• The Journal of Asian Finance, Economics and Business
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• 제8권2호
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• pp.583-593
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• 2021

The purpose of this study was to examine the relationship between transformational leadership and organizational performance with readiness to change and empower knowledge sharing quality as mediating variables. The survey was conducted by collecting the respondents' data by filling up forms which were designed using the google form application and collecting it using WhatsApp. This was performed on 400 respondents, encompassing employees from the National Agency of Drug and Food Control in Indonesia. The research model adopted was validated using Structural Equation Modeling technique with AMOS tool. The findings showed transformational leadership as a significant predictor of readiness to change and it proved relevant in empowering knowledge sharing quality, which in turn affects organizational performance. Furthermore, the effects of both two mediating variables was also examined, and only readiness to change significantly influenced the relationship between predictors of transformational leadership and organizational performance. The findings of this study showed the need for transformational leaders as the research focused on understanding the differences in employee character. This is required to encourage better performance by empowering quality knowledge dissemination mechanisms, with continuous in-house training activities. Therefore, the model adopted in this research and the hypotheses prove the direct effect of transformational leadership on organizational performance, achievable through the mediating role of readiness to change.