EFFECT OF LEADERSHIP STYLE ON IMPROVING WORKERS PERFORMANCE: THE CASE OF NEKEMTE CITY MUNICIPALITY

ADVISOR: ADUGNA T. (PHD CANDIDATE) The primary aim of this study was to examine the effect of leadership styles on improving workers'<br> performance, focusing on the case of Nekemte City Municipality. A quantitative research approach was<br> adopted to explore this effect. Descriptive and explanatory research designs were employed, using the<br> census method to facilitate the distribution of questionnaires to the entire target population. Data<br> collection was carried out using a 5-point Likert Scale close-ended questionnaire, with a total of 33 items<br> administered to 116 respondents and only 115 has responded. The collected data was analyzed using<br> SPSS Version 25. The findings revealed a strong, positive, and significant correlation between leadership<br> styles and overall workers' performance, with the independent variables in the study explaining 84% of<br> the variation in performance. Respondents expressed general satisfaction with the leadership styles in use<br> namely, Transformational, Servant, Participative, Charismatic, and Adaptive Leadership. This<br> satisfaction underscores the effectiveness of these styles in creating a positive work environment and<br> enhancing performance. As Nekemte City Municipality continues to grow, maintaining and refining these<br> leadership styles will remain critical. To address challenges related to leadership's impact on<br> performance, it is recommended that the municipality emphasize participative leadership, as this style<br> showed the strongest contribution to performance improvement. Leaders should actively involve<br> employees in decision-making processes. Furthermore, continuous training and development programs<br> should be provided to equip leaders with a robust skill set across various leadership styles. By aligning<br> leadership approaches with workforce needs and adapting over time, the municipality can foster a<br> dynamic and responsive leadership framework that sustains performance improvement.<br> Key Words: leadership style, Nekemte City Municipality, Oromia, Ethiopia