The Role of Transformational Leadership on the Effectiveness of Diverse Teams

Abstract

In this study, there has been focused on the role of a team’s manager on the effectiveness of a diverse organizational team. In recent years, organizations and teams have become increasingly diverse, which can cause challenges for the manager of the team. Literature is not unambiguous about the effect that diversity may have on the team effectiveness. This study (N = 103) showed that the individual’s perception of team diversity is negatively related to the elaboration of task-relevant information and collective team identification. Furthermore, I have hypothesized that transformational leadership moderates the negative relationship between perceived diversity and information elaboration. Multiple regression analysis cannot substantiate this interaction effect. A positive main effect for transformational leadership has been found. In addition, this study focused on the mediating role of collective team identification on the relationship between perceived diversity and the elaboration of task-relevant information. Results confirm the mediating effect of collective team identification. There has been discussed that the influence of perceived diversity on team effectiveness becomes insubstantial when considering the role of the team’s manager and collective team identification. However, high levels of transformational leadership do not counter the negative relationship between perceived diversity and team effectiveness. Future research should focus on developing a revised scale to measure the perception of diversity, to be able to determine whether the perception of diversity has added value above the actual objective diversity in explaining the relationship with team effectiveness.