The effects of transformational leadership are contingent on the complexity of the context in which the leadership is executed. This study examined transformational leadership in the context of international project teams and its relationship to team performance, work adjustment, and job satisfaction. The mediating influence of trust in the team was investigated. Data were collected from 286 international assignees in multinational project teams in an oil and gas corporation. Results revealed a positive relationship between transformational leadership and the outcomes. Trust in the team partially mediated the relationship between transformational leadership and team performance, and environmental dynamism moderated the direct effect between transformational leadership and team performance. Our results provide support for the applicability of transformational leader behaviors in contexts with varying degree of complexity.
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