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I, (Tilaye mucheye Gelaw), the under signed, declare that this thesis entitled: “Assessing the Female
Leadership Style on Organization Performance In Case of Enat Bank in Addis Ababa” is my original
work. I have undertaken the research work independently with the guidance and support of the research
advisor. This study has not been submitted for any masters, degree or diploma program in this or any
other institutions and that all sources of materials used for the thesis has been duly acknowledged.
Declared by
Name___________________________
Signature: _______________________
Department ____________________
Date __________________________
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Certification
This is to certify that the thesis prepared by (Tilaye mucheye Gelaw), entitled “Assessing the Female
Leadership Style on Organization Performance In Case of Enat Bank in Addis Ababa” and submitted in
partial fulfillment of the requirements for the Degree of Masters of Arts in MBA in sheger college with
the regulations of the University and meets the accepted standards with respect to originality and quality.
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Approval sheet
The under signed certify that we have read and herby recommended to Sheger collage to accept the
thesis submitted by Tilaye Mucheye and entitled the role of Assessing the Female Leadership Style on
Organization Performance In Case of Enat Bank in Addis Ababa in partial fulfillment of the
requirements for the award in Master of business administration Program (MBA)
Final approval and acceptance of the thesis is contingent upon the submission of the final copy of the
thesis to the candidate‟s department.
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Acknowledgements
I am grateful to the God for the good health and well- being that was necessary to complete this paper.I
am grateful to thank Dr. G/kidan Fiseha my advisor, I am extremely thankful and indebted to him for
sharing expertise, and sincere and valuable gidance and encouragement extended to me.
I take this opportunity to express gratitude to all of my friends for their help and support. I also thank my
parents and family for the unceasing encouragement, support and attention. I also place on record, my
sense of gratitude to one and all, who directly or indirectly, have lent their hand in this venture. Help
received from others in the course of choosing research topics, designing the research proposal, offering
materials, designing data collection formats, data collection & data analysis and interpretation are
recognized and thanked.
Tilaye Mucheye
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Table of Contents
Declaration............................................................................................................................................ II
Certification ......................................................................................................................................... III
Approval sheet ..................................................................................................................................... IV
Acknowledgements ............................................................................................................................... V
Abstract ................................................................................................................................................ X
CHAPTER ONE .................................................................................................................................... 1
1. Introduction........................................................................................................................................ 1
1.1. Background of the study .............................................................................................................. 1
1.2 Problem Statement ........................................................................................................................ 3
1.3 Objectives of the study.................................................................................................................. 4
1.3.1 General Objective ................................................................................................................. 4
1.3.2 Specific Objectives ............................................................................................................... 4
1.4 Basic Research Question ............................................................................................................... 5
1.5 Significance of the Study .............................................................................................................. 5
1.6 Scope of the Study ........................................................................................................................ 5
1.7 Limitation of the Study ................................................................................................................. 6
1.8 Organization of the Study ............................................................................................................. 6
CHAPTER TWO ................................................................................................................................... 7
2. Literature Review ............................................................................................................................... 7
2.1 Theoretical review ........................................................................................................................ 7
2.1.1 What is leadership? .............................................................................................................. 7
2.1.2 Characteristics and Qualities of Good Leadership ................................................................. 9
2.1.3 Leadership Approaches .................................................................................................... 10
2.1.4 Laissez-faire Style .............................................................................................................. 10
2.1.5 Transactional Style ............................................................................................................. 11
2.1.6 Transformational Style ....................................................................................................... 12
2.1.7 How to Measure Organizational Performance ..................................................................... 13
2.1.8 Leadership & Organizational Performance ......................................................................... 13
1.2 Empirical review......................................................................................................................... 14
2.3 Conceptual Frame Work ............................................................................................................. 15
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CHAPTER THREE.............................................................................................................................. 16
3. Research methodologies ................................................................................................................... 16
3.1 Introduction ................................................................................................................................ 16
3.2 Research Design ......................................................................................................................... 16
3.3 Research Approach ..................................................................................................................... 16
3.4 Source of data ............................................................................................................................. 17
3. 5 Data gathering tools ................................................................................................................... 17
3.6 Target population ........................................................................................................................ 17
3.7 Sample size and sampling technique ........................................................................................... 17
3.8 Data Analysis Methods ............................................................................................................... 18
3.9 Reliability ................................................................................................................................... 18
3.10 Validity..................................................................................................................................... 18
3.11 Ethical Considerations .............................................................................................................. 19
CHAPTER FOUR ................................................................................................................................ 20
4. Data presentation, analysis and interpretation ................................................................................... 20
4.1 Introduction ................................................................................................................................ 20
4.2 Respondents profile .................................................................................................................... 20
4.3 General understanding of about women‟s leaders in Enat bank. .................................................. 23
4.4 Descriptive statistics of organizational performance .................................................................... 25
4.5 Descriptive Statistics of Laissez-faire leadership ......................................................................... 26
4.6 Descriptive statistics of transactional leadership style ................................................................. 28
4.7 Descriptive statistics of Transformational leadership style .......................................................... 29
4.8 Descriptive Statistics of leadership style and organization performance ...................................... 31
4.9 Inferential Statistics .................................................................................................................... 33
4.9.1 Correlation Analysis ........................................................................................................... 33
4.9.2 Regression Analysis ........................................................................................................... 36
4.9.3 Linearity Relationship Test ................................................................................................. 36
4.9.4 Normality Test ................................................................................................................... 37
4.9.5 Heteroscedasticity .............................................................................................................. 38
4.9.6 Regression Analysis ........................................................................................................... 39
CHAPTER FIVE ................................................................................................................................. 43
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5. Summary, Conclusion and Recommendation .................................................................................... 43
5.1 Summary of Findings .................................................................................................................. 43
5.2. Conclusion ................................................................................................................................. 45
5.3 Recommendations....................................................................................................................... 46
Reference ............................................................................................................................................. 47
APPENDEX 1 ..................................................................................................................................... 50
APPENDIX 2....................................................................................................................................... 56
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List of Table
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Abstract
This study investigated the main effects of leadership styles on organizational performance at Enat bank.
It specifically sought to determine the impact of laissez-faire, transactional and transformational
leadership styles on organizational performance at Enat Bank branches. A descriptive survey research
based on the perceptions of female middle and senior managers in twelve (12) Enat Banking in all Addis
Ababa branches. A structured self-completed research questionnaire was there after distributed and
collected. Three independent variables with various factors were identified and measured using a five-
point scale ranging from 1 (strongly disagree) to 5 (strongly agree). These were laissez-faire;
transactional; and transformational leadership styles. The dependent factor was represented by the
degree to which the organization has achieved its business objectives in the previous financial year. To
discover the leadership styles that influence organizational performance, correlation and regression
analysis was employed. Based on the findings, the following recommendations are given: managers
should discard laissez-faire leadership style by becoming more involved in guiding their subordinates
female managers should formulate and implement effective reward & recognition systems. It was further
recommended that female managers should be strive to become role models to their subordinates;
inspire subordinates by providing meaning and challenge to work; stimulate subordinate efforts to
become more innovative & creative; and lastly, pay greater attention to each individual‟s need for
achievement and growth.
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CHAPTER ONE
1. Introduction
Joined the Ethiopian banking industry as the sixteenth private commercial banks in September
28, 2008 GC by 9 groups of female business promoters, with vision to maximize women
economic capabilities and to be inclusive bank. It consists of 11 person board of directors
comprising 6 women and 5 men with different background.
Difficult idea of establishing a bank to be mostly owned and operated by women. , Unlike other
conventional commercial banks, has taken up additional focused objectives of leveraging
women‟s economic capabilities.
The vision of the Bank is to become a bank of choice in Ethiopia by 2030, mainly by
maximizing economic capabilities. Its mission is to remain true to its name and set a trend in the
Provision of best quality banking service with a special focus on the needs of women and to play
a catalytic role in stimulating social, economic development and in creating shareholder‟s value.
The number of Shareholders of reached more than 18000 as the financial year of 2020/ 2021.
Among which 64% is accounted for women. From the total paid up capital of the Bank, the
women‟s contribution reached close to 60%.
The Bank is taking many initiatives to leverage the women economic development. Unlike the
other banks operating in the country, it has set aside 5% of its gross profit for a loan to be
provided to women entrepreneurs. Besides, it has instituted a system of a guarantee fund for
women engaged in small scale business. It is working with many organizations both national
and international organizations working on women economic empowerment to meet its
corporate vision. On the human capital side, the women workforce, the bank has taken an
initiative of hiring as many women as possible through a positive affirmative action system
implemented within the Bank.
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The Bank is providing the conventional banking deposit and loan products and services. But,
unlike other banks, it is giving a higher benefit in the form of interest rate for women depositors
in the product of deposit designed for women.
The literature on leadership and performance can be roughly divided into a number of significant
phases, according to a history of leadership study. Early leadership studies (sometimes referred
to as leadership characteristic studies) focused on identifying the personality traits that
distinguished great leaders (; Mahoney et al., 1960). According to trait theories, effective leaders
are "born" with a set of natural traits that set them apart from followers.
This trait approach, however, was heavily criticized because it was impossible to classify and
validate these traits, which prompted the rise of "style" and "behavioral" approaches to
leadership (Stodgill, 1948). The focus has switched from a leader's qualities to the conduct and
style they have chosen, according to style and behavioral theorists (Likert, 1961). These studies'
main finding seems to be that effective leaders tend to adopt democratic or participatory
leadership philosophies. In this sense, the goal of this early research is to pinpoint the "one ideal
way of leadership."
Similar to characteristic theories, style and behavioral theories have the main flaw of ignoring
the crucial part that situational factors play in determining an individual leader's performance
(Mullins, 1999).The "situational" and "contingency" theories of leadership (such as those
proposed by Fiedler, 1967; House, 1971; Vroom and Yetton, 1974) and their emphasis on
context-sensitive leadership as opposed to "the one optimal method to lead" result from this
constraint.
The general tenet of the situational and contingency perspectives is that effective leadership
depends on the leader's diagnosis and understanding of situational factors, followed by the
adoption of the appropriate style to deal with each circumstance. This is true even though each
study places a different emphasis on the significance of various factors. Recent leadership
studies have compared "transactional" leadership with "transformational" leadership, however,
in what appears to be a return to the "one optimal approach of leading" (Ogbonna and Harris,
2002).Transactional leaders are said to be „instrumental‟ and frequently focus on exchange
relationship with their subordinates (Bass and Avolio, 1993). In contrast, transformational
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leaders are argued to be visionary and enthusiastic, with an inherent ability to motivate
subordinates (Howell and Avolio, 1993). Although the brief summary above indicates that
research into leadership has gone through periods of scepticism, recent interest has focused on
the importance of the leadership role to the success of organizations. Fiedler (1996), one of the
most respected researchers on leadership, has provided a recent treatise on the importance of
leadership by arguing that the effectiveness of a leader is a major determinant of the success or
failure of a group, organization, or even an entire country. Indeed, it has been argued that one
way in which organizations have sought to cope with the increasing volatility and turbulence of
the external environment is by training and developing leaders and equipping them with the
skills to cope (Hennessey, 1998). These assertions are predicated on the notion that there is a
direct connection between organizational performance and leadership. This presumption has to
be critically examined. Furthermore, interest in leadership in the public sector has grown over
the past few decades, despite the fact that it has long been recognized as a critical component of
organizational effectiveness. As leadership was viewed as one of the primary factors that made
private enterprises more effective than the public sector was thought to be, there was an interest
in improving the public sector by learning from the business world. Therefore, one of the
contributing factors to the development of leadership in the context of the public sector is an
interest in learning from the private sector, where it has long been recognized as a crucial
component of company performance (Murphy).
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„one best way to lead‟ debate. Of particular relevance is the resurgence of interest into
charismatic leadership, which is frequently referred to as transformational leadership (Bass and
Avolio, 1993). A number of researchers theorize that transformational leadership is linked to
organizational performance (Howell and Avolio, 1993). Conceptually, it is argued that the
visionary and inspirational skills of transformational leaders motivate followers to deliver
superior performance (Nicholls, 1988; Quick, 1992). In summary, much of the above evidence
presented as supporting the claim of a leadership–performance link is anecdotal and frequently
over-concentrates on the transformational role of leaders in corporate successes (Quick, 1992;
Simms, 1997). It would appear that few studies have responded to the observation of Porter and
Mckibbin (1988) that much of the research reported as supporting this claim is either
inconclusive or empirically suspect. The limited or inconclusive character of research findings in
this area suggests the need to investigate further the nature of the relationship between leadership
and performance. This study investigated the main effects of females‟ leadership styles on
organizational performance at Enat bank. It specifically sought to determine the impact of
laissez-faire; transactional, and transformational leadership styles on organizational performance
at Enat bank.
The general objective of the study is Assessing the Female Leadership Style on Organization
Performance In Case of Enat Bank in Addis Ababa.
To determine whether the use of a laissez-faire leadership style has a role on the
performance of the company.
To determine whether the use of a transactional leadership style affects the performance
of the company.
To determine whether transformational leadership practices have a role on performance
as an organization with a female manager.
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1.4 Basic Research Question
On the other hand, the study would have a great significance for external stakeholders such as
investors those own shares on the Enat bank, the community for which the financial service is
provided, and the government which regulate the sector for the sake of the safety of the public
resource and sustainable economic development.
The researcher would be conducted on the effect of women‟s leadership style on organizational
performance in Enat Bank Addis Ababa city branches. Demographic factors such as age and
gender has also included in the study in order to understand the effect they may have on
independent variables (laissez-faire; transactional, and transformational leadership styles) and
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dependent variable (organizational performance). This study has assessed how female mangers
leadership style affects organization performance.
The research had certain limitations and therefore confined to Enat bank. There are
uncontrollable factors that can determine the effect of organizational performance. For instance
the respondent may not properly respond to the whole content of the questionnaire due to
misunderstandings lack of knowledge, or commitment to the subject matter output of mangers of
Enat Bank furthermore, the non-co-operative attitude.
Given the general objective of the study, the study is organized as follows. The first chapter is
the introduction part that presents the background of the study, the problem statement, and the
objectives of the study, the significance of the study, and scope and limitations of the study. The
second chapter reviews the available literature for its theoretical and empirical basis; the chapter
would have two distinct parts where the first part reviews the theoretical literature and the
second part reviews the empirical findings of other studies. The third chapter is the methodology
that presents the theoretical hypotheses of the study‟s dependent and independent variables;
defines the data and the data variables; discusses about the research approaches followed by the
study; specifies the model to be used for analysis, and the rules used for data analysis. The fourth
chapter presents the empirical findings of the study in two parts: results from descriptive analysis
and results from regression analysis. The fifth chapter concludes and recommends.
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CHAPTER TWO
2. Literature Review
For many centuries leadership was seen just as a personal quality. Confucius, the great Chinese
thinker that lived about 2500 years ago, did not propose any definition of leadership but insisted
in the need for leaders to be virtuous and look after the people around them. For him, a leader‟s
primary purpose is to serve the people (Confucius, circa 475 BC/1998). For Plato which many
recognize as the founding father of philosophy, the leader should be wise (Takala,1998).
Machiavelli stated that the leader should have good virtues and should be intelligent to have the
support of the people (Machiavelli, 1513/1992). Carlyle summarized the recurring ideas about
leadership in his theory of the “great man” for him leaders were exceptional persons or heroes
that were able to use their charisma, intelligence, wisdom, and political skill to have power and
influence over other people.
Despite the fact that leadership continued to be defined as a personal quality, after world war the
second a new trend started. Define leadership as the process (act) of influencing the activities of
an organized group in its efforts toward goal setting and goal achievement. This was perhaps the
first effort to point out that leadership was not a mere individual trait but a process of influence
upon others.
The massive, often turbulent change that characterized business organizations in the 1970s and
1980s led to what has been described as the “new paradigm”, with its emphasis on being
charismatic (House, 1977), visionary (Sashkin, 1988), and transformational (Bass, 1985). These
were seen as revealing a conception of the leader as someone who, by defining an organization‟s
mission and the values which will support it, defines organizational reality. Thus, in the “New
Leadership” approach, leaders are seen as managers of meaning, rather than in terms of simply
an influence process. However, over the last few years – arguably fuelled by increased
fanaticism, the rapid changes in the global world such as rapidly-evolving technologies, and
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political and social factors have also called for the development of effective leadership skills
(Cacioppe, 1998).
Leadership can be seen as a group process, an attribute of personality, the art of inducing
complaisance, an exercise of influence, a particular type of action or behavior, a form of
persuasion, a power relationship, an instrument to achieve goals, the result of an interaction, a
differentiated role or initiation of a structure (Bass, 2000). The concept of leadership is defined,
according to Hersey and Blanchard (1979), “as the process of influencing the activities of an
individual or a group in efforts toward goal accomplishment.
For Senge (1990), leadership is associated with stimulants and incentives that motivate people to
reach common objectives. Hersey et al. (2001), states that the essence of leadership involves
achieving objectives with and through people. Weihrich and Koontz (1994) define leadership as
the process of influencing people so that they make an effort by their own will and enthusiasm
towards obtaining the group‟s goals. According to Kotter (1990), without leadership, the
probability of mistakes occurring increases and the opportunities for success become more and
more reduced.
For these same authors, and in this context, leadership allows cooperation, diminishes conflicts,
contributes to creativity and has an integrating role, as it keeps people united even when not
physically so. In this way, leadership, together with stimulants and incentives, promotes people‟s
motivation towards achieving common goals, having a relevant role in the processes of forming,
transmitting and changing organizational culture (Senge, 1990).
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2.1.2 Characteristics and Qualities of Good Leadership
Those who hold leadership positions in organizations are usually those that have been found to
possess certain characteristics and qualities. The leader might not necessarily be the most senior
person in all situation but by virtue of having certain qualities, these is believe that he/she will
perform most effectively given the necessary resources and supported with good policies. The
qualities found in the person are expected to help carry out some defined functions and goals
every administrator wants peace to reign in the work milieu (environment) but the only way to
achieve peace is to deliver the administrative services efficiently in order to meet the
expectations of the workers and the management board. The qualities as discussed by Adebayo
(2004) are as follows: A leader must be tactful in dealing with his or her colleagues, he possess a
sense of modesty, sense of judgment, foresight ability to delegate, understanding and
Consideration, feasibility and a wide range of initiative, imagination and perseverance. A good
sense of imagination and perseverance are two essential attributes of a leader. A good
administrator should possess the abstract, thinking and perseverance in any situation no matter
how difficult. He/she should be able to grasp all the facts in a complicated situation, to sort them
out and to set them out in their proper relationship and to summarize them in the fewest possible
words (Adebayo, 2004). Other attributes associate with the sense of imagination and
perseverance includes:-The capacity to recognize the essential points in a situation however
complicated. The capacity to think less in terms of things as they are today but in terms of what
is going to happen The capacity not only to understand people but also to lead them to be
conductors of orchestra. Sense of Humor 24 an Administrator / leader must have a good sense of
humor in other to enhance the effect of communication, create a friendly environment and make
the interaction interesting and sustainable without losing the focus of the issues being discussed
with the staff. He must in all situations relax and sleep well, in other to appear presentable; an
administrator should develop a neat and decent way of dressing, a dignified and calculated way
of speech and always conduct him/herself in a different manner. According to Podsakoff, P. M.
et al (1998), the manager or administrator should be endowed with delicate and sensitive
Perception so that he can understand the changing needs of the organization. He should have
courage and faith. The leader of administrator must be able to define clearly the objectives of the
Organization and then direct the activities of organization the attainment. Broad familiarity with
technology being used by the organization, being able to work with people, time management,
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concentration, practical approach to issues, being able to attempt the impossible, being action
oriented, integrity and being able to calculate costs and benefits. Podsakoff, Mac Kenzie,
Morrman, & Fetter, R. (1990) listed the essential qualities of an administrator as follows:
Good human relationship - A leader should possess the ability to communicate effectively using
both verbal and non-verbal methods of communication, he/she must be a good listener and a
careful observer quality of good leadership should be:
One of the most prominent formats for classifying and studying leadership includes three styles
– transformational, transactional and laissez-faire leadership. The present study uses charismatic
leadership approach to identify the leadership style of public managers. In this approach,
leadership is conceptualized by the behavioral areas from laissez-faire style (non-leadership),
through transactional leadership (which hinges on reward system and punishments), to
transformational leadership (which is based on inspiration and behavioral charisma) (Bass and
Avolio, 1993). The approach is chosen because of its currency in management research and the
efficacy demonstrated through research findings. The various components are now elaborated
An avoidant leader may either not intervene in the work affairs of subordinates or may
completely avoid responsibilities as a superior and is unlikely to put in effort to build a
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relationship with them. Laissez-faire style is associated with dissatisfaction, unproductiveness
and ineffectiveness (Deluga, 1992).
Factors of Laissez-Faire
The non-leadership: Leaders in this type will always avoid getting involved when important
issues arise and avoid making decisions.
Transactional leaders focus mainly on the physical and the security needs of subordinates. The
relationship that evolves between the leader and the follower is based on bargaining exchange or
reward systems (Bass, 1985; Bass and Avolio, 1993). Transactional leadership “Using a carrot or
a stick, transactional leadership is usually characterized as instrumental in followers‟ goal
attainment” (Bass, 1997). There are three components in transactional leadership – Contingent
reward, where by subordinates‟ performance is associated with contingent rewards or exchange
relationship; Active Management by exception, whereby leaders monitor followers‟
performance and take corrective action if deviations occur to ensure outcomes achieved; Passive
Management by exception, whereby leaders fail to intervene until problems become serious
(Bass, 1997).
Contingent reward: This factor is based on a bargaining exchange system in which the leader
and subordinates agree together to accomplish the organizational goals and the leader will
provide rewards to them. Leaders must clarify the expectations and offer recognition when goals
are achieved.
Management-by-exception (active): The leader specifies the standards for compliance, as well as
what constitutes ineffective performance, and may punish subordinates for being out of
compliance with those standards. This style of leadership implies closely monitoring for
mistakes and errors and then taking corrective action as quickly as needed.
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problems become apparent. This style does not respond to situations and problems
systematically.
Transformational leaders encourage subordinates to put in extra effort and to go beyond what
they (subordinates) expected before (Burns, 1978). The subordinates of transformational leaders
feel trust, admiration, loyalty, and respect toward leaders and are motivated to perform extra-role
behaviors (Bass, 1985; Katz and Kahn, 1978). Transformational leaders achieve the greatest
performance from subordinates since they are able to inspire their subordinates to raise their
capabilities for success and develop subordinates‟ innovative problem solving skills (Bass,
1985). This leadership style has also been found to lead to higher levels of organizational
commitment and is associated with business unit performance (Barling et al., 1996). The
leadership factors used to measure transformational, transactional and laissez-faire leadership
style in this study are from the Multifactor Leadership Questionnaire (MLQ) developed by Bass
and Avolio (2004) based on the theory of transformational leadership. They are discussed below
in detail:
Idealized influence (charisma): This factor consists of firstly; idealized influence attributed, and
secondly, idealized influence behavioral. They are the charismatic elements in which leaders
become role models who are trusted by subordinates. The leaders show great persistence and
determination in the pursuit of objectives, show high standards of ethical, principles, and moral
conduct, sacrifice self-gain for the gain of others, consider subordinates‟ needs over their own
needs and share successes and risks with subordinates.
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Intellectual stimulation: Leaders stimulate their subordinates‟ efforts to be innovative and
creative by questioning assumptions, reframing problems, and approaching old situations in new
ways. The intellectually stimulating leader encourages subordinates to try new approaches but
emphasizes rationality.
Individualized consideration: Leaders build a considerate relationship with each individual, pay
attention to each individual‟s need for achievement and growth by acting as a coach or mentor,
developing subordinates in a supportive climate to higher levels of potential. Individual
differences in terms of needs and desires are recognized.
Assuming “the essence of leadership is influence”, leadership could broadly be defined as “the
art of mobilizing others to want to struggle for shared aspirations” (Kouzes& Posner, 1995).
However, it could be argued this “influence, mobilization and struggle” is of little value in an
organizational context unless it ultimately yields an outcome in line with the “shared aspiration”
for leadership to be deemed successful. Peter Drucker captures this notion by simply stating:
“Leadership is all about results”. Creating results in today‟s ever changing and increasingly
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competitive world requires a very different kind of leadership from what was studied in the past.
While leaders in the past managed perhaps complex organizations, this was in a world of relative
stability and predictability. In today‟s globalized world, with organizations coping with rapidly
changing environments, leaders face a new reality. Working in flexible contexts and connected
by real-time electronic communication, increasingly mobile employees have themselves become
the critical resource of their organizations (Reger, 2001). What is now needed are leaders who
simultaneously can be agents of change and centers of gravity, keep internal focus and enable
people and organization to adapt and be successful, while at the same time never letting go of the
customer focus and external perspective (Alimo Metcalfe, 1998). Furnham (2002) assert that the
appropriate measurement outcome from leadership quality is effectiveness (reflecting the
leader‟s efficacy in achieving organizational outcomes, objectives, goals and subordinates‟
needs in their job). Thus, the measure of organizational performance in the current study
represented the degree to which a company achieved its business objectives.
However, in an apparent return to the one best way of leadership‟, recent studies on leadership
have contrasted transactional leadership with transformational leadership (Ogbonna and Harris,
2002). Transactional leaders are said to be instrumental and frequently focus on exchange
relationship with their subordinates (Bass and Avolio, 1993). In contrast, transformational
leaders are argued to be visionary and enthusiastic, with an inherent ability to motivate
subordinates (Howell and Avolio, 1993).
Although the brief summary above indicates that research into leadership has gone through
periods of scepticism, recent interest has focused on the importance of the leadership role to the
success of organizations. Fiedler (1996), one of the most respected researchers on leadership, has
provided a recent treatise on the importance of leadership by arguing that the effectiveness of a
leader is a major determinant of the success or failure of a group, organization, or even an entire
country. Indeed, it has been argued that one way in which organizations have sought to cope
with the increasing volatility and turbulence of the external environment is by training and
developing leaders and equipping them with the skills to cope (Hennessey, 1998).
14 | P a g e
Early studies on leadership (frequently categorized as trait studies on leadership) concentrated on
identifying the personality traits which characterized successful leaders (; Mahoney et al., 1960).
Trait theories assume that successful leaders are „born‟ and that they have certain innate
qualities which distinguish them from non-leaders. However, the difficulty in categorizing and
validating these characteristics led to widespread criticism of this trait approach, signaling the
emergence of „style‟ and „behavioral‟ approaches to leadership (Stodgill, 1948). Style and
behavioral theorists shifted the emphasis away from the characteristics of the leader to the
behavior and style the leader adopted (Likert, 1961).
The main objective of this study is assessing the female Leadership Style on Organization
Performance In Case of Enat Bank in Addis Ababa. Based on the objective of the study, the
following conceptual model is framed. As it described previously in the related literature review
parts, organization performance can be affected women‟s leadership style. Conceptual
framework shows the relationship between leadership style and organization performance. The
leadership style such as (laissez –faire leadership style, transformational leadership and
transactional leadership style) independent variable and organizational performance is dependent
variable. Thus, the following conceptual model is framed to summarize the main focus and
scope of this study in terms of variables included.
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CHAPTER THREE
3. Research methodologies
3.1 Introduction
In this chapter of the study, will be discussed the research methodology that include, research
design, research approach, sample design, data collection tools, analysis methods ,reliability and
validity, model specification, end up with ethical considerations
The research design is specific research methodology and techniques used to achieve the
objective of the study. It encompasses techniques used in choosing alternatives research
methodology and technique issues, source of data, sample design, method of data collection and
analysis in order to gather any pertinent data and carrying out the whole research paper. A
research design is a grand plan of a research topic. It is a quit a lot of work and reading , as well
as simply understanding of views of a research(Greener S,2008)
Explanatory research design will be used in this study. An explanatory study goes beyond
description and attempts to explain the reasons for the phenomenon that the descriptive study
only observed. Research that studies the relationship between two or more variables is also
referred to as a correlational study. In an explanatory study, the researcher uses theories or at
least hypothesis to account for the forces that caused a certain phenomenon to occur. Therefore
explanatory research looks for cause and reason (Greener S, 2008)
In addition the researchers was used mixed approach, i.e. both quantitative and qualitative
approaches that are important to measure objective and perform statistical analysis of numerical
data to understand and explain a phenomenon and forecasting on understanding social
phenomenon from the perspective of participants in the study.
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Kothari (2004),discussed that qualitative approach is concerned with subjective assessment of
attitude, opinion, and behavior. Research in such situations is a function of researcher‟s insight
and impressions. It also concentrates on measuring of scale range, frequency type of phenomena
(Greener, 2008).
For this research, the researchers was used both primary and secondary data sources and deals
with the basic research questions. Basically secondary data that could be collected from books,
journals, e- books, policies and manuals related to subject matter under study and primary data
would be collected through administered questionnaires.
Data was collected using structured questionnaire. It encompasses both open ended and close
ended questions, literatures that are related to topic.
Even if the Enat Bank employees comprise large number of professional, supportive and clerical
staff selecting the target population is very indispensable. Nevertheless, collecting data from all
employees is beyond the researcher‟s capacity. Thus, the study targeted professional and
supportive staff together with female clerical staffs who are working in Enat bank, spatially in
working in managerial level. The total target populations of 35 female managerial level
employees are staffs working to all Enat Bank branches.
For this research, the researcher employed non-random sampling technique or purposive
sampling technique, used to select the representative samples from the population, and collected
through questionnaires. Researcher employed total population (census) sampling technique for
all managerial level staff in Enat Bank because the size of population is very small.
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3.8 Data Analysis Methods
It is quite sure that some technique of the Data analysis are specifically designed and only
applicable to quantitative data, where as other techniques has been specifically designed for and
only applicable to data that is qualitative in nature. Therefore, this research would employ both
qualitative and quantitative data analysis techniques to analyze data that would be collected.
Moreover, data collected using questionnaire will be edited, coded, and would show using table,
and also will be applied descriptive method of data analysis such as mean and standard
deviation. Parallel to this inferential statistics such as correlation and regression would be used
to determine the relationship between the independent (laissez –faire leadership style,
transformational leadership, transactional leadership style) and dependent variables
(organization performance). Data will be analyzed using Statistical Package for Social Sciences
(SPSS) program.
3.9 Reliability
Reliability refers to the consistency with which repeated measures produce the same result
across time and across observers (Patton, 1990; 2002). In order to ensure reliability of the data,
all the questionnaires have been used in the research are uniform to all respondents. To ensure
reliability, this study has employed one methods of data collection i.e. questionnaires.
The reliability of questionnaires will carried out through pre-testing with selected respondents
from the target population which ensured that, the reliability will be 0.82. At the same time all
data collected about the research is uniformly processes to ensure consistency and stability of
research results.
3.10 Validity
Validity is used to make more accurate and meaningful results. According to (Shadish, Cook &
Campbell, 2002), the term validity refers to the approximate truth of an inference. When we say
something is valid, we make a judgment about the extent to which relevant evidence supports
that inference as being true or correct. To ensure validity (content& construct) the research tried
to use express and the research adviser opinion this has improved the validity of the questioners.
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3.11 Ethical Considerations
When questionnaires are distributed the researcher will inform respondents on the introduction
part of the paper about the title and objective of the study. Besides to develop respondents
confidence they will be informed that their responses will be kept confidentially and the
information uses only for academic purpose.
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CHAPTER FOUR
4.1 Introduction
The previous chapters of the study addressed the contextual, theoretical and descriptive aspects
of the study.
The focus of this chapter is to analyze and present the collected data from all Enat Bank
branches using questionnaire and examine the findings in the light of the objectives of the study.
The quantitative data collected under the survey is coded for the analysis. This section of the
study deals with the statistical testing of hypothesis and interpretation of the result making use of
SPSS version 23 software. SPSS is used to analyze the quantitative data. The qualitative data is
also thoroughly discussed in relation to the objectives of the study.
Moreover, Methodology part of this thesis explained, from 35 populations 35 sample size was
selected and questionnaire was designed and distributed to a total of 35 employees of the
targeted all Enat Bank branches. Out of (35) questionnaires distributed to the respondents (35)
were properly filled and collected.
The first part of the questionnaire consists of six items about the demographic information of the
respondents. It covers the personal data of respondents, such as gender, age, marital status,
educational qualification, work experience in the Bank, Current position and salary ranges of
employee„s. The following tables shows the total demographic characteristics of the respondents
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Age 20-30 -
31-40 23 65.712%
41-50 12 34.28%
>51 - -
PHD - -
10001-15000 - -
15001-20000 - -
>20001 35 100%
Single -
Widowed - -
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Divorced - -
Director 6 17.14%
As shown in the above figure, of the respondents 100% (35) were females because the researcher
focused on female mangers in Enat bank.
The respondents were asked to indicate the age group the belonged to and the results are as
shown. Table 4.1 shows that 23 (65.712%) of the respondents are between 31-40 years, 12
(34.28%) are between 41-50 years. This shows that majority of the respondents are aged
between 31 and 40 years. We can also see that out of the total respondents that (65.712%) were
stripling. As a result, it is possible to say that most of women‟s manger in Enat Bank are matured
or fairness, so that, the Bank may acquire the best out of energetic employees.
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The above figure demonstrates educational background of the respondents. Accordingly 20
(57.14%) MA/MSC and 15(42.86%) are first degree holders were found from the total
respondents. Thus, the findings indicate that majority of the respondents were MA/MSC holders
and the bank has well educated mangers.
The above figure demonstrates martial states of the respondents 35 (100%) of the total
respondents were married. Thus, the findings indicate that all of the respondents were married.
With regard to respondents` salary range, out of 35 respondents 35 (100%) of them earn a salary
range of above 20001.Thus; the findings indicate that all of the respondents were found a salary
of mangers is above 20001.
Regarding the position of respondents 6 (17.14%) of them were working in the Director position,
15 (42.86%) of them were working in the Division manager position, 12(34.28%) of them
working in the branch manager and 2(5.71%) of them were working in the Deputy Branch
manager. Thus, the findings indicate that majority of the respondents were managerial positions
of branch division manager.
Regarding the position of respondent 12 (34.28%) of the respondents have year of service from
1-5 years, 17(48.58%) respondents with having length of service from 6-10 and the remaining 6
(17.14%) above 10 years. Thus, the findings indicate that majority of the respondents were fall
under the service in Enat bank of 6-10 years and the bank has well service giver mangers and
experienced leaders.
Do you think that the numbers of women in managerial positions are few?
Based on the respondent 25 (71.42%) says yes and the remaining 10(28.58%) of respondent says
no. this indicates the majority of respondents or women‟s mangers agrees may not give equal
chance to women employee at recruitment stage.
If say, numbers of women in managerial positions are few, what is the reason?
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Based on this question 16 (64%) respondents agreed by educational gap and the remaining
9(36%) respondent agrees social cultural attitude. As per respondent Educational gap is one of
the major factor for law participation of women in leadership position, while in the company
male are dominating in number on some fields of education like leadership, management and
other, which is one the necessary fields for Enat Bank operation and where also more staffs are
found and also the reason of social cultural attitude some women‟s falls from managerial
position.
What type of managerial position are mostly women occupied in the company?
Based on these question 15 (42.86%) respondents agreed by women‟s manger mostly occupied
in support area managing and 12 (34.28%) respondent says women‟s mangers mostly successful
on commercial managing area and the remaining 6 (17.14%) respondent agrees women‟s
mangers mostly occupied in information system managing. This indicted most of women‟s
mangers successful in support area of managing by using modern leadership style.
Female‟s mangers have capacity to exercise best leadership style to maximize organizational
performance?
As this question 35 (100%) of respondents says yes, this indicates Female‟s mangers in Enat
Bank believe women‟s mangers have capacity to exercise best leadership style to maximize
organizational performance.
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4.4 Descriptive statistics of organizational performance
Descriptive Statistics
Valid N (listwise) 35
As it is showed in the above table 4.2 Enat Bank female mangers have showed there is degree of
agreement to the statement „„Female mangers have feasible contribution for organization
performance” with mean value 5.00 and SD 0.000, This implies that Female mangers have
highly positive effect on the organization performance and achieving the objective of the bank.
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The second one degree of agreement to the statement “The Exiting leadership style is helping for
women‟s manger to increase the organization performance” with mean value 4.23 and SD 0.646,
this Exiting leadership style is helping for women‟s manger to increase the organization
performance
The third one degree of agreement to the statement “The banking work environment is good for
women‟s mangers to exercise better leadership style and maximize organization performance.”
with mean value 4.17 and SD 1.124, which implies that the banking work environment is good
for women‟s mangers to exercise better leadership style and maximize organization performance
The fourth one degree of agreement to the statement “The bank have standardized leadership
style to help increases organization performance” with mean 4.17 and SD 1.043, this indicates
the bank have standardized leadership style to help increases organization performance.
Descriptive Statistics
Valid N (listwise) 35
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Table 4.3 Laissez-faire leadership style
As it is showed in the above table 4.3 Enat bank female managers have showed there is degree
of agreement to the statement „„I am avoidant leader may either not intervene in the work affairs
of subordinates.” with mean value 2.29 and SD 1.274, this indicts their overall response shows
the majority of the mangers are not avoidant leader in Enat bank.
The second one degree of agreement to the statement “I am completely avoiding responsibilities
as a superior” with mean value 1.89 and SD 0.993, this implies that the female mangers not
completely avoid responsibilities in Enat bank.
The third one degree of agreement to the statement “I am not to put in effort to build a
relationship with them” with mean value 1.37 and SD 0.490, this implies that the Female
mangers put in effort to build a relationship with them in Enat bank.
The fourth one degree of agreement to the statement “I am tray to avoid making decisions” with
mean 1.40 and SD 0.497, the majority of the respondents showed their disagreement; this shows
female mangers not avoid making decisions in Enat bank.
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4.6 Descriptive statistics of transactional leadership style
Descriptive Statistics
Valid N (listwise) 35
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Table 4.4 Transactional leadership style
As it is showed in the above table 4.4 women‟s mangers in Enat Bank have showed there is
degree of agreement to the statement „„I am Clarify the expectations to my followers and offer
recognition when goals are achieved” with mean value 4.86 and SD 0.355, This shows that
female mangers in Enat Bank has Clarify the expectations to my followers and offer recognition
when goals are achieved.
The second one degree of agreement to the statement “I am focus mainly on the physical and the
security needs of subordinates” with mean value 1.77 and SD 0.973, this indicates it does not
focus mainly on the physical and the security needs of subordinates in Ena tbank.
The third one degree of agreement to the statement “The relationship that between me and my
follower is based on bargaining exchange or reward systems” with mean value 2.03 and SD
0.954, this indicates The relationship between female mangers and follower is not only based on
bargaining exchange or reward systems n Ena tbank.
The fourth one degree of agreement to the statement “I am specifies the standards to monitoring
my followers and make accretion when needed” with mean value 4.26 and SD 0.505, this shows
that majority of the female mangers in Enat Bank are specifies the standards to monitoring their
followers and make accretion when needed.
The last one degree of agreement to the statement “I am monitor my followers performance and
take corrective action if deviations occur to ensure outcomes achieved” with mean 4.46 and
1.066 SD, This also indicates the majority of female mangers in Enat Bank monitor the
followers performance and take corrective action if deviations occur to ensure outcomes
achieved.
Descriptive Statistics
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I am try to inspire my followers to 35 3.00 5.00 4.26 .505
put in extra effort and to go beyond
what they expected before
Valid N (listwise) 35
As it is showed in the above table 4.5 Enat Bank female mangers have showed there is degree of
agreement to the statement „„I am tray to inspire my followers to put in extra effort and to go
beyond what they expected before.” with mean value 4.26 and SD 0.505, the majorities
respondents are agree. This indicates female mangers in Enat Bank inspire there followers to put
in extra effort and to go beyond what they expected before.
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The second one degree of agreement to the statement “I am tray to inspire my followers to raise
their capabilities for success” with mean value 4.80 and SD 0.406, which implies that female
mangers in Enat bank tray to inspire my followers to raise their capabilities for success.
The last one degree of agreement to the statement “I am tray to build a considerate relationship
with each individual and give attention to each individual‟s need for achievement.” with mean
value 4.89 and SD 0.323. This indicates that I am tray to build a considerate relationship with
each individual and give attention to each individual‟s need for achievement.
Illustration of the descriptive statistics for each main constructs and its dimensions using Mean
and Standard deviation is given on this part. A total of 18 statements were presented to Enat
Bank women‟s managerial position employees through the structured questionnaire to measure
their degree of agreement or disagreement over female‟s leadership style organizational
performance. A statistical mean value and standard deviation which is calculated based on
female‟s manger response on the questionnaire for four constructs is presented below for
discussion.
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Descriptive Statistics
organizational
35 2.50 5.00 4.39 0.703
performance
Transactional 35
2.00 5.00 3.48 0.771
leadership
Transformational 35
3.60 5.00 4.71 0.423
leadership
Valid N (listwise) 35
The summary of the descriptive statistics for all variables used in the study presented in the
Table. The table reports dependent variable (organization performance) and three independent,
which are the Laissez fair leadership, Transactional leadership and transformational leadership.
The result shows that the average value of the organizational performance is 4.39 and the
standard deviation of the organizational performance is 0.703.
The second variable is about the Laissez fair leadership; here the mean value is 1.74 and the
standard division is 0.814, which indicates that majority of the respondents are not satisfied or
agree because the mean value is less than average mean on the Laissez fair leadership style
practice.
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With respect to the third variable i.e. Transactional leadership, the mean value 3.48 and the
standard division 0.771 which implies that majority of the respondents are agree on the raised
questions regarding the women‟s leader transactional leadership practice in Enat bank.
The above table shows when the researcher observes the mean value for transformational
leadership, it is 4.71 and standard deviation is 0.423, which makes it possible to conclude that
the mean value of transformational leadership is greater than average of mean and the majority
of respondents have a good attitude for women‟s transformational leadership style.
When we compare the overall mean values for all variables of the study has an impact but
transformational leadership style is have more impact because the mean value of this variable is
greater than other variables.
To examine the relationship and effect between women‟s leadership style and organizational
performance, both correlation and regression analysis has been conducted. The results presented
on the following sections.
Correlation is the degree of association between two or more variables. To know whether there
is a relationship and the strength of relationship between variables correlations measures are
helpful. The linear relationship between variables can be measured by correlation coefficient (r)
which can vary from -1 to +1. The larger the value implies the stronger the relationship. The
following table shows that, the measures of association and descriptive adjectives between the
predictors variables, which was originally developed by (MacEachron, 1982). Hence, the
correlation output of the dependent and independent variables presented below.
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Descriptive adjective Measure of Association
Very weak or very low > 0.00 to 0.20; < -0.00 to – 0.20
Very high or very strong > 0.80 to 1.0; < -0.80 to – 1.0
Correlations
Pearson
1 -.273 .317** . 413**
Correlation
organizational
Sig. (2-
performance .069 .000 .000
tailed)
N 35 35 35 35
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Pearson
-.273 1 .052 .056
Correlation
Laissez fair
Sig. (2-
leadership .069 .338 .000
tailed)
N 35 35 35 35
Pearson
.317** .052 1 .073
Correlation
Transactional
Sig. (2-
leadership .000 .338 .176
tailed)
N 35 35 35 35
Pearson
. 413** .056 .073 1
Correlation
Transformational
Sig. (2-
leadership .000 .000 .176
tailed)
N 35 35 35 35
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Table 4.8 Correlation Analysis
In an effort to analyze the nature of the correlation between the dependent and the independent
variables and also to ascertain whether or not multi co-linearity exists as a result of the
correlation among variables, pearson correlation analysis have been computed. The correlation
matrix that shown in Table 4.8 provides some insights into the independent variables that
correlated to the dependent variable organization performance. The results indicate that
organizational performance positively correlated with transactional and transformational
leadership style negatively related with laissez faire leadership style .The result implies that as
the women‟s transactional leadership style and women‟s transformational leadership style
increase, the organization performance will increase. As expected, there is positive relationship
between organization performance transactional leadership style and transformational leadership
style.
To examine the effect of women‟s leadership style and organization performance regression
analysis has been conducted. Before running multiple linear regression analysis, the researcher
has conducted the five major assumption to ensure the appropriateness of data for doing multiple
regressions .These are linearity, normality, Multicollinearity, homoscedasticity and
autocorrelation.
The first assumption for computing multiple regressions is testing of the linear relationship
between dependent and the independent variables. As regression analysis is based on the concept
of correlation, the linearity of the relationship between dependent and independent variables is
important.
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Linearity test
Total 64.712 35
Based on the above table value sig, deviation from 0.008 is less than 0.05 it can be conclude that
her is a linear relationship between the leadership style and organization performance.
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Tests of Normality
Kolmogorov-Smirnova Shapiro-Wilk
Transactional leadership 35 35
.234 .000 .853 .000
style
Transformational leadership 35 35
.265 .000 .731 .000
style
Hence, as it is depicted in table 4.10 determinants of profitability skewness and kurtosis statistics
are within the range of -2 and +2 so that the assumption of normal distribution is met
4.9.5 Heteroscedasticity
The Hetero scedasticity problems arise when the variance of the error term is not constant. As
noted in Brooks, (2008, p.182) the variance of the errors is constant, this is known as the
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assumption of homo scedacticity. If the errors do not have a constant variance, they are said to
be heteroscedastic. The study would be employed the popular white test to detect
heteroscedasticity. This test involves testing the null hypothesis that the variance of the errors is
constant (homoscedacticity) or no heteroscedasticity against the alternative that the errors do not
have a constant variance.
In this study, as shown below, both the F-statistic and Chi-Square versions of the test statistic
draw the same conclusion that there is no evidence for the presence of heteroscedasticity, since
the p-values were in excess of 0.05. This indicates that, there is no evidence that we do not reject
the null hypothesis implying that the residuals are homoscedastic, since the p-value was
considerably in excess of 0.05.
Finally a multiple regression analysis has been conducted to examine the effect of the predictor
variables on an outcome variable. The model summary of regression presented in the below
table.
Model Summary
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The model summary in the above table 4.11 reports the strength of relationship between the
independent variable (laissez fair leadership style, transactional leadership style,
transformational leadership style) and the dependent variable (organizational performance). In
the above table the R is a Pearson correlation between predicted values and actual values of
dependent variable, with a value of 0.612. R² is multiple correlation coefficients that represent
the amount of variance of dependent variable i.e. organization performance is explained by the
combination of three independent variables of women‟s leadership (laissez fair leadership style ,
transactional leadership style, transformational leadership style) and 51.6% variance of
organization performance is explained by three predictors. Value of R square implies 51.67% of
the variance in the dependent variable (organization performance) can be predicted from the
independent variables.
ANOVAa
Total 73.818 35
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The ANOVA tells us whether the model, overall, results is a significantly good degree of
prediction of the outcome variable. F-ratio is the test statistic used to decide whether the model
as a whole has statistically significant predictive capability, considering the number of variables
needed to achieve it. Since the significance result on the ANOVA table 4.12 is 0.000 which is p<
0.05 and the regression mean square is greater than residual mean square with F value 74.560,
the regression model fit to a good degree of prediction.
Coefficients
Laissez fair
-.027 .031 .039 .897 .026
leadership style
1 Transactional
.232 .030 .349 7.953 .000
leadership style
Transformationa
l leadership .301 .019 .592 16.119 .000
style
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The β values indicate the relationship between organizational performance and each predictor. If
the value is positive; it shows that there is positive relationship between predictor and the
outcome; whereas a negative coefficient represents negative relationship. According to table
4.13 all the two predictors have positive β value which indicates a positive relationship. Based
on β value in table 4.13, the transactional leadership style and transformational leadership style
have a positive relationship with organizational performance and laissez far leadership style have
negative impact for organization performance. Unstandardized coefficient β value indicates the
degree of influence or effect of each woman‟s leadership style towards organizational
performance. The Highest β value mean the independent value has highest influence or effect on
dependent value. Therefore, as per coefficient table 4.13 transformational leadership style has
the highest β value(0.301), which implies that out of all independent variables Transformational
leadership style has the highest effect or influence on organizational performance. Assumed
that others independent variables remain constant, one unit increase in females transformational
leadership style practice can increases organization performance by 0.301.The second highest β
value (0.232) belongs to transactional leadership style and one unit increase in women‟s
transactional leadership style practice given others independent variables remain constant
employee performance will increase by 0.232. The third highest β values (0.027) belong to
laissez far leadership style and one unit increase in laissez far leadership style given others
independent variables remain constant organizational performance will decreases by 0.02.
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CHAPTER FIVE
According to the result of literature review and data analysis, the major findings of the study
were summarized as follows:
The majority of the respondents with mean value 5.00 and SD 0.000 imply that Female
mangers have highly positive effect on the organization performance and achieving the
objective of the bank.
The degree of agreement to the statement “The Exiting leadership style is helping for
women‟s manger to increase the organization performance” with mean value 4.23 and
SD 0.646, implies that leadership style is helping for women‟s manger to increase the
organization performance.
The mean value 4.17 and SD 1.124, implies that the banking work environment is good
for women‟s mangers to exercise better leadership style and maximize organization
performance
The majority of the respondents with mean 4.17 and SD 1.043, indicates that the bank
have standardized leadership style to help increases organization performance.
The overall response mean value 2.29 and SD 1.274, indicts that the majority of the
mangers are not avoidant leader in Enat bank.
The mean value 1.89 and SD 0.993 implies that the female mangers not completely avoid
responsibilities in Enat bank.
The mean value 1.37 and SD 0.490, implies that the Female mangers put in effort to
build a relationship with them in Enat bank.
The mean 1.40 and SD 0.497, shows female mangers not avoid making decisions in Enat
bank.
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Based on Transactional leadership style, the finding revealed that:
The mean value 4.86 and SD 0.355, shows that female mangers in Enat Bank have
Clarify the expectations to my followers and offer recognition when goals are achieved.
The mean value 1.77 and SD 0.973, indicates it does not focus mainly on the physical
and the security needs of subordinates in Ena tbank.
The mean value 2.03 and SD 0.954, this indicates that relationship between female
mangers and follower is not only based on bargaining exchange or reward systems n Enat
bank.
The fourth one degree of agreement to the statement “I am specifies the standards to
monitoring my followers and make accretion when needed” with mean value 4.26 and
SD 0.505, shows that majority of the female mangers in Enat Bank are specifies the
standards to monitoring their followers and make accretion when needed.
The mean 4.46 and SD 1.066, indicates that the majority of female mangers in Enat Bank
monitor the followers performance and take corrective action if deviations occur to
ensure outcomes achieved.
The majorities respondents are agree with mean value 4.26 and SD 0.505, indicates that
female mangers in Enat Bank inspire there followers to put in extra effort and to go
beyond what they expected before.
The mean value 4.80 and SD 0.406, implies that female mangers in Enat bank try to
inspire my followers to raise their capabilities for success.
The majority of the respondents with mean value 4.80 and SD 0.473 show that a female
manger encourages subordinates to envision attractive future states while communicating
expectations and demonstrating a commitment to goals and a shared vision.
The majority of the respondents with mean value 4.89 and SD 0.323 indicate that I am
try to build a considerate relationship with each individual and give attention to each
individual‟s need for achievement.
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5.2. Conclusion
Female managers in catering industry should clearly set the objectives and value so that the
employees could follow the standards to engage in the work, cultivate the idea of team destiny,
appeal to the common vision, and cooperatively work for the objectives. Besides, the employees
are encouraged to give opinions and feedback, concerned the working situations, and publicly
appraised so as to enhance the self-value to work hard for the organizational performance.
Assuming the essence of leadership is influence, leadership could broadly be defined as the art
of mobilizing others to want to struggle for shared aspirations. However, it could be argued this
influence, mobilization and struggle is of little value in an organizational context unless it
ultimately yields an outcome in line with the shared aspiration for leadership to be deemed
successful. At the same time, the literature suggests that empirical evidence on the link between
leadership styles and performance in an organizational context is limited and inconclusive.
Subsequently, this study investigated the effect of different women‟s leadership styles practice
on organizational performance in Enat bank.
Laissez-faire leadership style is characterized by avoidant leaders who may either not intervene
in the work affairs of subordinates or may completely avoid responsibilities as a superior and is
unlikely to put in effort to build a relationship with them. In the findings of study that laissez-
faire style is associated with dissatisfaction, unproductiveness and ineffectiveness.
Unsurprisingly, the findings of this study are consistent with this observation as there were no
significant relationships between laissez-faire style and performance.
The second leadership style investigated the prevalence of transactional leadership behaviors and
their effect on organizational performance. The “carrot or a stick” approach is instrumental in
followers‟ goal attainment. The results indicate Contingent Rewards and Active Management by
Exception have a medium positive correlation with organizational performance.
On the other hand, transformational leaders encourage subordinates to put in extra effort and to
go beyond what they (subordinates) expected before. Transformational leaders achieve the
greatest performance from subordinates since they are able to inspire their subordinates to raise
their capabilities for success and develop subordinates‟ innovative problem solving skills. As
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expected, relational analysis found that all transformational leadership behaviors have a strong
positive correlation with organizational performance.
5.3 Recommendations
Based on the conclusions drawn in the above section, the following measures are recommended
for Enat Bank in order to exercise best leadership style that creates organization performance.
Given the widely documented ineffectiveness of laissez-faire leadership styles and the results of
this study, it is recommended that managers should remove this leadership style so as to improve
organizational performance. This calls for greater involvement in guiding subordinates to
achieve organizational goals.
The results also indicate transactional leadership style have a medium positive correlation with
organizational performance. Women‟s managers should therefore consider formulating and
implementing effective reward & recognition systems as well as encouraging greater managerial
supervision.
All variables of transformational leadership style have a strong positive relationship with
organizational performance. It is therefore recommended that women‟s managers should: strive
to become role models to their subordinates; inspire subordinates by providing meaning and
challenge to work; stimulate subordinate efforts to become innovative & creative; and pay
attention to each individuals need for achievement and growth.
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APPENDEX 1
SHEGER COLLEGE
This questionnaire is designed for preparing a Master‟s thesis on the title of impacts of female
leadership style on organizational performance.
The researcher kindly requests you to spend your precious time to fill the questionnaire as frank
as possible. The researcher informs you that, the information you provide will be consumed only
for academic purpose and shall be kept confidential.
Note
For any comment and questions you can contact me through the following address.
Tilaye mucheye
0912862836
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Part one: Demographic information
1. Sex
Male Female
2. Age
20 -30 31 -40
41- 50 51- 60
5. Marital status
Married Single
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Head Manager Director Division Managers
1. Do you think that the numbers of women in managerial positions are few?
A) Yes B) No
A) Lack of recommendation
B) Lack of delegation
C) Educational gap
D) Socio-cultural attitudes
F) Lack of information
3. What type of managerial position are mostly women occupied in the company?
A) Commercial
B) Information system
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Dependent variable Response
Strongly Agree
N
o
Disagree
Disagree
Strongly
Organizational performance
Neutral
Agree
1 Female mangers have feasible contribution for
organization performance
Independent Variable
Laissez-faire Style
Transactional Style
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of subordinates
Transformational Style
C) Support
D) Other, Specify__________
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4. In your opinion, how do women achieve top positions in the company? (Please tick the
relevant one)
A) Qualification
B) Political support
C) Family background
D) Women's networking
E) Affirmative action
5) Females mangers have a capacity to exercise best leadership style to maximize organizational
performance.
A) Yes B) No
Please indicate your level of agreement with the statements, so that your answers to these
questions will enable the researcher to assess what you think about the impacts of female
leadership style on organizational performance in Enat Bank.
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APPENDIX 2
Descriptive Statistics
organizational
35 2.50 5.00 4.39 0.703
performance
35
Transactional leadership 2.00 5.00 3.48 0.771
Transformational 35
3.60 5.00 4.71 0.423
leadership
Valid N (listwise) 35
Correlations
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Pearson
1 -.273 .317** . 413**
Correlation
organizational
Sig. (2-
performance .069 .000 .000
tailed)
N 35 35 35 35
Pearson
-.273 1 .052 .056
Correlation
Laissez fair
Sig. (2-
leadership .069 .338 .000
tailed)
N 35 35 35 35
Pearson
.317** .052 1 .073
Correlation
Transactional
Sig. (2-
leadership .000 .338 .176
tailed)
N 35 35 35 35
Pearson
. 413** .056 .073 1
Correlation
Transformational
leadership
Sig. (2-
.000 .000 .176
tailed)
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N 35 35 35 35
Linearity test
Total 64.712 35
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Tests of Normality
Kolmogorov-Smirnova Shapiro-Wilk
Transactional leadership 35 35
.234 .000 .853 .000
style
Transformational leadership 35 35
.265 .000 .731 .000
style
Model Summary
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a. Predictors: (Constant), laissez fair leadership style , transactional leadership style,
transformational leadership style
ANOVAa
Total 73.818 35
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Coefficients
Laissez fair
-.027 .031 .039 .897 .026
leadership style
1 Transactional
.232 .030 .349 7.953 .000
leadership style
Transformationa
l leadership .301 .019 .592 16.119 .000
style
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