The Short Version
The research literature broadly supports that transformational leadership is effective in dynamic environments for driving culture change, inspiration, and innovation — but the claim slightly overstates its scope. Peer-reviewed evidence shows the positive effects on innovation strengthen under environmental uncertainty, though they operate through intermediary mechanisms like organizational resilience rather than directly. Notably, some charismatic dimensions central to "staff inspiration" are less universally effective across all employees, and effectiveness may vary by the degree of environmental dynamism.