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INTERDISCIPLINARY JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS
JANURAY 2011
VOL 2, NO 9
available, championing excellence, Team working. It is proposed that these factors effect and
contribute to the dominant leadership behavior, which are then translated into dominant styles
of leadership, which can effectively bring improvement in employee‘s performance in
multinational pharmaceutical companies based at Peshawar, Pakistan.
Organizations in Pakistan are contemplating the issue of low performance, poor productivity
and decreased job satisfaction. Attempts in this regard have usually been focused around the
processes, procedures, structures and resources to make organizations more productive. Scope
of this study is restricted only to pharmaceutical companies with specific focus on the five
factors such as, Motivation, Promoting standards, Visibility and Availability, Championing
excellence & Team working. These five factors will be considered in analyzing the effect of
leadership on employee‘s performance by introducing innovative culture, planned strategy,
Improve work relationships, enhance quality and performance, humanistic, scientific and
systematic approach and employee learning for effective and healthy organization.
This study will provide useful insight to pharmaceutical companies, in particular, and other
organizations, in general, into the effect of leadership on employees and organization
performance, and the problem areas on which to focus in future for improvement. It will be
particularly useful in making a assessment of the views and perceptions of the different
leaders of the pharmaceutical companies on the subject of the study, and as such the findings
would help in effective leadership behaviors for organizational development. The utility of the
study is not confined to the pharmaceutical companies alone. The other organizations can
benefit from it, as well. And finally this study would provide yet one more set of practical data
and analysis on which to build more of such studies in the context of Pakistan as well as other
developing countries.
2. Previous studies
The concept of leadership is very important and studied in many organizations for their
subsequent relationship with different variables that may ultimately contribute towards more
productive and satisfied employees firms continue to pursue regional and global diversity This
trend places a demand on research to aid business to development and new competitive
advantages, because leaders are the ones who make things happen. Therefore, determining and
explaining the effects of leadership on employee‘s performance is timely and important.
2.1 Leadership
Bass (2000) identified the essence of leadership and pointed out that it has existed for as long
as people have interacted, and it is present in all cultures no matter what their economic or
social makeup. Leadership is not only a human quality; it is found in primitive forms in many
animal species, from low-level vertebrates such as chickens to higher-level primates such as
gorillas and whales. Through observation and experimentation, especially conducted in the
animal‘s own natural setting, it can be deduced that there exists a clear hierarchy or "pecking
order" of leadership and that leadership grants privileges to those who have it. Bass (2000)
suggested that leaders must promote change by creating vision. Theories of transformational
leadership and organizational change emphasize that change is accomplished through the
leader's implementation of a unique vision of the organization through powerful persuasive
personal characteristics and actions designed to change internal organizational cultural forms
and substance.
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