Role of transformational leadership in effective organizational knowledge creation practices: Mediating effects of employees' work engagement

Engagement as an area of increasing interest has been discussed in terms of a wide array of organizational policies, practices, and outcomes. This study focuses on a specific aspect of work engagement and its relationship with leadership practices and the outcome of knowledge creation. The mediating effect of employees' work engagement level was assessed to explain the relationship between transformational leadership and organizational knowledge creation practices in the Korean business context. A total of 432 cases were collected from Korean for-profit organizations. Hierarchical multiple regression analysis and structural equation modeling were used along with basic descriptive analysis and interconstruct correlation analysis to examine the structural relationships and the mediating effect among the constructs. Results found transformational leadership to be a statistically significant construct that has an impact on employees' work engagement and organizational knowledge creation practices. Additionally, employees' work engagement was found to be a statistically significant mediator that explains the relationship between transformational leadership and organizational knowledge creation practices.