IMPACT OF TRANSFORMATIONAL LEADERSHIP STYLE ON EMPLOYEE PRODUCTIVITY IN PRIVATE FIRMS IN AKWA IBOM STATE

CHAPTER ONE:

INTRODUCTION

1.1 Background of the study

The importance of leadership in achieving optimum organizational performance cannot be overstated. Leadership and its style has been identified as one of the numerous factors that can enhance or impede employee productivity. The terms "leadership" and "leadership styles" have been used in a variety of contexts, with varying definitions. Ogbeidi (2012) defines leadership as a group of people who lead and direct the activities of a group toward a common goal. It refers to the ability to direct, organize, and lead a group. While Cole (2002) views leadership as a dynamic process at work in a group in which one individual influences the other group members to freely commit themselves to the achievement of group tasks or goals over a period of time and in a specific organizational context. According to Stogdill (1948), leadership style is a method and capability used by leaders to achieve organizational goals, and it has an impact on all organizational activities. According to Fiedler (1969), leadership style refers to a type of relationship in which someone uses his rights and methods to get a group of people to work together on a common goal. However, the most popular approach to explaining leaders' influence on organizational performance is transformational leadership style. We must distinguish transformational leadership from transactional leadership in order to comprehend it. Transactional leadership is based on an exchange process in which the leader gives out rewards for desired behavior and punishes/punishes for undesirable behavior. These rewards could include salary increases, promotions, and additional benefits, whereas the sanctions/punishments could include pay cuts, demotions, and terminations. Transformational leadership, on the other hand, goes beyond contract fulfillment to motivate employees/followers to go above and beyond, resulting in positive change in the employees or followers. Though, across cultures, several studies on transformational leadership style have shown a consistent relationship with various performance indicators (Rejas, Ponce, Almonte and Ponce,2006). However, in comparison to other parts of the world, Nigeria has had relatively few studies on the subject. The goal of this study is to investigate  transformational leadership style and employee productivity in the Nigerian workplace, based on this consideration.

1.2 Statement of the problem

Within the organization, transformational leaders can influence employee creativity and bring about organizational innovation in a variety of ways. First, they define and structure the work, in which employees and leaders collaborate to determine goals, objectives, and problems, as well as provide solutions (Ogbeidi,2012). Second, organizational leaders are the key sources of organizational culture impacts. They have the responsibility of not only guiding, coaching, and supporting the workforce, but also of creating an organizational climate and culture that fosters employee productivity. However, transformative leadership styles are hampered by a variety of circumstances, all of which will be investigated in this research (Fieldler,1969).

1.3 Objective of the study

The primary objective of the study is as follows

1)        To evaluate transformational leadership styles on employee productivity.

2)        To examine the factors that limit employee productivity in an organization.

3)        To examine if there is a relationship between employee productivity and transformational leadership.

4)        To examine strategies that can be used to improve the leadership style of an organization

1.4 Research Questions

The following questions have been prepared for the study

1.        What is the effect of transformational leadership on employee productivity?

2.        What are the factors that limit employee productivity in an organization?

3.        Is there a relationship between employee productivity and transformational leadership?

4.        What are the strategies that can be used to improve the leadership style of an organization?

1.5 Significance of the study

This study examines transformational leadership style on employee productivity and it will shed light on the need for a kind of leadership style that works for an organization in other for its growth.

1.6 Scope of the study

This study evaluate transformational leadership styles on employee productivity. The study also,examine the factors that limit employee productivity in an organization. The study further examine if there is a relationship between employee productivity and transformational leadership. Lastly, examine strategies that can be used to improve the leadership style of an organization. Hence the study will be delimited to private firm in Akwa Ibom state.

1.7 Limitation of the study

This study was constrained by a number of factors which are as follows:

Just like any other research, ranging from unavailability of needed accurate materials on the topic under study, inability to get data.

Financial constraint , was faced by  the researcher ,in getting relevant materials  and  in printing and collation of questionnaires.

Time factor: time factor pose another constraint since having to shuttle between writing of the research and also engaging in other academic work making it uneasy for the researcher.

1.8 Definition of terms

Transformational leadership style: a leadership approach that causes ... leader's personality, traits and ability to make a change

Employee productivity: the amount of work (or output) produced by an employee in a specific period of time