Leadership Styles and Its Impact on Organizational Performance in Banking Sector of Islamabad

Abstract

This study has focused on examining how organizational leadership could effectively be used in business sector of Islamabad. However, transformational leadership and transactional leadership, representing organizational leadership have been considered as independent variables. Whereas, organizational performance has been considered as the dependent variable. However, banking sector of Islamabad has been the sector chosen to investigate the relationship between variables mentioned above. To prove the relationship between transformational leadership, transactional leadership and organizational performance, an adaptive structured questionnaire has been used to collect data from the members working in banking sector of Islamabad. Based on the data collected from the respondents through structured questionnaire, several hypotheses tests were applied. Those hypotheses tests were applied through several statistical instruments such as descriptive frequencies, reliability, correlation, regression, ANOVA, and coefficients. Results of those hypotheses tests have clearly indicated that there exists a significant relationship between organizational leadership and organizational performance. Hence, it has been concluded that transformational leadership and transactional leadership has positive impact on organizational performance in banking sector of Pakistan.