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The Role of Leadership on the Retention of Millennial Employees in the South African Retail Sector

   

Added on  2022-08-08

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Running head: DISSERTATION
The Role of Leadership on the Retention of Millennial Employees in the South African
Retail Sector
Name of the Student
Name of the University
Note of the Author

DISSERTATION
Acknowledgement
I thank the almighty God for giving me the grace and strength throughout the study. My
sincere gratitude goes to my supervisor ______________________ for the positive criticism
from the choice of topic to completion of the study and her dedication to making these
projects a success.
Special thanks to my family members and friends for their support and encouragement
throughout the study.
1

DISSERTATION
Abstract
The role of leadership in detaining the many employees in the South African retail sector
forms the crux of this dissertation. The latest involvement of the millennial employees for the
younger generation within the organisation ranging from the age of 18 to 25 is regarded as
the millennial employees. These are much different from the employees at work in the retail
organisation from the previous generations and there display a lot of different characteristics,
like being extremely intelligent to technology and being distinctly impulsive in nature. They
are reportedly far more different to handle than the existing employees within the
organisation who are working from the previous generations. The high rate of organisations
not being able to retain the millennial employees is the primary issue that the research wanted
to look forward to. This is why the leadership style in practice has been analysed with
theoretical approach and at the same time primary data has been collected from the millennial
employees who are already working in the organisations that belong to the Retail Industry in
South Africa. Based on both these qualitative and quantitative data the final discussion has
been formed such that it becomes easier to understand that if the previous theoretical
leadership styles that used to motivate the previous generation is still applicable for if it is in
need for some modification for making the millennial employees be motivated enough to
continue their tenure within an organisation for a long period of time. This research is
conducted to understand the mentality and the motivation factor of these employees to
understand why do or why do not they want to stay within an organisation. With this research
in future it would be e easier for or business aspirants to analyse the situation and
characteristics of their employees so that the business personal would have a better scope at
employee retention and employee management.
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DISSERTATION
Table of Contents
Chapter 1: Introduction..............................................................................................................6
1.1 Context.............................................................................................................................6
1.2 Scope................................................................................................................................7
1.3 Identification of Research Question and Objectives........................................................8
1.3.1. Research Objectives..................................................................................................8
1.3.2. Research Questions...................................................................................................8
1.4 Personal Objectives for the Investigation.........................................................................9
1.5 Structure and Overall Report Overview...........................................................................9
Chapter 2: Literature Review...................................................................................................10
2.1. Introduction...................................................................................................................10
2.2. Leadership.....................................................................................................................12
2.2.1. Definition................................................................................................................12
2.2.2. Distinction between Leadership and Management.................................................12
2.2.3. Leadership Styles....................................................................................................13
2.2.4. Role of Leaders in employee management.............................................................14
2.3. Retention Management..................................................................................................15
2.4. Link between Leadership and Retention.......................................................................18
2.5. Weaknesses- Limitations...............................................................................................23
2.6. Conclusion.....................................................................................................................23
Chapter 3: Research Methodology...........................................................................................24
3.1. Introduction...................................................................................................................24
3.2. Research Approach and Justification............................................................................24
3.3. Qualitative Research Questions.....................................................................................25
3.4. Research Design............................................................................................................25
3.5. Sample and Sampling Method.......................................................................................26
3.6. Research Procedure.......................................................................................................27
3.7. Data Analysis and Interpretation...................................................................................28
3.8. Limitations of this Study...............................................................................................29
3.9. Conclusion.....................................................................................................................29
Chapter 4: Data analysis...........................................................................................................30
4.1. Introduction...................................................................................................................30
4.2. Empirical Data Analysis................................................................................................30
4.2.1. Analysis of Demographics......................................................................................30
4.2.2. Analysis of Survey Questionnaire..........................................................................32
4.3. Conclusion.....................................................................................................................44
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DISSERTATION
Chapter 5: Analysis of Theory and Findings...........................................................................45
5.1. Introduction...................................................................................................................45
5.2. Leadership Style............................................................................................................45
5.3. Leadership Impact on Organizational Attractiveness....................................................46
5.4. Strategic Leadership Communication and its Impacts..................................................46
5.5. Workplace Satisfaction..................................................................................................46
5.6. Conclusion.....................................................................................................................46
Chapter 6: Conclusion and Recommendations........................................................................47
6.1. Introduction...................................................................................................................47
6.2. Key Conclusions............................................................................................................47
6.3. Recommendations.........................................................................................................49
6.4. Limitations.....................................................................................................................50
6.5. Conclusion.....................................................................................................................50
Chapter 7: Personal Reflection.................................................................................................50
7.1. Introduction...................................................................................................................50
7.2. Key Learnings...............................................................................................................50
7.3. Value of the Study.........................................................................................................51
7.4. Future Development Plans............................................................................................51
7.5. Concluding Remarks.....................................................................................................52
Reference..................................................................................................................................53
Appendix..................................................................................................................................62
Survey Questionnaire...........................................................................................................62
Table of Tables
Table 1: Gender Demographic.................................................................................................30
Table 2: Age Demographic......................................................................................................31
Table 3: Question 1.a...............................................................................................................32
Table 4: Question 1.b...............................................................................................................33
Table 5: Question 1.c...............................................................................................................34
Table 6: Question 1.d...............................................................................................................34
Table 7: Question 1.e...............................................................................................................35
Table 8: Question 2.a...............................................................................................................36
Table 9: Question 2.b...............................................................................................................37
Table 10: Question 2.c.............................................................................................................38
Table 11: Question 2.d.............................................................................................................38
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DISSERTATION
Table 12: Question 2.e.............................................................................................................39
Table 13: Question 3................................................................................................................40
Table 14: Question 4................................................................................................................41
Table 15: Question 5................................................................................................................41
Table 16: Question 6................................................................................................................42
Table 17: Question 7................................................................................................................43
Table of Figures
Figure 1: Gender Demographic................................................................................................31
Figure 2: Age Demographic.....................................................................................................31
Figure 3: Question 1.a..............................................................................................................32
Figure 4: Question 1.b..............................................................................................................33
Figure 5: Question 1.c..............................................................................................................34
Figure 6: Question 1.d..............................................................................................................35
Figure 7: Question 1.e..............................................................................................................35
Figure 8: Question 2.a..............................................................................................................36
Figure 9: Question 2.b.............................................................................................................37
Figure 10: Question 2.c............................................................................................................38
Figure 11: Question 2.d............................................................................................................38
Figure 12: Question 2.e............................................................................................................39
Figure 13: Question 3...............................................................................................................40
Figure 14: Question 4...............................................................................................................41
Figure 15: Question 5...............................................................................................................42
Figure 16: Question 6...............................................................................................................43
Figure 17: Question 7...............................................................................................................44
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DISSERTATION
Chapter 1: Introduction
1.1 Context
The thesis is primarily developed to determine ‘The Role of Leadership in Retaining
the Millennial Employees in the Retail Sector of South Africa’. While conducting the
research the focus is to detect what kind of leadership style proves to be the moderately
appropriate for the set of millennial employees working at the retail sectors in South Africa. It
is thus necessary to understand the concept of “millennial employees” and how it differs from
the employees working in retail organizations in the previous generation. Millennial
employees possess certain specialised attributes in their behaviour which distinctly separates
them from the set of employees working before them since the previous times (Bushardt,
Young & Bari, 2018). The primary characteristics of their behaviour is that they extremely
inclined to the technology and prefer performing most of their activities with the utilization of
the digital devices (Wright, Haug & Huckabee, 2019). They are a curious generation of
employees consisting of young people who are reported to be seen from a different
perspective of a leader’s eye for being apparently different from the other employees (Myoli,
2017). While they are found to be always excited for learning new skills, they are often found
to be rebuked by the older generation about having unrealistic visions about the real world
(Nichols, 2019). They are often found to be extremely impulsive as decision makers and the
leaders in an organization need to have a different approach to try and retain the millennial
employees as they are vulnerable to their motivation levels. Hence, the leaders of the
organizations should implement strategies that will help in gaining satisfaction of the
millennial employees about working within and organization to help in retaining them.
Thus, these millennial employees would require a different approach in the
application of leadership styles in order to satisfy them with the retention strategies applied so
that they might not impulsively quit working for the organization causing loss of resources
(Sweeney, 2018). The South African retail sector should thus incorporate suitable
characteristics in their leaders such that both the millennial employees as well as the leaders
of the organization can meet their satisfactory criterion accordingly (Hendriyani & Chan,
2018). According to the past researches, before the Millennial generation were infiltrated in
the workplace, there were the Baby Boomer generation, which are reported to be extremely
hardworking and motivated set of employees (Miyonga, Namusonge & Sakwa, 2018). As per
the reports, they are driven by their urge to satisfy the employees and often found to
6

DISSERTATION
overwork at several occasions. This generation was self-motivated and do not require to be
led by different developed approaches of leadership (Mekraz & Gundala, 2016). They are
immensely loyal to the organizations that they work in. However, the millennial employees
are mainly attracted to usage of technology and they are more inclined to reduce their efforts
with the use of technology (Popli & Rizvi, 2016). They happen to value social causes and
often find themselves aligned with different professional and personal goals (Ramadan et al.,
2017). Therefore, it is implied that in order to make these millennial employees keep on
working in the organization, leadership styles should be researched into for finding out the
best one that would motivate these employees be retained (Andriyani et al., 2017). Thus, it is
the role of the leaders to determine strategies that will help in retaining the millennial
employees of South African retail sectors.
1.2 Scope
After the conduction of the study, the review of the millennial employees about their
expectations about the leadership from the leaders in the organization in retail sectors of
South Africa are attained and determined how the leaders of the retail sectors can implement
different strategies in retaining such employees. The target group for the sample will be the
Millennial Employees of the present generation who are currently working in the retail
organizations in the South African market. The sample size will be composed of 150
Millennial Employees from South Africa who would be provided with a survey questionnaire
capturing their perception about the leadership in the organization and their motivation factor.
They will be circulated a survey questionnaire that will be comprised of close-ended
questions to be answered by the millennial employees. The analysis will be performed with
the help of the SPSS software and data derived from the sample and the hypothesis will be
framed before the tests are conducted in the analysis.
The research study will help to detect the reasons that will help in holding back the
employees within the retail organizations, with special focus on the retail industry of South
Africa. The organizations can thus rely on this research findings to improve their leadership
styles in order to retain the number of millennial employees that they are hiring and be able to
maintain their resources. It will be helpful for the organizations in the retail industry to
become aware of the perspective of the employees and their specifications. Thus, they can
apply efficient strategies to be implemented in employee management and leadership to gain
proper employee satisfaction. The retail organizations would be benefitted by this research if
they are successful in finding the appropriate leading style to have the new generation
7

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