Transformational Leadership and Value System Congruence

This study looked at the relationship between transformational leadership and three types of value system congruence – leader-organization congruence, leader-follower congruence,and follower-organization congruence, separately for terminal and instrumental values. Findings indicate that follower's terminal value system congruence with leader is positively related to transformational leadership, and this relationship remains significant even after controlling for leader-organization or follower-organization terminal value system congruence. Leader-organization congruence does not also moderate the relationship between transformational leadership and leader-follower congruence, in the case of both terminal and instrumental values. Leader-organization instrumental value system congruence is positively related to leader-follower instrumental value system congruence. No relationship is seen between transformational leadership and follower-organization congruence in the case of both terminal and instrumental values. Leader-follower congruence does not mediate the relationship between transformational leadership and follower-organization congruence.