The Relationship between Transformation Leadership, Job
Satisfaction and Employee Motivation in the Tourism Industry
NGUYEN QUANG VINH
Faculty of Business Administration, Hanoi, Vietnam
University of Labour Social Affairs
VIETNAM
LUC MANH HIEN*
Faculty of Business Administration
University of Labour Social Affairs
VIETNAM
QUANG HUNG DO
Faculty of Information Technology
University of Transport Technology
VIETNAM
Abstract: - The objective of this study is to investigate the relationship between transformation leadership,
job satisfaction, and employee motivation in the Vietnam tourism industry (VTI). In the study, data were
collected from 207 respondents from different organizations related to the tourism industry, then partial
least squares structural equation modeling (PLS-SEM) was employed for the analysis. The findings indicate
that the paths between inspirational communication, personal recognition, supportive leadership, vision,
and job satisfaction are highly significant. However, the intellectual stimulation does not positively affect
job satisfaction. In addition, the path of job satisfaction and employee motivation is significant. This
research also shows that there is only supportive leadership has a direct positive effect on employee
motivation. The findings can be used as reference for tourism company managers to consult and improve
their knowledge, skills, and leadership qualities.
Key-Words: Transformation leadership, job satisfaction, employee motivation, Vietnam tourism
industry.
Received: March 13, 2022. Revised: March 17, 2023. Accepted: April 15, 2023. Published: May 30, 2023.
1. Introduction
In 2020, Vietnam's tourism faced many
difficulties due to the impact of the COVID-19
epidemic. In addition to solutions to overcome
difficulties and prevent the epidemic, there have
been an attempt to restructure the tourist market
(see Chen et al. [11]). In this context, the
development of human resources needs to be
given more attention to be ready for the recovery
and implementation of sustainable tourism
development strategies in the future.
Like other industries, human resources are
equipped with the necessary knowledge and skills
that play an important role in the development of
tourism products as well as travel services. This
is also considered one of the key factors that
increase competitiveness and survival in the
tourism market for each of the country’s
businesses, localities, and tourism industries (see
Carnevale and Hatak [11]). According to the
General Department of Tourism (Ministry of
Culture, Sports and Tourism), each year, the
whole industry needs approximately 40,000
employees, but the current number of students
graduating in the tourism field is approximately
15,000 people; more than 12% of these have
college or university degrees or higher. In many
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localities with thriving tourism industries, human
resources are always a difficult issue because of
the workforce, especially the serious lack of
direct labor. There is a large gap in the number of
employees in the hotel industry compared to the
number of workers needed in the future. There are
increasing requirements for improving the quality
of human resources and transparency in the
recruitment market. Choosing the right staff is a
big challenge. Competition for personnel in the
industry will lead to employees' intending to quit
and transfer jobs, affecting business operations,
financial costs, human resource management, and
employee cohesion in hotel operations (see Zavei
and Jusan [43]).
In that context, leadership and leadership style
are the key factors that help businesses overcome
difficulties. Studies show that being a good leader
takes a lot of effort, knowledge, skills, and
especially leadership style. Leadership does not
always mean applying only one leadership style
to every employee, but choosing a leadership
style that is appropriate for their qualifications
(see AlShehhi et al. [2], Asrar-Ul-Haq et al. [5]
and Tafvelin [37]). Many people fail to manage
the team because they are not aware of this point;
they set requirements that are too high for new
employees or give good employees too little
space to be proactive and creative at work. This
causes subordinates to lack confidence in the
leader or obey, but not feel comfortable
developing their full capacity. Therefore, if the
leader wants to exploit the human resources of the
team or company (i.e., talent, intelligence,
enthusiasm of employees), the leader needs to
understand that leadership is different and how to
effectively lead an employee or team in practice.
Previous studies have demonstrated the success
of transformational leadership in delivering
employee satisfaction and employee motivation
in the tourism industry (see Khan et ,al. [20], Li
et al. [24], Mittal and Dhar [28], Mohamed [29]
and Vargas-Sevalle, Karami, and Spector [38]).
However, these studies have not yet clarified the
specific relationship of these factors. Leadership
transforms into employee satisfaction and work
motivation. In addition, in Vietnam, studies
mainly focus on the factors affecting work
motivation (see Bch and Tun [8]) or factors
affecting employee satisfaction (see [40]).
However, few studies have assessed the
relationship between the factors of
transformation leadership, satisfaction, and
employee motivation. In the context of the
complicated COVID-19 epidemic, the tourism
industry will still face many difficulties. This is
the time for leaders of travel agencies, hotels,
restaurants, transportation, and entertainment
spots to retain employees, encourage employees
to work hard and work with the business to
overcome challenges and prepare conditions to
welcome tourists back after the pandemic.
Therefore, this study aims to evaluate the
influence of transformation leadership factors on
employee satisfaction and motivation in the
context of the complicated COVID-19 epidemic.
Transformational leadership is the leader’s
ability to motivate followers to rise above their
own personal goals for the greater good of the
organization (see Elbaz and Haddoud [13] and
Guay [16]). It was theorized that the
transformational style of leadership comes from
deeply held personal values that cannot be
negotiated and appeal to subordinates’ sense of
moral obligation and values. Transformational
leaders go beyond transactional leadership and
are characterized as visionary, articulate, assured,
and able to engender confidence in others to
motivate them to surpass their usual performance
goals. Transformational leaders attempt to
stimulate the undeveloped or dormant needs of
their subordinates. Intellectual stimulation
represents the cognitive development of the
follower and occurs when the leader arouses
followers to think in new ways and emphasizes
problem-solving and the use of reasoning before
taking action. The idea is that the
transformational leadership style can help
tourism organizations overcome the challenges of
the COVID-19 pandemic by encouraging
teamwork, opinion sharing, and effectively
tackling crises. Therefore, this study aims to
evaluate the influence of transformation
leadership factors on employee satisfaction and
motivation in the context of the complicated
COVID-19 pandemic.
2. Literature review
It was reported that over the last few decades,
organizations have had relatively significant
success with various kinds of transformational
leadership models. A leading example is Kouzes
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and Posner’s (see Kouzes and Posner [21])
model, which offers a leadership model with five
distinct practices that outstanding leaders use to
influence employees’ performance. This model
consists of some of the key elements of
transformational leadership styles. The five
practices of exemplary leadership are:
(a) challenging the process: searching and
seizing challenging opportunities to change,
grow, innovate, and improve, with the
willingness to take risks and learn from mistakes;
(b) inspiring a shared vision: enlisting
followers’ support in a shared vision by appealing
to the followers’ values, interests, and
aspirations;
(c) enabling others to act: achieving common
goals by building mutual trust, empowering
followers, developing competence, assigning
critical tasks, and providing continuous support;
(d) modeling the way: being a role model and
being consistent with shared values; and
(e) encouraging the heart: providing
recognition for success and celebrating
accomplishments.
Relationship theories, also known as
transformational theories, focus on the
connections formed between leaders and
followers (see Khan et al. [20]). In these theories,
leadership is the process by which a person
engages with others and is able to “create a
connection” that results in increased motivation
and morality in both followers and leaders.
Relationship theories are often compared to
charismatic leadership theories in which leaders
with certain qualities, such as confidence,
extroversion, and clearly stated values, are seen
as best able to motivate followers (see Lamb
[23]).
Relationships, or transformational leaders,
motivate and inspire people by helping groups of
members see the importance and higher purpose
of the task. These leaders are focused not only on
the performance of members but also on the
ability of each person to fulfill his or her
potential. Leaders of this style often have high
ethical and moral standards (see Cherry,
Sorenson, and Phelps [12]). Xian et al. (see Xian,
Li, and Huang [14]) examined the relationship
between transformation leadership and removing
employees’ work-related uncertainties and
ambiguity when facing an uncertain
environment; the results showed that there was a
strong significant relationship between
transformational leadership and uncertainty
reduction among employees. Moreover, the
results also revealed that supervisor involvement
boosted employees’ morale as a contributing
factor to ambiguity and uncertainty reduction. As
stated by Andreani and Petrik [4], if the leader
understands the differences in each employee and
appropriately recognizes employees' work, they
will feel satisfied because they are valued
individually. Kreitner and Kinicki [22] found that
employees love their jobs if they are arranged
properly according to their expertise, which they
devote to the organization. Job satisfaction and
dissatisfaction not only delve into the nature of
the job but also depend on the expectations of
employees on the job (see Mahmoud [29]). Job
satisfaction is a complex phenomenon with many
aspects that are affected by factors such as salary,
working environment, self-control,
communications, and organizational
commitment. Naeem and Khanzada [30]
explained that leadership style has a strong
impact on employee job satisfaction and that
different leadership styles also influence job
satisfaction and employee motivation. Shafi et al.
[35] show the positive relationship between
transformation and employee creativity, while
Zareen et al. [42] concluded that among three
types of leadership styles (transactional,
transformational, and laissez-faire), the
transactional leadership style has the strongest
impact on employee motivation.
Related to leadership in the tourism industry,
Mao et al. [27] also discussed leadership style
impacts on employee self-efficacy, hope,
resilience, and optimism through employee
satisfaction with corporate COVID-19 responses.
Using data collected from 505 travel agents
operating in Egypt, Elbaz and Haddoud [13]
show that not all leadership styles have a positive
influence on employees’ satisfaction. Their study
also shows that a positive influence takes place
through the development of wisdom leadership.
Its creators note that the questionnaire represents
an effort to collect as much information as
possible for leadership behaviors—from
avoidance to idealized leadership— while it
differentiates effective from ineffective leaders
(see Puni, Mohammed, and Asamoah [34]). It
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focuses on individual behaviors and leaders’
characteristics, which are evaluated by their
colleagues, regardless of their position, and in
relation to leaders-evaluators (see Vasudeva and
Nayan [39]). Transformational leadership is
based on 4 elements described by Bernard A.
Bass (see Bass [7]): Idealized Influence,
Intellectual Stimulation, Individualized
Consideration, and Inspirational Motivation;
since then, they have been the focal point of
numerous studies. However, there are limited
studies on the relationship between
transformation leadership, job satisfaction, and
employee motivation in the tourism industry, and
the transformational leadership factor should be
revised. As a result, by using in the form of the
transformation leadership model developed by
Bass (see Bass [6]), this study attempts to develop
the theory for tourism leadership style to identify
five sub-dimensions of transformational
leadership that will demonstrate discriminant
validity with each other and with outcomes.
Tourism staff is said to have low motivation,
especially in the context of the COVID-19
pandemic (see Sobaih et al. [36]). Based on the
above discussions, following hypotheses are
proposed:
H1e: There is a relationship between vision as
a dimension of transformation leadership style
and job satisfaction in VTI.
H2a: There is a relationship between
inspirational communication as a dimension of
transformation leadership style and employee
motivation in VTI
H2b: There is a relationship between
intellectual stimulation as a dimension of
transformation leadership style and employee
motivation in VTI.
H2c: There is a relationship between the
personal recognition dimension of a
transformation leadership style and employee
motivation in VTI.
H2d: There is a relationship between the
supportive leadership dimension of the
transformation leadership style and employee
motivation in VTI.
H2e: There is a relationship between vision as
a dimension of transformation leadership style
and employee motivation in VTI.
H3: There is a relationship between job
satisfaction and employee motivation in VTI.
3. Research method
The quantitative method is used to validate the
relationship among factors of transformation
leadership, job satisfaction, and employee
motivation.
3.1. Questionnaire Design
This research applies Bass’s (see Bass [6])
transformation leadership theory, which includes
five factors: articulating a vision, intellectual
stimulation, inspirational communication, and
personal recognition. Supportive leadership and
Transformation leadership style items were
developed from measures produced by (see
House [19]), House [19] and Podsakoff et al. [33],
and new items related to the COVID-19
pandemic were added to each dimension (Table
1). Items were chosen based on how well they
assessed the theoretical construct under study.
From the scale of Braun et al. [9], this study
selects five items of job satisfaction. Motivation
levels (three items) were developed by the
authors and selected from the study of Gagné et
al. [15].
Table 1: Item’s selection.
Dimension/factor
Items
Source
Vision
There is a clear orientation towards where we are going
House [19]
The organization's goals over the next five years are clearly
defined/defined by the leadership
Have a clear idea of what is going on in the tourism industry
after the COVID-19 pandemic
Authors
Inspirational
communication
Always say things that make employees feel proud and part of
the organization
Podsakoff et al. [33]
Say positive things about my organization
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Encourage people to see the COVID-19 pandemic as an
opportunity for the tourism industry.
Authors
Personal recognition
Praise me when I do a better job than average
Podsakoff et al. [33]
Recognizing the improvement in quality in my work
Praise me personally when I do excellent work
Intellectual stimulation
Challenge me to think about old issues in a new way
House [19]
Some comments forced me to rethink something that I had never
asked before
Have challenged me to rethink some of my negative
assumptions about my job in COVID–19
Authors
Supportive leadership
Considers my personal feelings before acting
House [19]
My leaders always mobilize collective consciousness to fulfill
the mission
I am completely confident in my leadership under the impact of
COVID – 19
Authors
In my mind, leadership is now a symbol of safety and prosperity
Job satisfaction
I am satisfied with my job
Braun et., al. [9]
I am happy with the way my colleagues and superiors treat me
I am satisfied with what I achieve at work
I feel satisfied because of the comfort I am provided at work
I am satisfied with my pay
Work motivation
I enjoy working every day and performing at my best
Gagné et al. [15]
I am proud to work in this company because it recognizes my
achievements.
I feel optimistic about my future success with the company
I have a strong belief in my company after COVID-19
Authors
3.2. Sampling Design
The target population is employees who are
currently working in the tourism industry,
including travel agencies, hotels, restaurants, and
entertainment spots. The most important reasons
that researchers use methods of nonprobability
sampling are the savings in cost and time. In
addition, the author also reminds us that
probability sampling does not always ensure
accuracy, and in some cases, probability
sampling is not possible. However, the authors
also state that the biggest weakness of the
nonprobability sampling method is that a
subjective idea in the sampling process could lead
to distorted research findings.
Samples were collected randomly from the list
of tourism employees in Hanoi in the last three
years. The sample size is, at a minimum, the
number of variables multiplied by five.
Therefore, the sample size here is 350
respondents. To avoid invalid responses, the
respondents were chosen from 10 companies
(travel agencies, hotels, restaurants,
transportation, and entertainment spots).
Questionnaires were sent to each employee as
registered on the list; before that, the researcher
made phone calls to confirm the interview and
questionnaires. The survey was conducted in
2020, and the delivery and collection of the
questionnaires was conducted from July to
September 2020. The invalid responses were
removed.
3.3. Pilot test
The pilot test was conducted in May 2020 for the
first version of the questionnaire. Questions were
sent to 30 tourism employees who were attending
an MBA class of the University of Labor and
Social Affairs, 10 economic professors in
universities, and 10 tourism managers in Hanoi to
check their understanding of the question items.
Then, the question was finalized and considered
ready for data collection.
To test this model, a structural equation
modeling (SEM) model was applied. There are
two analytical techniques applied in the SEM
model, covariance-based (CB-SEM) and partial
least squares (PLS-SEM). According to Hair at
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al. [17], the number of published PLS-SEM
studies has increased exponentially since 2000, as
PLS-SEM has advantages over CB-SEM in the
following scenarios: small sample size,
nonnormal data set, complex models with many
indicators, and constituent models. Overall, the
mix of advantages and disadvantages means PLS
is favored as a predictive technique and not as an
interpretive technique, except for exploratory
analysis as a prelude to an interpretive technique
such as multiple linear regression or covariance-
based structural equation modeling. Henseler et
al. [18] thus state, "PLS path modeling is
recommended in an early stage of theoretical
development in order to test and validate
exploratory models."
4. Data Analysis
4.1 Descriptive statistic
Respondents Information
A total of 400 questionnaires were sent to
employees and leaders working in tourism in
northern Vietnam. A total of 326 respondents
completed the survey, with a response rate of
81.5%. There were 207 respondents with usable
questionnaires in this study, accounting for the
63.5% (207/326) usable rate. Regarding the
gender of the respondents, the results show that
49.3 percent of respondents were male employees
and 50.7 percent were females working in
commercial banks. Of the 207 employees
surveyed, 15 percent were under 25 years old,
45.9 percent were 26-45 years old, 29 percent
were 36 - 45 years old, and only 10.1 percent of
the 207 respondents were over 45 years old.
The respondent employer type was also
surveyed in this study. 14% of respondents work
in the travel industry, 55.1% work in hotels,
18.4% work in restaurants, and 12.6% work in
entertainment. Related to the position of the
respondent, management accounted for 16.9% of
respondents, and staff accounted for 83.1%.
For respondent experience, this study shows
that almost all employees have more than 5 years
of experience in commercial banks; for example,
30% of respondents have less than 5 years of
experience, 51.7% have 5-10 years of experience,
and 18.4% have more than 10 years of
experience. Regarding the education of the
respondents who are trained in tourism, this study
shows that 68.6% of respondents are trained in
vocational school, and 31.4% are educated in
university. Table 2 shows the respondents'
information.
Table 2: Respondent’s background.
Number
Percentages
Gender
102
49.3
105
50.7
Age
31
15.0
95
45.9
60
29.0
21
10.1
Type of company
29
14.0
114
55.1
38
18.4
26
12.6
Working position
35
16.9
172
83.1
Year of experience
62
30.0
107
51.7
38
18.4
Education
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142
68.6
65
31.4
207
100.0
Reliability of the data collected
Cronbach’s alpha was used to test the reliability
of the data. It is used to assert rigor and the
correlation between the observed variables.
Accordingly, when corrected item - total
correlation is greater than 0.3 and the coefficient
is greater than 0.7, the alpha value is acceptable,
and appropriate analysis is included in the next
step. The results are displayed in Table 3.
Table 3: Cronbach alpha result.
Variable
Number items
Cronbach alpha
Vision
3
.810
Inspirational communication
3
.797
Personal recognition
3
.789
Intellectual stimulation
3
.766
Supportive leadership
4
.791
Job satisfaction
5
.877
Employee motivation
5
.838
Cronbach’s alpha was adapted to test the
reliability of the scale of each factor. The results
show that all factors have high Cronbach’s alpha
values (ranging from .766 to .877 > .7), indicating
reliability, as suggested by Nunnally and
Bernstein [31].
Factor analysis for transformation
leadership
Table 4: Transformation leadership factor analysis.
Factor
Vision
Supportive
leadership
Inspirational
communication
Personal
recognition
Intellectual
stimulation
VISI1
.812
VISI2
.780
VISI3
.722
SULE1
.674
SULE2
.708
SULE3
.657
SULE4
.768
INCOM1
.768
INCOM2
.741
INCOM3
.765
PERE1
.728
PERE2
.846
PERE3
.678
INST1
.612
INST2
.869
INST3
.713
Eigenvalue
4.899
1.957
1.768
1.311
1.224
Variance
explained (%)
30.619
12.230
11.051
8.191
7.647
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Total variance explained (TVE) =69.783, KMO= .803, p = .000
Factor analysis was performed with the
extraction method of principal axis factoring and
the rotation method of Promax with Kaiser
normalization. A total of 16 observations of
transformation leadership are put in the system,
and the obtained results are as follows: KMO
coefficient = 0.803 (between 0.5 and 1) should
assert that factor analysis in this study is
consistent. The level of significance of Bartlett's
test is given at Sig. = 0.000 < 0.005, the variables
are correlated in general. The results showed that
the total variance explained (TVE) = 69.783 >
50%, which means that 5 extracted factors
explain 69.783% of the variation in the data set.
The remaining 31.3% of the variable data set is
due to factors not included in the model. The
rotated component matrix removes transformer
load factor coefficients smaller than 0.5. The
remaining factors are coefficients load factor
(factor loadings) > 0.5, ensure the implications of
EFA. It is found that five factors influencing
variables extracted from the observation of the
scale components.
4.2. PLS SEM data analysis
Measurement model results
Cronbach’s alphas also provide evidence of
composite reliability, and values above 0.6
demonstrate that it is adequate. All the composite
reliabilities for our constructs were above 0.7,
and all the Cronbach’s alphas were above 0.6 (see
Table 5). Finally, the average variance extracted
(AVE) represents the amount of variance a
construct captures via its items relative to the
amount of variation due to measurement error. It
was found that each construct’s variance
extracted was above the recommended value of
0.5.
Table 5: Convergent validity analysis.
Cronbach’s
alphas
Composite
reliabilities
AVE
P Values
Inspirational communication
0.799
0.882
0.882
0.000
Intellectual stimulation
0.766
0.864
0.864
0.000
Job satisfaction
0.878
0.910
0.910
0.000
Personal recognition
0.791
0.869
0.869
0.000
Supportive leadership
0.791
0.864
0.864
0.000
Vision
0.812
0.888
0.888
0.000
Employee motivation
0.837
0.890
0.890
0.000
Thus, it is concluded that all our constructs
had satisfactory convergent validity. The authors
used two tests for discriminant validity:
comparison of item loadings with item cross-
loadings and comparison of the variance
extracted from the construct with shared
variance. Each item should load more highly on
its intended construct than on other constructs. It
can be concluded that all our items satisfied this
condition (see Table 6).
PLS structural model results
The authors then examined the overall
explanatory power of the structural model, the
amount of variance explained by the independent
variables, and the magnitude and strength of its
paths, where each of our hypotheses corresponds
to a specific structural model path.
Adjusted 𝑅2 was used to measure the model’s
explanatory power, interpreted in the same way
as for regression analysis. The explained
variation should exceed 10% to qualify for
suitable explanatory power. The analysis
revealed that the structural model explained
approximately 56.4% of the variation in job
satisfaction and 23% of the variation in employee
motivation, suggesting that the structural model
provided adequate explanatory power (Table 7).
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Table 6: Discriminant validity.
Inspirational
communication
Intellectual
stimulation
Job
satisfaction
Personal
recognition
Supportive
leadership
Vision
Employee
motivation
Inspirational
communication
0.845
Intellectual
stimulation_
0.299
0.825
Job satisfaction
0.505
0.317
0.818
Personal
recognition _
0.196
0.184
0.389
0.832
Supportive
leadership
0.456
0.384
0.612
0.218
0.783
Vision
0.385
0.186
0.587
0.208
0.438
0.852
Employee
motivation
0.340
0.278
0.399
0.057
0.442
0.260
0.819
Table 7: R Square adjusted.
R2 Adjusted
Sample
Mean
Standard
Deviation
T Statistics
P
Values
Job satisfaction
0.564
0.579
0.039
14.431
0.000
Employee motivation
0.230
0.265
0.069
3.323
0.001
Table 8: The model’s paths/relationships.
Original
Sample
Sample
Mean
Standard
Deviation
T Statistics
P- Values
Inspirational communication ->
Job satisfaction
0.178
0.175
0.052
3.417
0.001
Inspirational communication ->
Employee motivation
0.118
0.117
0.090
1.315
0.189
Intellectual stimulation_ -> Job
satisfaction
0.040
0.040
0.051
0.770
0.442
Intellectual stimulation_ ->
Employee motivation
0.104
0.113
0.084
1.243
0.215
Personal recognition _ -> Job
satisfaction
0.208
0.211
0.051
4.059
0.000
Personal recognition _ ->
Employee motivation
-0.117
-0.116
0.094
1.249
0.212
Supportive leadership -> Job
satisfaction
0.328
0.332
0.058
5.709
0.000
Supportive leadership ->
Employee motivation
0.255
0.249
0.089
2.860
0.004
Vision -> Job satisfaction
0.324
0.321
0.056
5.814
0.000
Vision -> Employee motivation
-0.011
-0.009
0.070
0.157
0.875
Job satisfaction -> Employee
motivation
0.202
0.203
0.084
2.397
0.017
Bootstrapping with 500 re-samples was
applied to obtain the t-statistics for testing the
statistical significance of the model’s
paths/relationships. (Ideally, the paths should
have significant t-statistics at 1.96 and be
directionally consistent with expectations.).
Table 8 shows the model’s paths/relationships
among variables.
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From the path analysis, the result indicates
that the path between inspirational
communication and job satisfaction is highly
significant (t= 3.417, P<0.05), fully supporting
hypothesis H1a: “There is a relationship between
transformation leadership style and job
satisfaction in VTI”. The path between
intellectual stimulation and job satisfaction was
not significant (t = 0.770, p>0.05). Hypothesis
H1b is not supported: “There is a relationship
among intellectual stimulation as a dimension of
transformation leadership style and job
satisfaction in VTI” (see Figure 1). The path
between personal recognition and job satisfaction
was also highly significant (t = 4.059, p <0.05),
confirming Hypothesis H1c: “There is a
relationship among the personal recognition
dimension of transformation leadership style and
job satisfaction in VTI”. The path between
supportive leadership and job satisfaction was
also highly significant (t = 5.709, p <0.05),
confirming Hypothesis H1d: “There is a
relationship among supportive leadership as a
dimension of transformation leadership style and
job satisfaction in VTI”. and the last path of the
transformation leadership dimension of Vision
and Job satisfaction was also highly significant (t
= 5.814, p <0.05), confirming Hypothesis H1e:
“There is a relationship between Vision as a
dimension of transformation leadership style and
job satisfaction in VTI”. Thus, only one
dimension of the transformation leadership style
does not positively affect job satisfaction:
intellectual stimulation
The path between inspirational
communication and employee motivation is not
significant (t = 1.315, p > 0.05), meaning that
Hypothesis H2a is unsupported “There is a
relationship between inspirational
communication as a dimension of transformation
leadership style and employee motivation in
VTI”. Additionally, the path between intellectual
stimulation and employee motivation was
insignificant (t = 1.243, p > 0.05), rejecting
Hypothesis H2b: “There is a relationship between
intellectual stimulation as a dimension of
transformation leadership style and employee
motivation in VTI”. The result shows that the
path of personal recognition and employee
motivation was insignificant (t = 1.249, p > 0.05),
rejecting Hypothesis H2c: “There is a
relationship between the personal recognition
dimension of transformation leadership style and
employee motivation in VTI”. However, the path
of supportive leadership and employee
motivation is significant (t=2.860, p<0.05),
confirming hypothesis H2d: “There is a
relationship between the supportive leadership
dimension of transformation leadership style and
employee motivation in VTI”. However, the path
of vision and employee motivation (t=0.157,
p>0.05) is insignificant; thus, hypothesis H2e is
unsupported: There is a relationship between
vision as a dimension of transformation
leadership style and employee motivation in
VTI”. Therefore, this research concludes that
there is only supportive leadership, as the
dimension of transformation leadership has a
direct positive effect on employee motivation.
Otherwise, there was no evidence of a direct path
from other dimensions of transformation
leadership to employee motivation, as the
literature and our model suggested.
Additionally, the path of job satisfaction and
employee motivation is significant (t = 2.397, p
<0.05), confirming Hypothesis H2: “There is a
relationship between job satisfaction and
employee motivation in VTI”.
To further test the indirect effect between the
dimensions of transformation leadership and
employee motivation (see Table 9), this study
shows that there is no indirect path between
inspirational communication and employee
motivation (t=1.817, p>0.05) or between
intellectual stimulation and employee motivation
(t=0.663, p>0.05). However, this study shows
that there is an indirect path between personal
recognition and employee motivation (t=2.201,
p<0.05), supportive leadership and employee
motivation (t=2.120, p<0.05), and vision and
employee motivation (t=2.175, p<0.05).
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DOI: 10.37394/232032.2023.1.4
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Table 9: The indirect effect among the dimensions of transformation leadership and employee
motivation.
Original
Sample
Sample
Mean
Standard
Deviation
T Statistics
P Values
Inspirational communication ->
Employee motivation
0.036
0.036
0.020
1.817
0.070
Intellectual stimulation_ ->
Employee motivation
0.008
0.009
0.012
0.663
0.508
Personal recognition _ ->
Employee motivation
0.042
0.042
0.019
2.201
0.028
Supportive leadership ->
Employee motivation
0.066
0.068
0.031
2.120
0.035
Vision -> Employee motivation
0.065
0.066
0.030
2.175
0.030
Figure 1: Results of the structural model with path coefficients.
Based on the analysis, this study finds that
among the five dimensions of transformation
leadership that were developed from the literature
review, four dimensions have a positive direct
effect on job satisfaction: inspirational
communication, personal recognition, supportive
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leadership, and vision. This research result is
consistent with the research by House [19], who
identifies the charismatic characteristics of a
leader. Ames & Flynn [3] examined MBA
student groups to test how many people loved
their leader and how many things the leaders
accomplished. Additionally, some authors
discuss the relationship between transformation
leadership and job satisfaction and have the same
result as in the study of Naeem and Khanzada
[30] when considering the influence of attractive
leadership on the organizational cohesion and job
satisfaction of followers (see Bass and Riggio
[7]). Successful banks and organizations are good
at managing their human capital (see Braun et al.
[19]; Shafi et al. [35]). Transformational
leadership, job satisfaction, and team
performance: A multilevel mediation model of
trust in (see Braun et al. [19]) shows that
companies have eliminated human resources
challenges, ensured management, and planned to
train good employees to meet personnel needs for
each stage of their development. One of these
challenges is related to employee satisfaction
with their work. However, this study cannot find
a direct relationship between intellectual
stimulation and job satisfaction. As mentioned by
Ogbonnaya and Nielsen (see Ogbonnaya and
Nielsen [32]) and Mao et al. [27] create a
favorable environment in which people are
encouraged to develop abilities. Superiors should
create an environment where employees can
communicate in two dimensions; they will know
how to find their own answers or give solutions
themselves. Therefore, employees will have the
opportunity to express their knowledge and
develop themselves (see Puni, Mohammed, and
Asamoah [34]). Superiors regularly give
feedback on the performance of employees.
Positive feedback helps employees develop the
skills and knowledge they need.
In addition, from the model of this study, the
PLS-SEM results show that inspirational
communication, intellectual stimulation, personal
recognition, and vision do not directly affect
employee motivation; however, supportive
leadership has a direct relationship with
employee motivation. To further test the indirect
effect of the transformation leadership dimension
on employee motivation, this study finds that
there is no indirect path between inspirational
communication and employee motivation, and
intellectual stimulation and employee motivation.
However, this study shows that there is an
indirect path between personal recognition and
employee motivation, supportive leadership and
employee motivation, and vision and employee
motivation. From the results, it can be concluded
that through job satisfaction, transformative
leadership has an indirect effect on employee
motivation, so job satisfaction should be achieved
first and then lead to employee motivation. It was
noted that creating work enrichment is a
fundamental part of engaging, motivating, and
retaining talent, especially in repetitive or boring
workplaces. It is widely known that leaders need
to know how to work and allow employees to
increase the skills and interests of workers when
they work. When work reflects a high level of
skill requirements, mission-critical level
obligations, autonomy, and a certain level of
feedback, team members are more likely to enjoy
and not eliminate stress. It is important to provide
continuous support so that the employee is
satisfied with their job. Employees should feel
interested and satisfied, engrossed in the work,
and happy and motivated to shine. It is the
leader’s responsibility is to find a combination of
options to increase the productivity of individuals
and teams. To overcome the COVID-19 crisis, it
is time for tourism organization leaders to show
their capability to boot their employees and
encourage them to be optimistic in the future. It
was also shown that leadership styles impact
employee self-efficacy, hope, resilience, and
optimism through employee satisfaction with
corporate COVID-19 responses.
5. Conclusions
This study has investigated the relationship
between transformation leadership, job
satisfaction, and employee motivation in the
tourism industry. First, this study is based on a
literature review to develop the research
hypothesis and research framework. Second, a
questionnaire is designed based on a previous
study about transformation leadership. A total of
400 questionnaires were sent to employees and
leaders working at commercial banks in northern
Vietnam. A total of 326 respondents completed
the survey, for an 81.5% response rate. There
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were 207 respondents with usable questionnaires
in this study, accounting for the 63.5% (207/326)
usable rate. The analysis revealed that the
structural model explained approximately 56.4%
of the variation in job satisfaction and 23% of the
variation in employee motivation, suggesting that
the structural model was adequate. From the path
analysis, the result indicates that the path between
inspirational communication and job satisfaction
is highly significant. However, the path between
intellectual stimulation and job satisfaction was
not significant. The path between personal
recognition and job satisfaction was also highly
significant. The path between Supportive
leadership and Job satisfaction was also highly
significant, and the last path of the transformation
leadership dimensions of vision and job
satisfaction was also highly significant Thus,
only one dimension of the transformation
leadership style does not positively affect job
satisfaction: intellectual stimulation. For the
transformation leadership dimension and
employee motivation dimensions, this research
concludes that there is only supportive
leadership, as the dimension of transformation
leadership has a direct positive effect on
employee motivation. Otherwise, there was no
evidence of a direct path from other dimensions
of transformation leadership to employee
motivation, as the literature and our model
suggested. Additionally, the path of job
satisfaction and employee motivation is
significant. We further tested the indirect effect
among the dimensions of transformation
leadership and employee motivation. This study
shows that there is no indirect path between
inspirational communication, intellectual
stimulation, and employee motivation. However,
this study shows that there are indirect paths
between personal recognition, supportive
leadership, vision, and employee motivation.
The study has boldly put forward an opinion
on the leadership capacity of tourism industry
managers as a basis for fully defining the
components of transformation leadership in
relation to job satisfaction and employee
motivation in the Vietnam tourism industry. The
study applied and developed partial least squares
(PLS-SEM) to assess the leadership capacity of
the tourism industry in the context of the COVID-
19 pandemic. We successfully applied and
transformed the scale of leadership that has been
used in Vietnam, and in the world, for research in
northern Vietnam. The study proposes and
develops a model for measuring the influence of
factor groups on the transformation leadership of
tourism managers, while in Vietnam, there are
very few studies that deal with this topic. Existing
documents on organizational prestige (Shafi et al.
2020; Vasudeva and Nayan 2019) have identified
management capacity and leadership quality as
the key drivers of the prestige of organizations,
especially in crisis situations. The findings of this
study provide new evidence from the perspective
of employees that there are effective leadership
styles such as leadership change (in terms of
strategy, charisma, inspiration). It also
contributes to the positive perception of
employees about the reputation of the
organization, while the leader of total authority
does not make this positive. According to Sobaih
(see Sobaih et al. [36]), leadership style plays an
important role in creating the organization's
working environment as well as the internal
environment that influences the attitude and
motivation of employees that help organizations
overcome difficult situations. Therefore, to
enhance positive internal credibility through
word of mouth and supportive behaviors,
transformational leadership styles should be
strengthened and developed rather than full-
fledged leadership styles, as evidenced by the
present study.
Research results show that the transformation
leadership style has a positive effect on employee
perceptions of organizational prestige, which is
not only direct but also indirect through
enhancement. The status of employee leadership,
which includes a common vision and high-
performance expectations, contributes to the role
model and enhances collaboration among
employees to achieve entry. At the same time, we
emphasize the quality of the relationship among
employees and show interest in individual
feelings as well as direct benefits to foster
positive perceptions of organizations and beliefs
in the future after the pandemic. These findings
are consistent with previous research on the
positive correlation between a change leadership
style and employee attitudes (see Al-Rafee and
Cronan [1] and Sobaih et al. [36]) as well as
satisfaction (see Freeborough and Patterson [14]
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and Long et al. [25]), and positive emotions such
as joy, pride, admiration, and love (see Andreani
and Petrik [4]). By sharing benefits with
employees and allowing employees to participate
in decision-making, leadership transfer not only
makes employees feel more confident, more
accepting, trustworthy, and valuable but also
forms a positive view of employees in the
organization (see Shafi et al. [35]). The results of
this research will be the basis for tourism
company managers to consult and improve their
knowledge, skills, and leadership qualities to
overcome the COVID-19 pandemic. In addition,
it is the basis for the relevant departments of the
region to develop policies to support the
leadership capacity of tourism industry managers
in the future.
Despite these pioneering initiatives, research
still faces some shortcomings that need to be
addressed in future research, such as the limited
use of samples only in Northern Vietnam.
However, the value of research is in theoretical
testing rather than its generalized meaning. A
second limitation is due to the prevalence of
collection sources. The data are collected
primarily from the perspective of the employee.
For a more comprehensive understanding of how
an organization's leadership style affects
employee satisfaction and motivation,
professionals should work with organizational
leaders and combine research cooperation
initiatives. In future studies, samples from a wide
variety of organizations across different sectors
need to be used to test the proposed model and to
synthesize the research results. Qualitative
research methods such as in-depth interviews
with corporate leaders should also be used to
concurrently explain the different perspectives on
research issues. As the transformational
leadership style has not been fully researched,
future research will focus on how the leader
interacts with other factors, for example, how
managers interact with different leadership styles
and different dependent variables, such as
commitment, engagement, loyalty, and how
effective leadership styles interact with the
organization.
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Contribution of individual
authors to the creation of a
scientific article (ghostwriting
policy)
Nguyen Quang Vinh initiated the research
idea and designed questionnaire.
Luc Manh Hien conducted the literature
review.
Quang Hung Do was responsible for
collecting data and analysing data.
All the authors wrote and revised the
manuscript.
Sources of funding for research
presented in a scientific article or
scientific article itself
This research received no specific grant from
any funding agency
Conflicts of Interest
The authors have no conflicts of interest to declare
that are relevant to the content of this article.
Creative Commons Attribution License 4.0
(Attribution 4.0 International, CC BY 4.0)
This article is published under the terms of the
Creative Commons Attribution License 4.0
https://creativecommons.org/licenses/by/4.0/deed.en
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