Leadership Styles Impact on Employee Satisfaction and Performance

This report delves into the intricate relationship between leadership styles and employee satisfaction, focusing on a case study of C&C Berhad. The study employs a qualitative approach, surveying 30 employees to identify leadership styles and their impact on employee satisfaction and organizational performance. The research explores the effects of different leadership styles, revealing a direct correlation between leadership and employee satisfaction. The report highlights how effective leadership fosters a positive work environment, with leaders providing guidance and support to employees. The study also investigates the challenges of balancing leadership styles to maintain employee satisfaction and productivity, making recommendations for Cycle & Carriage Berhad to optimize its leadership approach. The report includes an introduction, literature review, methodology, data analysis, and conclusions, providing a comprehensive understanding of the topic and its implications for businesses.

RELATIONSHIP BETWEEN
LEADERSHIP STYLES
AND EMPLOYEE
SATISFACTION

ABSTRACT
Leaders know how to attain goals and inspire people along with way. In the same way,
most effective leaders have one element in common and that is they able to keep their team
engaged. Similarly, the current study is also shed a light on different leadership styles and their
relationship with employee satisfaction. In a reality, it is very difficult for the company to engage
employees and manage the work by analysing the level of satisfaction. The current dissertation
also help to determine the significant relationship between employee's satisfaction and leadership
style and for that qualitative study is conducted in which researcher chooses 30 employees of
C&C Berhad who help to identify the leadership style opt by leader. Further, in the study, both
primary and secondary research has been conducted such that for primary, survey instrument is
used and findings suggested that there is a direct relationship between leadership style and
employee satisfaction. Different leadership style creates various impact upon organizational
performance and respondents are also happy with the working culture of employees because
leaders provide proper guidance to the employees when they face any challenges.

ACKNOWLEDGEMENT
I would like to extend my sincere and heartfelt obligation towards all the personage who
have helps me in this endeavour. So, first of all, I would like to thank my teacher and principle
who gave me this opportunity to perform the study.
Further, I would like to thank my guide for their valuable time and support for
completion of this project. I also extend my acknowledge with a deep sense of reverence to my
parents and member of my family who supported me morally and economically.
Last but not the least, I would like to thank my friends who directly and indirectly help
me to complete the project report.
Thanking you.

TABLE OF CONTENTS
TABLE OF CONTENTS..............................................................................................................4
CHAPTER 1: INTRODUCTION....................................................................................................5
1.1 Background...........................................................................................................................5
1.2 Problem statement.................................................................................................................6
1.3 Aim and objective.................................................................................................................7
1.4 Research questions................................................................................................................7
1.5 Significance of the study.......................................................................................................7
1.6 Scope of the study.................................................................................................................9
CHAPTER 2: LITERATURE REVIEW.......................................................................................12
2.1 Previous studies...................................................................................................................12
2.1.1 Project success criteria.....................................................................................................12
2.1.2 Importance or organization factors for business project..................................................13
2.2 Methodological issue..........................................................................................................28
2.3 Conceptual Framework.......................................................................................................30
CHAPTER 3: RESEARCH METHODOLOGY...........................................................................31
3.1 Theoretical framework........................................................................................................31
2.2 Methodological issues.........................................................................................................35
3.3 Data analysis.......................................................................................................................37
CHAPTER 4: DATA ANALYSIS................................................................................................43
CHAPTER 5: DISCUSSION AND CONCLUSION....................................................................70
5.1 Summary of main findings..................................................................................................70
5.5 Direction for future Research..............................................................................................74
REFERENCES..............................................................................................................................78
Appendix........................................................................................................................................82
Questionnaire............................................................................................................................82
Title

“To examine the relation between the leadership style and the satisfaction of employees and its
impact over performance of company. A study on retail sector.”
CHAPTER 1: INTRODUCTION
1.1 Background
Leadership is defined as the art of directing and guising other people so that they can
work in effective manner in the direction of attaining goals of business. For the success of the
business the most important thing for the company is to have effective use of leadership (Kour
and Ashraf, 2018). This is necessary because of the reason that the leadership only directs the
employees that how they have to work within the company. The major reason underlying this
fact is that the leaders are the person who provides a vision to the company and helps the
company in making the policies and practices which will help the company in attaining the
business goals and vision. The leaders are the most important part in the success of the company
and if the leader will not be good then the company will not be able to work in proper manner.
Hence, it is necessary for the company to manage the leadership style in proper and
effective manner. The leadership style is defined as the pattern of leadership which the leader of
the company follows in order to give direction to the employees within the company. Thus, the
leadership style has a lot of impact over the employees and their performance. This is majorly
pertaining to the fact that if the involvement of the leader is very much then it might be possible
that the employees do not like it. This is due to the reason that more interference of the leader
within the operations of the company will not be liked by the employees of the company. This is
so because the role of leader is to make the policies and guide the employees. But if the leader
interferes to a great extent then the employees will not work in proper manner. Thus, the
employees will not be satisfied with the more involvement of the leader within the operations of
the company (Al-Sada, Al-Esmael and Faisal, 2017).
The chosen company for this report is Cycle & Carriage which is embark on a journey on
1899 and its main purpose is to become one of the top company at global level. Currently the
company provide retail services to other business after the sales service if Mercedes- Benz
vehicles. Also, the quoted firm is resilience to adapt and grow through unwavering commitment
to attain the excellence product and services. The present research will discuss about the
leadership style followed by the company and what is the impact of these leadership styles over

the performance and satisfaction level of the employees working in the company. This is very
necessary to study the impact of the leadership style over the employees of company because if
the employees will not be satisfied then they will not work up to their maximum potential. Hence
this will decrease the profitability of the company to a great extent (Asghar and Oino, 2017). It is
because if the leader will be much strict and work conscious then the employees will not be
comfortable working in such environment.
Hence, it is the responsibility of the leaders of the company to create the environment of
the company in such a manner that the employees of the company are very happy and satisfied
working within the company. Also, the leaders of company must not exercise much of the power
over the employees as this will demotivate the employees and they will not work in effective
manner. Also, there is a wide variety of leadership style which can be used by the leaders of
Cycle and Carriage Berhad. Also, all these leadership style has different impact over the
productivity and performance of the employees. This is majorly because of the reason that if the
leader will use the strict and rigid leadership styles then the employees will not be happy and
satisfied while working in the company.
On the other side if the leaders are too flexible and gives all the authority to the
employees then it might be possible that the employees become less caring towards the company
and can use more casual approach towards the company. Thus, there need to be balance between
the use of leadership style and the power which is given to the employees. This is because f there
will not be balance then anything can happen and the company may face huge losses. Thus, this
research will help the company in analysing the fact that if they exercise more of leadership over
the employees then what is the impact over their performance. Also, the company will come to
know about the fact that if more freedom is given to the employees than how this will impact the
performance of the employees and in which manner it will be impacted whether positive or
negative.
1.2 Problem statement
The major problem area of the research was to understand the relation between the
leadership used by the company and the satisfaction level of the employees. This problem is very
common in the current business environment as if the leaders are too harsh and strict then the
employees do not work with good efficiency. In the same manner if the leader is to friendly then
also the employees will not work in proper and effective manner. Thus, this is the major problem

and this will be identified with help of this research that which style of leadership will be more
beneficial for the company and whether people will like it or not.
1.3 Aim and objective
Aim
“To investigate the relationship among the selection of leadership style over the satisfaction of
employees and their performance. A study on Cycle & Carriage Berhad.”
Objectives
 To understand the concept of leadership styles and satisfaction of employees.
 To articulate the impact of leadership style over the performance and satisfaction of the
employees with respect to Cycle & Carriage Berhad.
 To identify the different challenges being faced by Cycle & Carriage Berhad at time of
satisfying the employees by using effective style of leadership.
 To recommend some of the measures to Cycle & Carriage Berhad in order to make
effective use of the leadership style in satisfying the employees within the workplace.
1.4 Research questions
1. What is the concept of leadership style and satisfaction of employees?
2. What is the impact of use of different leadership styles over the performance and
satisfaction of employees within company?
3. What are the major challenges which are being faced by company in satisfying the
consumers with their effective use of leadership styles?
4. What are some of the recommendation for the company to improve the use of leadership
styles to make the employees within the company more satisfied?
1.5 Significance of the study
The current study is related to the topic of relation among the leadership style and the
employees and their satisfaction. Thus, this current study is of significance to every person
working in the retail sector as well as the other companies. This is majorly because of the reason
that leadership is used in each type of business and every aspect of the business. This is because
without leadership not a single activity of the business can be carried on. Hence, for the success
of business and earning good amount of profit the most important thing is the effective use of
leadership.

Thus, this present report is of significance to Cycle & Carriage Berhad as the research is
conducted over the leadership style used by company and its impact over employee satisfaction
and performance. This is significant for the company because with this research they will come
to know that whether their leadership style is capable of satisfying the employees within the
company or not. If not then what corrective actions can the company take in order to maintain
the satisfaction level of the consumers (Jones and et.al. 2018). Also, this research is significant
for the competitors of the company because they can also apply these strategies and the
leadership style similar to Cycle & Carriage Berhad.
This is because of the fact that the competitors are also having same operations like Cycle
& Carriage Berhad. Thus, these competitors can also apply the same strategies and leadership
style as adopted by the leaders of Cycle & Carriage Berhad. Also, this research is significant to
the researchers who are also carrying on the research on the same topic or similar topic (Bekiari
and Ntakou, 2018). This is of significance to those researchers as they can use this research as
their base and can start the research in accordance with this research.
Rationale of study
The major reason behind researching on the issue of relation among leadership style and
employees satisfaction is that this is very interesting topic. This is an interesting topic because of
the fact that the whole organization and its operations are dependent over the working of the
leaders. This is because the leader is the one who directs the employees that in which direction
they have to work and how they have to operate.
Thus, this research will help the researcher in knowing that how the use of leadership
style will impact over the working of the employees within the company. Also, another major
reason is that this is a current issue faced by many of the companies that due to strict leadership
styles the employees are not satisfied working in the companies. Hence, there need to be a
research on this topic as this will help the researcher in outlining the fact that which style of
leadership is more helpful in the accomplishment of the research. In addition to this the
researcher also wants to know that what is the link between the leadership style and how it
impacts the working efficiency of the employees within the workplace.
One more important reason for the selection of this research topic is that this involves the
personal interest of the researcher as well. It means that the researcher also wants to know the
fact that how leadership style and the working capabilities of the employees are interconnected.

In addition to this another major reason behind the research is the academic interest of the
researcher (Alonderiene and Majauskaite, 2016). It means that this research is also related to the
course of the researcher and to gain good position in their course the researcher wants to conduct
the research on the topic of leadership style and the satisfaction of the employees.
1.6 Scope of the study
The scope of the study is enhance the knowledge and create awareness among readers so
that they will understand the importance of leadership and its relationship between employee
satisfaction. Therefore, from the study, it is determine that leadership ability and approach is
actually used to leverage their number one asset and this in turn assist to meet the define aim.
Also, with the help of the current study, researcher is able to let other companies know
that there is a strong relationship between employee satisfaction and leadership. It is so because
there are many companies who do not easily entertain the employees and even do not understand
the importance of employees for a firm. That is why, it is essential for the company to make sure
that with the help of leadership styles, employees morale is increased and it will directly help to
increase the level of satisfaction as well. Thus, if the leaders will not be effective and will not
work in proper manner then the employees will also not work in the intended and required
manner. So, it can be stated that competencies help the leaders to lead as coaches and with the
help of strong vision and effective strength, companies are able to meet the goals which in turn
assist the firm to attain further level of success.
Structure of the dissertation
Chapter 1: Introduction, this section provides the overview of entire dissertation and it
provides the reason and rationale for choosing the topic. Also, this overview also contains the
background of the topic, also describes the scope of the topic that will help to determine an entire
scenario of the study. In brief this introduction chapter provides the whole overview of the
research that is what the research is all about and how this research will be continued in order to
reach to some good and positive conclusions.
Chapter 2: Literature review, this chapter helps to critically evaluate the author’s point of view
with regards to the chosen topic. Also, this sector uses all the books and journals related to the
topic and critically evaluate different author’s point of view. This section also reflects the
opinion of all the authors who actually provide their views with relation to the selection of
leadership style over the employee satisfaction. Under this, different themes are made by using

objectives that will help to meet the define aim and objectives. Thus, the views of different
authors with help of books and journals, articles and all other secondary source of information
are used and the data relating to the themes are written.
Chapter 3: Research Methodology, this section helps to determine, select and analyze the
information about a topic. That is why, this section is consider one of the most important chapter
throughout the dissertation because it helps to critically evaluate the overall validity as well as
reliability. This section comprises of different key element such that research philosophy,
research approach, strategy, data collection methods, data analysis method, sampling and ethical
considerations. All these methods need to be discussed as there are many different methods of
research. So it is necessary for the researcher to clear all the research methods which will be
helpful in completing the research. Thus, this section of the dissertation help the researcher in
listing out all the methods which will be used in the accomplishment of the whole research.
Research type: Scholar has selected quantitative research type to conduct dissertation. Reason
behind the same it will become much easier for scholar to present the data in numeric, as a result
scholar has decided to go with quantitative research type.
Research approach: deductive research approach has been selected by the scholar in the study,
reason behind the same is identified that it used to provide the crucial hand of support for the
qualitative research type.
Research Philosophy: Interpretivism philosophy has been selected by the company to carry out
the outcome of dissertation. Reason behind the same is identified that it will also help the
company in understanding the human interest which is involved in the process of dissertation.
Data Collection: Different data will be collected with the help of both primary as well as
secondary data collection tool. Primary data will be collected by conducting the survey in the
organization with the help of questionnaire. Secondary data will be collected with the help of
going through different journals and books related to the topic of the dissertation.
Sampling: For this dissertation scholar has selected 30 employee with the help of sample random
sampling, as scholar wants to give all respondent a fair chance to be selected in the sample size
which has been decided.
Data analysis: Different information will be analyzed with the help of thematic data analysis
tool. By taking help of this tool different data will be presented with the help of different graph
and table to make data more reliable.

Ethical consideration: Scholar has make sure that consent of different respondent has taken
before hand itself to collect different information from the market. Also scholar has make sure
that there is high level of confidentiality is maintain in process of carrying out dissertation.
Chapter 4: Data Analysis, under this section, proper inspecting, cleansing and modelling data
with a goal of discovering the useful information is done. Through this chapter, researcher
describe the opinion and selected sample’s point of view by answering the question. Through
this chapter, researcher present all the findings in the form of data, charts and themes so that it
will help to clearly determine the views of all the selected samples. Also, this chapter assist
researcher to determine whether the aim and objectives are meet or not and all the research
questions are answered in proper manner or not.
Chapter 5: Discussion and conclusion, Another chapter of dissertation whose main purpose is
to interpret as well as describe the significance of entire findings that helps to determine whether
the research problem is being investigated or not. Thus, this will help to explain new
understanding as well as insights that emerged as a result in the study problem. Also, through
this section, researcher will try to support the findings with the help of literature review findings
so that it will verifies whether the aim and objectives of the research are met or not.
Along with this, last chapter of dissertation which clearly provide the summary of the
dissertation. Such that this chapter divided into two parts, i.e. in conclusion section, researcher
will summarize entire results and provide last statement which clearly identify whether the
research objectives are met or not. Further, under second part i.e. recommendation in which
researcher suggest the ways through which the selected company may opt in order to improve
their performance and this is also pertaining to topic as well. Also, researcher recommends
future options which will also help to conduct the same study in better manner in near future.

CHAPTER 2: LITERATURE REVIEW
Introduction
Literature review is that scholarly source which is related to particular topic and questions.
Therefore, it is consider one of the most important part of the dissertation and thesis which is
directly related to secondary analysis. So it is also analysed that this is used in order to situate the
entire work in relation to the existing knowledge and under this section, researcher also uses
models and theories which in turn assist to meet the define aim and objectives. Such that
different articles and books are used related to topic which in turn assist to accomplish the define
aim and objectives. Also, the current section describe different leadership style such that
situational, contingency, transformational and transaction style, democratic and autocratic style
which in turn assist to meet the define aim and objectives. Further, this section also help to
determine the impact of using best leadership style and its impact upon the employee
performance as well (Luu, 2020). Along with this, section describe the challenges which are used
to determine how the leadership style dissatisfy the employee and their performance as well.
Also, the literature review section also allow the researcher to get clear idea related to
previous research with regards to leadership and its impact upon the business. Therefore, the
section also describe how the proposed research is actually related to prior research and also
shows originally the relevance of the research problem as well. Therefore, it further help to
justify the methodology which in turn leads to conduct the research in more precise manner.
2.1 Previous studies
2.1.1 Project success criteria
In accordance with the above selected articles, it is analysed that most of the articles are
based upon the leadership style and their impact upon the industry. So, it is realized that
leadership styles plays an important role in the success of the company such that there are many
adverse situation and it is clearly depended upon the leader to control the situation and prepare
the employees in order to meet the define aim without any error. Also, for each section, proper
schedule is define which assist to determine the exact results. Even the secondary sources which
are selected by the researcher are latest published and they all assist scholar to examine the best
leadership styles which are used by the leaders in order to meet the define aim and objectives.