THE IMPACT OF LEADERSHIP STYLE ON CONTEXTUAL PERFORMANCE: EVIDENCE FROM SERBIA

The primary purpose of this research paper is to present an empirical study framed by the Situational Leadership Theory, also referred to as the Hersey-Blanchard Model, which states that people-oriented leadership behaviours, which include more employee participation, are positively related to contextual performance. The data used in this research was collected through a combination of two quantitative instruments aimed at determining the relative contribution that the independent variables (leadership style) make to the dependent variables (contextual performance). The main method used in this research is hierarchical regression analysis. The research results revealed that people-oriented leadership behaviours with more employee participation (dominant delegating leadership style) have a positive and significant relationship with contextual performance. In terms of practice, this paper may enable organisations to understand the need for an adequate leadership style that ensures greater employee commitment and employee readiness to make additional efforts, which are beyond the job description. In terms of originality and value, along with previous research in this area, this paper enables future research and contributes to a better understanding of the impact of an adequate leadership style, as a predictor variable, on contextual performance, as dependent variables.