LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 1

ABSTRACT
This research study examines the role of different leadership styles such as transformational, transactional and democratic style of leadership used by managers in explaining employees job involvement in the telecom sector of Pakistan. A total of 200 employees drawn from three organizations in Islamabad will participate in the study. Two research instruments will be used to collect responses from these research participants. The research instruments are Multi Factor Leadership Questionnaire (MLQ) and Job Involvement Scale (JI). The MLQ is a 20 statement version of Bass model (2003). It has been used widely in the capacity of leadership research and is deliberated the finest authenticated measure of transformational, transactional and democratic leadership. Job Involvement will be measured using a 9-statement scale developed by the researcher based on work on Job Involvement and work by J.K White and R.R Ruh (1973). This scale measures the effects of individual values on the affiliation between involvement and job attitudes. Through our research, we have tried to realize as to which leadership style influences job involvement the most whether positively, negatively. Keywords: Leadership Styles, Job Involvement, Transformational Leadership, Transactional Leadership, Democratic Leadership, Work Commitment, Telecom Industry of Pakistan

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 2

TABLE OF CONTENTS
TABLE OF CONTENTS........................................................................................2 3. THEORETICAL FRAMEWORK AND HYPOTHESIS...........................................15 THEORETICAL FRAMEWORK FIGURE............................................................18

1. INTRODUCTION
1.1. BACKGROUND INFORMATION
In management sciences, leadership has always been an important topic, whether it is related to organizational behavior, organizational environment or organizational psychology. Recent trends show that business schools all around the globe are showing a great level of concern for leadership related studies. It has been widely acknowledged that leadership is extremely crucial for the challenging environment of businesses and

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 3

organizations. It is the efficient leadership, which is required to achieve organizational goals like productivity, profitability and customer service etc. Numerous researches have proved that it is the leadership that really counts and matters in making an overall difference in the organizational efficiency. Although there are differences in the definition of leadership but most of the times leadership is defined as a process that involves exertion of influence by an individual upon others to guide them in a systematic, structural way and to facilitate actions and relationships in an organization. The differences are in the manner of influence exertion, purpose and intention of exertion of influence and its possible outcomes of these attempts. Behavioral and organizational researchers have outlined a number of leadership approaches and styles being practiced in the modern times and the historical eras as well. Our focus of the study will be focused on the two distinctive areas of leadership i.e. transactional and transformational style of leaderships.

In a broader sense, transactional leadership is somewhat conventional leadership. This leadership style assumes that reward and punishment are the only factors which motivate people in an organization. Limitation of this approach is that it has an overly simplified attitude to estimate human motivational factors. It also assumes that a clear chain of command results in an efficient socio-organizational system. Furthermore, it has an assumption that when an individual agrees to do a job, he concedes all authority to his manager i.e., he has completely submitted to managers authority. This style of leadership

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 4

insists that the primary duty of a subordinate employee is to do what is told by the manager i.e., restricting and bounding ones self to orders. Contrary to the transactional leadership is Transformational leadership style. The main difference in the two approaches is the determination of factors of motivation of employees. Transformational leadership argues that people follow a person who inspires them. Inspiration is the key motivational factor which instigates followership. Another assumption is that great things and objectives can be achieved through a leaders vision and passion. It also postulates that enthusiasm is the key to get things done. The democratic leadership style also called participative leadership, is a kind of leadership style where the employees of an organization give their contributions in the decision making process. It has been found that this leadership style is very effective and leads to increased productivity. Some of the characteristics of this leadership style are; (1) Employees are stimulated to share their opinions, even though the manager holds the right over the final verdict on a decision. (2) Employees feel more engaged in the process. (3) Creativity is promoted and rewarded among the group. We conceived the idea to work on the topic i.e. Leadership Styles: A determinant of Job Involvement because while working in the corporate sector we observed that certain teams from different departments are more involved and committed to their work as compared to other teams regardless of having the same work environment, compensation packages, qualifications and skill sets. We observed that the differential lies at the leadership styles of their managers. Teams where the line managers were more inspirational were performing better as compared to teams where the line managers were

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least inspirational and they focused only on assigning tasks to their subordinates and reviewing the outcomes of those tasks.

1.2.

SIGNIFICANCE OF STUDY
The study is aimed at exploring the relationship between different leadership

styles and their impact on job involvement of employees at an organization. Moreover the purpose of this study is to reveal the effectiveness of different leadership styles in Pakistans Telecom Industry. Hence the study will not only serve the purpose of becoming an additional research literature in the field of leadership but also will provide an insight to managers at their workplaces in the Telecom sector of Pakistan to better understand the influence of leadership on employee commitment and involvement in more depth. They would be able to utilize the findings of this research in adopting more beneficial styles of leadership in their organizations to increase job involvement of their staff which will ultimately benefit the organization through increased performance. During the study we found two concepts that were conflicting in nature towards the widely accepted view that the leader affects organizational performance. One of them argues that the factors in the work environment make the leaders role almost irrelevant. These factors can be teams of highly trained workers, intrinsic satisfaction with work, computer technology and professional norms. The second argument states that the situation makes leadership irrelevant. The support of this argument is that the leader has unilateral control over only a few resources. Another part is that new leaders are chosen whose values are compatible with those of the firm.

1.3.

PROBLEM STATEMENT

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 6

Our research study will address the problem that how various leadership styles affect staffs job involvement and how leaders affect staffs commitment to work in general? How leadership styles determine the levels of job involvement within the organization will be explored?

1.4.

OBJECTIVE OF STUDY
The research objective of this study is to examine the leadership styles of

managers and their impact on job involvement and commitment of employees in the Telecom Industry of Pakistan. We will conduct a research on influences and implications of leadership styles on job involvement of employees of above mentioned sectors. Following specific objectives will be addressed through this research.
i.

To compare the leadership styles that positively affect job involvement

ii. To determine the factors that affect job involvement and understand the fundamental

reasons for non-involvement

iii. To analyze the degree of influence of leadership styles on employees commitment

1.5.

RESEARCH QUESTIONS

The research will seek to answer the following specific questions:

i.

What are the qualities of leaders that generally influence staffs job involvement?

ii. How leaders influence staff to display job involvement? iii. What are the factors that cause staff to exhibit low job involvement?

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 7 iv. Under what circumstances leadership styles can reduce the rate of low job

involvement?
v. To what extent does leadership styles in an organization has an influence on job

involvement?

1.6.
i.

DELIMITATIONS OF RESEARCH
As the research is limited to the Telecom sector only, it is not possible to generalize the research results to other industries.

ii.

This research only considers the variable in question i.e. job involvement. Other variables such as organizational citizen behavior or organizational climate are not taken into investigation.

iii.

As the time, budget and manpower of the research project is limited, we will only send out up to a maximum of 200 questionnaires and the sample size is small.

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2. LITERATURE REVIEW
Leadership is among the hot debated topics in management sciences. Huge sums of money have been spent to find out the answer to the question: What is an efficient leader? Leadership has a vital role in organizations all around the globe, but some societies do care more about it than others. In some societies we find that people are very keen about their leaders, while in some societies people seemed to be not worried at all about their leaders. Previous researches on this topic have been conducted mostly in North America and Britain, which are highly individualistic and might have this obsession about leadership, that a strong leader is essential for success in both, organization and society (J. W. Hunt 1992, Trompenaars, 1993). On the contrary in societies, which are considered collective societies (Japan, Netherlands, and Sweden etc) Leaders are admired but need of a superhero is not felt essential. Contrary to the highly individualistic cultures, these societies believe that it is the teamwork yields success. (Yukl 1989, Smith & Peterson 1988, J. G. Hunt 1991) It has been proposed in a study that effective leaders are role models who use their dramatic skills to influence others. Furthermore the have these abilities like to create a vision of future, to consolidate values and thoughts and to differentiate themselves from others. (Burns 1978, Bennis 1989, Bass 1985, Tichy & Devanna 1986)

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There are two major types of leadership which have provided foundation for studies in this discipline. Researchers have classified leadership in two major types i.e. Transactional and transformational leadership (Tichy & Devanna, 1986). Transactional leadership is based on the transaction that occurs between the leader and followers. Leader commits rewards and benefits to the subordinates in return to the fulfillment of agreements with the leader (Bass, 1990) Transformational leadership is somewhat an addition to transactional leadership; it involves elements of change or transformation of behaviors, attitudes and values (Bass, 1985; Yammarino & Bass, 1990). This postulates that change agents are the leaders who have ability to influence others to change them. It is assumed that this relation of leader and follower bringing together change results in positive results in the organization. A study found followers attitudes, performances and perceptions to be positively related to transformational leadership. (Bass & Avolio, 1993) Some researchers have found that the concepts like transformational and transactional leadership are universal. However, there is little known about the leadership practices being affected by the environmental and organizational factors and what are their possible outcomes (Bass, 1998). Researchers are working on devising some measurement scale for possible outcomes of leadership. They are also trying to work on questions about absolute values which underlie the leaders vision.

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Various impacts of leadership on employees can be observed like job satisfaction, job performance, retention and empowerment. The ultimate goal of a leader in an organization is to run an organization efficiently and effectively (Connie Vance & Elaine Larson, 2002). In our study we focus on the impacts and effects of leadership pertaining to job involvement. The first approach to define a new style of leadership was adapted by the doyens research on leadership which focused transformational style of leadership (Bernie, Bass 1990, 1999). In a nutshell transactional leadership focus traditional managerial aspects keeping n view the idea of stick and carrot. Some researchers have suggested that this approach might be applicable to stable situation but in rapidly changing global environment management and leadership styles have to be revised. A leadership that should take into account the organizational needs of both the employee and employer. Transformational leadership is an approach in which leaders and followers help one another to higher levels of morality and motivation (Downton J., 1973). Their purposes could be separate from one another but their interests are fused together. Transformational leadership discriminates itself from other forms of leadership in a way that it tries to raise the levels of morality and human and ethical conducts of both leader and those being led, showing a transformational effect on both. A study results supported the findings above suggesting the efficient performance of employees can be achieved only if they are stimulated and motivated. This study also proposed that there is basic difference in the approach of transactional and transformational approach. The transformational approach focuses the objectives like

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equality, collective welfare, change oriented while transactional approach is restricted to the routine and control. (Bass, 1990) Following dimensions of leadership have been postulated from (Bass, 2003) 1. Charisma: Leader has a vision and has a mission. Leader comprises of pride, respect, faith and honor. He has this ability to excite and arouse the people and subordinates. 2. Individual Consideration: The leader directs, coaches, teaches and stimulates the subordinates to learning experiences. He treats individually his followers and has check and feedback as well. 3. Intellectual Stimulation: Leader storms the followers with new ad challenging ideas and motivates followers to think actively to solve problem and use of reasoning in taking an action. 4. Inspiration: Leader act as a role model for followers and he provides a rationale for his followers through communication. 5. Idealized Influence: Leader transmits a strong sense of purpose, values and beliefs among subordinates. He emphasizes higher level of moral and ethical conduct. As soon as transformational leadership was introduced as a major type of leadership necessary for any comprehensive conceptualization (Burns, 1978), a debate began raging about the relative importance of transactional, managerial, and instrumental aspects of leadership, on one hand, and transformational, charismatic, and visionary elements, on the other (Bass 1985; Bennis & Nanus, 1985; Conger & Kanungo 1987,

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 12

1998; Kouzes & Posner 1987; Schein 1985). In particular, the new transformational school has been eager to prove the overriding importance of transformational characteristics or even to assert that transactional elements are not a true form of leadership at all (e.g., Kotter 1990; Zaleznik 1977). Although the shrillness of the transactional versus transformational debate has subsided, the fundamental question remains interesting and varied. Hooijberg & Choi (2001) conducted a study of private and public sector employees to see whether the generic theories of leadership in the current literature could explain differences in these sectors. They linked leadership roles comprising different behaviors from the competing values framework to see which would have a greater impact on perceived effectiveness in different sectors. Their research indicates that monitoring and facilitating roles have more of an impact on perceived leadership effectiveness in the public sector. Second, does transformational leadership seems to make as much of a difference in the public sector as it does in the private sector? Third, does the level of transformational leadership desired by followers vary over time as circumstances shift such as demand for organizational change from the environment? This research seeks to provide one assessment of the first question, some comparisons for the second question, and, related to the third, a benchmark for future research. Transformational leadership theory evolved rapidly in the late 1970s and 1980s because the organizational universe shifted dramatically, elevating transformation and thus requiring a new culture of dynamism rather than stability. As Rosabeth Moss Kanter notes succinctly, change requires leadership (1983).

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As previously discussed, the transformational school of leadership has claimed elements of what has long been a part of the transactional literature: consideration and basic follower support. This study places follower support back into transactional leadership because the augmentation effect that Bass asserts theoretically allows for this dual role. Good contingent reward management should be in place in order to build highperformance systems utilizing transformational leadership competencies. Democratic style of leadership is a participatory style of leadership also known as participatory or leaderful leadership. Normally, in practice attributes which are referred to this style of leadership i.e., dialogue and deliberation and a leaderful managing approach. Dialogue is a communication mode, it is used in decision making process; which ensures participation of both the manager/leader and subordinates (Joseph A. Raelin, 2012). A study on participatory leadership style and a possible relation between employees job involvement and moral conduct with the leadership styles revealed that higher levels of moral and ethical values results in a better determination of overall CSR related motivation. It also suggested that a proper leadership approach is also essential in achieving above explained goals (Boleslaw Rok, 2009). Job involvement can be described as the extent to which an individual is immersed in his present job (Brown, 1996). Individuals who have a high level of job involvement have a kind cognitive relation to the job, while on the other hand individuals with low job involvement find themselves alienated in the organization (Brown, 1996). Likewise in the job satisfaction case, individuals who have some sort of intrinsic motivation have a much better level of job involvement (Gagne & Deci, 2005). Highly

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 14

involved employees enjoy a better time on job tasks and intensely get themselves immersed in the job (Csikszentmihalyi, 1997). There are a number of factors which are identified to be related to job involvement somehow. Job involvement may allow the managers to effectively use this information to a better utilization of human resource of an organization because it urges employees to seek out the meaning and purpose of their job. A better understanding of job involvement could lead to a better understanding of employee behavior (Manojlovich, Laschinger, & Heather, 2002; Soong, 2000). In a study a research urged his finding in a statement that job involvement is a better predictor of absenteeism and work behavior than job satisfaction.
2.1.

LITERATURE GAP
Previous researchers have focused more on the study of relationships between

leadership styles and organizational performance, change management, motivation, job stress, employee performance, staff retention, team interactions and intrapreneurship. However no research work has been done on analyzing and comparing the different leadership styles and their impact on job involvement. After reviewing the literature we sensed this gap from previous work and decided to work on this area.

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3. THEORETICAL FRAMEWORK AND HYPOTHESIS

During the last 20 years two major styles of leadership have evolved which have established the basis for the research of leadership. Transactional and transformational leadership had been analyzed by Burns (1978). Burriss typology (Hater & Bass, 1988; Ticky & Devanna, 1986) was used by other researchers. Transactional leadership is based on transaction or exchange between the leader and the led, wherein leaders exchange promises of rewards and benefits to subordinates for their fulfillment of agreements with the leaders and their contributions to goal achievement (Bass, 1990; Hollander, 1986) Transformational leadership is an extension of transactional leadership to include a change or transformation of attitudes, values, and behaviors as a result of interaction between leader and follower (Bass,1985; Yammarino & Bass, 1990; Yammarino, Spangler, & Dubinsky, 1998). In this conceptualization, leaders are agents of changepeople whose actions influence others and who are also then changed. The theoretical assumption is that this relational influence further creates transformative change or positive outcomes in organizations. Bass and Avolio (1993), House (1992), and Shamir, House, and Arthur (1993) found transformational leadership to be positively associated with followers attitudes, perceptions, and performance, and with organizational transformation. Transformational leaders offer a purpose that transcends short-term goals and focuses on higher order intrinsic needs. This results in followers identifying with the

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 16

needs of the leader. The four dimensions of transformational leadership are idealized influence (or charisma), inspirational motivation, intellectual stimulation and individual consideration. In theoretical model of job involvement in the workplace, Thomas and Velthouse (1990) suggested that the organizational environment can have a powerful influence on cognitions of job involvement. The underlying philosophy behind this approach is contained in the belief that existing traditional organizational practice could render employees less involvement to utilize their full productive and creative potential, thus resulting in passive mind-sets and ineffective performance. Thus it can be said, that higher the job involvement higher the productivity and creativity of employee. By changing or removing the conditions that lead to feelings of less involvement, it is expected that employees would perform at their productive and creative best. In the past leadership research, the emphasis was on the energizing effect of job involvement. Bennis and Nauus (1985) conclude that great leaders involve others to translate their vision into reality and to sustain it. These authors further comment that leaders with transformational behavior energize and hence involve their followers to act by providing an exciting vision for the future rather than through rewards and punishments. Leaders with vision can create a participate climate and involve condition in which organizational members assume the involvement to take actions to enhance the vision. Beyond providing a vision, transformational leaders engage in inspirational behaviors which build subordinates self-confidence with respect to goal attainment (Bass and Avolio, 1993). Leaders who convey high expectations, promote the self-efficacy and

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 17

motivation of subordinates, and ultimately establish norms for individual initiative, achievement- oriented behaviors, and goal-attainment (Eden 1992). In contrast we can assume that transactional leadership might have the opposite effect. Management by exceptional behaviors, for example, focus primarily on mistakes or slipping of performance below certain levels, which can inadvertently communicate to subordinates that poor performance is anticipated but they are not expected to take initiative to correct it. Such transactional behaviors are likely to suppress involvement norms. To the extent that transformational leaders inspire followers to accomplish more difficult objectives, to solve problems from new and different approaches, and to develop themselves to higher levels capabilities.

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 18

THEORETICAL FRAMEWORK FIGURE

TRANSACTIONAL LEADERSHIP BEHAVIOR TRANSFORMATI ONAL LEADERSHIP DEMOCRATIC LEADERSHIP BEHAVIOR JOB INVOLVEMENT

Figure - 1

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 19

4. RESEARCH METHODOLOGY
4.1. DATA, SAMPLE AND RESEARCH DESIGN
Primary data for this study will be collected from a sample of telecom companies in Islamabad through self-reported responses. Questionnaires will be distributed and employees from various departments will be requested to honestly respond to the questions. Demographical factors such as age, gender, education level, work experience etc. will be obtained from this questionnaire. The questions will contain quantitative measures of Job Involvement, Organizational Commitment and Leadership styles. This primary data will then be analyzed and interpreted. A simple random sampling design will be used for the collection of data. We will adopt this design because it has the slightest biasness tendency and offers the most generalizability.

4.2.

MEASUREMENT TOOLS
Leadership styles will be measured using a 20 statement version of Bass model

(2003) Multifactor Leadership Questionnaire (MLQ). MLQ has been used extensively in the area of leadership research and is considered the best validated measure of transformational and transactional leadership. Respondents indicate how frequently their supervisors displayed the behavior described in each statement using a five-point response scale, where 1=Never, 2=Seldom, 3=Sometimes, 4= Often, 5= Always. Job Involvement will be measured using a 9-statement scale developed by the research based on Job Involvement by J.K White and R.R Ruh (1973). This scale measures the effects of personal values on the relationship between participation and job

LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 20

attitudes. All statements are rated using a five point scale from 1= Strongly Disagree to 5= Strongly Agree.

4.3.

HYPOTHESIS

We have proposed the following hypothesis: Hypothesis 1: Managers transformational leadership style will have a positive relationship with employees job involvement Hypothesis 2: Managers democratic leadership style will have a lower positive relationship with employees job involvement as compared to the transformational style. Hypothesis 3: Managers transactional leadership style will have a negative relationship with employees job involvement

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5. REFERENCES
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LEADERSHIP STYLES: A DETERMINANT OF JOB INVOLVEMENT 22

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