Relationship of Leader Behavior That Affects Employee's Performance
Decisions made by leaders in an organization always affect the performance of the employees. Leaders displaying positive ethical and reward behaviors tend to increase the productivity and performance of employees.
Leader ethical behavior has been instrumental in shaping the performance of the employees in an organization. Positive ethical behavior increases commitment and satisfaction of employees in the organization. According to Shin, Sung, Choi & Kim (2015), ethical behavior by the top management in an organization improves the overall performance of the organization. Likewise, Shin, Sung, Choi & Kim (2015) adds that ethical behavior by top management directly influences various outcomes by the employees such as job satisfaction and commitment, as well as enhanced citizenship behaviors. Therefore, leaders who display positive ethical behavior within their organization influence the performance and productivity of their employees.
Leader reward behavior is crucial to influencing employee performance within the organization. Effective and just reward behavior leads to increased employee motivation, improved worker morale as well as enhanced staff performance. According to Jackson, Rossi, Hoover & Johnson (2012), fair and justified leader reward behavior primarily determines the attitudes, behaviors, and perceptions of the employees. Therefore, leader behavior that is seen as justified and fair directly influences the performance of the employees pushing for higher productivity. Improved employee perception on their organization regarding fair leader reward system consequently boosts the employee “morale which in turn increases the likelihood that employees will reciprocate in kind with behaviors desired by the organization” (Jackson, Rossi, Hoover & Johnson, 2012, p.648). Hence, positive leader reward behavior increases the performance of the employees in an organization effectively increasing the overall organizational performance.
In conclusion, positive leader reward and ethical behavior contribute directly to the performance of an organization. These aspects directly shape the employee commitment, motivation and job satisfaction within an organization.
Jackson, E., Rossi, M., Hoover, R, E., & Johnson, R. (2012). Relationships of leader reward behavior with employee behavior. Leadership & Organization Development Journal, 33(7), 646-661. doi: 10.1108/01437731211265232
Shin, Y., Sung, S., Choi, J., & Kim, M. (2014). Top Management Ethical Leadership and Firm Performance: Mediating Role of Ethical and Procedural Justice Climate. Journal Of Business Ethics, 129(1), 43-57. doi: 10.1007/s10551-014-2144-5