A Study on Leadership Style and Employee Engagement within Higher Academic Institutions in Ethiopia

Abstract

This comprehensive study delved into the intricate relationship between leadership styles and employee engagement within higher academic institutions in Ethiopia. Using an explanatory research design with a quantitative approach, the study collected data from 372 selected respondents through a questionnaire. This data was analyzed using SPSS software version 28, applying both correlation and multiple linear regression analyses. The findings revealed that transformational and transactional leadership styles positively impact employee engagement. Transformational leadership, which involves inspiring and motivating employees to exceed expectations, and transactional leadership, which focuses on rewarding employees for meeting specific goals, both contributed to higher levels of engagement among employees.  In contrast, the laissez-faire leadership style, characterized by a hands-off approach and minimal direct supervision, was found to have a negative effect on employee engagement. This style of leadership led to decreased employee engagement and lower overall organizational effectiveness. The research suggests that leaders should consider the moral and ethical implications of their decisions and understand their employees' needs. Additionally, leaders should clearly communicate and consistently reinforce the organization's vision to eliminate any uncertainty about its direction.