The Influence of Leadership Styles on Employee's Motivation: In the case of KAKI Motors

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Addis Ababa University


The main objective of the study is to examine the influence of Leadership style on employee's motivation. For this study quantitative approach was used through close-ended questions in order to group their responses in to the categories within the study by choosing respondents based on convenience and purposive sampling techniques and a total of 50 respondents completed the Multifactor Leadership questioner (MLQ) and Workplace Extrinsic and Intrinsic Motivation Scale (WEIMS) survey questionnaires which was done on the Head office of the company found around Megenagna-Gerji. Both descriptive and inferential analysis was done to analyze the responses. The demographic analysis shows that most of the respondents were found to be Female. The descriptive statistics indicated that Transformational leadership style to be the dominant leadership style at the organization followed by Transactional leadership style both indicating to have a strong positive relationship with the dependent variable Motivation while, Laissez-faire leadership style found to be insignificant as shown on the correlation statistics. In the regression analysis Transformation leadership style was still found to have better influence than the remaining two leadership styles. Mean score of the motivation level showed that employees were rather motivated extrinsically than intrinsically. Which according to this it is recommended that leaders in KAKI Motors should follow Transformational leadership style by hiring transformational leaders within the company considering the employee's motivation was proved to be extrinsic their drive for motivation needs to change. So, it is a good way for leaders to share the vision of the company and to what objective they are striving for to achieve success



Transformational Leadership, Transactional Leadership, Laissez-faire leadership