The Impact of Servant Leadership on Organisational Performance and Turnover Intention in Tanzania: The Mediating Effect of Leader-member Exchange

Abstract

This study examined the impact of servant leadership on organizational performance and turnover intention. Further, the study sought to examine the mediating effect of leader-member exchange on the relationship between servant leadership and organizational performance as well as servant leadership and turnover intention. The study was underpinned by servant leadership theory and leader-member exchange theory. The study used a quantitative approach and a case study design. One of Tanzania Local Government Authorities was used from which data were collected using a questionnaire from a sample size of 111 respondents randomly sampled. Descriptive and inferential statistics were used to analyse collected data. The study found that servant leadership has a significant positive effect on organizational performance and significant negative effect on turnover intention. Further, leader-member exchange was found to be a significant mediator in the relationship between servant leadership and organizational performance. Moreover, leader-member exchange was found to be a significant mediator in the relationship between servant leadership and turnover intention. The study insists on the need for practicing servant leadership to promote positive outcomes in organisations.