This study examined the link between transactional leadership, supply chain quality (SCQ) and business performance in the FMCG industry within Gauteng province, South Africa.
Method:The research followed a quantitative approach in which data were collected through a survey targeting managers and professional employees of the FMCG industry in the Gauteng province. The collected data were analysed through descriptive statistics, exploratory factor analysis, Pearson correlations and regression analysis.Results: Two transactional leadership styles, namely contingent reward and management by expectation (active), were statistically significant in influencing SCQ. Passive-avoidant leadership did not predict SCQ. Supply chain quality was statistically significant in influencing both financial and non-financial business performance.
Conclusion:The transactional leadership style is an important driver of SCQ within the FMCG industry. Supply chain quality is essential in stimulating optimum business performance within the FMCG industry.
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