The Effect of leadership Styles on Employees’ Innovations: A Case of Berhanena Selam Printing Enterprise
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Date
2024-06-14
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A.A.U
Abstract
This study looked into how innovation is impacted by different leadership philosophies at Berhanena Selam Printing Enterprise. To do this, the study's descriptive research approach was employed. It was purely quantitative. 200 of the 403 employees were chosen as responders; the research participants were chosen using a systematic random selection technique, yielding an 84.5% response rate. The information was gathered using a well-structured online survey. The study employed regression and correlation analysis to search for potential relationships between the independent and dependent variables. The study reveals that leadership styles play a crucial role in driving innovation among employees. Specifically, laissez-faire leadership consistently shows a positive impact across all dimensions of innovation (resource, process, organizational culture, and operational intelligence). Authoritative leadership also positively influences resource utilization, while transformational leadership enhances process innovation. Conversely, transactional leadership generally has a negative effect, particularly on process and organizational culture innovation. The findings suggest that laissez-faire and transformational leadership are particularly effective in fostering innovation across various dimensions. By adapting leadership strategies to promote these styles, organizations can create a more innovative and dynamic workplace. Conversely, minimizing reliance on transactional leadership approaches can help prevent the stifling of innovative efforts. Through strategic leadership development, organizations can enhance their overall innovation capabilities, leading to sustainable growth and competitive advantage.
Keywords: Transactional leadership, Transformational leadership style, Autocratic leadership, laissez-faire leadership, innovation.