The Effect of Transformational Leadership, Job Happiness and Organization Innovation on Employee Performance within Public Sector Organizations in Dubai

Abstract

This study aims to empirically explore the impact of transformational leadership, job happiness and organizational innovation on employee performance in Dubai government organizations. Theoretical evidence denotes that the various constructs have direct, indirect and mediating effects on each other and overly on employee performance in public sector organizations. There however exists, minimum empirical studies that examine the nexus of these factors and employee performance in the workplace. Building on previous evidence of literature, this study postulates seven hypotheses of the relational impact of the three constructs on employee performance in organizations. The study employed structural equations modeling via PLS to analyse682 valid questionnaire responses from 28 Government of Dubai Organizations. The findings indicated that transformational leadership had both direct and indirect impact(s) on employee performance in the organizations. Job happiness also had indirect and direct impacts on the performance of employees in the organization. Organizational motivation played a direct role in impacting employee performance in the organization as well as mediating the relationship between transformational leadership and the performance of employees in the workplace. The data used in this study was thoroughly purified through multiple steps to ascertain that it did not bear any outliers. On arriving at the hypothesis testing, the data remaining did not indicate any multico linearity or overlapping effect. The construct of transformational leadership showed resoundingly stronger influence on employee performance in comparison with other constructs.Research however noted that, while transformational leadership and job happiness played a role in impacting the performance of employees, it was essential that the leadership of the organization adopt an innovation-oriented approach to leadership in order to realize better performance among the employees.