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The Interactive Effect of Ethical Leadership and Employee Citizenship Behavior on Organizational Success: Do Lenses of Corporate Governance Matter?

In: Environmental, Social, and Governance Perspectives on Economic Development in Asia

Author

Listed:
  • Amy Yeo Chu May
  • Carmen Teoh Chia Wen
  • Jeffton Low Boon Tiong

Abstract

This study seeks to find an interactive effect between ethical leadership (EL) and corporate governance (CG) variables and investigate whether they would affect employee organizational citizenship behavior (EOCB) in a Malaysian organizational setting. The collected data from the 300 accounting/finance department employees were analyzed using Statistical Package for Social Sciences (SPSS) and Partial Least Square–Structural Equation Modeling (PLS-SEM; SmartPLS 3.0). Several primary results confirmed a coherent significant relationship between EL and ethical climate (EC), EL and EOCB, EL and CG, and CG and organizational success. Theoretically, it implies a more enhanced EOCB literature on how it can be infused in an organization. It also offers valuable knowledge by providing organizations with several insights concerning the improvement of EOCB, enabling the organization to achieve its desired success and, more importantly, how the findings could contribute directly and indirectly to emerging markets in terms of their industrial and financial performance.

Suggested Citation

  • Amy Yeo Chu May & Carmen Teoh Chia Wen & Jeffton Low Boon Tiong, 2021. "The Interactive Effect of Ethical Leadership and Employee Citizenship Behavior on Organizational Success: Do Lenses of Corporate Governance Matter?," International Symposia in Economic Theory and Econometrics, in: Environmental, Social, and Governance Perspectives on Economic Development in Asia, volume 29, pages 105-135, Emerald Group Publishing Limited.
    • Handle: RePEc:eme:isetez:s1571-03862021000029b029
    DOI: 10.1108/S1571-03862021000029B029
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    More about this item

    Keywords

    Environmental; Ethical leadership; employee organizational citizenship behavior; corporate governance; Malaysia; ethical climate; organizational success; G34;
    All these keywords.

    JEL classification:

    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance

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