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To lead or not? The role theory perspective on the moderating roles of transformational and laissez-faire leadership in shared leadership teams

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Abstract

There is ongoing debate in extant empirical work on whether vertical leadership acts as a facilitator or an inhibitor of shared leadership teams and whether shared leadership acts as a substitute for vertical leadership. This study adopts role theory to clarify formal leaders’ role in shared leadership teams by simultaneously considering both transformational leadership and laissez-faire leadership. Using a sample of 68 work teams varied in functions in high-tech firms in Taiwan, the results support most of our predictions. Specifically, this study provides empirical evidence that transformational leadership can significantly facilitate activities of shared leadership teams that are highly goal-committed. Our findings also suggest that shared leadership does not substitute for transformational and laissez-faire leadership to influence team adaptive performance. Instead, a high level of transformational leadership would strengthen the effect of shared leadership teams on adaptive performance whereas a high level of laissez-faire leadership would result in shared leadership teams decreasing team adaptive performance.

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Data availability

The data that support the findings of this study are available on request in “Open Science Framework” at https://osf.io/6dwyg/.

Notes

  1. laissez-faire leadership does not imply low-level transformational leadership (Antonakis et al., 2003).

  2. Density indexes and decentralization indexes (Chiu et al., 2016; Mehra et al., 2006) are the two most recognized indicators of structure distribution. Density in a team represents the amount of leadership that team members exhibit. Decentralization in a team indicates the distribution of leadership within a team, which is the opposite of centralization. The higher decentralization is, the higher is the level of dispersion of leadership within a team (Zhu et al., 2018). Past research has pointed out that the same level of leadership density may have different network patterns of influences, and higher decentralization may represent no clear leadership from team members; thus, past research has suggested using both indexes to completely capture the form of shared leadership (DeRue et al., 2015; Zhu et al., 2018).

  3. We conducted several interviews. One of the teams we invited to participate in our survey reported a high level of transformational leadership and shared leadership. The team tenure was 4 years, and the team leader, who had 7 years of organization tenure, had been leading this team for those 4 years. We had three face-to-face interviews with the team leader and two team members individually. Our interviews revealed that team members could self-manage to promote the completion of a project through group discussion and mutual assistance. The leader did not need to pay attention to the team members during the process; all team members had to do was report the outcome to the leader. In addition, when team members were unable to come up with a solution through discussion, they would seek the assistance of the team leader. The supervisor did not make decisions directly, but provided them with ample information, experience, recourse, and communication to coordinate across departments, so that the team could find a solution to solve the problem. See Appendix for a demonstration of the interaction between formal leaders and shared leadership teams.

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Acknowledgements

This research is supported by Taiwan’s Ministry of Science and Technology Research Fund (MOST 107-2410-H-992-043-SSS).

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Correspondence to Chih-Ting Shih.

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This study gains ethics approvals by ethic committee (National Cheng Kung University Governance Framework for Human Research Ethics). All the subjects have provided appropriate informed consent and details on how this was obtained are detailed in the manuscript.

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There are no conflicts of interest to declare.

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Appendix

Appendix

Interview report

Interview Date: October 8, 12, and 14, 2022

Interview Place: Company’s meeting room

NOTE: in the following questions, the “team leader” means the vertical supervisor, not the member leaders in the teams.

  1. 1.

    How will the team leader define his leadership role and how to lead the team? In what way?

  2. 2.

    When your team starts a new project, how do you hold meetings and who decides on the follow-up tasks?

  3. 3.

    Can you give an example of how the team members lead the team to complete a task?

  4. 4.

    When faced with a decision, is it usually the team leader who makes the decision?

  5. 5.

    Can you give an example that impressed you in the past to show how team members make their own decisions?

  6. 6.

    Has there ever been a situation in which some team members will choose to listen to leaders rather than other team members because the leader gives opinions or ideas?

  7. 7.

    During the project progress, do team members expect the leader to help them solve their problems? How does the leader do?

  8. 8.

    Can you give an example where team members acted on their own ideas instead of yours?

  9. 9.

    Has there ever been a situation in the past where team members were asked to be independent but found out that there was a problem, and the leader had to intervene?

  10. 10.

    Have you observed how the team operates when there is a problem?

  11. 11.

    Can you give an example, when the team encountered a problem, of how team members solved it. Did team members seek help from the leader?

  12. 12.

    What is the role of the team leader when team members encounter setbacks?

  13. 13.

    Can you indicate anything the team members have done recently that needed the leader to solve it?

  14. 14.

    Would you use different leadership approaches for different team members?

    Here are the key points we extracted from the interview regarding the interaction between the vertical leader and team members.

    1. A.

      Leader’s effort in enhancing activities of shared leadership teams

      We see a very clear demonstration of how a transformational leader helps team members

      1. (1)

        The leader allows the team to have the opportunity to complete the task together through the formulation of the project (assigning tasks). The formal leader encourages and tells the team members what they can do. For example, “you would be very good at doing this.” This would also help in team formation, where the leader informs the team to elect a team leader (transmitting role expectations).

      2. (2)

        The supervisor allows the group to operate, lets the team members do it boldly but has the courage to bear the consequences (social acceptance, help the team develop capabilities), and the leader gives information and suggestions to the team members when they need it (give the team support, timely support). For example, during the process, when members feel that it is not easy to do something and cannot do it, the formal leader provides some examples, templates, and materials so that members can follow these directions, and even finds suppliers to communicate and discuss together, through to the implementation of the project.

      3. (3)

        The supervisor can support members (to assist the growth of team members, e.g., provide cost information to team members, let team members calculate, understand the logic of the entire cost design; team members need to communicate research results with other units and import them into the execution unit, providing information that allows the members to turn it into their own knowledge after studying the information).

      4. (4)

        The team leader guides the team members forward, and encourages everyone to put forward proposals for discussion.

      5. (5)

        The team leader makes cakes and snacks for everyone for social events.

    2. B.

      Leader’s efforts with shared leadership teams for team performance

      1. (1)

        What the transformational leader does when the team works well

        Team members can self-manage to promote the completion of the project through group discussion and mutual assistance. In this process, the leader does not need to pay attention, and all that team members need do is report the outcome to the leader.

      2. (2)

        What the transformational leader does when teams have trouble

        When team members cannot come up with a solution through discussion, they seek the assistance of the team leader. The supervisor does not make decisions directly, but provides team members with information and offers experience, as well as communicates to coordinate across departments, so that the team can find a solution to solve the problem. As the project proceeds, the supervisor adds further goals to continuously develop the project.

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Tung, YC., Shih, CT. To lead or not? The role theory perspective on the moderating roles of transformational and laissez-faire leadership in shared leadership teams. Asia Pac J Manag (2023). https://doi.org/10.1007/s10490-023-09937-x

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