Identifying The Influence Of Leadership Practices Commerce Essay

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The purpose of this research was to identify the influence of five leadership practices on organizational commitment among managers in Malaysia. The five dimensions of leadership practices were (a) Challenging the Process, (b) Inspiring a Shared Vision, (c) Enabling Others to Act, (d) Modelling the Way, and (e) Encouraging the Heart. This study was specifically examining the relationship between these leadership practices and organizational commitment. The five dimensions of leadership practices were identified by Posner and Kouzes (1988). On the other hand, Mowday, Steers and Porter (1979) developed the organizational commitment (Woods, 2007). A three part questionnaire was designed and distributed to 100 managers of selected various organizations in Malaysia. Contain of the questionnaire included demographic characteristic questionnaire, organizational commitment questionnaire (OCQ) and Leadership Practices Inventory-Observer (LPI-O). This chapter would present the analysis of the responses.

4.1 Response Rate

As discussed in chapter 3, the participants in this study were intended to be managers from various organizations in Malaysia. Questionnaires were distributed to 100 managers of different organizations in Malaysia. A total of 100 sets of questionnaires were collected back. The response rate was 100% as the data was collected through e-mail and face-to-face survey.

4.2 Demographics

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In order to collect data about respondents, the demographic questionnaire was computed. There were eight categories stated in the questionnaire which were gender, age, marital status, race, occupation, monthly income, education level, and working experience. The descriptive analyze of demographic variables was illustrated in table 1 through the using of SPSS 19.0. Table 1 illustrated the frequency and percentages of the respondents in data collection.

Table 1: Frequency and Percentage of Demographic Characteristics

Demographic

Frequency

Percent (%)

Gender

male

47

47.0

female

53

53.0

Total

100

100.0

Age

20<29

35

35.0

30<39

30

30.0

40<49

21

21.0

≥50

14

14.0

Total

100

100.0

Marital Status

single

41

41.0

married

51

51.0

divorced

8

8.0

Total

100

100.0

Race

Malay

18

18.0

Chinese

71

71.0

Indian

11

11.0

100

100.0

Occupation

government

23

23.0

private

77

77.0

Total

100

100.0

Income

2001<3000

12

12.0

3001<4000

26

26.0

4001<5000

29

29.0

5001<6000

19

19.0

≥6001

14

14.0

Total

100

100.0

Education

secondary

12

12.0

diploma

32

32.0

university

46

46.0

master

9

9.0

PhD

1

1.0

Total

100

100.0

Experience

1-5 years

24

24.0

6-10 years

23

23.0

11 years and above

53

53.0

Total

100

100.0

The total number of respondents in this study was 100 managers, which can also be interpreted through the percentages. After the data collection, the portion of male respondent was 47.0%, while female was 53.0%.

For the purpose of this study, age was grouped into four categories (a) 20-29, (b) 30-39, (c) 40-49, and 50 and above. The percentages were 35.0%, 30.0%, 21.0%, and 14.0% respectively.

In terms of marital status, there were 41.0% of the respondents were single. The respondents who were married stood for 51.0%, and there were only 8.0% of the respondents who had divorced.

For the race demographic, there were three races of the respondents, which were Malay, Chinese, and Indian. Out of the 100 respondents of the research, the majority were Chinese, 71.0%, 18.0% were Malay, and 11.0% were Indian.

Most of the respondents of this study worked in private sector which occupied 77.0% of the research. On the other hand, 23.0% of the respondents worked for government sector. There was a bias in terms of occupation because there were various types of private organization provided feedbacks for this study.

Income demographic was divided into 5 subsets. There were (a) RM2000- RM3001, (b) RM3001- RM4000, (c) RM4001- RM5000, (d) RM5001-RM6000, and (e) RM6001 and above. The percentages were 12.0%, 26.0%, 29.0%, 19.0% and 14.0% respectively.

In terms of education level, most of the respondents achieved university level which was 46.0%. It was followed by diploma level which was 32.9%. The percentage of secondary, master, and PhD level was lower which were 12.0%, 9.0%, and 1.0% respectively.

The working experience was divided into three categories. Most of the respondents had worked for eleven years and above, and occupied 53.0% of the respondents. From the survey, 24.0% was between 1-5 years and 23.0% was between 6-10 years.

4.3 Test of Reliability

Table 2: Cronbach's Alpha Test for LPI-O Five Practices Coefficients and Organizational Commitment

Leadership Practices

Reliability Coefficients

No. of Items

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Challenge the process

0.804

6

Inspire a shared vision

0.772

6

Enable others to act

0.732

6

Model the way

0.723

6

Encourage the heart

0.790

6

Organizational Commitment

0.673

15

Cronbach's alpha was calculated for the items retained for each dimension to access the reliability of measures. Cronbach's alpha was used to test the reliability where an alpha coefficient of 0.7 or higher was considered acceptable (Peterson, 1994). Table 2 illustrated the output of Cronbach's Alpha Test for Leadership Practices Inventory Observer (LPI-O) and Organizational Commitment. The result indicated that the reliability for each of five leadership practices in LPI-O was significant. However, the Cronbach's Alpha Test for Organizational Commitment indicated that the reliability for the fifteen items in the questionnaire was at the lower acceptable level.

4.4 Data Analysis

Table 3 shows the descriptive statistics of mean and standard deviation of all the variables in this study through the using of SPSS 19.0.

Table 3: Descriptive Statistics

Variables

Mean

Standard Deviation

Organizational Commitment

3.44

0.48

Challenge the Process

3.55

0.82

Inspire a Shared Vision

3.70

0.74

Enable Others to Act

3.79

0.68

Model the Way

3.63

0.71

Encourage the Heart

3.77

0.80

The mean is an indicator of frequency of use. The higher score, the more frequently a leadership practice was used ( Sandbakken, 2004; Kouzes and Porner, 2002b). As shown in Table 3, the mean of five leadership practices ranged from the highest which was enable others to act, 3.79. It was followed by encourage the heart, 3.77; inspire a shared vision, 3.70; and model the way, 3.63. The lowest mean indicated by the leadership practices of challenge the process, 3.55 which shows that this particular leadership practice least engaged in by the managers.

The standard deviation of five leadership practices ranged from the highest which was challenge the process, 0.82. It was followed by encourage the heart, 0.80; inspired a shared vision, 0.74; and model the way, 0.71. The lowest standard deviation was shown by enables others to act, 0.68.

For the dependent variable, mean of organizational commitment was 3.44, and its standard deviation was 0.48.

4.4 Hypotheses Testing

Table 4: Pearson's Simple Correlation Analysis

Variables

01

02

03

04

05

06

01

Organizational Commitment

1.00

0.497**

0.518**

0.370**

0.428**

0.354**

02

Challenge the Process

1.00

0.738**

0.532**

0.731**

0.618**

03

Inspire a Shared Vision

1.00

0.663**

0.690**

0.587**

04

Enable Others to Act

1.00

0.656**

0.580**

05

Model the Way

1.00

0.667**

06

Encourage the Heart

1.00

Note: ** Correlation is significant at the 0.01 level (2-tailed)

Each of the hypotheses was analyzed by using the Pearson's Simple Correlation Analysis (Table 4). This test was used to evaluate the relationship between each of the five leadership practices and organizational commitment. The results are illustrated in table 4. The values range from -1 to +1. The closer to one means there is a stronger positive relationship between two variables (Hyatt, 2007).

Hypothesis 1 proposes leadership practice of "Challenge the process" has a positive significant influence on organizational commitment. Statistically significant correlations with commitment can be seen for leadership practice of "Challenge the process" (r=0.497, p<0.01). Thus, hypothesis 1 is supported.

Hypothesis 2 proposes leadership practice of "Inspire a shared vision" has a positive significant influence on organizational commitment. Statistically significant correlations with commitment can be seen for leadership practice of "Inspire a shared vision" (r=0.518, p<0.01). Thus, hypothesis 2 is supported.

Hypothesis 3 proposes leadership practice of "Enable others to act" has a positive significant influence on organizational commitment. Statistically significant correlations with commitment can be seen for leadership practice of "Enable others to act" (r=0.370, p<0.01). Thus, hypothesis 3 is supported.

Hypothesis 4 proposes leadership practice of "Model the way" has a positive significant influence on organizational commitment. Statistically significant correlations with commitment can be seen for leadership practice of "Model the way" (r=0.428, p<0.01). Thus, hypothesis 4 is supported.

Hypothesis 5 proposes leadership practice of "Encourage the heart" has a positive significant influence on organizational commitment. Statistically significant correlations with commitment can be seen for leadership practice of "Encourage the heart" (r=0.354, p<0.01). Thus, hypothesis 5 is supported.

4.5 The Relationships between Each of Five Leadership Practices

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Table 4 showed that there was a significant positive inter correlation between each of five leadership practices. This means that there was a relationship within the independent variables which were Challenge the Process, Inspire a Shared Vision, Enable Other to Act, Model the Way, and Encourage the Heart. The values of the analysis range from -1 to +1. The closer to one means there is a stronger positive relationship between two independent variables (Hyatt, 2007).

The leadership practice of Challenge the Process showed a significant positive relationship with the other four leadership practices mentioned about which were Inspire a Shared Vision (r=0.738, p<0.01), Enable Others to Act (r=0.532, p<0.01), Model the Way (r=0.731, p<0.01), and Encourage the heart (r=0.618, p<0.01).

Furthermore, the leadership practice of Inspired a Shared Vision showed a significant positive relationship with Enable Others to Act (r=0.663, p<0.01), Model the Way (r=0.690, p<0.01), and Encourage the heart (r=0.587, p<0.01).

The leadership practice of Enable Other to Act also showed a significant positive relationship with Model the Way (r=0.656, p<0.01), and Encourage the heart (r=0.580, p<0.01). Lastly, the leadership practice of Model the Way indicated a significant positive relationship with Encourage the Heart (r=0.667, p<0.01).

The results of the analysis showed that the five dimensions of leadership practices were interact with each other and influenced by each other.

4.6 The Relationships between Each of Five Leadership Practices and Organizational Commitment

The objective of this research was to determine the extent of the influent of Kouzes and Posner's (2003) five dimensions of leadership practices independently on organizational commitment among managers in Malaysia. The relationships between the five independent variables, leadership practices and one dependent variable were analyzed. The five independent variables were challenge the process, inspire a shared vision, enable others to act, model the way, and encourage the heart. The dependent variable was organizational commitment. The results of the analysis were illustrated in Table 5.

Table 5: Simple Linear Regression of the Five Leadership Practices and Organizational Commitment

Leadership Practices

Standardized Coefficients (β)

Coefficients Determination (r2)

Challenge the Process

0.497

0.247

Inspire a shared vision

0.518

0.268

Enable others to act

0.370

0.137

Model the way

0.428

0.183

Encourage the heart

0.354

0.126

Note: Significant at the 0.0001 level

Table 4 indicated that all the five leadership practices were significantly related with organizational commitment. All of those relationships were significant at p<0.0001 level. The table showed that leadership practice of inspired a shared vision has the strongest relationship with organizational commitment (β=0.518, r2=0.268). It was followed by challenge the process (β=0.497, r2=0.247), model the way (β=0.428, r2=0.183), and enable others to act (β=0.370, r2=0.137). The weakest relationship was illustrated by encourage the heart (β=0.354, r2=0.126).

4.7 Summary

The purpose of this chapter was to analyze the relationship between each of five leadership practices and organizational commitment. In particular, attention was given to the following five leadership practices: Challenge the process, Inspire a shared vision, Enable others to act, Model the way, and Encourage the heart. The results include demographic information on 100 respondents and relationship between each of the five leadership practices and organizational commitment among managers. A significant positive relationship was established by this study.