Abasyn Journal of Social Sciences. Special Issue: AiCTBM 2018

Leadership Styles, Organizational Culture and Employees’ Productivity: Fresh Evidence from Private Banks of Khyber-Pakhtunkhwa, Pakistan

Saeeda Rehman, Haseeb Ur Rahman, Muhammad Zahid, Muhammad Asif

1,2 Faculty Member, Institute of Management Sciences, University of Science and Technology, Bannu, KP, Pakistan
3,4 Assistant Professor, City University of Science & Information Technology, Peshawar, KP, Pakistan


This study aims to investigate the impact of leadership styles and organizational culture on employees’ productivity. The population of the study was employees of private banks operating in  Khyber Pakhtunkhwa (KP), Pakistan. However, as the exact population was unknown or not available, hence the study determined a sample size of 200 respondents through G*power software.  Accordingly, the study distributed two hundred and fifty (250) self-administered questionnaires on the basis of convenient sampling as advised by Zikmund, (2003). The questionnaire  mainly composed of three constructs i.e. the leadership style, organizational culture and employees’ productivity adapted from Bass et al., (2003) and Brewer and Selden,  (2000). Out of the distributed questionnaires, only one hundred and eighty-three (183) completely filled questionnaires are collected. By using Smart Partial Least Squares (PLS), the analysis of  collected data revealed that neither autocratic nor democratic style of leadership has a significant positive association with employees’ productivity. Likewise, organizational culture also  proved to be an ineffective driver for pronouncing employees’ productivity. However, the findings evidence that laissez-fair, transactional and transformational leadership styles have a significant  positive relationship with employees’ productivity. Overall, the findings show that leadership style has a pivotal role in increasing employees’ productivity. Besides contributing to the scarce and  incongruent prior literature, the current study also provides important insights for the regulators, policymakers, State Bank of Pakistan, private commercial banks and other key stakeholders in  the banking industry of Pakistan. Keywords: Leadership Styles, Employees’ Productivity, Organizational Culture, Private Banks, Khyber Pakhtunkhwa (KP), Pakistan.


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