Understanding the Effects of Organizational Culture and Leadership

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Current trends and previous research in understanding the effects of organizational culture and leadership style continue to contribute to the field of business management. The concepts of leadership style and organizational culture lead to various theories that add to the foundation of understanding business management and to the premise of daily operations. The following literature review focuses on the theories and principles pertaining to leadership styles and organizational climate and culture. Results demonstrate the importance of both variables to the field of management as well as their influence on competitive advantage.
Transformational Leadership Styles
Leadership styles involving transformational leadership have the most influential effect on organizational culture. Numerous studies examine the context of various leadership styles and the advantageous nature each has on organizations. The theory of transformational leaders was first discussed by J.M. Burns, which described and provided theories on transformational leadership (Odentude, 2013). Some studies considered sex as a variable in effective leadership styles and as a determent in leading, while others considered leadership as a trait engineered through genetic composition (Odentude, 2013; Choudhary, Akhtar & Zaheer, 2012). Both studies examine correlations and variables in order to determine the characteristics of transformation leaders and the effectiveness in managing people.
Odentude (2013) researched transformational leaders and their gender to discover if the genders are predisposed to transactional or transformational leadership style. The research comprised of understanding the effects of each style of leadership and organizational ...

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Odetunde, O. J. (2013, June). Influences of transformational and transactional leadership, and leaders’ sex on organisational conflict management behaviour. Gender & Behaviour, 11, 5323-5335. Retrieved from
Schneider, B., Ehrhart, M. G., & Macey, W. H. (2012, July). Organizational climate and culture. Annual Review Psychology, 64, 361-388. DOI: 10.1146/annurev-psych-113011-143809
Shurbagi, A. M., & Zahari, I. B. (2013). The relationship between transformational leadership and organizational culture in National Oil Corporation of Libya. International Journal of Business Administration, 4(4), 26-34. DOI: 10.5430/ijba.v4n4p26
Xiaoming, C., & Junchen, H. (2012, March). A literature review on organization culture and corporate performance. International Journal of Business Administration, 3(2), 28-37. DOI: 10.5430/ijba.v3n2p28
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