Transformational leadership transitions and employees’ entrepreneurial behavior in higher education institutions: a fuzzy set qualitative comparative analysis

This study explores how transitions impact employees’ psychological empowerment and entrepreneurial behavior via changes in transformational leadership style within higher education institutions (HEIs). Grounded in Implicit Leadership Theory, Contrast Theory, and Leadership Transference, the research examines how employees compare new and previous leaders and how these comparisons influence their psychological states and employee entrepreneurial behavior. Utilizing a two-wave longitudinal survey conducted in a Dutch university faculty, where a dean transition occurred in 2022, the study uses fuzzy set qualitative comparative analysis (fsQCA). The findings indicate that maintaining or enhancing transformational leadership and employees’ psychological empowerment during leadership transitions significantly fosters employees’ entrepreneurial behavior. The fsQCA results reveal several pathways, including Empowered Performance Collectives and Supportive Leadership Dynamics. This study contributes to the literature by extending the understanding of transformational leadership’s role before and after transitions. The practical implications show that strategic succession planning and leadership development programs are important to support employee entrepreneurial behavior and, in turn, innovation and adaptability in HEI.