The impact of transformational leadership on knowledge creation: a serial mediation of interpersonal relationships and learning organizations

In the fast-changing corporate landscape, technological advancements and uncertainty continuously challenge organizations, making knowledge generation, management and application critical for sustained competitive advantage (Islam et al., 2024). Organizational knowledge creation (OKC) is no longer merely aspirational but a fundamental necessity for companies seeking innovation and long-term success. Within human resource development (HRD), understanding how to enable and sustain OKC is crucial. Leadership plays a pivotal role in shaping the conditions that facilitate knowledge creation, ensuring that both interpersonal relationships and structured learning mechanisms support the integration of knowledge into organizational routines (Stephens and Carmeli, 2017; Von Krogh et al., 2012). However, prior research has largely examined the relational and structural factors of OKC separately, limiting our understanding of how leadership integrates these elements to foster sustainable knowledge creation.

To cultivate OKC, leaders must establish both relational and structural conditions that facilitate knowledge flows and embed them into organizational processes. Studies on interpersonal relationships emphasize trust, psychological safety and social connections as key enablers of knowledge exchange (Cropanzano and Mitchell, 2005; Edmondson, 1999; Kremer et al., 2019). Yet, these studies often fail to explain how these relational conditions translate into structured, organization-wide knowledge creation. Conversely, research on learning organizations (LOs) highlights formal systems and routines but does not always clarify how these structures emerge from leadership behaviors and interpersonal dynamics (Khatoon et al., 2024; Watkins and Marsick, 1997). This disconnect restricts our understanding of how leadership fosters OKC, particularly in environments where structured learning processes are essential for sustaining innovation.

Transformational leadership (TL) is uniquely positioned to bridge this gap by integrating relational and structural mechanisms to foster OKC. Unlike leadership styles that focus predominantly on either formalized structures or interpersonal relationships, TL inspires a shared vision, promotes intellectual engagement and cultivates trust, thereby facilitating both collaborative relationships and structured learning mechanisms (García‐Morales et al., 2008; Wang and Howell, 2012). For instance, knowledge-oriented leadership enhances structured learning systems that codify and disseminate knowledge (Donate and De Pablo, 2015). However, excessive formalization may stifle interpersonal exchanges, which are crucial for creativity and adaptability. Similarly, empowering leadership fosters autonomy and decision-making authority, stimulating innovation (Zhang and Bartol, 2010), yet too much autonomy can lead to knowledge fragmentation, making it difficult to institutionalize shared knowledge. Servant leadership, which cultivates trust and psychological safety, encourages relationship-based collaboration (Eva et al., 2019; Ito et al., 2021; Yasir et al., 2016), but without structured learning mechanisms, knowledge retention and application may remain inconsistent. In contrast, TL balances both relational and structural elements, ensuring that interpersonal relationships support structured learning environments that sustain OKC.

Despite TL’s well-documented influence on interpersonal relationships and structured learning, its mechanisms for simultaneously fostering these two conditions for OKC remain underexplored. Prior studies highlight TL’s role in promoting a shared vision, intellectual stimulation and a psychologically safe climate, which enhance knowledge creation (Donate and De Pablo, 2015; García‐Morales et al., 2008). However, research has often examined TL’s effects on interpersonal trust and structured learning processes in isolation, failing to consider their interdependence. This oversight limits our understanding of how TL fosters sustainable OKC by integrating quality of interpersonal relationships (QIRs) with LO structures.

This study addresses these gaps by examining how TL simultaneously fosters relational quality (i.e. QIRs) and structured learning environments (i.e. LOs), offering a comprehensive model that links leadership-driven trust to formalized knowledge processes. Grounded in social exchange theory (SET) and OKC theory, this study explores how TL facilitates OKC through interdependent relational and structural mechanisms. Transformational leaders cultivate trust, collaboration and psychological safety, key dimensions of QIRs, that form the foundation of structured learning environments, which are central to sustaining OKC (Nonaka and Takeuchi, 1995). While trust fosters high QIRs (Cropanzano and Mitchell, 2005), it does not inherently ensure that these relationships lead to structured knowledge retention. Thus, LO structures must function as the formal mechanism that translates interpersonal relationships into systematic and sustainable OKC (Watkins and Marsick, 1997).

Accordingly, this study develops and tests a serial mediation model in which TL enhances QIRs, which in turn strengthen LO structures, ultimately fostering OKC. By analyzing these interdependent relationships, this study provides a process-oriented perspective on how leadership supports sustainable knowledge creation at the organizational level. The findings offer valuable implications for HRD scholars and practitioners, contributing to a deeper understanding of how leadership can strategically shape the relational and structural conditions necessary for knowledge-driven organizational success.

The OKC theory refers to the process through which organizations generate, share and institutionalize knowledge, driving innovation and competitive advantage. While extensively studied in knowledge management (Nonaka, 1994), research has primarily focused on knowledge creation and exchange rather than leadership’s role in sustaining these processes (Abubakar et al., 2019). Understanding how leadership integrates relational and structural mechanisms to foster long-term OKC remains a critical gap.

OKC occurs through continuous interactions across organizational levels. The SECI model conceptualizes this process in four stages:

1. socialization (tacit knowledge sharing through direct experience);

2. externalization (conversion of tacit into explicit knowledge);

3. combination (integration into structured systems); and

4. internalization (application of explicit knowledge into new tacit knowledge) (Nonaka and Takeuchi, 1995).

These processes are facilitated by Ba, a shared space, physical, virtual or cognitive, that fosters collaboration (Nonaka and Konno, 1998). While SECI explains how knowledge is created and transferred, it does not fully address how leadership institutionalizes these processes into long-term organizational structures (Von Krogh et al., 2012). This highlights the need for a leadership approach that not only facilitates knowledge-sharing interactions but also ensures that these behaviors are embedded into formal organizational processes.

Moreover, while the broader knowledge management literature often integrates knowledge creation with subsequent stages such as dissemination, codification, storage and validation, this study adopts a more focused lens. Drawing on the OKC Inventory (Song et al., 2011), we conceptualize knowledge creation as a distinct construct encompassing idea generation, justification and prototyping. This narrower operationalization allows for a more targeted examination of how leadership behaviors specifically influence the early stages of organizational knowledge development.

Building on the framework of LOs proposed by Watkins and Marsick (1997) and Marsick and Watkins (2003), this study conceptualizes LOs as formalized structures that embeds knowledge creation into systematic processes, thereby extending the SECI model.

Organizations that function as LOs implement mentorship programs, collaborative learning platforms and structured problem-solving frameworks to ensure that knowledge-sharing becomes an ongoing, embedded process rather than an ad hoc activity (Senge, 1990; Watkins and Marsick, 1997). These structured learning systems facilitate knowledge retention and continuous adaptation within organizational routines.

However, the effectiveness of LO structures depends on high QIRs, trust, psychological safety, and open communication to ensure sustained knowledge-sharing behaviors (Abubakar et al., 2019; Nahapiet and Ghoshal, 1998). Even well-designed LO structures may fail if interpersonal trust is lacking, as employees may hesitate to share knowledge freely or engage in collaborative learning processes. This underscores the need for leadership that integrates both relational and structural mechanisms to sustain OKC.

TL uniquely bridges the gap between informal, trust-based exchanges and structured learning mechanisms within organizations. Unlike transactional leadership, which primarily emphasizes efficiency and compliance, TL fosters innovation, intellectual engagement and a psychologically safe work climate (Bass and Riggio, 2006; García‐Morales et al., 2008; Politis, 2002). This leadership style not only encourages collaboration and trust-building among employees but also ensures that learning is systematically embedded into organizational processes.

Building on this conceptual foundation, this study focuses exclusively on TL due to its dual capacity to foster relational trust and support structured learning. These mechanisms are essential for sustaining OKC. Although transactional and laissez-faire leadership styles are part of the full-range leadership model (Bass and Avolio, 1994), they are not included in this study, which aims to examine the distinctive contribution of TL within knowledge-intensive organizational contexts. While previous research has suggested a positive effect from combining transformational and transactional leadership, the present study considers TL as a stand-alone construct that can sufficiently integrate both motivational and structural support for knowledge creation (Donate and De Pablo, 2015).

Through its emphasis on vision-setting and empowerment, TL directly facilitates the SECI model of knowledge creation (Nonaka and Takeuchi, 1995). In the socialization stage, TL encourages open dialogue, team collaboration, and experiential learning, enabling employees to engage in knowledge-sharing interactions. As knowledge moves into externalization, transformational leaders support structured storytelling and documentation practices, ensuring that tacit knowledge is formally articulated. TL further reinforces the combination stage by promoting the codification of knowledge into formal systems, making information accessible and applicable across the organization. Finally, during internalization, TL embeds learning routines into daily work processes, ensuring that newly acquired knowledge transforms into intuitive, experience-based expertise.

At the same time, TL strengthens LO structures, ensuring that knowledge-sharing behaviors become not only socially reinforced but also institutionalized within formal knowledge-management systems (Donate and De Pablo, 2015). By doing so, TL serves a dual function; it cultivates high QIRs while ensuring that structured learning environments sustain OKC.

SET provides a valuable lens for understanding how TL fosters sustained OKC by emphasizing reciprocal workplace relationships built on trust, support and recognition (Blau, 2017; Cropanzano and Mitchell, 2005). Employees are more likely to share knowledge and actively engage in learning processes when they believe that their contributions are valued, reciprocated and reinforced by leadership.

Transformational leaders create an environment of mutual respect and shared purpose, which facilitates the transition of knowledge from socialization to externalization within the SECI model (Nonaka and Takeuchi, 1995). By strengthening psychological safety, TL enables employees to share their insights, contribute to learning discussions, and experiment with new ideas without fear of negative repercussions (Edmondson, 1999). These trust-based exchanges reinforce reciprocity, ensuring that OKC is sustained within structured learning environments.

However, while trust promotes collaborative knowledge-sharing behaviors, it does not inherently guarantee that knowledge will be systematically codified, institutionalized and sustained within LO structures. TL plays a crucial role in reinforcing this process by embedding trust-based exchanges into structured learning mechanisms. This is achieved through mentorship programs and formalized feedback loops, which help translate informal knowledge-sharing behaviors into sustainable, organization-wide learning practices (Watkins and Marsick, 1997; Yukl, 2012). Through these reinforcement mechanisms, TL ensures that interpersonal trust is not only nurtured but also transformed into structured processes that support ongoing knowledge retention and integration within organizational routines.

TL consists of idealized influence, inspirational motivation, intellectual stimulation and individualized consideration (Bass, 1985). By fostering trust, collaboration and continuous learning, TL promotes idea exchange, knowledge generation, and integration into work (Jansen et al., 2009). It enhances team innovation through open communication and mutual trust - both essential for knowledge sharing (Jeong, 2020), while also stimulating intrinsic motivation for knowledge creation and problem-solving (Bass and Avolio, 1994; García‐Morales et al., 2008).

In OKC theory, TL facilitates socialization and externalization within the SECI model by fostering psychological safety for tacit knowledge sharing and explicit knowledge articulation (Nonaka and Takeuchi, 1995). TL also cultivates Ba, a shared space for collective learning and knowledge exchange (Nonaka et al., 2008). Based on this foundation, we propose:

QIRs reflect employees’ perceptions of positive, supportive and collaborative interactions with colleagues and supervisors (Carmeli et al., 2009; Dutton and Heaphy, 2003). High QIRs are characterized by mutual trust, respect and open communication, which collectively enhance employees’ willingness to share knowledge, engage in collaborative problem-solving and manage conflicts constructively (Ragins and Dutton, 2017).

Transformational leaders strengthen QIRs by fostering trust, open dialogue, and individualized consideration (Bass and Avolio, 1994). By modeling effective communication and respect, they create environments where employees feel valued and empowered to collaborate, facilitating knowledge-sharing behaviors essential for OKC (Jeong, 2020).

The SET explains this link, as workplace relationships are built on reciprocal exchanges of trust, recognition, and support, fostering collaboration and cooperative knowledge-sharing (Blau, 2017; Cropanzano and Mitchell, 2005). In OKC, QIRs support the socialization and externalization stages of the SECI model, where trusted colleagues more readily exchange tacit knowledge and articulate it into explicit knowledge (Nonaka and Takeuchi, 1995). Based on this foundation, we propose:

LOs enable continuous learning and adaptation through knowledge acquisition and transformation (Garvin, 1993; Senge, 1990). LOs foster personal mastery, mental models, shared vision, team learning, and systems thinking, all essential for collective knowledge-sharing and integration (Senge, 1990). Strong learning capabilities enhance an organization’s ability to generate, retain, and use knowledge effectively (Chiva and Alegre, 2005).

TL strengthens LOs by fostering a learning culture, intellectual stimulation, and openness to new ideas (Bass and Avolio, 1996). By encouraging employees to challenge assumptions and experiment with new approaches, TL reinforces organizational structures that formalize knowledge sharing (Vera and Crossan, 2004). This ensures that TL not only enhances interpersonal knowledge exchange but also sustains institutional mechanisms for long-term knowledge creation.

LOs mediate the TL–OKC relationship by embedding knowledge sharing within organizational structures rather than leaving it informal or ad hoc (Watkins and Marsick, 1997). Through mentorship, collaborative learning platforms and formal training, LOs transform individual learning into structured, organization-wide practices (Nonaka and Takeuchi, 1995). Based on this, we propose:

While QIRs foster trust-based knowledge-sharing, interpersonal exchanges alone do not ensure knowledge retention, application or integration into organizational processes. To institutionalize knowledge creation, organizations need formal learning structures that embed knowledge sharing into collective routines (Watkins and Marsick, 1997).

Transformational leaders enhance QIRs by fostering trust, psychological safety, and open communication, which facilitate team learning and problem-solving (Carmeli et al., 2013; Nahapiet and Ghoshal, 1998). However, without structured learning mechanisms, knowledge sharing may remain informal and dependent on relationships rather than being embedded within organizational systems (Nonaka and Takeuchi, 1995).

Empirical research suggests that leadership’s impact on knowledge sharing is strongest when psychological safety and structured learning environments function together (Carmeli et al., 2009; Liu et al., 2012). This supports the proposition that TL strengthens QIRs, which enhance LOs, ultimately improving OKC. Therefore, we propose:

The overall conceptual framework, including the direct and mediated relationships proposed in H1 through H4, is illustrated in Figure 1.

TL was measured using Rafferty and Griffin’s (2004) validated scale, which assesses five dimensions; vision, personal recognition, inspirational communication, intellectual stimulation, and supportive leadership, with three items each (15 total). Participants rated items on a five-point Likert scale (1 = strongly disagree and 5 = strongly agree). A sample item: “The leader or manager of my work unit has a clear understanding of where we are going” (Rafferty and Griffin, 2004, p. 339).

The scale showed high reliability (Cronbach’s α = 0.94). Confirmatory factor analysis (CFA) confirmed the five-factor model’s construct validity: χ²(80) = 200.269; p < 0.001; CFI = 0.951; TLI = 0.936; RMSEA = 0.086; and SRMR = 0.063. These indices indicate an acceptable fit, with CFI and TLI above 0.90, SRMR below 0.08 and RMSEA slightly above the ideal but within an acceptable range (Hu and Bentler, 1999; Kline, 2023).

QIRs were measured using Carmeli et al.’s (2009) validated scale, which assesses five dimensions; emotional carrying capacity, tensility, connectivity, positive regard, and mutuality, through 20 items. Participants rated items on a five-point Likert scale. A sample item: “I am able to express my frustrations without offending anyone” (emotional carrying capacity) (Carmeli et al., 2009, p. 98).

The scale demonstrated high reliability (Cronbach’s α = 0.95). CFA supported the five-factor model’s validity, showing good fit indices: χ²(160) = 311.124; p < 0.001; CFI = 0.952; TLI = 0.943; RMSEA = 0.069; and SRMR = 0.055.

LOs were measured using the Dimensions of the Learning Organization Questionnaire (Watkins and Marsick, 1997). This instrument assesses seven dimensions; continuous learning, dialogue and inquiry, team learning, empowerment, embedded systems, system connection, and strategic leadership, through 21 items, rated on a five-point Likert scale. A sample item: “In my organization, people help each other learn” (Marsick and Watkins, 2003, p. 143), reflecting the continuous learning dimension.

These dimensions collectively evaluate an organization’s effectiveness in fostering a culture of continuous learning and development (Watkins and Marsick, 1997). The scale demonstrated high reliability (Cronbach’s α = 0.96). CFA supported the seven-factor model’s validity, showing good fit indices: χ²(168) = 282.032; p < 0.001; CFI = 0.959; TLI = 0.949; RMSEA = 0.058; and SRMR = 0.038.

OKC was measured using the Knowledge Creation Practice Inventory (Song et al., 2011, 2012), which assesses four dimensions; knowledge sharing, creating concepts, justifying concepts and building prototypes, through 12 items. Participants responded on a five-point Likert scale. A sample item: “I facilitate creative and constructive conversation among group members” (Song et al., 2011, p. 255).

The scale showed strong reliability (Cronbach’s α = 0.86). CFA initially indicated suboptimal fit: χ²(48) = 160.888; p < 0.001; CFI = 0.857; TLI = 0.804; RMSEA = 0.108; and SRMR = 0.075. However, theoretical alignment and internal consistency supported the four-factor structure (Kline, 2023; Marsh et al., 2004).

To improve fit, modification indices (MIs) were examined (Rosseel, 2012). The highest MI suggested correlating residuals between OKC_KS_3 (Knowledge Sharing) and OKC_BP_2 (Building Prototypes) – a theoretically justified adjustment because of their conceptual overlap in collaborative knowledge dissemination. After this modification, model fit improved significantly: χ²(47) = 102.093; p < 0.001; CFI = 0.930; TLI = 0.902; RMSEA = 0.076; and SRMR = 0.060, meeting conventional thresholds for acceptable fit (Hu and Bentler, 1999; MacCallum et al., 1996).

Before testing hypotheses, preliminary analyses were conducted, including data cleaning, outlier detection, handling missing data, descriptive statistics and assessing common method variance using IBM SPSS 29.0 and RStudio 2024.09.0 + 375.

The study targeted white-collar employees across various US companies, as their intellectually driven roles are particularly relevant for knowledge creation and organizational learning (Davenport, 2005). Participants were recruited through cluster and convenience sampling to ensure diverse industry representation. Of 288 distributed surveys, 248 responses were collected (86.1%). After data screening, eight responses were removed because of insufficient data, leaving 240 valid cases. Little’s MCAR test confirmed that 19 missing values were missing completely at random, χ²(1,069) = 923.69 and p = 0.999 (Little, 1988), and were handled via multiple imputation (Rubin, 1987). Multivariate outliers were identified and removed using the Mahalanobis distance method (Mahalanobis, 2018), resulting in a final sample of 201 employees.

Among respondents, 70.6% were female; the largest age group was 30–39 years old (29.4%); and 64.2% identified as White/Caucasian. Regarding education, 48.3% held a bachelor’s degree, and 46.3% had 1–5 years of work experience. To control for potential confounding effects, age, gender, education and organizational size were included as control variables, given their established influence on workplace dynamics, leadership perceptions and knowledge-sharing behaviors (Ng and Feldman, 2010).

Table 1 presents descriptive statistics, including means, standard deviations (SDs), composite reliability (CR), average variance extracted (AVE) and intercorrelations among study variables. The mean values of the four constructs ranged from 3.76 to 4.12, indicating relatively high average scores. SD ranged from 0.46 to 0.59, reflecting moderate variability.

Convergent validity was supported as QIRs, TL and LOs exceeded the AVE threshold of 0.50 (Fornell and Larcker, 1981). While OKC’s AVE was slightly below 0.50, its high CR (0.90) confirmed strong internal consistency, ensuring the construct was reliably measured.

Correlation analysis revealed that OKC was positively associated with TL (r = 0.37 and p < 0.01), QIRs (r = 0.41 and p < 0.01) and LOs (r = 0.41 and p < 0.01), providing initial support for the hypothesized relationships. These findings suggest that TL, QIRs and LO structures are positively linked to OKC.

The measurement model was evaluated using CFA in RStudio to assess the fit of the proposed four-factor structure. The results indicated satisfactory model fit, with a chi-square to degrees of freedom ratio (χ²/df = 2.38), within the recommended threshold of < 3 (Kline, 2023). Additional fit indices further supported adequate model fit: CFI = 0.91, TLI = 0.90, RMSEA = 0.08 and SRMR = 0.06, aligning with commonly accepted criteria (Hu and Bentler, 1999; Marsh et al., 2004) (Table 2).

To validate the four-factor model, a chi-square difference test was conducted, comparing the three- and four-factor models. Results indicated a significant improvement for the four-factor model (Δχ²(3) = 195.68 and p < 0.001) and lower information criteria values (AIC = 5,743 and BIC = 5,901.6), confirming it as the most appropriate representation of the data.

To assess common method bias, Harman’s single-factor test was conducted, revealing that 24.7% of the variance was attributable to a common method factor – well below the 50% threshold, suggesting bias is not a significant concern (Podsakoff et al., 2003).

Reliability analysis further supported the robustness of the measurement instruments. Cronbach’s alpha values ranged from 0.86 to 0.96, exceeding the 0.70 threshold, indicating strong internal consistency. Similarly, CR values for all constructs also surpassed 0.70, reinforcing the reliability and consistency of the measures.

Path analysis was used to assess both direct and mediated effects, with bootstrapping (5,000 resamples) applied to test the significance of indirect effects (Hayes, 2018; Preacher and Hayes, 2008). Controlling for age, gender, education and organizational size, TL had a significant positive effect on OKC (β = 0.131, SE = 0.056 and p < 0.05), thereby supporting the first hypothesis that TL positively influences OKC.

Regarding mediation effects, the second hypothesis was supported as QIRs significantly mediated the TL–OKC relationship (β = 0.077, SE = 0.033 and 95% CI [0.019, 0.152]). The third hypothesis was also supported, with LOs emerging as significant mediator in the same relationship (β = 0.084, SE = 0.039 and 95% CI [0.011, 0.168]). Additionally, the fourth hypothesis was confirmed through the significant serial mediation effect from TL through QIRs and LOs to OKC (β = 0.031, SE = 0.016 and 95% CI [0.004, 0.065]).

Between the two individual mediation paths, QIRs (β = 0.077) and LOs (β = 0.084) showed similar strengths, suggesting both relational and structural mechanisms play key roles. The serial path (β = 0.031) highlights their complementary effect (Table 3). Although each construct is multidimensional, composite scores were used to maintain model simplicity and improve statistical power, allowing for more reliable estimation of direct and indirect effects in the path analysis (Kline, 2015).

This study empirically examined the relationship between TL and OKC, with a particular focus on the serial mediating roles of QIRs and LOs. Using data from 288 white-collar employees across various US companies, the findings confirm that TL positively influences OKC both directly and indirectly through QIRs and LOs. These results reinforce the critical role of leadership in fostering environments that integrate relational and structural mechanisms to sustain knowledge creation. While previous research has explored TL’s influence on knowledge management and innovation (Donate and De Pablo, 2015; Karimi et al., 2023), this study extends the literature by demonstrating how TL systematically fosters sustainable knowledge-sharing environments through a sequential process.

A key contribution of this study is its demonstration that QIRs and LOs function as interdependent, sequential mechanisms. While prior studies have separately examined trust-based, relational knowledge-sharing (Carmeli et al., 2009) and structured learning environments (Khatoon et al., 2024; Senge, 1990), fewer studies have explored how these mechanisms interact under TL. Our findings suggest that TL first enhances interpersonal trust and collaboration, which subsequently strengthens structured learning environments, ensuring knowledge-sharing behaviors become institutionalized rather than remaining ad hoc.

This aligns with OKC theory (Nonaka and Takeuchi, 1995) by demonstrating that knowledge-sharing progresses from informal interpersonal exchanges to structured learning mechanisms, reinforcing organizational knowledge retention. Without these formal structures, knowledge creation and sharing may remain fragmented, overly dependent on individual interactions and susceptible to knowledge loss when employees leave the organization. These insights contribute to HRD literature by clarifying the necessary interplay between leadership-driven trust and structured learning environments in sustaining OKC.

This study also extends SET by demonstrating that while leadership-driven trust and reciprocity enhance knowledge-sharing behaviors, they do not automatically lead to sustained organizational knowledge retention. Traditional SET applications emphasize interpersonal trust as a facilitator of knowledge exchange (Blau, 2017; Cropanzano and Mitchell, 2005). However, our findings suggest that without structured learning mechanisms, trust-based exchanges remain fragmented and transient rather than institutionalized. This study refines SET by highlighting the necessity of integrating relational trust with formalized knowledge structures to ensure robust knowledge creation.

This study contributes to HRD literature by refining SET and OKC theory through the lens of TL in fostering sustainable knowledge-sharing environments. SET traditionally emphasizes interpersonal trust as a key facilitator of knowledge exchange (Blau, 2017). While trust promotes knowledge-sharing, our findings suggest that trust alone may not ensure robust knowledge retention. Without structured learning mechanisms, trust-based interactions risk remaining informal and transient rather than becoming embedded in organizational processes (Nonaka and Takeuchi, 1995).

Building on SET’s emphasis on reciprocal exchanges, this study suggests that interpersonal trust and structured learning environments function as complementary rather than independent mechanisms. Specifically, TL fosters interpersonal trust and collaboration, which in turn reinforces structured learning environments, institutionalizing knowledge-sharing behaviors. While prior studies have explored trust-based knowledge-sharing (Carmeli et al., 2009) and structured learning environments (Khatoon et al., 2024) separately, fewer have examined their interaction within a leadership-driven framework. Our findings highlight this sequential relationship, where TL first strengthens trust and then supports structured learning mechanisms, ensuring sustained knowledge retention.

This study also contributes to OKC theory by underscoring the role of structured institutional mechanisms alongside relational trust in effective knowledge creation. While research has explored the interplay between tacit and explicit knowledge-sharing, the role of leadership in structuring and sustaining this process has received less attention (Shafique et al., 2019).

Our findings align with the notion that knowledge creation requires a shared context (Nonaka and Takeuchi, 1995) and suggest that TL fosters such an environment. Without formal learning structures, knowledge-sharing remains person-dependent, making organizations vulnerable to knowledge loss when key employees leave. By demonstrating how TL fosters a resilient knowledge-sharing framework, this study reinforces the significance of leadership in embedding long-term learning mechanisms.

By integrating SET and OKC theory, this study presents a leadership-driven perspective, where reciprocal knowledge sharing is reinforced through structured learning mechanisms. Prior research often treats social exchange and knowledge creation as distinct processes, but our findings indicate that effective knowledge-sharing emerges from the interplay of interpersonal trust, structured learning environments and TL as an enabler of both (Carmeli et al., 2009).

This perspective refines SET by suggesting that leadership not only fosters trust-based exchanges but also ensures knowledge-sharing behaviors are systematically institutionalized within resilient organizational structures. Similarly, it extends OKC theory by proposing that TL transforms individual knowledge-sharing interactions into formalized, sustainable processes. These insights contribute to HRD by offering a leadership-driven model that integrates social exchange and knowledge creation in a structured manner.

The findings of this study emphasize the essential influence of leadership in fostering and institutionalizing knowledge sharing within organizations. While trust-based interpersonal relationships encourage knowledge exchange, structured learning environments are necessary to ensure knowledge retention and long-term accessibility. Organizations should develop leadership training programs that equip managers to cultivate both relational trust and structured learning mechanisms, moving beyond traditional motivation-focused approaches to emphasize psychological safety, strategic knowledge sharing and continuous learning (García-Morales et al., 2008; Islam et al., 2024).

A key consideration for organizations is the integration of informal knowledge sharing within structured learning systems. Mentoring, communities of practice and collaborative learning initiatives are valuable, yet they often lack sustainability if not reinforced by structured retention strategies (Senge, 1990; Watkins and Marsick, 1997). Establishing digital knowledge repositories, structured learning programs and performance-based incentives can ensure that knowledge-sharing efforts are not only encouraged but also systematically preserved for long-term organizational learning (Nonaka and Takeuchi, 1995; Von Krogh et al., 2012).

Striking a balance between formal and informal knowledge sharing is crucial. Overly rigid structures may stifle creativity, while excessive reliance on informal exchanges can lead to inconsistent knowledge retention (Donate and De Pablo, 2015). A hybrid approach – incorporating structured mentorship, cross-functional learning teams and digital collaboration platforms – provides the flexibility to support innovation while maintaining systematic knowledge retention (Islam et al., 2024).

In addition, as digital transformation reshapes how organizations operate, knowledge-sharing strategies must evolve accordingly. In remote and hybrid work settings, leaders can promote sustainable knowledge practices by using digital collaboration tools such as Microsoft Teams, Notion or Confluence. These platforms can integrate informal exchanges with structured documentation, enabling accessibility and long-term learning. Implementing virtual mentoring, asynchronous learning modules and shared learning archives can further extend knowledge culture across geographically distributed teams (Sartori et al., 2018).

Ultimately, leadership is the driving force behind a sustainable knowledge culture. Employees are more likely to engage in knowledge-sharing behaviors when leadership actively fosters continuous learning (Bass and Riggio, 2006; García-Morales et al., 2008; Kim et al., 2024). Organizations should implement leadership coaching programs, performance-based knowledge incentives and transparent knowledge-sharing frameworks to embed knowledge creation into daily workflows. For firms with rigid structures or resource constraints, gradual adoption of hybrid strategies, such as integrating informal exchanges within digital collaboration tools, can serve as a steppingstone toward a more knowledge-driven organization (Donate and De Pablo, 2015; Islam et al., 2024). By prioritizing leadership as a catalyst for structured knowledge retention, organizations can ensure resilience, adaptability and sustained innovation in an evolving business landscape.

This study has several limitations that future research should address. First, the exclusive use of self-reported data may introduce common method bias, potentially inflating the observed relationships. Incorporating multi-source data (e.g. supervisor or peer ratings) in future studies would enhance construct validity and mitigate such biases. Second, while composite scores were used for model parsimony and stable estimation, this approach may obscure the multidimensional nature of the core constructs, TL, high QIRs, LOs and OKC. Future research should consider using latent variable modeling to unpack the distinct dimensions and better capture their nuanced interrelationships. Third, the cross-sectional design precludes causal inferences. Longitudinal studies are needed to examine the temporal dynamics of how TL influences OKC and how QIRs and LOs evolve and interact over time within knowledge-sharing and organizational learning processes. Finally, expanding the model to include emerging factors such as digital collaboration or hybrid work environments may offer further insight into knowledge creation in contemporary organizations.