Leadership Styles and Organizational Performance †Free Samples

Question: Discuss about the Leadership Styles and Organizational Performance. Answer: Introduction: Leadership is a vital function within an organization or business, and is commonly associated with the establishment of a clear vision, and communicating the vision with others and resolving conflicts between individuals in the organization, who are involved in the implementation and completion of the objectives and vision of the organization or business. Leadership is an attribute which allows an individual to lead or guide others (individuals, teams or the organization). Leadership can also be understood as the capacity of the management of any business or organization to set and reach difficult objectives, take quick decisions and decisive actions, and outperform competitors, as well as give inspiration to others to give their best performance and efforts (Northouse, 2018; Antonakis Day, 2017). The purpose of the assignment is to understand the importance of Leadership in organizational sustenance, performance and development. The study is aimed for managers and leaders in an organization. The information was found from secondary analysis of research data, and the leadership strategy studied in this context is Transformational Leadership. Any organization strives for survival and the sustenance of its existence through improvements in its performance. Moreover, to address the requirements of a competitive market, organizations should be able to improve their performances (Arslan Staub, 2013). Leadership is essentially vital to achieve the optimum productivity of the organizations. Also, success of an organization depends on the organizational performance, job satisfaction of the employees and the effective commitment shown by the employees. Studies suggest that leaders can help to motivate and assist the employees and staff and foster a competitive environment in the organization, and also promote benchmarks of quality in the professional growth of the staff (Miner, 2015). These can several positive effects on the organization. This concept of leadership concept was explained by James MacGregor Burns in 1978 (Burns, 1978). Such type of leadership is characterized by optimism, trust and positivity among the leaders, who can pr9vide emotional encouragement to their teams and ensure support innovations for them. Transformational leadership focuses on mutually beneficial objectives, motivation and emotional connectivity apart from the shared vision and values. This type of leadership can help an organization to achieve the current goals in a more efficient manner, by connecting performance with value rewards, and also ensuring that adequate resources are available to the employees to get the work done (McCleskey, 2014). They can outline a strategic objective, and communicate it to the staff and acting towards the development of commitment to the objective. Based on empirical studies and metal analysis, it can be assumed that transformational leadership is able to have a beneficial role on both individual perfor mances as well as organizational outcomes. Also, transformational leadership can allow an improvement in the follower performance and firm outcomes. Transformational leadership can be considered to be made of 4 parts: charisma, inspiration, intellectual stimulation and individual consideration (Bass Rigio, 2006). Leaders can utilise a situational approach in order to practice various leadership frameworks and styles, depending upon the subordinates maturity levels which determines the pattern of leadership that can be implemented (Meier, 2016). Organizational Performance: Organizational performance can be understood as the way of transforming of inputs to outputs, in order to achieve certain objectives. In this aspect, performance highlights the interaction between effective and minimal cost (economy); between effective costs and output realized (efficiency) and also between output and the outcome achieved by it (effectiveness) (Corvellec, 2017). As per Scott and Davis (2015), standardized forms of measurement of organizational performance does not exist, however, there are four main approaches which can be used to analyze the performance. The approaches are: The Goal approach (where the performance is measured based on the extent to which the business or organization can reach its goals); System Resource Approach (which relates to the interaction between the organization and its surroundings, and performance is measured by the capacity of the organization to take advantage of its environment to achieve and secure values and resources to succeed in the operations. Constituency Approach (when an organization is considered as effective by multiple stakeholders, and the performance is measured on the extent to which the organization has control over its resources). Competing Values Approach (which considers organizational objectives or goals being set in different ways through the requirements of the various sectors of the organization, and thus different criterion must exist for the measurement of the performance across each of these sector. Leadership and Organizational Performance: Leadership can allow an increase of the performance of an organization and leaders can function as key decision makers who can help to decide on the acquisition, development and deployment of the resources of an organization and also in the transformation of these resources into products or services of value and to deliver these values to the stakeholders of the organization (DInnocenzo et al., 2016). Therefore, leaders can act as significant sources of managerial advantage and provide a strong competitive advantage to the organization. Different studies have shown that a positive relation exists between performances at individual and organizational levels with effective transformational leadership. Also, behaviours related to transformational leadership are related to effectiveness of the subordinates in different types of organizational setup. The behaviour of the leaders can influence and motivate the employee, increasing their awareness and commitment to their duties and responsi bilities and develop a self interest in the improvement of the productivity of the organization (Madanchian et al., 2016). Studies by Zhu et al. (2005) found a connection between transformational leadership style and the performance of the organization among 170 companies in Singapore. The study also showed effective human resource management can influence the relation between performance and leadership skills through an increased commitment and improved motivation among the employees. Similarly, Kieu (2010) highlights the positive influence of transformational leadership on the working of an organization in IT industries. The study showed that transformational leadership as a significant analyst of employee performance, job satisfaction and commitment in the organization, and enable focus on empowerment and improving trust on the leader. Additionally, through inspirational motivation and intellectual stimulation, it can also allow further improvement in the performance of the organ ization. Based on such aspects, effective leadership should be able to address the competing expectations of stakeholders in such a way that is ethical and obvious, and necessitates leaders to adopt transformational behaviour as a central function to ensure the survival of the organization (Madanchian et al., 2016). Conclusion: For the effective development of organizations, comprehending the relation between transformational leadership and organizational performance is a significant aspect. Also, it is necessary to identify approaches and strategies that can help to improve performance of the employees as an important role played by the leaders. From the study of the literature, a positive relation was found between transformational leadership style and the performance of individuals and organization. This emphasizes that through transformational leadership, and organization can ensure continued growth and sustenance, and thus should be an important focus of the management within the organization. References: Antonakis, J., Day, D. V. (Eds.). (2017).The nature of leadership. Sage publications. Arslan, A., Staub, S. (2013). Theory X and theory Y type leadership behavior and its impact on organizational performance: Small business owners in the ?ishane Lighting and Chandelier District.Procedia-social and behavioral sciences,75, 102-111. Bass, B. M., Riggio, R. E. (2006).Transformational leadership. Psychology Press. Burns, J. M. (1978). Leadership New York.NY: Harper and Row Publishers. Corvellec, H. (2017).Stories of achievements: Narrative features of organizational performance. Taylor Francis. DInnocenzo, L., Mathieu, J. E., Kukenberger, M. R. (2016). A meta-analysis of different forms of shared leadershipteam performance relations.Journal of Management,42(7), 1964-1991. Kieu, H. 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