This study tested the transformational leadership theory among managers at functional levels in Iranian oil companies. It examined the effects of transformational and transactional leadership styles satisfaction and self-perceived performance of followers. Self-esteem and leadership disposition (Romance of Leadership) of employees were hypothesized to act as moderators. Data was collected from employees working in the oil industry in Iran. A multiple regression analysis indicated that transformational leadership style and self-esteem were related to job satisfaction and performance. In contrast, transactional leadership and romance of leadership did not show any impact on dependent variables. Proposed moderating variables were also insignificant. Results confirmed that eliciting higher levels of satisfaction and performance among employees, managers need to demonstrate transformational leadership attributes. Importantly, results seem not to support the dominant view that both leadership styles are necessary conditions for leadership to be operationalized. National culture and other related factors were also discussed, and future research directions explored.
Awamleh, R. & Khalili, S. (2005). A test of the Transformational Leadership Model: the case of Iran. In E. Morgan & F. Fai (Eds.), Innovation, Change and Competition in International Business: Proceedings of the 32nd Annual Conference Academy Of International Business ( AIB ) (pp. 1-17). Bath, UK: University of Bath.