African Journal of
Business Management

  • Abbreviation: Afr. J. Bus. Manage.
  • Language: English
  • ISSN: 1993-8233
  • DOI: 10.5897/AJBM
  • Start Year: 2007
  • Published Articles: 4194

Full Length Research Paper

The dyadic effect of leadership and conflict management on trust in the context of life insurance companies in Taiwan

Hui-Chin Chu, Yi-Feng Yang* and Ching-Yaw Chen
Shu-Te University, Taiwan.
Email: [email protected]

  •  Accepted: 01 December 2010
  •  Published: 30 June 2011

Abstract

 

In this study, we discuss the main and dyadic (interconnected) effects oftransformational leadership, organizational conflict management on organizational trust in the life insurance industry. We analyze two samples (sales managers and sales employees) and carry out an empirical study using a multiple interaction regression approach to obtain significant results. We compare the dyadic effect with the main effects taking an overall view of leadership-trust linkage. Our main conclusion is that we consistently find an important contribution for the main effects of transformational leadership and organizational conflict management onorganizational trust while the dyadic effect plays an interactive role that also helps enhance and uplift the leadership-trust relationship. This is important information for life insurance firms which need to build successful organizational trust associationsvia strategic alliance implementation, especially to adapt to an ever-changingalliance relationship.

 

Key words: Transformational leadership, organizational conflict management, organizational trust, strategic alliance implementation.