Influence of Transformational Leadership on Performance of Housing Cooperative Societies in Nairobi City County, Kenya

Abstract

Organizational performance is of great concern for it is the notch to which an enterprise attains its objectives in areas such as profitability, operational efficiency, liquidity levels and stakeholders’ satisfaction. Transformational leadership is about influence and this influence from an organization’s context should yield a positive outcome that enables bridge the gap of housing shelter needs in a country. The aim of the study was to determine the influence of human resource competences on performance of housing cooperative societies in Nairobi City County, Kenya. The research is anchored on the transformational leadership model and contingency theory. The study adopted cross-sectional descriptive research design. The target population of study was 418 housing co-operative societies in Nairobi City County, Kenya. Data was gathered using structured questionnaire issued to administrative manager or equivalent persons of each housing cooperative society. Data was analysed for both descriptive and inferential statistics and presented using frequency tables and percentages. The study established that there is significant relationship between transformational leadership and performance. This implies that an improvement in transformational leadership contributes significantly towards performance of housing cooperative societies in Nairobi City County Kenya. This demonstrates that delegation of work duties, employee promotion on merit basis, reward for good performance and discussion of performance appraisal results are all geared towards enhancing transformational leadership in housing cooperative societies. Organizations should embrace transformational leadership style since it instils innovativeness among employees hence enabling them to operate competitively in the globalized changing business market. Keywords: Transformational leadership; Individual attention; Intellectual stimulation; charismatic influence; Inspirational motivation; performance DOI: 10.7176/EJBM/15-17-06 Publication date: October 31 st 2023