lamp) burns perpetually underneath. Few months ago, his fathers photo-

graph was joined on the side by Amitabhs mothers portrait (TOI, 2008).

Every day and every moment that when Amitabh passes the room as he

climbs the staircase to his bedroom or down from it, he stops by the door and

looks at both of them. And ask for strength. It is the light of his wisdom that son

endeavours to carry each day when he steps out. This is the outlook of illustri-

ous son towards illustrious father which is the meaning of the word Amitabhi.e. never becoming dim in radiance.

Source:1. Amitabh Bachchan, A New Beginning, Times Life, The Times ofIndia, New Delhi June 29, 2008 (excerpts fromwww.bigb.bigadda.com)

2. Amitabh Bachchan, In Search of National Character, The IndianExpress, August 15, 2007.

47-psychological climate and transformational leadership as predictors of organizational...

Documents