Doloriert, ClairShalhoob, Huda Shafiq2023-11-302023-11-302023-08-2515%https://hdl.handle.net/20.500.14154/69925''Perspectives of Saudi employees working in Small and Medium Sized enterprises in Saudi Arabia about the impact of transformational leadership on their reactions and attitudes towards organizational change'' Describe the pivotal role SMEs play in the nation's Vision 2030 initiative. Recognized by the government as drivers of economic development, innovation, and employment generation, SMEs are offered various support mechanisms to overcome obstacles like limited access to finance and bureaucratic hurdles. However, the chapter notes that despite these efforts, SMEs in Saudi Arabia still grapple with challenges, particularly during organizational change efforts, where resistance and negative employee attitudes frequently hinder progress. The chapter provides a comprehensive exploration of the interplay between transformational leadership and organizational change in the context of SMEs. Use the transformational leadership theory as the conceptual framework, the existing evidence on the influence of leadership approaches and their importance in driving organizational change are elucidated. The chapter emphasizes the varying cultural dimensions that can affect this openness, particularly in the Saudi context. It highlights a series of quantitative studies illustrating that transformational leadership can positively affect employee attitudes and behaviours during change, enhancing psychological empowerment, motivation, and job satisfaction. Overall, the chapter provides a comprehensive synthesis of transformational leadership theory, its application to SMEs in Saudi Arabia, and its implications for organizational change. It underscores the significance of leadership behaviours in influencing employee attitudes and reactions during times of transformation and highlights the need for context-specific approaches to foster successful organizational change within SMEs. This should be reflected through the conceptual framework which will be developed.The focus on the study highlighted purposed was informed by the lack of Saudi studies that examine employee's perspectives about the key mechanisms and variables contributing to this positive effect. To understand the employees' perspectives about the impact of transformational leadership on reactions of employees to organisational change, a qualitative methodological approach was adopted. Using open-ended semi-structured questions allowed in-depth exploration of how employees described their perspectives about the change process. Data was collected from interviews with 8 participants. The findings revealed a complex emotional landscape among employees that accompanies organizational changes, which require transformational leaders to understand and manage. The study also showed that transformational leadership positively impacts employee attitudes towards change by fostering hope, personal growth, and collective success. Leadership styles that incorporate collaborative and participatory leadership, grounded in authenticity and align with transformational values fosters positive perceptions. Transparency and effective communication were also noted to promote ownership, empowerment, trust and engagement during change. The other conclusion is that involving employees in decision-making and providing ongoing support enhances commitment and help address uncertainty. Finally, the study indicated that effective change management involves presenting an inspiring vision. The key message for leaders and practitioners is that successful change goes beyond technical aspects; it requires a holistic approach that considers the emotional, psychological, and collaborative dimensions of both leaders and employees. This approach can lead to more successful and sustainable organizational transformations.71enSMEstransformational leadershiporganisational changeMotivatesInfluencesEmployeesVisionPerspectiveAttitudesFeelingsEmotionsReactionsLeadersEmployee behaviorsTransformational leaderStudyQuantitativeQualitativeThesis