•Identification mediates the effect of transformational leadership on organization-directed citizenship behaviors.•Engagement mediates the link between transformational leadership and job performance.•Engagement mediates the link between transformational leadership and organization-directed citizenship behaviors.•Identification and engagement sequentially mediate the relationship between transformational leadership and its outcomes.•Proactive personality amplifies the effect of leadership on identification and engagement. This study investigates the underlying mechanisms and boundary conditions that explain the relationship between transformational leadership and frontline employee performance. Specifically, it explores the mediating role of organizational identification and work engagement in the relationship between transformational leadership and job performance and organization-directed citizenship behaviors. Additionally, it examines whether proactive personality moderates the effect of transformational leadership on identification and engagement. Data from 323 frontline hotel employees were analyzed using partial least square regression. Results show that identification and engagement fully mediate the relationship between transformational leadership and organizational citizenship behaviors, whereas engagement partially mediates the link between transformational leadership and job performance. Results indicate a sequential mediation effect of identification and engagement on employee performance. Finally, findings show that proactive personality strengthens the effect of leadership on identification and engagement. The study provides information for hotel managers about why and under what circumstances employees perform the way they do.