The
Sustainable Links of Development between Leadership and Organizational Cult=
ures
Asadi Rahil and Stefanescu Dumitru
The
Bucharest University of Economic Studies, Romania)
Abstract. Leadership performances develops closely =
connected
to the institutional behaviour and societal culture given the permanent tre=
nds
to implement changes to update standards according to existing norms and ri=
gors
existing in any company.=
The styles adopted in managing or lea=
ding
the activities influences the tasks’ achievement, the future path to take a=
nd
the way success is understood, accepted, shared and disseminated. Nowadays,
companies face compulsory the
influences of more cultures, given the temptation of delocalisation, the
curiosity of working with immigrants, the advantages provided in different
situations of accepting a higher exposure of leader to different sides of performance, different dimensions of market and
financial profits, new behaviours in managing the employees. Starting from =
this
idea, the p=
urpose
of this study is to identify and enquire into the hidden dimensions of
organizational culture and how the leadership style impacts the strategic
developing and let effective relations spring out.
T=
he
research is built on a survey based on designed questione=
r applied to
Keywords: Transformational
Leadership, Interactive Leadership, Organizational Culture, Transactional
Leadership
JEL
Codes:: M=
100,
L100, Z190
How
to cite: Asadi, R. (2019). THE SUSTAINABLE LINKS OF DEVELOPME=
NT
BETWEEN LEADERSHIP AND ORGANIZATIONAL CULTURES. Journal of
Economic Development, Environment and People, 8(2), 45-55. doi:http://dx.doi=
.org/10.26458/jedep.v8=
i2.626
<=
span
style=3D'font-size:10.0pt;font-family:"Calibri",sans-serif;mso-ascii-theme-=
font:
minor-latin;mso-fareast-font-family:Calibri;mso-fareast-theme-font:minor-la=
tin;
mso-hansi-theme-font:minor-latin;mso-bidi-theme-font:minor-latin'>1.&n=
bsp;
Introduction
Today, changes in organizations and systems are inevitable. For
achievement the success and development the system, creating the useful cha=
nges
is imperative and an organization that fails to make these changes in the r=
ight
and correct way, in accordance with his aims, will inevitably fail in this
competitive world. (John P. Potter). The issues of culture and leadership
behaviours in the organizations have grown in recent years; it is because of
the synchronization with the development and due to keeping up with the cha=
nges
and updating of the organizations. And with regard to the time of
establishment, the genesis and organization’ life, the culture that governe=
d it
should be examined with other variables. (Umeda, 2012)
As we know the hum=
an
resources plays a key role in shaping the organization culture and among th=
em
the leaders have a direct impact on the behaviours of employees, so those
leaders who are not able to play a role and perform according to the
circumstances exist of the organization, and they can’t use their influence=
in
guiding people with using the proper leadership styles accordance with
organization type, soon on will be in trouble of leading the employees and
cause the organization to collapse and fail. But the leaders who
attention to the organization's culture and choose an appropriate leadership
style accordance with the organization and move forward in this direction w=
ill
move towards integrating and streamlining the organization's processes and
leading the organization and employees to progress and excellence result. T=
he
proper recognition of the organizational culture affects the organization's
fate (Rhodes & McGuire, 2013)
As this research l=
ooks
for the relations between leadership style and specific organizational cult=
ures
that might exist in a different type of establishments and their leaders’
capacity to influence the institutional culture. As Edgar H. Schein states,
directing and leading the organization's culture is one of the most importa=
nt
features of leaders in the organization. In the form and way that the talent
and unique ability of leaders such as her/ his ability to understand the
employee’s culture and organizational culture and work in it and sometimes
destruction, rebuilding, changing and synergistic subcultures at organizati=
on
and help the organization's activity and its performance continues as a liv=
ing
and active organism, can say these are the most unique and important effect=
of
leader performance in an organization with a different culture (Kumaraswamy et
al, 2015). After describing t=
he
issues that are relevant to the culture of organizations and leader’s
performance, between numerous ways of measuring the leadership style, the
common MLQ model of Mr Denison's, multi-factor leadership style assessment =
Bass and Avolio (1993), selected to analy=
sis
the main and important objectives of this research.
The scientific focus on this paper emphasizes the relationship between transformational leadership and organization=
al
culture adaptability and the possible ways to investigate it together with =
the
correlations between transformational leadership and institutional culture =
of
employee’s engagement. Another important aspect refers to review and assess=
ment
of the status quo of the transformational/transactional dimensions of
leadership and cultural power inside the organization.
2.&n=
bsp;
Research Methodologies
To assess and examine the main objecti=
ve
of this research after using the descriptive method, with the purpose of the
survey to describe the circumstances or phenomena examined and for review a=
nd
explain, the distribution of characteristics of the statistical community, =
the
interview and designed questioner papers used to gather the information. In
brief all the research methodologies are: library studies, field method,
leadership scaling, and determination of the validity and reliability of
questionnaire used.
The main sources were used in order to data gather=
ing,
in this section, in the fields of theoretical principles and the literature=
of
the research included library resources, papers, books and the Internet. A
designed questionnaire used and distributed. 60 questions Denison model was
used to measure organizational culture. The verses of this questionnaire we=
re
evaluated based on the five-value Likert’s scale.
To measure the leadership, style a multi-factor
questionnaire (1994 MLQ) was used. The questionnaire was prepared by Bass and Avolio has been edited several t=
imes.
By interweaving the questions
of 36 multi-factor questionnaires, about the transactional leadership
and transformational, place the respondents in a position to choosing the
answer which is closer to reality. The questioner contained two-part first =
part
started with the General Questions have been tried to collect adequate and
demographic information about the respondents. This section includes 4
questions (age, sex, education and work experience of respondents). And sec=
ond
part specific questions between 1400 people, Samples were collected by rand=
om
sampling and 550 people were selected as samples.
To assess and determine the validity and reliabili=
ty
of the questionnaire there are several statistic science methods and formul=
as
which they can apply such as Cronbach's alpha, the Spearman-Brown and Ku=
der
– Richardson to better assess the result. In this study for evaluating the
reliability of a questionnaire, the Cronbach's alpha approach was us=
ed
for the organizational culture 92% and for the multi-factor leadership
questionnaire, the coefficient has been 87% reached.
=
3.&n=
bsp;
Organization’s Grounds of Culture and Leadership’s Styles
Many experts agree that the meaning of=
an
organization culture is a system of common inference on an organization,
between the organizations ‘member and it’s the same thing which separates t=
he
two organizations from each other. The founders or originators of an
organization have played a major role in creating the primary and basis cul=
ture
of the organization. To understand the organization's effectiveness, there =
is a
common set of cultural features which can be used, but these common traits =
in
different positions are described completely different. Organizational cult=
ure
affects the behaviour of the organization's members and consequently affects
the organizational performance too.
Denison's organizational cultures’ model is based on four dimensions of
adaptability, mission, consistency and work involvement. Basically, it’s for
applying in organizations that have a culture of adaptability, they take ri=
sks
and learn from their mistake. They have the ability and experience make a c=
hange
and are constantly improving and empowered, with the aim of respect and val=
ue
to the client and their customers. The mission of an organization is to pro=
vide
and describe the goals and meanings that are realized by defining the social
role and defining the goals of the organization.
Effective organizations are stable and
integrated, and employees' behaviour is valued, in such organizations, the
leaders and followers are well-versed in agreement in work process performa=
nce,
even when they have conflicting views, and organizational activities have b=
een
well-coordinated. According to Denison, organizational culture is related to
fundamental values, beliefs and so on the principles that relate to the
organization's management system, and serves at the organization as a solid
foundation.
According to Bass (1985), transformational leadership define=
s as a
process in which a leader tries to increase the consciousness of his follow=
ers,
(in the case of what is important and valuable) to motivate them for
performing, beyond expectation. The behaviours related with the
transformational leadership from the perspective view of the bass, are
categorized into the four groups of ideal influences, Inspirational motivat=
ion,
intellectual stimulation, and individual consideration. Transformational
leaders are respected by their subordinates and have a tremendous influence=
on
their followers (Learmonth, 2018). They have an idealistic influence on
leadership, they have a strong vision of the future and they can inspire th=
eir
followers as motivating inspiration (Belcher,
1996). The leaders persuaded their followers to question =
the
hypotheses and to use mental stimulation style. An individual's leadership
style is defined for leaders who encounter employees as individuals and not=
as
members of the group.
In 1978, Burns introduced transactional leaders as individua=
ls
who, through the rewarding to followers, making relation with them and lead
them to work better. Transactional leadership involves the exchanging
incentives and rewards by the leader in order to attract the support of his
followers. The purpose of such leadership is to agree on a set of activities
that will meet the separate and immediate goals of the leader and followers,
unlike the transactional leadership, transformational leadership style is m=
ore
than just satisfy immediate needs of employees and followers. Bass (1985)
considered the behaviour’s related to transactional leadership are also
contingent rewards, management based on the expected (active); management is
based on the expected (passive), and leadership non-interrupted. The manage=
ment
based on the expected (active) is responsible for monitoring and correcting=
the
behaviours and performance of employees (Nguyen et al, 2019) in case of
diversion of roles and standards and correcting them (=
Aydiner et al, 2019). The managemen=
t is
based on the expected (passive), doesn’t do involvement in the affairs of t=
he
leaders, except when the standards are not met, and finally, the
non-interventional leadership is applicable for the leaders who tend to dis=
miss
their responsibility and do not have tend to make decisions.
4.&n=
bsp;
Experimental Grounds of the Study
One of the most famous
and classic studies in 1939 done by Lewin, Lippit,
and White, of three leadership styles and the resulting different social
climates, that is, autocratic, democratic, and laissez- faire. In the autocratic leadership style, the l=
eader
is only the responsible and decision maker, the democratic style there is fair participation between leaders and
employees and punished and criticized are less than other styles
Conceptual Model: In a discussi=
on
of the transformational leadership style and transactional leadership style=
, Bass and Avolio 1994, It is believed that=
a
particular leadership style is not suitable for all situations and all type=
of
organizations, hence, the leader can choose different styles for leading his
staff in different situations, according to the governing culture of the
organization and the organizational maturity of its employees. In this cont=
ext,
Fideller defined the contingency leadership sty=
le, as
the desire style is a degree that leader is able to influence the group of =
employees
in the organization. According to the leadership style definitions presented
and the historical review of organizational culture, the conceptual model
designed and depicted (Figure 1) for showing the impact and illustrate of t=
he
dimensions of organizational culture and leadership style in an organizatio=
n.
This model includes the culture of adaptability, mission, consistency and w=
ork
involvement is based on transformational leadership styles and transactional
leadership styles.
=
=
Transformational Leadership
<= o:p>
FLEXIBILITYBLE RIGIDITY
<=
/span> Internal Focus
Transactional Leadership
Fig.1: Conceptual model of the relationship between
dimensions of organizational culture and leadership style
=
This
conceptual model, it is in the form of culture The Denison organizational c=
ulture
and it has considered two dimensions in the top for organizational culture.=
In
this model described the dimensions of mission culture and adaptability.
Subsequently, the focus of the organization's culture in this section is on=
the
external focus of the organization, which is in the same direction with the
characteristics of the transformational leaders, above of the model. one of=
the
characteristics of transformational leadership is their ability to influence
the followers. These leaders have a strong vision for the future and are ab=
le
to influence the employees and align them with the organizations’ mission, =
in
this way the employees will analyse the environs in relation to the external
environment of the organization and adapting themselves to the changes (Austin,
2011). In the bottom section of Denison's conceptual
organizational culture model, the dimensions of consistency and work engage=
ment
(involvement) are located and follow the internal focus. According to the
features of transactional leaders are included in this section. Due to the
organizational maturity and its current culture (Masoomzadeh, 2013), t<=
/span>ransaction=
al
leaders can use the transaction culture for their followers, in addition to
increasing their internal consistency, and align the employee’s goals with =
the
organization's strategy and aims.
=
5.&n=
bsp;
Research findings and results
=
According =
to
the analysis of the main objectives of this research, the following results
were obtained: tables and charts are listed below.
=
Table.1: Result of main dimensions of leadership
=
=
=
Table 1, s=
ets
out the sub-objectives of this research analysed on the main dimensions of
leadership (transformation and transactional leadership style). The amount =
of
mean, standard deviation, and rates are listed in the table. The average ra=
te
of the mean for transformational leadership is higher than the transactional
leadership style. Numbers of percentage result is shown in chart1.
=
Fig. 1: Main
Dimensions Leadership Percentage
=
Table 2 li=
sts
the sections of the two leadership styles and the amount of the mean, stand=
ard
deviation, and its percentage. According to the result that showed in the
table, transformational leadership, there are two dimensions of inspiration=
al
motivation and intellectual stimulation have the highest score, in chart No=
. 2
shows the percentage of these points.
=
=
=
=
=
Table. 2: Sub Dimensions of Leadership Style
=
|
=
SUB DIMENSION |
MEAN |
SD |
PERCENTA=
G |
|
|
Transact=
ional leadership |
Conditio=
nal
Rewards |
3.29 |
1.18 |
65.83 |
|
Manageme=
nt
based on expected(passive) |
2.72 |
1.23 |
54.37 |
|
|
Manageme=
nt
based on expected (active) |
3.39 |
1.27 |
67.71 |
|
|
Non-inte=
rvention
Leadership |
2.31 |
1.29 |
46.26 |
|
|
Transfor=
mational leadership |
Inspirat=
ional
Motivation |
3.56 |
1.16 |
71.22 |
|
Individu=
alized
Consideration |
3.36 |
1.21 |
67.19 |
|
|
Intellec=
tual
Stimulation |
3.51 |
1.11 |
70.22 |
|
|
Idealized
Influence |
3.35 |
1.21 |
67.03 |
=
<=
v:shape
id=3D"Chart_x0020_9" o:spid=3D"_x0000_i1031" type=3D"#_x0000_t75" style=3D=
'width:480pt;
height:213.75pt;visibility:visible' o:ole=3D"">
Fig. 2: Leadership Sub-Dimensions percentage result
Table.3: Results of the main dimension=
s of
organizational culture
<=
span
lang=3DEN-ZW style=3D'font-size:10.0pt;mso-fareast-font-family:Calibri;
color:#0000CC;mso-font-kerning:12.0pt;mso-ansi-language:EN-ZW'> =
Fig.3: Main Dimensions of Organizational Culture percent=
age
result
Table 4 li=
sts
the scores of cultural dimensions in 3 terms of mean, standard deviations a=
nd
percentages, the chart 4, shows the percentage of culture dimensions in ter=
ms
of adaptability, Mission, consistency and work involvement, and an average
result for dimensions of Adaptability and mission are more than the other
variables.
Table.4: Sub
dimensions of organizational culture
|
|
Sub
Dimension |
MEAN |
SD |
& |
|
ADAPTABILITY |
Change |
3 |
1.03 |
60.41 |
|
Customer
Orientation |
3.13 |
0.94 |
63.52 |
|
|
Organizational
Learning |
3.08 |
1.13 |
61.58 |
|
|
MISSION |
Strategic
intention and Direction |
3.11 |
1.11 |
61.93 |
|
Goals
and objectives |
3.02 |
1.07 |
60.31 |
|
|
Vision
|
3.05 |
1.11 |
60.91 |
|
|
INVOLVEMENT |
Empowerment |
3.11 |
1.13 |
62.06 |
|
Team-Oriented |
3 |
1.12 |
60.02 |
|
|
Capabilities
development |
2.87 |
1.17 |
57.39 |
|
|
CONSISTENCY |
Coordination
and Coherence |
3.03 |
1.07 |
60.58 |
|
Accordance
|
2.95 |
1.07 |
58.15 |
|
|
Fundamental
values |
3.07 |
1.03 |
61.78 |
Fig. 4: SUB
dimensions’ organizational culture
Table. 5: Results of Relationship betw=
een
Transformational Leadership and Organizational Culture Dimensions
|
Leadership variables and organizational
culture |
Correlation coefficient |
Relation |
Sample size |
|
Transformational leadership and
adaptability |
0.0008 |
Positive |
550 |
|
Transformational leadership and mission=
|
0.022 |
Positive |
550 |
|
Transformational leadership and involve=
ment |
0.011 |
Negative |
550 |
|
Transformational leadership and consist=
ency
|
0.025 |
Negative |
550 |
The results obtained in Table 5, show =
the transformational
leadership style has a positive and significant relationship with dimension=
s of
adaptability and mission of organizational culture if the leaders in
organization use the transformational leadership style and according to the
conceptual model presented the focus consistent in the top part of the mode=
l,
which is consistent with external focus. Also, transformational leadership =
with
consistency and work involvement has a negative correlation relationship, in
other words, by increasing the transformational leadership style, these two=
-dimension
effects will decrease in the organization.
6.&n=
bsp;
Conclusion
According to the
results of research and the effective and positive relation between
transformational Leadership style and the dimensions of adaptability culture
and the mission, it is believed that the transformational leadership style =
is
more appropriate for the leaders, in the MAPNA Company. Suggestions for the
leaders and organization is, in accordance with the performance of
transformational leadership and also for the need and importance of internal
focus in organization, the leaders try to use the transactional style too,
according to existing circumstances in an organization, they will benefit m=
ore
for achieving organizational goals and developing the organizational cultur=
e.
Although many studies in this area selecting the leadership styles with
consideration of the organization's requirements and appropriate with the
organizational environment, culture and also accordance with the mission an=
d organizational
goals, but in this research, it is suggested that to leaders adapt their st=
yles
in accordance with the organization need and culture, and a combination of =
two
styles in different situations. Due to the harmony between all the
organizational culture dimensions, it is expecting that organization moves
along with all the dimensions and along with the adaptability and mission
dimensionality at the external focus of the designed model, and so the lead=
ers
needs to focus on the internal dimensions as well as external focus and mak=
e a
coordination between all the dimension, then organizations and employees ca=
n be
targeted, which will make it easier to succeed and achieve the organizations
aim. According to the result of table 5, obtaining the high percentage in t=
he
component of change for adaptability dimension in the organization, has
indicates that, the organizational learning issues is in the central attent=
ion
for a leader in between all his activities and responsibilities. Therefore,=
the
leaders must do in order to set up a knowledge management project in
organization and for this purpose, help employees with the compatibility and
adaptability their organization's role for the optimal use of knowledge cre=
ated
in the organization. Adaptive organizations are supporting the leadership
behavioural, that they can be recognizing and discovering environmental cha=
nge
warnings to create new behaviours in accordance and adapt within the extern=
al
and internal environment change, this is especially true for matching the s=
taff
and processes, the organization is very much concerned with changes in soci=
ety,
at the right time and when facing changes, the new plans will react quickly=
and
promptly. This is a very special issue for the leader and also the
organization, to adopt staff and organizational processes in the face with
community changes. The leader has to behave and perform at the right time, =
when
faced with changes or any new plans in the organization, and respond to the
organization decision, promptly and on time, and steer the staff and the
organization seamlessly toward growth and progress their goals.
7.&n=
bsp;
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