The impact of leadership on organizational performance in small and medium companies in Bosnia and Herzegovina

Authors : Sabina Šehić – Kršlak, Đevad Šašić, Hasiba Džigal Džigal

Pages : 101-105

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Publication Date : 2021-12-31

Article Type : Research

Abstract :The main goal of this paper is to determine the status of leadership in Bosnia and Herzegovina and its effects on organizational performance, as well as to determine the effects of leadership in general and LMX leadership on organizational performance (job satisfaction, organizational commitment, mutual trust at work, satisfaction with organizational communication). Communication between leaders and associates, empowerment and organizational commitment of employees are variables that are intensively researched and improved in developed countries based on the research results. No research has been conducted in Bosnia and Herzegovina, even on mutual influence of two basic variables of the proposed research, communication between leaders and associates and organizational productivity. The research that will be conducted as part of this paper is in line with previous proposals of authors who have dealt with similar topics on the need to conduct research of this type in non-Western working environments. Based on the obtained research results, a model will be constructed to influence on positive correlation of leaders, their communication and organizational productivity in Bosnia and Herzegovina. The quality, i.e. the exchange level of leaders and associates was measured with a concise LMX-7 questionnaire intended to associates on a standard 5-point Likert scale. The study should create positive contribution to understanding of leaders’ role in organizational productivity in small and medium companies in Bosnia and Herzegovina. Innovating suggested strategies, this study should improve the leaders’ program communications between organization/company goals and productivity.
Keywords : Leaders, Leader communication, Organizational productivity, Organizational performance