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Title: The influence of leadership on strategic flexibility and business performance: the mediating role of talent management
Authors: Kafetzopoulos, Dimitrios
Psomas, Evangelos
Bouranta, Nancy
Type: Article
Subjects: FRASCATI::Social sciences::Economics and Business::Business and Management
Keywords: Leadership
Strategic flexibility
Talent management
Business performance
Issue Date: 2022
Source: Management Decision
Volume: 60
Issue: 9
First Page: 2532
Last Page: 2551
Abstract: Purpose The aim of this paper is to determine whether leadership affects strategic flexibility and business performance taking into consideration the mediating role of talent management in these relationships. Design/methodology/approach The proposed framework is tested by confirmatory factor analysis (CFA) and finally structural equation modeling (SEM), using the survey data from 462 Greek firms. The mediation effect of talent management was tested by the Sobel test. Findings The results show that leadership drives firms to strategic flexibility and business performance, but the introduction of talent management fully mediates these relationships. Strategic flexibility also affects business performance positively. Research limitations/implications This study explores a formal style of leadership; many leadership styles remain unexplored. The field of talent management is in urgent need of more empirical research to explain its importance and how talent management is handled in the 21st-century. Practical implications This study proves that managers should invest more in talent management; outstanding talent can be leveraged to implement the best operational practices while managers' motivation for talent management contributes to a deeper anchoring of strategic flexibility and performance efforts in firms. Originality/value The current state of knowledge of both theory and practice for critical organizational factors such as strategic flexibility and talent management will be extended.
ISSN: 0025-1747
Other Identifiers: 10.1108/MD-10-2021-1310
Appears in Collections:Department of Business Administration

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