Business Studies

Business Studies


Pages: 18  ,  Volume: 39  ,  Issue: 2 , October   2019
Received: 27 Oct 2019  ,  Published: 02 November 2019
Views: 282  ,  Download: 18


# Author Name
1 Grace Mwari Itunga
2 Dr. Emmanuel Awuor


This study aimed at investigating the effect of leadership styles on employee performance in State Corporation in Kenya. The following objective  guided the study: to assess the role of leadership styles on employee performance, to determine how transformational leadership style affect employee performance, to establishing how transactional leadership style affect employee performance,, to find out how laissez-faire leadership style affect employee performance ,and examining the extent to which autocratic leadership style affect employee performance. Descriptive Research Design was used as it was suitable for the study content and focus.  A stratified random sampling technique was adopted to ensure all categories are equitably represented in the sample.  The target population was 283 respondents. A structured self-completed research questionnaire was used.  Piloting was done to 10% non-respondents of 283 target population.  A sample size of 85 was adopted for this study. Descriptive and inferential statistical techniques were used for data analysis. The regression  analysis  revealed  a  relationship  R  =  0.729  showing a  strong  positive correlation  and  revealed  that  leadership style  and  employee performance are fundamentally  related,  and  R2=  0.532  which  meant  that  53.2%  of  variation  in employee performance can be explained by a unit change in leadership style. The study findings showed that autocratic leadership style is the most exhibited style at the commission followed by laissez faire style and then transactional leadership style with transformational leadership style coming last. Overall scores, where transformational leadership was employed, it was found to be strongly correlated with positive employee performance. Transactional leadership style was also found to be correlated positively with employee performance but in a minimal way. Study recommends that the commission do away with the autocratic leadership style as it would ruin the commission in the long-term


  • recommandation engine
  • References

    Akor, P. U. (2014). Influence of Autocratic Leadership Style on Job Performance. Journal of Education and Social Research, 4(7), 148–152.

    Arham, A. F. (2014). Leadership and Performance: the case study of Malaysian SMEs in the Service Sector. International Journal of Asian Social Science, 4(3), 343–355.

    Armstrong. (2009). Armstrong Handbook of Management and Leadership, A Guide to Managing for Results. (2nd Ed.). London Philadelphia.

    Armstrong, M. (2004). Human Resource Management Theory and Practice. London: Bath Press Ltd.

    Armstrong, M. (2004). Human Resource Management Theory and Practice. London: Bath Press Ltd. Bath Press Ltd.

    Avolio, B. J. (2007). Promoting more integrative strategies for leadership theory building. America, Psychologist.

    Bass, B. M. (1985). Leadership and performance beyond expectations. New York: Free Press.

    Bass, B. M., &Avolio, B. J. (2000). The implications of Transactional and Transformational Leadership for Individual, Team, and Organizational Development. Research in Organizational Change and Development,

    Bess, J. L. & Godman, P. (2001). Leadership Ambiguity in Universities and K-12 Schools & the Limits of Contemporary leadership Theory. Leadership Quarterly, 12, 419-450

    Bhau, J. (2015). Transformational Leadership and Organizational Commitment.  Interdisciplinary Journal of Contemporary Research in Business 2, 370-381.

    Boehnke. (2015). Transformational Leadership: An Examination of cross-national differences and similarities. Lexmark International, French Forest, Australia, 50–63.

    Bruch, D. J. (2013). The importance of a homogeneous transformational leadership climate for organizational performance. International Journal of Leadership Studies, 1.

    Bryman, P. N., & Bell, K. (2003). Research methods in Business studies: A practical guide. Pearl Education Research.

    Burns, A. (1978). Transformational theory: Grounded theory after the postmodern turn. Sage. Sage.

    Burns, G. (1978). The Micro politics of Educational Leadership: From Control to Empowerment. Columbia University, 1234 Amsterdam Ave, New York, NY 10027: Teachers College Press.

    Bushra, F., Usman, A., &Naveed, A. (2011). Effect of Transformational Leadership on Employees’ Job Satisfaction and Organizational Commitment in Banking Sector of Lahore (Pakistan). International Journal of Business and Social Science,2(18).

    Chaudhry, A. Q., &Javed, H. (2012). Impact of Transactional and Laissez Faire Leadership Style on Motivation. Journal of Business and Social Science, 3(7), 258–264.

    Choudhary, A. (2013). Impact of Transactional and Laissez Faire Leadership Style on Motivation. International Journal of Business and Social Science, (7), 258–264.

    Collins, J., & Hussey, R. (2009). Business Research:  A Practical Guide for Undergraduate and Post Graduate Research.

    Cummings, G.  & Stafford, E. (2010). Leadership Styles and Outcome Patterns for the Nursing Workforce and Work Environment: A Systematic Review. International Journal of Nursing Studies, 47(3), 363–385.

    Egri, C. P., & Herman, S. (2011). Leadership in the North American environmental sector: Values, leadership styles, and contexts of environmental leaders and their organizations. Academy of Management Journal, 43(4), 571–604.

    Eze, N. (2011). Leadership Behavior: Effects on Job Satisfaction, Productivity and Organizational Commitment. Journal of Nursing Management, 9(4), 191–204.

    Fieldler, F. (1978). The Contingency Model and the Dynamics of Leadership Process. New York?: Academic, (Inc. L. Berkowitz (Ed)).

    Gadot, P. (2007). An Empirical Examination of Two Competing Models of Leadership. Managerial Psychology.

    Gilman, L. (2013). Transformational Leadership and Shared Values?:  The Building Blocks of Trust. Journal of Managerial Psychology.

    Gimuguni, L., Nandutu, J., &Magolo, A. (2010). Effect of leadership styles on performance of local governments in Uganda. A case of Mbale District.

    Giroux, M. (2014). Exploring the leadership continuum: The relevance of transformational leadership on organizational performance.

    Goodnight. (2011). A central Connection to All Effective Leadership Styles is Effective.

               Room for Employee Autonomy, and Job Satisfaction Suffers. Penn State.

    Harold, H. (2015). Empowerment and trust as mediators of the relationship between transformational leadership and organizational effectiveness. European Journal of Economics and Political Studies, 8(1), 43–60.

    Harris, J., & Alma. (2008). Distributed Leadership through Glass. Management in Education, 31–34.

    Hater, J. J. (1988). Supervisor’s Evaluation s and Subordinates’ Perception of Transformational and Transactional Leadership. Journal of Applied Psychology, 695–702.

    Hayward, B.A, Baxter, J., Amos, T.L. (2008). Employee Performance, leadership Style and Emotional intelligence: An exploratory Study in South African Parastatal. Journal of Professional of Accountant, Vol 8 (1), 15-26(12)


    Hill, C. W., & Jones, G. R. (2008). Strategic Management:  An Integrated Approach (th8 Ed.). Boston: MA: Houghton Mifflin.

    House, R. J., & Aditya, R. N. (1997). The Social Scientific Study of Leadership: Quo Vadis? Journal of Management, 23(3), 409–473.

    Howell, D. A. (1996). International and Cross-Cultural Leadership.  Handbook for International Management Research. Cambridge: Blackwell.

    Hoxha, D. (2009), “The Performance of Micro Firms in Kosova: Size, Age and Educational Implications”, International Journal of Globalisation and Small Business, Vol. 3, No.1, p. 25-40

    Hurduzeu, R. E. (2015). The impact of leadership on organizational performance. Practical Application of Science, 7, 289–294.

    Iqbal, N., Anwar, S., & Haider, N. (2015). Effect of Leadership Style on Employee Performance. Arabian Journal of Business and Management Review, 5(5), 1–6.

    James Macgregor, B. (2010). Leadership Burns Pioneering Study Introduces the Highly Influential Theory in Transformational Leadership. Scotts London.

    Javaid, J. (2012). Leadership behaviors: effects on job satisfaction, productivity and organizational commitment. Journal of Nursing Management, 9(4), 191–204.

    Judge, T.A., & Piccolo, R.F. (2004), “Transformational and Transactional Leadership:  A

               Meta-Analytic Test of their Relative Validity,” Journal of Applied Psychology, Vol.

               89, pp. 755-768.

    Kehinde ,Obasan, A. I., & Banjo, Hassan, A. (2014). Test of the Impact of Leadership Styles on Employee Performance: A Study of Department of Petroleum Resources. International Journal of Management of Sciences, 2(3), 149–160.

    Kerario, B. N. (2013). The Impact of Transactional Leadership on the Performance of Employees in Kenya: The Case of Mumias Sugar Company. Doctoral Dissertation.

    Khan, S., Asghar, M., &Zaheer, A. (2014). Influence of Leadership Style on Employee Job Satisfaction and Firm Financial Performance: A Study of Banking Sector in Islamabad Pakistan. Actual Problems In Economics. Paper Reference, 155, 374–384.

    Kiige, Joseph K., (2013). Extent to which Participatory, , laissez-faire and transformational leadership styles influence organizational climate.

    Koech, P. M., &Namusonge, P. G. (2012). The Effect of Leadership Styles on Organizational Performance at State Corporations in Kenya. International Journal of Business and Commerce, 2(1), pp. 1-12.

    Kohli, M.  (2013) Exploring the link between performance information use and organizational performance: A contingency approach. Public Performance and Management Review.

    Koopman, L.  (2011). Enhancing Transformational Leadership: the Roles of Training and Feedback, Leadership Organization Development Journal, 21(3), 145–149.

    Kothari, C. R. (2004). Research Methodology, Methods and Techniques. New Delhi: New Age Inter-National (P) Ltd.

    Kothari, C. R. (2004).Research methodology: methods and techniques. New Delhi. New Age International (P) Limited (2nd Ed).

    Leng, P. (2014). The effect of organizational culture and leadership style on job satisfaction and organizational commitment: A cross-national comparison. Journal of Management Development, 23(4), 321–338.

    Levis, G. (2013). Leadership, Group Effectiveness, and Group Assessment of a Theoretical Systems and an Observed Structural Equation. Proquest Information and Learning Company.

    Longe, O. J. (2014). Leadership Style Paradigm Shift and Organizational Performance: A Case of the Nigerian Cement Industry. African Research Review, 8(4), 68–83.

    Luftman, J. N. (2004). Managing the Information Technology Resource: Leadership in the Information Age. Upper Saddle River, NJ: Pearson Prentice Hall.

    MacMillan, M. (2000). Effects of leadership style on organizational performance: a survey of selected small scale enterprises in Ikosi-Ketu. (Unpublished Thesis). Lagos.

    Maher, & Green. (2002). Careers 2000. London. London: The Stationery Office.

    Maizura, M., Aminah, A., Wan Aida, W.M. 2011. Total phenolic content and antioxidant activity of kesum (Polygonum minus), ginger (Zingiberofficinale) and turmeric (Curcuma longa) extract. Int. Food Res. J., 18: 529 534.

    Men, L. R., & Stacks, D. W. (2013). The impact of leadership style and employee empowerment on perceived organizational reputation. Journal of Communication Management, 17(2), 171–192.

    Mitonga-Monga, J. R. (2011). The Relationship between Perceived Leadership Style and Employee Participation in Manufacturing Company in D.R Congo. Africa Journal of Business Management, 6(15).

    Mugenda, O. M., & Mugenda, A. G. (2003). Research Methods: Quantitative and Qualitative Approaches. Nairobi: Acts. Nairobi.

    Muller, R. (2007). Matching the project manager‘s leadership style to project type. International Journal of Project Management, 25(1), 21–32.

    Ngambi, H. C. (2011). Rare Total Leadership: Leading with the Heart and Hands. Juta, Cape Town.

    Northouse, P. (2014). Leadership Theory and Practice. Thousand Oaks: Sage Publications Inc. Sage Publications Inc.

    Nuhu, (2004).  Effect of leadership styles on employee performance in Kampala City

    Council in Uganda.

    Nusair, N., Abaaneh, R., & Bae, Y. K. (2012). The Impact of Transformational Leadership style on Innovation as Perceived by Public Employees in Jordan. International Journal of Communication and Management, 22(3), 182–201.

    Nwankwo, B. A. (2005). Administrative Theories and Practices in Organization. Nigeria: AP Express Publishing Company, 1–356.

    Obiwuru, T. C., Akwo, A. T., & Akpa, V. O. (2011). Effects of leadership style on organizational performance: A survey of selected small scale enterprises in Ikosi-Ketu council development area of Lagos State, Nigeria. Australian Journal of Business Management Research, 1(7), 100.

    Ojokuku, R., Odetayo, T., & Sajuyigbe, A. (2012). Impact of Leadership Style on Organizational Performance: A Case Study of Nigerian Banks. American Journal of Business and Management, 1(4), 202–207.

    Orute, R., Shadrack, Mbithi, Mutua, & Douglas, Musiega, (2015). Employee Job Satisfaction at Kakamega County, Kenya.  International Journal of Management Research & Review

    Pattanayak, B. (2005). Human Resource Management (3rd Ed). New Delhi: PHI Learning Private Limited.

    Pradeep, D. D., & Prabhu, N. R. V. (2011). The relationship between effective

    Leadership and employee performance. Journal of Advancements in

    Information Technology, 20, 198-207.

    Prasetya, A., & Kato, M. (2011). Effect of Financial and Non-Financial Compensation to Employee Performance (Paper Presented at 2nd international Research Symposium in Service Management).YogyaKarta, Indonesia.

    Rasool, H. F., Arfeen, I. U., Mothi, W., & Aslam, U. (2015). Leadership Styles and its Impact on Employee’s Performance in health sector of Pakistan. University Research Journal, 5(1).

    Richard, R. S. (2010). Management. (6th Edition). London: Apprentice Hall.

    Shafie, Bizhan, Baghersalimi, Saeed (2018). Impact of Transformational Leadership on Employee Creativity and Efficiency.  International Journal of Innovation Management. 6(1).

    Sofi, D. (2015). Impact of Leadership Styles on Organizational Performance. Journal of Human Resources Management Research, 10 pages.

    Stafford. (2010). Factors contributing to nursing leadership: A Systematic Review.

    Steyrer, G., Lowe, K., Mackenzie, P., & Proctor Thomson, P. (2002). Nothing New under the Sun: Transformational Leadership from a Historical Perspective. Management Decision.

    Tramp, K. (2009). Proposal and Thesis Writing. An Introduction: Pailines Publications Africa.

    Tsigu, G. T., & Rao, D. P. (2015). Leadership styles: their impact on job outcomes in Ethiopian banking industry. Zenith International Journal of Business Economics and Management Research, 5(2), 41–52.

    Ventekan, K. (2010). Developing Innovation Capability in Organizations: A dynamic Capabilities Approach. International Journal of Innovation Management, 5(3), 377–400.

    Volio, B. J. (2007). Promoting More Interactive Strategies for Leadership Theory Building. American Psychologist.

    Vonda. (2008). Does Integrity Matter for CSR Practice in Organizations? The Mediating Role of Transformational Leadership. Business Ethics: A European Review.

    Wang, H., Law, K. S., Hackett, R. D., Wang, D., & Chen, Z. X. (2005). Leader member exchange as a mediator of the relationship between transformational leadership and followers’ performance and organizational citizenship behavior. Academy Management Journal, 48(3), 420–442.

    Wegner. (2004). Transactional Leadership and Job Performance: An Empirical Investigation. University of Utara Malaysia and Sukkur Institute of Business Administration, Pakistan.

    Wang &Xu. (2008). The utility and transformational leadership for predicting performance and satisfaction within a path-goal theory framework. Journal of American Society for Leadership, 9(1), 558–697.

    Yew, L. K. (2014). Transformational Leadership: Is It Time For A Recall? International Journal of Management and Applied Research, 1(19).