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Garazi Azanza 1 , Juan A. Moriano 2 , Fernando Molero 2 & Jean Pierre Lévy-Mangin 3 University of Deusto 1 Universidad Nacional de Educación a Distancia (UNED) 2 Université du Québec en Outaouais 3 . THE EFFECTS OF AUTHENTIC LEADERSHIP ON TURNOVER INTENTION: THE MEDIATING ROLE OF WORK-GROUP IDENTIFICATION AND WORK ENGAGEMENT

ICAP 2014 Authentic Leadership and Turnover Intention

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Authentic Leadership and Turnover Intention

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Page 1: ICAP 2014 Authentic Leadership and Turnover Intention

Garazi Azanza1, Juan A. Moriano2, Fernando Molero2 & Jean Pierre Lévy-Mangin3

University of Deusto1

Universidad Nacional de Educación a Distancia (UNED)2

Université du Québec en Outaouais3

.

THE EFFECTS OF AUTHENTIC LEADERSHIP ON TURNOVER

INTENTION: THE MEDIATING ROLE OF WORK-GROUP

IDENTIFICATION AND WORK ENGAGEMENT

Page 2: ICAP 2014 Authentic Leadership and Turnover Intention

To examine the relationship between employees'

perception of authentic leadership and their turnover

intention, and the underlying processes by which

authentic leaders exert their influence on turnover

intention by analyzing the mediating role of work-

group identification (WID) and work

engagement

Purpose

Page 3: ICAP 2014 Authentic Leadership and Turnover Intention

Positive

Psychological

Capacities

Positive

Organizational

Context

Self-awareness Self-regulation

behaviors

Trigger events/

Challenges

Confidence

Hope

Optimism

Resiliency

Highly

developed

organization

Authentic Leadership

Confident

Hopeful

Optimistic

Resilent

Transparent

Moral/Ethical

Future-Oriented

Associate Building

Positive Self-Development

Adapted from Avolio and Luthans (2003)

Authentic Leadership Development Model

Page 4: ICAP 2014 Authentic Leadership and Turnover Intention

Components of authentic

leadership development theory

Transformationa

l leadership

Charismati

c leadership

Servant

leadership

Positive psychological capital * * *

Positive moral perspective P P P

Leader self-awareness

Values P P P

Cognitions P P P

Emotions P P P

Leader self-regulation

Internalized P P P

Balanced processing P

Relational transparency P

Authentic behavior * * P

Leadership processes/behaviors

Positive modeling P P P

Personal and social

identification

P P P

Emotional contagion

Supporting self-

determination

P P P

Positive social exchanges P * *

Follower self-awareness

Values P P P

Cognitions P P P

Emotions P P P

Follower self-regulation

Internalized P P P

Balanced processing P

Relational transparency * * *

Authentic behavior * * *

Follower development P

Organizational context

Uncertainty P P

Inclusion P P

Ethical P

Positive, strengths-based *

Performance

Veritable

Sustained P P

Beyond expectations P P

Note. P = Focal component; * = Discussed.

Adapted from Avolio and Gardner (2005, p. 323).

Components of authentic leadership

development theory Transformational

leadership Charismatic

leadership Servant

leadership

Positive psychological capital * * *

Positive moral perspective P P P

Leader self-awareness P P P

Leader self-regulation P P P

Leadership processes/behaviors

Positive modeling P P P

Personal and social identification P P P

Emotional contagion

Supporting self-determination P P P

Positive social exchanges P * *

Follower self-awareness P P P

Follower self-regulation P P P

Follower development P

Organizational context

Uncertainty P P

Inclusion P P

Ethical P

Positive, strengths-based *

Performance

Veritable

Sustained P P

Beyond expectations P P Note. P = Focal component; * = Discussed.

Authentic Leadership vs. other positive forms of leadership

Page 5: ICAP 2014 Authentic Leadership and Turnover Intention

Authentic leadership

Self-awareness

Relational transparency

Balanced processing

Internal moral perspective

(Walumbwa, Avolio, Gardner, Wernsing, & Peterson , 2008)

Components of Authentic Leadership

Page 6: ICAP 2014 Authentic Leadership and Turnover Intention

Given the costs of turnover it should be strategically managed.

Leadership style could be an effective tool to retain key employees.

• Employee turnover linked to ineffective leadership (Abbasi & Hollman, 2000)

• High quality leader-follower relationship: leaving the organization entails psychological

loss, making withdrawal costly (Mossholder, Settoon, & Henagan, 2005).

Turnover intention

Authentic leaders elicit positive emotions and a

sense of identification with the organization

among employees, which results in positive

follower attitudes and behaviors (Avolio et al., 2004).

Page 7: ICAP 2014 Authentic Leadership and Turnover Intention

The perception of oneness with or belongingness to the work-group

or organization (Ashforth & Mael, 1989).

Members that identify with an organization may be more likely to

remain with the organization and to expend effort on behalf of the

organization (Dutton, Dukerich, & Harquail, 1994).

Negative relationship between organizational and work-group

identification and turnover intentions (Cole & Bruch, 2006; O’Reilly & Chatman, 1986; Van

Knippenberg & Van Schie, 2000).

Work-group Identification (WID)

Page 8: ICAP 2014 Authentic Leadership and Turnover Intention

Literature about the relationship between authentic leadership and WID is

scarce and not conclusive.

Theoretical support to maintain that one of the main missions of the leader is

to build a positive group identity among the members of the group (e.g.,

Haslam, Reicher, & Platow, 2011).

High correlations between transformational leadership and WID (Epitropaki &

Martin, 2005; Moriano, Topa, & Lévy Mangin, 2009).

Authentic leaders may foster employees’ WID, which, in turn, may reduce

employees’ turnover intention.

Work-group Identification (WID)

Page 9: ICAP 2014 Authentic Leadership and Turnover Intention

“A positive, fulfilling, work-related state of mind that is characterized by

vigor, dedication, and absorption” (Schaufeli, Salanova, González-Romá, & Bakker, 2002, p. 74).

Significant relationships with employee’s intention to remain in the

company (Harter, Schmidt, & Killham, 2003; Koyuncu, Burke, & Fiksenbaum, 2006; Saks, 2006; Schaufeli & Bakker, 2004).

Positive relationship between authentic leadership and followers’ work

engagement (e.g., Giallonardo et al., 2010; Walumbwa et al., 2010).

Authentic leadership may increase employee’s work engagement, which in

turn will decrease employees’ turnover intentions.

Work-Engagement

Page 10: ICAP 2014 Authentic Leadership and Turnover Intention

-

H1 +

+

H7

+ - H2

H6

H5

H3

Authentic

Leadership

Work

Engagement

Turnover

Intention

Work-group

Identification

-

H4: The relationship between AL and turnover intention will be mediated by work-group identification.

H8: The relationship between AL and turnover intention will be mediated by work engagement.

Page 11: ICAP 2014 Authentic Leadership and Turnover Intention

Sample

623 employees from 120 public and private Spanish organizations.

Gender: 56.6% women

Age: 38.17 years old (SD = 9.80)

Organizational tenure: 8.71 years (SD = 9.7)

Education: college (55.1%) or a vocational training degree (14.9%)

Procedure

Employees belonging to working groups with the same leader were asked to complete

a questionnaire by student research assistants.

Method

Page 12: ICAP 2014 Authentic Leadership and Turnover Intention

Questionnaire

Authentic leadership: Spanish adaptation (Moriano, Molero & Lévy Mangin, 2011) of the 16-

item ALQ (Walumbwa et al., 2008).

Work-group identification: Spanish version of Mael and Ashforth’s (1992) six-item

scale. The items were modified to measure participants’ identification with their

own work-group instead of identification with the whole organization.

Work engagement: the Spanish short version of the Utrecht Work Engagement

Scale (UWES-9; Schaufeli, Bakker, & Salanova, 2006).

Turnover intentions: A 3-item adaptation of the instrument developed by Meyer,

Allen and Smith (1993).

Demographic data: Age, sex, organizational tenure, education, job and sector of

activity.

Method

Page 13: ICAP 2014 Authentic Leadership and Turnover Intention

Constructs Mean SD 1 2 3 4

1. Authentic Leadership 3.16 0.90 .90

2. Work-group Identification 5.13 1.15 .36** .73

3. Work Engagement 4.73 1.38 .54** .57** .93

4. Turnover Intention 3.20 1.64 -.29** -.24** -.40** .83

Note. Diagonal elements are the square root of AVE (Average Variance Extracted) between the constructs and their

indicators. For discriminant validity, diagonal elements should be greater than off-diagonal elements in the same row

and column; ** p < .01.

Means, standard deviations, correlations, and discriminant validity

Results

Page 14: ICAP 2014 Authentic Leadership and Turnover Intention

lt

.11

-.04 (ns)

-.08 (ns)

.48

-.28**

.12

.33** .44**

.40**

Authentic

Leadership

Work

Engagement

Turnover

Intention

Work-group

Identification

Model χ2(df) p RMSEA GFI CFI

M1: Direct effects of authentic leadership (no mediation) 92.23 (13) < .001 .09 .96 .96

M2: Effects mediated only by WID 305.16 (86) < .001 .06 .93 .95

M3: Effects mediated by WID and work engagement 766.76 (242) < .001 .05 .91 .95

Fit indices for the three alternative models explaining turnover intention

Standardized estimations for the proposed model (** p < .01)

Results

Page 15: ICAP 2014 Authentic Leadership and Turnover Intention

This study is relevant for a better understanding of the processes

through which authentic leadership influences employee’s behaviors.

Work engagement seems to be the key for retaining employees.

Especially relevant to maintain motivation and performance of

employees in the present economic crisis.

Discussion

Page 16: ICAP 2014 Authentic Leadership and Turnover Intention

THANK YOU FOR YOUR ATTENTION

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