The Effect of Organizational Culture on Sport Organization’s
Performance in Oman: The Mediating Role of Leadership Style
ISEHAQ AHMED ABDULLAH AL BALUSHI1,2, NOOR AWANIS MUSLIM1,
MOHAMED KHUDARI1
1College of Graduate Studies,
Universiti Tenaga Nasional,
Jalan IKRAM-UNITEN, 43000, Kajang, Selangor,
MALAYSIA
2Oman Olympic Academy,
Muscat,
OMAN
Abstract: - This study aims to look at the impact of organizational culture (OC) on sports organizational
performance (OP) in Oman, which specializes in leadership style (LS). The conceptual version defines OC as
the independent variable (IV), leadership style as a mediating variable (MV), and OP as the dependent variable
(DV). A survey questionnaire was used to accumulate information from 156 human beings running in sports
corporations in Oman. To check the proposed speculation, the gathered data were analyzed with the use of
Smart-PLS. The results suggest a significant relationship between organizational culture and performance.
Researchers discovered that leadership style plays a crucially major role, which has a significant impact on the
relationship between OC and OP. These findings provide valuable insights for sports organizations in Oman,
suggesting that high levels of organizational culture can enable efficiency and goal attainment in addition to
research recommending leadership styles that drive organizational performance of the face. The results of this
study serve as a basis for managers to improve their existing OC and improve OP. In addition, it contributes to
the existing literature on how effective organizational culture and leadership style are in enhancing
organizational performance, especially in sports organizations in Oman. The study also highlights the mediating
role of leadership style in relationships as it highlights the gap between OC and OP.
Key-Words: - Organisational Culture, Leadership Style, Organizational Performance, Sports Organizations,
Resource-Based View (RBV), Social Exchange Theory (SET).
Received: August 29, 2023. Revised: April 2, 2024. Accepted: May 13, 2024. Published: May 31, 2024.
1 Introduction
Sporting organizations have long become more
professional, and the globalization of sporting
activities has helped to professionalize sporting
activities not only promote physical health but also
provide visitors and economic activity also
improves in countries around the world. Increased
public awareness of sporting activities has led to
various positive societal changes. This includes
more people's participation in physical activity,
better educational outcomes, and improved
interpersonal relations, [1]. Sports organizations
have the main responsibility for driving the growth
of the sports industry through their efforts to
promote and develop sports. It's so important to
encourage and support sports at all levels. They
also research to identify and implement the best
practice methods and strategies to ensure the
success of their sports products and services.
Organizations work across national and
international boundaries to develop and provide
new ways to access and market sport and to provide
opportunities for athletes to compete in
international competitions. Finally, sports leagues
raise public awareness and increase participation in
sport, and local, national, and global economic
activities. They play a vital function in
improvement and also have an impact on the
transformation of society as an entire, [1].
OP is a degree of how nicely an organization
uses its resources and turns them into services and
products. It has qualitative and quantitative
capabilities. Qualitative dimensions include
customer satisfaction, organizational effectiveness,
and innovation. Quantitative measures include
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financial performance and operational efficiency.
Good OP can result from successful leadership and
an effective OC, [2].
Leadership styles (LS) determine how a leader
interacts with their team, while OC is formed by
shared beliefs, values, attitudes, and behaviors
within a group. It greatly impacts OP, as a positive
culture can boost performance, customer
satisfaction, and productivity. It also fosters
creativity, ownership, and innovative thinking
among employees. The LS chosen can have an
impact on the OC; democratic approaches promote
transparency and inclusiveness, whilst authoritarian
approaches generate fear and manipulation, [3].
Both LS and OC are important variables that
influence OP. Firms attempt to discover the most
effective LSs and cultures to improve their
performance. Additionally, Firms want to develop a
meaningful OC that rewards innovation and
encourages collaboration.
In conclusion, LS and OC play a critical role in
improving OP. Organizations need to ensure they
have the proper LS and OC to foster mutual trust,
open communication, and collaboration.
Organizations need to additionally make sure that
creativity and innovation are endorsed, as this will
result in superior overall performance, [4].
Therefore, this study focuses on leadership style
and organizational culture that improve
organizational performance.
In the same context, studies indicate that sports
performance in Oman is currently declining in
terms of sports achievement, economic growth, and
health. This highlights the importance of sports in
countries and societies. Factors influencing sports
organizations' performance must be examined to
ensure their effective contribution. This research
aims to evaluate the impact of OC and LS on
performance, as well as how performance
influences leadership style. Additionally, it aims to
explore the role of leadership style in the
relationship between human resource management
practices and OP. To achieve these research
objectives, an explanatory research approach is
employed. The study focuses on sports
organizations registered under Oman's Ministry of
Culture, Sport, and Youth. The target population
comprises top and middle-management employees
within these organizations.
2 Literature Review
2.1 Organizational Performance (OP)
OP can be defined as an employee's ability to
achieve the organization's goals and aspirations, [5].
it is also defined as an organization's level of
effectiveness and efficiency concerning its
specified performance indicators, [6]. According to
[7], OP is the ability of an organization to fulfill its
goals by utilizing its resources efficiently and
effectively. According to [8], OP is the
organization's output, regardless of the criteria used
to measure it. In other words, OP can be defined as
the process of meeting the organization's specified
goals by increasing efficiency, quality, productivity,
and profitability from both the customer and the
organizational perspectives.
About OP, numerous research studies have
employed various methodologies to assess it. OP is
described as an indicator of employees' ability to
conduct diverse evaluations, encompassing aspects
such as business performance, financial
performance, and overall organizational
effectiveness, [9]. Evaluation of OP involves both
quantitative and qualitative metrics, achieved
through the collective efforts of individual
employees and departments, [10]. The success of
an organization is fundamentally tied to its
performance and the extent to which it attains its
objectives, [11].
Underpinning theories form the foundation and
provide support for understanding organizational
performance. Within the relevant literature,
numerous theories explore the relationship between
different organizational variables and performance.
This study specifically considers two underlying
theories that contribute to the understanding of
organizational performance: (1) the Resource-
Based View (RBV) which has been extensively
applied in the examination of organizational
performance, [12], [13], [14], [15] and (2) the
Social Exchange Theory (SET) suggests that
employees join an organization with the
expectation of a better work environment and
culture, and they use their skills and knowledge to
achieve their goals, [16], [17].
2.2 Organizational Culture (OC)
Culture is a broad concept with different
interpretations. It was defined as a system of values,
norms, and symbols that shape decision-making
processes and interactions between people, [18].
Also, it was described as shared meanings that
impact people's focus, behavior, and value, [19].
Each culture is unique, leading to diverse
perspectives. This study focuses on how OC affects
performance. OC refers to the values, norms,
beliefs, attitudes, and assumptions that guide an
organization's behavior, [20]. It can be seen through
management style, [21]. Researchers have
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examined its relationship with innovation outcomes,
[22]. Workforce diversity impacts the definition of
OC, [23]. It can be seen as the actions and reactions
of an organization in different situations. It involves
complex connections of standards and values
shaping attitudes. OC includes values, thoughts,
expectations, and experiences gained through
socialization, [24]. It is formulated intentionally or
unintentionally by researchers. It consists of norms,
values, and procedures that shape the organization's
image and operations. The desired OC aligns with
goals and is adopted by the broader environment.
Management uses OC to support rational efforts
and employee autonomy, [25]. The main function
of directors is to create and shape the culture, [26].
OC is observed through direct control and
instruction practices. It has various aspects,
including work environment, communication, and
job involvement, [27].
2.3 Leadership Style (LS)
Leadership entails directing a group towards a
particular objective by influencing their behavior,
values, motivation, and abilities to meet
organizational goals. Leaders and superiors
influence each other in a two-way social power
system, [28]. Good LS inspires and motivates
people, creating a positive work environment, [29].
Different LSs, like dictatorial, bureaucratic,
charismatic, and participative, exist. Leaders shape
an organization's values, culture, adaptability to
change, and employee motivation, [30]. They have
a significant impact on OP. Transformational
leadership emphasizes personal values,
development, and trust, while transactional
leadership relies on rewards and incentives, [31].
OC plays a crucial role in employee behavior and
performance. A strong culture fosters understanding,
shared objectives, and desired behaviors, [32].
Leaders are responsible for establishing and
managing culture, as it influences performance.
Different levels in an organization may have
differing perspectives on culture, [33]. There is a
positive association between leadership, culture,
and organizational performance, [34]. Leaders need
to address any discord between perceived and
preferred culture for optimal employee
performance, [35]. Recruitment should align
employee experience, qualifications, and skills with
the organization's mission and vision to create a
positive organizational culture, [36].
2.4 Organizational Culture and
Organizational Performance
The influence of OC on employee behavior and
performance hinges on four pivotal concepts.
Firstly, possessing a deep understanding of the
organization's culture enables employees to grasp
its history and operational dynamics, offering
insights into anticipated future behaviors. Secondly,
OC fosters allegiance to the organization's
principles and values, fostering a collective sense
of working towards shared objectives. Success is
more attainable when employees share these values.
Thirdly, OC, with its established norms, serves as a
regulatory mechanism, guiding behaviors towards
desired outcomes and deterring unfavorable
conduct. According to [37], effective performance
can be heightened through integration and
alignment with the organization's culture. Schein's
viewpoint was emphasized by [34], that the
primary responsibility of leaders is to establish and
manage culture. Neglecting to manage culture can
result in it controlling you, with the extent of its
influence possibly going unnoticed. Another study
was conducted on organizational culture and its
impact on public service. it was recognized that
individuals at different levels within the
organization, particularly leaders and managers,
tend to have a more favorable perception of their
work environment and its culture compared to
those at the middle and lower levels, [33]. Simply
put, perspectives differ depending on whether
you're at the top, middle, or bottom. Leaders have
easier access to resources, can shape agendas, exert
control over daily interactions, and generally
receive important information before others within
or outside the organization.
It was argued that there are certain favorable
associations between LS and OC that culture
influences individual performance through
leadership. It was also stated that LS and OC are
critical for corporate success, [32]. This meant that
leaders could not be selected without first
examining the corporate culture and their
leadership behaviors to achieve excellent employee
performance. Leaders have to address any
differences between perceived and preferred OC.
[35], suggest that during recruiting, employees'
experience, qualifications, and talents should be
linked with the organization's mission and vision,
thereby creating a corporate culture.
2.5 Leadership Styles and Organizational
Performance
Certainly, the influence of leadership within a
company extends significantly to its overall success,
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employee satisfaction, and engagement. Research,
such as that conducted by [38], suggests that
effective LSs play a crucial role in inspiring and
empowering staff members for success. Leaders
must adopt and employ these effective LSs to foster
professional growth among employees, as the
relationship between LS and organizational
efficiency is robust. An effective leadership style is
recognized as a potent source of sustainable
competitive advantage and proficient growth
management, [39]. The chosen LS enables a
company to achieve its current objectives more
efficiently by aligning employee performance with
anticipated incentives and ensuring that the
necessary tools are provided. The absence of
leadership increases the likelihood of errors and
diminishes the prospects for success. In this context,
leadership, coupled with incentives and
opportunities, cultivates individuals' drive to
achieve objectives, playing a pivotal role in the
creation, communication, and transformation of OC.
Recognizing leadership as a form of power, the
ability to mobilize others to work towards common
interests is widely acknowledged as a manifestation
of effective leadership. Indeed, leadership is
intricately tied to outcomes, and leaders confront
formidable challenges in today's ever-evolving
globalized economy, where businesses grapple with
dynamic environments.
According to research, leadership styles have
inconsistent links with organizational performance,
and they can be positively or adversely connected,
[40], [41]. According to [42], OP is a replication of
a company's staff productivity as measured by
revenue, profit, growth, development, and
organizational expansion. The researcher
emphasized that investigating the impact of
organizational leadership on OP is especially
critical because leadership is seen by some
researchers as one of the determinants of company
performance. As a result, leadership effectiveness is
a valuable source of management development and
long-term competitive advantage for improving OP
[42].
2.6 Organizational Culture and Leadership
Styles
Many scholars have highlighted the close
association between OC and LS. However, there
are two opposing viewpoints in the research
regarding how a culture emerges and whether
leaders have any influence over shaping
organizational culture. Some academics believe
that the culture is inherent in the organization itself.
Something can be manipulated within the
organization. The leader can also manage and
manipulate the culture to some extent. The
opposing viewpoint contends that leaders can
establish OC and, surely, have an impact on
creating it. Leaders define and maintain the
organization's values, goals, mission, and vision,
hence shaping OC, [43]. Not only does culture
influence our interactions with one another in
everyday life, but it also has a significant impact on
whether an organization is a happy and healthy
place to work. The culture of a business provides a
framework for managers and employees.
For example, if the culture allows for easy
communication between managers and
subordinates, this can have an impact on their work
behavior and attitudes. When managers and
employees communicate well, this effective
relationship can represent a higher contribution to
organizational communication and collaboration,
thereby encouraging the achievement of the
organization's mission and objectives. Such an
organizational culture is not required for all sorts of
organizations because each organization has a
unique viewpoint on how it perceives the world
around it, as well as a set of assumptions, values,
conventions, and attitudes expressed through
symbols.
Leadership, both a subject of research and a
practical skill, involves the capacity of individuals
or organizations to guide and direct others, be they
individuals, teams, or entire organizations.
Explored extensively in management literature,
leadership encompasses various styles in work
environments, each carrying its own set of
advantages and disadvantages in organizational
management. The crucial aspect lies in the
alignment between the LS, OC, and goals.
Recognizing this, some companies adopt multiple
leadership styles to cater to specific tasks and
departmental needs, [43].
As previously highlighted, the concepts of LS
and OC hold paramount importance for
organizations. Numerous studies have underscored
a significant correlation between LS and OC.
Notably, the employee-manager relationship has
been identified as a social exchange in various
studies, [44]. It becomes imperative to ascertain the
appropriate LS for a given culture, considering that
leaders are tasked with meeting employee
expectations and effectively managing workflows
within the organization. Consequently, leadership
styles vary across different organizations.
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3 Theoretical Framework and
Hypothesis Development
The topic of OC has been extensively studied, with
varied definitions of what it involves. Even though
there is no universally recognized opinion on the
subject, there is general agreement that
organizational culture consists of a shared vision,
basic values, and underlying assumptions that
govern behavior inside an organization's units and
sub-units. In addition, several themes have emerged
in the discussion and measurement of the
organizational construct. The impact of leadership
on OC creation, as well as debates about OP as a
source of competitive advantage, stand out among
them. However, according to the extant literature,
OC is heavily influenced by the firm's
founders/leaders, who play an important role in
fostering cultural ideals and reinforcing specific
organizational behaviors. The findings in the
studied literature strongly indicated a link between
OC and OP. This study will add to the existing
research on the constructs by looking at how LS
mediates the relationship between the two
dimensions in Omani sports organizations. Based
on the literature gap, this study suggests the
following conceptual framework shown in Figure 1:
Fig. 1: Research Conceptual Framework
Based on the conceptual framework and the
mediator effect research, the following hypothesis
has been developed to investigate the relationship
between organizational culture, leadership style,
and organizational performance.
3.1 The Hypothesis of Organizational
Culture with Organizational
Performance
OC can have a significant impact on OP.
Culture is a set of shared norms, beliefs, and
values that help members of a company make
sense of the environment and guide their
actions and decision-making It can have a
profound effect on how individuals interact,
contribute to creating goals, and ultimately
affect performance. Three cultural characteristics
greatly influence organizational performance
namely work environment, job involvement and
communication. A well-prepared work environment
with appropriate conditions and good resources is
considered one of the most important reasons for
enhancing and raising productivity at the individual
level of employees. In addition, effective
communication between organizational members
that allows the exchange of ideas and discussion of
procedures is considered one of the most important
components which enhance the organizational
performance. In the same context, participation in
the workplace for all levels of management is one
of the important aspects of encouraging and
motivating employees to cooperate, exchange
opinions and ideas, and create opportunities for
innovation and research activities that certainly
benefit and support institutional performance in
general. Therefore, a good organizational culture
can influence performance in many different ways
effectively and contribute to achieving goals and
success. Ultimately, these aspects of culture can
lead to organizational efficiency and
effectiveness. Based on the above discussion,
this study made the following hypotheses:
H1. Organizational culture has a significant effect
on organizational performance.
3.2 The Hypothesis of Leadership Styles
with Organizational Performance
When it involves OP, both transformational and
transactional LS have a major effect.
Transformational leaders can inspire staff to
maintain high-performance levels consistently and
think long-term about goals and objectives.,
behavioral leaders, alternatively, provide a greater-
centered technique for achieving precise goals and
goals. Each LS has its precise effect on overall
performance. Transformational leaders work best in
situations in which lengthy-time period fulfillment
is needed, including whilst an employer desires
Organizational
Culture
Work Environment
Leadership
Style
Organizational
performance
MV
IV
DV
H4
H3
H
2
H1
Communication
Financial
Performance
Job Involvement
Organizational
Effectiveness
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growth or innovation. These leaders may excite and
inspire their employees and staff to remain engaged
and make significant contributions to the firm's
development. They employ a variety of ideas and
techniques to challenge and motivate their
employees and staff. Transactional leadership is
particularly effective in situations demanding a
very clear consequence or aim, such as fulfilling
tight deadlines or cutting expenses. It is a more
directive LS that requires followers to complete
certain tasks to earn a reward. This LS is ideal for
completing work swiftly and efficiently. To
summarize, both transformative and transactional
LSs have a major impact on OP. Each style has
advantages and should be used in the appropriate
setting. Transformational leadership and
transactional leadership are two types of leadership
styles, where transformational leadership is
considered more appropriate for long-term goals.
On the other hand, transactional leadership is
considered more related to specific goals. To ensure
the enhancement of institutional growth and
productivity, the two styles, transformational
leadership and transactional leadership, must be
used. From the previous discussion, the study
identified the following hypotheses:
H2. Leadership style has a significant effect on
organizational performance.
3.3 The Relationship between the
Organizational Culture and
Leadership style
Leadership style is greatly influenced by
organizational culture in the context of interaction
and cooperation between employees within the
organization as well as in their performance of the
tasks assigned to them. This is also confirmed when
the organization establishes the principles of clarity
and transparency within departments and divisions,
which directly contributes to increasing the interest,
desire, and partnership among employees in
performing their work.
Therefore, the principles of transformational
leadership are emphasized in terms of motivating
employees and empowering them to perform tasks
and ideas to improve performance. On the other
hand, the transactional leadership style is followed
in terms of focusing on regulations, improving
procedures, and exploiting the smaller number of
human resources to reach high levels of
performance.
This style may limit innovation in problem-
solving by prioritizing sustaining the current
situation.
Ultimately, organizational culture greatly
influences leadership approaches.
Organizations should strive for a culture of
engagement and openness to enable employees to
take ownership of their projects and performance.
This encourages transformational leadership and
allows employees to achieve higher levels of
success. Based on the above discussion, this study
proposed below hypothesis:
H3. Organizational culture has a significant effect
on leadership styles.
3.4 The Mediating Role of Leadership Style
between Organizational Culture and
Organizational Performance
The effects of these two LSs on OP are mediated by
the OC, specifically the work environment,
communication, and job involvement. In terms of
work environment, A positive, supportive work
environment enhances productivity and innovation,
while a negative work environment can result in
low morale and reduced motivation.
Communication is also an important factor in
determining how the LS affects the OP. Effective
communication protocols help ensure that
employees can effectively collaborate toward
common goals and that any difficulties that occur
are addressed promptly. Furthermore, job
participation plays a role; the more invested a staff
person is in their role, the more likely they are to
demonstrate commitment and take ownership of
duties, resulting in greater performance. Overall,
the effects of organizational culture on performance
are mediated by the leadership style chosen.
Transformational leadership promotes a flexible,
open work culture that motivates employees to
embrace new challenges and boost creativity. In
contrast, transactional leadership fosters a rigid
hierarchy focused on rewards/punishments,
potentially diminishing employee motivation.
Ultimately, leaders should strive for a balance of
both styles to create an effective work culture that
will result in improved performance. Based on the
above discussion, this study proposed below
hypothesis:
H4. Leadership styles mediate the effect of the
Organizational culture (work environment,
communication, and job involvement) on
organizational performance.
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4 Research Methodology
This study adopts an explanatory research approach
to address research questions and achieve its
objectives. Explanatory research aims to establish
causal relationships between variables and focuses
on understanding the connections between them in
a learning context, [45]. In this study, we will
examine independent, dependent, and mediating
variables, and collect data for hypothesis testing.
Our goal is to explore the mediating influence
between independent and dependent factors. By
using statistical tests, we seek to verify correlations
among the dependent, independent, and mediating
factors, categorizing this study as explanatory
research.
Given the well-defined variables and the
availability of numerical data, we employ a
quantitative method for this study. This approach
allows us to address relational issues regarding the
variables. This research process involves
identifying the research problem, developing a
conceptual framework, formulating hypotheses,
conducting a literature review to fill knowledge
gaps, collecting quantitative data through a
questionnaire, and subsequently analyzing the data.
The main aim of this study is to examine the
factors that contribute to the success of sports
organizations in Oman. Our survey encompasses all
registered sports organizations in Oman, totaling 59
organizations, including the Ministry of Culture,
Sport, and Youth, the Olympic Committee, sports
associations, and sports clubs (Ministry of Culture,
Sport, and Youth, 2019). This study takes a
comprehensive approach by including all types of
sports organizations and carefully selecting middle
and top-management employees from the target
population. These respondents possess valuable
experience and knowledge regarding the factors
that impact sports organization performance. To
ensure reliable results, we have used Raosoft's
decision model, which guides determining an
appropriate sample size and design. Based on
Raosoft's recommendations, we chose a sample
size of 152 participants to generalize the findings to
a population of 236.
The measurement items in this study were
adapted from well-established scales found in
academic literature. The survey questionnaire
consists of two parts. Section A comprises
questions related to the respondents' demographic
profile, while Section B measures the independent,
dependent, and mediating variables. To maintain
respondent anonymity, we have included a cover
letter that explains the objectives of the research.
The measurement of the work environment
draws upon, [46] work, while the assessment of
communication and job involvement relies on the
scales developed by [47]. The measurement of
transformational and transactional leadership styles
is based on the work of [48]. Lastly, the
measurement of organizational performance
utilizes the scales employed by [49]. We use a 5-
point Likert scale ranging from 1 to 5 (strongly
disagree to strongly agree) for responses.
5 Results and Discussion
This research aims to investigate how the culture
within organizations impacts sports organizations
in Oman. To ensure a good response rate, [50].
recommended surveying individuals directly
involved. The goal was to survey 200 sports
organizations, and a total of 173 surveys were
successfully collected. Among these, 17 surveys
were incomplete and therefore excluded. Ultimately,
156 completed questionnaires were considered
valid for the final analysis.
To determine the reliability of the study's
variables, an examination was conducted on the
framework. Table 1 presents the reliability of each
variable using Cronbach's Alpha. It is important to
note that the reliability of all variables exceeded the
recommended threshold of 0.70, as set by
researchers, [51], [52]. Furthermore, the analysis
indicated that all external loading values were
above 0.70, which is a significant finding. This
suggests that no indicators should be removed from
the measurement. In terms of recommendations,
[53], proposed using external loadings of 0.70 and
a significance criterion of 0.05.
5.1 Demographic Profile of Respondents
The primary goal of using demographic data was to
ensure that the information obtained was correct.
Table 2 provides background information on survey
respondents. The data was collected from 156
individuals, with 82% being male and 18% being
female. Following that, the majority of their age
group (48 percent) ranges from 41 to 50 years old,
with a Master's degree (43 percent).
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Table 1. Outer Loading for Constructs and Cronbach's Alpha
Variable
Dimension Loadings
Cronbach's Alpha
p-value
Organizational
Culture
Work Environment
WE1 0.902
WE2 0.904
WE3 0.876
WE4 0.884
0.914
0.000
Communication
COM1 0.912
COM2 0.889
COM3 0.895
COM4 0.897
0.920
0.000
Job Involvement
JI1 0.881
JI1 0.825
JI2 0.857
0.815
0.000
Leadership Style
Transformational
Leadership Style
TFL1 0.941
TFL2 0.963
TFL3 0.896
TFL4 0.894
TFL5 0.914
TFL6 0.734
TFL7 0.930
TFL8 0.904
TFL9 0.915
TFL10 0.893
TFL11 0.872
TFL12 0.953
0.979
0.000
Transactional
Leadership Style
TRL1 0.882
TRL2 0.715
TRL3 0.735
TRL4 0.848
TRL5 0.783
TRL6 0.835
TRL7 0.896
0.934
0.000
Organizational Performance
OP1 0.848
OP2 0.929
OP3 0.929
OP4 0.849
OP5 0.935
0.940
0.000
Table 2. Demographic Profile of Respondents
Demographic
Factor
Category
Frequency
Percent
Gender
Male
128
82%
Female
28
18%
Age Range
20 - 30 years old
22
14%
31 - 40 years old
45
29%
41 - 50 years old
75
48%
50 years above
14
9%
Qualification
PhD
5
3%
Master
68
43%
Bachelor
63
41%
Diploma
20
13%
Working
Experience
Below 1 year
29
18.3%
2 – 5 years
62
40%
6 – 10 years
31
20%
Above 10 years
34
21.6%
5.2 Hypothesis Testing
Smart PLS serves the primary goal of reducing
errors or maximizing the amount of variation
explained in the dependent variables using a
specific amount of information. The structural
model facilitates the determination of the size and
significance of route coefficients. To evaluate the
structural model, bootstrapping is required for PLS-
SEM. When Smart PLS is employed to assess the
hypotheses, it provides bootstrapping results such
as the significance level and t-statistics. Table 3
displays the assumptions about the research on the
structural model.
Table 3. Hypothesis Results
Hypotheses
Relationship
T-
Statistics
P-
Value
Results
H1
OC OP
5.195
0.00
Accept
H2
LS OP
6.770
0.00
Accept
H3
OC LS
6.460
0.00
Accept
H4
OC OP
LS OP
OC LS
3.448
3.533
6.692
0.00
0.00
0.00
Accept
P-Value < 0.001, P-Value < 0.01, P-Value < 0.05
Note: Organizational Culture (OC), Leadership Style
(LS), Organizational Performance (OP).
Hypothesis 1 (H1): The results from Table 3
showed a statistically positive (T- Statistics = 5.195)
and significant (P<0.001) relationship between
organizational culture and organizational
performance, thus validating the hypothesis. The
results concluded that OC has a direct impact on
organizational performance. A positive OC
encourages employees to be happy and engaged in
their work and committed to the goals of the
organization. This leads to greater productivity,
higher productivity, and improved customer service.
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DOI: 10.37394/23207.2024.21.112
Isehaq Ahmed Abdullah Al Balushi,
Noor Awanis Muslim, Mohamed Khudari
E-ISSN: 2224-2899
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A positive culture encourages innovation,
collaboration, and open communication, which can
lead to better performance and better problem-
solving. A successful OC strengthens an
organization’s ability to attract and retain top talent
and build relationships with customers, suppliers,
and other stakeholders. The bootstrapping analysis
of the H1 is shown in Figure 2.
Fig. 2: Bootstrapping Analysis of Hypothesis 1
Hypothesis 2 (H2): Table 3 showed that the results
are positive significant (T- Statistics = 6.770) and
significant (P<0.001) relationship among LS and
OP, as a consequence validating the hypothesis
which the results concluded that transformational
leadership is a leadership style that specializes in
handing over a clear imaginative and prescient and
motivating other to observe it. It is a way of valuing
humans, encouraging personnel to take part in
selection-making, and presenting opportunities for
employees to increase their competencies and
increase their potential. This LS has established
effectiveness in effecting change and improving OP.
Transactional leadership is an LS that makes a
specialty of replacing rewards for performance. It is
a systematic approach that emphasizes using
rewards, punishments, and other incentives to
encourage employees. This leadership style can be
effective in maintaining overall performance but
might not be so powerful in introducing trade or
encouraging innovation. Overall, the effectiveness
of transformational and transactional LS can vary
depending on the context and goals of the
organization. The bootstrapping analysis of the H2
is shown in Figure 3.
Fig. 3: Bootstrapping Analysis of Hypothesis 2
Hypothesis 3 (H3): As shown in Table 3, there is a
strong relationship between OC and LS, thus
supporting the hypothesis. The findings indicate
that OC determines an organization's strategies,
policies, practices, and behaviors. Transformational
LS has a significant impact on employees' behavior
and relationships, as well as the organization's
overall effectiveness. By encouraging and
motivating employees to reach goals, this LS
cultivates trust, respect, and collaboration. A
supportive OC plays a key role in the success of
transformational leaders by encouraging
communication, teamwork, and dedication. In
contrast, transactional leadership relies on rewards
and punishments and can be effective in
organizations with negative OC, where employees
may feel disconnected and uninspired. In
conclusion, OC greatly impacts LS. The
bootstrapping analysis of the H3 is shown in Figure
4.
Fig. 4: Bootstrapping Analysis of Hypothesis 3
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DOI: 10.37394/23207.2024.21.112
Isehaq Ahmed Abdullah Al Balushi,
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Hypothesis 4 (H4), LS mediated the relationship
between OC towards OP. The results from Table 3
showed a statistically positive and significant
(P<0.001). The results conceded that the LS
provides direction and guidance, which helps to
shape the OC. The OC, in turn, affects the OP. As
such, the LS is a mediating factor between the OC
and the OP. By influencing the OC, the LS helps to
shape OP. The bootstrapping analysis of the H4 is
shown in Figure 5.
Fig. 5: Bootstrapping Analysis of Hypothesis 4
6 Conclusion
This study investigates the effects of organizational
culture on the performance of sports organizations
in Oman and the mediating role of leadership style
in this relationship. Organizational culture has long
been recognized as an important factor in the
success of any organization. In the context of sports
organizations, organizational culture has been
linked to successful performance.
The study aimed to investigate the effect of
organizational culture (work environment,
communication, and job involvement) on sport
organization’s performance in Oman. The results
revealed that OC plays a significant role in
predicting sports organization’s performance.
Moreover, results showed that LS (transformational
and transactional) mediates the relationship
between organizational culture and sports
organization’s performance.
The findings of this study can contribute to
previous research on OC and LS. Specifically, the
relevance of the OC factors along with their
relationship with LS has to be further supported.
Additionally, it is essential to perform similar
research among different kinds of organizations and
sectors to create a better understanding and
application of knowledge in this field.
Overall, this study has highlighted the
importance of organizational culture (work
environment, communication, and job involvement)
on sport organization’s performance in Oman.
Moreover, it has provided relevant insights into the
mediating role of LSs (transformational and
transactional) in organizations. It has further
emphasized the need for effective organizational
cultures to ensure improved performance of a
sports organization.
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Contribution of Individual Authors to the
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problem to the final findings and solution.
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Scientific Article or Scientific Article Itself
No funding was received for conducting this study.
Conflict of Interest
The authors have no conflicts of interest to declare.
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