IMPACT OF LAISSEZ-FAIRE LEADERSHIP STYLE ON EMPLOYEE PRODUCTIVITY IN PRIVATE ORGANIZATIONS IN NIGERIA
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IMPACT OF LAISSEZ-FAIRE LEADERSHIP STYLE ON EMPLOYEE PRODUCTIVITY IN PRIVATE ORGANIZATIONS IN NIGERIA
CHAPITRE ONE
INTRODUCTION
1.1 Background of the research
Leadership is one concept that has evolved in productive connections between organisations and society at large. Northouse (2004) defines leadership as “the method by which an individual inspires a group of people to achieve a common goal” or “the key to trust that comes from others’ esteem.”
It is typically associated with the use of a leading approach to deliver motivating motivation and maximise the possibilities for staff growth and development. Effective leadership is regarded as a key source of management development as well as a long-term competitive advantage in increasing organisational performance (Rowe, 2001).
Leadership is at the heart and soul of organisational management. (Glantz, 2002) emphasises the necessity of a manager establishing his or her unique leadership style.
There is significant evidence in today’s dynamic global workplace that organisations are increasingly understanding the impact leadership styles have on employee well-being and organisational outcomes. Leadership is an important factor that affects the overall health of organisations and nations (Odumeru and Ifeanyi, 2013).
Employees are motivated to provide ideas and innovations by their leaders, resulting in a happy and rewarding work environment (Khaliq, 2001). Effective leadership behaviour, according to Buelens, Broeck, Vanderheyden, Kreitner, and Kinicki (2006), is based on both the manager’s willingness to help subordinates and the subordinates’ need for support.
A strong relationship between a leader and his or her followers requires the leader to recognise the personal values of individuals who are willing to offer their time and abilities to achieve common goals. Leadership is vital in organisational performance because effective organisations require motivated individuals.
In an organisation, one of the characteristics that impacts whether or not employees are interested in and dedicated to the organisation is leadership style (Timothy et al., 2011). According to Belonio (2010), leadership styles can either inspire or discourage workers, resulting in an increase or decrease in employee performance.
Among other things, leadership style determines the efficiency of resource mobilisation, allocation, utilisation, and advancement of organisational performance (Timothy et al., 2011). A lack of proper leadership style and motivation are two factors that have a negative impact on organisational success in Nigeria.
Clearly, an organization’s capacity to achieve its goals is defined by the organization’s direct induce. Leaders are those who are hired in an organisation to direct it towards achieving its goals, and organisations exist to offer services in society for the benefit of all.
He must be communicative in order to coordinate the operations of the people and the organisation. In reality, leaders ensure that subordinates’ actions are directed towards attaining the organization’s goal.
This can only be accomplished by fostering an environment in which the subordinate can meet their own requirements. A competent leader can motivate and inspire his subordinates to do better.
According to Chiang and Wang (2012) and Clark, Hartline, and Jones (2009), leaders have developed a variety of approaches when leading people in the organisation. Different leadership styles are appropriate for different contexts, people, cultures, jobs, and organisational aims.
In private organisations, transformational, transactional, laissez-faire, and authoritarian leadership styles have all been deployed. None of these leadership styles are incorrect or inappropriate for a leader to employ;
however, how he or she employs them is dependent on the environment in which he or she finds himself or herself, which can affect employee productivity and organisational success.
1.2 Statement of the problem
Different leadership styles may influence employees’ job performance, attitudes, and behaviours towards the company. Mullins (2005) defines a manager’s leadership style as how he or she interacts with employees. Leadership style has a significant impact on employee attitudes and behaviours, as well as organisational performance.
Employee dissatisfaction with a company’s leadership style typically manifests itself in high labour turnover, frequent complaints, strikes, and a reduction in work performance (Khan et al. 2010). In support of this, Timothy, C., Andy, T., Victoria, O., and Idowu, A.
(2011) stated that poor leadership causes inefficiency, poor achievement of results, shoddy handling of activities and programmes, poor rendering of services, abuse of office,
lack of initiative and maintenance culture, delays, corruption, unsatisfactoriness, irregularities, poor quality of work output, poor commitment, low morale, truancy, lateness to duty, idleness, laxity, and indiscip
Although much study has been undertaken on leadership styles to explain the principles and impacts of leadership styles, notably transactional and transformational leadership styles, few studies have focused on laissez-faire leadership styles. This is because laissez-faire executives place a high value on their employees.
They do not micromanage or become overly involved, and they do not give too much advice or direction. When appropriate, they provide direction and accept accountability, but their leadership style allows subordinates and team members to take the lead (Frischer, J. 2006).
More research into the impact of a laissez-faire leadership style on staff productivity in Nigerian private enterprises can help to obtain a deeper understanding and increase the validity of the findings. It is upon this premise that the researcher dived into the study on how laissez-faire leadership style influences employee performance.
1.3 Purpose of the research
The overarching goal of this research is to investigate the impact of a laissez-faire leadership style on staff productivity in private organisations in Nigeria. Specifically the study attempted to:
Investigate the benefit of adopting a certain leadership style in Organization.
Determine if Laissez faire leadership style effect worker’s productivity.
Ascertain the impact of Laissez faire leadership style on firm’s economic growth and performance.
1.4 research Hypothesis
HO1: There is no perceived benefit to adopting a leadership style in an organisation.
HO2: In private organisations, a laissez faire leadership style has no effect on employee productivity.
1.5 Significance of the research
The study would be relevant to organisations and academia on both a practical and empirical level. In practise, the management board of an organisation can use the study’s findings and recommendations to improve the qualities of its organization’s leadership for the goal of subordinate performance.
Other organisations that were not included in this study can also benefit from the study’s results and recommendations for enhancing the leader-subordinate relationship in the organisation.
Empirically, the study’s findings will add to the body of current literature and serve as a reference resource for both students and scholars who intend to do additional research in a similar topic.
1.6 The scope of the research
The overarching goal of this research is to investigate the impact of a laissez-faire leadership style on staff productivity in private organisations in Nigeria. The study will look into the advantages of using a specific leadership style in an organisation.
It will determine whether or not the laissez faire leadership style affects worker productivity. It will investigate the effect of a laissez faire leadership style on the firm’s economic growth and performance. However, the study is limited to DataPlus Interactive Limited, FCT Abuja.
1.8 limitations of The study
The researchers encountered minor obstacles when conducting the study, like with any human undertaking. The significant constraint was the scarcity of literature on the subject due to the nature of the discourse, so the researcher incurred more financial expenses and spent more time sourcing for relevant materials, literature, or information and collecting data, which is why the researcher resorted to a limited sample size.
Furthermore, the researcher will do this investigation alongside other academic activities. Furthermore, because only a few respondents were chosen to answer the research instrument, the sample size was limited to the banking industry and so cannot be generalised to other business organisations.
Despite the constraints encountered during the research, all elements were minimised in order to provide the best results and make the research effective.
1.9 Definitions of terminology
Leader: Someone who guides the behaviour of other group members and gives instructions on how to complete a task.
Leadership: The process of guiding and persuading others to achieve the goals of an organisation.
A subordinate is someone who works for or is inferior to someone else in the official hierarchy.
The corporation: This is a systematic procedure in which people are interested in achieving goals.
Leadership Style: A leader’s characteristic behaviours when directing, motivating, guiding, and managing groups of people are referred to as their leadership style.
Employee Productivity: The amount of work (or output) generated by an employee in a given period of time is referred to as employee productivity.
Organisational performance refers to an organization’s actual output or results as compared against its expected outputs (or goals and objectives).
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