Dissertation: Leadership Style Impact on Employee Performance at HSBC

This dissertation investigates the impact of leadership styles on employee performance within HSBC. It begins with an introduction outlining the research questions, objectives, and rationale, followed by a literature review that critically analyzes existing studies on leadership styles (autocratic, democratic, participative), employee performance, and related factors. The methodology chapter details the research philosophy, approach, design, strategy, sampling technique, data collection and analysis methods, and ethical considerations. The findings and analysis chapter presents descriptive and inferential statistics, including normality tests, reliability tests, correlations, and regression analysis, along with hypothesis testing and a discussion of the results. The conclusion summarizes the study's findings, links them to the objectives, offers recommendations for improving leadership and employee performance at HSBC, and suggests avenues for future research while acknowledging the study's limitations. The study uses a survey of 150 HSBC employees to analyze the relationship between leadership styles and employee performance.

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,

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Stanley & Ololube, 2015). In orientation to this, a leader is considered hugely responsible to
manage the performance of the employees and seeing to it that this can be aligned accordingly
with the demands of the various customers as well. Therefore, it is in orientation to this aspect
that the study seeks to establish various ways in which the researcher aims to find the manner in
which the leadership styles can be fundamentally linked with the performance of the employees
at the HSBC Bank.
1.3 Problem statement
The employee performance largely comprises of the defined duties, meeting deadlines,
the team input and achievement of the overall departmental goals. In line of this, it is decisive for
all the firms functioning in the competitive business environment to be able to determine the
sound leadership style which comprises of the various corporate approaches, authoritative
approaches and the laissez faire approach to the concept of leadership. In various organizations,
there often exists a friction between the different employees in regard to the roles and
responsibilities and the firms are often witnessed by internal politics as well. According to
Anbazhagan & Kotur (2014), the authoritative leadership tendencies often serve as a breeding
ground for degraded renovation, declining commitment and very poor chemistry which will have
a great impact on the ability of the employees to perform adequately and thereby impact the
ability of the organization to perform considerably well. A lack of strategic inventions from the
side of the leadership will thereby lead to a drop in the performance of the leaders. Hence, the
primary goal of the study can be stated to be the establishment of the various leadership styles so
as to determine how the performance is reflected by each leadership style and the manner in
which flexibility can be brought about in this domain so as to enhance the performance of the
employees (Ansari, Ahmad & Aafaqi ,2004). There have been certain instances of problems

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associated with Leadership style at HSBC and hence, the study aims to find the manner in which
the Leadership style at the bank impacts the employee performance.
1.4 Research aim
The research aim can be defined as the overall objectives and goal of the investigation.
The establishment of the research aim assists in ensuring that the research is efficaciously able to
stick to the primary topic related to the research. In addition to this, it is integral for the
researcher to certify that the research aim which is laid out for the determination of the study can
be understood be realistic as well. The research aim which has been set out for the purpose of the
study can be understood to be to find the impact of leadership style on the performance of the
different employees. The study will focus towards highlighting the manner in which the
performance of the employees can be improved to a great extent by recommending ways in
which the changes can be brought about in the leadership.
1.5 Research Objectives
The research objectives which have been set out for the resolution of the study can be
stated to be as follows:
 To comprehend the concepts of Leadership and employee performance
 To throw light on the various leadership styles which are available
 To analyze the manner in which the leadership style at HSBC has an impact on the
employee performance
 To find the relationship between employee performance and the leadership style at HSBC
 To offer recommendations with reverence to the manner in which the leadership style and
the employee performance can be improved at HSBC

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1.6 Research Questions
The various research questions which have been fundamentally identified for the research
can be stated to be as follows:
 What are the concepts of Leadership and employee performance?
 Which leadership styles are available to the managers?
 What is the manner in which the leadership style applied at HSBC has an impact on the
employee performance?
 What is the relationship between employee performance and the leadership style which is
applied at HSBC?
 What recommendations can be offered with reverence to the manner in which the
leadership style and the employee performance can be improved at HSBC?
1.7 Research Hypothesis
The Research Hypothesis is a clear and specific testable scheme or an analytical
statement which is mentioned about the overall conceivable result of a scientific research which
is based on a collection of a particular population which helps in the determination of the
relationship which exists between the different variables. The research hypothesis which has
been set out for the resolution of the assessment can be taken to be as follows:
Independent variable: Leadership styles
Dependent variable: Employee performance
Alternate Hypothesis (H1): The Leadership style has a strong impact on the Employee
Performance at HSBC

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Null Hypothesis(H0): The Leadership style does not have a strong impact on the employee
performance at HSBC
1.8 Research Rationale
The reason why the particular study is being carried out is so as to comprehend the
manner in which the leadership has a key role to play in the domain of organization
management. The leadership can be fundamentally viewed as a weapon in the organization
which can be used to increase the productivity of the organization. The leaders have a very
strong influence on the overall productivity of the firm and hence, with reverence to this, it
becomes considerably integral for the firm to confirm that, the leader has a positive influence on
the general performance of the firm which has been chosen as the HSBC.
Therefore, through the particular study, an organizational framework will be
recommended for the firm which will assist in ensuring that the right kind of leadership style is
taken for the purpose of the organization success and the improved performance of the
employees (Arham, 2014). The study has been developed with the intended objective of
investigating into the fact whether the performance of the employee is greatly impacted by the
leadership style. The study also aims to subsidize to the knowledge base and strengthen the
overall management and employee relationship. Moreover, it intends to offer the right intention
to the firms which will assist them in improving the overall production and performance so as to
confirm that the organizational objectives can be attained efficaciously.
1.9 Structure of the Paper
The research report will be presented in the form of a dissertation and with reverence to
this, the following structure of the paper can be stated to be adequate for the research.