Impact of Leadership Styles on Knowledge Management Practices in Small and Medium Enterprises of Punjab (Pakistan)

Abstract

Purpose: Aim of this paper is to explore the role of leadership styles (transformational and transactional leadership) on knowledge management practices of small and medium enterprise in Pakistan.  

Design/Methodology/Approach– Data was collected via structured questionnaire. Total 400 questionnaires were distributed randomly among employees of SME sector in Pakistan. Regression analysis was used to test the hypothesis.

Findings– Findings supported that transformational and transactional leadership styles have significant effect on knowledge management practices (socialization, externalization, combination and internalization) of small and medium enterprise in Pakistan.  

Practical Implications– This study provide insight about the knowledge management that which leadership style is preferable in order to enhance the knowledge management practices of organization.

Originality/Value– There are few studies which clarify a link between leadership and knowledge management in context of SME sector of Pakistan. So this study adds insights into the literature by exploring the effects of transformational and transactional leadership styles on knowledge management practices especially in SME of Pakistan.

Keywords: Transformational leadership style, Transactional leadership style, Knowledge management practices, SME, Pakistan

Paper Type: Research paper