Abstract :

This study aims to investigate the effect of transformational leadership on strategic decision effectiveness. A survey method was employed for the collection of data from microfinance companies in Jordan. The data were analyzed using multiple regression techniques to empirically test the study hypothesis. The results demonstrate that transformational leadership positively affects strategic decision effectiveness. Organizations should invest more to build transformational leadership capability for their managers and provide them with adequate training programs in different aspects of transformational leadership. In addition, if these organizations seek to enhance strategic decisions effectiveness, they should focus on attracting and hiring managers who have transformational leadership attributes. Moreover, they should also take into consideration other factors, such the ability to create managerial acceptance of decisions, generate new ideas, and provide innovative alternatives and choices for the enhancement of strategic decision effectiveness. Hence, the current study, compared to existing literature, contributes to the awareness of the effect of transformational leadership on strategic decision effectiveness, especially in Jordan’s business settings.  

International Review of Management and Marketing, 9(2), pp.76-83.