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  1. Home
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Browsing by Author "Sewasew Pawlos"

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    The Impact of Strategic Leadership on Organizational Performance:The Mediating Role of Organizational Innovation in Selected Insurance Companies in Ethiopia
    (Addis Ababa University, 2026-06-01) Sewasew Pawlos; Jemal Mohammed
    The current research is conducted to find out the influence of strategic leadership on the performance of selected insurance companies in Ethiopia where organizational innovation served as a mediator. Explanatory Sequential Mixed Methods approach was used and it involved a quantitative survey of 200 employees from four companies which include Awash, Hibret, Nile, and NICE Insurance Company and a qualitative part through semi-structured interviews of seven managers. Descriptive Statistics, Analysis of Variance (ANOVA), Pearson correlation, Multiple Regression analysis, and Mediation analysis (PROCESS Macro Model 4) were applied to analyze the data collected for the study. It is observed that the combination of transformational and democratic leadership had the strongest effect on organizational performance among the variables studied (β = 0.628, p<0.001) and explained about 83.9% of the variance in performance. Besides, transactional leadership had a positive influence (β = 0.228, p=0.001) whereas autocratic leadership had a strong negative correlation (r=-0.768, p<0.001). Nile Insurance recorded the lowest level of transformational, democratic leadership and organizational innovation compared to other companies but recorded the highest autocratic leadership. Findings from the mediation analyses revealed that organizational innovations acted as partial mediators in all four types of leadership with indirect effects ranging between 81.7% and 87.2%. It can be concluded from the study that the differences in performance exhibited by the Ethiopian insurance firms were due to their strategic leadership practices, and not their starting resource levels.

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