A Study on Leadership Styles and Employee Performance at Fonterra NZ

This report presents a business research study on the impact of leadership styles on employee performance, focusing on Fonterra Co-operative Group Limited in New Zealand. The research explores the effects of autocratic, democratic, and laissez-faire leadership styles on employee productivity, job satisfaction, and overall organizational outcomes. The report outlines the research process, including problem statement, literature review, research questions, methodology (quantitative and qualitative), data analysis techniques, and a timeline. It aims to identify the most effective leadership style for enhancing employee performance within Fonterra, considering factors such as accountability, flexibility, and innovation. The study emphasizes the significance of leadership in fostering a positive work environment and suggests recommendations for Fonterra to improve its leadership strategies and achieve higher levels of employee engagement and organizational success. The report also includes resources, a timeline, and recommendations for future research and implementation.

Running head: BUSINESS RESEARCH METHODOLOGY
"A study on the impact of leadership styles on employee’s performance: A case study of Fonterra Co-
operative Group Limited, New Zealand"

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Table of Contents
The Issue.................................................................................................................. 3
Explanation of the facts............................................................................................. 3
Background of the organization................................................................................... 3
Setting out the issue for the business.............................................................................4
Research process......................................................................................................... 5
Research problem statement........................................................................................... 6
The role of an initial literature review............................................................................6
Research aim and objectives....................................................................................... 7
Research questions................................................................................................... 8
Information needs....................................................................................................... 8
Tools....................................................................................................................... 8
Methods for quantitative and qualitative data collection.........................................................9
Analysis of the data..................................................................................................... 9
Resources............................................................................................................... 10
Timeline................................................................................................................. 10
Recommendation...................................................................................................... 12
References.............................................................................................................. 13
Appendix................................................................................................................ 16

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The Issue
Explanation of the facts
The aim of this investigation is to research impact of leadership style on performance of
employees in Fonterra Co-operative Group Limited in New Zealand. Leadership is art for
persuading the individuals hence they would be making efforts for willingly concerning the
attainment of goals. It is identified that leadership plays significant role in terms of
developing enthusiastic environment and culture within firm (Baig, et. al., 2019).
It is identified that significant leadership style can endorse the superiority in creating
members of a firm. It is stated that leadership has contributed fundamental role since dawn of
history about the company. The significance of leadership style is not unidentified as well as,
it is shown through an effective amount of investigations that are conducted on leadership
style in developing as well as, developed nations (Asrar-ul-Haq & Kuchinke, 2016).
Lewin’s leadership style is showing an effective subject in which leadership style could be
identified as different investigations that have been done on the leadership style of Lewin. In
Fonterra Co-operative Group Limited, New Zealand particularly, a similar type of
investigation has been conducted (Fiaz, Su, & Saqib, 2017).
Background of the organization
In Fonterra Co-operative Group Limited, New Zealand, workforces particularly in this firm
are higher disapproved for inadequate accountability, inadequacy, inadequate flexibility,
inadequate performance, and red tape. Leadership in Fonterra Co-operative Group Limited,
New Zealand is associated with preference for relationship and hierarchy. In New Zealand,
leaders have most power together with authority, control, laws, as well as, regulations could
be developed through leaders, as well as, they are verdict maker (NawoseIng’ollan &
Roussel, 2017).

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New Zealand's workforces are regulated to follow, execute, as well as, do not permit
conflicting with their leaders. Top executives are obeyed, respected as well as, decision-
makers. In addition to this, subordinates are obliged for executing together with, societal
standards assert that juniors do not disagree to seniors. Therefore, hostility and anger in
against supervisors are relocated and tendency is to pacify superior (Hashmi, Rehman, &
Ilyas, 2018).
Setting out the issue for the business
This investigation focuses on assessing and comprehending the effect of several leadership
styles (democratic, autocratic, and laissez-faire) as well as, their impact on performance of
employees in firms. After completion of research topic, this investigation will be
advantageous for workforces to address which leadership style is good for them concerning
job satisfaction and the achievement of their careers (Bambale, Girei, & Barwa, 2017). It
could be advantageous for leaders in terms of comprehending which kinds of leadership
effects on workforce performance and how workforces could be endorsed via effective
leadership. Moreover, it is significant for the firm in New Zealand in terms of addressing
significant leaders that could enhance the performance of a firm and leads it in terms of
higher achievement (Ahmad & Akhtaruzamman, 2017).

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Research process
(Sources: Al Khajeh, 2018).
Under the first phase, the topic is selected, the systematic literature review is conducted, and
addressing the research gap. In the second phase, it is identified that the research question is
formulated, the research method is selected, and a research proposal is written. In the third
phase, data collection techniques are applied, data analysis is implemented as well as,
research is concluded (Al Khajeh, 2018).

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Research problem statement
Employee performance involves meeting deadlines, implementing defined responsibilities,
employee capability, as well as, efficiency and effectiveness in performing work. Different
firms need a strong leadership style that can stimulate the performance of workforces.
Fonterra Co-operative Group Limited faces issue such as lower productivity, lack of
innovation, and inability to meet targets of performance. This issue creates because of
inadequate strategic interventions regarding particular leadership styles in specific condition
were estimated as the issue at hand. This issue was continuously impacting on the
performance of workforces (Alghazo & Al-Anazi, 2016).
It is identified that a significant organization originated through propellers and on the leaders
of business. The view of effective leadership is implemented in a technological environment.
The workforces observed that there are requirement of a leader who cannot only have to lead
persons however it could be significant. Hence, they have a requirement of a significant
leader who can lead the individuals concerning changes and performance enhancement (Choi,
Kim, & Kang, 2017). The research question is how does a leader performs under
consideration of the significant performance of firm and workforces? Another research
question is how does a leader’s effectiveness transform the performance?
The role of an initial literature review
According to Salahat Halim & Majid (2016), leadership is illustrated as an interpersonal
impact that is used in directed and circumstances, by communication procedures, concerning
the achievement of specialised goals. It is directing the set of individuals in terms of
attainment of the designated goal.
On the other hand, Elbaz & Haddoud (2017) stated that democratic leadership effects on
individuals in way that is consistent with the basics of democratic procedures and principles
like self-determination, equal participation, deliberation, as well as, inclusiveness. In addition

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to this, democratic leaders can actively motivate as well as, inspire to the group judgement
and discussion. The features related to democratic leaders as good listener, guiding
knowledgeable, helpful, influential, respecting, situation-centered, and inspiring. This style
centralizes more on individuals and interaction is higher within the group.
Amoah-Mensah & Darkwa (2018) evaluated that under autocratic leadership, managers retain
their power and authorization of decision-making as significant. These kinds of leaders are
about dominant leaders as well as, are center about each practice that supports in
development as well as, all authority created from them as well as, finishes with them. This
kind of leader is characterized through an “I tell” approach as well as, autocratic leaders
discuss other individuals what to perform. In this kind of leadership style, leaders can
exclusively create decisions as well as, production is focused at the cost of any individual
deliberation.
In contrast to this, Salahat Halim & Majid (2016) stated that a laissez-faire leadership style is
related to ineffectiveness, dissatisfaction, as well as, unproductiveness. Moreover, Laissez-
faire leaders can eliminate to create decision, use of rewards, as well as, use of favorable or
unfavorable feedback about subordinates. This kind of leadership style is in an sluggish form
that is featured through disinclination for vigorously considered as well as, views that
effective leadership originated through practices. These leaders eliminate active contribution
in accountability about setting goals as well as, eliminate being entailed while leadership
direction is required.
Research aim and objectives
The key purpose of this investigation is remaining for assessing impact of leadership style on
employee’s performance. To achieve purpose of research, the following objectives would be
used:

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 To identify the impact of autocratic leadership style on employee performance: In
context of Fonterra Co-operative Group Limited
 To determine the impact of laissez-faire leadership style on employee performance: In
context of Fonterra Co-operative Group Limited
 To address impact of democratic leadership style on employee performance: In
context of Fonterra Co-operative Group Limited
Research questions
RQ1: What is impact of autocratic leadership style on employee performance in context of
Fonterra Co-operative Group Limited?
RQ2: What is impact of laissez-faire leadership style on employee performance in context of
Fonterra Co-operative Group Limited?
RQ3: What is impact of democratic leadership style on employee performance in context of
Fonterra Co-operative Group Limited?
Information needs
This investigation is intended to address impact of several leadership styles (autocratic,
democratic, and participative) on performance of workforces. The completion of research
would offer knowledge about the concept and also provides data related to strategies, designs,
and plans that would strategically position them in a highly diverse, complex, and
competitive business atmosphere that is experienced in current time (Elbaz & Haddoud,
2017).
Tools
Tools for data collection
In the context of this investigation, primary data would be gathered through survey
questionnaires together with, secondary data will be gathered through several secondary
sources like academic publications, online sources, websites of company, offline and online

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sources, journal articles, and textbooks. These data-gathering techniques would be significant
since it facilitates the authentic data in minimum cost and time (Quinlan, et. al., 2019).
An appropriate technique to gather primary data would be related to using a questionnaire.
Along with this, five-point Likert scale questionnaire would be created in terms of offering
participants to ease of answering the questions according to the agreement level. Along with
this, Likert scale will follow structure of Strongly Disagree; Disagree; Neither Agree nor
Disagree; Agree, and Strongly Agree. Along with this, development of questionnaire would
have relied on different variables such as democratic leadership, laissez-faire leadership,
autocratic leadership, and employee performance (Gray, 2019).
Methods for quantitative and qualitative data collection
With the intention of this investigation, the research scholar will practice mix research design
for enhancing the research quality. It is analyzed that characteristics of both qualitative and
quantitative entailed in mix research design. To this, a quantitative research design will
facilitate the investigator to determine the number of research candidate’s responses (Snyder,
2019). Further, research scholar will use qualitative research design because it is significant
in terms of evaluating the opinion of respondents regarding the impact of leadership styles on
performance of employees in the case of Fonterra Co-operative Group Limited, New
Zealand. Researcher would use this research design in terms of accomplishing the aim and
objectives of investigation in a particular duration (Reilly & Jones III, 2017).
Analysis of the data
Quantitative approach would be applied in this research as well as, it involves statistical
techniques in terms of assessing the gathered information. SPSS is a software implemented in
assessing the gathered information for increasing expressive conclusions. Along with this,
descriptive statistics, reliability tests, normality tests, as well as, regression analysis would be

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used through SPSS in terms of evaluating impact of leadership style on employees
performance (Basias & Pollalis, 2018).
Resources
Resources
People, software, and facilities for practices associated with gathering and assessing data. The
present investigation would require different resources to accomplish. Along with this, travel
expenses will be considered as researcher will be essential to travel to approach the
respondents for research. Other resources will have need are laptop and internet. These will
be implemented to write research and search for secondary sources like academic
publications and journal articles. Along with this, printing costs would be considered while
final research would be printed for submission (Vissak, 2020).
In outline,
Activities which would be performed
during the research
Targeted Amount (in AUS$)
Employee doing basic administration $30hr
Manager $75
Consultant $150hr
Printing costs $80
Sum of projected financial amount 335
Timeline
Table 1: Research plan for completing project
Activity name Start Day Last Day Duration
(Days)
Proposal of 18-03-2020 21-03-2020 3

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investigation
Literature Review 24-03-2020 24-04-2020 30
Data collection through
primary and secondary
sources
25-04-2020 25-06-2020 60
Assessment of data 26-06-2020 26-07-2020 30
Final submission of the
report
27-07-2020 27-08-2020 31
Proposal of research
Literature Review
Data collection through primary and secondary sources
Assessment of data
Final submission of the report
3/18/2020
3/24/2020
4/25/2020
6/26/2020
7/27/2020
3
30
60
30
31
Gantt chart
From above schedule, it is addressed that data collected through primary and secondary
sources would take longer time rather than other activities of research.

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Recommendation
The researcher should select feasible data for collecting the information regarding research
concerns. A researcher should use a schedule for completing each activity at a specified time.
Firms should hire highly competent leaders to direct their workforces in day to day operations
and attaining goal of a firm. According to research findings, democratic leadership has
significant impact as compared to autocratic and laissez-faire leadership styles concerning
performance of employees (Choi, Kim, & Kang, 2017). For staying in a competitive
atmosphere of business, it is suggested that feasible leader with higher competencies be
addressed at all extents of firm particularly of Fonterra Co-operative Group Limited, New
Zealand. Firms in New Zealand should use suggestions in terms of implementing democratic
leadership despite the autocratic leadership style. It can be understood that workforces are a
significant resource in firm and performance of employee can vastly relied on leadership
style (Alghazo & Al-Anazi, 2016).
Future research Direction
Further investigation could be used for the inclusion about more and several variables like
gender related to superior as well as, longer times performing with superiors. As only one
firm selected in this research, potential investigators can widen amount of firm. Furthermore,
future investigator could increase the number of firms. The potential investigator could
increase a bigger sample size of data in several sectors like banking, retailing facilities, travel,
as well as, hospitality sectors for wider aspect (Al Khajeh, 2018).

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References
Ahmad, W., & Akhtaruzamman, M. (2017, April). Analytics on the impact of leadership
styles and leadership outcome. In Asian Conference on Intelligent Information and
Database Systems (pp. 664-675). Springer, Cham.
Al Khajeh, E. H. (2018). Impact of leadership styles on organizational performance. Journal
of Human Resources Management Research, 2018, 1-10.
Alghazo, A. M., & Al-Anazi, M. (2016). The Impact of Leadership Style on Employee’s
Motivation. International Journal of Economics and Business Administration, 2(5),
37-44.
Amoah-Mensah, A., & Darkwa, P. (2018). leadership styles of owner-managers and
employees ‘performance: the moderating role of age and experience. Romanian
Economic and Business Review, 13(3), 47-73.
Asrar-ul-Haq, M., & Kuchinke, K. P. (2016). Impact of leadership styles on employees’
attitudes towards their leader and performance: Empirical evidence from Pakistani
banks. Future Business Journal, 2(1), 54-64.
Baig, S. A., Iqbal, S., Abrar, M., Baig, I. A., Amjad, F., Zia-ur-Rehman, M., & Awan, M. U.
(2019). Impact of leadership styles on employees’ performance with the moderating
role of positive psychological capital. Total Quality Management & Business
Excellence, 1-21.
Bambale, A. J. A., Girei, A. A., & Barwa, T. M. (2017). Leadership Styles and Workers'
Performance In Small and Medium Scale Industries In Adamawa State, Nigeria: A
Research Model. Journal of Economic Development, Management, IT, Finance &
Marketing, 9(2).

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Basias, N., & Pollalis, Y. (2018). Quantitative and qualitative research in business &
technology: Justifying a suitable research methodology. Review of Integrative
Business and Economics Research, 7, 91-105.
Choi, S. B., Kim, K., & Kang, S. W. (2017). Effects of transformational and shared
leadership styles on employees' perception of team effectiveness. Social Behavior and
Personality: an international journal, 45(3), 377-386.
Elbaz, A. M., & Haddoud, M. Y. (2017). The role of wisdom leadership in increasing job
performance: Evidence from the Egyptian tourism sector. Tourism Management, 63,
66-76.
Fiaz, M., Su, Q., & Saqib, A. (2017). Leadership styles and employees' motivation:
Perspective from an emerging economy. The Journal of Developing Areas, 51(4),
143-156.
Gray, D. E. (2019). Doing research in the business world. Sage Publications Limited.
Hashmi, D., Rehman, C. A., & Ilyas, M. (2018). Impact of Leadership Styles on Employees’
Outcome: Mediating Role of Organizational Culture. Journal of Managerial
Sciences, 12(1), 11-20.
NawoseIng’ollan, D., & Roussel, J. (2017). Influence of leadership styles on employees’
performance: A study of Turkana County, Kenya. International Journal of Business
and Social Science, 8(7), 82-98.
Quinlan, C., Babin, B., Carr, J., & Griffin, M. (2019). Business research methods. South-
Western Cengage.
Reilly, T. M., & Jones III, R. (2017). Mixed methodology in family business research: Past
accomplishments and perspectives for the future. Journal of Family Business
Strategy, 8(3), 185-195.

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Salahat, A. M., Halim, A., & Majid, B. M. (2016). Linking leadership styles to customer
satisfaction of Palestinian insurance sector: Mediating role of employees’
performance. International Journal of Advanced and Applied Sciences, 3(11), 73-82.
Snyder, H. (2019). Literature review as a research methodology: An overview and
guidelines. Journal of Business Research, 104, 333-339.
Vissak, T. (2020). A Reviewer’s Perspective: Which Mistakes Do Authors Often Make in
Qualitative International Business Research?. Research Methodology in Management
and Industrial Engineering (pp. 1-21). Springer, Cham.

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Appendix
Proposal of research
Literature Review
Data collection through primary and secondary sources
Assessment of data
Final submission of the report
3/18/2020
3/24/2020
4/25/2020
6/26/2020
7/27/2020
3
30
60
30
31
Gantt chart