The relationship between leadership style, organisational culture and organisational commitment within African banking corporation

Abstract

Organisations in Africa are facing major challenges, many of them resulting in restructuring, reengineering and downsizing. Work environments have become more complex and sophisticated. The need for effective leadership, organisational culture and organisational commitment has become more critical. Previous research studies have found that specific types of behaviour, found in transformational and transactional leadership models are positively related to organisational commitment and also that some leadership behaviours found in transformational and transactional leadership models are also positively related to organisational culture. Other research studies have found no such relationship. Yet no research studies have examined how all the three constructs, leadership style, organisational culture and organisational commitment are interrelated. Therefore, this study will be unique in that it will help fill the gap. This research project therefore sought to investigate the relationship between transformational leadership, organisational culture and organisational commitment within African Banking Corporation (ABC). ABC is a financial institution that is headquartered in Botswana. Other ABC regional offices are in Mozambique, Tanzania, Zambia, Zimbabwe and a representative office in South Africa. The transformation of Heritage Investment Bank into African Banking Corporation Holdings (ABCH) was a result of organic growth, mergers and acquisitions a process which started in 1995 to 2000. ABC Zimbabwe was then created in 2000 following the merger of First Merchant Bank Limited (FMB), UDC Holdings Limited and the Bard Group of Companies.