THE IMPACT OF LEADERSHIP AND ORGANIZATIONAL BEHAVIOUR ON EMPLOYEES PRODUCTIVITY. (A CASE STUDY OF DIAMOND BANK PLC, ENUGU BRANCH.)

ABSTRACT
In modern society, economic prosperity and progress depend largely on the
quality of leadership. This is true of nation states as it is of individuals or
generate among policy makers, corporate executives and investors are largely
justified. Leadership is very essential in an organization because achievements
and results occur corollary to the traits being projected by the leader. The
major aim of every organization is to grow. The relationship between the
management and employees has a great impact to that effect. Employees will be
expecting to earn higher so as to sustain their living while the management will
be expecting employee to work had so as to see that the objectives of the
organization is realized. Organizational behaviour is more or less a pure
psychology attached to the institutional companies and applicable to achieve
organisational goals. It constitutes the activities of an organisation that can be
observed by another organisation or by experimental instruments. The research
work will focus on the leadership and effects of leadership style, appraisal and
organisational behaviour of management and employees. The work is made up
of five chapters. In the first chapter we will discuss about the general ideas of
leadership, organisational behaviour and its effects on management and
employee. In the second chapter we shall look into the literature review, we
shall look into various authors who have researched on the leadership styles,
appraisal and organisational behaviour of management and employees. In
chapter three, we will present research methodology while chapter four will be
presentation of data analysis. We shall also interpret the data and test the
hypothesis and finally, chapter five will be summaries, findings and
recommendation.

CHAPTER ONE
1.1 INTRODUCTION
GENERAL IDEA OF LEADERSHIP
Leadership is a process in which a leader attempts to influence his or her
followers to establish and accomplish a goal or goals.
LEADERSHIP
The capacity to lead others: command, lead.
An act or instance of guiding: direction, guidance, lead, management. See
affect/ineffectiveness.
Leadership is the process through which an individual tries to influence another
individual or a group of individuals to accomplish a goal. Leadership is valued
in our culture, especially when it helps to achieve goals that are beneficial to the
population, such as the enactment of effective preventive health policies. An
individual with leadership qualities can also improve an organization and the
individuals in it, whether it be a teacher who works to get better teaching
materials and after school programs or an employee who develops new ideas
and products and influences others to invest in them.
Leadership can be exhibited in a variety of ways and circumstances. Mothers
and fathers show leadership in raising their children with good values and
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encouraging them to develop to their potential. Teachers show it in inspiring
students to learn and to develop their intellectual capacity. Health care workers
can be leaders and develop services that meet the needs of the communities they
serve, or work in collaboration with other organizations to create cost
effective, prevention oriented programs and services.
Many studies have been done and many books and articles have been published
on this subject. Through this work a consistent set of leadership attributes has
emerged. An effective leader does most, if not all, of the following:
Challenge the Process—search out challenging opportunities, take risks, and
learn from mistakes.
Inspire others to come together and agree on a future direction or goal— create
a shared vision by thinking about the future, having a strong positive vision, and
encouraging others to participate.
Help others to act—help others to work together, to cooperate and collaborate
by developing shared goals and building trust, and help to make others stronger
by encouraging them to develop their skills and talents.
Set an example—behave in ways that are consistent with professed values and
help others to achieve small gains that keep them motivated, especially when a
goal will not be achieved quickly.
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Encourage others—recognize each individual’s contributions to the success of a
project.
Another way of defining leadership is to acknowledge what people value in
individuals that are recognized as leaders. Most people can think of individuals
they consider being leaders. Research conducted in the 1980s by James Kouzes
and Barry Posner found that a majority of people admire, and willingly follow,
people who are honest, forward looking, inspiring, and competent
An individual who would like to develop leadership skills can profit from the
knowledge that leadership is not just a set of exceptional skills and attributes
possessed by only a few very special people. Rather, leadership is a process and
a set of skills that can be learned.
The word leadership can refer to: the process of leading. Those entities that
perform one or more acts of leading.
Kouzes (2002) states that “Leadership is not a place, it‘s not a position,and it‘s
not a secret code that can‘t be deciphered by ordinary people. Leadership is an
observable set of skills and abilities. Of course some people are better at it than
others.”
In general terms, leadership can be defined as the ability to influence the
behavior of others.
This definition can be expanded when considering leadership in organizations to
include the fact that the leader exerts influence within a working group in order
that the group may achieve group tasks or objectives. (T .Lucy 1997) leadership
is an everyday art involving the skill of leading and dealing with people. The
success in ruling new dominions is contingent upon both his ability to wield
power effectively, and the existence of an opportunistic situation. Problems,
which result within organizational members, disagree on both the natures of the
goals of which people disagree on both the natures of the goals of which people
aspire, and the act of leadership. Leadership, as we use the term refers to
behaviour, undertaken within the context of an organisational members behave.
It could be observed that leadership and management envisages deeply into
what the organization can achieve if the quality of recognition is accorded to
them. Leadership has been propounded to include the sources of influence that
are built into a position in an organizational hierarchy.
These include organizationally sanctioned rewards, and punishments, authority,
as well as referent and expert power katz and kahn 1966, p.32. It could be seen
however, that subordinates within the organization, through not all seem to
enjoy the influence that exists all over and above the organization.
Leadership is very essential organization and greatly influences the whole
organization because achievements and results occur corollary to the traits being
projected by the leader. Leadership includes the ultimate source of power but
has that positive ability in persuading other individuals and to be innovative in
decision making. According to Bennis and Nanus, many organizations are over
managed and under led. The difference is crucial, managed are people who do
things right, but leaders are people who do the right things always.
Problems are bound to occur within every noted organisation and decision
making is bound to generate conflicts while initiating policies.
People are expected to coordinate. Whatever they are doing to achieve
organizational goals. In this light, the notion of leadership act are those which
help a grouping meeting those stated objectives (Bavelas 1960:p491).in general
terms the acts of controlling other people consists uncertainty reduction ,which
entails making the kind of choice that permits the organization to proceed
towards its objective despite various kinds of internal and external variables.
The effectiveness of leadership has some characteristics, which include forceful
threats, a complete assertion of authority to the subordinates, and a derived, and
situational responsibility.
Note that in the society today, not only the presence of rewards (positive and
negative), or the incentive appraisal could induce productivity but the feeling of
belongingness.
Improper leadership qualities within the organization have a negative impact on
the subordinates as well as the achievement of the organizational objective. An
organization that has growth and forward looking has a good leadership and vis
a vis a bad or deteriorating organization has a bad leadership.
Leadership is always related to the situation. There is a growing awareness that
is a continuous interaction between the factors presents in any given situation,
including for example, the personal characteristics of the leader, the tasks, the
environment, the technology, the attitudes, motivation and behavior of the
followers and so on.
1.2 BRIEF HISTORY OF SIAMOND BANK PLC
Diamond Bank Plc began as a private limited liability company on March 21,
1991 (the company was incorporated on December 20, 1990). Ten years later,
in February 2001, it became a universal bank. In January 2005, following a
highly successful Private Placement share offer which substantially raised the
Bank’s equity base, Diamond Bank became a public limited company. In May
2005, the Bank was listed on The Nigerian Stock Exchange. Moreover, in
January 2008, Diamond Bank’s Global Depositary Receipts (GDR) was listed
on the Professional Securities Market of the London Stock Exchange. The first
bank in Africa to record that feat.
Today, Diamond Bank is one of the leading banks in Nigeria respected for its
excellent service delivery, driven by innovation and operating on the most
advanced banking technology platform in the market. Diamond Bank has over
the years leveraged on its underlying resilience to grow its asset base and to
successfully retain its key business relationships. And like a diamond, our
strength makes us even more valued and valuable. Diamond Bank has won
several awards including the prestigious “Most Improved Bank of the Year”-
Thisday Newspapers, “Best Bank in Mergers & Acquisition”.
We have retained excellent banking relationships with a number of well-known
international banks, allowing us to provide a bouquet of world class banking
services to suit the business needs of our clients. These international banking
partners include Citibank; HSBC Bank; ANZ Banking Group; ING BHF Bank
AG; Standard Chartered Bank; Belgolaise Bank S.A; Deutsche Bank;
Commerzbank; and Nordea Bank Plc.
In 2008, and to ensure we grow with the needs of our customers, we streamlined
our operations into three distinct strategic business segments: Retail banking,
Corporate Banking, and Public sector.
Diamond Bank continues to develop and to build on its core competencies. By
continually cutting from the rough, we have improved our services and our
banking facilities. Like cutting from a rough gem to create a diamond of the
finest quality, we are proud to have become a gem of a bank.
1.3 STATEMENT OF THE PROBLEM AND SUB PROBLEM
The design of the investigation is to elicit the effect of the different leadership
styles in finance oriented and services oriented organization in order to
determine its distinct impact on the organizational behavior of management
and employees in the case organization.
SUB PROBLEM I: The purpose of the study is to evaluate the factors of
leadership (the traits: intelligence, initiative, imagination, communication, the
skills, analytical, diagnostic, conceptual, the status, recognition and the
situation) culture in the case organisation with the view to calculate their
contribution in attaining organisational objective. (Contribution to efficiency
and growth in profit).
SUB PROBLEM II: The object on the inquiry is to ascertain the most
favourable leadership style amongst autocratic, democratic, paternalistic, and
laissez faire, used in the case organisation to determine its influence on
management and employees.
SUB PROBLEM III: The intention of the investigation is to compare the
relationship (positive or negative) between leadership and organisational
behavior in the finance and service oriented organisation to identify the effect
on work performance.
SUB PROBLEM IV: The purpose of the study is to correlate the leadership
style to organisational behavior of management and employees in DIAMOND
BANK to decide the trend and influence of leadership style on the
organisational behavior of management and employees.