Abstract

This study examines the impact of leadership styles on employees’ performance in an organization taking the case of Guinness Limbe SA southwest region. It went ahead in ascertaining the relationship between employees’ performance and productivity, which is the hallmark of the organization goals and objectives.

One of the problems observed by the researcher in as far as this topic is concern was the inflexibility of the leadership styles by most managers. Specifically, the study sort: to determine the impact of leadership style on employees’ performance, to identify the different leadership styles that exist in this organization, and to determine the impact of leadership styles on employees’ morale preference. One hypothesis was formulated that guided the study.

Theoretically, the Trait Theory of Leadership, Behavioral Theory of Leadership, and Contingency Theory of Leadership was exploited to give some impetus to the work. The study adopted descriptive survey research designed and using a population of 28 respondents made up of employees in Guinness. The researcher uses simple random sampling techniques to choose, target respondents. Data was collected mainly through questionnaires and analysis using SPSS version 20.0 with Pearson chi-square being used to test the null hypothesis at a 95% confidence interval.

The results of this study revealed that there is a strong relationship between leadership styles and organizational performance. On the basis of the findings of this study, it was concluded that a democratic leadership style is the best for the management of Guinness to be adopted in order for them to wax stronger in a global financial competitive environment.

CHAPTER ONE

INTRODUCTION

1.1; Background of the study

The importance of leadership in an organization cannot be over emphasized. Leadership is a major element that set successful and unsuccessful organizations and government apart. It plays a central role in offering direction and purpose towards achieving the goals of the organization. It is also an important element in the social relationships of groups at work. Leadership is the main element that determines and shapes group behavior.

When it is correctly applied, each employee enjoys a feeling of strong commitment towards achieving organizational goals. Regardless of the equality of its members, every group will tend to have a system in which it will have a leader.

Good leaders develop through a never-ending process of self-study, education, training, and experience. To inspire your workers into a higher level of teamwork, there are certain things you must be, know, and do. These do not come naturally, but are acquired through continual work and study. Good leaders are continually working and studying to improve their leadership skills; they are NOT resting on their laurels.

Leadership is a process by which a person influences others to accomplish an objective and directs the organization towards a way that makes it more cohesive and coherent. Leaders carry these processes by applying their leadership attributes such as belief, values, ethics, character, knowledge, and skills.

Although your position as a manager, supervisor, leader, etc. gives you the authority to accomplish certain tasks and objectives in the organization, this power does not you a leader it simply makes you a boss. Leadership differs in that it makes the followers want to achieve high goals, rather than simply bossing people around.

Bass’ (1989 &1990) theory of leadership states that there are three basics ways to people become leaders. The first two explain the leadership development for a small number of people. These theories are: Some personality traits may lead people naturally into leadership roles.

This is a Trait theory. A crisis or important event may cause a person to rise to the occasion, which brings out extraordinary leadership in an ordinary person. This is a Great Event Theory. People can choose to become leaders, people can learn leadership skills. This is The Transitional Leadership Theory.

It is the most widely accepted theory today and the premise on which this guide is based. If a person is deciding if he respects u as a leader, he does not think about your attributes, rather, he observes what you do so that he can know who you really are. He uses this observation to tell if you are an honorable and trusted leader or a self-serving who misuse authority to look good and get promoted.

Self-serving leaders are not as effective because their employees only obey them, not follow them. The basics of good leadership are honorable character and selfless service to your organization. In your employee’s eyes, your leadership is anything you do that affects the organizational objectives and their wellbeing.

Respected leaders concentrate on what they are [be], (such as beliefs and character), what they know (such as job, tasks, and human nature ), and they do (such as implementing, motivating and providing direction). What make a person wants to follow a leader? People want to be guided by those they respect and who have a clear sense of direction. To gain respect, they must be ethical. A sense of direction is achieved by conveying a strong vision of the future.(Bass B.M. 1985; Leadership: Good, Better, Best, Organizational Dynamics, p 26-40)

In order to run the organizations effortlessly, effectively, and efficiently, the most important and valued factor organizations need is Human Resources. The success of an organization depends on diligent, loyal, and concerned managers and employees.

Leadership is required in every organization at every level, the success or failure of an organization depends on the quality of the leadership particularly on the part of the top management. In this competitive era where the world has become a global village, firms are considered to be competitive on the basis of the competence of their human resources. Management of employees mostly depends on the quality of leadership organizations have (Albioon&Gariardi, 2007).

The concept of leadership is not a new concept in the field of social science studies. In recent years, the area of leadership has been widely studied more than any other aspect of human resource management.

We are now in the era of great leadership. The 20th century was an era of great influential leaders. No doubt, we want effective leaders in huge members at all strata in all organization, rather than only a small of great leaders. This change from great leaders to great leadership is in reaction to the rapidly changing environment.

These changes in the organization need high quality and quicker decision making which is possible only went there are proficient, effective, and competent people, who are capable of taking such decisions at all levels. Faster and worth decision-making will direct to dehierarchization, decentralization, and bureaucratization, which will result in empowerment at all levels. There are countless definitions of leadership and there is a number of researchers who have made an attempt to explore this concept.

Although numerous specific definitions may as well be cited, most of them would depend on the theoretical orientation taken. Besides influences, leadership has being defined in terms of group processes, personality, compliance, persuasion, power, goal achievement, role differentiation, interaction, and combination of two or more of these. However, organizational goals can never be achieved without a proper leadership style in play.

You lead through two-way communication. Much of it is nonverbal. For instance, went you “set the example” that communicates to your people that you would not ask them to perform anything that you would not be willing to do. What and how you communicate either builds or harms the relationship between you and your employees.

All situations are different. What you do in one situation will not work for another. You must use your judgment to decide the best course of action and the leadership style needed for each situation. For example, you might need to confront an employee for inappropriate behavior, but if the confrontationist poo late or too early, too harsh or too weak, then the results may prove ineffective.

Various forces will affect these factors. Examples of forces are your relationship with your seniors, the skills of your people, the informal leader within, and how your company is organized. Alone would be inadequate, thus we should strive to be conscious of all four approaches and not just rely on one or two.

For example, during a major organizational change, a structural leadership style may be more effective than a visionary leadership style; while leadership can simply be defined as a process of influencing the activities of an individual or group towards the attainment of a set goal. Leadership is the life wire of an organization.

Douglas McGregor theories x and y are to the view that a leader’s attitude towards human nature has a large influence on how that person behaves as a leader and how it affects the employee and a single leadership style is likely to be effective in all circumstances, leadership style varies based surroundings and circumstances. Yukl (2010) the effective use of management power personnel 60. N0. 2

1.2; Problem Statement

One of the problems observed by the researcher is the inflexibility of the leadership style by most managers. They fail to adjust their style of leading to the changing situations in the business environment. This failure is a result of the lack of understanding of the fact that no one particular style of leadership can fit in all conditions and must be flexible to give room to change.

Another problem is close to the first manager’s failure to consider prevailing situations went leading their subordinates. They fail to allow the situation to dictate the particular style of leadership to adopt.

Another is the lack of absence of an effective line of communication between manager and their employees. The communication gap between leaders and their subordinates possess a big problem for several organizations as effective leadership is predicated on the communication patterns of both the manager and their subjects.

In conclusion, leaders lack, managerial experience in ensuring that workers are motivated. The absence of motivation contributes to the inefficiency and ineffectiveness of workers.

1.3 Research Questions

1. What are the relationships between leadership styles with employee performance?
2. What is the relationship between leadership style and employee motivation?
3. What is the relationship that exists between leadership style and employee morale?

1.4. Research Objectives

1.4.1. General Objectives

To determine the impact of leadership style on employee’s performance

1.4.2. Specific Objectives

1. To identify the different leadership style that exists in an organization
2. To determine the impact of leadership style on employee’s morale preferences
3. To recommend possible solutions

1.5. Hypothesis

HO: Leadership style has an impact on employee performance.

HI: Leadership style does not have an effect on employee performance.