THE EFFECT OFLEADERSHIP STAYLE ON EMPLOYEE PERFORMANCE: A CASE STUDY ON TVET AGENCY, IN ADDIS ABABA

Abstract

The purpose of this study was to examine the effect of leadership style on employee job performance in this case of TVET agency in Addis Ababa, Ethiopia. This study has selected leadership styles such as supportive, participative, servant, transactional and transformational leadership styles as independent variables that are assumed to have direct influence on employee job performance, which is the dependent variable. In guiding this research, the researcher applied mixed research approach where by both qualitative and quantitative approaches were used to answer the research problems. Descriptive and explanatory research designs were applied to meet the research objective. Structured and unstructured questionnaires were used to collect data from 167 respondents. The leadership styles were measured through the Multi factor Leadership Questionnaire. Moreover, qualitative data were gathered through interview. Descriptive and inferential statistical techniques were used for data analysis. Inferential statistics mainly Pearson’s correlation and l i n ea r regression analysis were used to examine the relationships between the study variables. The findings show that participative leadership style is the most dominant style at the TVET agency (x=3.0412) while the least practiced leadership style was transactional leadership style (x=2.069). The results of Pearson correlation analysis reveal that employee job performance was positively correlated with participative leadership style (r=0.831, p=.001) f o l l o w e d by the servant leadership style (r=0.810, p=.001), supportive leadership style (r=.519 and p=.000), transformational leadership was significant (r=.519 and p=.000). Moreover, the mean value of Employee performance is above average. The results of regression analysis indicated that all leadership style have a significant p o s i t i v e effect on employee performance. Mo r e s p e c i f i c a l l y , p a r t i c i p a t i v e a n d s e r v a n t l e a d e r s h i p s t y l e s h a v e d omi n a n t e f f e c t o n j o b p e r f o rma n c e . In conclusion, leaders in the c a s e organization need to use a lot of participative a n d servant leadership styles to improve the level of employee job performance.