International Journal of Law and Management

The role of spiritual leadership in fostering discretionary behaviors: the mediating effect of organization
based self esteem and workplace spirituality
zahrotush Sholikhah, Xuhui Wang, Wenjing Li,
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To cite this document:
zahrotush Sholikhah, Xuhui Wang, Wenjing Li, "The role of spiritual leadership in fostering discretionary behaviors:
the mediating effect of organization based self esteem and workplace spirituality", International Journal of Law and
Management, https://doi.org/10.1108/IJLMA-04-2018-0081
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 The role of spiritual leadership in fostering discretionary behaviors: the mediating effect of
organization based self-esteem and workplace spirituality

Abstract

Purpose – This study examines the role of two mediating variables in the relationship between
spiritual leadership with organizational citizenship behavior (OCB). The two mediating variables
used in the study were organization-based self-esteem (OBSE) and workplace spirituality as
followers' intrinsic motivation and self-concept factors. Furthermore, the research also examined
the role of perceived organizational support as moderating variable on the relationship between
spiritual leadership, and workplace spirituality.
Design/methodology/approach – A survey was conducted using questionnaires via a face-to-face
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method. The five-point Likert scale was used to assess the variables and to measure the items. The
tool of analysis used was Partial Least Square (PLS). The sample consisted of 234 respondents
encompassing teachers and educational staffs of an Islamic based education institution in
Indonesia.
Findings – The results supported five out of the eight proposed hypotheses. It was apparent that
there was a partial mediating role of the organization-based self-esteem as followers' motivational
concept on the relationship between spiritual leadership and organization citizenship behavior.
Research limitations/implications – The dearth of literature on the adoption of spiritual
leadership in Islamic schools makes the depth of discussion on the study framework somewhat
limited.
Practical implications – Insight provided by this study into understanding and link between
spiritual leadership and organizational citizenship behavior among Muslim education practitioners.
While a large body of leadership research has adopted a variation of leadership theories, our results
shifted the focus of attention to the adoption of spiritual leadership as an essential determinant of
discretionary behavior in a religious-based institution.
Originality/value – The study extends scholarly understanding on the role of spiritual leadership,
which is a relatively new and growing area of interest for academics and practitioners, in shaping
teachers and academic staffs’ organizational citizenship behaviors regarding both theory and
practice.
Keywords: Spiritual Leadership, Organization Citizenship Behavior, Organization-Based Self-
Esteem, Workplace Spirituality, Perceived Organizational Support.
Paper type research paper
 1. Introduction

Leadership, at the recent year, is evolving to a more value-based approach of a leadership style.
The leadership trend tends to be more transformational, characterized by figurative, inventive,
inspiring leadership, emotional and moral values, individualized attention, as well as intellectual
stimulation (Avolio, Walumbwa, and Weber, 2009). This trend is driven by the growing needs of
organizations’ members on individual inner achievement and human values. Nowadays, people
are facing problems such as spiritual emptiness, psychological problems, depression, loneliness,
absurdity, being egocentric, and feeling of uncertainty (Polat, 2011). Therefore, leaders are forced
to place stronger emphasis on the humanistic values.
Spiritual leadership (SL), as an emerging area of leadership research, has recently been
acknowledged as a new approach of leadership style, which is more value-oriented on theory
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(Avolio et al., 2009). An active leader can be portrayed by the intrinsic motivation model that
incorporates "vision," "hope/ faith," and "altruistic love." The spiritual leadership concept stresses
on values, attitudes, and behaviors of a leader to motivate the leader itself and the followers
intrinsically through spiritual well-being, "call" and "membership." Such leadership style allows
the followers to experience meaning in their lives and feel able to make a difference, be understood,
and appreciated by the leaders (Fry, 2003; Fry, Vitucci, and Cedillo, 2005).
Another motivating factor behind the emergence of spiritual leadership is the growing
phenomena on employees’ deviant behavior (Adawiyah and Pramuka, 2017). The upsurge in the
employee unethical practices, such as scandals, failures, debts crises, and subsequent recessions,
in organizations, have caused the collapse of these organizations (Akhtar et al., 2018; Pearce et al.,
2013; Putri et al., 2017; Schwartz, 2013). The deviant behaviors of business and its leaders appear
to be the determining factors of the scandals (Galanou and Farraq, 2015). Spiritual leadership is a
solution for scandals as it is shaped by a situational dynamic such as religious paradigm, belief
systems and inner personal values (Kaya, 2015). Thus, spiritual leadership has a strong connotation
with religious faith as it embedded the purpose of human creation. This leadership style may lead
to better employees’ performance if they are well respected in the workplace.
The focus of Islamic spiritual leadership is doing good deeds and obeying of Allah’s
ordained order. Islamic practices entail instilling the moral dispositions of work as worship, self-
discipline, responsibility, and accountability to create a viable entity (Galanou and Farrag, 2015).
The number of research on the adoption of spiritual leadership at Islamic schools, despite of its
growing trend, is limited. Teachers are powerful resources for schools’ sustainability. Teachers’
willingness to go beyond the call of duty shall speed up the attainment of their school’s objectives
and goals. Therefore, among the challenge encountering schools’ principals is how to foster
teachers’ discretionary behaviors at the workplace.
Growing numbers of the literature suggested the importance of spiritual leadership in
shaping employees’ behaviors. Avolio et al. (2009) argued that determining the causal mechanism
between the leadership and the organizational outcomes should be the priority of future leadership
studies. The growing interest of research on spiritual leadership is increasing along with the
 growing needs of organizations for desirable work-related outcomes (Mitroff and Denton, 1999a,
b; Ashmos and Duchon, 2000; Fry, 2003, 2004; Milliman, Czaplewski, and Ferguson, 2003;
Giacalone and Jurkiewicz, 2003; Giacalone, Jurkiewicz, and Fry et al, 2005). Past researchers have
proposed several models on the effectiveness of spiritual values in leadership outcomes (Reave,
2005; Fry et al., 2005, Fry and Scolum, 2008; Fry and Cohen, 2009). With several possible
outcomes, Organizational Citizenship Behavior (OCB) is usually related to organization’s
outcome and effectiveness (Rego and Cunha, 2008). Employees play critical roles in addressing
the challenge and sustainability of an organization. Employees as good citizens involved in a wide
range of organizational activities such as interacting with customers, creating good working
atmosphere, promoting organization’s goals, and also performing a higher positive behavior.
Spiritual leadership itself focuses on the value-based approach between leader and follower which
is proposed to have an impact on OCB (Chen and Yang, 2012).
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With the growing interest received, as a thriving paradigm in leadership, more empirical
validation of spiritual leadership is demanded (Avolio, Walumbwa, and Weber, 2009; Chen, Chen,
and Li, 2013; Chen and Li, 2013), especially regarding to its effectiveness and situational and
environmental factors to its efficacy. Despite the positive effect proposed by spiritual leadership
model on work outcome, additional mediating and moderating variables exist among the followers
and organization should be considerable. More empirical studies on the relationship between
spiritual leadership and employees’ behavior are needed (Dent, Higgins, and Wharff, 2005). In
response to the research call, this research enhances to that mutual conceptualizing and illuminates
the intersection between them by adding organization-based self-esteem and workplace spirituality.
The study contributes to the body of knowledge on leadership because there is comparatively more
research in Islamic education institution.
This paper proceeds as follows. The second section reviews the literature. The third section
shows the methodology of the research. The fourth section presents the results of the study. The
fifth section discusses the results. The last part concludes

2. Literature Review

The theoretical foundation of spiritual leadership

Organizational sustainability is now a priority for many organizations (Adawiyah, 2017; Pinasti
and Adawiyah, 2017). Organization as a religious entities emerged from the fact that people
nowadays spend most of their time at their workplace hence their spiritual identities evolve and
grow within the organization (Benefiel, 2005). Therefore, the leader, as the person who shares the
highest power of influence for people in an organization plays a crucial role in enriching the
followers’ spiritual values. Fry et al. (2005) define spiritual leadership as values, attitudes, and
behaviors that one must adapt to intrinsically motivate one's self and others so that both have a
positive increase in the sense of spiritual well-being through calling and membership. Calling
occurs when the leader can create a vision wherein the people can experience transcendence or
 making differences through service to other and achieve their life's purpose and meaning by doing
so, while membership refers to the feeling of being understood and appreciated (Fry, 2003).

Fry (2003) proposed three leader’s spiritual factors. First, the vision which refers to a
picture of future with some explanations on why people should achieve that future. Second, hope/
faith, which refers to the source for the conviction that the organization's vision/ purpose/ mission
will be accomplished. Third, altruistic love, which relates to leaders and followers having "a sense
of wholeness, harmony, and well-being produced through care, concern, and appreciation for both
self and others. Furthermore, he argued that in influencing the organizational outcomes as the
result of the causes and effects of spiritual leadership, those three factors are mediated by followers’
calling and membership. Spiritual leaders have always comprised feelings of understanding of
personal spirituality, meaning and purpose of work, connectivity with the community, and spiritual
well-being through calling and membership among the followers (Duchon and Plowman, 2005).
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Spiritual leadership developed by Fry emphasize on intrinsic motivation. Finally, it also

involves three main aspects: first, the religious-based element that underlines on affection and car.
Second, the ethics-based component, which includes the treatment of others. Third the value-based
aspect, which consists of the development of working environment, and culture that values the
spiritual character of people.

Spiritual leadership and organizational citizenship behavior

Avolio et al. (2009) argue that the determination of the causal mechanisms linking leadership to
its outcomes will be a priority for future leadership studies. Rego and Cunha (2008) suggests that
OCBs are usually related to the organizational effectiveness. A leader’s values, attitudes, and
behavior affect the spiritual well-being of the employees (Chen and Yang, 2012). The spiritual
leader is regarded as a transformational leader in encouraging the internal motivation of their
subordinates/ followers so that they will be highly motivated to perform the citizenship behavior
(Gagne and Deci, 2005; Fry, 2003). Several studies show the positive effect of “spirituality” on
organizational citizenship behavior (Gagne and Deci, 2005; Fry, 2003; Ahmadi and Khoddami,
2010; Beikzad et al., 2010).

Organ (1988) defined OCB as "individual behavior that is discretionary, not directly or
explicitly recognized by the formal reward system, and that in the aggregate promotes the effective
functioning of the organization." The leader who practiced spiritual concept shall perform a better
attitude and behavior toward the employees as the nurture of the employee's spiritual well-being.
Spiritual leadership works by nourishing the inner portion of the employees. Furthermore, the
effect of a high intrinsic motivation of an employee will facilitate the person to perform a good
citizenship behavior of the organization, such as altruism behavior to help colleagues and
conscientiousness toward the organization. The feeling of membership of an organization that is
conducive to the altruistic behavior of citizens, make employees more willing to help to solve the
problem of their co-workers (Chen and Yang, 2012). Spiritual leadership appears to influence
 organizational citizenship behavior among school principal (Kaya, 2015). Spiritual leadership has
positive correlation with OCB as well as other variables that are related to OCB such as motivation,
job satisfaction, organizational commitment, organizational integration, favourable climate,
morale, interaction and affinity between members, individual and corporate health, workplace
peace, ethical environment, trust, collaboration, satisfaction, motivation, productivity, success,
performance, efficiency (Kaya, 2015: 604). Thus, the following hypothesis is proposed.

H1: Spiritual leadership has a positive impact on organizational citizenship behavior.

Spiritual leadership and followers’ motivational concept

Fry’s theory of spiritual leadership is essentially based on the motivational concept, similar to
transformational and charismatic leadership, which both stressed on intrinsic motivation. It also
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involves religious-based, ethics-based, and value-based aspect. SL incorporates every components

and aspect of spirituality to a framework of leadership theory based on motivation (Fry, 2003). SL
facilitates the intrinsic motivation of a person by leading it to a sense of spiritual survival by calling
and membership. Furthermore, the relationship between leaders and subordinates can be
previewed as an exchange relationship. Leader's values, attitude, and behavior affect the follower's
beliefs and values as the result of the interaction’s exchange. Once a leader shows a positive
engagement and support for the mission, the subordinates will feel valued and respected, and in
turn will demonstrate a positive involvement and reciprocate positive engagement/behavior
showed by leaders and organizations (Robinson et al., 1994; Morrison and Robinson, 1997).
Leadership has impacts in dyadic interaction, group and interpersonal relationships within
the organization, and affects the identity, values, and self-esteem (Cremer et al., 2005; Chen et al.,
2013). Self-esteem has been identified as a motivational mechanism in mediating leader’s behavior
and leadership outcomes (Shamir et al., 1993a, b). Self-esteem refers to an individual's overall
evaluation of his/her competencies (Rosenberg, 1965). Pierce et al. (1989) introduced
organization-based self-esteem (OBSE) and defined it as individual evaluation on personal self-
competence of capability, signification, worthiness, and values as an organization member.
Employees who believe that they are important, meaningful, effectual, and worthwhile in an
organization will show higher self-esteem (Chen et al., 2013).
Self-esteem has been recognized as an essential predictor of OCB (Pierce and Gardner,
2004; Twigg, Fuller, and Hester, 2008). It has been addressed as a determining factor of employees’
intrinsic motivation (Pierce and Gardner, 2004) and as a mediator between leader-follower
relationships (Aryee, Budhwar, and Tan, 2003). Therefore, adding self-esteem as a follower's
mediating mechanism in SL model is sensible (Chen and Li, 2013).
Spiritual leaders can encourage self-esteem of their subordinates by personal and collective
influence (Aryee et al., 2003; Shamir et al., 1993a,b). Spiritual leaders promote their subordinates’
self-esteem by showing care and respect through training, coaching, and other development
opportunities (Conger and Kanungo, 1998; Shamir et al., 1993a,b). Spiritual leaders create an
environment that expresses caring and love that will encourage the intrinsic motivation of the
subordinates. Furthermore, the collective process of spiritual leadership described by Fry (2004)
 as “organization transformation” (OT) which is an extension of organizational development that
leads to "massive changes in an organization's orientation to its environment, vision, goals and
strategies, structures, processes, and organizational culture."

H2: Spiritual leadership has a positive impact on organization-based self-esteem.

An organization requires employees who engage beyond their fundamental role to survive (Katz
and Kahn, 1978). Schools need teachers who demonstrate extra-role behavior on their work. Only
teachers with good personality can display such behavior. When teachers are having a broad
sense of meaningfulness at work, they will help schools to reach the maximum performance as it
deserves (Ogunleye et al., 2014).

Personality is a dimension of human behavior that may both organize and direct actions.
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Teachers' character can lead to OCB in the workplace through several integrated processes.
According to the self-enhancement theory, every teacher has a fundamental need to enhance their
level of self-esteem. Teachers with high self-esteem might engage in OCB by activating the self-
enhancing motivation to become a better person. Meanwhile, teachers who are low in self-esteem
will display self-protecting motivation to justify their unfavorable performance. Furthermore, the
cognitive consistency theory posits that individuals are motivated to maintain attitudes and
perform behaviors that consistent with their self-concept. Therefore, teachers with high self-
esteem would be more likely to engage in acts that are harmonious with positive self-esteem such
as OCB (Avey et al., 2011). The self-consistency theory proposes that people preserve their perception
by thinking and behaving in ways that maintain their conception of self (Sharma & Mavi, 2001). Teachers
will enact and satisfied with those behavioral roles that maximize their sense of consistency. Some previous
studies have indicated a positive relationship between organizations based self-esteem with organizational
citizenship behavior (Ariani, 2012; Mayer et al., 2007; Ogunleye et al., 2012)

H3: Organization based self-esteem has a positive impact on organizational citizenship behavior.

The social exchange theory (Blau, 1964) posits that individuals always tend to reciprocate their
actions to others as they have done to them. Therefore, when employees experience happiness at
work, they will respond to the organization by exhibiting OCBs. However, the social exchange
theory has not sufficiently discussed characteristics that make employees show OCB at the
workplace (Kamil et al., 2015). Therefore, more research is required to determine a comprehensive
‘characteristics’ that can mediate an individual employee’s choice to go beyond that required to
perform his/her immediate job role (Podsakoff, MacKenzie, Paine, and Bachrach, 2000, Kamil et
al., 2015). Meanwhile, past works of literature support the view that OBSE is an intervening
variable between such antecedents as job satisfaction, affective commitment, procedural justice,
distributive justice, leader-member exchange quality, and workplace complaining and OCB (Royle,
2010). Therefore, the following hypothesis is proposed.

H4: The positive impact of spiritual leadership on organizational citizenship behavior is

mediated by organization-based self-esteem.
 Spiritual leadership and workplace spirituality

Workplace Spirituality defined as the recognition of the existence of employees' inner life
that maintain not only the work but also vice versa that the inner life will be maintained by work
in the context of social life (Ashmos and Duchon, 2000). Workplace spirituality involves the effort
to find one's primary goal in life, to develop strong relationships with co-workers and others who
associated with the job and maintaining harmony between a person's core beliefs and values of
their organizations (Mitroff and Denton, 1999b).
Spiritual leadership as values, attitudes, and behaviors that one must adapt to intrinsically
motivate one's self and others so that both have a definite increase in the sense of spiritual well-
being through calling and membership (Fry et al., 2005). SL involves a greater understanding of
personal spiritual values, the meaning and purpose of work, connectivity with the community, and
spiritual well-being (Duchon and Plowman, 2005). Conceptually, there is a close relationship
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between SL and WS that need to be examined, although there is limited research in this area
(Milliman, Czaplewski, and Ferguson, 2003).
There are four main reasons for spiritual leadership to have an impact on employees' perception
of their organization’s workplace spirituality. First, spiritual leadership helps his subordinates to
find the meaning of their work by connecting with other co-workers’ society, self, and transcendent
by being a whole person, this will encourage and motivate then to capture a higher purpose and
meaning (Hudson, 2014). Second, a spiritual leadership encourages their subordinates to reflect
on the greater community beyond themselves by taking concerns of the society and nature (Kaya,
2015). Third, spiritual leadership correlates the organization’s goals, values, and system with the
purpose/ goal and values of individuals, thus makes them feel connected and fit better with the
organization (Benefiel, 2005). Finally, spiritual leader inclined to enable his followers to pursue a
higher purpose of life, meaningful work, sense of community, and align themselves with the
organization. The process above potentially will create a more harmonious relationship between
organizational spirituality and personal spirituality, a better sense of the meaningfulness of work,
self-transcendence, and interconnectedness with the community.

H5: Spiritual leadership has a positive impact on workplace spirituality.

Moderation of perceived organizational support

Perceived organizational support is likely to have a moderation influence on the relationship
between spiritual leadership with workplace spirituality. Perceived organizational support refers
to the extent of employees’ beliefs on how their organizations appreciate their contributions and
care about their well-being and thereby fulfill their social, emotional needs (Rhoades and
Eisenberger, 2002). The contribution of POS is based on the reciprocity norms, where that
someone should assist or benefit their benefactor. In the context of spiritual leadership, employees
must promote the feelings of organizational support and care that may reflect on the sense of
employees’ transcendence of self-interests. POS can lead to extra-role activities based on the
reciprocal relationships and felt the duty to assist others (Eisenberger, Armeli, Rexwinkel, Lynch,
 and Rhoades, 2001). POS is interpreted by the employees as the organization treatment for them.
When the organization gives better treatment to the employees, the employees tend to develop
stronger relation and perception with the organization's purposes and goals through greater
harmony (Cable and Parsons, 2001). When an employee feels that he received a favorable
treatment form the organization, he will feel obliged to reciprocate the treatment he received and
will affect the degree of the sense of similarities between his values and organization’s values
which in spiritual leadership context refers to the better sense of alignment.

H6: The positive impact of spiritual leadership on workplace spirituality is moderated by the
perceived organizational support.

Workplace spirituality and organizational citizenship behavior

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Previous studies indicate that employees who are more satisfied with their jobs perform more
frequent Organizational Citizenship Behavior (Bateman and Organ, 1983; Smith, Organ, and Near,
1983). Tepper (2003) then proposed spirituality as an antecedent of employees’ OCB, employees
who are motivated to find the sacred meaning of the purpose their being will perform a higher
frequency of OCB. Workplace Spirituality improves human wholeness, which led to happiness
and satisfaction among employees (Krishnakumar and Neck, 2002). When employees are happy
are more helpful and respectful of others and tend to perform OCB frequently (Avey, Wernsing,
and Luthans, 2008; Miles, Borman, Spector, and Fox, 2002).

Employees who bring their entire being (physical, mental, emotional, and spiritual) to the
workplace have a strong interaction with coworkers. They experience a broad and robust alignment
between personal goals and values with the organization that subsequently makes them regard their
work as more than just a job. In turn, this causes them to do an extra-role behavior, including OCB
acts (Kolodinsky, Giacalone, and Jurkiewicz, 2008; Milliman et al., 2003; Pawar, 2009; Rego and
Cunha, 2008). Person-Organization fit theory stressed on the congruence and suitability value
between the individual and the organization, where both of the parties can provide what is needed
from each and have a line of thought as the values espoused (Kristof, 1996; Ho, 2011). Employees
who adopt the spiritual values at work signify the alignment between personal values with the
vision and mission of the organization. This spiritual value will encourage a sense of attachment
between employees and the organization, thus to support employees to work well and behaved
well toward the organization, including OCB performance.

H7: Workplace spirituality has a positive impact on organizational citizenship behavior.

Some studies on organizational citizenship behavior (OCB) revealed that employees exhibit
greater role performance when they feel the presence of a secure connection to their organization,
have found a sense of meaning and purpose in their daily work (Van Dyne, Graham, & Dienesch,
1994). Rokeach (1973) postulates that beliefs and values shall shape people’s attitudes at work
which later direct their behavior in any given situation (Kamil et al., 2015). Spirituality is a
fundamental element that shapes the cultural, societal and ethical values, in all components of the
 society. Workplace spirituality is one of the possible enabling factors that influence Muslim
teachers' propensity to exhibit OCB regardless their cultural background. Thus, the following
hypothesis is proposed.

H8: The positive impact of spiritual leadership on organizational citizenship behavior is mediated
by workplace spirituality.

Based on the previous explanations, the proposed model in this study can be described as
follows:

Place Figure 1 here

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3. Methodology

This research was conducted in the private education sector in Indonesia. The private education
sector encompasses private schools which provide compulsory education (elementary school,
middle school, and high school). The sampling technique used was purposive sampling with the
following criteria; teachers, educational staffs, and management boards with at least have been
working for one year at the school.
The measurement for each variable studied was adopted from the previous researchers.
Spiritual Leadership was measured by 17 items scale questionnaire developed by Fry, Vitucci, and
Cedillo (2005). Cronbach’s 𝛼 coefficient for the constructs is 0.82. The reliability and validity of
this scale were verified by the original authors. Organizational Citizenship Behavior was measured
by 20 item scales questionnaire developed by Podsakoff et al. (1990). Organization Based Self
Esteem was measured by ten items scale questionnaire developed by Pierce and Gardner (2004).
Workplace Spirituality was measured by 21 items scale questionnaire developed by Milliman et
al. (2003). Cronbach’s 𝛼 coefficient for the constructs is 0.79. And Perceive Organization Support
was measured with the 8-item scale developed by Lynch, Eisenberger, and Armeli (1999).
From 300 questionnaires distributed, 234 respondents were considered sufficiently
representative for this study with 78% response rate. The hypotheses of this study were tested
based on the structural equation modeling using Partial Least Square (PLS). The tool of analysis,
is particularly suited because it helps to find the multidimensional path in the X space that
elucidates the determined multidimensional variance direction in the Y space.

4. Data Analysis and Results

Out of a total of 234 respondents, 131 (55,9%) were women, and 103 (44,1%) were men. Thus the
proportion of female and male participants was almost equal. The age ranged between 20’s – 50’s;
90 people (38.4%) of the respondents are from 20-29, 87 (37.1%) are from 30-39, 46 (19.6%) are
 from 40-49, and 11 (0.047%) are over 50. Therefore, most of the respondents are still in their
productive ages.

The data analysis used was Smart PLS 2.0 program. This program is an accurate tool to
estimate variance-based structural equation. The analysis consists of three parts: Outer Model
Analysis, Structural Model Analysis, and Hypotheses Testing.

Outer Model Analysis

There are three requirements for PLS model; convergent validity, discriminant validity,
and composite reliability. The convergent validity, discriminant validity, and composite reliability
of the model for this study can be seen as follow:

Place tabel 1 here

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According to Hair et al. (2013) to test the convergent validity of a construct can be seen
from the Average Variance Extracted (AVE) output which should be higher than 0.500. Based on
table 1, all of the AVE of each construct is greater than 0.500. Results indicated that the variance
extracted for scales ranged from 0.529 to 1.000. Therefore, it can be concluded that the construct
is valid.
Discriminant Validity is the degree to which any single construct is different from the other
construct in the model (Carmines and Zeller, 1979). The Discriminant validity is adequate when
construct has an AVE loading higher than 0.5 meaning that at least 50% of measurement variance
was captured if the diagonal elements are significantly higher than the off-diagonal values in the
corresponding rows and columns (Table 2).

Place tabel 2 here

In PLS, individual factor reliability was assessed by examining the loadings of individual
factors on their respective latent constructs (Hulland, 1999). The higher loadings imply that there
is more shared variance between the construct and its measures than error variance. The Value of
Composite Reliability for each construct should be higher than 0.700 (Hulland, 1999; Hair et al.,
2013). Based on table 1, the composite factor reliability coefficients of the constructs ranged from
0.887 to 1.000 which is higher than 0.700. Thus, it can be concluded that the construct is reliable.

Structural Model Analysis

In Partial Least Squares (PLS), structural model and hypotheses are tested by computing
path coefficients (β). According to Hair et al. (2013), since PLS does not require a normally
distributed data, the R-squared (𝑅2) is used to estimate the influence of variables. 𝑅2 measures a
construct’s percent variation that is explained by the model (Wixom and Watson, 2001). The result
of the 𝑅2 can be seen as follow:

Place tabel 3 here

 Based on table 3 the R-squared (𝑅2) value of Organization Based Self Esteem is 0.572. It
means that Spiritual leadership can explain 57.2% of the variation in the teachers’ organization
based self-esteem, while 42.8% is attributed to other variables, which are not being examined.
Spiritual leadership also explained 1.6% variation of changes in employees’ perceived
organizational support. Variation of changes in workplace spirituality can be explained 41.4% by
the perceived organizational support and spiritual leadership. Spiritual leadership, organization
based self-esteem, and workplace spirituality can explain the remaining 70.4% variation of
changes in OCB.

Furthermore, Variance Accounted For (VAF) method is used to test the structural model
of indirect influences. This method is considered as the best approach for PLS which use
resampling method, and it has higher statistical power than Sobel method (Hair et al., 2013). The
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mediation effect will be categorized as follow; ≥ 80% means that it has full mediation effect,
20%-80% is partial mediation effect, and ≤ 20% says there is no mediation effect. The formula
𝑎𝑛 𝑖𝑛𝑑𝑖𝑟𝑒𝑐𝑡 𝑒𝑓𝑓𝑒𝑐𝑡 0.450
for calculating VAF is 𝑡𝑜𝑡𝑎𝑙 𝑒𝑓𝑓𝑒𝑐𝑡
. The mediation effect of OBSE between SL and OCB is 0.763
= 0.589 or 58.9%. Thus indicating that OBSE has a partial mediation effect between SL and
OCB. On the other hand, WS which expected to have a mediating role between SL and OCB has
insignificant result from its relationship with SL as can be seen in figure 2.

Place Figure 2 here

Hypotheses Testing
H1 stated that ‘Spiritual Leadership has a positive impact on Organizational Citizenship
Behavior’. According to figure 1, the P-value of SL to OCB is 0.005, and the Path coefficient is
0.313. It can be concluded that SL has a positive influence on OCB. Thus, H1 was supported.
Spiritual leadership has a positive effect organizational based self-esteem with path coefficient
0.756 and P-value 0.000. Similarly, H2 and H3 were also supported. Leader's spiritual behavior
significantly predicts employee’s OCB. When organizationally based self-esteem was entered into
the regression equation the 𝑅2, 𝛽, and p-value were also significant, demonstrating the mediating
role of organizational based self-esteem between spiritual leadership and OCB. Based on the VAF
calculation before it is inferential that the organizational based self-esteem has a partial mediating
effect between spiritual leadership and OCB. Therefore, H4 was supported.

According to figure 1, the influence of spiritual leadership on workplace spirituality is not

significant because of the p-value ≥ 0.100. Thus, H5 was not supported. Likewise, H6 proposed
the moderating effect of perceived organizational support between spiritual leadership and
workplace spirituality was not supported. The result shows the insignificant relationships between
spiritual leadership and workplace spirituality (b1), perceived organizational support and
workplace spirituality (b2), and Z to workplace spirituality (b3). When b2 and b3 were not
significant, the moderating variable can be categorized as a homologizes moderator, which
 indicates that the variable is, actually has a potential to be a moderator (Hair et al., 2006). H7 was
supported to demonstrate the positive influence of workplace spirituality to OCB. The mediation
role of workplace spirituality between spiritual leadership and OCB for H8 was not supported as
the proposed relationship between spiritual leadership and workplace spirituality in H5.

4. Discussion

This study aims to elaborate on the existing theory about Spiritual Leadership and its impact on
organization’s outcome such as Organizational Citizenship Behavior. This study identifies the
effect of SL on OCB and explores the possible mediating and moderating roles in the process. The
results of the survey indicate several significant findings. First, SL is proved to have a positive
effect on OCB. Leaders who demonstrate spiritual values encourage employees to perform the
extra-role behavior. The founding is consistent with the previous study developed by Chen and
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Yang (2012). Spiritual leaders demonstrate transformational values such as humility and integrity
in producing motivational modal for their selves and the followers. Leaders who practiced spiritual
concept show better attitude and behavior toward the employees which promotes intrinsic
motivation of an employee to perform as a good citizenship behavior of the organization.
Second, this study contributes to validating the mediating concept between SL and OCB.
Fry’s theory of SL is fundamentally based on a motivational idea which stressed on intrinsic
motivation. This study proposed OBSE as a motivational mechanism of followers’ self-esteem in
mediating the effect of SL on OCB. According to Self-Determination Theory, OBSE, as a form of
intrinsic motivation, leads employees to do an activity (such as job performing) to fulfill their
interest and satisfy themselves (Deci and Ryan, 2000). Past studies have denoted the intermediary
role of intrinsic motivation between superiors and subordinates at work (Joo, Jeung, and Yoong,
2010; Galletta, Portoghese, and Battistelli, 2011). The finding in this research is consistent with
the above studies where OBSE shows a partial mediating effect on SL and OCB relationship. This
result indicates that SL can influence OCB both directly and indirectly through OBSE.
Furthermore, spiritual leadership has been the primary source of intrinsic motivation
(Quinn and Spreitzer, 1997; Lee and Koh, 2001). It involves the participative role of the leaders in
influencing the followers. This participative leadership style will affect working outcomes such as
the performance of the managerial-subordinates through mediating mechanisms such as;
empowerment (motivation-based) for managerial subordinates and trust (relationship-based and
exchange-based) for non-managerial subordinates (Huang et al., 2010). Spiritual leaders promote
their subordinates' self-esteem by showing care and respect that in extent will motivate them to
demonstrate a positive involvement, engagement, and behavior.
Third, the results of the study demonstrate the positive effect of WS and OCB. Employees
who bring their entire being (physical, mental, emotional, and spiritual) to the workplace are
having meaning in their job, developing a strong interaction with coworkers, and alignment
between personal goals and values with the organization. Thus, in return will cause them to do the
extra-role behavior (Kolodinsky, Giacalone, and Jurkiewicz, 2008; Milliman et al., 2003; Pawar,
2009; Rego and Cunha, 2008).
 5. Conclusion

The findings from this study enhance the theory of spiritual leadership by looking at how spiritual
leadership research within the ethical lapses of leaders in Islamic based educational institution.
Islamic schools are in dire need of teachers with discretionary behavior because spiritual leadership
proved to have a significant relationship with organizational based self-esteem and organizational
citizenship behavior. It promotes the intrinsic well-being of the follower by creating a vision where
people can achieve their higher purposes of life and contributing to society by performing services
to others, and by giving people a feeling of being appreciated. Spiritual leadership shows a positive
engagement of a leader when encouraging the self-esteem of its subordinates. People are
experiencing a sense of meaningful and importance at work. Furthermore, spiritual leadership
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encourages people to perform, act, and behave as good citizens of the organization. This
fundamental process also demonstrated the mediating role of organization-based self-esteem on
the relationship between spiritual leadership and OCB. Workplace Spirituality found to have a
significant effect on OCB. An employee who adapts their spiritual values at work is motivated to
find the sacred meaning from their job, develop intense involvement with the co-workers, and have
a strong alignment between their personal and organization's goals. Thus, it will encourage them
to perform more frequent OCB. This study has successfully extended Fry's theory of spiritual
leadership by integrating and empirically validating the mediating role of organizational based
self-esteem and workplace spirituality. The findings suggest that exploring the mediator of
leadership behaviors towards work behavior of subordinates is worthwhile.

6. Limitations and recommendations for further research

Despite its methodological rigor, this study is subject to restriction. This study was conducted by
considering the individual-level of organization interaction while there are a lot of interactive
cross-level differ in an organization which may influence the leadership effectiveness that requires
further investigation. The findings of this study indicate the possible moderating effect of POS that
will be important for future research to explore. Self-determination theory different motivational
background may result in different work outcomes and behavior (Gagne and Deci, 2005). In an
organization, employees may differ in different groups when extrinsic involved. Future studies
should further examine the different mechanism of motivations and the effects to its outcomes.
Future research may investigate other organizational and behavioral issues related to leadership
such as psychological contract, work engagement, workaholic behavior, etc. Finally, this study
was conducted in the education setting; therefore, validating the model of this study in a different
context is advisable. Finally, the data were collected using self-administered questionnaires raising
the opportunity for response bias, as it requires respondents' literacy when filling in the surveys.
Additionally, demographic factors such as work experience, gender, and education background of
respondents have been purposefully left behind however at this stage we are fully aware of the
importance of those factors be analyzed. This study focused on a limited number of outcomes
 (workplace spirituality, organizational based self-esteem and OCB) Future works can focus on
how spiritual leadership is associated with other work-related behaviors such as job satisfaction
and organizational commitment.

7. Managerial implications of the study

Spiritual leadership involves efforts to connect individual religious value to organizational

citizenship behaviors. Signifying spirituality practice at work is encouraging, as it does not only
enhance teachers and academic staffs' performance but also the school's performance. Rather than
seeing workplace spirituality as a withdrawal into bewilderment against modern transformations,
the concept of spiritual leadership elucidates the way in which the school growth is comprehended
of and ordained as matters of spiritual virtue.
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The fact that organizational based self-esteem mediated the relationship between spiritual
leadership and organizational citizenship behavior, have confirmed the role of personality in
yielding discretionary behaviors. This study has demonstrated the importance of possessing
teachers and academic staffs with a good character, therefore personality selection should be
among items included during employees’ recruitment and selection. In a similar pattern,
workplace spirituality partially mediates the relationship between spiritual leadership and OCB.

Recently people have witnessed a great deal of social turmoil, with growing number of
humanity tragedies at schools. The incidents have put the spotlight on the issue of who is
responsible for the safety of our youngsters. In the meantime, schools can serve as a motor for
social mobility in the surrounding by promoting the custodial function to help young people
develop their social skills. School leadership teams play a pivotal role in shaping the school culture
to prevent unacceptable behavior. Empowering teachers’ discretionary behaviors is necessary to
help inhibit deviant behavior. Therefore, a respectful school should employ staffs that promote
pro-social behavior and arbitrate whenever anti-social behavior emerge.

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 OBSE

Spiritual OCB
Leadership

Workplace
Spirituality

Perceived
organizational
support
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Figure 1. conceptual framework of the study

Figure 2. Path Coefficient with P-value

 Table 1. Average Variance Extracted and Composite Reliability

Construct Average Variance Composite Reliability

Extracted (AVE) (CR)
Organization Based Self Esteem 0.602 0.900
Organizational Citizenship Behavior 0.529 0.887
Perceived Organization Support 0.575 0.903
Spiritual Leadership 0.537 0.889
Workplace Spirituality 0.553 0.895
Z 1.000 1.000

Table 2. Total Effect

OBSE OCB POS SL WS Z
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OBSE 1.000 .405

OCB 1.000
POS -.050 1.000 -.193
SL .756 .763 .125 1.000 .549
WS .262 1.000
Z .031 .118 1.000

Table 3. Results of 𝑅 2

OBSE .567

OCB .732

POS .006

WS .396