Collective Compass to Unit Performance

This study addressed the gap in understating the collective process and its impact on organizational unit performance by examining the effects of collective transformational leadership, collective trust and collective work engagement on unit performance using conservation of resources theory. The data obtained from two sources: 450 employees in 74 agencies in financial organization in Peru and the unit performance obtained from the organization system 4 months after the collection of the employee survey data. The results of multiple structural equation modeling analyses showed that the relationship between collective transformational leadership and unit performance was sequentially mediated by collective trust and collective engagement. This study highlights the importance of examining the impact of organizational factors together and how employees’ perceptions can enhance engagement and performance across the overall organization.

Keywords: collective transformational leadership, collective engagement, collective