THE DETERMINANTS OF EFFECTIVE LEADERSHIP STYLE IN ORGANIZATIONS. A STUDY OF UNITED BANK FOR AFRICA

(UBA) PLC IN ENUGU METROPOLIS

BY

OBODOUGO, JACINTA

DEPARTMENT OF MANAGEMENT FACULTY OF BUSINESS ADMINISTRATION UNIVERSITY OF NIGERIA, ENUGU CAMPUS

JULY, 2010

TITLE PAGE

THE DETERMINANTS OF EFFECTIVE LEADERSHIP STYLE IN ORGANIZATIONS: A STUDY OF UNITED BANK FOR AFRICA

(UBA) PLC IN ENUGU METROPOLIS

BY

OBODOUGO, JACINTA

A PROJECT SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE AWARD OF MASTER OF BUSINESS ADMINISTRATION (MBA) DEGREE IN

MANAGEMENT

TO THE

DEPARTMENT OF MANAGEMENT, FACULTY OF BUSINESS ADMINISTRATION, UNIVERSITY OF NIGERIA ENUGU

CAMPUS

JULY, 2010

CERTIFICATION

This is to certify that Obodougo, Jacinta, a postgraduate student of

the Department of Management with Registration number

Has satisfactorily completed the requirement for the course and research

work for the post graduate degree, master of Business Administration

(MBA) in Management.

The work embodied in this report is to best of my knowledge original

and has not been submitted in part or full for any other degree of this or any

other university.

…………………………………… OBODOUGO, JACINTA

……………………………… ……………………………..…. C. O. CHUKWU C. O. CHUKWU SUPERVISOR HEAD OF DEPARTMENT DATE: ……………………… DATE:………………....……..

DEDICATION

This work is dedicated to God the Father, the Son, and the Holy Spirit

and Mother Mary, Queen of Heaven and Earth, for their mercies to all

mankind.

ACKNOWLEDGMENT

I wish to express my sincere thanks to Almighty God, the author

and finisher of our faith who made my dreams come true. I appreciate in a

special way my beloved husband and children who supported me during

the course of this Programme both financially, emotionally, socially and

otherwise. I also wish to show my profound appreciation to Mr. Ugwa

Magnus (De Old man) for his encouragement and support.

My sincere gratitude goes to the Head of Department of Management

Mr. C.O Chukwu who incidentally is my Project Supervisor for his concern,

support, encouragement and constructive criticism throughout the period of

this research work.

May the good God reward all of you abundantly in Jesus name,

Amen.

OBODOUGO, JACINTA.

ABSTRACT Leadership has been seen by management practitioners as one of the key functions of management and as such has been a subject of considerable research. Various studies conducted on leadership styles identified three basic styles, namely: autocratic, democratic, and laissez faire or free rein. But the particles style to be adopted has created a lot of problems to many group leaders. This study therefore is to find out the determinants of effective leadership style with special emphasis on United Bank for Africa in Enugu metropolis. To achieve these objectives, questioners were distributed to two hundred and thirty six (236) respondents which were sampled from the total population of three hundred and thirty nine (339). Data were collected from the respondents and analyzed using simple percentages and Chi-square (x2). From the analysis, the following were discovered as the determinants of effective leadership style; organization’s external environment, personality of leaders and subordinates, the organization’s culture and polices the organization’s structure, time element and others. It was also discovered that leadership style has a significant relationship with the subordinate performances. Based on the analysis and findings, we conclude that no one trait is common to all effective leaders and no one style of leadership is effective in all situations. In other words, the effectiveness of a particular leadership style depends on factors in each situation. We finally recommended that for a leader to be effective, he should consider the situation or his leadership environment in order to determine the best style of leadership for effective achievement of the group objectives.

TABLE OF CONTENTS

Title page - - - - - - - - - - i

Certification - - - - - - - - - - ii

Acknowledgement - - - - - - - - - iii

Abstract - - - - - - - - - - - iv

Table of contents - - - - - - - - - v

Chapter One: Introduction

1.1 Background of the study - - - - - - - 1

1.2 Statement of the problem- - - - - - - 3

1.3 Objectives of the study - - - - - - - 4

1.4 Research questions - - - - - - - - 5

1.5 Research hypothesis - - - - - - - 5

1.6 Significant of the study - - - - - - - 6

1.7 Scope of the study - - - - - - - - 7

1.8 Limitations of the study - - - - - - - 7

1.9 References- - - - - - - - - 8

Chapter two: Review of Related Literature

2.1 Meaning of leadership - - - - - - - 9

2.2 Meaning of a leader - - - - - - - - 10

2.3 Types of leaders - - - - - - - - 10

2.4 Relationship between management and leadership - - 11

2.5 Functions of a leader - - - - - - - - 12

2.6 Leadership styles - - - - - - - - 13

2.7 Determinants of effective leadership style - - - - 19

2.8 Theories of Leadership - - - - - - - 24

2.9 United Bank for Africa (UBA) in Enugu Metropolis - - 31

2.10 References - - - - - - - - - 32

Chapter Three: Research Methodology

3.1 Introduction - - - - - - - - 34

3.2 Research design - - - - - - - - 34

3.3 Sources of data - - - - - - - - 35

3.4 Population of the study- - - - - - - 36

3.5 Sample size determination - - - - - - 36

3.6 Questionnaire design/ respondents - - - - - 38

3.7 Reliability - - - - - - - - - 39

Chapter Four: Data Presentation and Analysis

4.1 Introduction - - - - - - - - - 41

4.2 Data presentations - - - - - - - - 41

4.3 Data Analysis - - - - - - - - - 42

4.4 Decision rules - - - - - - - - - 46

Chapter Five: Summary of Findings, Conclusions and

Recommendations

5.1 Discussions of findings- - - - - - - 56

5.2 Conclusions - - - - - - - - - 60

5.3 Recommendations - - - - - - - - 61

Bibliography - - - - - - - - 62

Appendix - - - - - - - - - 64

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

Leadership is a fascinating concept in which philosophers, historians,

psychologists, sociologists, politicians, and all kinds of executives, have

shown much interest. It is considered as one of the key functions of

management and, as such, has been a subject of considerable research.

According to Igboeli, (1990:151), leadership may be defined as a process

by which people are directed, guided and influenced in achieving group

goals. A leader is a person who is central in a group goals interaction.

According to Ile, (1999, 208), a leaders is one who influences his or her

followers or group to achieve an objective in a given situation. The

followers may be his or her superiors or peers as well as the subordinates

of the leader. It is the willingness of people to follow that makes a person a

leader. Moreover, people tend to follow those whom they perceive as

providing a means of achieving their own desires, wants and needs.

By the nature of their position, managers are placed in a leadership

position in organizations to influence the behaviour of the formal work

group. Their effectiveness can be measured by the accomplishment of the

group vis-à-vis the organizational goals and objectives. Leadership consists

of two types – formal and informal. Formal leaders are appointed to their

leadership positions while informal leaders are selected by the group. Each

type of leader relies on a different source of authority to influence

members. A manager, who relies exclusively on his formal authority to

influence group members, falls into the formal leadership category.

According to Ile, (1999:217) there are some important implications in

the concept of leadership, for instance, leadership involves others. In other

words, leadership involves followers. The followers may be superiors, or

peers, as well as the subordinates by their willingness to follow, accept

directions from the leader, group members help define the leader’s status

and make the leadership process possible. Thus, leadership demands

followership. Leadership involves unequal distribution of power between

leaders and group members. This is implied that group members are not

powerless; they can and do shape group activities in a number of ways.

Leadership involves ability to use difference forms of power to influence

followers’ behaviours in a number of ways. According to Appleby,

(1981:117) leadership also involves the acceptance of responsibility for the

achievement of the group objectives. Because of this, it is therefore,

essential for trust and cooperation from both sides to be in evidence all the

time.

Therefore, without leadership, an organization is but a muddle of men

and machines. In other words, without leadership, an organization would be

comprised of uncoordinated groups of people lacking unity and direction.

1.2 STATEMENT OF THE PROBLEM

It has been recognized throughout history that the difference between

success and failure, whether in a business, war or game can be largely

attributed to leadership style. According to Okenwa and Ugbo, (2001:108)

leadership styles are the behaviours patterns of a leader when integrating

organization and personal interest in pursuit of some goal or objectives.

They have been variously classified but the most acceptable styles are

autocratic, democratic and laissez-faire leadership.

An autocratic leader makes all decisions. He is always very

conscious of his position and has little trust and faith in his subordinates..

Close control and supervision, a high degree of centralization, and minimal

involvement of groups and individual characterized an autocratic leadership

style (Igboeli 1990: 157). The democratic leader shares decision-making

with the group. He decentralizes authority and encourages free flow of

communication. The third type of leader uses his or her power very little, it

al all, giving subordinates a high degree of independence, or free rein, in

their operations. Such leaders depend largely on subordinates to set their

own goals and the means of achieving them (Koontz and Weihrich 1988:

480).

Researches have observed that effective leadership depend on many

variables, such as organizational culture and the nature of tasks. No one

trait was effective in all situations. The problem is therefore how to identify

those factors in each situation that affect the effectives of a particular

leadership style. In other words, what are the determinants of effective

leadership style. It is against this background that this work is carried out.

1.3 OBJECTIVE OF THE STUDY

The general objective of this study is to identify the determinants of

effective leadership style on a group with special emphasis on United Bank

for Africa (UBA) in Enugu metropolis

SPECIFIC OBJECTIVES

Considering the general objective of this study, the specific objectives

of this study are;

i. To determine the impact of organization’s external environment on

leadership style determinant.

ii. To determine the impact of the personality of a leader and the

personality of subordinates on the leadership style.

iii. To determine the relationship between leadership style and

subordinates performance.

iv. To make recommendations based on the analysis and findings.

1.4 RESEARCH QUESTIONS

The research questions are draw from the objectives of the study and

they are:

1. Does study organization’s external environment have any impact on

leadership style determinant?

2. Does the personality of a leaders and the personality of subordinates

have influence on the leadership style?

3. Is there a relationship between leadership style and subordinates

performance?

1.5 RESEARCH HYPOTHESIS

1. HO: Organization’s external environment has no impact on

leadership style determinant.

HI: Organization’s external environment has an impact on

leadership style determinant.

2. HO: Personality of a leader and the personality of subordinates

have no influence on the leadership style.

HI: Personality of a leader and the personality of subordinates

have influence on the leadership style.

3. HO: There is no relationship between leadership style and

subordinates performance.

HI: There is a relationship between leadership style and

subordinates performance.

1.6 SIGNIFICANCE OF THE STUDY

This study will be very beneficial to business managers and group

leaders (both formal and informal group leaders) for it will assist them in

determining the factors surrounding adoptions of a particular leadership

study. The academic environment shall also benefit from this study in no

small way. The study will serve as a reference material both to the lectures

in higher institutions and the study therewith. The critics of this study shall

also pave way for further academic study.

The government and its agencies as well as political office holders

shall also see this study to be invaluable or to be of a high value.

1.7 SCOPE OF THE STUDY

This study central on the determinants of effective leadership style in

organizations with special emphasis on Unite Bank for Africa (UBA) in the

Enugu metropolis.

1.8 LIMITATIONS OF THE STUDY

The following areas posed some problems to us in the course of this

study; Time, money and few respondents. As a student, the researcher had

no enough money to study; the entire population would have given better

result than sampling. Also some respondents were indifference in filling

their questionnaire thereby leaving their opinion unknown.

REFERENCES

Igboeli, Geofrey N. (1990). Management a Functional Approach. 14

Azuka St. Extension Ogbor hill Aba, Model Academic Publishers

Ltd.

Appleby, C. Robert (1981), Modern Business Administration. Third

Education, Toronto: Pitman Publishing Limited.

Koontz Harold and Weihrich Heinz (1988), Management. Ninth Edition,

New York. Mc Graw – Hill Inc.

Okenwa C.P and Ugbo I.F. (2001) Management Theory and Practice

Federal, Polyphonic Oko, Polytechnic Press Ltd.

CHAPTER TWO

REVIEW OF RELATED LITERATURE

2.1 Meaning of Leadership:

According to Ile, (1999:207), to lead means to guide, conduct, direct,

precede, and to show the way by going first. He went further to define

leadership as the ability to lead. It is generally defined as influence. It is the

art or process of influencing people so that they will strive willingly towards

the achievement of group goals.

In the view of Ukeje, (1996:5), leadership involves one person trying

to get others do something that he wants them to do. Nwachukwu,

(1988:146) defined leadership as a social influencing process for the

attainment of goals. According to Igboeli, (1990:15) leadership means a

process by which people a re directed, guided and influenced in achieving

group goals. Akpala, (1990:128) said that leadership is a display of ability

to motivate and to integrate followers to achieve determined organizational

goals. Stoner and Freedman, (1992:472) defined leadership as the process

of directing and influencing the task-related activities of group members in

their view Allan and Robert, (1969:391) defined leadership as a process

where one exerts social influence over members of a group. According to

Koontz and Weihrich (1988:437) leadership is defined as influence, the art

or process of influencing people so that they will strive willingly and

enthusiastically toward the achievement of group goals.

Based on the above definitions, we conceive leadership to mean the

process of influencing others to work willingly and to the best of their

capabilities towards the goals of the leader.

2.2 MEANING OF A LEADER

According to Igboeli, (1990:15), a leader is a person who is central in

a group interaction. Ile, (1999:208) sees a leader to mean one who

influences his or her followers or group to achieve an objective in a given

situation. He went further to say that the followers may be his or her

superiors peers as well as the subordinates of the leader. It is the

willingness of people to follow that makes a person a leader. Moreover,

people tend to follow those whom they perceive as providing a means of

achieving their own desires, wants and needs. In his view, Nwachukwu,

(1988:146) said that a leader is a person with power over others who

excises the power for the purpose of influencing the group behaviour. Thus,

all leaders have influences; they provide direction and help in the

achievement of group goals. According to Bernis, (1959:180) a leader is a

person with power over others who exercises this power for the purpose of

influencing their behaviour.

2.3 TYPES OF LEADERS

According to Ile, (1999:209), there are two types of leaders namely:

a. A formal leader and

b. An informal leader

A formal Leader: is a leader whose position is provided for in the

organizational structure or hierarchy. Such a leader has a formal authority

and power over his or her subordinates. He or she is synonymous with a

manager and can also be called a managerial leader. Therefore, a formal

leader has the right as a function of his formal position and role, to direct or

order or command people to behave so as to achieve organizational

objectives.

An Informal Leader: Is a leader whose position is not provided for in the

organization structure or hierarchy. He or she can also be called a non-

managerial leader. Such a leader has power but lacks authority over his or

her group and can only influence people to behave so as to achieve group

goals or objective (Ile, 1999: 209)

2.4 RELATIONSHIP BETWEEN MANAGEMENT AND LEADERSHIP

The term “management” and “leadership” are not necessarily

interchangeable because of the following reasons:

� According to Akpala, (1990:127), management is a broader concept

is that it concerns not only people but also materials money and

machines but leadership is mainly concerned with influencing the

people in an organization

� Leadership is a subclass of management. This means that leadership

is a factor in the managerial function of directing are motivation and

communication. Thus leadership is a means of direction (Appleby,

1981:117)

� Ile, (1999:210) opines that the functions performed by a leader are

more specialized or tangible than those of a manager. Managing is

therefore, a systematic network and not a sequentially undertaken set

of duties.

� According to Gallagher et al, (1997:528), managers tend to adopt

impersonal or passive attitudes towards goals while leaders adopt a

more personal and active attitudes towards goals

� In order to get people to accept solutions, the manager needs

continually to coordinate and balance in order to compromise

conflicting values but the leader creates excitement in work and

develops choices that give substance to images that excite people.

2.5 FUNCTIONS OF A LEADER

The functions of a leader according to Koontz and O’Donnell,

(1972:557 - 558) and Hicks and Gullet, (1987:479) are: Arbitrating,

suggesting, supplying objectives, catalyzing, providing security,

representing, inspiring and praising.

Arbitrating: When organizational members disagree on a course of action

to be taken, the leader may sometimes resolve the problem by arbitrating

or by deciding on the solution himself or herself. In any event, it is most

important that a decision be reached as soon as possible so that the

organization can continue operations without interruptions or change of

pace.

Suggesting: Suggestions by the leader permit him or her to get his or her

ideas across to his or her followers without resorting to a direct order. At

the same time, the followers’ dignity and sense of participation in also

maintained.

Supplying Objectives: The objectives of an organization are not

automatic, but must be supplied by the leader. For the organization to be

effective, these objectives must be suitable to the organization and allow

the members to work together.

Catalyzing: To start or increase movement in an organization, a force is

needed. T his force can be supplies by the leader acting as a catalyst to

arouse his followers to action.

Providing Security: By maintaining a positive and optimistic attitude when

facing problems, a leader can provide security for his followers. This

security is important to organizational members and can be jeopardized by

the leader’s negative attitudes. This is because the attitudes of a leader,

whether good or bad, are eventually picked up by the followers.

Representing: The leader usually represents his or her organization to

others and like wise serves as a symbol of the organizational to others and

likewise serves as a symbol of the organization. Those outside of the

organization probably think of the organization in terms of their impression

of the leader. A favourable impression of the leader will probably lead to a

favourable impression of the organization and vice versa.

Inspiring: By letting his or her followers know that their work is worth while

and important, a leader inspires his followers to accept organizational goals

enthusiastically and to work effectively towards their accomplishments.

Praising: A leader can assists in satisfying the need for recognition and the

esteem of others through sincere praise. This can be done by letting his or

her followers know hat they are important, that their work is appreciate and

that the leader has their best interest at heart.

2.6 LEADERSHIP STYLES

Leadership styles are variously classified. Nwachukwu (1988: 150 -

151) quoting, Leland Bradford and Ronold Lippitt gave a summary of the

leadership styles as autocratic, democratic and laissez faire. Ejiofor,

(1985:19-20) making reference to Likert (1961) identified for basic styles of

leadership namely: exploitative authoritative, benevolent authoritative,

consultative and participative. Also Akpala, (1990:13) citing Herbison and

Myers (1969: 54 - 58) gave leadership styles as autocratic, paternalistic

and laissez faire.

From the above authorities, the leadership styles are as follows:

i. Autocratic leadership style

ii. Democratic leadership style

iii. Laissez-faire leadership style and

iv. Paternalistic leadership style

Autocratic leadership style: According to Ile, (1999:212) the approach

known as “autocratic leadership style” results in practically all authority

centering in the leader. The leader enforces decisions by the use of

rewards and the fear of punishment rewards go to those who do as they

are told to do. Communication tends to be primarily in one direction, from

the leader to followers. There are certain situations where autocratic

leadership style may serve.

According to terry, (1968:456) autocratic leadership style may serve

in a situation of emergency and in cases where the leader is wise, just and

considerable.

In his view, Akpala, (1990:131), autocratic leadership style may serve

at a low stage of economic and social development where lower levels

needs of physiological and social satisfaction still dominates.

In the view of Ile, (1999:213) autocratic leadership style can serve in

situations where the followers must be coerced, directed and controlled in

order to do work.

This is in line with McGregor’s Theory X. Therefore, the autocratic

style is at one end of the leadership continuum Decision making in this

leadership style solely within the province of the leader. T he autocratic

leader assigns tasks, provides facilities and direction without consultation

with the individual carrying out the work. Such leadership can employ either

positive or negative approaches. If the approach used to stimulate and

influenced others are grounded primarily on fear and force, it is labeled

negative leadership, and its methods looked at as coercive. The coercive

leader is one who commands and experts compliance. The leader is

dogmatic and leads by his or her ability to give or withhold rewards and

punishment.

According to Ile, (1999:213), if the leader’s methods are based on

incentive and reward, it is characterized as positive leadership such

autocratic leaders can implement his decision through benevolence, and or

manipulation. The benevolent leader uses positive techniques such as

praise “a part on the back’, tact and diplomacy to get the desired results.

The manipulative leader appears to allow the subordinates to participate in

the decision making process, but he nevertheless “pulls the strings” behind.

He has a subtle way of taking the decision by himself while creating an

impression of participation by the subordinates.

According to Akpala, (1990: 138) an advantage of autocratic

leadership is the speed with which decisions can be made. The leader

does not have to obtain group members’ approval before deciding. A

potentially off setting disadvantage may be the effect of autocratic

leadership upon morale. Members may result the way decisions are made

and thus support them as little as possible. Also leaders that choose to use

a leadership style that merely orders or dictates may have employees that

are less committed, that are relieved of responsibility effectiveness of

autocratic leadership is often short lived.

Democratic Leadership Style: According to Igboeli (1990:157) in

democratic leadership style, decision making is shared between leader and

the group. Authority is decentralized and free flow of communication is

encouraged. When the leader is constrained to make a decision alone, t he

reason is explained to the group. The leader permits a climate of general

controls and supervision. In their view, Okenwa and Ugbo (2001:109)

democratic leadership style also known as participative or supportive

leadership style involves some kind of joint action between leaders and

subordinates. In essence, the leader consults with subordinates on

proposed actions and decisions and encourages participation from them.

He also welcomes ideas and criticism from the group he is leading.

Ile, (1999; 214) opines that in democratic leadership style, t he leader

suggests possible actions with his recommendation but awaits the

reactions of the group before putting them into effect. In some situations

participative or supportive leadership is merely a manipulate approach

because behind the open discussion, the manger pulls the string. Such a

leader discusses a problem with subordinates, get their ideas and

suggestions to problem solutions with the pros and cons of each possibility,

and then after a full discussion, he himself decides what action to take. This

is what goes on in what is called joint consultative industry. But where it is

honestly experimented it is broadly a mental and emotional involvement of

the followers to make contribution to goals and to assume their share of the

responsibility for achieving the goals. It is based on the assumption that

people want to participate, from which they feel that they are somebody or

have contribute to the ultimate decision made. The superior allows them an

opportunity to use their own initiate and make contributions. He also

supports them in accomplishing their tasks. This system applies especially

in situations where the leader and the subordinate group are knowledge

workers.

According to Akpala, (1990: 132 - 133), participate management,

does not mean that the subordinates decide what is done or what is not

because the ultimate responsibility for the decision still rests with the

leader. It is the decision making process that is shared among the group

members. T his is the leadership p approach which comes into what is

called management by objectives.

According to Okenwa and Ugbo (2001: 109), there are a lot of

advantages accrues to democratic leadership style. In the first instance,

subordinates who participated in setting goals and making decisions

understand freely. Subordinates are also allowed to use some initiatives

and exercise their potential. In that case, better decisions can be reached.

In effect, this approach to leadership is honestly applied can claim the

benefits of management by objectives.

In his view, Akpala (1990) citing Webber (1975: 175) has outlined

some of the benefits of participative leadership. The follower who has

participated in determining what is to be done will probably understand the

decision and agree that a certain course of action is necessary and proper.

He thus exercises some power and has the opportunity to express himself

and exercise his abilities. He motivates people to contribute, and

encourages them to accept responsibility. On the other hand, participative

leadership will afford the leader to recognize the follower’s power and

expertise which he can solicit and combine with his own to reach a joint

and perhaps better decision. Webber concludes that must practicing

mangers are not enthusiastic about participative leadership because they

fear loosing power and also because it is difficult to apply. It is time

consuming. Other disadvantages include slower decisions, diluted

accountability for decisions and possible compromises that are designed to

please every one but are not the best solutions.

LAISSEZ – FAIRE LEADERSHIP STYLE: According to Koontz and

Weihrich (1988:440), this type of leaders a high degree of independence,

or free rein, in their operations. Such leaders depend largely on

subordinates to set their own goals and the means of achieving them and

they see their role as one of aiding the operations of followers by furnishing

them information and acting primarily as a contact with the group’s external

environment. In his view, Ile (1999:216), the laissez-faire style of leadership

is at the other end of the continuum from the autocratic style. With this

style, the leader attempt to pass the responsibility for decision making to

the group. The leader gives little or no direction and allows group members

a great deal of freedom. Also the group is loosely structures. The leader

functions largely as a group member providing only as much advice and

direction as is requested.

According to Hicks and Gullet, (1987:483) an advantage of Lassies-

faire leadership is the opportunity for individual development offered to

group members. All persons are given the chance to express themselves

and to function relatively independently. They went further to state that a

disadvantage that may result is lack of group cohesion and unity towards

organization objectives. Without a leader, the group may have little

direction and a lack of chaos. Okenwa and Ugbo, (2001:109) quoting

(Akpala, 1990) state that the decision process with laissez –faire leadership

style is show and there can be a great deal of “buck passing”. Other

disadvantages of this leadership style are lack of team-work, low moral and

productivity.

PATERNALISTIC LEADERSHIP STYLE: Paternalistic leadership stresses

a paternal or fatherly influence in the relationship between the leader and

the group and is manifested in a watchful care for the comfort and welfare

of the followers. It aims to protect and guide. In some instances, the

approach is too sentimental. This type of leadership style has been

criticized. Some critics say that although the intentions are usually good, it

results in group members not being able to develop self-reliance and

independence. It is also asserted that for the most part, paternalism yield

successful performance, but not on continuous future basis because that

success usually depends upon the continuation of the paternalistic leader’s

services. The critics conclude that this type of leadership is deficient in

providing the necessary element of continuity in performance. (Akpala,

1990:131 - 132)

2.7 DETERMINANTS OF EFFECTIVE LEADERSHIP STYLE

According to Ile, (1999:231), researchers using the trait and

behavioural approaches showed that effective leadership depends on

many variables, such as organizational culture and the natured of asks. No

one trait was common to all effective leaders; no one style was effective in

all situations. Therefore, researchers began trying to identified those factors

in each situation that affected the effectiveness of a particular leadership

style. The contingency approach to leadership is the view that the

leadership style that best contribute to the attainment of organizational

goals might vary in different types of situations or circumstances.

Ejiofor (1985:12) citing fielder (1967); Shetty (1978) and McGregor

(1960) argued that the style of leadership is a function of seven main

variables, namely:

� The personality of the leader

� The personality of his subordinates, peers and superiors

� The leader’s authority in the organization

� The relationship between the leader and his subordinates

� The nature of the organization

� The structured facing the team

� The organization’s external environment

Stoner and Freedman (1992:480 - 481) asserted that the various

theories that constitute the contingency approach to leadership focus in the

following factors to be major determinants of leadership style:

� The leader’s personality, past experiences and expectations

� The superiors’ expectations and behaviour

� Task requirements

� Peer’s expectations and behaviour

� Subordinates’ characteristics, expectations and behaviour

� The organizations’ culture and politics

Ile, (1999:232) argues that the determinates of the leadership style

are as follows:

� The leader’s personality, experiences and expectations

� The superior’s expectations and behaviour

� Peers’ expectations and behaviour

� Subordinates’ characters, expectations and behaviour

� The leader’s position power/authority

� The relationship between the leader and his followers

� The nature and size of the organization

� The organization’s culture and policies

� The organization’s structure

� The organization’s environment

� Time element

� The nature of the goal the members are striving to achieve

LEADER’S PERSONALITY, PAST EXPERINCES AND EXPECTATIONS

For example, a manager who has been successful exercising little

supervision may be move prone to adopt an employee-oriented style of

leadership. Evidence has also demonstrated that situations often work out

the way we expect them to – a phenomenon referred to as the self-fulfilling

prophecy. One study, for instance, found that new leaders who were told

their subordinates were low performers managed in a more authoritarian

way than did new leaders who were told their subordinates were high

performers (Ile, 1999:233).

The Superiors’ Expectations and Behaviour: Because they have the

power to dispense such organizational rewards as bonuses and

promotions, superiors clearly affect the behaviour of lower-level managers.

In addition, lower leveled managers tend to model themselves after their

superiors. One study found that supervisors who learned new behaviour in

a human relations training programme tended to yield those behaviours

quickly if they were not consistent with their immediate superior’s

leadership style. (Stoner and Freedman, 1992:480)

Peers’ Expectations and behaviour: In the view of Ile, (1999:234), the

opinions and attitudes of a manager’s peers often affect how effectively

influences that of their associates, for example, a hostile colleague may

harm a manger by competing for resources and behaving uncooperatively.

Whatever their own inclinations, managers tend to some extent to imitate

the management style of their peers.

Subordinates’ Characteristics, Expectations and behaviour: The

skills, training and attitudes of subordinates also influence the manager’s

choice of style. Highly capable employees want an authoritarian leader;

others prefer taking total responsibility for their own work (Stoner and

Freedman, 1992:480 - 481)

The leader’s Position Power/ Authority: Do the Leaders’ posses an

appropriate degree of authority? What is the leader’s hierarchical position

in the organization structure? This is in turn influences the style of

leadership. A manager cannot perform unless his responsibility is backed

up with commensurate authority (Ile, 1999:234)

The Relationship Between the Leader and the Followers: The

appropriate style of leadership to us depends to a great extent on the

relationship between the leader and his followers. The followers may be the

leader’s peers or subordinates. Is the leader accepted by the followers?

Thus, the nature of the relationship will invariably determine the style of

leadership.

The Nature and Size of the Organizations: A style that is suitable for

a religious organization may not be suitable for the army or the university or

the civil service, a club or a private sector organization. As the size of an

organization varies from small, medium to large organization, the style of

leadership is likely to vary (Ile, 1999: 234 - 235)

The Organization’s Culture and Policies: The organizational culture

refers to the important understandings members share such as norms,

values, attitudes and beliefs. Policy is the guideline to managerial actions. It

is the standing line for all managerial relationships with employees. Thus,

the culture and policies of an organization, determines the leadership style.

The Organization’s Structure: According to Okenwa and Ugbo (2001:

108), organizational structure refers to the way in which an organization’s

activities are divided, organized and coordinated. Is the organization

structured this will determine the style of leadership.

Organization’s Environment: According to Koontz et al, (1980:89 -

90), there are various ways of explaining the relationship between the

organization and its environment. First, the enterprise can be viewed as

importing various kinds of inputs, such as human, capital, managerial and

technical. These inputs a re transformed to produce outputs such as goods

and services. A second approach in the study of the relationship between

the enterprise and society of the relationships between the enterprise and

society is to focus on the demands and legitimate rights of different

claimants, such as employees, consumers, suppliers, stock holders,

government and the community. A third approach is to view the enterprise

as operating in an external environment of opportunities and constraints,

which can be classified into economic, technological, social-cultural,

political and ethical. All these influence the style of leadership.

Time Element: Is the organization facing emergency? Is there

sufficient time for planning and adjustment? This would influence the style

of leadership.

The Nature of the Goal the Member are Striving to Achieve: Is the

goal facing the members clearly spelt out and formalized? Are the goals of

the individual and that of the organization perceived to be the same? The

nature of the goals determines the style of leadership (Ile, 1999:236)

2.8 THEORIES OF LEADERSHIP

The key issues in which researchers have shown great interest over

the past few decades center on the dynamics of effective leadership and

the identification of those variables that make an effective leader. While are

indeed useful for the manager, they have no means resolved the issues

completely.

Trait Theory: According to Igboeli, (1990:153), the earliest theory of

leadership effectiveness has as its basic concept the idea that leadership

effectiveness is determined mainly by personal traits or characteristics of

the leader. Closely related to this the “Great man” theory based on the

proposition that certain people were born to be leaders, having inherited a

set of unique traits and characteristics that could not be acquired in any

other way. This view was then thought to be persuasive because frequently

within the same prominent families.

A similar, thought not identical theory is called the “Zeitgeist” theory –

Zeitgeist being a German word meaning “spirit of the times”. This is a

situational approach to leadership theory. It says that a leader is the

product of the time or situations, and those leaders will emerge who have

the traits or characteristics needed to meet the demand of thee times. This

approach is also compelling enough and is reflected in the times that gave

rise to a Hitler in German in the 1930s, the earlier rise to power of Mussolini

in Italy and more recently the emergence of Ronald Reagan in the United

States in the 1980s. These leaders were known to have certain traits that

characterized effective leaders such as being intelligent, better adjusted,

more dominant and showing more initiative and greater interpersonal

sensitivity (Igboeli, 1990:153)

Davis (1972:102+104), gave four characteristic necessary for

effective leadership as follows:

� Intelligence: Leaders tends to have some what higher intelligence

than their followers

� Social Maturity and Breadth: Leaders have a tendency to be

emotionally mature and to have abroad range of interests.

� Inner Motivation and Achievement Drives: Leaders want to

accomplish things; when they achieve one goal, they seek out

another. They are primarily dependent on outside forces for their

motivation.

� Human Relation’s Attitude: Leaders are able to work effectively

with others

Ejiofor (1985:13 - 14) gave the following qualities for a leader

� Energy: The leader should have both physical and mental energy to

enable him performs a wide field of activities.

� Emotional Stability: He should be relatively free from bias, be

consistent in his actions and refrain from the use anger.

� Knowledge of Human Relations: Must know how certain individuals

feel towards certain activities and other individual since he deals with

people.

� Empathy: Ability to look at things objectively and understand them

form another’s view point

� Objectively: Does not permit himself to get emotionally involved to the

extent that he finds it difficult to make an objective diagnosis.

� Personal Motivation: The desire to lead must come from within the

individual making him to show persistence willingness work long

hours, intense application to self and enthusiasm.

� Teaching Ability: Demonstrating how to accomplish a task, correcting

mistakes and preparing followers for advancement.

� Communicative Ability: Ability to talk and with clear and forcefully for

persuasive, informative and simulative processes.

� Social Skill: Has ability to work with people, is helpful, wants to

succeed, is friendly and applicable and appreciate the others view

point.

� Technical competence: The ability to plan, organize, delegate,

analyze, seek advice , make decisions, control and win cooperation,

should have knowledge of all immediate operations under him and an

effective working knowledge and weight of must of the operations

under his guidance.

Glueck, (1980:462) enumerated the following five qualities; Physical

size (relatively tall), intelligence (more rather than less, but not too much

more than the work group), self esteem – self confidence, extroversion and

ambition – a high need for achievement and power.

Ukeje, (1996:6-7) concluded that three traits were considered most

essential for leadership and they include:

a. Intelligence: Not as an absolute quality but intelligence relative to the

intelligence of the followers

b. Self-confidence: Self confidence or ability to appear self confident is a

second most important factor generally associated with effective

leadership.

c. Initiative: The third most important trait associated with effective

leadership is initiative. This is because one who cannot initiative new

process, new structures, new ideas and actions cannot be an

effective leader.

Behaviour Theory: According to Umoh, (2002; 58) this theory says that

what makes a leader effective is simply what he does. For example, how

he communicates, plans directs, motivates, delegates etc. this observation

simply negates the theory that leaders are born. The obvious truth is that

they can be trained to do the right things independently of their personality

traits.

According to Stoner and Freedman, (1992:474-475), when it became

evident that effective leaders did not seem to have any distinguishing traits

researchers tried to isolate the behaviours characteristics of effective

leaders. In other words, rather than try to figure out what effective leaders

were researchers tried to determine what effective leaders did-how they

delegated tasks, how they communicated with and tried to motivate their

subordinates, how they carried out their tasks and sp on. Unlike traits

behaviours can be learned, so it followed that individuals trained in

appropriate leadership behaviours would be able to lead more effectively.

In their views, Okenwa and Ugbo, (2001:107), the behavioural

approach to leadership is characterized b y the sharing of information,

power and influence between supervisors and subordinates. The approach

contends that leaders may be classified by personal qualities or behavioral

patterns/style. In all cases, the behavioural approach focuses upon what

the leader does in carrying out the managerial task.

A study by Rensis Likert and his associates at the University of

Michigan’s Institute for Social Research, it was found that mangers who

achieved the highest productivity, low costs, least turnover and absence

rates, and highest levels of employee motivation and satisfaction appeared

to rank high both on consideration and initiating structure. Likert called his

most effective supervisor employee – centered and his less effective

supervisor Job-Centered (Igboeli, 1990:154)

THE MANAGERIAL GRID

Source: Igboeli (1990:154)

According to Igboeli (1990:154), in the early 1960s, Blake and

Mouton developed a method of depicting leadership styles on a two-

dimension; a leader is characterized by his concern for people, and on the

other dimension, his concern for production. They identified five basic

management styles on the grid. They are authority – obedience (9,1

9, I Authority

Obedience

9, 9 Team Management

Concern

fo

r people

1, 9 Country Club

5, 5 Organization

Man Management

1, 1 Improvised Management

High

9

8

7

6

5

4

3

2

1

Low

position) at the lower right-hand corner which defines an arrangement of

work that permits minimum interference from the other people.

The opposite view, called country club management (1,9 position)

emphasize maximum attention to workers in order to build a favourable

climate for performance. The 9,9 system or team management combines a

high degree of concern for people and for production. The other two styles

are 1,1 or impoverished management and 5,5 or organization man

management. The management grid enables a manager to evaluate hi

leadership style and to strive consciously to move towards the 9,9 team

management style of leadership.

CONTINGENCY THEORY OF LEADERSHIP

According to Umoh, (2002:59) contingency or situation theory of

leadership stresses the likelihood of one being regarded as a leader of the

group because of his ability to control an emergent situational approval to

leadership is based on the notion that neither the leader nor follower traits

are the main determinants of who will succeed as a leader; rather the

situation or the environment is the relevant variable. Thus, a leader in one

situation may not be a leader in another. This approach is valuable

because each organization is unique despite some structural similarities. It

focuses attention not on the personality of the leader as such, but on the

personality or culture of the organization as a whole. By this theory, an

effective leader is one who understands the forces of the situation and

effectively uses them. It is therefore, quite possible for almost anyone to

become a leader if circumstances allow him to perform functions requires

by the situations.

PATH-GOAL THEORY

This stresses that leaders are effective because of their impact on

subordinates’ motivation, ability to perform effectively, and satisfactorily. It

is so called because its major concern is how the leader influences the

subordinates’ perceptions of their work goals, personal goals and paths to

goals attainment. The theory suggests that a leader’s behaviour is

motivating or satisfying to the degree that the behaviour increases

subordinates goals attainment and clarifies the paths to these goals. This is

also known as the “great man theory”. (House and Mitchell, 1971:12)

THE FOLLOWER THEORY

This approach does not emphasize the qualities of the leader as the

traitists do, but rather those of the followers, such as their personal needs,

whether presents or remote. It stresses that an effective leader is one who

nearly always satisfy the personal needs of his followers. He perceives and

reacts to the followers’ persistent motivations, points of view, frames of

reference or attitudes (Umoh, 2002:60)

2.9 UNITED BANK FOR AFRICA (UBA) PLC IN ENUGU METROPOLIS

United banks in Nigeria that has branches scattered all over the

states in Nigeria and even outside Nigeria like Ghana and other African

countries.

UBA PLC has about ten (10) branches located at various strategic

places in Enugu Metropolis. The branches are; Gariki branch, Agbani road

branch, Independence Layout branch, Ebeano branch, Marbel House

branch, Trans-Ekulu branch, Keyetta branch and University of Nigeria

Enugu campus (UNN) branch. The bank has about three hundred and thirty

nine staff (339) capacity in Enugu metropolis. This staffs are categorized

into one hundred and thirty nine (139) core staff and two hundred and two

(202) front-line staff. Infact UBA is one of the commercial banks that has

the highest number of staff in Enugu metropolis.

REFERENCES

Akpala, Agwu (1990) Management: An Introduction and the Nigerian Perspective, Enugu: Department of Management, Faculty of Business Administration, University of Nigeria Enugu Campus Allan, G. Tilley and Robert .J. House (1969), Management Process and Organizational Behavior, Illinois Scott, Foresman and Co Appley, C. Robert (1981), Modern Business Administration. Third Edition, Toronto: Pitman Publishing Ltd. Davis, Keith, (1972), Human behaviour at work, 4th Ed. New York: Mc Graw-Hill Icn. Ejiofor, Pita N.O (1985), Management styles in A series No. 1 Organized by the former Imo state of Nigeria in Owerri, June. Gallagher, Kevin, Ed Rosde, Bob Mc Clelland, John Reynolds and Steve Tombs (1977), people in organization, An Active Learning approaches, Oxford: Black well Hicks, Herbert G. And C. Ray Gullett (1987), Management Singapore; Mc Graw – Hill Co. House, R.J and Mitchell, T.R, “A path-Goal Theory of Leader Effectiveness’. Administrative Science Quarterly 110, No.3, (September, 1971) Ile, Norbert M, (1999), Management and organizational Theory And Practice: Enugu, Vougasen Ltd. Igboeli, Geofrey .N. (1990), Management A Functional Approach 1st Edition: Aba Model Academic Publishers Ltd. Koontz, Harold and Cyril O’Donnell (1972), Principles of Management: An Analysis of Management Functions, 5th Ed. New York Mc Graw – Hill Book. Co

Koontz, Harold and Weihrich, Heinz (1988), Management Ninth Edition New York: Mc Graw – Hill. Icn Nwachukwu, C.C. (1988), Management: Theory and Practice. Onitsha: Afrcana Fep Publisher Limited Okenwa, C.P and Ugbo, I.F (2001), Management Theory and Practice: Oko, Polytechnic Press Ltd. Stoner, James A.F. and R. Edward Freeman (1992), Management Fifth Edition, New Delhi: Prentice Hall India Limited

Ukeje, B.O (1996) “Leadership: The Bane of Nigerian Development” Journal of the Management Science, UNIZIK, Awka Vol. 1 No. 1 Umoh, S.M (2002), Human Behaviour in Organizations and Administrative Theory and Practice Volume 2 Enugu, Martins Concept Publishers.

CHAPTER THREE

RESEARCH METHODOLOGY

1.3 INTRODUCTION

This chapter of the study deals categorically on the method and

procedure of data analysis other wise known as methodology. In the cause

of discussing the methodology, the following are discussed, method or

research design, sources of data, population, sample size, questionnaire

design, respondents and reliability.

3.2 RESEARCH DESIGN

The research design adopted for this study is survey design. This is

as a result of the nature of this study which is educational and behavioral

science is nature. The key or important elements of this research design

are the population of the study, sample and sampling techniques, method

of data collection and techniques for data analysis. In carrying out the

analysis, recognitions were given to both the dependent and independent

variables. The dependent variables of this study are, leadership style, and

productivity or performance. While the independent variables inclined,

organization’s external environment, personality and leadership style.

Based on the theoretical frame work, the independent variables are related

to the dependent variables. To ascertain this, we adopted chi-square(x2) as

an analytical tool to test the hypothesis.

X2 = [(OF – EF)2 EF

Where;

X2 is chi-square

E is summation sign

OF is observed frequency

EF is expected frequency

From the analysis using chi-square, decisions were taken and conclusions

and recommendations drawn.

3.3 SOURCES OF DATA

Data for this study were collected only from the primary source. This

is as a result of the nature of this is study which is basically survey type of

research. The primary means adopted for the collection of data is through

structured questionnaires. The questionnaires were designed and

distributed to the respondents. The information gathered from the returned

questionnaires formed the data for this study.

3.4 POPULATION OF THE STUDY

The population of this study is three hundred and thirty nine (339).

The population is made up of all categories of staff of United Bank for

Africa (UBA) in Enugu metropolis. The staff is categorized into two; the

core staff and the front line staff. The core staff are the permanent staff of

the bank and they are one hundred and thirty seven (137) in number while

the front line staff are the contract staff of the bank and they are hundred

and two in number. The core staff (137) added to the front line staff (202)

gives us the total population of three hundred and thirty nine (339).

3.5 SAMPLE SIZE DETERMINATION

The entire population of this study were not studied as a result of the

large number of the population and as a result of other factors such as lack

of fund and time. However, a sample size which effectively represented the

entire population were selected. The sample size was determined using

Yaro-Yamane formula of sample determination.

The sample size of this study is two hundred and thirty six (236). The

sample size is categorized into two; the sample size of the core staff size of

the front line staff which is one hundred and thirty four (134). The

summation of the sample size of the core staff and that of the front line staff

gave rise to the total sample size of two hundred and thirty six (236).

The sample size was determine as follows. Yaro Yamane formula =

n = N

1 + N (e)2

Where; n equal to the sample size N equal to the population e equal to 5% torrable error I is constant.

SAMPLE SIZE FOR CORE STAFF (note that the population is 137)

n = 137 1 + 137 (0.05)2

n = 137 1 + 137 (0.05)2

n = 137 1 + 137 (0.0025)

n = 137 1 + 0.3425

n = 137 1.3425

n = 102

Sample size for front line staff (note that the population is 202).

n = 202 1 + 202(0.05)2

n = 202 1 + 202 (0.0025)

n = 202 1 + 0.505

n = 202 1.505

n = 134

Total sample size = 102 + 134

= 236

3.6 QUESTIONNAIRE DESIGN/RESPONDENTS

QUESTIONNAIRE: Structured questionnaires were designed for the study.

The questionnaires were structured to enable the respondents to straight to

providing unambiguous answers to the questions. Two hundred and thirty

six questionnaires were designed and distributed to the respondents. From

the two hundred and thirty six (236) questionnaires distributed, two hundred

and thirty were filled and returned while only six were not returned.

Analyses were based on the returned questionnaires (230). The

respondents were further categorized into 40 management staffs and 190

non management staff.

RESPONDENTS: This study has two hundred and thirty six for Africa

(UBA) in Enugu metropolis as its respondents. The respondents could be

said to be relatively friendly because about 97% (ninety seven percent) of

the distributed questionnaires were filled and returned. The 3% of the

unreturned questionnaire was as a result of absent of the respondents in

the office at the time of collection of the filled questionnaires. Analysis were

based on the returned questionnaires while conclusion and

recommendations were made based on the analysis.

3.7 RELIABILITY

Reliability refers to the degree of consistency with which an

instrument measures whatever it is supposed to be measuring. The

“degree of consistency” is used because in repeated measurements with a

measuring instrument operated by human beings, there is bound to be

slight variations. A certain level of such slight variation can be accepted as

a tolerable errors in man made and operated instruments. However, this is

acceptable up to a limit. Beyond that level, the test will be regarded as not

being reliable.

Reliability list arises due to measurement error. This measurement

error is usually associated with survey research like this study. Error arises

from survey research due to biases of the respondents and improper

design of the survey instrument such as questionnaire. To ensure a degree

of tolerable errors in this study, we adopted the method of estimating

reliability co-efficient known as Test-retest method.

The reliability co-efficient is the statistics or an index that tells us the

degree of consistency between two sets of score obtained from the same

groups with one test.

TEST-RETEST: In applying this method to obtain our reliability, we

administered the same questions twice to the respondents to obtain the

variations in their responses. From the test-retest method, we observed

that the variations are negligible with about 0.05% acceptable error.

CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS

4.1 INTRODUCTION

In this chapter, data will be presented in tables and analysed using

percentages and chi-square. The analysis based on the chi-square will be

used to test the hypothesis from which decisions, conclusions and

recommendations will made.

4.2 DATA PRESENTATION AND ANALYSIS

Table 4.1

The impact of organization’s external environment on leadership style

determinant

Responses Management

staff

Non management

staff

Total

Yes 26 75 101

No 10 80 90

Indifference 4 35 39

Total 40 190 230

Source: Field Survey 2010

From the table, we observed that 26 of the 40 management staff that

responded agreed that organization’s external environment is one of the

determinants of effective leadership style while 10 ten did not agree as well

as 4 being indifference. The table also indicated that 75 of the non

management staff are of the opinion that extern al environment of an

organization determines the leadership style to be adopted by the

organization while 80 of them had a negative view and 35 of them were

indifference.

PERENTAGE ANALYSIS

Table 4.1.1

Responses Management

staff

Non management

staff

Total

Yes 65% 39.5% 43.9%

No 25% 42.1% 39.1%

Indifference 10% 18.4% 17%

Total 100% 100% 100%

Source: Field Survey 2010

The table indicates that 65% of the management staff and 39.5% of

the non management staff agreed that organization’s external environment

influences the leadership style to be adopted by a manager. This give a

total of 43.9% of the respondents that answered yes. On the other hand,

25% and 18.4% of the management staff and non-management staff

answered ‘No’ respectively. This give rise to 39.1% of total respondents

that answered ‘No’. The table finally indicated that 10% and 18.4% of the

management staff and non-management staff respectively were

indifference which gives a total of respondents that were indifference to

17%.

TEST OF HYPOTHESIS ONE (Using Chi-Square)

Null organization’s external environment has no impact on leadership style

determinant.

Let chi-square be x2

∴ x2 = ∑ (OF – EF)2 EF

Where ∑ – Is summation sign

OF – Is observed frequency

EF – Is Expected frequency

Note: That the observed frequency is the responses of respondents as

indicated in payoff matrix table 4.1.

The expected frequency (EF) is calculated thus:

EF = TR x TC GT

Where; TR – Is the total of each Row in the payoff matrix table 4.1.

TC – Is the total of each column in the payoff matrix table 4.1.

GT – Is the grand total of the table

Therefore: EF for the management staff that answered yes

101 x 40

230 = 17.6

EF for the non-management staff that answered yes

101 x 190

230 = 83.4

EF for the management staff that answered ‘No’

90 x 40

230 = 15.7

EF for the non-management staff that answered ‘No’

90 x 190

230 = 74.3

EF for the management staff that were indifference

39 x 40

230 = 6.8

EF for the non-management staff that were indifference

39 x 190

230 = 32.2

Table 4.1.2 Contingency table

Responses Frequency Mgt staff Non mgt

staff

Total

Yes Observed frequency

Expected frequency

26

(17.6)

75

(83.4)

101

No Observed frequency

Expected frequency

10

(15.7)

80

(74.3)

90

Indifference Observed frequency

Expected frequency

4

(6.8)

35

(32.2)

39

x2 = ∑ (OF – EF)2 EF

x2 = (26 – 17.6)2 + (75 – 83.4)2 + (10 – 15.7)2 17.6 83.4 15.7

+ (80 – 74.3)2 + (4 – 6.8)2 + (35 – 32.2)2 74.3 6.8 32.2

x2 = 4 + 0.85 + 2.07 + 0.44 + 1.15 + 0.24 = 8.75]

x2 calculated = 8.75

DEGREE OF FREEDOM

Let Degree of Freedom be DF

GF = (r – 1) (r – 1)

Where

r = Number of rows in the payoff matrix table 4.1

c = Number of columns in the payoff matrix table 4.1

From the table, r = 2

c = 3

DF = (2 – 1) (3 – 1)

DF = 1 x 2

DF = 2

Level of significance (5%)

This implies that if this study is replicated 100 times that only 5 out of the

100 will be wrong.

The table value at degree of freedom 2 and 0.05 level of significance is

5.99.

i.e. (x2 = 5.99) (2, 0.05)

DECISION RULE

Since the calculated chi-square (x2) (8.75) is greater than x2 table value

(5.99) i.e. (8.75 > 5.99), we reject the null hypothesis that organization’s

external environment has no impact on leadership style determinant. In

order words, the alternate hypothesis that organization’s external

environment is a determinant of leadership style.

Table 4.2

Impact of the personality of a leader and personality of subordinate on the

leadership style.

Responses Management

staff

Non management

staff

Total

Strongly agreed 27 75 102

Agreed 11 79 90

Strongly disagreed 0 4 4

Disagreed 2 32 34

Total 40 190 230

Source: Field Survey 2010

From the table, we observed that at of forty (40) management staff of

UBA in Enugu that responded to the questionnaire, 27 strongly agreed that

personality of a leader and personality of subordinates are some

determinants of leadership style. Seventy five (75) of the one hundred and

ninety (190) of the non-management staff hold the same view. We also see

from the table that eleven (11) of the management staff and seventy nine of

non management and seventy nine (79) of non-management staff agreed

(but not strongly agreed) that personality of leader and personality of

subordinates has an influence on leadership style. The data presented also

indicated that while non of the management staff strongly disagreed, four

(4) of the non management staff strongly disagreed. The table finally

indicated that about two (2) management staff and thirty two (32) of the

non-management staff disagreed (not strongly disagreed) that personalities

of leaders and subordinates have an impact on leadership style.

Table 4.2.1

Responses Management

staff

Non management

staff

Total

Strongly agreed 67.5% 39.5% 44.3%

Agreed 27.5% 41.6% 39.1%

Strongly disagreed 0% 2.1% 1.7%

Disagreed 5% 16.8 14.9%

Total 100% 100% 100%

Source: Field Survey 2010

The above table shows the percentage responses of the

respondents. From the table, we observed that 67.5% and 39.5% of the

management staff and non management staff respectively strongly agreed

that personality of the leaders and subordinates is a good determinant of

leadership style. This therefore brought the total percentage number of the

respondents that hold the same view to 44.3%. We equally observed that

27.5% and 41.6% of the management staff and non management staff

respectively agreed (not strongly agreed), that personality of leaders and

subordinate influences the leadership style. This lead to the 39.1% of the

total respondents that answered agreed. It is also observed disagreed,

2.1% of the non management staff strongly disagreed. We therefore have

about 1.7% of the total respondents that strongly agreed. Finally, 5% and

16.8% of the management staff and non management staff respectively

disagreed (not strongly disagreed). This brought the total percentage

number of the respondents that disagreed to 14.9%.

TEST OF HYPOTHESIS TWO

Null: Personality of a leader and the personality of subordinates have no

influence on the leadership style.

x2 = ∑ (OF – EF)2 EF

Note that the observed frequency (OF) are the responses of the

respondents as indicated in the payoff matrix 4.2.

EF for management staff that answer strongly agreed

102 x 40 230 = 17.7

EF for non-management staff non-management staff that answered

strongly agreed

102 x 190 230 = 84.3

EF for management staff that answered agreed

90 x 40 230 = 15.7

EF for non-management staff that answered agreed

90 x 190 230 = 74.3

EF for management staff that answered strongly disagreed

4 x 40 230 = 0.7

EF for non-management staff that answered strongly disagreed

4 x 190 230 = 3.3

EF for management staff that answered disagreed

34 x 40 230 = 5.9

EF for non-management staff that answered disagreed

34 x 190 230 = 28

Table 4.2.2 Contingency

Responses Frequency Mgt staff Non mgt

staff

Total

Strongly Agreed Observed frequency

Expected frequency

27

(17.7)

75

(84.3)

102

Agreed Observed frequency

Expected frequency

11

(15.7)

79

(74.3)

90

Strongly

Disagreed

Observed frequency

Expected frequency

0

(0.7)

4

(3.3)

4

Disagreed Observed frequency

Expected frequency

2

(5.9)

32

28

34

Total 40 190 230

x2 = ∑ (OF – EF)2 EF

x2 = (27 – 17.7)2 + (75 – 84.3)2 + (11 – 15.7)2 17.7 84.3 15.7

+ (79 – 74.3)2 + (0 – 0.7)2 + (4 – 3.3)2 74.3 0.7 3.3

+ (2 – 5.9)2 + (3.2 – 28)2 5.9 28

x2 = 4.9 + 1.0 + 1.4 + 0.3 + 0.7 + 0.1 + 2.6 + 0.6 = 11.6

x2 calculated = 11.6

DEGREE OF FREEDOM

DF = (r – 1) (c – 1)

r = 2

c = 4

DF = (2 – 1) (4 – 1)

= 1 x 3 = 3

Level of significance = 5%

The table value of chi-square at degree of freedom 3 and 0.05 level of

significance is 7.82

i.e. (x2 = 7.82) (3, 0.05)

DECISION RULE: Since he calculated chi-square (x2) (11.6) is greater than

x2 table value (7.82) (i.e. 11.6 > 7.82), we reject the null hypothesis Ho,

which states that personality of a leader and the personality of subordinates

have no influence on the leadership style. In other words, we accept the

alternate hypothesis and say that, personality of a leader and the

personality of subordinates have influence on the leadership style.

Table 4.3 The relationship between leadership style and subordinates performance.

Responses Management

staff

Non management

staff

Total

Yes 25 78 103

No 9 90 99

Indifference 6 22 28

Total 40 190 230

Source: Field Survey 2010

From data in the table above, we observed that twenty five (25) of the

management staff and seventy eight (78) of the non management staff

agreed that there is a relationship between leadership style and

subordinates performance. The table also indicated that nine of the

management staff and ninety (90) of the non-management staff are of a

negative view that there is a relationship between leadership style and

subordinate performance. The data from the table finally show that six (6)

of the management staff and twenty two (22) of the non management staff

were indifference about whether there is a relationship between leadership

style and subordinate performances.

Table 4.3.1 Percentage Analysis

Responses Management

staff

Non management

staff

Total

Yes 67.5% 41.1% 44.8%

No 22.5% 47.4% 43%

Indifference 15% 11.5% 1.7%

Total 100% 100% 100%

Source: Field Survey 2010

The table shows the percentage analysis of the responses of the

respondents. We observed from the table that 67.5% of the management

staff and 41.1% of the non management staff were of the view that there is

a relationship between the performances of the subordinate and the type of

leadership style adopted. This gave rise to the total percentage of the

respondent that say, there is a relationship to 44.8%. The data in the table

also indicated that 22.5% of the management staff and 47.4% of the non

management staff argue that there is no relationship between the

subordinate performance and leadership style adopted. We therefore have

43% of the total respondents that hold negative view. The data in the table

finally indicated that 15% and 11.5% of the management staff and non

management staff respectively were indifference. In other words they

neither answered Yes nor No. We therefore have the total percentage of

the respondents that were indifference to be 12.2%

TEST OF HYPOTHESIS THREE

Null: There is no relationship between leadership style and subordinates

performances.

Chi-Square (x2) = ∑ (OF – EF)2 EF The observed frequencies are the data displayed in the payoff matrix table

4.3.

The expected frequencies are as follows

EF for the management staff that answer ‘Yes’

103 x 40 230 = 17.9 EF for the non management staff that answered ‘Yes’

103 x 190 230 = 85

EF for the management staff that answer ‘No’

99 x 40 230 = 17.2

EF for the non management staff that answered ‘No’

99 x 190 230 = 81.8

EF for the management staff that were ‘Indifference’

28 x 40 230 = 4.9

EF for the non management staff that were ‘Indifference’

28 x 190 230 = 23.1

Table 4.3.2 Contingency table

Responses Frequency Mgt staff Non mgt staff

Total

Yes Observed frequency Expected frequency

25 (17.9)

78 (85)

103

No Observed frequency Expected frequency

9 (17.2)

90 (81.8)

99

Indifference Observed frequency Expected frequency

6 (4.9)

4 (23.1)

28

Total 40 190 230

Source: Field Survey 2010

x2 = (25 – 17.9)2 + (78 – 85)2 + (9 – 17.2)2 17.9 85 17.2

+ (90 – 81.8)2 + (6 – 4.9)2 + (22 – 23.1)2 81.8 4.9 23.1

x2 = 2.8 + 0.6 + 3.9 + 0.8 + 0.2 + 0.1 = 8.4

x2 Calculated = 8.4

DEGREE OF FREEDOM

DF = (r – 1) (c – 1)

Where r = 2

c = 3

∴DF = (2 – 1) (3 – 1)

= 1 x 2

DF = 2

Level of significance = 5%

The chi-square (x2) table value at degree of freedom 2 and 0.05 level of

significance = 5.99

i.e. (x2 5.99) (2, 0.05)

DECISION RULE: Since the calculated chi-square x2 (8.4) is greater than

chi-square (x2) table value (5.99) i.e. (8.4 > 5.99), we reject the null

hypothesis that said that there is no relationship between leadership style

adopted and subordinates performances. In other words, we accept the

alternate hypothesis said that there is a relationship between subordinates

performances and leadership style adopted.

CHAPTER FIVE

SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS

5.1 DISCUSSION OF FINDINGS

This study is discussed along with the objectives of the study. Recall

that the general objective of this study is to identify the determinants of

effective leadership style on a group while the specific objectives are;

1. To determine the impact of organizations external environment on

leadership style determinant.

2. To determine the impact of the personality of a leader and the

personality of subordinates on the leadership style.

3. To determine the relationship between leadership style and

subordinates performance.

4. To make recommendations based on the analysis and findings.

IMPACT OF ORGANIZATION’S EXTERNAL EVIRONMENT ON

LEADERSHIP STYLE DETERMINANT

From the data collected and analyzed, we discovered that no

organization can exist without the influence of both internal and external

environment. The internal environment are those individuals, groups,

materials and other resources which the organization can manipulate and

have control over such as capital, employees, raw materials etc. On the

other hand, the external environment are those individuals, group, agencies

etc which the organization has no control or influence over. Such as

competitors, government agencies, suppliers etc. From the analysis we

observed that one of the determinants of effective leadership style is the

organization’s external environment. For instance, the style of leadership

adopted by an organization’s key competitor can influence the organization

in order to match the competitor. From the data presented and analyzed,

we accepted the Alternate hypothesis which said that organization’s

external environment has an impact on leadership style.

This finding is in line with the argument of Ejiofor (1985:12) where he

argued that line of determinant of style of leadership is the organization’s

external environment.

THE IMPACT OF THE PERSONALITY OF A LEADER AND THE

PERSONALITY OF SUBORDINATES ON THE LEADERSHIP STYLE:

From the data collected and analyzed, we discovered that one of the

determinants to effective leadership style is the personality of a leader, his

past experiences and of course the personality of the subordinates. For

instance, a manager who has been successful exercising oriented style of

leadership. Evidence has demonstrated that situations often work out the

way we expect them to – a phenomenon referred to as the self-fulfilling

prophecy. According to the study by Ile, (1999:233), it was found out that

new leaders who were told their subordinates were low performers

managed in a more authoritarian way that did new leaders who were told

their were high performers. These findings of this study is in line with the

argument of stoner and Freedman, (1992:480) where they argued that the

factors to be the major determinants of leadership style are; The leader’s

personality, past experiences and expectations, the superior’s expectations

and behaviour, task requirements, peers’ expectations and behaviour,

subordinates’ characteristics, expectations and behaviour.

THE RELATIONSHIP BETWEEN LEADERSHIP STYLE AND

SUBORDINATES PERFORMANCES.

From the data collection and analyzed, we discovered that there is

significant relationship between a leadership style adopted by the leader

and the performances of the subordinates. For instance, it is of a truth that

a leader who always adopt an autocratic style of leadership without

considering the classes of his subordinates will also have high employees

turnover which will have a direct impact on the individual and general

organization’s performances. On the other hand, a democratic leaders

motivates his subordinates to contribute, and encourages them to accept

responsibility. According to Akpala (1990:133), the follower who has

participated in determining what is to be done will probably understand the

decision and agree that a certain course of action is necessary and proper.

He thus exercise some power and has the opportunity to express himself

and exercise his abilities. The results of all these motivations by democratic

leader leads to high performances while the subordinates who are not

properly motivated as a result of style of leadership adopted will affect he

productivity of the organizations negatively. Therefore, there is a

relationship between leadership study and subordinates performances.

5.2 CONCLUSION

From the data collected and analyzed, we observed that effective

leadership depends on many variables, such as organizational culture and

the nature of tasks. We therefore conclude that on one trait common to all

effective leaders and on one style of leadership is effective in all situations.

In other words, the effectives of a particular leadership style, depends on

factors in each situation that affected the effectiveness of a particular

leadership style. We also conclude in line with the proponents of

contingency approach to leadership which viewed that the leadership style

that best contributes to the attainment of organizational goals might vary in

different types of situation or circumstances. We finally conclude that other

determinant of leadership style are; The superiors expectations and

behaviors, peer’s expectations and behaviour, subordinates”

characteristics, expectations and behaviour, the leader’s position

power/authority, the relationship between the leader and his followers, the

nature and size of the organization, the organization’s structure, time

element and the nature of the goal the members are striving to achieve.

RECOMMENDATIONS

Based on the data collected, studied and analyzed, we recommend th

following.

1. A leader should have both physical and mental energy to enable

him/her performs a wide field of activities.

2. A leader should be relatively free from bias, be consistent in his

actions and refrain from the use of anger.

3. An effective leader should know how certain individuals feel towards

certain activities and other individuals since he deals with people.

4. A leader should have the ability to loot at things objectively and

understand them from another’s viewpoint.

5. To be effective, a leader should not permit himself to get emotionally

involved to the extent that he finds it difficult to make an objective

diagnosis.

6. To be an effective leader, the desire to lead must come from within

the individual making him or her to show persistence, willingness to

work long hours, intense application of self, and enthusiasm.

7. A good leader should be demonstrating how to accomplish a task,

correcting mistakes and preparing followers for advancement.

8. Finally, an effective leadership style should be dependent on the

situation facing the leader.

BIBLIOGRAPHY

Akpala, Agwu (1990) Management: An introduction and the Nigerian Perspective, Enugu Department of Management, faculty of Business Administration, University of Nigeria Enugu Campus. Allan, G. Tilley and Robert J. House (1969), Management Process and Organizational Behavior, Illinois Scott, Foresman and Co. Appley, C. Robert (1981), Modern Business Administration. Third Edition, Toronto: Pitman Publishing Ltd. Dalis, Keith, (1972), Haman Behaviour at work, 4th Edition New York: McGraw-Hill Inc. Gallagher, Kalin, EdRoSde, Bob Mc Clelland, John Reynolds and Stare Tombs (1977). People in Organization, An active learning approaches, Oxford: Black well. Hicks, Herbet G. and C. Ray Gyllett (1987), Management, Singapire: McGraw-Hill Co. House, R.J. and Mitchell, J.R. ‘A path-Goal Theory of leader effectives”, Administrative science Quarterly Vo. N. 3, (September, 1971). Ile, Norbert M. (1999). Management and Organizational Theory and Practice. Enugu, Vongasen Ltd. Igboeli, Geofrey N. (1990), Management, A Functional Approach. 1st Edition: Aba Model Academic publishers. Aba, Model Academic publishers Ltd.

Koontz, Harold and Cyril O’ Donnell (1972), Principles of Management: An Analysis of Management Function, 5th Ed. New York McGraw-Hill, hic. Nwachukwu, C.C. (1988), Management Theory and Practice. Centsha. Africana Fep Publishes Limited. Okenwa, C. P. and Ugbo, I. F. (2001), Management Theory and Practice Oko, Polytechnic Press Ltd. Stoner, James A.F. and Freeman, Edward R. (1992) , Management. fifth Edition, New Delli; Prentice Hall India Limited. Ukeji, B.O (1996) “Leadership The Bance of Nigeria Development” Journal of the management science UNIZIK, Awka Vol. 1 No. 1. Umoh, S.M. (2002), Human Behavior In organization and Administrative Theory and Practice volume 2: Enugu, Martins Concept Publishers.

APPENDIX

Department of Management

Faculty of Business Administration,

University of Nigeria Enugu Campus

Enugu.

16th March, 2010.

Dear Respondent,

I am a post graduate student of the above University who is

undergoing a Master Degree programme in Management (MBA). In the

course of the Programme, I am requested to carryout a research work on

the topic “The Determinants of effective leadership style in organization”

with a special emphasis in United Bank for Africa (UBA) in Enugu

metropolis”, hence this questionnaire.

I wish to let you know that the entire exercise s purely for academic

purpose. Your assistance is therefore highly needed by filling the

questionnaire below without bias mind. Please be assured that any

information you supply will be treated confidentially and would be used for

the purpose it is meant for.

Thanks.

Yours faithfully,

………………… OGBODO J.

QUESTIONNAIRE DESIGN

INSTRUCTION

Please, indicate at the end of each question the answer(s) which

appropriately appeals to you by ticking [ √ ] against any of the options.

Questions:

PERSONAL DATA:

1. What is your name?

2. Sex:

Male

Female

3. Marital Status:

Married

Single

4. Age

5. State of origin

6. Nationality

7. What is your position in UBA?

Management staff

Non management staff

8. How long have you worked for UBA

More than one year

Less than one year

More than five years

Less than five years

9. Have you worked for any other bank before UBA?

Yes

No

10. If yes in question (9), how long did you work before leaving.

Less than two year

Above two years

11. Why did you leave your former bank for UBA?

Because of poor leadership style of the management

Because of poor working conditions

Personal Reasons

12. In your opinion, do you think organization’s external environment has

any influence in the leadership style to adopted by the leaders in

banking industry.

Yes

No

Indifference

13. Do you think the style of leadership adopted by your boss has any

relationship on your performances?

Yes

No

Indifference

14. Have lead a group before (either formal or informal)

Yes

No

15. These styles of leadership, which one do you appreciate most

Autocratic style

Democratic style

Participative

16. Do you agree that personality of a leader and personality of

subordinates a good determinant to effective leadership style?

Strongly Agreed

Agreed

Strongly disagreed

Disagreed

17. If you are made the leader of any group, what are the things you will

consider before choosing a particular leadership style to enable you

become an effective leader.

18. To what extent do you think that the general performance of UBA has

to do with the various leaders and their style of leadership in the

bank?