The impact of perceived leadership styles on organizational performance in the public sector: Case study – National Social Security and Insurance Trust (NASSIT)

Leadership plays an important role in shaping organizational performance, particularly within public sector institutions, where leadership styles significantly influence operational efficiency, employee satisfaction, and overall organizational performance. The purpose of the study is to examine the effect of different leadership styles on the performance of NASSIT. Specifically, it investigates how transformational and transactional leadership styles influence employee motivation, organizational culture, and overall service delivery within the public sector.

The study used a mixed-methods approach, combining a survey of NASSIT employees to assess leadership styles and performance, with in-depth interviews of key managers to explore leadership dynamics. The data was analyzed using IBM SPSS statistics to identify reliability, correlations, and regression analysis as well as thematic analysis of interview responses. 

The study found that transformational leadership had a significant positive influence on employee motivation, job satisfaction, and overall organizational performance, while transactional leadership, although having a moderate impact, primarily focused on short-term performance outcomes and lacked the capacity to drive long-term improvements.

The findings indicate that transformational leadership is the most effective style for enhancing performance in the public sector, particularly within organizations like NASSIT. It also highlights the need for public sector leaders to be proactive in adopting leadership styles that align with organizational goals to ensure sustained success. This research contributes to the existing literature on public sector leadership and provides practical recommendations for improving leadership effectiveness at NASSIT, with potential implications for similar institutions in other regions.