The Impact of Stress Management on Job Performance: The Mediating Role of Transformational Leadership

Abstract

This quantitative study examined the connection between stress management (SM), transformational leadership styles (LS), and job performance (JP) of managers of small and medium-sized enterprises (SMEs). The research intends to examine the impact of stress management (SM) on job performance (JP) and the mediating role of transformational leadership style (LS) in this relationship. A survey instrument was designed and administered to a representative sample of SME managers. The data is analysed using appropriate partial least squares (smart pls). The findings of the research demonstrate that stress management has a positive and significant impact on job performance of SME managers. The results indicate that effective stress management practices are associated with improved job performance outcomes. Furthermore, the study reveals that transformational leadership styles mediate the relationship between stress management and job performance of SME managers. This suggests that transformational leaders, who exhibit behaviours such as inspiring and motivating their subordinates, play a crucial role in translating the benefits of stress management into enhanced performance. The study contributes to both theoretical and practical knowledge. The findings highlight the importance of implementing stress management practices in SMEs to support the job performance of managers. Additionally, the study emphasises the significance of transformational leadership in leveraging the positive effects of stress management on job performance. Understanding the mediating role of transformational leadership style provides insights into the mechanisms through which stress management practices influence job performance outcomes. These findings have practical implications for SME owners, managers and practitioners. The results suggest that organisations should invest in stress management programmes and initiatives to support their managers’ job performance. Moreover, organisations should cultivate and promote transformational leadership behaviours among managers to maximise the benefits of stress management practices. By implementing effective stress management strategies and fostering transformational leadership, SMEs can enhance the performance and well-being of their managers, ultimately enhancing the overall success of the organisation.

Keywords: Stress Management, transformational leaderships, Job Performance, Small and medium-sized enterprises (SMEs).

DOI: 10.7176/EJBM/16-2-04

Publication date: March 31^st 2024