Sunday, April 16, 2023

How Different Leadership Styles Affect Employee Engagement

 


Figure 1

Source from: https://www.labmanager.com/news/an-engaging-leadership-style-may-boost-employee-engagement-28378

Introduction:

Leadership is a critical aspect of any organisation that can impact employee performance and productivity. A good leader is one who can inspire and motivate employees to achieve the company's goals while fostering a positive work environment. One way leaders can create an engaged workforce is through the use of different leadership styles. In this blog, we will explore the various leadership styles and their impact on employee engagement. According to the social exchange theory, when leaders are sensitive to and respond to changes in employees' needs, employees will work more actively to repay their leaders. As a result, subordinates who are cared about by charismatic leaders are more likely to increase their engagement.

Importance of Leadership Styles in the Engagement of Employees:

The competition among mobile telecommunications companies largely depends on the degree of employee engagement. The degree of improving employee engagement, and the way of mobilising enthusiasm among employees is not only a theoretical topic that has been discussed and studied by academic circles, but also a practical problem faced by business leaders. A large number of empirical studies have consistently found that higher work involvement has a positive impact on individual work (Wang, Z., Chen, L. and Li, X. 2015), which is positively correlated with employees job performance, organisational behavior, and job satisfaction.

Task structure has an important impact on the effectiveness of leadership behavior, which is a key situational factor affecting the effectiveness of leadership in any organisation. It will inevitably affect the relationship between the leader’s behavior and the behavior of the corresponding subordinates.  A comparative study on the influence of the engagement of charismatic leadership, and authoritarian leadership, reveals that there are similarities and differences between these two kinds of style of leadership role, then adds the task structure of the situational variables, explore the task structure of relations between the two types of leadership and subordinate behavior, the influence of rich leadership contingency theory on the one hand, on the other hand, can provide the basis for leadership selection in the organisation. From the perspective of contingency management, when the level of task structuring is at what level, the organisation should adopt which leadership style is appropriate, and thus improve the effectiveness of leadership, which is essential to improve the competitive advantage of the Company.

Charismatic Leadership Style:

Charismatic leaders are summarized into five dimensions, including role simulation, image building, goal clarification, expression of high expectation and confidence, and motivational behavior (House, R.J. 1977). Bass thinks, charismatic leaders can inspire followers, followers worship, identity, inspire followers to achieve the desired goal, and will be charismatic leadership behavior is good impression management, and values associated with work, depicting attractive vision, role model, expressive behavior, and eloquent kinds of behavior (Bass, B.M. 1985). Charismatic leaders’ vision of motivation and care for their members can greatly infect employees and fully stimulate their engagement. Charismatic leaders are good at observing the opportunities for change, establishing an attractive organizational vision, and building the hope and confidence of subordinates for the future, so as to enhance the motivation of employees (Howell, J.M. and Shamir, B. 1999). This is very similar to transformational leadership.

Figure 2

Source from: https://www.istockphoto.com/photos/maslow-hierarchy

According to Maslow’s hierarchy of needs theory, charismatic leaders’ vision stimulation and care for members can greatly meet subordinates’ needs for respect and self-realisation, make subordinates willing to believe and obey the leader and make efforts to realise the vision proposed by the leader, and voluntarily increase their engagement in work.

Autocratic Leadership Style:

Autocratic leadership is a style in which leader makes decisions on their own without seeking input from their team. This leadership style can lead to high levels of control and efficiency. However, it can also lead to low employee engagement and motivation (Goleman, 2000). When employees are not given the opportunity to participate in decision-making, they may feel undervalued and disengaged.

There are two main styles of leadership in Chinese companies. One is the authoritarian leadership style which emphasises the personal authority and control of the leader. The other is the charismatic leadership style that influences the subordinates’ attitude and behavior by describing the inspiring vision and actively meeting their needs (Yao, C. and Liu, Y. 2013).

However, authoritarian leaders emphasise that the authority of leaders should not be challenged, and rely on the deterrence of their position of power to make subordinates obey and obey. Although this makes subordinates obey and submit to the leadership to a certain extent, in the long run, the psychological pressure and insecurity brought by authoritarian leadership will lead subordinates to resist the leadership's authority, thus leading to their reduced engagement.

Transformational Leadership Style:

Transformational leadership is a style in which the leader inspires and motivates their employees to achieve their full potential. This leadership style fosters a positive work environment by encouraging open communication, trust, and collaboration (Bass & Riggio, 2006). Transformational leaders are often seen as role models and can inspire their employees to perform at their best.

Servant Leadership Style:

Servant leadership is a style in which the leader focuses on the needs of their employees and empowers them to succeed. This leadership style can foster a sense of community and encourage employees to take ownership of their work (Greenleaf, 1970). When employees feel valued and supported, they are more likely to be engaged and committed to the organization.

Laissez-Faire Leadership Style:

Laissez-Faire leadership is a style in which the leader provides minimal direction and allows employees to make their own decisions. This leadership style can be effective in creative fields where employees need to be self-directed and autonomous (Bass & Riggio, 2006). However, in other industries, it can lead to confusion and lack of accountability, resulting in low employee engagement.

Figure 3

Source from: https://www.semanticscholar.org/paper/Analysing-the-impact-of-leadership-styles-and-on-of-Claassen/a76084d805b646d692661b8c4d9d128426990e50


Conclusion:

In conclusion, the leadership style employed in an organization can significantly impact employee engagement. Different leadership styles can be effective in different contexts, but transformational and servant leadership styles are generally seen as the most effective in fostering employee engagement. By adopting these styles, leaders can create a positive work environment that encourages collaboration, open communication, and employee empowerment.

According to the social exchange theory, when leaders are sensitive to and respond to changes in employees’ needs, employees will work more actively to repay their leaders. As a result, subordinates who are cared about by charismatic leaders are more likely to increase their engagement.

Therefore, based on the above analysis, charismatic leadership predicts engagement better than authoritarian leadership with the below assumptions.

  • The task structure moderates the relationship between authoritarian leadership and employee engagement.
  • The task structure moderates the relationship between charismatic leadership and employee engagement.

Therefore, according to the above, the theoretical model of this study is proposed, as shown in Figure 4. From the perspective of employees themselves, the relationship between charismatic leadership, authoritarian leadership, and employee engagement and the moderating effect of task structure were studied.


Figure 4
 Theoretical model






Reference List:


Bass, B.M. (1985) Leadership and Performance beyond Expectations. Free Press, New York.


Bass, B. M., & Riggio, R. E. (2006). Transformational leadership. [online]  Available from: https://www.taylorfrancis.com/books/mono/10.4324/9781410617095/transformational-leadership-bernard-bass-ronald-riggio [Accessed 16 April 2023].


Goleman, D. (2000). Leadership that gets results. [online] Harvard Business Review, 78(2), 78-90. Available from: https://hbr.org/2000/03/leadership-that-gets-results [Accessed 16 April 2023].


Greenleaf, R. K. (1970). The servant as leader. [online] Robert K. Greenleaf Center. Available from: https://www.greenleaf.org/what-is-servant-leadership/ [Accessed 16 April 2023].


House, R.J. (1977) A 1976 Theory of Charismatic Leadership. [online] The Cutting Edge, Southern Illinois University Press, Carbondale, IL, 189-207. Available from: https://www.mendeley.com/catalogue/1976-theory-charismatic-leadership-working-paper-series-7606/ [Accessed 16 April 2023].


Howell, J.M. and Shamir, B. (1999) Organizational and Contextual Influences on the Emergence and Effectiveness of Charismatic Leadership. [online] The Leadership Quarterly, 10, 257-283. Available from: https://doi.org/10.1016/S1048-9843(99)00014-4 [Accessed 16 April 2023].


Wang, Z., Chen, L. and Li, X. (2015) Transformational Leadership and Work Engagement: An Affect Perspective. Management Review, 9, 120-129.


Yao, C. and Liu, Y. (2013) Charismatic Leadership and Subordinates’ Work Engagement: The Mediation Mechanism of Identification’ Two-Dimension Construct. [online] Journal of Psychological Science, 36, 942-948. Available from: https://www.psysci.org/CN/Y2013/V36/I4/942 [Accessed 16 April 2023].


Zhao, R. and Sheng, Y. (2019) The Effect of Leadership Style on Employee Engagement: The Moderating Role of Task Structure. [online] Open Journal of Social Sciences, 7, 404-420.  Available from:. https://www.scirp.org/journal/paperinformation.aspx?paperid=94014 [Accessed 16 April 2023].



11 comments:

  1. With a focus on transformational and servant leadership as being the most effective, this article provides a clear explanation of how various leadership styles might affect employee engagement. The proposed theoretical model that uses task structure as a moderator is useful, as is the application of social exchange theory to explain the connection between leadership and engagement. The information in this article will help leaders who want to increase employee engagement in their organisation.

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    Replies
    1. Thank you for your insightful comment! Udesh, I'm glad you found the article helpful in understanding the different leadership styles and their impact on employee engagement. The proposed theoretical model using task structure as a moderator is indeed useful in helping leaders determine the most effective leadership style for their specific organisational context. Additionally, the application of social exchange theory sheds light on the relationship between leadership and engagement, highlighting the importance of mutual benefit and reciprocity between leaders and employees. I hope this article can be a useful resource for leaders looking to improve employee engagement in their organisation.

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  2. As a reader, this blog post was very informative and insightful. It is interesting to learn about the impact of different leadership styles on employee engagement, particularly in the mobile telecommunications sector, where competition is high. I appreciate the author's explanation of the importance of task structure in determining the effectiveness of leadership behavior, which is a crucial situational factor.

    Regarding the different leadership styles discussed, What are some specific examples of how charismatic leaders can stimulate employee engagement?

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    1. Thank you for taking the time to read my blog post and for your thoughtful comment Niluka. I am glad to hear that you found the post informative and that you appreciated my explanation of the importance of task structure in determining the effectiveness of leadership behavior. I agree that competition in the mobile telecommunications sector can be intense, which is why it's so important for leaders to understand the different leadership styles and their impact on employee engagement in order to create a positive and productive work environment. Thank you again for your feedback, and I hope to continue providing valuable insights in the future.

      However in answering to your question, Charismatic leaders can stimulate employee engagement in a variety of ways. Here are some specific examples:

      1. Communicating a compelling vision: Charismatic leaders are often able to inspire and motivate employees by communicating a clear and compelling vision for the organisation. By painting a vivid picture of the future and the role that employees will play in achieving that future, charismatic leaders can create a sense of purpose and meaning for employees, which can increase their engagement and motivation.

      2. Building strong relationships: Charismatic leaders are often highly skilled at building strong relationships with employees. By showing genuine interest in their employees' lives and work, charismatic leaders can build trust and loyalty, which can increase engagement and commitment.

      3. Providing feedback and recognition: Charismatic leaders understand the importance of providing regular feedback and recognition to their employees. By acknowledging their employees' contributions and providing constructive feedback on their performance, charismatic leaders can help employees feel valued and appreciated, which can increase engagement and motivation.

      4. Fostering a positive work culture: Charismatic leaders are often able to create a positive work culture that is characterised by collaboration, creativity, and innovation. By fostering a sense of community and shared purpose, charismatic leaders can create a work environment that employees are excited to be a part of, which can increase engagement and satisfaction.

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  3. I completely agree with your viewpoint that leadership style plays a crucial role in employee engagement (Schein, 2010). The way leaders interact with their employees and manage their team can have a significant impact on the motivation, productivity, and job satisfaction of their employees. According to Bass and Riggio (2006), adopting a transformational leadership style that emphasizes employee development and empowerment can lead to a more engaged workforce. This style of leadership enables employees to feel valued, respected, and supported, which results in increased job satisfaction and productivity. On the other hand, a leader who uses an autocratic leadership style may foster a disengaged workforce as they do not involve employees in decision-making, resulting in employees feeling undervalued and demotivated (Graen & Uhl-Bien, 1995). Therefore, it is essential for leaders to adopt a leadership style that aligns with the needs and preferences of their employees to enhance their engagement and promote a positive work culture (Hackman & Oldham, 1976).

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    1. Thank you for your insightful comment on the role of leadership style in employee engagement Praveen. Your points are well-founded and supported by research in the field. Indeed, the way leaders interact with their employees is critical in creating a positive work environment that fosters employee engagement.

      As you mentioned, Bass and Riggio (2006) argue that transformational leadership is a key style for enhancing employee engagement. This leadership style emphasises employee development and empowerment, which can lead to greater job satisfaction, motivation, and productivity among employees. On the other hand, autocratic leadership styles can lead to disengagement, as employees may feel excluded from decision-making processes and undervalued.

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  4. The introduction provides a good overview of the topic, and the subsequent sections discuss the different leadership styles in detail, highlighting their advantages and disadvantages. The introduction presents the importance of leadership styles in the engagement of employees, and how different leadership styles impact employee engagement. The author mentions the social exchange theory and its relation to leadership, and how it can help leaders create an engaged workforce.

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    1. Thank you for your analysis of the introduction and subsequent sections of the article Hansika. Your points are insightful and accurate. The introduction sets the stage for the discussion by highlighting the importance of leadership styles in employee engagement and providing a brief overview of the different leadership styles that will be discussed. I have also introduced the social exchange theory and its relevance to leadership, providing a theoretical framework for the discussion.

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  5. The best leadership style depends on the situation, organizational culture, team dynamics, and personal preferences of the leader and their team. It is important for leaders to have self-awareness and understand their own strengths and limitations, as well as the strengths and limitations of their team members, in order to choose a style that maximizes their team's potential and helps them achieve their goals.

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    1. Thank you for your insightful comment on the importance of situational leadership and self-awareness in choosing the best leadership style Jothi. Your point is well-founded and supported by research in the field. Indeed, there is no one-size-fits-all approach to leadership, and the best leadership style depends on a variety of factors, including the situation, organisational culture, team dynamics, and personal preferences of the leader and their team.

      As you mentioned, having self-awareness is essential for leaders to understand their own strengths and limitations, as well as those of their team members. This can help leaders choose a leadership style that plays to their strengths and maximises the potential of their team members. Additionally, situational leadership requires leaders to be adaptable and flexible, able to adjust their leadership style depending on the situation and needs of their team.

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  6. I wholeheartedly agree with you that the leadership style employed in an organization can significantly impact employee engagement. Personally, I have worked under 2 different leaderships, and I can relate myself to certain leadership styles that you have mentioned in your article.
    If used properly, this article can help managers who want to increase employee engagement in their organization.

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