Impact of Transformational and Transactional Leadership Styles on Employees’ Performance of Banking Sector in Pakistan

Abstract

This study identified the basic tool for development of organization by utilizing the leadership qualities where as there are two independent variables included Transactional and transformational leadership qualities and dependent variable is employee performance. The author(s) believes that employee performance is very essential for any organization throughout motivating, satisfying, idealized, influence/inspirational encouragement directly impact on the employee’s performance and result in organizational performance although Banking sector is growing industry in Pakistan therefore to know the impact of Transactional and transformational leadership on employees performance and they are facing the critical hurdles while this study is based on quantitative and primary and secondary data has been used for this study along with it is exploratory researcher. Researcher has made the eighteen questions which are based on five likert scale and firstly researcher has assured the reliability and validity through the pilot test from different bankers in Pakistan and SPSS 20 Software has been used for study for the first time Cronbach's Alpha shown .79 for pilot test, this data provides the validity and reliability of study. Furthermore, the researcher has proceeded and sample size has taken around 172 from population size and tried to his/her best efforts in order to achieve the results and then recommendations & conclusion is made for this research.

Keywords: transactional leadership, transformational leadership, employees performance, management, leadership, banks

JEL Classification: M1; M12; M54