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Effect of Transformational Leadership Style on Performance of Senior Managers in the Private Sector in Kenya
A Dissertation Report Submitted to the Chandaria School of Business in Partial Fulfillment of the Requirement for the Degree of Doctor of Business Administration (DBA)The purpose of this study was to investigate the effect of transformational leadership style on the performance of senior managers in the private sector in Kenya. The following research questions guided the study: In what way does idealized influence of the Chief Executive Officer (CEO) affect performance of senior managers in the private sector in Kenya? How does inspirational motivation of the CEO affect performance of senior managers in the private sector in Kenya? How does intellectual stimulation of the CEO affect performance of senior managers in the private sector in Kenya? How does individualized consideration of the CEO affect performance of senior managers in the private sector in Kenya? Does goal orientation moderate the relationship between transformational leadership style of the CEO and performance of senior managers in the private sector in Kenya?
The study adopted the positivism research philosophy and descriptive correlational research design. The target population consisted of 984 senior managers reporting to the CEOs of 183 private sector companies under the umbrella of the Kenya Private Sector Alliance (KEPSA). A sample size of 284 was drawn using stratified random sampling, and data was collected using structured questionnaires. A response rate of 92% was realized. The study used inferential statistical methods to analyze data. Data analysis methods included Pearson‘s correlation, Chi-square test, Analysis of Variance (ANOVA) and multiple linear regression. The Statistical Package for Social Sciences (SPSS) version 20, was used to analyze the data.
Results of the first research question showed significant correlation between the CEO‘s idealized influence and performance of senior managers, r (261) = .711, p < .05. Chi square test showed a strong association between idealized influence and performance 2(6, N=261) = 157.954, p < .05. Multiple linear regression results showed that the CEO‘s idealized influence significantly predicted performance of senior managers R2= .505, F (1, 260) = 264.042, p < .05; β = .711, t (260) = 16.249, p <.05. Consequently, the null hypothesis that idealized influence of the CEO does not significantly affect performance of senior managers was rejected. For the second research question, inspirational motivation of the CEO had a significant effect on performance of senior managers r (261) = .751, p < .05. Chi square test established a strong association between inspirational motivation and performance 2(6, N=261) = 297.812, p < .05 while multiple linear regression results showed that inspirational motivation of the CEO significantly predicted the performance of senior managers, R2= .564, F (1, 260) = 335.141, p < .05, β = .751, t (260) = 18.307, p<.05. The null hypothesis that the
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CEO‘s inspirational motivation does not significantly affect the performance of senior managers was thus rejected. On the third research question, there was a significant positive correlation between the CEO‘s intellectual stimulation and performance of senior managers r (261) = .781, p < .05. Chi-square test established a strong association between intellectual stimulation and performance 26, N=261) = 280.471, p< .05. Multiple linear regression results showed that the CEO‘s intellectual stimulation significantly predicted performance of senior managers R2= .610, F (1, 260) = 405.015, p < .05, β = .781, t (260) = 20.125, p <.05 thus rejecting the null hypothesis that intellectual stimulation of the CEO does not significantly affect performance of senior managers.
In regard to the fourth research question, the CEO‘s individualized consideration positively correlated to performance of senior managers r (261) = .724, p < .05. Chi square test established a strong association between individualized consideration and performance, 2(6, N=261) = 139.115, p < .05. Multiple linear regression analysis results established that the CEO‘s individualized consideration significantly predicted performance of senior managers, R2= .524, F (1, 260) = 285.282, p < .05, β = .724, t (260) =16.890, p<05. Therefore, the null hypothesis that the CEO‘s individualized consideration does not significantly affect performance of senior managers was rejected. Results of the fifth research question established a strong correlation between goal orientation and performance of senior managers, r (261) = .766, p < .05. Chi square tests established a strong association between senior managers goal orientation and performance 2(6, N=261) = 734.381, p = .05. Multiple linear regression results showed that goal orientation significantly predicted the relationship between transformational leadership style of the CEO and performance of senior managers R2= .839, F (2, 5) = 265.099, p < .05, β = .111, t = 3.900, p<.05. The null hypothesis that goal orientation does not significantly moderate the relationship between transformational leadership style of the CEO and performance of senior managers was rejected.
The study concluded that transformational leadership style of the CEO significantly influenced performance of senior managers in the private sector in Kenya. The study recommends that there is need for the CEO to apply transformational leadership behaviors as strategies for performance improvement. The study also recommends that further research should be conducted on the effect of transformational leadership style of the Board Chairperson on the performance of the CEO
Think interpersonal for job Satisfaction
A Newspaper article by Scott Bellows, an Assistant Professor in the Chandaria School of Business at USIU-AfricaCompanies desire to maximise shareholder wealth. To achieve wealth maximisation, firms need to grow, innovate, retain more of their customers and enter new markets. A salient key to entities achieving their lofty goals entails their employees’ job satisfaction.
Job satisfaction exists as an attitude that encompasses the collection of feelings and beliefs that workers hold about their employment. Many facets of one’s job go into opinions of job satisfaction including the job description duties, colleagues, managers, pay, working hours, etc.
When many negative aspects converge and generate employment dissatisfaction, then organisations see markedly increased employee disloyalty, turnover, more accidents, more sick days taken, tardiness, and less cooperation. The cacophony of negative outputs from low collective job satisfaction causes lower profits and, in turn, reduced shareholder wealth as outcomes.
So managers should ask themselves what key drivers cause employee job satisfaction or dissatisfaction. A major cause for employee attitudes generates from a concept that researchers call organisational justice
How good are your Negotiation skills?
Any upwardly mobile career-minded individual needs to master the art of negotiations in professional life. Last week in Business Talk, we delved into different conflict negotiating positions and how to follow the Japanese model for negotiations to ensure more beneficial results.
Now, please utilise the below assessment adapted by authors Robert Lussier and Christopher Achua to take a deep look at your own negotiating abilities and shine a torch on your strengths and deficiencies.
Rate yourself a 1, 2, 3, 4, or 5 on the following 16 statements with 1) meaning that the statement does not describe you at all, 2) describes you slightly, 3) describes you moderately, 4) describes you a reasonable amount, and 5) describes you a great deal.
First, please start by answering the following six questions about what you do before you start the actual negotiate on the 1, 2, 3, 4, or 5 scale. If possible, you find out about the person you will negotiate with to determine what they want and will be willing to give up. You set objectives
Management’s devotion to Innovation, not Mergers, Key to Success of Tech Firms
Innovation stands as a desirable organisational outcome that critically boosts short-term and long-term organisational outcomes such as customer growth, market penetration, client satisfaction, and firm revenue growth.In 2001, tech giants Hewlett-Packard Company and Compaq Computer Corporation, both publicly traded firms on the New York Stock Exchange, shocked the technology world by announcing their merger to create an Sh8.7 trillion technology behemoth.The two firms operated similar business lines and endeavoured to maximise on efficiencies by reducing staff and benefiting from shared resources to form the then largest server, personal computer, imaging, and printing company in the world.
Hewlett-Packard stood as the dominant player in the merger. Its executives recognised that it struggled with creativity and innovation. Therefore, the entity strategised over the fastest way to bring an innovative culture to the company.
The board settled on acquisition as the best course of action and identified its target. Compaq, in contrast, thrived as an innovative leader in the technology industry. The firm benefited from creativity along its supply chain, processes, human resources, and products at the time. The two companies’ boards agreed to a merger
Implementation of CSR as A Strategy to Enhance Competitive Advantage in the Telecommunication Industry- Nairobi, Kenya.
Research Project Report Submitted to the Chandaria School of Business in Partial Fulfilment of the Requirement for the Degree of Masters in Business Administration.The objective of the study is to determine how CSR implementation can be used by the mobile telecommunication industry to gain competitive advantage over rival firms. The purpose of the study is to identify the how mobile telecommunication operators use CSR as a means to ensure the retention of customers and gain recognition, hence increasing the value in the market.
This research provides additional findings in respect to how the telecommunication industry can improve and strengthen their performance by attempting to use CSR as a tool to accomplish competitive strategies within the telecommunication industry. This research adopted a descriptive research design. Stratified random sampling techniques were used. The research methodology used for this researcher in conducting the study is descriptive design. Primary data was used in the collection of data for this study, from users of the mobile service providers in Nairobi, Kenya. The analysis was done using the SPSS data analysis tool.
The purpose of the study is to understand how CSR can be used as a strategic tool to boost competitive advantage in the mobile telecommunication industry. To get further insight as to how the use of corporate social responsibility’s social impact can be used by the mobile service industry to gain competitive advantage over rivals. Social impact includes protecting the environment, addressing social problems such as poverty and hunger, and providing ethical standards how stakeholders are treated, including vendors, employees and customers. In order to achieve the research objective, survey questionnaires will be used to collect data. The population of the study was gathered from residents in Nairobi, and the questionnaire was open for all users of the mobile network operators
Stratified random technique was used for the study. Reasons why stratified random stratified sampling was chosen is to increase a sample’s statistical efficiency. To provide adequate data for analyzing the various sub populations or strata and to enable different research methods and procedures to be used in different strata. The population was divided among users of telecommunication operators in Nairobi, Kenya. Which are: Safaricom, Airtel, Equitel Mobile, and Orange Mobile Network.
The study revealed that majority of the respondents are aware of CSR as a practice, and mobile service operators who practice CSR should be profitable. The study further reveals that the practice of CSR leads to image building in the mobile service industry. The study further reveals that majority of the respondents see the practice of CSR as an avenue for organizations to increase in profits. Furthermore, the study reveals that the practice of CSR leads mostly to not just to an increase in brand image, but it leads to an increase in awareness. The study reveals that majority of the respondents disagree that their organizations do not evaluate the activities of CSR, but understand that CSR contributes to social progress and is intended to enhance corporate image. The study concludes that organizations that practice CSR will have more brand recognition and increased awareness from the general public, and also, the practice of CSR leads to recognition from global investors. The study further recommends the need for additional studies to be conducted on individual mobile telecommunication service providers to get additional understanding of CSR initiatives and assess the impact of the initiatives
Kalonzo’s thinning options to remain relevant
A Newspaper article by Prof. Macharia Munene, a Professor of History and International Relations at USIU-AfricaThe claim of Kalonzo’s inability to deliver puts Kalonzo in a hard political position and makes him desperate to be a presidential candidate in order to remain relevant.
But he needs to be more convincing nationally than he has been and escape the impression that he is an indecisive watermelon that is beholden to peculiar forces.
Failure to change the image and to be in the final ballot box is likely to relegate his dream of being a kingpin into a perpetual dream that only he would share.
Stephen Kalonzo Musyoka is a good man, a Kenyan of great undisguised ambition to be president of Kenya. He smiles a lot but the smile undoes him because it appears to be plastic rather than real. He has lived close to, and has exercised limited, power as extended to him by particular political “sponsors”. The perceived sponsors include Mulu Mutisya, Daniel arap Moi and Johnstone Muthama. In between are such near sponsors as Mwai Kibaki and Raila Odinga. Kalonzo believes that Kibaki and Raila owe him political endorsements for presidency that did not come through