the model is tested on 163 R&D pers

the model is tested on 163 R&D personnel and managers at 43 micro and small sized Turkish software development companies. The results suggest that transformational leadership has important effects on creativity at both the individual and organizational levels. At the individual level, the result of hierarchical linear modeling show that there is a positive relationship between transformational leadership organizational level, the result of regression analysis reveal that transformational leadership positively associates with organizational innovation,implications of the findings along with some potential practical applications are discussed.