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THE EFFECTS OF TRANSFORMATIONAL LEADERSHIP ON
ORGANIZATIONAL COMMITMENT AND JOB SATISFACTION IN TAIWANSINFORMATION TECHNOLOGY INDUSTRY
By
Chien-Liang Liu
A DISSERTATION
Submitted to
H. Wayne Huizenga School of Business and Entrepreneurship
Nova Southeastern University
in partial fulfillment of the requirements
for the degree of
DOCTOR OF BUSINESS ADMINISTRATION
2005
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UMI Number: 3222256
Copyright 2006 by
Liu, Chien-Liang
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A Dissertation
Entitled
THE EFFECTS OF TRANSFORMATIONAL LEADERSHIP ON
ORGANIZATIONAL COMMITMENT AND JOB SATISFACTION IN TAIWANSINFORMATION TECHNOLOGY INDUSTRY
By
Chien-Liang Liu
We hereby certify that this Dissertation submitted by Chien-Liang Liu conforms to acceptable
standards, and as such is fully adequate in scope and quality. It is therefore approved as the
fulfillment of the Dissertation requirements for the Degree o f Doctorate o f Business
Administration.
6
Sabrina Segal, D.B.A. Date
Chairperson
/ O'CP iM if ' 6~//2/ecPedro F. Pellet, Ph.D. Date
Committee Member
1XA^At3,bert C. PreziosiTl) P.A. ^ DateRobert
Committee Member
Russell Abratt, Ph.CT^ Date
Chair, Doctoral Programs
_______ - L
J./ffi&ten Jones, Date (Associate Dean, H. Wayne Huizenga School
An Business and Entrepreneurship
Nova Southeastern University
2005
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CERTIFICATION STATEMENT
I hereby certify that this paper constitutes my own product, that where the language of others is
set forth, quotation marks so indicate, and that appropriate credit is given where I have used the
language, ideas, expressions or writings of another.
Signed
Chien-
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ABSTRACT
THE EFFECTS OF TRANSFORMATIONAL LEADERSHIP ON
ORGANIZAITONAL COMMITMENT AND JOB SATISFACTION IN TAIWANSINFORMATION TECHNOLOGY INDUSTRY
by
Chien-Liang Liu
The research model of the study herein has been developed to gain a better understanding ofthe predictability of organizational commitment and job satisfaction based on transformational
leadership in Taiwans IT industry. According to previous studies, survey questionnaires areincluding three major instruments: MLQ (Bass & Avoilo, 2000), TCM (Allen & Meyer, 1991),
and JSS (Spector, 1985). The total of 224 employees who work at Taiwans IT industryresponded the survey. All participants were selected randomly at IT industries in Taiwan and
completed the above three sets of self-reported questionnaires. Survey data was collected by
SPSS 11.5. The statistical methods used include descriptive statistics, simple regression analysis,and correlation analysis. The statistical results from these measures were used to test the 16
hypotheses and determine whether Taiwans IT industry performs the transformational leadershipcharacteristics. The findings conformed to previous studies and supported all hypotheses in this
study. Therefore, transformational leadership has significant effects on organizationalcommitment and job satisfaction in Taiwans IT industry.
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ACKNOWLEDGEMENTS
It is long and tough process to accomplish this dissertation. First, I would like to thank my
Chairperson of Committees, Dr. Sabrina Segal. Without her guidance, encouragement, and
instruction, I would not make this study proceed in a right track. And I would express thanks to
my Reader of Committees, Dr. Pedro F. Pellet and Dr. Robert C. Preziosi. Their suggestions and
advices helped me to pass through the questions.
I would like to acknowledge all the participants who did the survey, which provided
valuable data to this dissertation. Also, I want to thank Jamson Lin, Steve Hsieh, Huihua Hsieh,
and friends, who help me to dispatch the survey in Taiwan. Without their assisted, I cannot
collect the data so quickly.
Furthermore, I would like to thank all of professors and classmates. They shared experience
and information with me in the classes, which widened my mind and improved my knowledge.
In addition, I would like to thank Lan Yang Institute of Technology for giving me a chance to
study on this program in the beginning, especially the professors of Department of Information
Management.
Finally, I want to provide the best appreciation to my parents. They always stand by me and
give me the mental inspiration, financial support, and unfailing sacrifices. Without them, I can
not study here and finish the degree. I would use my whole life to pay back their love. In
addition, I would like to thank my family members for their support and encourage. This
dissertation is dedicated to all of you.
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Data Collection................................................................................................................. 51Methods of Data Analysis................................................................................................ 52
Research Questions......................................................................................................... 53
Working Hypotheses....................................................................................................... 53
Values and Key limits......................................................................................................
60Conclusion....................................................................................................................... 60
IV. ANALYSIS AND PRESENTATION OF FIDING
Introduction....................................................................................................................... 62
Pilot Test............................................................................................................................ 62Return Rate of Survey....................................................................................................... 66Description of the Demographic of the Sample............................................................. 67
Testing and Analyzing the Hypotheses............................................................................ 70
Finding Regarding the Research Question...................................................................... 87
Conclusion........................................................................................................................ 94
V. SUMMARY, DISCUSSION, AND RECOMMENDATION
Introduction..................................................................................................................... 97
Objective of Study....................................................................................................... 97Connection to Related Literature..................................................................................... 97
Research Methodology................................................................................................... 99
Connection to Model........................................................................................................ 100Practical Implications....................................................................................................... 102Future Research................................................................................................................. 103
REFERENCES..................................................................................... !................ 106
APPENDICES
A. Permission Letter of Multifactor Leadership Questionnaire....................................120B. Permission Letter ofTCM Employee Commitment Survey.................................. 122C. Permission Letter of Job Satisfaction Survey........................................................ 124
D. Packet of the Survey Questionnaires in English Version.........................................126
E. Packet of the Survey Questionnaires in Chinese Version........................................ 132F. Table for Determining Sample Size from a Given Population.............................. 138
G Pilot Test Results....................................................................................................
140H. Factor Analysis and Reliability Analysis of Survey.............................................. 146I. Descriptive Statistics of Each Variable.................................................................. 151
vii
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Leadership............................................................................................................. 91
Table 4-28 Correlations among Organizational Commitment and TransformationalLeadership............................................................................................................ 92
Table 4-29 Correlations among Overall Job Satisfaction and Transformational
Leadership........................................................................................................... 94
ix
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LIST OF FIGURES
Page
Figure 3-1 The Conceptual Framework................................................................................... 39
Figure 3-2 Hypotheses between Transformational Leadershipand Organizational Commitment............................................................................ 54
Figure 3-3 Hypotheses between Transformational leadershipand Job Satisfaction.................................................................................................. 57
Figure 4-1 The Flow of Survey Scale Purification................................................................. 63Figure 5-1 The Result of Correlation Analysis....................................................................... 102
x
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CHAPTER I
Introduction
Background o f the Problem
The information highway and electronic commerce have emphasized the growing overlap
among telecommunication, computer hardware/software, content in the new digital economy and
the demand for new skills and knowledge (Cukier, Shortt, & Devine, 2002). Information
Technology (IT) plays an essential role in helping organizations achieve profitable results and
maintain a competitive edge. IT includes all materials concerned with the advancement of
computer science and technology, and with the design, development, installation, and
implementation of information systems and applications.
The information technology industry involves the creation, production, distribution,
purchase and sale of IT components, products, and accessories. It also involves packaged
solutions in the areas o f communication, memory, multimedia, networking, storage, computer
hardware, software, systems, semiconductor, intelligent archive and peripherals, and a host of
other support and electronic services (i.e. electronic commerce). New technologies and products
developed by the IT industry are changing the way we live and do business, making our work
more efficient, and communication more effective.
The IT industry in Taiwan began in the early 1970s (Amsden & Chu, 2003; Breznitz, 2005;
Hong, 1997; Mathews & Cho, 2000). In 1981, International Business Machines Corporation
(IBM) introduced the first personal computer. IT industry in Taiwan has been prosperous
development. By the year 2000, IT industry in Taiwan had grown to be fourth largest in the
world and for more than two decades now, products labeled Made in Taiwan have been
distributed worldwide allowing Taiwan to establish a strong foothold in the IT industry. Table 1-1
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represents the global market share of Taiwans IT industry in 2002.
Table 1-1
Taiwans IT Product: Global Market Share Distribution in 2002
Product Revenue (M* USD) Quantity (K* units) Global Market Share (%)
Notebook PC 13,847 18,380 61
Desktop PC 6,974 24,959 23
Motherboard 5,635 86,554 75
CDT monitor 4,544 42,910 51
LCD monitor 5,646 18,254 61
CD/DVD/RW drives 3,146 79,409 45
Server 1,303 1,468 30
Digital camera 1,003 8,753 39
Source:MTC/TTTS (2 00 3t M*= M illion K* = K ilo-
The IT industry is highly competitive and intense. Technology advances rapidly, and the life
cycles of IT products tend to be short. In addition, global economic competition puts pressure on
IT innovators to develop new products quickly to meet global demand and trends. Taiwans IT
industry has survived the highly competitive environment by managers helping their
organizations move forward.
In general, organizations must respond to change rapidly to survive and thrive amid their
respective economic climates. Fiedler (1967) suggested that leadership is an interpersonal
relation, enabling one individual to direct and control the actions or behaviors of others. He also
mentioned that good leaders are the critical element to organizational success. Leadership theory
has been studied using both qualitative and quantitative methods in many private and public
organizations. People are captivated by the idea o f leadership and try to seek more information
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followers to increase their commitment to the organization, further influencing job satisfaction.
Bass (1985) developed transformational leadership theory to explain the way that leaders
gain extra ordinary commitment (manifested as attitudes, beliefs, and behavior) from their
followers based on leadership styles identified by Bums (1978) and House (1977).
Transformational leadership has also been found to heighten levels of organizational
commitment (Arnold et al., 2001; Barling et al., 1996).
In addition, some researchers (Avolio & Bass, 1988; Bass, Avolio, & Goodheim, 1987;
Howell & Frost 1989) have indicated that transformational leadership behaviors tend to relate
positively to higher performance and greater job satisfaction among employees of business and
industrial organizations. Transformational leadership behavior has been widely linked to positive
consequences for individuals and organizations alike (Bass, 1998).
Although many studies investigate the relationship among transformational leadership,
organizational commitment, and job satisfaction in different areas, little research has adequately
focused on the informational technology area, especially in Taiwan. Therefore, it is important to
recognize how transformational leadership influences organizational commitment and job
satisfaction in Taiwans IT industry.
Purpose o f the Study
Leadership is one of the most important factors that can motivate and enhance the
organizational commitment and job satisfaction of an employee. A number of studies show that
successful transformational leadership can improve employees commitment and job satisfaction
when organizations face change. However, no such research yet focuses on Taiwans IT industry.
Therefore, the major purpose of the study is to determine how transformational leadership affects
organizational commitment and employee job satisfaction in the IT industry in Taiwan.
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expansion of subordinates needs and wants portfolio. Bass and Avolio (1997) indicated that
transformation leaders possess and display four key characteristics:
1. Idealized influence (charismatic leadership) (i.e. followers idealize and emulate the
behaviors of their trusted leader)
2. Inspirational motivation (i.e. followers are motivated by attainment of a common goal)
3. Intellectual stimulation (i.e. followers are encouraged to break away from old way of
thinking and are encouraged to question their values, beliefs, and expectation)
4. Individualized consideration (i.e. followers needs are addressed both individually and
equitably).
Organizational commitment. This is the measure of the strength of the identification with
and involvement in the goals and values of the organization, and the willingness to work hard for
and maintain membership in an organization. Such commitment can generally be characterized
by at least three factors: (a) a strong belief in and acceptance of the organizations goals and
values, (b) the willingness to exert considerable effort on behalf of the organization, (c) a definite
desire to maintain organizational membership (Porter, 1974). Meyer and Allen (1991) indicated
that definitions of organizational commitment are the view that commitment is a psychological
state that (a) characterizes the employees relationship with the organization, and (b) has
implications for the decision to continue membership in organization (p. 67).
Job satisfaction.This is general feeling an employee has about his or her job; mostly with
matters of pay, promotion, supervision, co-workers and the work itself (Porter, 1974). Spector
(1997) described job satisfaction as a core variable in research and theory of organizational
phenomena ranging from job design to supervision. He concluded the common facets of job
satisfaction from many familiar job satisfaction instruments such as appreciation, communication,
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coworkers, fringe benefits, job conditions, nature of the work itself, organization itself,
organizational policies and procedures, pay, personal growth, promotion opportunities,
recognition, security, and supervision.
Assumptions and Linkages
The following assumptions will be made regarding of the proposed study:
1. The studies assumed that the responses of employees were honest and reflect
completely their impression of their leaders behaviors, and the study also assumed that
employee responses represent their own organizational commitment and job satisfaction.
2. The study assumed that all responses were independent and not influenced by others.
3. The study assumed that all respondents understood the content of the questionnaires.
4. The study assumed that the translator was able to make an exact or near exact
translation of all questionnaires and demographic survey from English to Chinese.
5. The distributions of randomly selected subjects were assumed to be normal and
provide a valid representation of the population of the study.
Limitations
This study includes the following limitations:
1. Participants of this study may not understand the objectives and importance of the
proposed research, and may not reply with accurate and well-thought answers.
2. The size of organization selected in the proposed study may influence the accuracy of
findings of the research.
3. The samples of the study may not adequately represent the population of Taiwans IT
industry.
4. All the disadvantages of the survey technique are recognized.
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According to research questions, the proposed dissertation study explored following 16
research hypotheses, which are presented in both the null and directional formats.
HI: Transformational leadership (idealized influence) would be related to affective
commitment in Taiwans IT industry.
Hlo: Transformational leadership (Idealized Influence) would be not related to affective
commitment in Taiwans IT industry.
H2: Transformational leadership (idealized influence) would be related to continuance
commitment in Taiwans IT industry.
H20: Transformational leadership (Idealized Influence) would be not related to continuance
commitment in Taiwans IT industry.
H3: Transformational leadership (idealized influence) would be related to normative
commitment in Taiwans IT industry.
H3o: Transformational leadership (Idealized Influence) would be not related to normative
commitment in Taiwans IT industry.
H4: Transformational leadership (inspirational motivation) would be related to affective
commitment in Taiwans IT industry.
H4o: Transformational leadership (Inspirational Motivation) would be not related to
affective commitment in Taiwans IT industry.
H5: Transformational leadership (inspirational motivation) would be related to continuance
commitment in Taiwans IT industry.
H5o: Transformational leadership (Inspirational Motivation) would be not related to
continuance commitment in Taiwans IT industry.
H6: Transformational leadership (inspirational motivation) would be related to normative
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commitment in Taiwans IT industry.
H6o: Transformational leadership (Inspirational Motivation) would be not related to
normative commitment in Taiwans IT industry.
H7: Transformational leadership (intellectual simulation) would be related to affective
commitment in Taiwans IT industry.
H7o: Transformational leadership (Intellectual Stimulation) would be not related to affective
commitment in Taiwans IT industry.
H8: Transformational leadership (intellectual simulation) would be related to continuance
commitment in Taiwans IT industry.
H8o: Transformational leadership (Intellectual Stimulation) would be not related to
continuance commitment in Taiwans IT industry.
H9: Transformational leadership (intellectual simulation) would be related to normative
commitment in Taiwans IT industry.
H9o: Transformational leadership (Intellectual Stimulation) would be not related to
normative commitment in Taiwans IT industry.
H10: Transformational leadership (individualized consideration) would be related to
affective commitment in Taiwans IT industry.
HlOo: Transformational leadership (Individualized Consideration) would be not related to
affective commitment in Taiwans IT industry.
HI 1: Transformational leadership (individualized consideration) would be related to
continuance commitment in Taiwans IT industry.
H ll0: Transformational leadership (Individualized Consideration) would be not related to
continuance commitment in Taiwans IT industry.
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ultimately turned the countrys economy around. To face the highly competitive IT environment,
Taiwans IT industry has to recognize that leadership is the most important factor for growing an
organizations success. The purpose of the proposed dissertation study is to determine how
transformational leadership affects organizational commitment and employee job satisfaction in
Taiwans IT industry.
Based on the research hypotheses proposed, the study examined the effects of four types of
the transformational leadership style, which influence organizational commitment and job
satisfaction in Taiwans IT industry. The next chapter described leadership, transformational
leadership, organizational commitment, and job satisfaction theories. Also, it discussed the
relationships o f transformational leadership, organizational commitment, and job satisfaction.
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CHAPTER II
Review of the Literature
Introduction
The following review of selected sources is needed to justify the purposed of this study. The
literature summarizes previous research relevant to transformational leadership and its
relationships to organizational commitment and subordinate job satisfaction. The chapter below
is divided into several sections including: (a) the broad overview of leadership theory, (b)
description of the previous transformational leadership studies, (c) organizational commitment,
(d) job satisfaction, (e) the relationships between transformational leadership and organizational
commitment, and (f) the relationship between transformational leadership and job satisfaction.
Leadership Theory
Throughout human evolution, humankind has spent countless hours developing a more
thorough understanding of what makes leaders successful. Numerous theories on leadership,
researched and espoused, have appeared in the literature. In general, leaders are challenged with
the task of leading others who are supposed to lead themselves. Leaders influence employees to
voluntarily pursue organizational goals (Kreitner & Kinicki, 2000). Most people are familiar
with the meaning of leadership; however, it can mean different things to different people. As
much as people try to define leadership, they immediately discover its various applications. More
than 40 years ago, Bass (1960) defined leadership with the following passage:
Leadership is the observed effort of one member to change other
members behavior by altering the motivation of other members or bychanging their habits. If the leadership is successful, what is observed is achange in the member accepting the leadership (p. 447).
Studies following the Bass research focused on the objective and scientific approach to
leadership theory. There are more than 65 different classification studies developed to define the
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dimension of leadership (Fleishman, et al., 1991). These studies sought to identify different types
of leadership and to relate them to functional demands o f society. Fiedler (1967) defined
leadership as an interpersonal relation, which enables one to direct and control the actions or
behaviors o f others. He also suggested that leader were essential to organizational success.
Bryman (1986) described leadership as a social influence process in which a person steers
members of the group towards a goal (p. 2). Bass (1990a) suggested that some definitions view
leadership as the focus of group processes. From this perspective, the leader is at the center of
group change and activity and embodies the will of the group. Northouse (1998) conceptualized
several components: (a) leadership is a process, (b) leadership involves influence, (c) leadership
occurs within a group context, and (d) leadership involves goal attainment. Based on those
components, he asserted leadership is a process whereby an individual influences a group of
individuals to achieve a common goal (Northouse, 1998, p.3). In general, leadership theory can
be categorized into three areas of research: trait theory, behavioral theory, and contingency
theory.
Trait theory. Stogdill (1981) described that the personal characteristics of the leader must
bear some relevant relationship to characteristics, activities, and goals of followers (p. 67).
Bryman (1986) separated leadership traits into three categories: physical factors, ability
characteristics, and personal features. Physical factors were defined as height, weight, physique,
and appearance. Ability characteristics included intelligence, fluency of speech, scholarship, and
knowledge. Personality features were conservatism, introversion-extroversion, dominance,
self-confidence, and emotional control. According to Bass (1996), traits include capacity,
achievement, responsibility, participation, status, and situation. Yukl (2001) said that trait refers
to a variety of individual attributes, including aspects o f personality, temperament, needs,
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motives, and values (p. 175). Based on pervious research, he indicated that traits are adaptable
to situations; alert to social environment; ambitious achievement oriented; assertive; cooperative;
decisive; dependable; dominant; energetic; persistent; self-confident; tolerant of stress; and
willing to assume responsibility (p. 178).
The original theory of leadership sought to identify leadership traits. Leadership traits were
studied to determine what made the person become a great leader. Many researchers believed
that leaders were bom and not made (Stogdill, 1948; Mann, 1959). In the early stages, research
concentrated on specific traits, which clearly differentiated leaders from followers (Bass, 1990a).
In 1948 and 1974, Stogdill proposed that leadership was not a passive state, but the result of a
working relationship between the leader of the group and other group member. A leaders traits
were positively associated with their ability to lead. The studies marked the beginning of the new
approach to leadership research, which focused on leadership behaviors and leadership situations.
Mann (1959) suggested that personality traits could be used to discriminate leaders from
non-leaders. He identified strong traits o f leaders: intelligence, masculinity, adjustment,
dominance, extroversion, and conservatism. Lord et al. (1968) found that personality traits could
consistently be used to make situational discriminations between leaders and non-leaders. In
addition, Kirkpatrick and Locke (1991) contended that leadership traits make some people
different from othersan important dynamic in the leadership process.
Traits research has come frill circle as a result of renewed interest on the critical traits of
leaders. Kreitner and Kinicki (2003) described leader traits as the physical or personality
characteristics that can be used to differentiate leaders from followers. Trait theory has an
obvious logic. It seems plausible that iconic leaders, good and bad, must have some things in
common. Woodruffe (2004) re-evaluated and extended the conclusion that leaders were superior
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to followers in matter of: intelligence, dominance, self-confidence, energy-activity, and task
relevant knowledge. These traits are characteristics of leaders.
Behavioral theory. Researchers began to shift their focus from the trait theory of
leadership to the behavioral theory of leadership (Hughes, Ginnett & Curphy, 1999). Behavioral
theory emphasized what leaders actually did on their job. There are two foremost studies of
behavioral theory. One is the Ohio State Leadership Studies researched by Ohio State University
(Fleishman, 1953; Halpin & Winer, 1957; Hemphill & Coons, 1957). The result defined two
dimensions of leader behavior: interpersonal relations (consideration) and task objective
(initiating structure). Leaders having consideration, initiative, and structural dimensions, had
higher than average outcomes. The other is the Michigan Leadership Studies developed by
University of Michigan (Katz, & Kahn, 1952; Katz, Maccoby, Gurin, & Floor, 1951; Katz,
Maccoby, & Morse, 1950). They found out three types o f leadership behaviors: (a) task-oriented
behavior, (b) relations-oriented behavior, and (c) participative leadership. These behaviors
differentiate between effective and ineffective leaders.
In addition, Fiedler (1967) defined leadership behavior as the particular acts in which a
leader engages in the course o f directing and coordinating the work of his group members (p.
36). The interest in leadership behaviors aided researchers in classifying the behavior that would
enable leader to effectively influence followers (Kreitner & Kinicki, 1989).
Further research by Bryman (1986) investigated four areas o f leadership behaviors
including participative leadership, reward strategies, motivational strategies, and control
strategies. Participative leadership discussed to what extent leaders encouraged and permitted
their subordinates to play a role in decision-making. Reward strategies indicated the
differentiations between positive and negative leader reward behaviors. Bryman (1986) described
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leadership theory by introducing new dimensions for examination. Leader behavior is classified
into two types: task behavior and relationship behavior. The situational variable in the theory was
the subordinates maturity, which means the ability and willingness of people to take
responsibility for directing their own behavior (Hersey & Blanchard, 1982, p. 151). The
implication was that there is no single best way to influence people. The type of leadership style
most effective on individuals or groups is dependent on the maturity level of the people. Yukl
(1989) identified that situational theory emphasizes important factors such as the leaders
authority and discretion, the nature o f the work performed by the leaders unit, the attributes o f
subordinates, and the nature of the external environment (p. 261).
Because organizations have had to face the economic and competitive pressures formulated
in the mid 20th century, they have been focusing on boosting managements interest in creating
high levels of employee commitment, effort, and willingness to take risks for organizations. This
heightened level of interest has led to an increased focus on leader charisma (Woodruffe, 2004).
Weber (1947) is considered to have best defined charisma. He provided the most well known
definition of charisma as a special personality characteristic that gives a person superhuman or
exceptional powers, and results in the person being treated as a leader. House (1976) suggested
that charismatic leaders perform in unique ways, which have specific charismatic effects on their
followers. He proposed that charismatic leader characteristics include the ability to dominant, a
strong desire to influence others, self-confidence, and a heightened sense of ones own moral
values.
Since the House study (1976) charismatic theory has been extended and revised by Shamir,
House, and Arthur (1993). Together, they postulated that the charismatic theory transforms
followers self-concepts and attempts to link the identity of followers to the collective identity of
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an organization. In addition, Behling and McFillen (1996) specified three follower beliefs:
inspiration, awe, and empowerment play integral parts in charismatic leadership. Furthermore,
Woodruffe (2004) indicated that charismatic leadership is based on followers beliefs in the
leaders typical character and encompasses the traits of self-confidence and conviction. In sum,
those studies described similarities between charismatic leadership and transformational
leadership.
Transformation Leadership
The concept of transformational leadership was developed by Bums (1978) in his
exploration of world class leaders. He based the usage of transformational leadership on the
organizations need for change and viewed transformational leadership as a way to not only
recognize the needs of followers, but to raise those needs to a higher level of motivation and
maturity. Bums (1978) described a transformational leader as a normal agent able to empower
followers to envision a common mission, create wholeness, and collect purpose in the process of
its implementation. He also described transformational leadership as when one or more persons
engage with others in such a way that leaders and followers one another to higher levels of
motivation and morality (Bums, 1979, p. 382). This type of leadership focuses on the
identification of leadership behaviors that influence the values and aspirations of followers,
activate the followers higher order needs, and arouse them to transcend their own self interest
for organization advancement. It has since been applied to the workplace, and as such, has
received increasing attention in the industry (Stewart, 1994) and in organizational behavior
literature (Bass, 1990a; 1985).
Based upon Bums theoretical ideas, Bass (1985) suggested that transformational leaders
change the basic values, beliefs, and attitudes of followers with the end result of inspiring
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Managers also help employees use reasoning, rationality, and evidence as a mean of supporting
opinion. When employees have such managers, their thinking processes and performance are
enhanced. This type leader also increases followers confidence and responsibility. Basically,
intellectual stimulation leaders will help their subordinates learn to identify and respond to
various needs, problems, and motives (Bass & Avolio, 1994). Avolio and Bass (2002) indicated
that transformational leaders stimulate their followers efforts to be innovative and creative by
questioning assumptions, refraining problems, and approaching old situations in new ways
(Avolio & Bass, 2002, p. 2). Transformational leaders solicit their followers ideas and creative
solutions to problems, thereby including followers in problem solving (Stone, Russell, &
Patterson, 2004). The intellectually stimulating leader encourages followers to try new
approaches, while emphasizing rationality (Bass, 1990b).
Individualized consideration. The transformational leader disburses personal attention to
followers based on the individual follower needs for achievement and growth (Avolio & Bass,
2002). The considerate leader recognizes and demonstrates acceptance o f the followers
individual differences in terms of needs and desires (Stone, Russell, & Patterson, 2004). Leaders
treat each employee as an individual. They are attentive to the unique concerns of subordinates,
give them personal attention, and consider their individual development and growth needs.
Managers coach employees, through mentoring and training, all the while enhancing their
self-confidence. This leads to subordinates who respect their manager. Managers encourage
followers to propose ideas for projects that lead to organization success. This type of leadership
is attentive to each organizational members needs and interests, subsequently raising their
personal potential (Bass & Avolio, 1994). Individualized consideration is practiced as followers:
New learning opportunities are created along with a supportive climate (Avolio & Bass, 2002, p.
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2).
The four dimensions of transformational leadership are theoretically and empirically related
(Bass & Avolio, 1989). More recent theoretical developments suggest that the four dimensions
could be subsumed to one construct (Bass, 1990a). Several studies have found that leaders who
display these four behaviors are able to realign their followers values and norms, promote both
personal and organizational changes, and help followers exceed their initial performance
expectations (Jung & Avolio, 2000). Therefore, studies of the four dimensions were treated as
one underlying construct called transformational leadership.
Some studies have pointed out that transformational leadership is based on followers
emotions. Conger and Kannugo (1988) explained that leadership is a process o f attribution.
Attribution theory suggests that people construct naive theories to explain relations between
phenomena (Kelly & Michela, 1980). Conger and Kannugo (1988) also indicated that people
follow transformational leaders because they attribute to those leaders the capacity to impose
order, security, and direction in an otherwise chaotic and threatening world.
In addition, Kets de Vries (1989) explained transformational leadership in terms o f the
psychoanalytic concept of transference. According to their studies, transformational leadership is
a regressive expression of fantasies and yearnings to a past when people felt protected by strong
authority figures (Popper & Lipshitz, 1993).
Many researchers have indicated that transformational leaders typically engaged in the
following behaviors: (a) articulating a vision for the future of the organization, (b) providing a
model that is consistent with vision at hand, (c) fostering the acceptance of group goals, and (d)
providing individualized support (Yammarino & Bass, 1990a; Yuki, 1989; and others). Moreover,
transformational leadership theories predict followers emotional attachment to the leader and
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Chinese leadership (Bass, 1985; Shieh, et al., 2001).
Several studies have examined the impact o f transformational leadership in different
professions in Taiwan. For example: Shieh, Mills, and Waltz (2001) examined 11 baccalaureate
degree nursing programs and 10 associate degree nursing programs in Taiwan. The results
indicated that idealized influence and intellectual stimulation were significant and positive
predictors for job satisfaction. They suggested that nursing deans and directors should create
leadership structures that reinforce idealized influence and intellectual stimulation to establish a
satisfied work force.
Jung, Chow and Wu (2003) used Multifactor Leadership Questionnaire (Bass & Avolio,
1997) to investigate 32 companies in Taiwan electronics and telecommunication industry. The
findings support that transformational leadership has significant and positive relations with both
empowerment and an innovation-supporting organizational climate. The result showed that the
leader of each organizational subunit typically has some control over his or her units operation,
and it is reasonable that the individuals leadership behaviors should influence the motivations
and work processes of subordinates. Consequently, transformational leadership also has
significant impacts in Taiwan.
Organizational Commitment
Organizational commitment is commonly conceptualized as an affective attachment to an
organization through shared values, a desire to belong to an organization, and a willingness to
exert effort on its behalf (Mowday, Steers, & Porter, 1979). It was defined in terms o f the
strengths of an individuals identification and involvement in a particular organization.
Organizational commitment reflects the extent to which an individual identifies with an
organization and is committed to its goals (Kinicki & Kreitner, 2003) and success (Mowday et al.,
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1982). Such commitment can generally be characterized by at least three factors: (a) a strong
belief and acceptance of the organizations goals and values, (b) a willingness to exert
considerable effort on behalf of the organization, and (c) a definite desire to maintain
organizational membership (Porter et al., 1974).
Numerous studies provided a variety of views on organizational commitment that make
organizational commitment difficult to measure and identify. Meyer and Allen (1991) pointed
that organization commitment has been separated into attitudinal (affective) and behavioral
(continuance) components. They extended the concept of commitment to include desire, need,
and duty to remain in the organization.
Meyer and Allen (1991) added a third distinction- normative commitment. Normative
commitment is rooted in employees sense that they ought to remain with their organization.
Normative commitment results from the internalization pressures exerted on individuals before
entry or following entry (Hackett et al., 1994). As a result, Meyer and Allen (1991) categorized
three components of organizational commitment: affective commitment (they want to),
continuance commitment (they need to), and normative commitment (they ought to).
Affective commitment. Mowday, Porter, and Steers (1982) defined affective commitment
as an emotional attachment to an organization. They suggested four characteristics of affective
commitment included personal characteristic, structural characteristic, job-related characteristic,
and work experiences. Furthermore, Meyer and Allen (1991) described employees with strong
affective commitment continue employment with the organization because they want to (p. 76).
In addition, employees who have strong affective commitment were found to contribute
more to advancing an organization and less to leave the organization at the same time
(Laschinger et al., 2000). This commitment focuses on the process by which people come to
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consider their relationship with the organization.
Continuance commitment. Becker popularized this commitment in 1960. According to his
theory, employees make certain investments (promotions/work relationships) in their
organizations, which reduce the attractiveness of alternative employment. Mowday et al. (1982)
defined that continuance commitment relates to the process by which individuals become
locked into a certain organization and how they deal with this problem (p. 26).
Meyer and Allen (1991) indicated that continuance commitment reflects an employees
awareness of the cost associated with leaving an organization. This means employees need to
weigh the benefits of remaining with the organization against the cost of moving to another
company and starting over. Therefore, commitment is a result of incentives or exchanges
between an individual and an organization. Another way to improve the probability of
continuance commitment would be increasing the promotion aspect of employment within an
organization (Shouksmith, 1994).
Normative Commitment. Gauges an individuals feeling of obligation for remaining with a
particular organization (Meyer & Allen, 1991). Employees remained in an organization because
they felt they ought to do. Also, employees who perceive exceptionally good treatment by the
organization will have greater normative commitment. Research has posited two dissimilar
processes leading to normative commitment: characterize normative-type attachment to the
organization stem from a non-contingent, personal loyalty norm, and a felt obligation to
reciprocate particularly good treatment (Meyer & Allen, 1997).
Employees exhibiting normative commitment believe loyalty to an organization is the right
thing to do, which is based on internalized loyalty norms developed in early childhood or during
their organizational tenure (Culpepper et al., 2004). According to theory, normative commitment
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also arises from a sense of unfulfilled obligation to reciprocate unusually good treatment by the
employer (Meyer & Allen, 1997).
Finally, Meyer and Allen (1997) developed a set of three scales, referred to as
Organizational Commitment Scales (OCS), which measure the three-component model (TCM)
of organizational commitment. These scales provide organizations with an idea of the extent of
employee commitment, and what factors of organizational commitment may need more refining.
The scale o f measurement will be described more clearly in the following chapter.
Job Satisfaction
Job satisfaction is the overall feeling an employee has about his or her job. In general, the
dimensions of job satisfaction include satisfaction with pay, promotion, supervision, co-workers,
and the work itself (Porter, 1974). Job satisfaction also is defined as a delightful feeling that
results from the perception that ones job fulfills or allows for the fulfillment of important job
values (Noe et al., 2000). Bass and Avolio (1994) suggested that subordinate satisfaction refers to
two kinds of job satisfaction: one is subordinate satisfactionthe extent to which the job meets
various individual needs, and the other is leadership satisfactionis the employee happy with
the methods used by leadership to motivate workers and accomplish the goals of an organization.
Some studies indicated when employees were paid in accordance with their expectations;
they worked harder, longer, and more efficiently (Siegel & Lane, 1982). Gerhart (1987) found
that pay, status, and job complexity added explanatory power to predicting job satisfaction. He
described salary, status, or job complexity as a component of motivational factors.
Pool (1997) suggested that pay plays a secondary role in job satisfaction, and that
situational or motivational should be the primary factors. Kreitner and Kinicki (1989) pointed
to four major factors such as need fulfillment, discrepancies, value attainment, and equity as
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contributing to an employees job satisfaction or dissatisfaction. However, Timmreck (2001)
described that using rewards or money as motivation creates a trap and may fail. Research
indicated that when an employee begins to expect extra ordinary bonuses or commissions and the
rewords fall through, job satisfaction begins to set in.
Job satisfaction is usually measured through interviews or questionnaires. Examples include:
(a) The Minnesota Satisfaction Questionnaire (MSQ) (Weiss, Dawis, England, & Lofquist, 1967),
(b) The Job Descriptive Index (JDI) (Smith, Kendall, & Hulin, 1969), (c) The Job Diagnostic
Survey (JDS) (Hackman & Oldham, 1975), and et al. These scales help management understand
what their subordinates are feeling to better understand how to turn a negative situation or
employee into a positive one.
Spector (1997,1985) described job satisfaction as a core variable in research and theory of
organizational phenomena ranging from job design to supervision. He derived common facets of
job satisfaction from several job satisfaction instruments: (a) appreciation, (b) communication, (c)
coworkers, (d) fringe benefits, (e) job conditions, (f) nature o f the work itself, (g) organization
itself, (h) organizational policies and procedures, (i) pay, (j) personal growth, (k) promotion
opportunities, (1) recognition, (m) security, and (n) supervision.
Spector (1985) developed a job satisfaction instrument called Job Satisfaction Survey (JSS)
to fill the need for a measured tool for human services. It was based on previous studies and
called the Job Satisfaction Survey (JSS). JSS measured nine aspects of job satisfaction: pay,
promotion, supervision, benefits, contingent rewards, operating procedures, coworkers, nature o f
work, and communication. JSS also will be defined more clearly in the following chapter
Transformation Leadership and Organizational Commitment
Many managers believe that their most powerful resources are their personality, and the
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trust and commitment of their subordinates (Simons, 1999). Research focusing on organizational
commitment and leadership in business organizations has steadily increased in size and scope
over the years. Based on leadership styles identified by Bums (1978) and House (1977), Bass
(1985) developed transformational leadership theory to explain the way that leaders gain extra
ordinary commitment (manifested as attitudes, beliefs, and behavior) from their followers.
Transformational leadership has been found to lead to higher levels o f organizational
commitment (Arnold et al., 2001; Barling et al., 1996), and has consistently proven advantageous
on a range o f individual and organizational outcomes (Bass, 1998). For example, Barling et al.
(1996) found that followers organizational commitment was positively correlated with the
transformational leadership of their supervisors.
The relationship between transformational leadership behavior and organizational
commitment seems logical. Leaders foster the strong emotional attachment to followers through
transformational leadership (Bass, 1985). Bycio, Hackett, and Allen (1995) examined the
relationship between transformational leadership and organizational commitment suggested by
Meyer and Allen (1991). They found that the relationships between transformational leadership
and three forms of commitment were significant.
Furthermore, Kent and Chelladurai (2001) indicated that transformational leaders led to
enhance loyalty and commitment within an organization, particularly in affective and normative
commitment. They found when both charisma and individualized consideration affected
normative commitment, charismatic leadership had a great impact on the feeling of emotional
attachment of employees. Kent and Chelladurai (2001) also noted that transformational
leadership had a higher correlation with affective commitment than with normative commitment.
Transformational leadership is often identified as a process whereby the leader enhances the
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affective commitment of an organization members by getting them to profoundly alter their
attitudes and assumptions about work (Yukl, 1989), similar to organizational affective
commitment (Connel, Ferres, & Travaglione, 2003; Cook & Wall, 1980; Tan & Tan, 2000).
Affective commitment has been shown to be an outcome of transformational leadership.
Correlations have been dawn, however, between transformational leadership and continuance
commitment as well (Connell et al., 2003; Freund, 1995). Allen and Meyer (1990) indicated that
employees with a strong affective commitment remain at an organization because they want to,
while those with strong continuance commitment are said to remain because they need to.
In addition, McNeese-Smith (1995) found that inspiring a shared vision had the highest
correlation with employee job satisfaction, productivity and organizational commitment.
Podsakoff, MacKenzie, and Bommer (1996) pointed out that individualized consideration, and
inspiring a shared vision had a significant impact on trust and commitment of employees toward
the organization and supervisors. Agarwal, DeCarlo, and Vyas (1999) also concluded
consideration was significantly related to organizational commitment in both the United States
and India. Otherwise, Beaulieu, Shamian, Donnerm and Pringle (1997) showed that employees
with job-related empowerment were more committed to their organization.
Because of the linkage between empowerment and commitment, supervisors may be able to
increase the commitment of subordinates by sharing control with them. By increasing followers
awareness of the value of the jobs and their importance to the organization, transformational
leaders activate subordinates high order needs, and encourage substitution of company needs for
personal need. The result is a more committed, motivated and satisfied subordinate (Russ,
McNeilly, & Comer, 1996).
Transformation Leadership and Job Satisfaction
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Leadership and job satisfaction are recognized as fundamental elements influencing the
overall effectiveness of an organization (Kennerly, 1989). Numerous studies have shown that the
leadership style of the supervisor is related to the job satisfaction of subordinates. Early
leadership studies are concerned with transactional leadership, but recently, there are more
studies that focus on transformational leadership (Medley & Larochelle, 1995).
In 1988, Hater and Bass indicated that transformational leadership, when compared with
transactional leadership, encourages lower turnover rates, higher productivity, and higher
employee satisfaction. Delgua (1988) presented that idealized influence, inspirational motivation,
individualized consideration, and intellectual stimulation leadership styles were significant and
positive to job satisfaction.
Research conducted on the transformational leadership model by several authors such as
Avolio and Bass (1988), Bass, Avolio, and Goodheim (1987), and Howell and Frost (1989) has
demonstrated that transformational leader behaviors tend to be positively related to higher
performance and greater job satisfaction among employees of business and industrial
organizations. Transformational leadership behavior has been widely linked to positive
individual and organizational consequences (Bass, 1998). Normally, transformational leadership
correlates with high job, leader, and organizational satisfaction of employees (Bycio et al., 1995;
Manning, 2002; Niehoff et al., 1990). In other words, high transformational leaders were
believed to focus on high ideals that contribute to high level of job satisfaction (Wallance &
Weese, 1995).
Medley and Larochelle (1995) indicated that in determining the strength of the relationship
between supervisors and staff, job satisfaction scores of staff correlated with the transformational
factor scores of supervisors. At the individual level, transformational leadership had positive
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The second section presented the concept of transformational leadership developed by
Bums in 1978. According to Bass and Avolio (1994,1990) previous research uncovered four key
characteristics: idealized influence (charismatic leadership), inspirational motivation, intellectual
stimulation, and individualized consideration. They also developed the instrument called
Multifactor Leadership Questionnaire (MLQ).
The MLQ has been widely disseminated for more than 15 years both domestically and
internationally in field and laboratory scenarios within both public and private organizations to
examine a full range of transformational leadership styles (Bass & Avolio, 1997). The MLQ also
has been used to demonstrate a significant relationship between subordinate ratings of leader
effectiveness and satisfaction with the leader. In addition, this section discussed the significant
influence of transformational leadership within organizations, and provided research, which
examined the effects o f transformational leadership in different professions in Taiwan.
The third section showed important research on organizational commitment by Meyer and
Allen (1991). They pointed out three components o f organizational commitment including
affective commitment, continuance commitment, and normative commitment. Affective
commitment involved personal emotion to the organization. Continuance commitment occurred
when people felt it more beneficial to stay with an organization than to leave. Normative
commitment occurred when employees felt obligated to remain with an organization for reasons
of moral or social norms.
Furthermore, Meyer and Allen (1997) developed a set of three scales, which can measure
the three-components of organizational commitment, called Organizational Commitment Scales
(OCS) or TCM Employee Commitment Survey. These scales provide organization with an idea
of how committed employees are to the organization and what factors of organizational
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commitment may need more refining.
The fourth section described job satisfaction as the feelings employees have about the job in
general, including satisfaction with pay, promotion, supervision, co-workers and the work itself
(Porter, 1974). Spector (1985) developed a job satisfaction instrument called Job Satisfaction
Survey (JSS) presented in this section as well. JSS measured nine aspects of job satisfaction: pay;
promotion; supervision; benefits; contingent rewards; operating procedures; coworkers; nature of
work; and communication. JSS measures job satisfaction in term of human services.
The last two sections discussed the relationship between transformational leadership and
organizational commitment, and transformational leadership and job satisfaction. The result
indicated that transformational leadership within an organization significantly affects both
commitment and job satisfaction. The next chapter will describe the methodology that is used to
accomplish the proposed dissertation study.
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CHAPTER III
Methodology
Introduction
The following chapter defined the samples, instruments, research design, and procedures for
examining the relationships among different transformational leadership styles, organizational
commitment, and job satisfaction in Taiwans Information Technology industry. The following
sections include (a) the conceptual framework, (b) population and sample, (c) variables, (d)
operational definition, (e) research questions, (f) working hypotheses, (g) survey instruments, (h)
reliability and validity, (i) data collection, (j)methods of data analysis, and (k) value and limit of
the study.
Conceptual Framework o f the Study
The purpose of the proposed study was examining the transformational leadership that
exists between organizational commitment and job satisfaction to determine what direct and
indirect impact transformational leadership has on each of them. To determine how
transformational leadership affects organizational commitment and employee job satisfaction in
Taiwan's IT industry, the conceptual framework of the study is listed below (Figure 3-1). The
study discussed how the four types of transformational leadership intervene with organizational
commitment and overall job satisfaction.
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a given population (see Appendix F). The population size of subject (N) is more than 450,000.
Looking at Appendix F, the appropriate sample size should be 384. To achieve the high validity,
the sample size for this study is a total of 400 employees, randomly selected from 464 firms.
The Variables
The independent variable measured in the study is transformational leadership, which
encompasses idealized influence, inspirational motivation, intellectual stimulation, and
individualized consideration. The dependent variables to be used in the study are organizational
commitment and overall job satisfaction. Organizational commitment is characterized as
affective commitment, continuance commitment, and normative commitment. Components of
overall job satisfaction include pay, promotion, supervision, fringe benefits, contingent rewards,
operating procedures, coworkers, nature o f work, and communication.
Operational Definition
Transformational leadership. Transformational leadership (Bass, 1985) is a process by
which leaders motivate subordinates to do more than they had originally expected to do.
Leaders do so by raising subordinates awareness of the importance of the value in the outcome,
getting subordinates to transcend self-interests for the sake of the organization and expanding
subordinates portfolio of needs and wants. Bass and Avolio (1989) indicated that transformation
leaders possess and display four key characteristics: idealized influence (charismatic leadership),
inspirational motivation, intellectual stimulation, and individualized consideration.
Idealized influence. This is when leaders display conviction; emphasize trust; take stands
on difficult issues; present their most important values; and emphasize the importance o f purpose,
commitment, and the ethical consequences of decision. Such leaders are admired as role models;
they generate pride, loyalty, confidence, and alignment around a shared purpose (Bass & Avolio,
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2000).
Inspirational motivation. Leaders articulate an appealing vision of the future, challenge
followers with high standards, talk optimistically and with enthusiasm, and provide
encouragement and meaning for what needs to be done (Bass & Avolio, 2000).
Intellectual stimulation. Leaders question old assumptions, traditions, and beliefs. They
stimulate new perspectives and methodologies in others and encourage the expression of ideas
and reasons (Bass & Avolio, 2000).
Individualized consideration. Leaders deal with subordinates as individuals by
considering their individual needs, abilities, and aspirations. This is done by listening attentively,
by furthering their professional development, and by advising and coaching them appropriately
(Bass & Avolio, 2000).
Organizational commitment. Organizational commitment is the measure of employee
strength of the identification with and involvement in the goals and values o f an organization,
and the willingness to work hard for and maintain membership in an organization. Meyer and
Allen (1991) noted that definitions of organizational commitment are the view that commitment
is a psychological state that (a) characterizes the employees relationship with the organization,
and (b) has implications for the decision to continue membership in organization (p. 67).
Consequently, Meyer and Allen (1991) concluded three components of organizational
commitment: affective commitment (they want to), continuance commitment (they need to), and
normative commitment (they ought to).
Affective commitment. Affective commitment refers to employees identification with,
involvement in, and emotional attachment to an organization. Employees with strong affective
commitment prolong employment with an organization because they want to do so (Allen &
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Meyer, 1991)
Continuance commitment. Continuance commitment refers to commitment based in the
employees recognition o f the costs associated with leaving the organization. The perceived costs
of leaving an organization comprise the continuance conceptualization o f organizational
commitment. This conceptualization is characterized by the exertion of effort on behalf of the
organization to gain rewards or minimize cost. Employees who have strong continuance
commitment would expand their energy on behalf of the organization because they feel they need
to do so (Allen & Meyer, 1996).
Normative commitment. Normative commitment refers to an individuals sense of
obligation toward the organization. This conceptualization is characterized by the exertion of
effort as a result of loyalty. Employees with strong normative commitment expand their energy
on behalf of the organization because they feel they ought to do so (Allen & Meyer, 1996).
Job satisfaction. Spector (1997) described job satisfaction as a core variable in research
and theory of organizational phenomena ranging from job design to supervision. He concluded
the common facets of job satisfaction from many well-know job satisfaction instruments. They
include appreciation, communication, coworkers, fringe benefits, job conditions, nature of the
work itself, organization itself, organizational policies and procedures, pay, personal growth,
promotion opportunities, recognition, security, and supervision. The definitions of job
satisfaction characteristics are summarized as Table 3-1.
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Table 3-1
Definitions ofJSS Characteristics
Scale Description
Pay Pay and remuneration
Promotion Promotion opportunities
Supervision Immediate supervisor
Fringe Benefits Monetary and non-monetary fringe benefits
Contingent Rewards Appreciation, recognition, and rewards for good work
Operating Procedures Operating policies and procedures
Coworkers People you work with
Nature o f Work Job tasks themselves
Communication Communication within the organization
Resource from:Paul E. Spectors JSS Overview (2005)
Survey Instruments
In this study, the three sets of instruments that were selected to collect data from the samples
are Multifactor Leadership Questionnaire (MLQ), TCM Employee Commitment Survey (TCM),
and Job Satisfaction Survey (JSS). Instruments were developed through previous studies and
tested for supported validity and demonstrated reliability. The study measured transformational
leadership by using Multifactor Leadership Questionnaire (Form 5X) (MLQ-5X) developed by
Bass and Avolio (1997). The four dimensions of transformation leadership include idealized
influence, inspiration, intellectual stimulation, and individualized consideration.
The second instrument is the TCM Employee Commitment Survey developed by Meyer and
Allen (1991,1997) and characterizes the three forms of commitment: affective, continuance, and
normative. The third instrument is the Job Satisfaction Survey (JSS) developed by Spector
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1991), the TCM Employee Commitment Survey measures three forms o f employee commitment
to an organization: desire-based (affective commitment); cost-based (continuance commitment);
and obligation-based (normative commitment). The survey includes three well-validated
subscales: (a) affective commitment scale (ACS), (b) normative commitment scale (NCS), and (c)
continuance commitment scale (CCS).
There are two versions of the TCM Commitment Survey - original and revised. Each
version is designed to measure three forms o f employee commitment to an organization.
Employees respond to a series of statements pertaining to their relationship with the organization
and their reason for staying. In the original version of the survey, there are eight statements for
each of three commitment subscales. In the revised version there are six statements for each form
of commitment. Thus, the scale contained 24 items originally, but was revised to 18 items. Meyer
and Allen have given the permission to utilize their three-component commitment scales for the
proposed study (see Appendix B).
The questionnaire was modified by Cheng (2003) and translated from English to Chinese.
She modified the three-component commitment scales and ascertained the subjects perceptions
regarding their loyalty toward the organization, their willingness to exert a great deal of effort to
achieve organizational goals, and their acceptance of the organizations values. There are six
items for each of the three subscales: affective commitment, continuance commitment, and
normative commitment. Based on Chengs (2003) research, the questionnaires used in the study
will be modified. Each item represents a statement to which the subject responds on a 5-point
Likert scale ranging from 1 to 5. The respondents choices associated with these scales are: 1 =
Strongly disagree; 2 = Disagree; 3 = Neither disagree nor agree; 4 = Agree; 5 =
Strongly agree.
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The wording of four of the statements was reversed in an attempt to assure that participants
actually read the questions fully, three questions regarding affective commitment and one
question regarding normative commitment. The reverse question should reverse the scored. For
example, in reversed question, i f the scored is 2, it means 4; i f the scored is 5, it means 1. Table
3-3 indicates the items related to each subscale.
Table 3-3
Items o fEach Subscale o f Organizational Commitment
Subscale Items
AffectiveCommitment
1 (ACS01), 2 (ACS02), 3r (ACS03), 4r (ACS04), 5 (ACS05), 6r (ACS06)
Continuance
Commitment7 (CCS01), 8(CCS02), 9 (CCS03), 10 (CCS04), 11 (CCS05), 12 (CCS06)
NormativeCommitment
13r (NCS01), 14 (NCS02), 15 (NCS03), 16 (NCS04), 17 (NCS05), 18 (NCS06)
Note: Items followed by r should be reverse-scored.
Job satisfaction scale (JSS). In 1985, Spector developed the Job Satisfaction Survey (JSS)
to measure employees job satisfaction. This scale originally consisted of 36 items with nine
subscales: pay, promotion, supervisor, benefits, contingent rewards (performance based rewards),
operating procedures (required rules and procedures), coworkers, nature of work, and
communication. Each of them contains four items, with a total satisfaction score computed by
combining all of them. The higher the overall score is the greater the indication of job
satisfaction (Spector, 1997). The survey was developed for human service, public, and non-profit
sectoral organizations, but may be applicable to others as well (Spector, 1985). The permission
for using JSS has been given by Dr. Spector, the author o f JSS (see Appendix C).
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Based on original English version and Lin (2003) research, the survey was modified and
translated from English to Chinese. Each item represents a statement to which the subject
responds on a 5-point Likert scale ranging from 1 to 5. The respondents choices associated with
these scales are: 1 = Strongly disagree; 2 = Disagree; 3 = Neither disagree nor agree; 4 =
Agree; 5 = Strongly agree. Table 3-4 indicates the items related to each subscales. The
wording of 18 of the questions was reversed.
Table 3-4
Items o fEach Subscale o fJob Satisfaction
Subscale Items
Pay 1 (JSS01), 2r (JSS02), 3r (JSS03), 4 (JSS04)
Promotion 5r (JSS05), 6(JSS06), 7 (JSS07), 8(JSS08)
Supervisor 9 (JSS09), lto(JSSlO), l l r (JSS11), 12 (JSS 12)
Fringe benefits 13r (JSS 13), 14 (JSS 14), 15 (JSS 15), 16r (JSS16)
Contingent rewards 17 (JSS 17), 18r (JSS18), 19r (JSS 19), 20r (JSS20)
Operating conditions 21r (JSS21), 22 (JSS22), 23r (JSS23), 24r (JSS24)
Coworkers 25 (JSS25), 26 (JSS26), 27 (JSS27), 28r (JSS28)
Nature of work 29r (JSS29), 30 (JSS30), 31 (JSS31), 32 (JSS32)
Communication 33 (JSS33), 34r (JSS34), 35r (JSS35), 36r (JSS36)
Note:Items followed by r should be reverse-scored
Survey Instruments Translation
The original version of three instruments, MLQ-5X, TCM, and JSS, are English (see
Appendix D). For the Taiwan survey, these instruments were translated from English to Chinese
(see Appendix E). The Mind Garden Incorporation provided a Chinese version of Multifactor
Leadership Questionnaire (Form 5X) as well. The TCM Employee Commitment Survey (TCM)
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and Job Satisfaction Scale (JSS) were translated into Chinese by researchers, Chung (2001),
Cheng (2003), and Lin (2003). Based on their findings, the translated version of TCM and JSS
were validated independently by several language professors who serve as experts in
Chinese-English translation at universities throughout Taiwan. The reliability and validity o f
Chinese version instruments were described in the next section.
Reliability and Validity
Multifactor leadership questionnaire (MLQ). Transformational leadership behaviors were
measured by the MLQ-5X with the permission of Mind Garden Incorporation. Through
extensive examination of this instrument, the developers ascertained the reliabilities for the total
items and for each leadership factors scale ranged from .74 to .94 (Bass & Avolio, 1995). All o f
the scales reliability was generally high (a > .77).
However, the reliabilities within each data set generally indicated the instrument was
reliably measuring each of leadership variables across the data sets, with some minor deviations
(Bass & Avolio, 2002). The positive correlations among the transformational leadership scales
are consistent with previous studies obtained by Bass and Avolio (1990). The average
intercorrelation among the transformational leadership scales is .83. Discriminant validity
measures for all dimensions of the MLQ-5X were determined to range from .46 to .68 ; these
generally exceeded the cut-off recommended in the literature (Bass & Avolio, 2002).
Lin (2003) tested the Chinese version of MLQ-5X. All items of MLQ-5X were retained for
reliability test and analysis. Furthermore, Lin (2003) used Cronbachs Alpha (a) internal
consistency reliability for MLQ-5X. Average Cronbachs alpha values of transformational
leadership styles were .9132, which is greater than the recommended .50 level (Nummally, 1978).
The result supports the internal consistency of the responses to the MLQ-5X items.
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Consequentially, the Chinese version of MLQ 5X should have sufficient content reliability and
construct validity for the proposed study.
TCM Employee Commitment Survey. According to Allen and Meyer (1990), the reliability
for the affective commitment scale (ACS) is .87; continuance commitment scale (CCS) is .75;
and normative commitment scale (NCS) is .79. In a study of an examination of construct validity
of TCM, Allen and Meyer (1997) further examined the substantial body of evidence relevant to
the construct validation of the ACS, CCS, and NCS. In the internal consistency, according to
Allen and Meyer (1997), the median reliabilities are .85, .79, and .73 for ACS, CCS, and NCS
respectively.
Cheng (2003) used the Chinese version o f TCM for research. She indicated that the
standardized coefficient of ACS is .68(p = .01); CCS is .83 (p = .03); and NCS is .86(p = .00).
This consequence indicated that all the indicators could validly reflect the construct of
organization commitment. In addition, the construct reliability of TCM is .78, larger than .60.
This means organizational commitment is a reliable construct. In sum, the construct of the
Chinese version of TCM is valid and reliable, and fit measure for this study.
Job satisfaction survey (JSS). According to Spector (1997), from a sample 2,870 who
completed the JSS, the coefficient alphas ranged from .60 for the coworkers subscale, to .91 for
the total scale. He presented the data of test-retest reliability for JSS. The reliabilities ranged
from .37 to .74. Spector (1997) also indicated that validity evidence for JSS is provided by
studies that compared different scales with one another on the same employees. These
correlations ranged from .61 for coworkers to .80 for supervisors
Lin (2003) tested Chinese version of JSS and proposed Cronbachs alpha coefficient of pay
was .7739, promotion was .7821, supervision was .7026, coworkers was .7829, and nature of
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