Effect of Contemporary Leadership Styles on Employee Performance at State Parastatals: a Case of Kenya Ports Authority, Kenya

Abstract

This study assessed the effects of contemporary leadership styles on employee performance at state parastatals, a case of Kenya Ports Authority. The study was guided by four objectives constricted into a single objective- to assess the effects of contemporary leadership styles on employee performance. The study employed a descriptive survey design to gather data. Also, it employed simple random sampling for the respondents’ selection. Out of a population of 3,500 employees, a quarter was sampled, leading to a sample size of 274 employees from KPA’s seven divisions. The study utilized primary data, and structured questionnaires for data collection. Analysis was via SPSS because of the quantitative nature of most of the data. The study sought to assess the associations using the following techniques: standard deviation, ANOVA, regression analysis, and Pearson’s correlation, after which the data was presented using tables. The first objective assessed the effect of transactional style on employee performance at KPA. The study determined that a moderate number agreed that their supervisor uses this style, and it affects their performance. The second objective assessed the effect of transformational style on employee performance at KPA. The majority agreed that their supervisors use this style, which affects their x performance by enhancing their productivity and quality. The third objective assessed the effect of authentic style at KPA. The respondents agreed that their supervisor uses an authentic style, and it affects their performance. The fourth one assessed the effect of servant style on employee performance at KPA, and the respondents disagreed that this style affects their performance. The study concluded that transactional, authentic, and transformational styles affected employee performance at KPA when correlation analysis was done. However, when regression analysis was done, only transformational and authentic styles exhibited a significant solid association, with servant style scoring poorly in both analyses. Supervisors should focus on task completion and overhaul development to ensure their employees perform well. Specifically, these state parastatal supervisors should employ suitable styles. According to the study findings, these supervisors should embrace authentic and transformational styles and cautiously use the servant and transactional approaches. The researcher recommended that supervisors use leadership styles that their subordinates react positively to to develop them and influence their performance. In this light, they should leverage authentic and transformational styles to motivate them and help them address organizational issues innovatively. Since these two styles are practical, supervisors should master their strengths and use them to influence performance. The servant and transactional styles minimize employee performance, according to regression analysis. However, the transactional style indicated a weak positive association with employee performance; as per Pearsons’s correlation, most employees dislike it. Since these two styles, especially the servant approach, reduce employee performance, supervisors should strive to avoid it. From this study, supervisors and leaders should consider the following: mentorship programs, leadership courses, and management development, and ensure these initiatives incorporate employees’ needs.