Leadership style and supervisory behaviour on employee wellbeing and performance at two Retail Banks in South Africa

Abstract

This study investigates leadership style and supervisory behaviour on employee wellbeing and performance at two retail banks in South Africa. The study aims to contribute to the existing body of knowledge on management and leadership and with this, provide additional insight into the importance of wellbeing within the two banks. The concepts of motivation and supervisory behaviours were explored in relation to different styles of leadership while the importance of employee wellbeing was further investigated in relation to performance. The study was conducted and analysed using quantitative data that was collected through an online questionnaire. The sample size included 144 employees from two Retail Banks. Most of the sample included back-office managers, professional bankers and analysts which included 50% from Retail Bank A, and the other 50% were from Retail Bank B, both in Sandton, Johannesburg. The study found that democratic and transformational leadership styles were most effective at increasing employee motivation and employee performance. These two forms of leadership styles have a positive influence on productivity, job satisfaction, and overall employee performance. It was also found that the autocratic leadership style had negatively affected supervisory behaviour. Autocratic leadership style demotivated employees causing higher levels of job dissatisfaction. Relationships between supervisory behaviour and employee wellbeing together with employee performance were also identified.