CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

Leadership is considered a major factor that has an indisputable influence on

employee performance in any kind of organization (Ogbonna and Harris, 2000 in

Obicci, 2015). But how employees perform under different kinds of leadership has

been a point of contention among researchers and scholar alike (Gadot, 2006). Studies

have shown that employee performance increases under an extraverted leadership

when employees are passive, and if employees are proactive result will be opposite

(Grant, Gino and Hofmann, 2011). Wang, Law, Hackett, Wang, and Chen, (2005)

state leadership has an immense influence on the performance of employees.

Better improvement of employee performance is a clarion call for organizations in the

midst of continual rising challenges due to scandals and unethical behaviours

(Abiodun, and Siddiq, 2013). According to Alam, Hoque and Oloruntegbe (2010),

leadership must guide decisions and actions for sustainable quality services from

organisations.

According to Walela and Okwemba (2015), leadership behaviour is key factor to

performance of any organization. It is a human factor that enables a leader to

influence the subordinates towards a given goal. Despite the increased emphasis on

strong leadership behaviour in teams, there is a lack of integration concerning the

relationship between leader behaviours and performance outcomes. Use of task-

focused behaviours is related to perceived team effectiveness and productivity.

Leadership behaviour is a human factor that builds a group together and motivates it

towards given goals or may discourage its success. It‘s difficult to see how an

1
organization can survive without effective leadership in place. A leader creates an

environment in which creativity and innovation thrive and in which employees feel

like they are heard (David 2008 in Obicci, 2015). It is as special form of power based

on the personal qualities of the leader to win the follower‘s compliance voluntarily in

a broad range of matters (Etzioni, 2001).

The business environment is changing completely as a result of major societal forces.

In the competitive world with technological changes within the business environment,

it is very vital that organizations employ leadership styles that enable organizations to

survive in a dynamic environment (Abdikarin, Hussein & Ali, 2013). Though many

factors may influence the performance of employee, there can be little doubt that the

quality of leadership available to it will be one of the most serious determinants of

ultimate success. Leadership behaviour plays a very significant role in enhancing

employee job satisfaction, work motivation and work performance (Abdikarin et al,

2013).

Good leadership behaviour accelerates the development of most organizations. Thus,

it plays a critical role in the performance of organizations. On the other hand,

employee performance is a necessary element of an organization and factors which

lay the basis for high performance must be analyzed by the organizations. No

organizations can progress without the quality of its human resources; it is the

collective effort of all the members of the organization that leads to organisational

effectiveness. Performance is a major multidimensional construct aimed to achieve

results and has a strong link to strategic goals of an organization (Mwita, 2000).

Employees are the most important assets in organizations, which without, the goals

and objectives may not be attained. Several studies have been conducted on the roles

that good leaders can play in achieving increased employee job performance. A good

2
 leadership needs to play a mediating role in the relationship between organizational

culture and employee outcomes as well as an atmosphere for good leadership to

flourish; which will ultimately lead to increased employees’ job performance (Toor

and Ofori, 2009).

Performance of the organization can be measured by its strategic direction and extent

of the organisation over the long-term sustainability. The leadership, therefore, can

substantiate successful performance of the organization through their strategic

planning and focus on resources within a challenging environment to meet the needs

of that organisation and subsequently, fulfill stakeholders’ expectations (Armstrong,

2009). Positions of leadership are established in work settings to help organizational

subunits to achieve the purposes for which they exist within the larger system.

Therefore, the aim of this study is to examine leadership behaviour and employee

performance in Guaranty Trust Bank Plc, Lagos.

1.2 Statement of the Problem

Most of organization‘s performance is usually seen as a function of organization‘s

leader behaviour. The fundamental subject and problem of this study is that,

employee often think that a manager or leader is expected to show a right behaviour

towards staff or subordinates. However, it is realised that in most organisations in

Nigeria, work schedule are task-focused and routine, with no flexibility, and yet

decisions and policies are imposed on subordinates. In such organisations where the

leadership perceives employees as simple hands to get job done, employees would

pretend to do well due to the standards and measure being assigned to them.

For employees to accomplish their work, managers must encourage individuals who

report to them, co-workers, and supervisors or customers, because organizations with

3
 similar set of resources gain competitive advantage only through effective and

efficient management of human resources. Guaranty Trust Bank Plc has a set of

leadership standards expected to be lived by its managers or leaders with the view to

improving performance. The problem for this study is to establish the leadership

behaviours that are exhibited at Guaranty Trust Bank Plc, and to know how it is

affecting the performance of employees.

In addition, the ultimate goal of any organisation is to achieve its set goals and

objectives for which it is formally established and that these goals are only achieved

based upon the nature of leadership style practiced in such an organisation. Thus, in

order to achieve these goals and reach its objectives there are a number of problems

that need to be properly dealt with in order to acquire effective leadership to boost the

organisational performance.

Thus, the problems addresses by this research study among others include the concern

about welfare of workers, adoption of autocratic leadership style where participative

leadership is desired, lack of strategic planning or vision, lack of respect, warmth and

friendship, emphasis on production by most leaders and lack of consultation of some

leaders in the organisation. Thus, a functional or social problem solving perspective of

leadership is necessarily grounded in a contextual framework that presents employee

fundamental performance essentials demanding organisational choices in leadership

behaviour.

1.3 Aims and Objectives of the Study

The study set out to empirically examine leadership behaviour and employee

performance in Guaranty Trust Bank Plc, Lagos as its broad objective. In line with the

broad objective of the study, the following specific objectives were achieved:

i) To determine the effect of leadership behaviour on employee performance;

4
 ii) To ascertain the effects of communication strategy on employee performance;

iii) To examine the relationship between employee-management relationship and

employee performance; and

iv) To examine the relationship between employee development and employee

performance.

1.4 Relevant Research Questions

Based on the above objectives, the following research questions will be reached:

i) What are the effects of leadership behaviour on employee performance?

ii) Does communication strategy affect employee performance;

iii) Is there is a significant relationship between employee-management

relationship and employee performance; and

iv) Is there is a significant relationship between employee development and

employee performance.

1.5 Relevant Research Hypotheses

The following hypotheses were posited to guide us in reaching the research

objectives.

Hypothesis One

H0: Leadership behaviour does not affect employees’ performance.

H1: Leadership behaviour affects employees’ performance.

Hypothesis Two

H0: Communication strategy does not affect employee performance

H2: Communication strategy affects employee performance

Hypothesis Three

H0: There is no significant relationship between employee-management

relationship and employee performance.

5
 H3: There is a significant relationship between employee-management relationship

and employee performance.

Hypothesis Four

H0: There is no significant relationship between employee development and

employee performance.

H3: There is a significant relationship between employee development and

employee performance.

1.6 Significance of the Study

This study is important because according to some researchers, it is important that

behaviours of leaders in an organisation always have a stronger impact on the

employee in several ways. However, employees values, attitudes, and leadership

styles play a very important role in enhancing employee performance, and these can

be carefully be adjusted to produce a strong effect on employee performance.

Due to the basic objectives of research as is focused on the existing situation of

leadership behaviour and employees performance, the outcome is expected to

demonstrate and identify the problems that are made wrong on manager responsible

overall, as opposed to managerial, interpersonal (as information direction manager

and methods manager) or what is referred to as interactive knowledge for arrangement

on management Guaranty Trust Bank Plc as well as to find out the ways on how to

improved organizational productivity.

It is hoped that, the research will be beneficial for the financial institution and other

agencies which are related to the management of Guaranty Trust Bank Plc in Nigeria.

Again leadership style, such as encouraging other employees to work on difficult

tasks would motivate the staff to come out with his best, because the employee would

6
 feel that the leader is helping in his or her career development. On the other hand, a

leader may adopt a democratic style when interacting with employees and this may

affect the productivity of the organisation and this will not help the employee to

perform effectively.

It will be of value for students of Human Resource Management, Industrial Relations

and Personnel Management, Management, Employment and labour studies, business

administration and others who might become future managers, leaders and

entrepreneurs.

1.7 Scope of the Study

The scope of this study is limited to Guaranty Trust Bank Plc in Ikeja, Lagos State.

The officers to be investigated would be those on middle level management, operating

supervisors and workers on lower levels of management in the bank. Also the

investigation shall be limited to departments like: Human Resource, Personnel

Administration, Corporate Development and the Operations department to the extent

that these are not fully representative of the organisation used in this study thus

limiting the reach of the study survey.

1.8 Definition of Terms

Coaching/Development: Developing the skills and competencies of the members of

the group.

Decision Making: This includes creating a vision (and deciding among competing

visions), establishing group goals, developing and deciding among competing

strategies, operational planning and resource allocation. While these decisions may

be made autocratically by the manager, made participatively with the group, or

7
delegated to the group or group members, the manager is ultimately responsible for

decisions.

Employee performance: employee performance as the degree to which employees

accomplish work requirements.

Employee: this refers to the person being hired (supplier of labor).

Employer: an employer can be defined as a person or institution that hires people.

Goal Attainment: This function involves directing the behavior of group members

toward group goals.

Behavioural Leadership: The study of the actions, or behaviors, that define a leader

is known as behavioral leadership.

Leadership effectiveness is measured in terms of how successful the leader is in

motivating behavior despite resistance.

Leadership: the word leadership does not have a single definition because the

meaning could often be affected by what it intends to cover. In a “a simple meaning:

leadership is getting people to do things they have never thought of doing, do not

believe are possible or that they do not want to do”.

Management: this can be defined as an act of controlling and directing people so as

to coordinate and harmonise the group thereby accomplishing goal(s) within and

beyond the capacity of people being directed.

Motivation: Motivation as a conscious act aimed at spurring better results from

individuals who may ordinarily not ready to go beyond their capacity.

Organisational performance: The performance of the single parts or units of the

organisation but the product of all interactions taking place in the organisation.

8
 REFERENCES

Abdikarin, S.A., Hussein, O.E. & Ali, I.M. (2013). The Effect of Leadership Behaviours on
Staff Performance in Somalia, Educational Research International, 2, (2). 197-210
Abiodun, O. A., & Siddiq, M. S. B. (2013). Organizational culture, Leadership and
Performance in Nigeria: Moderating effect of ethical decision making. International
Academic Research Journal of Business and Management, 2(7), 1-9.
Alam, G. M., Hoque, K. E., & Oloruntegbe, K. O. (2010). Quest for a better operation system
in education: Privatization, teacher educationalization or voucherlization: Glimpsing
from consumer and product perspectives. African Journal of Business Management,
4(6), 1202-1214.
Armstrong, M. (2009). A Handbook of Human Resource Management, 11th ed, Kogan Page,
London
Gadot, E. (2006). Leadership style, organizational politics, and employees’ performance: An
empirical examination of two competing models. Leadership Style, 36(5), 661-683.
Goleman, D. (2000). Leadership that gets results, Harvard Business Review, March/April,
pp 78–90
Grant, A. M., Gino, F., & Hofmann, D. A. (2011). Reversing the extraverted leadership
advantage: The role of employee proactivity. Academy of Management Journal, 54,
528-550.
Mwita, J. I. (2000). Performance Management Model, a system-based approach tosystem
quality. The International journal of public sector management, 13(1), 19-12.
Obicci, P. A. (2015). Effects of ethical leadership on employee performance in Uganda. Net
Journal of Business Management, 3(1), 1-12.
Ogbonna, E., & Harris, C. L. (2000). Leadership style, organizational culture and
performance: Empirical evidence form UK companies. International Journal of
Human Resource Management, 11(4), 766-788.
Walela, K. B. & Okwemba, E. M. (2015). Effect of Leadership Behavior on the Performance
of Micro-Financial Institutions in Kakamega County. International Journal of
Scientific & Technology Research, 4(2), 239-252
Wang, H., Law, K. S., Hackett, R. D., Wang, D., & Chen, Z. X. (2005). Leader-member
exchange as a mediator of the relationship between transformational leadership and
followers’ performance and organizational citizenship behavior. Academy of
Management Journal, 48, 420-432.

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 CHAPTER TWO

LITERATURE REVIEW

2.1 Preamble

This chapter deals with the review of studies and literature of various researches

pertaining to the topic, in addition to the empirical review of previous works on the

subject matter. Scholars’ books and journals were accessed. This chapter has

reviewed literature on research topic and it included leadership behavior and its effect

on the performance, different leadership styles and their contribution to performance

and organizational factors affecting performance.

2.2 Theoretical Framework of the study

The success of an organization is reliant on the leader's ability to optimize human

resources good leader understands the importance of employees in achieving the goals

of the organization, and that motivating these employees is of paramount importance

in achieving these goals to have an effective organization the people within the

organization need to be inspired to invest themselves in the organization's mission:

the employees need to be stimulated so that they can be effective; hence effective

organizations require effective leadership (Stefan and Pfister, 2009).

McGregor’s Theory X and Theory Y Managers: McGregor’s Theory X and

Theory Y Managers McGregor (1960) proposed that leadership strategies are

influenced by a leader's assumptions about human nature. As a result of his

experience as a consultant, McGregor summarized two contrasting sets of

assumptions made by managers in industry. He developed two attitude profiles, or

assumptions, about the basic nature of people. These attitudes were termed, Theory X

and Theory Y. McGregor maintained that many leaders in essence subscribe to either

Theory X or Theory Y and behave accordingly.

10
It can therefore be seen that a leader holding Theory X assumptions would prefer an

autocratic style, whereas one holding Theory Y assumptions would prefer a more

participative style. The real value of McGregor’s work was to the idea that a leader’s

attitude towards human nature has a large influence on how that person behaves as

leader. Thus the relationship between a leader’s expectation and the resulting

performance of a subordinate has received much attention. Generally, it has been

found that if a manager’s expectations are high, productivity is likely to be poor. This

theory suggests that a manager’s assumptions and beliefs about nature of the

individual determined his leadership role.

Some elements of Nigerian culture provide a fertile ground for the practice by a

Theory X leadership behaviour. These elements include overriding respect for elders,

authoritarian political culture and high predisposition towards respect for authority.

Moreover, certain negative attitudes prevalent among Nigerian workers demand

Theory X behaviour if the manager expects to achieve results. Examples of such

negative attitudes as identified by Wood include the abuse of office for private gain,

fence sitting, laziness and lethargy; lack of commitment to work and poor time

culture.

However, a Theory X leadership behaviour may not be applicable to all Nigerian

workers. Some highly skilled and well educated employees and predisposed to a

theory Y leadership behaviour resist managers who adopt coercion and close

supervision. Managers who subscribe to the Theory Y assumption tend to adopt a

participative style of management with emphasis on consultation, worker participation

in the decision making process; high consideration for employee welfare, confidence

in and recognition of individual ability. In firms where Theory Y behaviour of

11
leadership is prevalent, leadership lays emphasis on minimum direction goal oriented

environment, joint setting of performance standards, subordinates, employee

participation in the decision making process, recruiting employees with high

achievement orientation and creativity, harmonization of individual and

organizational goals, recognition of individual effort, and greater delegation of

authority and decentralization.

Theory Y behaviour of leadership can be used in the Nigerian environment especially

in organizations, which employ a large number of skilled and well-educated staff.

Furthermore the existence of strong trade unions and staff association who usually

demand consultation before major leadership decisions are taken oblige managers to

adopt Theory Y leadership behaviour.

Great Man and Trait Theories: The great man theory is based on the idea that

leaders are born with innate, unexplainable leadership skills, which cause other people

to see them as heroes. It is based on the opinion that leaders are right and leadership is

rooted in the authority of their righteousness. Leaders are elevated by their followers

on the ground of their unique qualities that others do not have. As a result, followers

do not doubt their leader’s judgments.

However, these differences in traits could not provide a solution to the search, as the

list was found to be statistically insignificant. Thus, Ralph Stogdill (in Sashkin and

Sashkin 2003) concluded that a person does not become a leader because of a

combination of traits since the impact of traits differs according to situation.

Therefore, the characteristics of the situation should be considered before ascribing

greatness to an individual as a leader.

12
Ralph Stogdill and other researchers concluded that possession of some traits might

contribute to leadership effectiveness. This is different from the original trait

assumption that leaders are born and not made. Even though there is no list of traits

that guarantees leadership effectiveness, a number of traits have been recently

identified to contribute to leadership success as it recognizes the influence of both

traits and situation. Hoy and Miskel (2001) also identify some traits that are currently

associated with effective leadership as self-confidence, stress tolerance, emotional

maturity and integrity.

Behavioural Theories: The results of the trait studies were inconclusive. Traits,

amongst other things, were hard to measure. How, for example, do we measure traits

such as honesty, integrity, loyalty, or diligence? Another approach in the study of

leadership had to be found. After the publication of the late Douglas McGregor's

classic book “The Human Side of Enterprise” in 1960, attention shifted to behavioural

theories. McGregor was a teacher, researcher, and consultant whose work was

considered to be “on the cutting edge” of managing people. He influenced all the

behavioural theories, which emphasize focusing on human relationships, along with

output and performance.

Behavioural leadership perspective assumes, like trait leadership perspectives, that

leadership is central to organizational performance. However, the focus is on leaders

behaviour rather than leaders personal traits/characteristics. (Hersey and Blanchard,

1988) reported that this approach was initiated at the University of Michigan.

Employee-centred or highly considerate leader is sensitive to subordinates’ feelings

and strives to make things pleasant for them. In contrast, production-centred leader or

a leader high in initiating structure emphasizes completion of the task (Schermerhorn

13
et al (2000). The behavioural types of leadership that will be examined are McGregors

Theory X and Theory Y Managers and Blake and Mouton's leadership grid.

In summary, the great man theory is based on the idea that leaders are born with

innate, unexplainable leadership skills, which cause other people to see them as

heroes it is based on the opinion that leaders are right and leadership is rooted in the

authority of their righteousness. Leaders are elevated by their followers on the ground

of their unique qualities that others do not have.

As a result, followers do not doubt their leader’s judgments trait theories are based on

great man theories trait approach to the understanding of leadership perceives

leadership as the core of organization effectiveness and performance like the great

man theories, trait perspective assumes that great leaders are born with distinguished

traits/characteristics that make them different from other people research like Ralph

Stogdill, in his quest for the secret of great leaders, review many research reports on

leadership, based on the assumption that great leaders are born according to indicate

that Ralph Stogdill found that leaders were a bit more intelligent, outgoing, creative,

assertive, responsible, taller and heavier than average people McGregor’s Theory X

and Theory Y Managers(McGregor, 1960) proposed that leadership strategies are

influenced by a leader's assumptions about human nature.

As a result of his experience as a consultant, McGregor summarized two contrasting

sets of assumptions made by managers in industry he developed two attitude profiles,

or assumptions, about the basic nature of people these attitudes were termed, Theory

X and Theory Y. McGregor maintained that many leaders in essence subscribe to

either Theory X or Theory Y and behave accordingly (Sashkin & Sashkin, 2003).

14
 Trait theory is a situation where some personality traits may lead people naturally into

leadership roles. A crisis or important event may cause a person to rise to the

occasion, which brings out extraordinary leadership qualities in an ordinary person;

this is the Great Events Theory. The process theory is a situation when leadership

skills are learnt.

2.3 Empirical Review of Previous work in the area of studies

Leadership can be defined as a process whereby an individual influences a group of

individuals to achieve a common goal (Northouse, 2007). However, good leaders

must understand that positive relationships with all organizational stakeholders are the

gold standard for all organizational efforts. Good quality relationships built on respect

and trust are the most important determinants of organizational success. As the

performance of an organization is dependent on the quality of the workforce at all

levels of the organization it is essential to discuss the concept of individual

performance (Temple, 2002).

The ability to lead effectively is one of the keys to being an effective manager.

Managers must exercise all their functions in order to combine human and material

resources to achieve organizational objectives. The key to doing this is the existence

of a clear role and degree of discretion or authority to support manager‘s actions.

People find to follow those whom they see as providing means of achieving their

desired wants and needs (Weinrich 2006).

Pearce and Robinson (2005) noted that a leader envision the future, communicates the

course of action and inspires organizational members towards that future of an

organization. Jeremy (2007) pointed out that leaders need to instill values whether

they are concerned with quality, honesty, calculated risk or having concern for

15
employees and customers. Every group of people that performs near its total capacity

has some persons who are skilled in the art of leadership. This skill is constitutes four

major ingredients; Ability to use power effectively and in a responsible manner,

ability to comprehend those human beings has different motivation forces at different

times and different situations, ability to inspire, ability to act in a manner that will

develop a climate conducive to responding to and arousing motivation.

According to London (2001), objectives assist executives in performing leadership

roles by providing the basis for uniting the efforts of the workers within the

organization. It was further stressed that achieving set objectives help to give identity

to an organization as well as recognition and status.

As mentioned by Dubrin (2007), there are different classes of needs. These include:

physical, social and egoistic needs. However, job satisfaction is often associated with

human need and condition. Leadership has been linked to management as it involves

directing, controlling to an extent the nature, degree, extent and passé of activities and

changes occurring within the organization. Management as a process is rooted in the

interactions of people at work directed towards maximization of efficiency and scarce

resources: labor, machines, raw materials and information (Hoover et al, 2001).

Importantly, leadership of an organization should be given adequate attention, if the

organization intends to achieve its objectives. The practice of leadership as it were

involves taking charge and streamlining the activities of organization members to

ensure that desired results are achieved. In context, leadership development can be

viewed as the planned experience, guided growth and training opportunities provided

for those in position of authority. To this effect the leader of a small scale business

should recognize that their responsibilities include performing management function,

16
 which according to Dubrin (2007) are planning, organizing, directing, controlling and

co-ordination of all activities as they relate to the activities of the firm in order to

achieve the firm’s objectives.

Paley (2004) explained that planning is a process of looking ahead to determine the

course of action(s) a firm or organization will follow to achieve its objectives. Both

short and long term plans should be duly considered for an organization’s success.

The contributor further buttressed that organizing as a function involves correlating

the basic components of the firm: people, tasks and materials so that they follow and

align with the set goals and objectives. In most organization, directing involves face-

to-face supervision of employment.

In the daily business activities, the effectiveness of the manager or leader in directing

is a major factor in determining the success of the industry. Controlling as another

duty of a leader is the function that provided the manager with the means of checking

to ensure that the plans that were developed were properly implemented. This was

further explained by Huisman and Wissen (2004); control involves having the

capacity to guide and correct activities, which does not promote achieving the

organization’s goals. However, control could be said to consist of four basic steps:

i. Set standard of performance (establish acceptable levels of employee output)

ii. Check performance at regular intervals: hourly, daily, weekly or monthly.

iii. Determine if there are deviations from the performance standard

iv. If there are deviations, take corrective measures such as more training or

retraining. If no deviation exists, continue with the activity.

17
2.3.1 Levels of Leadership

A leader is anyone who directs and controls a group of people to achieve a set purpose

(Hicks and Gullet, 1975). However a social organization has many leaders operating

at the same time. They may be rivals but they share the various leadership functions

of planning, directing, reviewing, and coordinating and so on. Circumstance may

cause changes in leadership pattern thus leading to classification of leadership, based

on how it is performed (Hicks and Gullet, 1975).

It was further commented by Hicks and Gullet (1975) that there might be two types of

leaders:

i. Unofficial leader: this leader is often not important in an organization, though the

power ascribed to such leader may rise or fall.

ii. Official leader: the individual holding this position is officially given charge over

the subordinates who should be directed and controlled. The subordinates need to

be led to value the rewards they obtain from their work. This could be cash

(money), friendship, status, approval or a combination of any of these.

In most cases official leaders could be called supervisors or managers and they

reserve the power to reward or punish. To a lower extent, the success of such

leadership depends on experience and teachers virtuosity, but on their management

style at a greater extent. According to Goldman (2006), early writers were of the

opinion that leaders or managers were given birth to and not made, perhaps they came

from a specific family or lineage. Thus, there is only one specific form of leadership

style. However, later studies focusing on behavioural point of view of both leaders

and subordinates in actual work situation showed that there exist different forms of

leadership styles.

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2.3.2 Participation

Worker’s participation refers to the inclusion of workers in decision making process

in the organization. This means that the employees could have adequate information

on which to base their decision (Dubrin, 2007). Sometimes, when the involvement of

employees in decision-making is much, it could be because they are co-owners of the

business. At times, management makes the major decisions and later invites the

employees for comments. The extent to which the worker’s participation is possible

and desirable is a very controversial issue as it entails political overtones (Allan,

2003).

A renounced teacher of business management Douglas McGregor propounded the

THEORY X and Y. The theory gave two contrasting assumptions on employee

behaviour. The summary of this theory is often woven into management styles. The

profounder was of the opinion that Theory Y was the correct assumption to make and

that organization should be organized on that basis. He stressed that Theory X gave

employees the opportunity to satisfy only basic and security needs, while theory Y

enables to satisfy Maslow’s higher needs such as ego and self-actualization. However,

today, no manager is all of theory X or Y (Wikipedia, 2007).

2.3.3 Leadership Processes

Effective leadership: the role of reduction in labor turnover as well as grievances are

factors affecting leadership process, the principal aim of this research in management

style is to establish its relation to effectiveness. Effective leadership is determined by

the degree to which it facilitates adequate or high productivity (Dubrin, 2007).

Boswell (1973) explained that some studies have shown that effective managers stress

the need for supportive people. Other studies did not produce clearly defined results

19
 on this. Some have however showed reverse relationship to the following: size of the

firm, the nature of the production process, personalities of subordinates, the feelings

of the subordinates and the manager’s power in the organization.

In context, there may be no management style that could be effective in every

situation. Thus, there has to be modifications. Agboli and Chikwendu (2006) further

stressed that different work situations need different styles if they are to perform

optimally. Often, manager’s skills could be said to be diagnostic. The manager

assesses all relevant factors affecting work. However, diagnosis may not always be

followed by proper behavior because managers could find it difficult to change their

styles (Boswell, 1973).

2.3.4 Importance of the Process

Task structure (extent to which a work is defined or programmed) could be said to be

an important factor determining the management style.

Gerhard (2002) explained that technology often influences task structures and this is

best illustrated by two extremes:

i. Structures or highly programmed work; an assemblage in a mass production

factor, is strictly defines with respect to method and time. Every job is specific as

regards time and method. Every job is specialized and should be carried out with

strict compliance to achieve the desired result. Based on this, the subordinate is

left to take little or no individual decision on the job.

ii. Unstructured or loosely programmed; this has a wider perspective. It allows the

subordinate to make decisions regarding methodology and sequence of

performing his job. Occasionally, the job may be unspecific hence there could be

20
 many means of doing it. Thus, it can be said that the subordinate is at his own

liberty.

2.3.5 Leadership Ability

It is unquestionable that there are unlimited researches on how people acquire

leadership ability. However, the Aristocrats believe that it is in born (in the blood):

just like monarchy. Most work known today attempts to describe leadership act and

techniques, theorize about why leaders emerge; understand people and the dynamics

of interpersonal relations. Both near and far, there exist highly talented people with

leadership ability. Various informal groups: preparatory to university, families to

social institutions, traditional settings to modern setting all have distinguished set of

people who have demonstrated superior leadership act. However, teaching this

process could be difficult. This could be due to the fact that leadership is a dynamic

personal process (Gerhard, 2002).

Leadership could be said to be dynamic because it varies with circumstances and

individuals involved. It is also said to be personal because of the inter-personal

influences allowed. However, this does not necessarily mean direct contact between

the leader and the subordinates. While some leaders are known to have direct contacts

with their subordinates as evidenced in most small scale industries in Nigeria, others

are void of this process, possibly because of larger number of subordinates involved.

In business, excellent leadership ability appears rare. This may be partly due to the

fact that great ability is rare, employees could work without zeal, lack of alternatives

for the employees, inability to finance a change, and the subordinates are lazy or are

hindered by a union (Budhwar and Yaw, 2001). In this situation, a manager does not

21
need to use much leadership. Therefore he may depend on negative motivation and

authority to command (Budhwar and Yaw, 2001).

Budhwar and Yaw (2001) further stressed that this situation is unfortunate and

unfriendly for both superior and subordinates. It leads to defensive and unsupportive

behavior on the part of the subordinates. Nature of environment in which

interpersonal group relationship occurs also affects quality of leadership. The

environment is affected by leader’s success and failures, which in turn is also affected

partly by other external factors like government policy (Cleland, 1998). Among the

environmental factor is the hygienic factor. Supervision, working condition, wages,

policies, interpersonal relation, policies and job security are easy to come by during

prosperity. During adversity, the hygienic factors may gradually reduce in volume,

scope and quality: benefits and salaries are reduced. However, human relations and

supervision may improve, certain efforts may yield better results than the others and

there may be shift of attention as the case may be. At this point, it may be important if

reward and self-development aspects of motivation system become prominent

(Cleland, 1998).

As explained by Donnelly (1999), adversity could fasten zeal. Some individuals like

to be inefficient at every possible opportunity. Using the contrast between the zeal

expressed by the British workers during the 1930’s and during the Second World

War, or between the American railroads workers before and after the changes made to

the Union and government regulations. In both cases, decisive leadership was

demonstrated. However, the former changed from desultory to brilliance, while

converse could be said of the later.

22
Donnelly (1999) further explained that in the 1930s the British were pacifist-minded;

they choose political leadership, which promised security and sharing of wealth.

However, during critical challenge, they choose preservation of their freedom above

any other thing. Thus, a leader that could satisfy this need was chosen. As regards the

American railroad, the employee morale was high in the years of construction. But

with the introduction of railroad unions and government regulations, the employees

took solace in others aside from their managers for fulfillment of their needs.

Whatever the environment is, leaders emerge to make decisions and make positive

impacts. Strategic planning is very important while making decisions. According to

Dubrin (2007), self-analysis of the company is needed to assess past performance and

present position of the organization. Strategic planning is designed based on realistic

assessment of the capacity: strength and weakness of the organization, which are of

great managerial value (Dubrin, 2007).

The success of the organizations depends very much on its human resource team. This

should be nurtured and cared for optimum effectiveness and efficiency. Leaders and

followers play very important role in any organizations (Yusof, and Tahir, 2011).

Organizations need effective leadership and employees to achieve their objectives.

What is leadership? Barnett (2011) defined leadership as a process by which one

individual influences others toward the attainment of group or organizational goals. It

is a management function which is mostly directed towards people and social

interaction, as well as the process of influencing people so that they will achieve the

goals of the organization (Skansi, 2000; Barnett, 2011).

Both leadership and management are assigned to set direction for the organization.

Organizations cannot succeed without appropriate efforts and right commitment from

23
 their employees. The success in achieving its goals depends very much on managers

and their leadership style. Leadership style can be viewed as a series of managerial

attitudes, behaviours, characteristics and skills based on individual and organizational

values, leadership interests and reliability of employees in different situations

(Mosadeghrad, 2003).

However, no one leadership style is ideal for every situation, since a leader may have

knowledge and skills to act effectively in one situation but may not act as effectively

in another situation (Mosadeghrad, 2003). To be effective, leaders must behave and

use appropriate leadership styles to improve employee job satisfaction, commitment

and productivity (Fry, 2003).

2.3.6 Employee Performance

According to Millcorvich and Bondream (1997) define employee performance as the

degree to which employees accomplish work requirements. Performance is a major

multidimensional construct aimed to achieve results and has a strong link to strategic

goals of an organization (Mwita, 2000). In this study research will use the definition

of Millcorvich and Bondream (1997) define employee performance as the degree to

which employees accomplish work requirements because it is more generalized or

appropriate than other definitions.

Performance is a multidimensional construct and an extremely vital criterion that

determines organizational successes or failures. Prasetya and Kato (2011) define

performance as the attained outcomes of actions with skills of employees who

perform in some situation. According to Pattanayak (2005), the performance of an

employee is his/her resultant behavior on a task which can be observed and evaluated.

24
To him, employee performance is the contribution made by an individual in the

accomplishment of organizational goals.

Here employee performance is simply the result of patterns of action carried out to

satisfy an objective according to some standards. This means employee performance

is a behaviour which consists of directly observable actions of an employee, and also

mental actions or products such as answers or decisions, which result in

organizational outcomes in the form of attainment of goals.

As the performance of an organisation is dependent on the quality of the workforce at

all levels of the organisation (Temple, 2002), it is essential to discuss the concept of

individual performance. Millcorvich and Bondream (1997) define employee

performance as the degree to which employees accomplish work requirements. To

them employee performance in effect reflects the efficiency of the organisation.

People are an organisation‟s greatest assets: individuals and organisations have

learned about the importance of the role of people in an organisation, and how the

success of an organisation depends on its people (Bartlett and Ghoshal, 1995). The

role of human resources is absolutely critical in raising performance in an

organisation (Armstrong and Baron, 1998). Ultimately it is the performance of many

individuals, which culminates in the performance of an organisation, or the

achievement of goals in an organisational context (Armstrong and Baron, 1998).

Amos, et al. (2004) states, that “the effective management of individual performance

is critical to the execution of strategy and the organisation achieving its strategic

objectives”. Performance cannot be left in anticipation that it will develop naturally,

despite the employee‟s natural desire to perform and be rewarded for it. This desire

needs to be accommodated, facilitated and cultivated (Amos, et al., 2004). In return

25
 for this performance, organisations extend themselves in various forms of

acknowledgement (Foot and Hook, 1999) Individual performance has become a

topical issue in today’s business environment, so much so that organisations go to

great lengths to appraise and manage it (Armstrong and Baron, 1998). Whetten and

Cameron (1998), state that individual performance is the product of ability multiplied

by motivation. Furthermore, Cummings and Schwab (1973) concur with the belief

that performance is ultimately an individual phenomenon with environmental factors

influencing performance, primarily through their effect on the factors are those factors

over which the organisation has little or no control, such as demands for job grading

systems (Hellriegel, et al., 1999).

2.3.7 Performance and Leadership

The success of an organisation is reliant on the leader’s ability to optimise human

resources. A good leader understands the importance of employees in achieving the

goals of the organisation, and that motivating these employees is of paramount

importance in achieving these goals. To have an effective organisation the people

within the organisation need to be inspired to invest themselves in the organisation’s

mission: the employees need to be stimulated so that they can be effective; hence

effective organisations require effective leadership (Wall, Solum and Sobol, et al,

1996). Fiedler and House, (1988) indicate that organisational performance will suffer

in direct proportion to the neglect of this.

Ultimately it is the individual employee who either performs, or fails to perform, a

task. In order for an organisation to perform, an individual must set aside his personal

goals, at least in part, to strive for the collective goals of the organisation (Cummings

and Schwab, 1973). In an organisational context, the very nature of performance is

26
defined by the organisation itself (Cummings and Schwab, 1973). Employees are of

paramount importance to the achievement of any organisation. Thus, effective

leadership enables greater participation of the entire workforce, and can also influence

both individual and organisational performance (Bass, 1997; Mullins, 1999). Effective

leader behaviour facilitates the attainment of the follower’s desires, which then results

in effective performance (Fiedler and House, 1988; Maritz, 1995; Ristow, et al.,

1999).

Preliminary research undertaken by Booysen and Van Wyk (1994, in Swanepoel, et

al., 2000) in a South African context found that outstanding leaders, in terms of

effectiveness, are perceived to show a strong and direct, but democratic and

participative leadership style, and are seen as agents of change and visionaries who

increase organisational performance. Maccoby (1979), in Botha, 2001) indicates that

the need of firms to flourish in the world of escalating competitiveness, of

technological advances, of altering government regulations and of changing employee

attitudes, requires an advanced level of leadership more than ever before. His views

further demonstrate the importance of leadership in the business arena.

According to Bass (1997), in the modern business environment much research has

proved that leaders make a difference in their subordinates‟ performance, and also

make a difference as to whether their organisations succeed or fail. Kotter (1988)

argues for the ever-increasing importance of leadership in organisations, because of

significant shifts in the business environments, such as the change in competitive

intensity and the need for more participation of the total workforce. Leadership is

perhaps the most thoroughly investigated organisational variable that has a potential

impact on employee performance (Cummings and Schwab, 1973). Winning leaders

27
understand what motivates employees and how the employee’s strengths and

weaknesses influence their decisions, actions, and relationships. Cummings and

Schwab (1973) mention the connection between leadership traits or leadership

behaviours and employee performance. However, they stress that the literature was

not based on empirical evidence and therefore has become discredited over time

(Cummings and Schwab, 1973; Fiedler and House, 1988).

There is agreement in the literature (Maritz, 1995; Bass, 1997) that leadership is a

critical factor in the success or failure of an organisation; excellent organisations

begin with excellent leadership, and successful organisations therefore reflect their

leadership. Leaders are effective when the influence they exert over their subordinates

works towards achieving organisational performance (Jones and George, 2000).

Furthermore, leadership is often regarded as the single most critical success factor in

the success or failure of an institution (Bass, 1990). Dimma (1989) believes that

leadership is undoubtedly the critical determinant of the success of an organisation,

and thus determines organisational performance in the competitive global market.

Research into organisational behaviour in different environments found that

transformational leadership has a positive influence on employee performance, and

therefore organisational performance (Bass and Avolio, 1994; Ristow, 1998).

However, through research by Pruijn and Boucher (1994) it was shown that

transformational leadership is an extension of transactional leadership (Bass,

1997).The difference between these two models is that followers of transformational

leadership exhibit performance which is beyond expectations, while transactional

leadership, at best, leads to expected performance (Bass and Avolio, 1994). Ristow

(1998) states that transactional leaders were effective in markets, which were

28
 continually growing, and where there was little or no competition, but this is not the

case in the markets of today, where competition is fierce and resources are scarce.

Research data (Brand, et al., 2000) has clearly shown that transformational leaders are

more effective than transactional leaders, regardless of how “effectiveness” has been

defined. Evidence gathered in South African retail and manufacturing sectors, as well

in the armed forces of the United States, Canada and Germany, points towards the

marginal impact transactional leaders have on the performance of their followers in

contrast to the strong, positive effects of transformational leaders (Brand, et al., 2000,

Brett Anthony Hayward, 2005).

2.3.7.1 Employee Effectiveness and Efficiency

Fru et al (1998) identify two overriding issues associated with measuring employee

performance. They are employee effectiveness and employee efficiency. To them

employee effectiveness is a measure of the degree to which an employee achieves

his/her set objectives and goals. The key is that an employee is effective if he/she

achieves his/her objectives and goals. Efficiency has to do with the employee

achieving his/her objectives or set goals with a proportionally few resources.

Effectiveness and efficiency are related to the extent that one complements the other

towards the achievement of the organisational goals.

2.3.8 The Relationship between Leadership Behaviour and Employee Performance

The success of an organization is reliant on the leader's ability to optimize human

resources. A good leader understands the importance of employees in achieving the

goals of the organization, and that motivating these employees is of paramount

importance in achieving these goals. To have an effective organization the people

within the organization need to be inspired to invest themselves in the organization's

mission: the employees need to be stimulated so that they can be effective; hence

29
 effective organizations require effective leadership (Wall, Solum and Sobol, et al,

1996).

Thus, effective leadership enables greater participation of the entire workforce, and

can also influence both individual and organizational performance (Bass, 1997;

Mullins, 1999). Effective leader behaviour facilitates the attainment of the follower’s

desires, which then results in effective performance (Fiedler and House, 1988; Maritz,

1995; Ristow, et al., 1999).

2.3.9 The Effects of Leadership Behaviour on Employees Performance

According to Tandoh (2011) study found that if a job-centred style or behaviour is

exhibited by leaders or managers is limited and that this style has positive effect on

employee performance. What this means is that managers are very particular about

getting results and only motivate employees to give their best in order to increase

productivity. However, it is also observed that there is very little or minimal

employee-centred style of leadership exhibited and this negatively impacts

performance. This probably suggests that management act with strict internal rules to

achieve results and the fact that the practice is also not democratic-centred style

corroborates. Many things could be measured to determine the extent to which

leadership behaviour impact on employee performance. Milkorwich and Bondream

(1997) identify them under the broad headings of abilities, skills, traits behaviours and

business results. Providing long-tem customer satisfaction, attaining higher quality

production levels, achieving adequate job and business knowledge, leading

effectively, being dependable and reliable, among others, are specific attributes,

which are measured to determine employee performance, which is relevant to the

organisation’s survival and success.

30
A number of approaches are employed to measure employee performance, these

include the comparative approach, which uses ranking, forces distribution and paired

comparison techniques to measure employee performance; the attribute approach

which uses graphic rating scales and the mixed standard scales to measure employee

performance, and then the behavioural approach which employs critical incidents

behavioural observation scale and organisational behavioural modification techniques

to measure employee performance (Noe et al, 1996).

Various approaches adopted use a number of sources to acquire performance

information to aid the measurement process. Some of these sources, as Noe et al

(1996) indicated, include supervisors, subordinates, pears, self and customers.

Deciding which source of performance information are the best depends on the job

and organisation in question. Effective managers need to be aware of the issues

involved in determining the best method for the particular situation.

Performance appraisal has become a continuous process by which an employee’s

understanding of a company’s goals and his or her progress toward contributing to

them are measured. According to Hakala (2008), Performance measurement is an

ongoing activity for all managers and their subordinates. There are sixteen ways to

measure employee performance and that the measurement uses indicators of

performance, as well as assessments of those indicators. Examples of the

measurement and its indicators are as follows.

(i) Quantity: The number of units produced, processed or sold is a good objective

indicator of performance. It is indicated that in assessing performance there

should not be too much emphasis on quantity as to compromise quality.

31
(ii) Quality: The quality of work performed can be measured by several means.

The percentage of work output that must be redone or is rejected is one such

indicator. In sales environment, the percentage of inquires converted to sales is

an indicator of salesmanship quality.

(iii) Timeliness: How fast work is performed is another performance indicator that

should be used with caution. In field service, the average customer’s

downtime is a goal indicator of timeliness. In manufacturing, it might be the

number of units produced per hour.

(iv) Cost-Effectiveness: The cost of work performed should be used as a measure

of performance only if the employee has some degree of control over costs.

For example, a customer service representative’s performance is indicated by

the percentage of calls that he or she must escalate to more experienced and

expensive representatives.

Performance indicators must be accessed by some means in order to measure

performance itself. These may be accessed through

a. Manager’s Appraisal: A manager appraises the employee’s performance and

delivers the appraisal to the employee. Manager appraisal is by nature top-down

and does not encourage the employee’s active participation. It is often met with

resistance, because the employee has no investment in its development.

b. Peer Appraisal: Employees in similar position appraise an employee’s

performance. This method is based on the assumption that co-workers are very

familiar with an employee’s performance. Peer appraisal has long been used

successfully in manufacturing environments, where objectives criteria such as

32
 units produced prevail. Peer appraisals are often effective at focusing an

employee’s attention on undesirable behaviours and motivating change.

c. Management by Objectives (MBO): The employees achievement of objectives or

goals set in concert with his or her manager is assessed. The MBO process begins

with action statements such as “reduce rejected parts to 5 percent”. Ongoing

monitoring and review of objectives keep the employee focused on achieving

goals. At the annual review, progress towards objectives is assessed, and new

goals are set.

For banking industry to survive in this volatile and dynamics business environment,

employees of Guaranty Trust Bank Plc need to be motivated to go beyond ordinary

expectations by appealing to their higher order needs and moral values. Again,

sharing decision-making with the subordinates generates empowerment and breeds

ownership. Exercising reasonable level of democratic leadership style provides a

sense of belonging to employees and makes them ready to defend the business

objectives and goals.

In addition, the success of an organization is reliant on the leader’s ability to optimize

human resources good leader understands the importance of employees in achieving

the goals of the organization, and that motivating these employees is of paramount

importance in achieving these goals to have an effective organization the people

within the organization need to be inspired to invest themselves in the organization's

mission: the employees need to be stimulated so that they can be effective; hence

effective organizations require effective leadership.

33
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 CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Preamble

This chapter discussed the research design, study area, study population, sample size

and techniques, instruments for data collection, reliability and validity of research

instruments and data analysis.

3.2 Research Design

A research design encompasses the methodology and procedure employed to conduct

research where some or all the units in a population are examined. The survey

research design is the most appropriate because it uses questionnaire for collection of

data from a population when researching on behavioural issues such as the one in

question. Conceptually, survey research design involves a clearly defined problem

and definite objectives, which the study portrays. In this study, a descriptive analysis

was employed, which is a scientific method which involves observing and describing

the behavior of a subject without influencing it in any way. It is also analytic because

some hypotheses were tested.

3.3 Population of the Study

The population of study for this research work consists of staff of Guaranty Trust

Bank Plc, Ikeja, Lagos State. There is no information on the population strength of the

Guaranty Trust Bank Plc talkless of the number of staff employed by the bank. But,

the population is estimated to be put at about 5000.

3.4 Sample and Sampling Technique

The sample size for the research work was two hundred (200) selected employees of

Guaranty Trust Bank Plc, Lagos State. A convenience sampling technique was used to

41
 select the sample used, this allowed employees of the organization to be chosen as

respondents based on availability and similarly this affords the researcher time

efficiency and ease of distribution.

3.5 Data Collection Instrument and Validation

The study adopted the use of questionnaires and interviews. Primary data was

gathered using self-administered questionnaire Questionnaires were used because they

were the most convenient and cost effective in collecting data. Questionnaires were

administered using the drop-and-pick method. The selected Guaranty Trust Bank

branches were approached by the researcher and introduced himself to the key

informants before explaining the objective of the study and thereafter, left the

questionnaires with the respondents to be filled and be collected afterwards.

To ensure that the instruments used in the study were reliable, Cronbach‘s alpha was

computed at a score of 0.828. Sekaran (2004) asserts that a reliability coefficient

within 0.70 is acceptable while 0.80 and above is regarded as good. A pilot study was

conducted in two institutions outside the study area and subjects of measure revealed

consistence results.

3.6 Method of Data Analysis

In this study, descriptive statistics were calculated to describe the demographic

characteristics of the respondents under study and presented in form of frequency

tables, pie charts and percentages. Inferential statistics used included Pearson Product

Moment Correlation Coefficient, simple regression. Pearson Product Moment

Correlation Coefficient was used to determine the relationship and magnitude of

influence among the study variables. Statistical analysis was performed using the

42
 Statistical package for the Social Sciences (SPSS) Version 22.0. All hypothesis were

subjected to a two tailed test at a 95 per cent confidence level (A level of significance,

α= 0.05). The presentation and the analysis of data are to be done according to the

research question raised earlier in this study.

3.7 Limitations of the Methodology

A study of this magnitude can be constrained by a number of extraneous

circumstances that may tend to introduce some imperfection into it. The limitations

that can be identified in relation to this study include the following:

The period of my study would be greatly limited by a number of factors, such as: the

distribution of questionnaires, which was showed down as a result of frequent

absence or engagements on the side of the employees.

Also, some employees may felt reluctant to provide needed information that will aid

in this study due to one reason or the other (unknown). There is no adequate

information on the population strength of the organisation talkabout of the number of

staff employed by each organisation.

Researches revealed that managers/supervisors in organizations normally ignore an

important aspect of management which required that bosses also needs to be

managed, and not only subordinates, product, markets and technologies in their

organizations.

43
 REFERENCES

Asika, N. (2006). Research Methodology in Behavioural Science, Ikeja, Longman, pp. 79-
100
Dixon-Ogbechi, B.N (2002): Research Methods and Elementary Statistic in Practice, Lagos
Phil glad Nigeria / Ltd; pp. 46-56.

Fabayo, J.A. (2009). Quantitative Techniques For Economic and Management Decisions (2nd
Ed). Ibadan: Intec Printers Limited. P 224-226

Osuala, E. C. (2002): Introduction to Research Methodology, Onitsha: Africana-Feb

Publishers Limited.

44
 School of Postgraduate Studies,
Department of IRPM,
University of Lagos
Akoka, Yaba, Lagos
27/08/2015
Dear Respondents,

I am a postgraduate student of the above named institution. You have been selected to
participate in a survey to measure Leadership Behaviour on Employees Performance in
Guaranty Trust Bank Plc. The exercise is purely for academic purpose, and a requirement in
partial fulfillment for the award of M.Sc Degree in Employment and Labour Studies (MELS).
Hence anonymity and confidentiality in completing this questionnaire is ensured. Please read
all the questions carefully and be as accurate as possible.

Thank you for your time and support.

EBENEZER Akinwale Talabi

Researcher

45
 SECTION A: DEMOGRAPHIC CHARACTERISTICS

Responses should be mark [ √ ] in the boxes provided as appropriately.

1 Sex Male [ ]
Female [ ]

2 Age Below 25 yrs [ ]

25 – 35 yrs [ ]
36 – 45 yrs [ ]
46 – above [ ]

3 Marital Status Single [ ]

Married [ ]
Separated [ ]
Divorced [ ]
Widowed [ ]

4 What is your highest level of Secondary education [ ]

qualification? Post-secondary education [ ]
Master Degree [ ]
Others [ ]

46
SECTION B: INFORMATION RELATING TO THE RESEARCH QUESTIONS
Leadership behaviour SA A UN D SD
1. My manager shows a real interest in me as a person.
2. My manager generally understands the problems I
face on my job
3. My manager encourages learning that help workers
advance in their careers.
4. My bank’s manager acts on the issues identified in
employee value.
5. Our manager motivates us in order to deliver the
company objectives.
Employee-management relationship SA A UN D SD
6. Our manager shows a good relationship with staff
7. Our manager recognises the contribution of workers
8. My manager gives the team room to innovate.
9. My manager is human and socially conscious.
10 My manager is considerate of my life outside work.
.
Employee development SA A UN D SD
11 I have career plan in this bank
.
12 My performance gets reward.
.
13 We feel significant actions have been taken as a
. result of previous grievance by the manager
14 Employees know how to tell if they are making
. progress on their work group’s part of the plan
15 I have opportunities to advance in my line of work
.
Communicate strategy SA A UN D SD
16 My manager consults me in the annual
. departmental budget exercise
17 My manager trusts my judgment within this job
.
18 In my unit there exists long range planning for the
. unit.
19 My manager seeks staff opinion on how tasks can
. be accomplished
20 My manager values all the ideas and skills I bring to
. the company.

47
Employee performance SA A UN D SD
21 My salary is pay as and when due
.
22 Better incentives improve employees’ performance
.
23 Bonuses increase the employees performance
.
24 Recognition improve my job performance
.
25 Good working condition increase employee
. performance

48