Back Issues 11-20

HOW TRANSFORMATIONAL LEADERSHIP CONTRIBUTES TO PERCEIVED SERVICE QUALITY BY CUSTOMERS VIA THE MEDIATING EFFECT OF ORGANIZATIONAL INNOVATION WITHIN TAIWAN TELECOMMUNCATION COMPANIES

Ling - Hui Yang

Bachelor Degree Program of International Finance and Business Management

Chang Jung Christian University

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Abstract

This study examined the effects of transformational leadership on service quality perceived by customers within Taiwan telecommunication companies through the mediation variable of organizational innovation. SPSS 22 was conducted to analyze the data and descriptive statistics, Person correlation coefficient, and sequential multiple regression analysis were used to examine the hypotheses. As a result of this study, no correlation was found between age and service quality perceived by customers. Neither was there a correlation between length of employment and service quality perceived by customers. There was a strong and positive correlation between transformational leadership and perceived service quality by customers, as well as between organizational innovation and perceived service quality. A significant additional predictive power was found for transformational leadership after controlling for covariates, and another mediating variable (organizational innovation) mediated the relationship between transformational leadership and customers' perception of service quality after controlling for covariates. 

It provided valuable insight into the main guidelines for improving customer perception of the offered service to Taiwanese telecommunication companies. To enhance service quality perceived by customers, chief executives should develop a more individualistic approach, develop knowledge and innovation, and employ their own charismatic personalities. Because of the above conclusion, Taiwan's telecommunication industry should seriously consider how organizational innovation can be leveraged to improve service quality perceived by its customers. Furthermore, as a leader of these companies, he was supposed to develop their own unique organizational innovation that included both technological improvements and better incentives strategies to spur product adjustments, process changes, new marketing strategies, and new distribution formalities. 

Keywords: Transformational Leadership, Organizational Innovation, Service Quality, Telecommunication Companies