Date Added: Oct 2009
This paper offers empirical evidence on a specific question: how does leadership foster the use of performance data? More broadly, it informs the ways in which the people understand how leadership can influence the implementation of management reforms. Previous research suggests that leadership matters to performance information use among their employees, but under-specifies the causal processes by which this influence occurs. This paper uses structural equation modeling to suggest that transformational leadership has a positive but indirect effect on performance information use via two mediating factors: goal clarity and organizational culture. The results inform studies of leadership and reform by demonstrating how leadership can foster the effectiveness of new management systems.