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Leadership Style Organizational Culture And Performance Empirical Evidence From Uk Companies Pdf

leadership style organizational culture and performance empirical evidence from uk companies pdf

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Purpose: The present study aims to investigate the influence of transformational leadership style TFL on organizational learning OL. More specifically, it aims to examine the mediating effect of organizational culture OC on this relationship, in the context of ministries operating in Palestine. Two hypotheses were proposed for testing.

Review of empirical research on leadership and organizational learning

Abstract Literature suggests that by developing strong organizational culture and effective leadership, firms can achieve effective business performance. Although this topic has been researched worldwide, little empirical research has been investigated the association between the three concepts.

This paper helps to fill this gap in the literature using the association between the leadership, culture and performance using the data collected from national and global firms with several sectors manufacturing, finance and telecommunication in Turkey. A survey was carried out on employees who accepted to respond to our questionnaires. The outcomes of the statistical analyses of this study have demonstrated the effects of culture and leadership over firm performance.

The reliability analyses of the scales used in the study have significant results. Research findings through the completion of regression analyses for testing the hypotheses are consistent with literature. In addition to the statistical results, the findings have been conceptually discussed and concluded. Finally implications have presented for future studies.

Literature suggests that by developing strong organizational culture and effective leadership, firms can achieve effective business performance. In the fields of management and organizational theory, organizational culture is one of the most popular concepts.

The reason of popularity is the significant relationship between organizational culture and organizational outcomes such as financial performance [1], gaining competitive advantage [2], and firm effectiveness [3]. In the recent 30 years, the mentioned firms are grown much more, and most of researchers take attention to their success, and found close relationship between their culture and leadership. They are still the most successful global firms and for them leadership- culture fit is not a chance [5].

The important point is that, culture will remain linked with superior performance only if the culture is able to adapt to changes in environmental conditions and it must have unique qualities which cannot be imitated [6]. Equally, the relationship between leadership and firm performance is an important topic for both academician and practitioners. The leadership and its effect on firm and employee is an intriguing topic. The leadership studies began with the trait approach and broadened day by day.

With the different aspects, many leadership styles such as transactional, supportive, participative, super, servant, entrepreneurial, spiritual leaderships have been emerged. A number of researchers theorize that leadership is linked to organizational performance [7, 8]. Each of these leadership styles has received notable attention in management literature and in business world. However the relations between leadership and performance and between culture and performance have been examined independently, few studies have sought the association between three concepts.

Most of the studies about culture have been conducted in the different countries [9, 10]. At these studies, culture dimensions have been argued. Many analyses of organizational cultures pay only minor attention to leadership [11].

So there is a need for understanding of how culture and leadership together affect firm performance. The aim of this study is to extend and expand the effects of the relationship between organizational culture types of organizational culture which are classified as competitive, innovative, and bureaucratic and community and leadership styles of organizational culture which are classified as competitive, innovative, and bureaucratic and community to firm performance.

This study also investigates the organizational culture phenomenon and leadership styles in non-western nation. It shows evidence with regard to the organizational culture-leadership style-performance link using data from different industries in Turkey. The main questions addressed in this paper are: a Is there a significant relationship between organizational culture and leadership styles?

This paper has been divided into three parts. The first section of this paper provides a brief overview of culture types, leadership styles and the relationship among the variables, in the second section statistical analyses were done, and findings were compared with recent researches, and finally discussion and managerial implications were presented. In managing organizations, leaders interacting with employees from different backgrounds produce different types of leadership styles [12, 13,14]Although everyday a new leadership style is defined in order to find the best performing, even to develop a universal definition for the best.

In general, leadership styles can be divided into two major categories: the mechanistic based leadership style and the humanistic based leadership style. The dynamic changes which occur outside and inside of the organizations have encouraged leaders to shift the paradigms of their leadership behavior from a.

The traditional leadership style is strongly affected by traditional management thoughts and most leaders use a mechanistic based leadership style to deal with and manage followers in their organizations [16,18].

This leadership style is widely practiced in organizations that operate in a stable market environment, focus on internal organizational environments and give less emphasis to high commitment human resource practices [19, 20, 17].

Moreover, humanistic based leadership perspective emphasizes factors related to the quality of the relationship with followers, such as consideration, mutual trust, participatory decision-making, being interaction oriented, consultative, democratic and concerned with people [12, 21].

This type of leadership is widely implemented in organizations that operate in a dynamic market environment, focusing on external competitiveness and emphasizing high performing human resource practices [22, 19, 23, 17]. The research model of the study contains 3 leadership styles; instrumental transactional as a mechanic-based leadership, supportive and participative leadership that are humanistic-based leadership styles of the study.

A transactional leader as a strategic leader is the one who operates within an existing system or culture as opposed to trying to change them by attempting to satisfy the current needs of followers by focusing on exchanges and contingent rewarding behavior and paying close attention to deviations, mistakes, or irregularities and taking action to make corrections [24, 25].

Transactional leaders are mostly defined as inactive leaders because they reward the good performance [26]. So it can be said that they focus on performance and in the literature, transactional leadership's association with organizational performance is empirically supported [28, 29,30]. In the recent 30 years, supportive leadership has received extensive attention in a variety of different research areas, including the leadership.

House [31] defined a supportive leader as one who provides emotional, informational, and instrumental and appraisal support to followers. However, this author stated that the most intuitive meaning of social support is emotional support, which involves the provision of sympathy, evidence of liking, caring and listening.

Supportive leaders express concern for, and take account of, followers' needs and preferences when making decisions [32]. Supportive leadership is found to be strongly associated with satisfaction, but is not associated with performance by the researchers e.

Participative leadership style is generally viewed as referring to leaders who often work more closely with their followers and involve all levels of followers in making decisions [22, 33]. The idea that the participative style of management is likely to enhance the performance of subordinates was suggested by Barnard [34] over half a century ago, and has been expanded and developed subsequently by many researchers [8].

Humanistic-based leadership styles in planning and administering organizational functions may directly increase job satisfaction [15, 16] but about performance oriented outputs researchers' findings are inconsistent.

Up until today, many researchers study on the effects and practices of leadership on organizational culture [35, 36, 37, 38, 39, 40, 41]. Moreover, different authors emphasize the strong connection between cultural values and concepts of leadership [10, 42].

Peterson and Smith [43] imply that all studies about changing culture include leader's power and effects. According to Schein [44] ". Parallel to this view, Karadag [41]and Bodinson [45] also highlight the importance of the relationship between the variables. Kilmann [46] believes that leadership is crucial because, as organizational cultures develop and change, they also need to be managed and controlled.

He states, 'if left alone, a culture eventually becomes dysfunctional'. Reinforcing such a. According to Bass and Avalio [27] leaders create mechanisms for cultural development and cultural norms arise and change due to its leaders focus. In addition to these, culture and leadership interaction is mutual [27, 44]. Tsui [48] provide different perspectives the functionalist perspective, the attribution perspective and the contingency perspective that lightening on the relationship between leadership behavior and organizational culture.

In the functionalist perspective, there is a close relationship between leadership behavior and a strong culture. According to this perspective, leaders' actions and behaviors contribute to the organization's culture. In other words, culture is a consequence of the visionary and charismatic leadership.

In the attribution perspective, employees have a tendency to ascribe a high level of control and influence to leaders. Theoretical perspectives and empirical findings based on the attribution perspectives support a positive relationship between perceptions of leaders' behavior and descriptions of organizational culture [48]And, lastly the contingency perspective proposes that organizational outcomes affected by leaders' behavior under some conditions such as; during crises, high environmental uncertainty.

At uncertainty or crisis conditions, organizational culture may be limiting leader's ability or culture and this can provide opportunities for leaders to exercise their abilities [48].

In addition to these perspectives, several researchers such as Hofstede [9], Scandura et al. Despite this and similar insights[51, 52] most scholarly analyses of leadership treat organizational cultures only peripherally[53, 54,55, 47,24] Also, many analyses of organizational cultures pay only minor attention to leadership e.

Although the relationship between the terms of culture of organizations and leadership styles are critical, and it is supported by a numerous study, the impact on organizational performance of the variables surprisingly has little empirical evidence. Most of researchers imply the relationship among leadership-culture and performance by anecdotal evidences.

For example Brown [15] states that good leaders develop their skills to alter their culture in order to improve their organizational performance. Hennessey [57] studied empirically the variables but the relationships among them are investigated separately.

The precise nature and form of interaction between these three concepts are not fully understood [6]. In this point Ogbonna and Harris's [6] study parallel to the aim of this study. H3: There is mediating effect of culture of organizations on the relationship between leadership types and organizational performance. The literature on organizational culture is rich and diverse [6] There is a large volume of published studies describing the definitions of the culture and there is little consensus on the definition of corporate culture.

Deshpande and Webster [59] reviewed more than studies in organizational behaviour, sociology, and anthropology and defined organizational culture as "the pattern of shared values and beliefs that help individuals understand organizational functioning and thus provide them with the norms for behaviour in the organization" p.

One of the most popular definitions of culture is belong to Schein. According to Schein, organizational culture can be defined as a "pattern of shared basic assumptions that was learned by a group as it solved its problems of external adaptation and internal integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems "[5].

In Yilmaz and Ergun [61] demonstrated that culture is theorized to be the prime factor of 1 shaping organizational procedures [56, 62], 2 unifying organizational capabilities into a cohesive whole [63].

Different scholars have classified culture types or dimension with different names. Birnbaum [65] focused on institutional types with his four-part typology of dominant cultures: collegial, bureaucratic, political, and organized anarchy. And Bergquist [66] drawing on Cohen and March [67] offered a variant in describing the collegiate, managerial, developmental, or negotiating cultures [68]. Cameron and Quinn [69] divide organizations into four types; clan ,adhocracy, hierarchy and market.

Henri [70] preferred to name them as hierarchical, group, developmental, rational. Further, in their study Ogbanna and Harris used the terms bureaucratic, community, innovative and competitive to classify the culture types.

Moreover, Tharp [71] indicates four organizational culture types; Control hierarchy , compete market , collaborate clan , and create adhocracy. According to the CVF, each quadrant highlights important issues for every organization such as people, adaptation, stability and task accomplishment.

The best known model in organizational culture which is prepared by Quinn and Cameron culture model is based on CVF model too. In their culture model CVF reflects two value dimensions which divide organizations into four types based on these two sets of variables flexibility versus stability and external versus internal orientation : clan flexible and internal , adhocracy flexible and external , hierarchy stable and internal , and market stable and external.

Each organizational type has different "glue" that binds it together: types of leaders, measures of success, management styles, and so on [69]. In this study, dominant cultures are labelled as community, competitive and bureaucratic culture. Community cultures are based in loyalty and commitment to a strong leader and are focused on developing cohesion through teamwork, consensus, and participation [72].

The commitment of organizational members is ensured through participation, and organizational cohesiveness and personal satisfaction are rated more highly than financial and market share objectives [60]. This culture is similar to a large family. Leaders are considered as instructors and preceptors mentor i. This culture type is in direct contrast to the set of values expressed in a clan culture hence the terminology of a "competing values" approach.

Review of empirical research on leadership and organizational learning

Acar, A. Eurasian Business Review, 1: Antoncic, B. Journal of Business Venturing, Arnold, D.

leadership style organizational culture and performance empirical evidence from uk companies pdf

Leadership style, organizational culture and performance: empirical evidence from UK companies

This paper aims to investigate how the relationships between different leadership approaches and organizational learning have been examined in the literature, from which future research areas can be recommended. This systematic literature review applies matrix method to examine major literature in leadership and organizational learning.

The human capital becomes a significant achievement of every organization in the context of the transformation of the fundamental principles in doing business. Every business structure creates and maintains a unique organizational culture that determines the degree of comfortable conditions for employees in their workplace, the level of their interest in the successful operation of the company and the desire to gain leadership in the market. The systematization of existing scientific capacity in the field of human resources management has shown the relationship between the level of dissatisfaction of employees with working conditions and the degree of their readiness to find a new place where they can work in more comfortable conditions. The study is based on the use of analytical and comparative methods. The study is based on a method of data collection, which contains the analysis of the results of successfully returned out of distributed questionnaires. A 5-digit Likert scale analyzed the results.

The system can't perform the operation now. Try again later. Citations per year. Duplicate citations. The following articles are merged in Scholar.

Quality Improvement QI — a systematic approach that uses specific techniques to improve quality — is rightly seen as the way forward for leaders in healthcare, who feel that it should be embraced to boost effectiveness and enhance care for patients. There is much feedback on the benefits of using QI for healthcare teams and also a general feeling that quality care can be achieved if our healthcare leadership embrace quality improvement. There are many types of leadership styles evident within healthcare, but one thing seems clear: great leadership produces great teams with lower stress levels and higher quality patient care. One thing is clear: great leaders who invest in QI can set the tone and transform the culture of an organisation or team. If we want QI to become widespread and the norm in healthcare, management and leadership need to be willing to change. The document summarises that there is enough evidence from a wide range of sources supporting the idea that effective QI is attainable with the right leadership and culture.


Leadership style, organizational culture and performance: empirical evidence from UK companies. Emmanuel Ogbonna and Lloyd C. Harris. Abstract The topics.


Citation Data

This research aims to identify the effect of organization culture, leadership, and work motivation on employee performance of banking organizations in Southeast Sulawesi. The methods used in this research are a descriptive survey and explanatory survey. Meanwhile, data processing was done using Lisrel 8. The first hypotheses test result showed that organizational culture has a significant and positive effect on leadership. The second hypotheses test result showed that organizational culture has a significant and positive effect on employee work motivation. The third hypotheses test result showed that organizational culture and leadership have significant effects, both partially and simultaneously, on work motivation. The fourth hypotheses test result showed that organizational culture, leadership, and work motivation have a significant effect, both partially and simultaneously, on employee performance.

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Abstract Literature suggests that by developing strong organizational culture and effective leadership, firms can achieve effective business performance. Although this topic has been researched worldwide, little empirical research has been investigated the association between the three concepts. This paper helps to fill this gap in the literature using the association between the leadership, culture and performance using the data collected from national and global firms with several sectors manufacturing, finance and telecommunication in Turkey. A survey was carried out on employees who accepted to respond to our questionnaires.

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2 Comments

  1. Alana V.

    27.05.2021 at 02:18
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    Leadership Style, Organizational Culture and Performance: Empirical Evidence from U.K. Companies. August ; The International Journal.

  2. Seng W.

    29.05.2021 at 00:09
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