Page 135 - Azerbaijan State University of Economics

THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.81, # 2, 2024, pp. 117-142

The study is significant for revealing how responsible leadership, through the
mechanism of SLT, enhances employee engagement in CSR initiatives. Engaged
employees are more likely to internalize CSR values, leading to greater alignment
with organizational goals and willingness to engage in voluntary, pro-social
behaviors.

Under Stakeholder Theory the study of responsible leadership, CSR perceptions, and
OCB in the FBI is important for several reasons. First, it balances stakeholders need.
This study highlights the critical role of responsible leadership in balancing the
competing needs of diverse stakeholders, which is particularly crucial in the FBI. The
study also underscores how leaders who prioritize stakeholder well-being positively
influence employees’ perceptions of CSR. This not only improves internal stakeholder
(employee) relationships but also strengthens external stakeholder trust, benefiting the
company’s reputation and performance. Second, it contributes to sustainability of
goals. The FBI is a key player in global sustainability efforts due to its substantial
environmental impact. By examining how responsible leadership and positive CSR
perceptions lead to greater employee contributions (OCB), the study offers insights
into how businesses can achieve their sustainability goals more effectively. Third,
ensure long term business success through sustainable competitive advantage and
building trust with customers. The study reveals that companies that adopt responsible
leadership practices and engage employees in CSR through positive perceptions can
gain a sustainable competitive advantage. Satisfied employees who engage in OCB
are likely to enhance organizational efficiency, innovation, and customer satisfaction.
For the FBI, where transparency and ethical practices are essential to building trust
with consumers, this study highlights how responsible leadership can influence
consumer perceptions indirectly through employees. Employees who are proud of
their company’s ethical practices are more likely to advocate for the brand, which
boosts consumer trust and loyalty.

Limitations and Future Directions
Although this study provides various contributions to the existing literature, it also
has several drawbacks. First the scale used to measure responsible leadership comes
from scales created by scholars from culture outside of Ethiopia and other developing
countries. Therefore, the meaning of responsible leadership and its validation across
different cultures, including Ethiopian society, need more exploration. Second most
of the data was gathered through employee self-assessments. The leaders’ self-
assessment of responsible leadership was not included. It remains unclear whether
leaders’ views on leadership differ from those of employees.

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