Influence Of Leadership Styles On Organisational Commitment And Employee Job Satisfaction: Evidence From The Electricity Company Of Ghana, Cape Coast

Abstract

Organisational success or failure is often directly correlated with the quality of its leadership. This study examined the influence of leadership styles on organisational commitment and employee job satisfaction: focusing on the Electricity Company of Ghana (ECG), Cape Coast. The two types of leadership styles that were highlighted in this study were transformational and transactional leaderships. The research used the positivism paradigm, quantitative approach and descriptive research design. A total of 105 data was acquired through self-administered questionnaires. The data were analysed with the aid of descriptive statistical tools (mean, standard deviation, minimum value, and maximum value) and Partial Least Squares (PLS) from Structural Equation Modeling (SEM), version 4. The leadership styles (transformational and transactional) used at ECG were found to favorably influence organisational commitment and employee job satisfaction. More importantly, it was concluded that the leadership styles (transformational and transactional) executed by the organisation represented a significant positive predictor of higher employee commitment and job satisfaction. Therefore, it was recommended that the leaders of the organisation should make sure effective leadership styles (transformational and transactional) are adopted in diverse situations if they are hoping to achieve good performance.