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MEDIATING EFFECTS OF EMPLOYEE COMMITMENT IN RELATIONSHIP BETWEEN TOXIC LEADERSHIP AND EMPLOYEES’ PERFORMANCE
Corresponding Author(s) : Muhammad Rahman Khan
Humanities & Social Sciences Reviews,
Vol. 9 No. 4 (2021): July
Abstract
Purpose of Study: The study aimed to examine the mediating effects of employee commitment in the relationship between toxic leadership and employee performance in the context of the banking sector, KP, Pakistan. The study is expected to provide significant information to existing knowledge databases about the toxic leaders, organizational commitment, and employees’ performance.
Methodology of Study: The cross-sectional design was used to conduct the study by using a 5-point Likert scale through the questionnaire to collect primary data from the high-level managers of selected commercial banks located south region of KP, Pakistan. The sample of 234 employees of both public/private sector banks was taken randomly as the sample. To compute sample, Yamane (1967) formula for selecting sample from finite population: n=population (566), level of significance, e = 0.05 & n=sample size, sample size (n) = N/1+Ne2 = 566/1+566(0.05), 2 = 234.
Main Findings: The results of the study revealed that the significant and positive association among the research variables, the significant impact of the predictors on the criterion variable, and the significant partial mediating role of the employee commitment in the relationship between the toxic leadership and employees’ performance.
Applications of Study: The current study focuses on examining the role of toxic leadership on employee performance with mediating effect of employee commitment within the banking sector of KP, Pakistan. This study's significance lies in the banking sector, desiring to acquire sustainable competitive advantage through increased employee performance and employee commitment.
Novelty/Originality of Study: The expectation that organizational commitment can improve the relationship between toxic leadership and employee performance is missed to a certain extent in the educational context that is expected to offer a new contribution to an existing database of research.
Keywords
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- Baloyi, G. T. (2020). Toxicity of leadership and its impact on employees: Exploring the dynamics of leadership in an academic setting. HTS Teologiese Studies / Theological Studies, 76(2), 8. https://doi.org/10.4102/h ts.v76i2.5949 DOI: https://doi.org/10.4102/hts.v76i2.5949
- Bell, B. S., & Kozlowski, W. J. (2018). Goal orientation and ability: interactive effects on self-efficacy, performance, and knowledge. Journal of Applied Psychology, 87(3) 497–505. https://doi.org/10.1037/0021-9010.87.3.497 DOI: https://doi.org/10.1037/0021-9010.87.3.497
- Boddy, C. R., & Croft, R. (2016). Marketing in a time of toxic leadership. Qualitative Market Research: An International Journal, 19(1), 44-64. https://doi.org/10.1108/QMR-04-2015-0030 DOI: https://doi.org/10.1108/QMR-04-2015-0030
- Burke, R. J. (2017). The Toxic leaders: Exploring the dark side. The Effective Executive, 20(1), 10.
- Chawla, D., & Sodhi, N. (2011). Research methodology: Concepts and cases. Vikas Publishing House.
- Cogliser, C., Schriesheim, C. A., Scandura, T. A., & Gardner, W. L. (2009). Balance in leader and follower perceptions of leader-member exchange: Relationships with performance and work attitudes. The Leadership Quarterly, 20(3), 452-465. https://doi.org/10.1016/j.leaqua.2009.03.010 DOI: https://doi.org/10.1016/j.leaqua.2009.03.010
- Dobbs, J. M. (2014). The relationship between perceived toxic leadership styles, leader effectiveness, and organizational cynicism. Available from ProQuest Dissertations and Theses database. (UMI No. 3575052). https://www.worldcat.org/libraries/65572
- Donkor, F., Zhou, D., & Sekyere, I. (2021). The Mediating Effects of Organizational Commitment on Leadership Styles and Employee Performance in SOEs in Ghana: A Structural Equation Modeling Analysis. SAGE Open, April-June (2021), 1–17. https://doi.org/10.1177/21582440211008894 DOI: https://doi.org/10.1177/21582440211008894
- Erickson, A., Shaw, B., Murray, J., & Branch, S. (2015). Destructive Leadership. Organizational Dynamics, 4(44), 266-272. https://doi.org/10.1016/j.orgdyn.2015.09.003 DOI: https://doi.org/10.1016/j.orgdyn.2015.09.003
- Flick, U. (2015). Introducing research methodology: A beginner's guide to doing a research project. Sage.
- Gilbert, J. A., Carr-Ruffino, N., Ivancevich, J. M., & Konopaske, R. (2012). Toxic versus cooperative behaviors at work: the role of organizational culture and leadership in creating community-centered organizations. International Journal of Leadership Studies, 7(1), 29-47.
- Hadadian, Z., & Zarei, J. (2016). Relationship between toxic leadership and job stress of knowledge workers. Studies in Business and Economics, 11(3), 84-89. https://doi.org/10.1515/sbe-2016-0037 DOI: https://doi.org/10.1515/sbe-2016-0037
- Hameed, A., & Waheed, A. (2011). Employee development and its effect on employee performance a conceptual framework. International journal of business and social science, 2(13).
- Hayes, A. F. (2013). An Introduction to Mediation, Moderation and conditional process Analysis. New York: The Guilford Press.
- Iqbal, N., Anwar, S., & Haider, N. (2015). Effect of leadership style on employee performance. Arabian Journal of Business and Management Review, 5(5), 1-6.
- Kant, L., Skogstad, A., Torsheim, T., & Einarsen, S. (2013). Beware the angry leader: Trait anger and trait anxiety as predictors of petty tyranny. The Leadership Quarterly, 24(1), 106-124. https://doi.org/10.1016/j.lea qua.2012.08.005 DOI: https://doi.org/10.1016/j.leaqua.2012.08.005
- Kiliç, M., & Günsel, A. (2019). The Dark Side of the Leadership: The Effects of Toxic Leaders on Employees. European Journal of Social Sciences, 2(2), 51-56. https://doi.org/10.26417/ejss-2019.v2i2-64 DOI: https://doi.org/10.26417/ejss-2019.v2i2-64
- Lam, M., O'Donnell, M., & Robertson, D. (2015). Achieving employee commitment for continuous improvement initiatives. International Journal of Operations & Production Management, 35(2), 201-215. https://doi.org/10.1108/IJOPM-03-2013-0134 DOI: https://doi.org/10.1108/IJOPM-03-2013-0134
- Lašáková, A., & Remišová, A. (2015). Unethical Leadership: Current Theoretical Trends and Conceptualization. Procedia Economics and Finance, 34, 319-328. https://doi.org/10.1016/S2212-5671(15)01636-6 DOI: https://doi.org/10.1016/S2212-5671(15)01636-6
- Mathieu, C., Neumann, C. S., Hare, R. D., & Babiak, P. (2014). A dark side of Leadership: Corporate psychopathy and its influence on the employee well-being and job satisfaction. Personality and Individual Differences, 59, 83-88. https://doi.org/10.1016/j.paid.2013.11.010 DOI: https://doi.org/10.1016/j.paid.2013.11.010
- Matos, K., O'Neill, O., & Lei, X. (2018). Toxic leadership and the masculinity contest culture: How "win or die" cultures breed abusive leadership. Journal of Social Issues, 74(3), 500-528. https://doi.org/10.111 1/josi.12284 DOI: https://doi.org/10.1111/josi.12284
- Mehta, S., & Maheshwari, G. C. (2019). Consequence of Toxic Leadership on Employee Job Satisfaction and Organizational Commitment. Journal of Contemporary Management Research, 8(2). 1-23.
- Meyer, J. P., Stanley, L. J., & Parfyonova, N. M. (2012). Employee commitment in context: The nature and implication of commitment profiles. Journal of Vocational Behavior, 80(1), 1-16. https://doi.org/10.1016/ j.jvb.2011.07.002 DOI: https://doi.org/10.1016/j.jvb.2011.07.002
- Mohamed, B., Nasser, A., Jabeen, F., & Rawas, A. (2018). Toxic leadership and organizational citizenship behavior: a mediation effect of followers’ trust and commitment in the middle east. International Journal of Business and Society, 19(3), 793-815.
- Mowday, R. T., Porter, L. W., & Steers, R. M. (2013). Employee—organization linkages: The psychology of commitment, absenteeism, and turnover. Academic Press.
- Nefai, W. A. (2019). The Impact of Toxic Leadership on Job Attitudes A Study on Teaching Hospitals in Egypt, Case Studies Journal, 8(2), 45-58.
- Ofori, G. (2009). Ethical Leadership: Examining the relationships with full range leadership model, employee outcomes, and organizational culture. Journal of Business Ethics, 90(4), 533. https://doi.org/10.1007/s10551-009-0059-3 DOI: https://doi.org/10.1007/s10551-009-0059-3
- Paltu, A., & Brouwers, M. (2020). Toxic leadership: Effects on job satisfaction, commitment, turnover intention and organizational culture within the South African manufacturing industry. SA Journal of Human Resource Management, 18(0), a1338. https://doi.org/10.4102/sajhrm.v18i0.1338 DOI: https://doi.org/10.4102/sajhrm.v18i0.1338
- Pelletier, K. L. (2010). Leader toxicity: An empirical investigation of toxic behavior and rhetoric. Leadership, 6(4), 373-389. https://doi.org/10.1177/1742715010379308 DOI: https://doi.org/10.1177/1742715010379308
- Reed, G. E. (2015). The Tarnished: toxic leadership in the US military. U of the Nebraska Press. Publisher: University of Nebraska Press. https://doi.org/10.2307/j.ctt1d988m9 DOI: https://doi.org/10.2307/j.ctt1d988m9
- Reyhanoğlu, M., & Akın, Ö. (2016). Toksik Liderlik Örgütsel Sağlığı Olumsuz Yönde Tetikler mi? İnsan ve Toplum Bilimleri Araştırmaları Dergisi, 5(3), 442-459. https://doi.org/10.15869/itobiad.41373 DOI: https://doi.org/10.15869/itobiad.41373
- Salanova, M., Agut, S. & Peiró, J.M. (2005). Linking Organizational Resources and Work Engagement to Employee Performance and Customer Loyalty: The Mediation of Service Climate. Journal of Applied Psychology, 90, 1217-1227. https://doi.org/10.1037/0021-9010.90.6.1217 DOI: https://doi.org/10.1037/0021-9010.90.6.1217
- Saqib, A., & Arif, M. (2017). Employee Silence as a Mediator in the Relationship between Toxic Leadership Behavior and Organizational Performance. Journal of Managerial Sciences, 11(3), 83-104.
- Schyns, B., & Schilling, J. (2013). How bad are the effects of bad leaders? A meta-analysis of destructive leadership and its outcomes. The Leadership Quarterly, 24(1), 138-158. https://doi.org/10.1016/j.lea qua.2012.09.001 DOI: https://doi.org/10.1016/j.leaqua.2012.09.001
- Shezan, S., Al-Mamoon, A., & Ping, H. (2018). Performance investigation of an advanced hybrid renewable energy system in Indonesia. Environmental Progress & Sustainable Energy, 37(4), 1424-1432. https://doi.org/ 10.1002/ep.12790 DOI: https://doi.org/10.1002/ep.12790
- Shields, J., Brown, M., Kaine, S., Dolle-Samuel, C., North-Samardzic, A., McLean, P., & Plimmer, G. (2015). Managing employee performance & reward: Concepts, practices, strategies. Cambridge University Press. https://doi.org/10.1017/CBO9781139197120 DOI: https://doi.org/10.1017/CBO9781139197120
- Sreejesh, S., Mohapatra, S., & Anusree, M. R. (2014). Business Research Reports. In Business Research Methods (pp. 261-277). Springer International Publishing. https://doi.org/10.1007/978-3-319-00539-3_12 DOI: https://doi.org/10.1007/978-3-319-00539-3_12
- Stouten, J., Van Dijke, M., & De Cremer, D. (2012). Ethical leadership. An overview and future perspectives. Journal of Personnel Psychology, 11(1), 1-6. https://doi.org/10.1027/1866-5888/a000059 DOI: https://doi.org/10.1027/1866-5888/a000059
- Tepper, B. J., Du_y, M. K., Henle, C. A., & Lambert, L. S. (2016). Procedural injustice, victim precipitation, and abusive supervision. Personnel Psychology, 59(1), 101-123. https://doi.org/10.1111/j.1744-6570.2006.00725.x DOI: https://doi.org/10.1111/j.1744-6570.2006.00725.x
- Toor, S. U. R., & Ogunlana, S. (2009). Ineffective Leadership: Investigating the negative attributes of leaders and organizational neutralizers. Engineering, Construction and Architectural Management, 16(3), 254-272. https://doi.org/10.1108/09699980910951663 DOI: https://doi.org/10.1108/09699980910951663
- Uysal, H. T. (2019). The Mediation Role of Toxic Leadership in the Effect of Job Stress on Job Satisfaction, International Journal of Business, 24(1), 55-73.
- Yamane, Taro. (1967). Statistics: An Introductory Analysis (2nd Edition). New York: Harper and Row.
References
Baloyi, G. T. (2020). Toxicity of leadership and its impact on employees: Exploring the dynamics of leadership in an academic setting. HTS Teologiese Studies / Theological Studies, 76(2), 8. https://doi.org/10.4102/h ts.v76i2.5949 DOI: https://doi.org/10.4102/hts.v76i2.5949
Bell, B. S., & Kozlowski, W. J. (2018). Goal orientation and ability: interactive effects on self-efficacy, performance, and knowledge. Journal of Applied Psychology, 87(3) 497–505. https://doi.org/10.1037/0021-9010.87.3.497 DOI: https://doi.org/10.1037/0021-9010.87.3.497
Boddy, C. R., & Croft, R. (2016). Marketing in a time of toxic leadership. Qualitative Market Research: An International Journal, 19(1), 44-64. https://doi.org/10.1108/QMR-04-2015-0030 DOI: https://doi.org/10.1108/QMR-04-2015-0030
Burke, R. J. (2017). The Toxic leaders: Exploring the dark side. The Effective Executive, 20(1), 10.
Chawla, D., & Sodhi, N. (2011). Research methodology: Concepts and cases. Vikas Publishing House.
Cogliser, C., Schriesheim, C. A., Scandura, T. A., & Gardner, W. L. (2009). Balance in leader and follower perceptions of leader-member exchange: Relationships with performance and work attitudes. The Leadership Quarterly, 20(3), 452-465. https://doi.org/10.1016/j.leaqua.2009.03.010 DOI: https://doi.org/10.1016/j.leaqua.2009.03.010
Dobbs, J. M. (2014). The relationship between perceived toxic leadership styles, leader effectiveness, and organizational cynicism. Available from ProQuest Dissertations and Theses database. (UMI No. 3575052). https://www.worldcat.org/libraries/65572
Donkor, F., Zhou, D., & Sekyere, I. (2021). The Mediating Effects of Organizational Commitment on Leadership Styles and Employee Performance in SOEs in Ghana: A Structural Equation Modeling Analysis. SAGE Open, April-June (2021), 1–17. https://doi.org/10.1177/21582440211008894 DOI: https://doi.org/10.1177/21582440211008894
Erickson, A., Shaw, B., Murray, J., & Branch, S. (2015). Destructive Leadership. Organizational Dynamics, 4(44), 266-272. https://doi.org/10.1016/j.orgdyn.2015.09.003 DOI: https://doi.org/10.1016/j.orgdyn.2015.09.003
Flick, U. (2015). Introducing research methodology: A beginner's guide to doing a research project. Sage.
Gilbert, J. A., Carr-Ruffino, N., Ivancevich, J. M., & Konopaske, R. (2012). Toxic versus cooperative behaviors at work: the role of organizational culture and leadership in creating community-centered organizations. International Journal of Leadership Studies, 7(1), 29-47.
Hadadian, Z., & Zarei, J. (2016). Relationship between toxic leadership and job stress of knowledge workers. Studies in Business and Economics, 11(3), 84-89. https://doi.org/10.1515/sbe-2016-0037 DOI: https://doi.org/10.1515/sbe-2016-0037
Hameed, A., & Waheed, A. (2011). Employee development and its effect on employee performance a conceptual framework. International journal of business and social science, 2(13).
Hayes, A. F. (2013). An Introduction to Mediation, Moderation and conditional process Analysis. New York: The Guilford Press.
Iqbal, N., Anwar, S., & Haider, N. (2015). Effect of leadership style on employee performance. Arabian Journal of Business and Management Review, 5(5), 1-6.
Kant, L., Skogstad, A., Torsheim, T., & Einarsen, S. (2013). Beware the angry leader: Trait anger and trait anxiety as predictors of petty tyranny. The Leadership Quarterly, 24(1), 106-124. https://doi.org/10.1016/j.lea qua.2012.08.005 DOI: https://doi.org/10.1016/j.leaqua.2012.08.005
Kiliç, M., & Günsel, A. (2019). The Dark Side of the Leadership: The Effects of Toxic Leaders on Employees. European Journal of Social Sciences, 2(2), 51-56. https://doi.org/10.26417/ejss-2019.v2i2-64 DOI: https://doi.org/10.26417/ejss-2019.v2i2-64
Lam, M., O'Donnell, M., & Robertson, D. (2015). Achieving employee commitment for continuous improvement initiatives. International Journal of Operations & Production Management, 35(2), 201-215. https://doi.org/10.1108/IJOPM-03-2013-0134 DOI: https://doi.org/10.1108/IJOPM-03-2013-0134
Lašáková, A., & Remišová, A. (2015). Unethical Leadership: Current Theoretical Trends and Conceptualization. Procedia Economics and Finance, 34, 319-328. https://doi.org/10.1016/S2212-5671(15)01636-6 DOI: https://doi.org/10.1016/S2212-5671(15)01636-6
Mathieu, C., Neumann, C. S., Hare, R. D., & Babiak, P. (2014). A dark side of Leadership: Corporate psychopathy and its influence on the employee well-being and job satisfaction. Personality and Individual Differences, 59, 83-88. https://doi.org/10.1016/j.paid.2013.11.010 DOI: https://doi.org/10.1016/j.paid.2013.11.010
Matos, K., O'Neill, O., & Lei, X. (2018). Toxic leadership and the masculinity contest culture: How "win or die" cultures breed abusive leadership. Journal of Social Issues, 74(3), 500-528. https://doi.org/10.111 1/josi.12284 DOI: https://doi.org/10.1111/josi.12284
Mehta, S., & Maheshwari, G. C. (2019). Consequence of Toxic Leadership on Employee Job Satisfaction and Organizational Commitment. Journal of Contemporary Management Research, 8(2). 1-23.
Meyer, J. P., Stanley, L. J., & Parfyonova, N. M. (2012). Employee commitment in context: The nature and implication of commitment profiles. Journal of Vocational Behavior, 80(1), 1-16. https://doi.org/10.1016/ j.jvb.2011.07.002 DOI: https://doi.org/10.1016/j.jvb.2011.07.002
Mohamed, B., Nasser, A., Jabeen, F., & Rawas, A. (2018). Toxic leadership and organizational citizenship behavior: a mediation effect of followers’ trust and commitment in the middle east. International Journal of Business and Society, 19(3), 793-815.
Mowday, R. T., Porter, L. W., & Steers, R. M. (2013). Employee—organization linkages: The psychology of commitment, absenteeism, and turnover. Academic Press.
Nefai, W. A. (2019). The Impact of Toxic Leadership on Job Attitudes A Study on Teaching Hospitals in Egypt, Case Studies Journal, 8(2), 45-58.
Ofori, G. (2009). Ethical Leadership: Examining the relationships with full range leadership model, employee outcomes, and organizational culture. Journal of Business Ethics, 90(4), 533. https://doi.org/10.1007/s10551-009-0059-3 DOI: https://doi.org/10.1007/s10551-009-0059-3
Paltu, A., & Brouwers, M. (2020). Toxic leadership: Effects on job satisfaction, commitment, turnover intention and organizational culture within the South African manufacturing industry. SA Journal of Human Resource Management, 18(0), a1338. https://doi.org/10.4102/sajhrm.v18i0.1338 DOI: https://doi.org/10.4102/sajhrm.v18i0.1338
Pelletier, K. L. (2010). Leader toxicity: An empirical investigation of toxic behavior and rhetoric. Leadership, 6(4), 373-389. https://doi.org/10.1177/1742715010379308 DOI: https://doi.org/10.1177/1742715010379308
Reed, G. E. (2015). The Tarnished: toxic leadership in the US military. U of the Nebraska Press. Publisher: University of Nebraska Press. https://doi.org/10.2307/j.ctt1d988m9 DOI: https://doi.org/10.2307/j.ctt1d988m9
Reyhanoğlu, M., & Akın, Ö. (2016). Toksik Liderlik Örgütsel Sağlığı Olumsuz Yönde Tetikler mi? İnsan ve Toplum Bilimleri Araştırmaları Dergisi, 5(3), 442-459. https://doi.org/10.15869/itobiad.41373 DOI: https://doi.org/10.15869/itobiad.41373
Salanova, M., Agut, S. & Peiró, J.M. (2005). Linking Organizational Resources and Work Engagement to Employee Performance and Customer Loyalty: The Mediation of Service Climate. Journal of Applied Psychology, 90, 1217-1227. https://doi.org/10.1037/0021-9010.90.6.1217 DOI: https://doi.org/10.1037/0021-9010.90.6.1217
Saqib, A., & Arif, M. (2017). Employee Silence as a Mediator in the Relationship between Toxic Leadership Behavior and Organizational Performance. Journal of Managerial Sciences, 11(3), 83-104.
Schyns, B., & Schilling, J. (2013). How bad are the effects of bad leaders? A meta-analysis of destructive leadership and its outcomes. The Leadership Quarterly, 24(1), 138-158. https://doi.org/10.1016/j.lea qua.2012.09.001 DOI: https://doi.org/10.1016/j.leaqua.2012.09.001
Shezan, S., Al-Mamoon, A., & Ping, H. (2018). Performance investigation of an advanced hybrid renewable energy system in Indonesia. Environmental Progress & Sustainable Energy, 37(4), 1424-1432. https://doi.org/ 10.1002/ep.12790 DOI: https://doi.org/10.1002/ep.12790
Shields, J., Brown, M., Kaine, S., Dolle-Samuel, C., North-Samardzic, A., McLean, P., & Plimmer, G. (2015). Managing employee performance & reward: Concepts, practices, strategies. Cambridge University Press. https://doi.org/10.1017/CBO9781139197120 DOI: https://doi.org/10.1017/CBO9781139197120
Sreejesh, S., Mohapatra, S., & Anusree, M. R. (2014). Business Research Reports. In Business Research Methods (pp. 261-277). Springer International Publishing. https://doi.org/10.1007/978-3-319-00539-3_12 DOI: https://doi.org/10.1007/978-3-319-00539-3_12
Stouten, J., Van Dijke, M., & De Cremer, D. (2012). Ethical leadership. An overview and future perspectives. Journal of Personnel Psychology, 11(1), 1-6. https://doi.org/10.1027/1866-5888/a000059 DOI: https://doi.org/10.1027/1866-5888/a000059
Tepper, B. J., Du_y, M. K., Henle, C. A., & Lambert, L. S. (2016). Procedural injustice, victim precipitation, and abusive supervision. Personnel Psychology, 59(1), 101-123. https://doi.org/10.1111/j.1744-6570.2006.00725.x DOI: https://doi.org/10.1111/j.1744-6570.2006.00725.x
Toor, S. U. R., & Ogunlana, S. (2009). Ineffective Leadership: Investigating the negative attributes of leaders and organizational neutralizers. Engineering, Construction and Architectural Management, 16(3), 254-272. https://doi.org/10.1108/09699980910951663 DOI: https://doi.org/10.1108/09699980910951663
Uysal, H. T. (2019). The Mediation Role of Toxic Leadership in the Effect of Job Stress on Job Satisfaction, International Journal of Business, 24(1), 55-73.
Yamane, Taro. (1967). Statistics: An Introductory Analysis (2nd Edition). New York: Harper and Row.