INTEGRATIVE LEADERSHIP STYLE AND THE ORGANIZATIONAL PERFORMANCE OF COMMERCIAL STATE CORPORATIONS IN KENYA

Abstract

State businesses are essential to Kenya's Vision 2030, which seeks industrialization and enhanced quality of life. Recent statistics from the Kenya National Treasury reveal subpar performance, characterized by substantial cumulative losses in the 2021/2022 financial year. The objective of this stud was to establish the relationship between integrative leadership style and organizational performance of commercial state corporations in Kenya. Utilizing the Full Range Leadership Model and Resource-Based View Theory (RBV), the research implemented a cross-sectional survey design, gathering data from top management teams of all 52 commercial state corporations in Kenya via purposive sampling, while adhering rigorously to ethical standards during data analysis. The study results revealed that the Pearson correlation coefficient between integrative leadership style and organizational performance was R = -0.730, with a significance level (p-value) of 0.000. This robust positive connection signifies that an increase in integrative leadership style is associated with a substantial improvement in organizational effectiveness. The R Square value was 0.533, indicating that about 53.3% of the variation in organizational performance is attributable to the integrative leadership style. This conclusion underscores the significance of a successful integrative leadership style in improving several facets of organizational performance, reinforcing the notion that leadership styles promoting cooperation and employee engagement provide superior results. The study recommends that commercial state corporations in Kenya priorities and invest in the development of integrative leadership style initiatives. Considering the favorable view and considerable influence of integrative leadership on organizational performance, training programs should specifically emphasize the enhancement of leaders' skills in staff development, promoting ethical conduct, and instilling confidence in subordinates.”