Transformational Leadership and Employee Performance: Organizational Commitment as Mediator and Public Service Motivation as Moderator in Pakistan Railways

Abstract

This paper aims to investigate the relationship between transformational leadership and employee performance, with a focus on the mediating role of organizational commitment and the moderating role of Public Service Motivation (PSM) in this relationship. This study utilized a quantitative approach based on cross-sectional data. A total of 150 questionnaires were distributed, and 100 were returned. The responses were analyzed, and the results were inferred using SEM-PLS. The data collection spanned from June 2023 to September 2023. The findings indicate a positive and significant impact of transformational leadership on employee performance. However, the mediating effect of organizational commitment and the moderating effect of PSM on this relationship were both found to be non-significant. The findings offer practical insights into how transformational leadership, organizational commitment, and PSM influence performance, emphasizing the need to align employee goals with organizational objectives to enhance effectiveness and sustainability in public sector organizations. This research provides a foundation for refining management strategies in entities like Pakistan Railways, offering valuable guidance for improving organizational performance and informing policy development. The findings of the current study may help public sector management in Pakistan gain a better understanding of transformational leadership, organizational commitment, public service motivation, and their association with employee performance.The study's cross-sectional design and reliance on self-reported data are potential limitations. Future research could explore longitudinal designs or incorporate qualitative methods to gain deeper insights.