The Role of Transformational Leadership and Organizational Commitment to Enhance Intention to Stay: Evidence from Thai Electronic Industry

1Pichamon Chansuchai, Sippaphat Rotjanawasuthorn, Kittisak Jermsittiparsert

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Abstract:

The excessive turnover rate among employees in different businesses is a continuous, well-documented issue. This study aimed to look at the way organizational elements, especially leadership, affect employee’s intention to stay in Thai electronic industry to assist Thai electronic businesses to set up a practice design which inhibits the turnover of skilled employees. As a way to do so, it's essential to analyze the effects of organizational commitment on employees' turnover motives. 314 managers working in Thai electronic industry have participated in this study. The method of data analysis utilized is PLS-SEM using SmartPLS 3.0. The outcomes of the research suggest that transformational leadership has a positive impact on organizational commitment. In addition, organizational commitment positively affects employee’s intention to stay in their current organization. The study also found empirical evidences of the mediating effect of organizational commitment between the relationship of transformational leadership and employee’s intention to stay.

Keywords:

Transformational leadership, organizational commitment, intention to stay, employee turnover, employee retention

Paper Details
Month3
Year2020
Volume24
IssueIssue 7
Pages1498-1506