The impact and influence of leadership style on employee loyalty and performance in commercial banks in Klang Valley

• Main Author: Muhd Zulfadli, Ishammudin
• Format: Thesis
• Language: English; English
• Published: 2014
• Subjects: HD58.7 Organizational Behavior.; HG Finance
• Online Access: https://etd.uum.edu.my/4160/1/s812010.pdf; https://etd.uum.edu.my/4160/13/s812010_abstract.pdf; https://etd.uum.edu.my/4160/

This thesis attempts to present a snapshot of leadership‟s style impact and influence and other related effecting reasons towards the employee's performance and loyalty in banking industry. The scope of this research is broad and attempts to address all issues involved in the employee's performance, transformational and transactional leadership style and loyalty. Therefore, this research is just focusing on those most influential factors, such as leadership style, employee's loyalty and variables that affects employee performance in banking industry in Malaysia. The study population comprised five headquarter offices of commercial banks around Kuala Lumpur City. It analysis and describes data collected from 118 respondents comprises of manager, executive and clerical staff of several commercials banks within Klang Valley area. To determine whether the hypothesis were accepted or rejected, Pearson Coefficient correlation analysis was conducted. Sobel test was also used in order to determine whether the mediator applied have mediating effect between independent variable and dependent variable in this thesis. The result of this research did support most of the researches done on transformational leadership and transactional leadership since it has been found that both leadership styles have significant (positive) relationship towards employee performance in banking industry. This thesis also concluded that employee loyalty do have mediation effect between transformational leadership and employee performance as well as between transactional leadership and employee performance. Demographic characters do not have strong influence on employee loyalty and performance within the organization based on the output received from the respondents of the distributed survey.