Thesis Abstract

Abstract
Leadership is a crucial aspect of organizational success, and different leadership styles can have varying impacts on organizational performance. This research project aimed to investigate the influence of various leadership styles on organizational performance across different industries. The study focused on four main leadership styles transformational, transactional, democratic, and autocratic leadership. To conduct this research, a sample of organizations from diverse sectors was selected, and data was collected through surveys, interviews, and analysis of company performance metrics. The findings revealed that transformational leadership had a significantly positive impact on organizational performance. Leaders who exhibited transformational qualities such as inspirational motivation, intellectual stimulation, individualized consideration, and idealized influence were able to inspire and empower their teams to achieve higher levels of performance. Transactional leadership, characterized by clear expectations, rewards, and consequences, also showed a positive correlation with organizational performance, although to a lesser extent compared to transformational leadership. This style of leadership focused on setting goals, monitoring progress, and providing feedback to employees in exchange for rewards or recognition. Democratic leadership, which involves participative decision-making and collaboration among team members, was found to have a moderate impact on organizational performance. By involving employees in the decision-making process and valuing their input, democratic leaders were able to foster a sense of ownership and commitment among team members, leading to improved performance outcomes. On the other hand, autocratic leadership, where leaders make decisions without input from others, was found to have a negative impact on organizational performance. Employees working under autocratic leaders reported lower job satisfaction, motivation, and productivity levels, ultimately affecting the overall performance of the organization. Overall, this research highlights the importance of leadership styles in shaping organizational performance. Transformational and transactional leadership styles were identified as more effective in driving performance improvements, while democratic leadership also played a significant role in enhancing employee engagement and commitment. Organizations that promote participative decision-making and empower their employees tend to achieve better performance outcomes compared to those with autocratic leadership styles. Understanding the impact of different leadership styles can help organizations develop effective leadership strategies to optimize performance and achieve long-term success.

Thesis Overview

INTRODUCTION
1.1     Background to the Study

1.2     Statement of Research Problem
The role of organisational leaders in facilitating optimum or high performance in work organisations cannot be over emphasised. A number of studies that have examined the relationship between leadership styles and organisational performance had indicated that leadership behaviour and organisational performance are significantly related (Bass, 1990; Collins and Porras, 1996; Manz and Sims, 1991; Sarros and Woodman, 1993). But some studies have also provided evidence that leadership styles may have a positive correlation or negative correlation with organisational performance, depending on the variables used by various researchers (Goleman, 2000; Vigoda-Gadot, 2007, Wang, Chich-Jen, Shieh, and Mei-Ling, 2010).
For instance, certain studies have focused on what is generally called the Full Range Leadership Development theoretical model. This model includes: laissez-faire or no leadership style; transactional leadership style which is based on passive and active aspects; and transformational leadership style which is based on personal relationships, intellectual challenge, inspirational motivation and behavioural charisma. These three styles have been commonly applied by researchers to the study of leadership and organisational performance (Avolio and Bass, 1991; Bass, 1985; Bass and Avolio, 1993; Geyer and Styrer, 1998; Lowe, Kroeck, and Sivasubramaniam, 1996; Mackenzie, Podssakoff, and Rich, 2001; Parry, 2003; Pillai, Schrieshim, and Williams 1999). These three categories create a hierarchical sequence of leadership styles according to the extent of activity that the leader expresses in his/her actions and according to the extent of its effectiveness. In this model, transformational leadership ranks as the most effective style, followed by transactional leadership and then the laissez-faire style in descending order of effectiveness. The basic assumption of the Full Range Leadership Development model is that in every leader all styles can be found. Other studies on the link between leadership and organisational performance indicate that a stronger relationship exist between transformational leadership and performance than between transactional leadership and performance. Transactional leadership and performance was found to have a lower correlation than transformational leadership and performance (Den Hertog, Van Muijen and Koopman, 1997; Vigoda-Gadot, 2007).
On the other hand, the relationship between transformational leadership and organisation performance is positive and strong. However, the question arises as to whether or not these research outcomes on the relationship between various leadership styles and organisational performance is universally valid. As such, there is the need to test these research results in the Nigerian work environment.
In a nutshell the research problem is: What is the actual relationship between the various leadership styles and organisational performance in the Nigerian work context.
In order to effectively address the above problem, this study will seek to provide answers to the following research questions:
a.       What is the relationship between various leadership styles and organisational performance?
b.       What is the impact of various leadership styles on organisational performance?
c.       How can higher organisational performance be achieved through the employment of appropriate leadership behaviour in work situations?

1.3     Objectives of the Study
            Main Objective
To investigate the relationship between various leadership styles and organisational performance.
Subsidiary Objectives
(a)       To assess the impact of various leadership styles on organisational performance.
(b)       To examine the concepts of leadership and organisational performance.
(c)       To make appropriate recommendations towards better organisational performance through the employment of appropriate leadership styles.

1.4     Hypotheses