LEADERSHIP STYLE AND EMPLOYEE PRODUCTIVITY: A STUDY OF SMALL AND MEDIUM ENTERPRISES IN ONDO STATE

ABSTRACT The study investigates the relationship between leadership styles and employees' productivity (A case study of small and medium enterprises in Ondo State). Three (3) variables of leadership style that were examined are; autocratic leadership style, democratic leadership style, Laissez-faire leadership style in relationship with the dependent variable employees' productivity. Cross sectional survey research design was used for this study with population of 1,060,393, using convenient probability sampling technique, a sample size of 177 was selected while also 177 respondent's questionnaires were retrieved for analysis. From the result of the analysis carried out using multiple Regression (MRA), it was discovered that Democratic Leadership Style (DLS) and Autocratic Leadership Style (ALS) were positively and significantly related to Employees' productivity (EP) while, Laissez-Faire Leadership Style (LLS) shows a positive but insignificant relationship with Employees' productivity (EP). The study concludes leadership style should be practiced because of its creativity as well as performance and supportive nature also, knowledge can easily be shared amongst employees when organizations are using a leadership style and thus promoting organizational culture and improving overall productivity. In light of the research findings, it is recommended that SME leaders in Akure adopt situational leadership styles—strategically applying autocratic leadership for control, using democratic leadership where appropriate, avoiding laissez-faire in key areas, and conducting regular leadership audits to align styles with organizational goals.