The impact of transformational leadership on innovation in SMEs: The mediating effect of organizational learning

This study examines the impact of transformational leadership (TL) on innovation in small and medium-sized enterprises (SMEs), with a focus on the mediating role of organizational learning (OL). The research aims to shed light on the processes by which leadership behaviors drive innovation, particularly in environments with limited resources. A quantitative, cross-sectional survey was conducted with 268 Tunisian SMEs. Constructs of transformational leadership, organizational learning, and innovation were measured using validated multi-item Likert scales. Mediation analysis was performed using Hayes’ PROCESS macro (Model 4) to test the hypothesized relationships. The results indicate that transformational leadership significantly influences innovation, and organizational learning partially moderates the leadership-innovation relationship. These findings highlight the importance of organizational learning as a mechanism through which leaders stimulate innovation in SMEs. The study is limited to Tunisian SMEs, and larger or transnational samples would allow for broader generalization. Future research could examine sectoral dynamics or extend the framework to other emerging economies. This study advances research on transformational leadership and innovation by empirically validating organizational learning as a mediating mechanism and providing evidence from Tunisian SMEs, a context that has been underexplored in the innovation management literature. The findings offer valuable theoretical insights and concrete recommendations for fostering innovation in resource-constrained environments.