Effective Organizational Change through leadership, people, trust and affective commitment to change (original) (raw)

2019, Asian Association of Indigenous and Cultural Psychology (AAICP)

The organization conducts many changes due to the demand for a competitive environment. Meanwhile, the success of organizational change depends on many variables including people’s commitment to change. Many variables have some effects on the success of organizational change as well as commitment to change, namely leader, characteristic of people and the context of the organization. The purpose of the study is to test the linkage between transformational leadership, psychological empowerment, organizational trust on affective commitment to change. The research conducted at two banking institutions, which consisted of 122 employees. Data collected from the respondents who met the requirements, and from those criteria the researcher used convenience sampling. This study used four types of questionnaires, namely affective commitment to change, transformational leadership, psychological empowerment, and organizational trust. Data is analyzed using statistical equation methods (SEM). Results showed that there is a positive and significant impact of transformational leadership on affective commitment to change through organizational trust as mediator. However, results also indicated that there is no significant correlation between trarsformational leadership with affective commitment to change, and between psychological empowerment on affective commitment to change. The findings are significant for developing research on the role of leadership on organizational change, especially on affective commitment to change. The implications of the study are beneficial for the leader and organization in doing change management. Keywords: transformational leadership, psychological empowerment organizational trust, affective commitment to change