The effect of talent management and leadership styles on firms’ sustainable performance
ISSN: 0955-534X
Article publication date: 7 June 2022
Issue publication date: 5 October 2022
Abstract
Purpose
This study aims to develop a framework that examines how different leadership styles influence talent management (TM) and how these leadership styles and TM influence firms’ sustainable performance considering the moderating role of environmental dynamism.
Design/methodology/approach
To achieve these objectives, an empirical survey was conducted among 480 participant firms in Greece. Hierarchical regression was performed to test the hypotheses.
Findings
This study reveals the significance of authoritative and transformational leadership on TM. The results also show the positive effect of talent development on sustainability. Moreover, entrepreneurial leadership is found to be the most influential style for economic sustainability, whereas transformational and transactional leaderships are the most influential leadership styles for social and environmental sustainability performance.
Research limitations/implications
The data was collected at only one point in time, while sustainability is a continuous process. Moreover, only four leadership styles were addressed.
Practical implications
Proper leadership style should be selected to facilitate different sustainability dimensions. Talent development is a valuable investment toward sustainable performance of firms.
Originality/value
This study contributes to the upper echelon theory, identifying whether and how different leadership styles affect TM and sustainability. The study also advances the human recourse development literature by critically reviewing and identifying the influence of TM on firms’ sustainable performance. Moreover, the role of environmental dynamism is revealed on all the above relationships.
Keywords
Citation
Kafetzopoulos, D. and Gotzamani, K. (2022), "The effect of talent management and leadership styles on firms’ sustainable performance", European Business Review, Vol. 34 No. 6, pp. 837-857. https://doi.org/10.1108/EBR-07-2021-0148
Publisher
:Emerald Publishing Limited
Copyright © 2022, Emerald Publishing Limited