A Behavioral Approach to Leadership Competencies and its Influence on Employee and Organizational Performance in the United Arab Emirates Oil & Gas Sector
Al Matrooshi, Bashaer
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Research-based studies on the behavioral approach to leadership competencies and its influence on employee and organizational performance in the United Arab Emirates’ (UAE’s) oil and gas sector are limited. Therefore, the greatest value of this research lies in its ability to identify key variables that play a significant role in helping organizations perform effectively. The purpose of the research is to ascertain leadership competencies and its influence on employee and organizational performance in the UAE’s oil and gas sector. To attain this purpose, the research focuses on achieving several objectives: (a) to explore the general perceptions about the determinants of organizational performance; (b) to examine the factors that influence organizational performance; (c) to construct a conceptual framework from the relevant literature to identify the determinants that influence organizational performance in the oil and gas sector in the UAE; (d) to propose a model of the suggested framework for leaders; (e) to make recommendations regarding how organizational performance can best be enhanced in the oil and gas sector in the UAE; and (f) to use the research findings to recommend areas in need of further esearch. As part of the research process, the researcher had to develop a conceptual framework from the current literature. This was achieved by reviewing the existing literature on behavioral approach to leadership competencies and its influence on employee and organizational performance and develop a framework that is beneficial for leaders within the oil and gas sector in the UAE. This research undertakes a systematic review of articles on the factors that influence organizational performance. The aim of this systematic review is to collect and summarize all empirical evidence from the literature that fits the context of this study. From the initial literature review, it has been possible to develop a framework for the study. This framework effectively illustrates the roles of cognitive, emotional and social intelligence in leadership competencies, which in turn influence both employee performance and organizational performance. The developed framework was based on empirical investigation to determine whether (and the extent to which) it is applicable to the oil and gas sector in the UAE. This was done using a fully structured questionnaire on 606 first, middle and top managerial level leaders of 17 companies in the UAE oil and gas sector. The data for the study was analyzed using quantitative methods. Leadership competencies were measured using the 24 -item leadership competencies questionnaire developed by Carmeli and Tishler (2006). The instrument used was categorized into three sections that measure each of the following; social, emotional and cognitive intelligence competencies. Employee performance was measured by a questionnaire developed by D’netto et al. (2008) which incorporated 14 skill sets that are crucial in an employee’s performance. Organizational performance was measured using a questionnaire developed by Huselid and Becker (1996). The findings revealed that leadership competencies were statistically and significantly related to employee performance and that this positive correlation impacts organizational performance. Furthermore, social, emotional and cognitive intelligence competencies have a significant effect on forming leadership competencies.