THE DETERMINANTS OF EFFECTIVE LEADERSHIP STYLE IN
ORGANIZATIONS. A STUDY OF UNITED BANK FOR AFRICA
(UBA) PLC IN ENUGU METROPOLIS
BY
OBODOUGO, JACINTA
DEPARTMENT OF MANAGEMENT
FACULTY OF BUSINESS ADMINISTRATION
UNIVERSITY OF NIGERIA, ENUGU CAMPUS
JULY, 2010
TITLE PAGE
THE DETERMINANTS OF EFFECTIVE LEADERSHIP STYLE IN
ORGANIZATIONS: A STUDY OF UNITED BANK FOR AFRICA
(UBA) PLC IN ENUGU METROPOLIS
BY
OBODOUGO, JACINTA
A PROJECT SUBMITTED IN PARTIAL FULFILMENT OF THE
REQUIREMENT FOR THE AWARD OF MASTER OF
BUSINESS ADMINISTRATION (MBA) DEGREE IN
MANAGEMENT
TO THE
DEPARTMENT OF MANAGEMENT, FACULTY OF BUSINESS
ADMINISTRATION, UNIVERSITY OF NIGERIA ENUGU
CAMPUS
JULY, 2010
CERTIFICATION
This is to certify that Obodougo, Jacinta, a postgraduate student of
the Department of Management with Registration number
Has satisfactorily completed the requirement for the course and research
work for the post graduate degree, master of Business Administration
(MBA) in Management.
The work embodied in this report is to best of my knowledge original
and has not been submitted in part or full for any other degree of this or any
other university.
……………………………………
OBODOUGO, JACINTA
………………………………
C. O. CHUKWU
SUPERVISOR
……………………………..….
C. O. CHUKWU
HEAD OF DEPARTMENT
DATE: ………………………
DATE:………………....……..
DEDICATION
This work is dedicated to God the Father, the Son, and the Holy Spirit
and Mother Mary, Queen of Heaven and Earth, for their mercies to all
mankind.
ACKNOWLEDGMENT
I wish to express my sincere thanks to Almighty God, the author
and finisher of our faith who made my dreams come true. I appreciate in a
special way my beloved husband and children who supported me during
the course of this Programme both financially, emotionally, socially and
otherwise. I also wish to show my profound appreciation to Mr. Ugwa
Magnus (De Old man) for his encouragement and support.
My sincere gratitude goes to the Head of Department of Management
Mr. C.O Chukwu who incidentally is my Project Supervisor for his concern,
support, encouragement and constructive criticism throughout the period of
this research work.
May the good God reward all of you abundantly in Jesus name,
Amen.
OBODOUGO, JACINTA.
ABSTRACT
Leadership has been seen by management practitioners as one of the key
functions of management and as such has been a subject of considerable
research. Various studies conducted on leadership styles identified three
basic styles, namely: autocratic, democratic, and laissez faire or free rein.
But the particles style to be adopted has created a lot of problems to many
group leaders. This study therefore is to find out the determinants of
effective leadership style with special emphasis on United Bank for Africa in
Enugu metropolis. To achieve these objectives, questioners were
distributed to two hundred and thirty six (236) respondents which were
sampled from the total population of three hundred and thirty nine (339).
Data were collected from the respondents and analyzed using simple
percentages and Chi-square (x2). From the analysis, the following were
discovered as the determinants of effective leadership style; organization’s
external environment, personality of leaders and subordinates, the
organization’s culture and polices the organization’s structure, time element
and others. It was also discovered that leadership style has a significant
relationship with the subordinate performances. Based on the analysis and
findings, we conclude that no one trait is common to all effective leaders
and no one style of leadership is effective in all situations. In other words,
the effectiveness of a particular leadership style depends on factors in each
situation. We finally recommended that for a leader to be effective, he
should consider the situation or his leadership environment in order to
determine the best style of leadership for effective achievement of the
group objectives.
TABLE OF CONTENTS
Title page -
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i
Certification -
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ii
Acknowledgement -
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iii
Abstract - -
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iv
Table of contents -
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Chapter One: Introduction
1.1
Background of the study -
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1
1.2
Statement of the problem-
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3
1.3
Objectives of the study -
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1.4
Research questions - -
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1.5
Research hypothesis -
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1.6
Significant of the study -
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1.7
Scope of the study -
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1.8
Limitations of the study -
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1.9
References-
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Chapter two: Review of Related Literature
2.1
Meaning of leadership -
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9
2.2
Meaning of a leader - -
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2.3
Types of leaders -
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10
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2.4
Relationship between management and leadership -
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11
2.5
Functions of a leader - -
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12
2.6
Leadership styles -
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13
2.7
Determinants of effective leadership style -
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19
2.8
Theories of Leadership -
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24
2.9
United Bank for Africa (UBA) in Enugu Metropolis
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31
2.10 References-
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32
Chapter Three: Research Methodology
3.1
Introduction
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34
3.2
Research design -
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34
3.3
Sources of data -
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35
3.4
Population of the study-
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3.5
Sample size determination
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36
3.6
Questionnaire design/ respondents -
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38
3.7
Reliability -
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39
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Chapter Four: Data Presentation and Analysis
4.1
Introduction -
4.2
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41
Data presentations -
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4.3
Data Analysis - -
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42
4.4
Decision rules - -
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46
Chapter
Five:
Summary
of
Findings,
Conclusions
and
Recommendations
5.1
Discussions of findings-
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56
5.2
Conclusions -
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60
5.3
Recommendations -
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61
Bibliography
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Appendix -
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CHAPTER ONE
INTRODUCTION
1.1
BACKGROUND OF THE STUDY
Leadership is a fascinating concept in which philosophers, historians,
psychologists, sociologists, politicians, and all kinds of executives, have
shown much interest. It is considered as one of the key functions of
management and, as such, has been a subject of considerable research.
According to Igboeli, (1990:151), leadership may be defined as a process
by which people are directed, guided and influenced in achieving group
goals. A leader is a person who is central in a group goals interaction.
According to Ile, (1999, 208), a leaders is one who influences his or her
followers or group to achieve an objective in a given situation. The
followers may be his or her superiors or peers as well as the subordinates
of the leader. It is the willingness of people to follow that makes a person a
leader. Moreover, people tend to follow those whom they perceive as
providing a means of achieving their own desires, wants and needs.
By the nature of their position, managers are placed in a leadership
position in organizations to influence the behaviour of the formal work
group. Their effectiveness can be measured by the accomplishment of the
group vis-à-vis the organizational goals and objectives. Leadership consists
of two types – formal and informal. Formal leaders are appointed to their
leadership positions while informal leaders are selected by the group. Each
type of leader relies on a different source of authority to influence
members. A manager, who relies exclusively on his formal authority to
influence group members, falls into the formal leadership category.
According to Ile, (1999:217) there are some important implications in
the concept of leadership, for instance, leadership involves others. In other
words, leadership involves followers. The followers may be superiors, or
peers, as well as the subordinates by their willingness to follow, accept
directions from the leader, group members help define the leader’s status
and make the leadership process possible. Thus, leadership demands
followership. Leadership involves unequal distribution of power between
leaders and group members. This is implied that group members are not
powerless; they can and do shape group activities in a number of ways.
Leadership involves ability to use difference forms of power to influence
followers’ behaviours in a number of ways. According to Appleby,
(1981:117) leadership also involves the acceptance of responsibility for the
achievement of the group objectives. Because of this, it is therefore,
essential for trust and cooperation from both sides to be in evidence all the
time.
Therefore, without leadership, an organization is but a muddle of men
and machines. In other words, without leadership, an organization would be
comprised of uncoordinated groups of people lacking unity and direction.
1.2
STATEMENT OF THE PROBLEM
It has been recognized throughout history that the difference between
success and failure, whether in a business, war or game can be largely
attributed to leadership style. According to Okenwa and Ugbo, (2001:108)
leadership styles are the behaviours patterns of a leader when integrating
organization and personal interest in pursuit of some goal or objectives.
They have been variously classified but the most acceptable styles are
autocratic, democratic and laissez-faire leadership.
An autocratic leader makes all decisions. He is always very
conscious of his position and has little trust and faith in his subordinates..
Close control and supervision, a high degree of centralization, and minimal
involvement of groups and individual characterized an autocratic leadership
style (Igboeli 1990: 157). The democratic leader shares decision-making
with the group. He decentralizes authority and encourages free flow of
communication. The third type of leader uses his or her power very little, it
al all, giving subordinates a high degree of independence, or free rein, in
their operations. Such leaders depend largely on subordinates to set their
own goals and the means of achieving them (Koontz and Weihrich 1988:
480).
Researches have observed that effective leadership depend on many
variables, such as organizational culture and the nature of tasks. No one
trait was effective in all situations. The problem is therefore how to identify
those factors in each situation that affect the effectives of a particular
leadership style. In other words, what are the determinants of effective
leadership style. It is against this background that this work is carried out.
1.3
OBJECTIVE OF THE STUDY
The general objective of this study is to identify the determinants of
effective leadership style on a group with special emphasis on United Bank
for Africa (UBA) in Enugu metropolis
SPECIFIC OBJECTIVES
Considering the general objective of this study, the specific objectives
of this study are;
i.
To determine the impact of organization’s external environment on
leadership style determinant.
ii.
To determine the impact of the personality of a leader and the
personality of subordinates on the leadership style.
iii.
To determine the relationship between leadership style and
subordinates performance.
iv.
To make recommendations based on the analysis and findings.
1.4
RESEARCH QUESTIONS
The research questions are draw from the objectives of the study and
they are:
1.
Does study organization’s external environment have any impact on
leadership style determinant?
2.
Does the personality of a leaders and the personality of subordinates
have influence on the leadership style?
3.
Is there a relationship between leadership style and subordinates
performance?
1.5
RESEARCH HYPOTHESIS
1.
HO:
Organization’s
external
environment
leadership style determinant.
has
no
impact
on
HI:
Organization’s
external
environment
has
an
impact
on
leadership style determinant.
2.
HO:
Personality of a leader and the personality of subordinates
have no influence on the leadership style.
HI:
Personality of a leader and the personality of subordinates
have influence on the leadership style.
3.
HO:
There is no relationship between leadership style and
subordinates performance.
HI:
There
is
a
relationship
between
leadership
style
and
subordinates performance.
1.6
SIGNIFICANCE OF THE STUDY
This study will be very beneficial to business managers and group
leaders (both formal and informal group leaders) for it will assist them in
determining the factors surrounding adoptions of a particular leadership
study. The academic environment shall also benefit from this study in no
small way. The study will serve as a reference material both to the lectures
in higher institutions and the study therewith. The critics of this study shall
also pave way for further academic study.
The government and its agencies as well as political office holders
shall also see this study to be invaluable or to be of a high value.
1.7
SCOPE OF THE STUDY
This study central on the determinants of effective leadership style in
organizations with special emphasis on Unite Bank for Africa (UBA) in the
Enugu metropolis.
1.8
LIMITATIONS OF THE STUDY
The following areas posed some problems to us in the course of this
study; Time, money and few respondents. As a student, the researcher had
no enough money to study; the entire population would have given better
result than sampling. Also some respondents were indifference in filling
their questionnaire thereby leaving their opinion unknown.
REFERENCES
Igboeli, Geofrey N. (1990). Management a Functional Approach. 14
Azuka St. Extension Ogbor hill Aba, Model Academic
Publishers
Ltd.
Appleby, C. Robert (1981), Modern Business Administration. Third
Education, Toronto: Pitman Publishing Limited.
Koontz Harold and Weihrich Heinz (1988), Management. Ninth Edition,
New York. Mc Graw – Hill Inc.
Okenwa C.P and Ugbo I.F. (2001) Management Theory and Practice
Federal, Polyphonic Oko, Polytechnic Press Ltd.
CHAPTER TWO
REVIEW OF RELATED LITERATURE
2.1
Meaning of Leadership:
According to Ile, (1999:207), to lead means to guide, conduct, direct,
precede, and to show the way by going first. He went further to define
leadership as the ability to lead. It is generally defined as influence. It is the
art or process of influencing people so that they will strive willingly towards
the achievement of group goals.
In the view of Ukeje, (1996:5), leadership involves one person trying
to get others do something that he wants them to do. Nwachukwu,
(1988:146) defined leadership as a social influencing process for the
attainment of goals. According to Igboeli, (1990:15) leadership means a
process by which people a re directed, guided and influenced in achieving
group goals. Akpala, (1990:128) said that leadership is a display of ability
to motivate and to integrate followers to achieve determined organizational
goals. Stoner and Freedman, (1992:472) defined leadership as the process
of directing and influencing the task-related activities of group members in
their view Allan and Robert, (1969:391) defined leadership as a process
where one exerts social influence over members of a group. According to
Koontz and Weihrich (1988:437) leadership is defined as influence, the art
or process of influencing people so that they will strive willingly and
enthusiastically toward the achievement of group goals.
Based on the above definitions, we conceive leadership to mean the
process of influencing others to work willingly and to the best of their
capabilities towards the goals of the leader.
2.2
MEANING OF A LEADER
According to Igboeli, (1990:15), a leader is a person who is central in
a group interaction. Ile, (1999:208) sees a leader to mean one who
influences his or her followers or group to achieve an objective in a given
situation. He went further to say that the followers may be his or her
superiors peers as well as the subordinates of the leader. It is the
willingness of people to follow that makes a person a leader. Moreover,
people tend to follow those whom they perceive as providing a means of
achieving their own desires, wants and needs. In his view, Nwachukwu,
(1988:146) said that a leader is a person with power over others who
excises the power for the purpose of influencing the group behaviour. Thus,
all leaders have influences; they provide direction and help in the
achievement of group goals. According to Bernis, (1959:180) a leader is a
person with power over others who exercises this power for the purpose of
influencing their behaviour.
2.3
TYPES OF LEADERS
According to Ile, (1999:209), there are two types of leaders namely:
a.
A formal leader and
b.
An informal leader
A formal Leader: is a leader whose position is provided for in the
organizational structure or hierarchy. Such a leader has a formal authority
and power over his or her subordinates. He or she is synonymous with a
manager and can also be called a managerial leader. Therefore, a formal
leader has the right as a function of his formal position and role, to direct or
order or command people to behave so as to achieve organizational
objectives.
An Informal Leader: Is a leader whose position is not provided for in the
organization structure or hierarchy. He or she can also be called a nonmanagerial leader. Such a leader has power but lacks authority over his or
her group and can only influence people to behave so as to achieve group
goals or objective (Ile, 1999: 209)
2.4
RELATIONSHIP BETWEEN MANAGEMENT AND LEADERSHIP
The term “management” and “leadership” are not necessarily
interchangeable because of the following reasons:
According to Akpala, (1990:127), management is a broader concept
is that it concerns not only people but also materials money and
machines but leadership is mainly concerned with influencing the
people in an organization
Leadership is a subclass of management. This means that leadership
is a factor in the managerial function of directing are motivation and
communication. Thus leadership is a means of direction (Appleby,
1981:117)
Ile, (1999:210) opines that the functions performed by a leader are
more specialized or tangible than those of a manager. Managing is
therefore, a systematic network and not a sequentially undertaken set
of duties.
According to Gallagher et al, (1997:528), managers tend to adopt
impersonal or passive attitudes towards goals while leaders adopt a
more personal and active attitudes towards goals
In order to get people to accept solutions, the manager needs
continually to coordinate and balance in order to compromise
conflicting values but the leader creates excitement in work and
develops choices that give substance to images that excite people.
2.5
FUNCTIONS OF A LEADER
The functions of a leader according to Koontz and O’Donnell,
(1972:557 - 558) and Hicks and Gullet, (1987:479) are: Arbitrating,
suggesting,
supplying
objectives,
catalyzing,
providing
security,
representing, inspiring and praising.
Arbitrating: When organizational members disagree on a course of action
to be taken, the leader may sometimes resolve the problem by arbitrating
or by deciding on the solution himself or herself. In any event, it is most
important that a decision be reached as soon as possible so that the
organization can continue operations without interruptions or change of
pace.
Suggesting: Suggestions by the leader permit him or her to get his or her
ideas across to his or her followers without resorting to a direct order. At
the same time, the followers’ dignity and sense of participation in also
maintained.
Supplying Objectives: The objectives of an organization are not
automatic, but must be supplied by the leader. For the organization to be
effective, these objectives must be suitable to the organization and allow
the members to work together.
Catalyzing: To start or increase movement in an organization, a force is
needed. T his force can be supplies by the leader acting as a catalyst to
arouse his followers to action.
Providing Security: By maintaining a positive and optimistic attitude when
facing problems, a leader can provide security for his followers. This
security is important to organizational members and can be jeopardized by
the leader’s negative attitudes. This is because the attitudes of a leader,
whether good or bad, are eventually picked up by the followers.
Representing: The leader usually represents his or her organization to
others and like wise serves as a symbol of the organizational to others and
likewise serves as a symbol of the organization. Those outside of the
organization probably think of the organization in terms of their impression
of the leader. A favourable impression of the leader will probably lead to a
favourable impression of the organization and vice versa.
Inspiring: By letting his or her followers know that their work is worth while
and important, a leader inspires his followers to accept organizational goals
enthusiastically and to work effectively towards their accomplishments.
Praising: A leader can assists in satisfying the need for recognition and the
esteem of others through sincere praise. This can be done by letting his or
her followers know hat they are important, that their work is appreciate and
that the leader has their best interest at heart.
2.6
LEADERSHIP STYLES
Leadership styles are variously classified. Nwachukwu (1988: 150 -
151) quoting, Leland Bradford and Ronold Lippitt gave a summary of the
leadership styles as autocratic, democratic and laissez faire. Ejiofor,
(1985:19-20) making reference to Likert (1961) identified for basic styles of
leadership namely: exploitative authoritative, benevolent authoritative,
consultative and participative. Also Akpala, (1990:13) citing Herbison and
Myers (1969: 54 - 58) gave leadership styles as autocratic, paternalistic
and laissez faire.
From the above authorities, the leadership styles are as follows:
i.
Autocratic leadership style
ii.
Democratic leadership style
iii.
Laissez-faire leadership style and
iv.
Paternalistic leadership style
Autocratic leadership style: According to Ile, (1999:212) the approach
known as “autocratic leadership style” results in practically all authority
centering in the leader.
The leader enforces decisions by the use of
rewards and the fear of punishment rewards go to those who do as they
are told to do. Communication tends to be primarily in one direction, from
the leader to followers. There are certain situations where autocratic
leadership style may serve.
According to terry, (1968:456) autocratic leadership style may serve
in a situation of emergency and in cases where the leader is wise, just and
considerable.
In his view, Akpala, (1990:131), autocratic leadership style may serve
at a low stage of economic and social development where lower levels
needs of physiological and social satisfaction still dominates.
In the view of Ile, (1999:213) autocratic leadership style can serve in
situations where the followers must be coerced, directed and controlled in
order to do work.
This is in line with McGregor’s Theory X. Therefore, the autocratic
style is at one end of the leadership continuum Decision making in this
leadership style solely within the province of the leader. T he autocratic
leader assigns tasks, provides facilities and direction without consultation
with the individual carrying out the work. Such leadership can employ either
positive or negative approaches. If the approach used to stimulate and
influenced others are grounded primarily on fear and force, it is labeled
negative leadership, and its methods looked at as coercive. The coercive
leader is one who commands and experts compliance. The leader is
dogmatic and leads by his or her ability to give or withhold rewards and
punishment.
According to Ile, (1999:213), if the leader’s methods are based on
incentive and reward, it is characterized as positive leadership such
autocratic leaders can implement his decision through benevolence, and or
manipulation. The benevolent leader uses positive techniques such as
praise “a part on the back’, tact and diplomacy to get the desired results.
The manipulative leader appears to allow the subordinates to participate in
the decision making process, but he nevertheless “pulls the strings” behind.
He has a subtle way of taking the decision by himself while creating an
impression of participation by the subordinates.
According to Akpala, (1990: 138) an advantage of autocratic
leadership is the speed with which decisions can be made. The leader
does not have to obtain group members’ approval before deciding. A
potentially off setting disadvantage may be the effect of autocratic
leadership upon morale. Members may result the way decisions are made
and thus support them as little as possible. Also leaders that choose to use
a leadership style that merely orders or dictates may have employees that
are less committed, that are relieved of responsibility effectiveness of
autocratic leadership is often short lived.
Democratic Leadership Style: According to Igboeli (1990:157) in
democratic leadership style, decision making is shared between leader and
the group. Authority is decentralized and free flow of communication is
encouraged. When the leader is constrained to make a decision alone, t he
reason is explained to the group. The leader permits a climate of general
controls and supervision. In their view, Okenwa and Ugbo (2001:109)
democratic leadership style also known as participative or supportive
leadership style involves some kind of joint action between leaders and
subordinates. In essence, the leader consults with subordinates on
proposed actions and decisions and encourages participation from them.
He also welcomes ideas and criticism from the group he is leading.
Ile, (1999; 214) opines that in democratic leadership style, t he leader
suggests possible actions with his recommendation but awaits the
reactions of the group before putting them into effect. In some situations
participative or supportive leadership is merely a manipulate approach
because behind the open discussion, the manger pulls the string. Such a
leader discusses a problem with subordinates, get their ideas and
suggestions to problem solutions with the pros and cons of each possibility,
and then after a full discussion, he himself decides what action to take. This
is what goes on in what is called joint consultative industry. But where it is
honestly experimented it is broadly a mental and emotional involvement of
the followers to make contribution to goals and to assume their share of the
responsibility for achieving the goals. It is based on the assumption that
people want to participate, from which they feel that they are somebody or
have contribute to the ultimate decision made. The superior allows them an
opportunity to use their own initiate and make contributions. He also
supports them in accomplishing their tasks. This system applies especially
in situations where the leader and the subordinate group are knowledge
workers.
According to Akpala, (1990: 132 - 133), participate management,
does not mean that the subordinates decide what is done or what is not
because the ultimate responsibility for the decision still rests with the
leader. It is the decision making process that is shared among the group
members. T his is the leadership p approach which comes into what is
called management by objectives.
According to Okenwa and Ugbo (2001: 109), there are a lot of
advantages accrues to democratic leadership style. In the first instance,
subordinates who participated in setting goals and making decisions
understand freely. Subordinates are also allowed to use some initiatives
and exercise their potential. In that case, better decisions can be reached.
In effect, this approach to leadership is honestly applied can claim the
benefits of management by objectives.
In his view, Akpala (1990) citing Webber (1975: 175) has outlined
some of the benefits of participative leadership. The follower who has
participated in determining what is to be done will probably understand the
decision and agree that a certain course of action is necessary and proper.
He thus exercises some power and has the opportunity to express himself
and exercise his abilities. He motivates people to contribute, and
encourages them to accept responsibility. On the other hand, participative
leadership will afford the leader to recognize the follower’s power and
expertise which he can solicit and combine with his own to reach a joint
and perhaps better decision. Webber concludes that must practicing
mangers are not enthusiastic about participative leadership because they
fear loosing power and also because it is difficult to apply. It is time
consuming. Other disadvantages include slower decisions, diluted
accountability for decisions and possible compromises that are designed to
please every one but are not the best solutions.
LAISSEZ – FAIRE LEADERSHIP STYLE: According to Koontz and
Weihrich (1988:440), this type of leaders a high degree of independence,
or free rein, in their operations. Such leaders depend largely on
subordinates to set their own goals and the means of achieving them and
they see their role as one of aiding the operations of followers by furnishing
them information and acting primarily as a contact with the group’s external
environment. In his view, Ile (1999:216), the laissez-faire style of leadership
is at the other end of the continuum from the autocratic style. With this
style, the leader attempt to pass the responsibility for decision making to
the group. The leader gives little or no direction and allows group members
a great deal of freedom. Also the group is loosely structures. The leader
functions largely as a group member providing only as much advice and
direction as is requested.
According to Hicks and Gullet, (1987:483) an advantage of Lassiesfaire leadership is the opportunity for individual development offered to
group members. All persons are given the chance to express themselves
and to function relatively independently. They went further to state that a
disadvantage that may result is lack of group cohesion and unity towards
organization objectives. Without a leader, the group may have little
direction and a lack of chaos. Okenwa and Ugbo, (2001:109) quoting
(Akpala, 1990) state that the decision process with laissez –faire leadership
style is show and there can be a great deal of “buck passing”. Other
disadvantages of this leadership style are lack of team-work, low moral and
productivity.
PATERNALISTIC LEADERSHIP STYLE: Paternalistic leadership stresses
a paternal or fatherly influence in the relationship between the leader and
the group and is manifested in a watchful care for the comfort and welfare
of the followers. It aims to protect and guide. In some instances, the
approach is too sentimental. This type of leadership style has been
criticized. Some critics say that although the intentions are usually good, it
results in group members not being able to develop self-reliance and
independence. It is also asserted that for the most part, paternalism yield
successful performance, but not on continuous future basis because that
success usually depends upon the continuation of the paternalistic leader’s
services. The critics conclude that this type of leadership is deficient in
providing the necessary element of continuity in performance. (Akpala,
1990:131 - 132)
2.7
DETERMINANTS OF EFFECTIVE LEADERSHIP STYLE
According to Ile, (1999:231), researchers using the trait and
behavioural approaches showed that effective leadership depends on
many variables, such as organizational culture and the natured of asks. No
one trait was common to all effective leaders; no one style was effective in
all situations. Therefore, researchers began trying to identified those factors
in each situation that affected the effectiveness of a particular leadership
style. The contingency approach to leadership is the view that the
leadership style that best contribute to the attainment of organizational
goals might vary in different types of situations or circumstances.
Ejiofor (1985:12) citing fielder (1967); Shetty (1978) and McGregor
(1960) argued that the style of leadership is a function of seven main
variables, namely:
The personality of the leader
The personality of his subordinates, peers and superiors
The leader’s authority in the organization
The relationship between the leader and his subordinates
The nature of the organization
The structured facing the team
The organization’s external environment
Stoner and Freedman (1992:480 - 481) asserted that the various
theories that constitute the contingency approach to leadership focus in the
following factors to be major determinants of leadership style:
The leader’s personality, past experiences and expectations
The superiors’ expectations and behaviour
Task requirements
Peer’s expectations and behaviour
Subordinates’ characteristics, expectations and behaviour
The organizations’ culture and politics
Ile, (1999:232) argues that the determinates of the leadership style
are as follows:
The leader’s personality, experiences and expectations
The superior’s expectations and behaviour
Peers’ expectations and behaviour
Subordinates’ characters, expectations and behaviour
The leader’s position power/authority
The relationship between the leader and his followers
The nature and size of the organization
The organization’s culture and policies
The organization’s structure
The organization’s environment
Time element
The nature of the goal the members are striving to achieve
LEADER’S PERSONALITY, PAST EXPERINCES AND EXPECTATIONS
For example, a manager who has been successful exercising little
supervision may be move prone to adopt an employee-oriented style of
leadership. Evidence has also demonstrated that situations often work out
the way we expect them to – a phenomenon referred to as the self-fulfilling
prophecy. One study, for instance, found that new leaders who were told
their subordinates were low performers managed in a more authoritarian
way than did new leaders who were told their subordinates were high
performers (Ile, 1999:233).
The Superiors’ Expectations and Behaviour: Because they have the
power to dispense such organizational rewards as bonuses and
promotions, superiors clearly affect the behaviour of lower-level managers.
In addition, lower leveled managers tend to model themselves after their
superiors. One study found that supervisors who learned new behaviour in
a human relations training programme tended to yield those behaviours
quickly if they were not consistent with their immediate superior’s
leadership style. (Stoner and Freedman, 1992:480)
Peers’ Expectations and behaviour: In the view of Ile, (1999:234), the
opinions and attitudes of a manager’s peers often affect how effectively
influences that of their associates, for example, a hostile colleague may
harm a manger by competing for resources and behaving uncooperatively.
Whatever their own inclinations, managers tend to some extent to imitate
the management style of their peers.
Subordinates’ Characteristics, Expectations and behaviour: The
skills, training and attitudes of subordinates also influence the manager’s
choice of style. Highly capable employees want an authoritarian leader;
others prefer taking total responsibility for their own work (Stoner and
Freedman, 1992:480 - 481)
The leader’s Position Power/ Authority: Do the Leaders’ posses an
appropriate degree of authority? What is the leader’s hierarchical position
in the organization structure? This is in turn influences the style of
leadership. A manager cannot perform unless his responsibility is backed
up with commensurate authority (Ile, 1999:234)
The Relationship Between the Leader and the Followers:
The
appropriate style of leadership to us depends to a great extent on the
relationship between the leader and his followers. The followers may be the
leader’s peers or subordinates. Is the leader accepted by the followers?
Thus, the nature of the relationship will invariably determine the style of
leadership.
The Nature and Size of the Organizations: A style that is suitable for
a religious organization may not be suitable for the army or the university or
the civil service, a club or a private sector organization. As the size of an
organization varies from small, medium to large organization, the style of
leadership is likely to vary (Ile, 1999: 234 - 235)
The Organization’s Culture and Policies: The organizational culture
refers to the important understandings members share such as norms,
values, attitudes and beliefs. Policy is the guideline to managerial actions. It
is the standing line for all managerial relationships with employees. Thus,
the culture and policies of an organization, determines the leadership style.
The Organization’s Structure: According to Okenwa and Ugbo (2001:
108), organizational structure refers to the way in which an organization’s
activities are divided, organized and coordinated. Is the organization
structured this will determine the style of leadership.
Organization’s Environment: According to Koontz et al, (1980:89 90), there are various ways of explaining the relationship between the
organization and its environment. First, the enterprise can be viewed as
importing various kinds of inputs, such as human, capital, managerial and
technical. These inputs a re transformed to produce outputs such as goods
and services. A second approach in the study of the relationship between
the enterprise and society of the relationships between the enterprise and
society is to focus on the demands and legitimate rights of different
claimants, such as employees, consumers, suppliers, stock holders,
government and the community. A third approach is to view the enterprise
as operating in an external environment of opportunities and constraints,
which can be classified into economic, technological, social-cultural,
political and ethical. All these influence the style of leadership.
Time Element: Is the organization facing emergency? Is there
sufficient time for planning and adjustment? This would influence the style
of leadership.
The Nature of the Goal the Member are Striving to Achieve: Is the
goal facing the members clearly spelt out and formalized? Are the goals of
the individual and that of the organization perceived to be the same? The
nature of the goals determines the style of leadership (Ile, 1999:236)
2.8
THEORIES OF LEADERSHIP
The key issues in which researchers have shown great interest over
the past few decades center on the dynamics of effective leadership and
the identification of those variables that make an effective leader. While are
indeed useful for the manager, they have no means resolved the issues
completely.
Trait Theory: According to Igboeli, (1990:153), the earliest theory of
leadership effectiveness has as its basic concept the idea that leadership
effectiveness is determined mainly by personal traits or characteristics of
the leader. Closely related to this the “Great man” theory based on the
proposition that certain people were born to be leaders, having inherited a
set of unique traits and characteristics that could not be acquired in any
other way. This view was then thought to be persuasive because frequently
within the same prominent families.
A similar, thought not identical theory is called the “Zeitgeist” theory –
Zeitgeist being a German word meaning “spirit of the times”. This is a
situational approach to leadership theory. It says that a leader is the
product of the time or situations, and those leaders will emerge who have
the traits or characteristics needed to meet the demand of thee times. This
approach is also compelling enough and is reflected in the times that gave
rise to a Hitler in German in the 1930s, the earlier rise to power of Mussolini
in Italy and more recently the emergence of Ronald Reagan in the United
States in the 1980s. These leaders were known to have certain traits that
characterized effective leaders such as being intelligent, better adjusted,
more dominant and showing more initiative and greater interpersonal
sensitivity (Igboeli, 1990:153)
Davis (1972:102+104), gave four characteristic necessary for
effective leadership as follows:
Intelligence: Leaders tends to have some what higher intelligence
than their followers
Social Maturity and Breadth: Leaders have a tendency to be
emotionally mature and to have abroad range of interests.
Inner Motivation and Achievement Drives: Leaders want to
accomplish things; when they achieve one goal, they seek out
another. They are primarily dependent on outside forces for their
motivation.
Human Relation’s Attitude: Leaders are able to work effectively
with others
Ejiofor (1985:13 - 14) gave the following qualities for a leader
Energy: The leader should have both physical and mental energy to
enable him performs a wide field of activities.
Emotional Stability: He should be relatively free from bias, be
consistent in his actions and refrain from the use anger.
Knowledge of Human Relations: Must know how certain individuals
feel towards certain activities and other individual since he deals with
people.
Empathy: Ability to look at things objectively and understand them
form another’s view point
Objectively: Does not permit himself to get emotionally involved to the
extent that he finds it difficult to make an objective diagnosis.
Personal Motivation: The desire to lead must come from within the
individual making him to show persistence willingness work long
hours, intense application to self and enthusiasm.
Teaching Ability: Demonstrating how to accomplish a task, correcting
mistakes and preparing followers for advancement.
Communicative Ability: Ability to talk and with clear and forcefully for
persuasive, informative and simulative processes.
Social Skill: Has ability to work with people, is helpful, wants to
succeed, is friendly and applicable and appreciate the others view
point.
Technical competence: The ability to plan, organize, delegate,
analyze, seek advice , make decisions, control and win cooperation,
should have knowledge of all immediate operations under him and an
effective working knowledge and weight of must of the operations
under his guidance.
Glueck, (1980:462) enumerated the following five qualities; Physical
size (relatively tall), intelligence (more rather than less, but not too much
more than the work group), self esteem – self confidence, extroversion and
ambition – a high need for achievement and power.
Ukeje, (1996:6-7) concluded that three traits were considered most
essential for leadership and they include:
a.
Intelligence: Not as an absolute quality but intelligence relative to the
intelligence of the followers
b.
Self-confidence: Self confidence or ability to appear self confident is a
second most important factor generally associated with effective
leadership.
c.
Initiative: The third most important trait associated with effective
leadership is initiative. This is because one who cannot initiative new
process, new structures, new ideas and actions cannot be an
effective leader.
Behaviour Theory: According to Umoh, (2002; 58) this theory says that
what makes a leader effective is simply what he does. For example, how
he communicates, plans directs, motivates, delegates etc. this observation
simply negates the theory that leaders are born. The obvious truth is that
they can be trained to do the right things independently of their personality
traits.
According to Stoner and Freedman, (1992:474-475), when it became
evident that effective leaders did not seem to have any distinguishing traits
researchers tried to isolate the behaviours characteristics of effective
leaders. In other words, rather than try to figure out what effective leaders
were researchers tried to determine what effective leaders did-how they
delegated tasks, how they communicated with and tried to motivate their
subordinates, how they carried out their tasks and sp on. Unlike traits
behaviours can be learned, so it followed that individuals trained in
appropriate leadership behaviours would be able to lead more effectively.
In their views, Okenwa and Ugbo, (2001:107), the behavioural
approach to leadership is characterized b y the sharing of information,
power and influence between supervisors and subordinates. The approach
contends that leaders may be classified by personal qualities or behavioral
patterns/style. In all cases, the behavioural approach focuses upon what
the leader does in carrying out the managerial task.
A study by Rensis Likert and his associates at the University of
Michigan’s Institute for Social Research, it was found that mangers who
achieved the highest productivity, low costs, least turnover and absence
rates, and highest levels of employee motivation and satisfaction appeared
to rank high both on consideration and initiating structure. Likert called his
most effective supervisor employee – centered and his less effective
supervisor Job-Centered (Igboeli, 1990:154)
THE MANAGERIAL GRID
High 1, 9
9
9, 9 Team
Country Club
Management
Concern for people
8
7
6
5, 5 Organization
5
Man Management
4
3
2
1
Low
1, 1
Improvised
Management
9, I Authority
Obedience
Source: Igboeli (1990:154)
According to Igboeli (1990:154), in the early 1960s, Blake and
Mouton developed a method of depicting leadership styles on a twodimension; a leader is characterized by his concern for people, and on the
other dimension, his concern for production. They identified five basic
management styles on the grid. They are authority – obedience (9,1
position) at the lower right-hand corner which defines an arrangement of
work that permits minimum interference from the other people.
The opposite view, called country club management (1,9 position)
emphasize maximum attention to workers in order to build a favourable
climate for performance. The 9,9 system or team management combines a
high degree of concern for people and for production. The other two styles
are 1,1 or impoverished management and 5,5 or organization man
management. The management grid enables a manager to evaluate hi
leadership style and to strive consciously to move towards the 9,9 team
management style of leadership.
CONTINGENCY THEORY OF LEADERSHIP
According to Umoh, (2002:59) contingency or situation theory of
leadership stresses the likelihood of one being regarded as a leader of the
group because of his ability to control an emergent situational approval to
leadership is based on the notion that neither the leader nor follower traits
are the main determinants of who will succeed as a leader; rather the
situation or the environment is the relevant variable. Thus, a leader in one
situation may not be a leader in another. This approach is valuable
because each organization is unique despite some structural similarities. It
focuses attention not on the personality of the leader as such, but on the
personality or culture of the organization as a whole. By this theory, an
effective leader is one who understands the forces of the situation and
effectively uses them. It is therefore, quite possible for almost anyone to
become a leader if circumstances allow him to perform functions requires
by the situations.
PATH-GOAL THEORY
This stresses that leaders are effective because of their impact on
subordinates’ motivation, ability to perform effectively, and satisfactorily. It
is so called because its major concern is how the leader influences the
subordinates’ perceptions of their work goals, personal goals and paths to
goals attainment. The theory suggests that a leader’s behaviour is
motivating or satisfying to the degree that the behaviour increases
subordinates goals attainment and clarifies the paths to these goals. This is
also known as the “great man theory”. (House and Mitchell, 1971:12)
THE FOLLOWER THEORY
This approach does not emphasize the qualities of the leader as the
traitists do, but rather those of the followers, such as their personal needs,
whether presents or remote. It stresses that an effective leader is one who
nearly always satisfy the personal needs of his followers. He perceives and
reacts to the followers’ persistent motivations, points of view, frames of
reference or attitudes (Umoh, 2002:60)
2.9
UNITED BANK FOR AFRICA (UBA) PLC IN ENUGU METROPOLIS
United banks in Nigeria that has branches scattered all over the
states in Nigeria and even outside Nigeria like Ghana and other African
countries.
UBA PLC has about ten (10) branches located at various strategic
places in Enugu Metropolis. The branches are; Gariki branch, Agbani road
branch, Independence Layout branch, Ebeano branch, Marbel House
branch, Trans-Ekulu branch, Keyetta branch and University of Nigeria
Enugu campus (UNN) branch. The bank has about three hundred and thirty
nine staff (339) capacity in Enugu metropolis. This staffs are categorized
into one hundred and thirty nine (139) core staff and two hundred and two
(202) front-line staff. Infact UBA is one of the commercial banks that has
the highest number of staff in Enugu metropolis.
REFERENCES
Akpala, Agwu (1990) Management: An Introduction and the Nigerian
Perspective, Enugu: Department of Management, Faculty of
Business Administration, University of Nigeria Enugu Campus
Allan, G. Tilley and Robert .J. House (1969), Management Process and
Organizational Behavior, Illinois Scott, Foresman and Co
Appley, C. Robert (1981), Modern Business Administration. Third Edition,
Toronto: Pitman Publishing Ltd.
Davis, Keith, (1972), Human behaviour at work, 4th Ed. New York: Mc
Graw-Hill Icn.
Ejiofor, Pita N.O (1985), Management styles in A series No. 1 Organized by
the former Imo state of Nigeria in Owerri, June.
Gallagher, Kevin, Ed Rosde, Bob Mc Clelland, John Reynolds and Steve
Tombs (1977), people in organization, An Active Learning
approaches, Oxford: Black well
Hicks, Herbert G. And C. Ray Gullett (1987), Management Singapore; Mc
Graw – Hill Co.
House, R.J and Mitchell, T.R, “A path-Goal Theory of Leader
Effectiveness’. Administrative Science Quarterly 110, No.3,
(September, 1971)
Ile, Norbert M, (1999), Management and organizational Theory And
Practice: Enugu, Vougasen Ltd.
Igboeli, Geofrey .N. (1990), Management A Functional Approach 1st
Edition: Aba Model Academic Publishers Ltd.
Koontz, Harold and Cyril O’Donnell (1972), Principles of Management: An
Analysis of Management Functions, 5th Ed. New York Mc Graw – Hill
Book. Co
Koontz, Harold and Weihrich, Heinz (1988), Management Ninth Edition
New York: Mc Graw – Hill. Icn
Nwachukwu, C.C. (1988), Management: Theory and Practice. Onitsha:
Afrcana Fep Publisher Limited
Okenwa, C.P and Ugbo, I.F (2001), Management Theory and Practice:
Oko, Polytechnic Press Ltd.
Stoner, James A.F. and R. Edward Freeman (1992), Management Fifth
Edition, New Delhi: Prentice Hall India Limited
Ukeje, B.O (1996) “Leadership: The Bane of Nigerian Development”
Journal of the Management Science, UNIZIK, Awka Vol. 1 No. 1
Umoh, S.M (2002), Human Behaviour in Organizations and Administrative
Theory and Practice Volume 2 Enugu, Martins Concept Publishers.
CHAPTER THREE
RESEARCH METHODOLOGY
1.3
INTRODUCTION
This chapter of the study deals categorically on the method and
procedure of data analysis other wise known as methodology. In the cause
of discussing the methodology, the following are discussed, method or
research design, sources of data, population, sample size, questionnaire
design, respondents and reliability.
3.2
RESEARCH DESIGN
The research design adopted for this study is survey design. This is
as a result of the nature of this study which is educational and behavioral
science is nature. The key or important elements of this research design
are the population of the study, sample and sampling techniques, method
of data collection and techniques for data analysis. In carrying out the
analysis, recognitions were given to both the dependent and independent
variables. The dependent variables of this study are, leadership style, and
productivity or performance. While the independent variables inclined,
organization’s external environment, personality and leadership style.
Based on the theoretical frame work, the independent variables are related
to the dependent variables. To ascertain this, we adopted chi-square(x2) as
an analytical tool to test the hypothesis.
X2
=
[(OF – EF)2
EF
Where;
X2
is
chi-square
E
is
summation sign
OF
is
observed frequency
EF
is
expected frequency
From the analysis using chi-square, decisions were taken and conclusions
and recommendations drawn.
3.3
SOURCES OF DATA
Data for this study were collected only from the primary source. This
is as a result of the nature of this is study which is basically survey type of
research. The primary means adopted for the collection of data is through
structured
questionnaires.
The
questionnaires
were
designed
and
distributed to the respondents. The information gathered from the returned
questionnaires formed the data for this study.
3.4
POPULATION OF THE STUDY
The population of this study is three hundred and thirty nine (339).
The population is made up of all categories of staff of United Bank for
Africa (UBA) in Enugu metropolis. The staff is categorized into two; the
core staff and the front line staff. The core staff are the permanent staff of
the bank and they are one hundred and thirty seven (137) in number while
the front line staff are the contract staff of the bank and they are hundred
and two in number. The core staff (137) added to the front line staff (202)
gives us the total population of three hundred and thirty nine (339).
3.5
SAMPLE SIZE DETERMINATION
The entire population of this study were not studied as a result of the
large number of the population and as a result of other factors such as lack
of fund and time. However, a sample size which effectively represented the
entire population were selected. The sample size was determined using
Yaro-Yamane formula of sample determination.
The sample size of this study is two hundred and thirty six (236). The
sample size is categorized into two; the sample size of the core staff size of
the front line staff which is one hundred and thirty four (134). The
summation of the sample size of the core staff and that of the front line staff
gave rise to the total sample size of two hundred and thirty six (236).
The sample size was determine as follows. Yaro Yamane formula =
n
=
N
1 + N (e)2
Where;
n
N
e
I
equal to the sample size
equal to the population
equal to 5% torrable error
is constant.
SAMPLE SIZE FOR CORE STAFF (note that the population is 137)
n
=
137
1 + 137 (0.05)2
n
=
137
1 + 137 (0.05)2
n
=
137
1 + 137 (0.0025)
n
=
137
1 + 0.3425
n
=
137
1.3425
n
=
102
Sample size for front line staff (note that the population is 202).
n
=
202
1 + 202(0.05)2
n
=
202
1 + 202 (0.0025)
n
=
202
1 + 0.505
n
=
202
1.505
n
=
134
Total sample size
3.6
=
102 +
=
236
134
QUESTIONNAIRE DESIGN/RESPONDENTS
QUESTIONNAIRE: Structured questionnaires were designed for the study.
The questionnaires were structured to enable the respondents to straight to
providing unambiguous answers to the questions. Two hundred and thirty
six questionnaires were designed and distributed to the respondents. From
the two hundred and thirty six (236) questionnaires distributed, two hundred
and thirty were filled and returned while only six were not returned.
Analyses were based on the returned questionnaires (230). The
respondents were further categorized into 40 management staffs and 190
non management staff.
RESPONDENTS: This study has two hundred and thirty six for Africa
(UBA) in Enugu metropolis as its respondents. The respondents could be
said to be relatively friendly because about 97% (ninety seven percent) of
the distributed questionnaires were filled and returned. The 3% of the
unreturned questionnaire was as a result of absent of the respondents in
the office at the time of collection of the filled questionnaires. Analysis were
based
on
the
returned
questionnaires
while
conclusion
and
recommendations were made based on the analysis.
3.7
RELIABILITY
Reliability refers to the degree of consistency with which an
instrument measures whatever it is supposed to be measuring. The
“degree of consistency” is used because in repeated measurements with a
measuring instrument operated by human beings, there is bound to be
slight variations. A certain level of such slight variation can be accepted as
a tolerable errors in man made and operated instruments. However, this is
acceptable up to a limit. Beyond that level, the test will be regarded as not
being reliable.
Reliability list arises due to measurement error. This measurement
error is usually associated with survey research like this study. Error arises
from survey research due to biases of the respondents and improper
design of the survey instrument such as questionnaire. To ensure a degree
of tolerable errors in this study, we adopted the method of estimating
reliability co-efficient known as Test-retest method.
The reliability co-efficient is the statistics or an index that tells us the
degree of consistency between two sets of score obtained from the same
groups with one test.
TEST-RETEST: In applying this method to obtain our reliability, we
administered the same questions twice to the respondents to obtain the
variations in their responses. From the test-retest method, we observed
that the variations are negligible with about 0.05% acceptable error.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
4.1
INTRODUCTION
In this chapter, data will be presented in tables and analysed using
percentages and chi-square. The analysis based on the chi-square will be
used to test the hypothesis from which decisions, conclusions and
recommendations will made.
4.2
DATA PRESENTATION AND ANALYSIS
Table 4.1
The impact of organization’s external environment on leadership style
determinant
Responses
Management
Non management
Total
staff
staff
Yes
26
75
101
No
10
80
90
Indifference
4
35
39
Total
40
190
230
Source: Field Survey 2010
From the table, we observed that 26 of the 40 management staff that
responded agreed that organization’s external environment is one of the
determinants of effective leadership style while 10 ten did not agree as well
as 4 being indifference. The table also indicated that 75 of the non
management staff are of the opinion that extern al environment of an
organization determines the leadership style to be adopted by the
organization while 80 of them had a negative view and 35 of them were
indifference.
PERENTAGE ANALYSIS
Table 4.1.1
Responses
Management
Non management
Total
staff
staff
Yes
65%
39.5%
43.9%
No
25%
42.1%
39.1%
Indifference
10%
18.4%
17%
Total
100%
100%
100%
Source: Field Survey 2010
The table indicates that 65% of the management staff and 39.5% of
the non management staff agreed that organization’s external environment
influences the leadership style to be adopted by a manager. This give a
total of 43.9% of the respondents that answered yes. On the other hand,
25% and 18.4% of the management staff and non-management staff
answered ‘No’ respectively. This give rise to 39.1% of total respondents
that answered ‘No’. The table finally indicated that 10% and 18.4% of the
management
staff
and
non-management
staff
respectively
were
indifference which gives a total of respondents that were indifference to
17%.
TEST OF HYPOTHESIS ONE (Using Chi-Square)
Null organization’s external environment has no impact on leadership style
determinant.
Let chi-square be x2
∴ x2 =
∑ (OF – EF)2
EF
Where ∑ – Is summation sign
OF – Is observed frequency
EF – Is Expected frequency
Note: That the observed frequency is the responses of respondents as
indicated in payoff matrix table 4.1.
The expected frequency (EF) is calculated thus:
EF
=
TR x TC
GT
Where; TR – Is the total of each Row in the payoff matrix table 4.1.
TC – Is the total of each column in the payoff matrix table 4.1.
GT – Is the grand total of the table
Therefore: EF for the management staff that answered yes
101 x 40
230
= 17.6
EF for the non-management staff that answered yes
101 x 190
230
= 83.4
EF for the management staff that answered ‘No’
90 x 40
230
= 15.7
EF for the non-management staff that answered ‘No’
90 x 190
230
= 74.3
EF for the management staff that were indifference
39 x 40
230
= 6.8
EF for the non-management staff that were indifference
39 x 190
230
= 32.2
Table 4.1.2 Contingency table
Responses
Frequency
Mgt staff
Non mgt
Total
staff
Yes
No
Indifference
x2
=
Observed frequency
26
75
Expected frequency
(17.6)
(83.4)
Observed frequency
10
80
Expected frequency
(15.7)
(74.3)
Observed frequency
4
35
Expected frequency
(6.8)
(32.2)
∑ (OF – EF)2
EF
101
90
39
x2
x2
=
(26 – 17.6)2
17.6
+
(75 – 83.4)2
83.4
+
(10 – 15.7)2
15.7
+
(80 – 74.3)2
74.3
+
(4 – 6.8)2
6.8
+
(35 – 32.2)2
32.2
= 4 + 0.85 + 2.07 + 0.44 + 1.15 + 0.24
= 8.75]
x2 calculated = 8.75
DEGREE OF FREEDOM
Let Degree of Freedom be DF
GF
= (r – 1)
(r – 1)
r
= Number of rows in the payoff matrix table 4.1
c
= Number of columns in the payoff matrix table 4.1
Where
From the table, r
=2
c
=3
DF
= (2 – 1) (3 – 1)
DF
=1x2
DF
=2
Level of significance (5%)
This implies that if this study is replicated 100 times that only 5 out of the
100 will be wrong.
The table value at degree of freedom 2 and 0.05 level of significance is
5.99.
i.e. (x2 = 5.99) (2, 0.05)
DECISION RULE
Since the calculated chi-square (x2) (8.75) is greater than x2 table value
(5.99) i.e. (8.75 > 5.99), we reject the null hypothesis that organization’s
external environment has no impact on leadership style determinant. In
order words, the alternate hypothesis that organization’s external
environment is a determinant of leadership style.
Table 4.2
Impact of the personality of a leader and personality of subordinate on the
leadership style.
Responses
Management
Non management
Total
staff
staff
Strongly agreed
27
75
102
Agreed
11
79
90
Strongly disagreed
0
4
4
Disagreed
2
32
34
Total
40
190
230
Source: Field Survey 2010
From the table, we observed that at of forty (40) management staff of
UBA in Enugu that responded to the questionnaire, 27 strongly agreed that
personality of a leader and personality of subordinates are some
determinants of leadership style. Seventy five (75) of the one hundred and
ninety (190) of the non-management staff hold the same view. We also see
from the table that eleven (11) of the management staff and seventy nine of
non management and seventy nine (79) of non-management staff agreed
(but not strongly agreed) that personality of leader and personality of
subordinates has an influence on leadership style. The data presented also
indicated that while non of the management staff strongly disagreed, four
(4) of the non management staff strongly disagreed. The table finally
indicated that about two (2) management staff and thirty two (32) of the
non-management staff disagreed (not strongly disagreed) that personalities
of leaders and subordinates have an impact on leadership style.
Table 4.2.1
Responses
Management
Non management
staff
staff
Strongly agreed
67.5%
39.5%
44.3%
Agreed
27.5%
41.6%
39.1%
Strongly disagreed
0%
2.1%
1.7%
Disagreed
5%
16.8
14.9%
Total
100%
100%
100%
Source: Field Survey 2010
Total
The
above
table
shows
the
percentage
responses
of
the
respondents. From the table, we observed that 67.5% and 39.5% of the
management staff and non management staff respectively strongly agreed
that personality of the leaders and subordinates is a good determinant of
leadership style. This therefore brought the total percentage number of the
respondents that hold the same view to 44.3%. We equally observed that
27.5% and 41.6% of the management staff and non management staff
respectively agreed (not strongly agreed), that personality of leaders and
subordinate influences the leadership style. This lead to the 39.1% of the
total respondents that answered agreed. It is also observed disagreed,
2.1% of the non management staff strongly disagreed. We therefore have
about 1.7% of the total respondents that strongly agreed. Finally, 5% and
16.8% of the management staff and non management staff respectively
disagreed (not strongly disagreed). This brought the total percentage
number of the respondents that disagreed to 14.9%.
TEST OF HYPOTHESIS TWO
Null: Personality of a leader and the personality of subordinates have no
influence on the leadership style.
x2
=
∑ (OF – EF)2
EF
Note that the observed frequency (OF) are the responses of the
respondents as indicated in the payoff matrix 4.2.
EF for management staff that answer strongly agreed
102 x 40
230
=
17.7
EF for non-management staff non-management staff that answered
strongly agreed
102 x 190
230
=
84.3
EF for management staff that answered agreed
90 x 40
230
=
15.7
EF for non-management staff that answered agreed
90 x 190
230
=
74.3
EF for management staff that answered strongly disagreed
4 x 40
230
=
0.7
EF for non-management staff that answered strongly disagreed
4 x 190
230
=
3.3
EF for management staff that answered disagreed
34 x 40
230
=
5.9
EF for non-management staff that answered disagreed
34 x 190
230
=
28
Table 4.2.2
Contingency
Responses
Frequency
Mgt staff
Non mgt
Total
staff
Strongly Agreed Observed frequency
27
75
Expected frequency
(17.7)
(84.3)
Observed frequency
11
79
Expected frequency
(15.7)
(74.3)
Strongly
Observed frequency
0
4
Disagreed
Expected frequency
(0.7)
(3.3)
Disagreed
Observed frequency
2
32
Expected frequency
(5.9)
28
40
190
Agreed
Total
x2
=
∑ (OF – EF)2
EF
x2
=
(27 – 17.7)2
17.7
+
(75 – 84.3)2
84.3
+
+
(79 – 74.3)2
74.3
+
(0 – 0.7)2
0.7
(4 – 3.3)2
3.3
+
(2 – 5.9)2
5.9
(3.2 – 28)2
28
x2
+
+
= 4.9 + 1.0 + 1.4 + 0.3 + 0.7 + 0.1 + 2.6 + 0.6 = 11.6
x2 calculated = 11.6
DEGREE OF FREEDOM
DF
= (r – 1) (c – 1)
r
=2
102
90
4
34
230
(11 – 15.7)2
15.7
c
=4
DF
= (2 – 1) (4 – 1)
=1x3
=
3
Level of significance = 5%
The table value of chi-square at degree of freedom 3 and 0.05 level of
significance is 7.82
i.e.
(x2 = 7.82) (3, 0.05)
DECISION RULE: Since he calculated chi-square (x2) (11.6) is greater than
x2 table value (7.82) (i.e. 11.6 > 7.82), we reject the null hypothesis Ho,
which states that personality of a leader and the personality of subordinates
have no influence on the leadership style. In other words, we accept the
alternate hypothesis and say that, personality of a leader and the
personality of subordinates have influence on the leadership style.
Table 4.3
The relationship between leadership style and subordinates performance.
Responses
Management Non management
Total
staff
staff
Yes
25
78
103
No
9
90
99
Indifference
6
22
28
Total
40
190
230
Source: Field Survey 2010
From data in the table above, we observed that twenty five (25) of the
management staff and seventy eight (78) of the non management staff
agreed that there is a relationship between leadership style and
subordinates performance. The table also indicated that nine of the
management staff and ninety (90) of the non-management staff are of a
negative view that there is a relationship between leadership style and
subordinate performance. The data from the table finally show that six (6)
of the management staff and twenty two (22) of the non management staff
were indifference about whether there is a relationship between leadership
style and subordinate performances.
Table 4.3.1
Responses
Percentage Analysis
Management
Non management
Total
staff
staff
Yes
67.5%
41.1%
44.8%
No
22.5%
47.4%
43%
Indifference
15%
11.5%
1.7%
Total
100%
100%
100%
Source: Field Survey 2010
The table shows the percentage analysis of the responses of the
respondents. We observed from the table that 67.5% of the management
staff and 41.1% of the non management staff were of the view that there is
a relationship between the performances of the subordinate and the type of
leadership style adopted. This gave rise to the total percentage of the
respondent that say, there is a relationship to 44.8%. The data in the table
also indicated that 22.5% of the management staff and 47.4% of the non
management staff argue that there is no relationship between the
subordinate performance and leadership style adopted. We therefore have
43% of the total respondents that hold negative view. The data in the table
finally indicated that 15% and 11.5% of the management staff and non
management staff respectively were indifference. In other words they
neither answered Yes nor No. We therefore have the total percentage of
the respondents that were indifference to be 12.2%
TEST OF HYPOTHESIS THREE
Null: There is no relationship between leadership style and subordinates
performances.
Chi-Square (x2) = ∑ (OF – EF)2
EF
The observed frequencies are the data displayed in the payoff matrix table
4.3.
The expected frequencies are as follows
EF for the management staff that answer ‘Yes’
103 x 40
230
= 17.9
EF for the non management staff that answered ‘Yes’
103 x 190
230
= 85
EF for the management staff that answer ‘No’
99 x 40
230
= 17.2
EF for the non management staff that answered ‘No’
99 x 190
230
= 81.8
EF for the management staff that were ‘Indifference’
28 x 40
230
= 4.9
EF for the non management staff that were ‘Indifference’
28 x 190
230
Table 4.3.2
= 23.1
Contingency table
Responses
Yes
No
Indifference
Frequency
Mgt staff
Observed frequency
Expected frequency
Observed frequency
Expected frequency
Observed frequency
Expected frequency
Total
Source: Field Survey 2010
x2
25
(17.9)
9
(17.2)
6
(4.9)
40
Non mgt
staff
78
(85)
90
(81.8)
4
(23.1)
190
=
(25 – 17.9)2
17.9
+
(78 – 85)2 +
85
(9 – 17.2)2
17.2
+
(90 – 81.8)2
81.8
+
(6 – 4.9)2
4.9
(22 – 23.1)2
23.1
+
Total
103
99
28
230
x2
=
2.8 + 0.6 + 3.9 + 0.8 + 0.2 + 0.1 = 8.4
x2 Calculated = 8.4
DEGREE OF FREEDOM
DF
= (r – 1) (c – 1)
Where r
=2
c
=3
∴DF = (2 – 1) (3 – 1)
=1x2
DF
=2
Level of significance = 5%
The chi-square (x2) table value at degree of freedom 2 and 0.05 level of
significance = 5.99
i.e. (x2 5.99) (2, 0.05)
DECISION RULE: Since the calculated chi-square x2 (8.4) is greater than
chi-square (x2) table value (5.99) i.e. (8.4 > 5.99), we reject the null
hypothesis that said that there is no relationship between leadership style
adopted and subordinates performances. In other words, we accept the
alternate hypothesis said that there is a relationship between subordinates
performances and leadership style adopted.
CHAPTER FIVE
SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS
5.1
DISCUSSION OF FINDINGS
This study is discussed along with the objectives of the study. Recall
that the general objective of this study is to identify the determinants of
effective leadership style on a group while the specific objectives are;
1.
To determine the impact of organizations external environment on
leadership style determinant.
2.
To determine the impact of the personality of a leader and the
personality of subordinates on the leadership style.
3.
To determine the relationship between leadership style and
subordinates performance.
4.
To make recommendations based on the analysis and findings.
IMPACT
OF
ORGANIZATION’S
EXTERNAL
EVIRONMENT
ON
LEADERSHIP STYLE DETERMINANT
From the data collected and analyzed, we discovered that no
organization can exist without the influence of both internal and external
environment. The internal environment are those individuals, groups,
materials and other resources which the organization can manipulate and
have control over such as capital, employees, raw materials etc. On the
other hand, the external environment are those individuals, group, agencies
etc which the organization has no control or influence over. Such as
competitors, government agencies, suppliers etc. From the analysis we
observed that one of the determinants of effective leadership style is the
organization’s external environment. For instance, the style of leadership
adopted by an organization’s key competitor can influence the organization
in order to match the competitor. From the data presented and analyzed,
we accepted the Alternate hypothesis which said that organization’s
external environment has an impact on leadership style.
This finding is in line with the argument of Ejiofor (1985:12) where he
argued that line of determinant of style of leadership is the organization’s
external environment.
THE IMPACT OF THE PERSONALITY OF A LEADER AND THE
PERSONALITY OF SUBORDINATES ON THE LEADERSHIP STYLE:
From the data collected and analyzed, we discovered that one of the
determinants to effective leadership style is the personality of a leader, his
past experiences and of course the personality of the subordinates. For
instance, a manager who has been successful exercising oriented style of
leadership. Evidence has demonstrated that situations often work out the
way we expect them to – a phenomenon referred to as the self-fulfilling
prophecy. According to the study by Ile, (1999:233), it was found out that
new leaders who were told their subordinates were low performers
managed in a more authoritarian way that did new leaders who were told
their were high performers. These findings of this study is in line with the
argument of stoner and Freedman, (1992:480) where they argued that the
factors to be the major determinants of leadership style are; The leader’s
personality, past experiences and expectations, the superior’s expectations
and behaviour, task requirements, peers’ expectations and behaviour,
subordinates’ characteristics, expectations and behaviour.
THE
RELATIONSHIP
BETWEEN
LEADERSHIP
STYLE
AND
SUBORDINATES PERFORMANCES.
From the data collection and analyzed, we discovered that there is
significant relationship between a leadership style adopted by the leader
and the performances of the subordinates. For instance, it is of a truth that
a leader who always adopt an autocratic style of leadership without
considering the classes of his subordinates will also have high employees
turnover which will have a direct impact on the individual and general
organization’s performances. On the other hand, a democratic leaders
motivates his subordinates to contribute, and encourages them to accept
responsibility. According to Akpala (1990:133), the follower who has
participated in determining what is to be done will probably understand the
decision and agree that a certain course of action is necessary and proper.
He thus exercise some power and has the opportunity to express himself
and exercise his abilities. The results of all these motivations by democratic
leader leads to high performances while the subordinates who are not
properly motivated as a result of style of leadership adopted will affect he
productivity of the organizations negatively. Therefore, there is a
relationship between leadership study and subordinates performances.
5.2
CONCLUSION
From the data collected and analyzed, we observed that effective
leadership depends on many variables, such as organizational culture and
the nature of tasks. We therefore conclude that on one trait common to all
effective leaders and on one style of leadership is effective in all situations.
In other words, the effectives of a particular leadership style, depends on
factors in each situation that affected the effectiveness of a particular
leadership style. We also conclude in line with the proponents of
contingency approach to leadership which viewed that the leadership style
that best contributes to the attainment of organizational goals might vary in
different types of situation or circumstances. We finally conclude that other
determinant of leadership style are; The superiors expectations and
behaviors,
peer’s
characteristics,
expectations
expectations
and
and
behaviour,
behaviour,
the
subordinates”
leader’s
position
power/authority, the relationship between the leader and his followers, the
nature and size of the organization, the organization’s structure, time
element and the nature of the goal the members are striving to achieve.
RECOMMENDATIONS
Based on the data collected, studied and analyzed, we recommend th
following.
1.
A leader should have both physical and mental energy to enable
him/her performs a wide field of activities.
2.
A leader should be relatively free from bias, be consistent in his
actions and refrain from the use of anger.
3.
An effective leader should know how certain individuals feel towards
certain activities and other individuals since he deals with people.
4.
A leader should have the ability to loot at things objectively and
understand them from another’s viewpoint.
5.
To be effective, a leader should not permit himself to get emotionally
involved to the extent that he finds it difficult to make an objective
diagnosis.
6.
To be an effective leader, the desire to lead must come from within
the individual making him or her to show persistence, willingness to
work long hours, intense application of self, and enthusiasm.
7.
A good leader should be demonstrating how to accomplish a task,
correcting mistakes and preparing followers for advancement.
8.
Finally, an effective leadership style should be dependent on the
situation facing the leader.
BIBLIOGRAPHY
Akpala, Agwu (1990) Management: An introduction and the Nigerian
Perspective, Enugu Department of Management, faculty of Business
Administration, University of Nigeria Enugu Campus.
Allan, G. Tilley and Robert J. House (1969), Management Process and
Organizational Behavior, Illinois Scott, Foresman and Co.
Appley, C. Robert (1981), Modern Business Administration. Third Edition,
Toronto: Pitman Publishing Ltd.
Dalis, Keith, (1972), Haman Behaviour at work, 4th Edition New York:
McGraw-Hill Inc.
Gallagher, Kalin, EdRoSde, Bob Mc Clelland, John Reynolds and Stare
Tombs (1977). People in Organization, An active learning
approaches, Oxford: Black well.
Hicks, Herbet G. and C. Ray Gyllett (1987), Management, Singapire:
McGraw-Hill Co.
House, R.J. and Mitchell, J.R. ‘A path-Goal Theory of leader effectives”,
Administrative science Quarterly Vo. N. 3, (September, 1971).
Ile, Norbert M. (1999). Management and Organizational Theory and
Practice. Enugu, Vongasen Ltd.
Igboeli, Geofrey N. (1990), Management, A Functional Approach. 1st
Edition: Aba Model Academic publishers. Aba, Model Academic
publishers Ltd.
Koontz, Harold and Cyril O’ Donnell (1972), Principles of Management: An
Analysis of Management Function, 5th Ed. New York McGraw-Hill,
hic.
Nwachukwu, C.C. (1988), Management Theory and Practice. Centsha.
Africana Fep Publishes Limited.
Okenwa, C. P. and Ugbo, I. F. (2001), Management Theory and Practice
Oko, Polytechnic Press Ltd.
Stoner, James A.F. and Freeman, Edward R. (1992) , Management. fifth
Edition, New Delli; Prentice Hall India Limited.
Ukeji, B.O (1996) “Leadership The Bance of Nigeria Development” Journal
of the management science UNIZIK, Awka Vol. 1 No. 1.
Umoh, S.M. (2002), Human Behavior In organization and Administrative
Theory and Practice volume 2: Enugu, Martins Concept Publishers.
APPENDIX
Department of Management
Faculty of Business Administration,
University of Nigeria Enugu Campus
Enugu.
16th March, 2010.
Dear Respondent,
I am a post graduate student of the above University who is
undergoing a Master Degree programme in Management (MBA). In the
course of the Programme, I am requested to carryout a research work on
the topic “The Determinants of effective leadership style in organization”
with a special emphasis in United Bank for Africa (UBA) in Enugu
metropolis”, hence this questionnaire.
I wish to let you know that the entire exercise s purely for academic
purpose. Your assistance is therefore highly needed by filling the
questionnaire below without bias mind. Please be assured that any
information you supply will be treated confidentially and would be used for
the purpose it is meant for.
Thanks.
Yours faithfully,
…………………
OGBODO J.
QUESTIONNAIRE DESIGN
INSTRUCTION
Please, indicate at the end of each question the answer(s) which
appropriately appeals to you by ticking [ √ ] against any of the options.
Questions:
PERSONAL DATA:
1.
What is your name?
2.
Sex:
Male
Female
3.
Marital Status:
Married
Single
4.
Age
5.
State of origin
6.
Nationality
7.
What is your position in UBA?
Management staff
Non management staff
8.
How long have you worked for UBA
More than one year
Less than one year
More than five years
Less than five years
9.
Have you worked for any other bank before UBA?
Yes
No
10.
If yes in question (9), how long did you work before leaving.
Less than two year
Above two years
11.
Why did you leave your former bank for UBA?
Because of poor leadership style of the management
Because of poor working conditions
Personal Reasons
12.
In your opinion, do you think organization’s external environment has
any influence in the leadership style to adopted by the leaders in
banking industry.
Yes
No
Indifference
13.
Do you think the style of leadership adopted by your boss has any
relationship on your performances?
Yes
No
Indifference
14.
Have lead a group before (either formal or informal)
Yes
No
15.
These styles of leadership, which one do you appreciate most
Autocratic style
Democratic style
Participative
16.
Do you agree that personality of a leader and personality of
subordinates a good determinant to effective leadership style?
Strongly Agreed
Agreed
Strongly disagreed
Disagreed
17.
If you are made the leader of any group, what are the things you will
consider before choosing a particular leadership style to enable you
become an effective leader.
18.
To what extent do you think that the general performance of UBA has
to do with the various leaders and their style of leadership in the
bank?