Vol. 1 No. 19 (2021): Journal of Leadership and Management
Articles

The Correlational Study of the Transformational Leadership Style Financial Managers of Small Business and Influence on the Job Performance Employees in the United States

A. Abdulrahman
Science Researcher Washington, DC, USA
Karina Kasztelnik
College of Business, Tennessee State University, USA
Published March 20, 2022
Keywords
  • small business,
  • transformational leadership,
  • job satisfaction
How to Cite
Abdulrahman, A., & Kasztelnik, K. (2022). The Correlational Study of the Transformational Leadership Style Financial Managers of Small Business and Influence on the Job Performance Employees in the United States. Journal of Leadership and Management, 1(19). Retrieved from http://leadership.net.pl/JLM/article/view/213

Abstract

Research has shown that the leadership of a business can significantly impact employee performance, with dissatisfied employees performing at a lower level, potentially causing disruption and costs to the business. Several studies have documented the importance that small businesses have on the economy, and small businesses constitute over half of all jobs. This study investigated the relationship between transformational leadership style and employee satisfaction in small businesses in Virginia. The theoretical framework for this research is self-determination theory (SDT), which is vital for placing focus on certain human needs, particularly in the workplace, and transformational leadership. These things play key roles in focusing on the style used by managers and leaders when interacting with employees. More specifically, this research determined what characteristics of transformational leadership are demonstrated by managers of Virginia small businesses in dealing with employees, as measured by a transformational leadership scale, and what the employee satisfaction level is in the small businesses where managers demonstrate transformational skills, as measured by the Minnesota Satisfaction Questionnaire (MSQ). The research is important because the findings can help improve both personal lives and the health of small businesses and the economy. Readers would care because the findings could easily impact their workplace or the workplace of someone they know. A correlation coefficient was used to determine if a relationship existed. The research tries to make the workplace a more humane and efficient place while improving teamwork and workplace dynamics stemming from leadership. The findings show that there is a correlation between a more positive environment and employee performance. The sample size of 84 participants was obtained from a directory of small businesses in Virginia. Results of this study were discussed in terms of their implications for understanding how using a transformational leadership style affects employee satisfaction and performance and how these findings might relate to improving small business management and outcomes.

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