Impact of Leadership style on Employee Performance: A case study of HSBC

Running head: DISSERTATION
The Impact of Leadership style on Employee Performance: A case study of HSBC
Name of the Student
Name of the University
Author Note

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Executive Summary
The study throws light on the domain of Leadership and Employee performance. The key
objective of the research is to examine the manner in which the Leadership style has a strong
impression on the performance of the worker and also to determine the manner in which the
employee performs. The firm chosen for the analysis is the HSBC Bank. The study has followed
a comprehensive outline whereby the different chapters are the Introduction which lays down the
research Questions and the objectives, the Review of Literature which offers a critical analysis of
the studies taken previously and offer a theoretical background, the Research Methodology
chapter which throws light on the various data analysis and collection procedures taken and the
fourth chapter which discusses the results of these analysis performed using a survey collected
from 150 employees of HSBC. The last chapter recaps the study and has offered certain
recommendations based on the same.

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Table of Contents
Chapter 1: Introduction....................................................................................................................6
1.0 Overview................................................................................................................................6
1.2 Background of the subject.....................................................................................................6
1.3 Problem statement.................................................................................................................8
1.4 Research aim..........................................................................................................................9
1.5 Research Objectives...............................................................................................................9
1.6 Research Questions..............................................................................................................10
1.8 Research Rationale..............................................................................................................11
1.9 Structure of the Paper..........................................................................................................12
Chapter 2: Literature review..........................................................................................................14
2.1 Overview..............................................................................................................................14
2.2 Leadership styles.................................................................................................................14
2.2 Approaches to leadership.....................................................................................................19
2.3 Factors affecting leadership styles.......................................................................................20
2.4 Employee performance........................................................................................................23
2.5 The importance of Performance..........................................................................................24
2.6 Factors affecting the performance.......................................................................................26
2.7 The conceptual Framework.................................................................................................31

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2.8 Summary..................................................................................................................................31
Chapter 3: Research Methodology................................................................................................32
3.0 Overview..............................................................................................................................32
3.1 Research Outline..................................................................................................................32
3.2 Research Philosophy............................................................................................................33
Justification of the research philosophy chosen.....................................................................33
3.3 Research Approach..............................................................................................................33
Justification of the research approach chosen........................................................................34
3.4 Research Design..................................................................................................................34
Justification for the research design chosen...........................................................................35
3.5 Research Strategy................................................................................................................35
Justification for the research Strategy chosen........................................................................36
3.6 Sampling technique.............................................................................................................36
Justification for the Sampling technique chosen....................................................................36
3.7 Data collection.....................................................................................................................37
Justification for the Data collection method chosen..............................................................37
3.8 Data analysis........................................................................................................................37
Justification for the Data analysis method chosen.................................................................38
3.9 Ethical considerations..........................................................................................................38
3.10 Accessibility issues............................................................................................................39

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3.11 Summary............................................................................................................................39
Chapter 4: Findings and Analysis..................................................................................................40
4.1 Overview..............................................................................................................................40
4.2 Descriptive Analysis............................................................................................................40
Normality Test...........................................................................................................................50
4.3 Inferential Statistics.............................................................................................................51
Reliability Test...........................................................................................................................52
Correlation.................................................................................................................................53
Regression..................................................................................................................................58
4.4 Hypothesis Testing..............................................................................................................61
4.5 Findings...............................................................................................................................61
4.6 Discussion............................................................................................................................62
4.7 Summary..............................................................................................................................64
Chapter 5: Conclusion...................................................................................................................65
5.1 Overview..............................................................................................................................65
5.2 Linking to Objectives..........................................................................................................66
5.3 Recommendations................................................................................................................67
5.4 Future scope.........................................................................................................................68
5.5 Limtations of the study........................................................................................................68
References......................................................................................................................................70

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Appendix........................................................................................................................................77
Questionnaire.............................................................................................................................77
Normality...................................................................................................................................83

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Chapter 1: Introduction
1.0 Overview
The study pursues to investigate into the impact of the leadership style which is generally
practiced in an organization and the influence which it has on the overall worker performance.
The study aims to find the impression of the diverse leadership styles such as the autocratic,
democratic and participative style on the manner in which the diverse employees perform in an
organization (Adler & Reid, 2008). The first section is the Introduction chapter and it will throw
light on the overall manner in which the different leadership style reflects on the overall manner
in which the diverse employees perform in an organization. The chapter will lay down the
overall background of the subject, lay down the Research aim and related objectives and
additionally seek to define the significance of the study. With reverence to this, the edifice of the
paper shall also be offered accordingly.
1.2 Background of the subject
The Leadership can be considered to be an essential area of management which occupies
a central position in the daily lives of the different employees. An organization needs a leader
and in orientation to this, it is integral that the success of a group or an organization is greatly
dependent on the leader’s ability to hold power deliberately and to take advantage of the
opportunistic situation (Akor, 2014). Very often there exists a problem with reverence to the fact
that, the behavior undertaken within the context of a firm can influence the manner in which the
organizational members behave. Hence, the leadership needs to confirm that the quality of work
in an organization can be influenced to a great extent and in orientation to this, the leadership

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tends to include the source of influences which are built into the positions of the firm`s overall
hierarchy.
All organizations need some kind of influence in their working employees as it tends to
guide the different members and encourages them to perform considerably well. However, very
often a certain leadership style is more suited to a particular employee and some other leadership
style is suited to some other economy (Akram et al. 2012). In line with this, the leader has a
decisive role to play and it is in their hands to confirm that the innovative response is offered to
the leaders and that the employees are able to attain and achieve their overall objectives.
However, the role of a leader is not limited to comprehending the manner in which the different
employee groups are required to be influenced but instead also has an impact on the manner in
which an individual puts in certain effort in their work and lies to achieve collective goals and
responsibilities (Alghazo & Al-Anazi, 2016). Hence, the role of a manager needs to be dynamic
in nature and it is the goal of the manager to confirm that depending on the various requirements
of the firm, the leadership style is adapted accordingly.
Employee performance can be considered to be a multidimensional constructive which is
aimed at achieving results which are appropriate have a strong link to the strategic goals of a
firm. Hence, according to Ali (2012), Leadership styles at the workplace often have an influence
on the performance of the staffs and in line of this, the different leadership styles which the
leaders are exposed to the organization can be understood to be the Autocratic, Democratic,
Laissez faire and the Transactional Leadership style. The presentation of the employees can be
understood to be a relevant concern for the different individuals who are present in the business
environment and in orientation to this, it is integral for the firm to see to it that the overall
management deeply relies on the correct leadership style of the organization (Amanchukwu,