Role of Leadership in Organizational Performance

This article discusses the role of leadership in enhancing organizational performance through continuous innovation, communication, and empowerment of employees. It also highlights the importance of transparency in operations and the long-term vision of leaders.

Running head: ROLE OF LEADERSHIP IN ORGANIZATIONAL PERFORMANCE
ROLE OF LEADERSHIP IN ORGANIZATIONAL PERFORMANCE
Name of the student
Name of the university
Author note

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The interview is conducted in a room where student 1 has taken up the role of an
interviewer and student 2 and student 3 participated in the interview session as respondents. The
interview is being undertaken in order to identify the role that is played by the leaders in
enhancing the business performance.
Question from student 1: What is the role of the leaders in the organizational context?
Answer from student 2: The changing market trends and the advancement in different
technologies have affected the functioning of businesses through enhanced competitiveness.
Continuous innovation in the processes of the business has helped the same in upholding the
sustenance of the business operations. Innovation in the processes of the business is backed by
the different leadership roles that are played by the management of organizations. Smooth
functioning of the workforce and the different activities that are undertaken by the same has
helped in maintaining the efficacy of the functions as per the objectives of business sustenance.
The identification of the different market trends and the manner in which they are supported by
the leadership approaches helps the organizations in facilitating the smooth functioning of the
workforce.
Question from student 1: Do you think that the market trends affect the role of the leaders
in the organizational context?
Answer from student 3: The changing needs of the customers have brought about modifications
in the model of businesses. 21st century businesses are more likely to integrate their operations in
the social media, which has offered the businesses with a wider platform for undertaking
different marketing and promotional activities. It can be stated that the digital integration of the

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businesses and the utilization of suitable Information Systems (IS) has helped in enhancing the
functions of the business while operating in the diverse regions. On the other hand, continuous
innovation in the businesses is a necessary element for upholding the sustenance. However, the
concept of the digital media integration and utilization of Information Systems is linked with the
continuous innovation approach through the identification of the needs of the customers.
Question from student 1: How do the market trends bring in the change in the leadership
approach?
Answer from student 3: The identification of the needs of the customers and the market trends
assists in devising different products and services resulting to competitive advantage of the
business over the existing players in the market. Therefore, the leaders play an important role in
identifying the different modifications in the processes that might be undertaken by the ventures
in order to maintain the efficacy of the organizational performance through competitive
advantage.
Question from student 1: Do you think that the long term vision of the leaders assists in
enhancing the business performance?
Answer from student 2: The long term vision of the leaders helps in enhancing the business
performance through innovative measures. On the other hand, the risks that might be faced by
organizations while undertaking the modifications assist the organization in undertaking the
smooth functioning. The development of organizations is based on the continuous innovation
that is undertaken by the same while operating in the diverse markets. Therefore, the leaders play
an important role in understanding the needs of the organization while supporting the sustainable
approach of the same.

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Question from student 1: What are the factors that influence the organizational
performance?
Answer from student 3: The different factors that influence the smooth functioning of the
businesses are based on the innovative approach of the same. On the other hand, the smooth
functioning of the workforce contributes to the organizational performance in the competitive
market. I believe that the leaders in the organizations play a major role in defining the role of the
different departments and thereby allotting the tasks as per the expertise in order to maintain the
efficacy of the functions. On the other hand, the retention of skilled workforce through rewards,
recognition systems and empowerment assists the business management in facilitating the
smooth functioning of the systems.
Question from student 1: How is continuous innovation facilitated by the leader’s
approach?
Answer from student 2: Continuous innovation in the business model is initiated through the
long term vision of the leaders through the identification of the market6 trends that are faced by
the venture. Analysis of the capabilities and competencies of the business assists the businesses
in identifying the different changes that are required to be undertaken. Active involvement of the
employees and the chief stakeholders in the business processes delineates the capabilities of the
business to operate in the different market situations. The issues relating to the organizational
performance is best resolved through the utilization of specific communication tools that helps in
enhancing the operation of the business.

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Question from student 1: What approach is required to be undertaken by the leaders in
order to enhance the functioning of businesses?
Answer from student 3: The key changes that are adapted by the organization is required to be
communicated to the employees for supporting the smooth functioning of the workforce. On the
other hand, transparency in the communicability of the business helps businesses in boosting the
modifications that are required to be taken by the organization in order to sustain in the
competitive situations. Management of the organizations play an important role in uplifting the
organizational performance through their efficient decision making which is supported by their
long term vision. I believe that the collaborative functioning of the management with the
employees, as prescribed in transformational leadership approach, helps in enhancing the
business performance. The leaders not only make decisions based on analysis of the internal and
external capabilities but also undertake steps to motivate the employees in order to facilitate the
smooth functioning of the same in the organizational context.
Question from student 1: How does empowerment help in enhancing the business
performance?
Answer from student 3: Empowerment of the employees helps in enhancing their skills, which
is beneficial for the long term success of the ventures. It can be stated that the transparency in the
management undertakings of the business helps in building on the inter- trust factors that assists
the smooth functioning of the workforce as per the objectives of the business’ sustainability.
Therefore, the organizational performance is specifically based on the different approaches that
are undertaken by the management of the organization. The long term vision of the leaders must
be aligned to the capabilities of the organization to undertake different innovative ventures in

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order to support the sustainable approach of the enterprise. Therefore, the different factors that
support the sustainability of operations of businesses are linked to the different behavioral
attitudes of the leaders and the manner in which they treat the workforce.
Question from student 1: How does the factors of organizational performance dependent
on the role played by the leaders?
Answer from student 2: I believe that enhancing communicability between the employees and
the managers helps in building an inter- trust collaborative factor that helps in efficient
development of the organizational performance. It might be stated that the collaborative
functioning of the management of the organization and the employees helps in facilitating the
smooth functioning of the operations of the business. Motivating the employees through different
reward and recognition programs and undertaking suitable communication with the same has
helped the leaders in implementing different changes for upholding the sustainable approach of
the businesses in the competitive markets.
Question from student 1: How do the leaders influence the smooth functioning of the
workforce to support business performance?
Answer from student 3: The leaders of the businesses play a major role in maintaining the
efficacy of the functions as per the objectives of organizational sustenance. The leader’s role of
motivating and empowering the employees in the organization is one of the most crucial aspects
that support the continuous innovative approach of the businesses. It can be stated that
empowering the employees through sessions and enhancing the skills of the same adds on to the
performance of the organization while operating in a competitive market scenario. Therefore, the
leaders play an important role in maintaining the efficiency of the workforce through continuous

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motivation, as it helps the organization in increasing the productivity of the same. On the other
hand, the most important role that is played by the managers of organizations is related to
communication, which helps the businesses in maintaining transparency in the operations.
Question from student 1: Do you think that transparency of operations helps in efficient
management?
Answer from student 2: Transparency in the operations of the business helps the venture in
maximizing the involvement of the employees in the processes. It helps in inducing an inter-
trust factor between the management of the organizations and the employees through which the
organization is benefitted. The inter- trusts factor helps the companies in reducing the rate of
turnover and thereby retain the experienced workforce that results to efficient knowledge transfer
in the internal systems. However, it might also be stated that the long term vision of the leaders
and the cooperative activities of the management of the business helps in perpetuating the
efficacy of the organizational performance. Therefore, it might be stated that apart from menial
decision making and other authoritative functions, the leaders play an important role in
maintaining the organizational performance through the utilization of cooperative activities with
the employees. It helps in enhancing the functions of the businesses while operating in diverse
competitive markets.
Question from student 1: How far do you think communication is important for the leaders
to undertake effective management?
Answer from student 2: The smooth operations of the workforce are supported through the
different leadership approaches and communicability the leaders. The discussion clearly exhibits
the roles that are played by the leaders in the context of enhancing the organizational

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performance through collaborative and decision making activities. Active involvement of the
employees in the processes and transparency in the communication with the same has helped the
leaders in maintaining the efficiency of the workforce. On the other hand, the identification of
the different processes and thereby deciding on the most relevant steps is facilitated through
communication. It assists the businesses in maintaining the strategic fit of the same while
operating in the diverse international scenarios.

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