Leadership Qualities Effect on Employee Performance and Organizational Culture

Employee motivation is vital to employee productivity and retention rates. Business leaders can face challenges in motivating employees, which can negatively affect productivity and retention. In this case study, I explored the behaviors and actions of business leaders that may lead to challenges when attempting to motivate employees, resulting in decreased productivity and increased employee turnover. I aimed to uncover the effects of leadership on employee motivation and explore why some leaders face challenges motivating employees. I focused on the leaders and employees of a family automotive sales and repair shop, including 20 employees and four family leaders. I conducted interviews and observations with these participants to understand how leadership affected motivation. I used termination paperwork and surveys as supplemental data to validate the interview and observational data. An analysis of this data revealed that leaders’ behavior directly motivates employees. My findings indicated that transformational leadership and supporting and caring for employees increase employee motivation, while a lack of employee motivation can lead to lower productivity and higher turnover rates. Other researchers, organizations, and business leaders can use these findings to understand how their behavior affects motivation, productivity, and turnover rates. In addition, further studies could be conducted to explore other leadership characteristics that affect employees and overall business practices.