Spiritual Leadership and Firm Value: An Empirical Evidence from Auto Parts SMEs in Thailand
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Abstract
The purpose of this research is to investigate the influence of spiritual leadership on product innovation, administrative innovation and firm value. Spiritual leadership theory was employed to explain spiritual leadership’s relationships on product innovation, administrative innovation and firm value. In addition, this research tests the impact of product innovation and administrative innovation on firm value. The managing directors or managing partners of each firm were the key informants. The data was collected from the mailed questionnaire of 159 auto parts SMEs in Thailand. The response rate was 14.85%. The results of the Ordinary Least Squares (OLS) regression analysis were revealed. The findings found that the spiritual leadership have positive significance on the product innovation, administrative innovation, and firm value. The empirical evidence of this research suggests that the Auto Parts SMEs in Thailand can enhance their spiritual leadership by focusing on forthcoming innovations, and leadership needs to take an active part in fostering, encouraging and supporting a great deal of creativity. They also need to develop innovation to develop their auto parts in order to react to their customer’s needs quicker than competitors. Therefore, the managers should promote and support these factors in their business operation which effect to increasing of firm value.
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