| dc.description.abstract | Leadership and governance determines success of organisations of all types and their sustainability hence the interest in
what effective leadership is and how it relates with effectiveness of organisations. Drawing from strategic leadership
model and transformational leadership theory we examined the relationship between human capital focus and
organisational effectiveness in a Kenyan context using cross-sectional survey of 133 managers in savings and credit
cooperative societies. We found that leaders had a moderate human capital focus (M = 3.91, SD = .69), performance was
moderate (M= 3.80, SD = .79) and that three leader human capital focus behaviors reported by followers: ‘considers my
feelings before acting’( r = .324, p < .001), ‘sees that my interests are given due consideration’ (r= .216, p = 0.012)’, and
‘encourages me to be the best that I can be’(r = .508, p < .001), were positively and significantly related with
organizational effectiveness while ‘behaves in a manner which is thoughtful of my personal needs’ (r = .044, p = .616 >
.05) was not significantly related with organisational effectiveness. In particular, inspiring the followers including
encouraging them to be the best that they can be had the strongest relationship with performance. Overall, human
capital focus was moderately correlated with organisational effectiveness (r = .359, p <.001). In addition, consideration
of feelings and encouragement of followers significantly influenced probability of satisfactory performance by increasing
the odds of satisfactory performance by about two times (exp (B) = 1.904) and more than threefold (exp (B) = 3.301)
respectively. However, ‘thoughtfulness’ and ‘attention of follower interests’ did not significantly influence the odds for
organizational effectiveness (satisfactory performance) (thoughtfulness: Wald = 1.781, t = .182, exp (B) = .641; attention
to follower interests: Wald = 1.409, t = .235, exp (B) = .745). These findings suggest that leaders should improve human
capital focused behaviors in order to improve their performance because the practice of these behaviours and
performance were only moderately satisfactory. Further, there is need to conduct further study to determine why
leaders’ thoughtfulness of followers’ personal needs appeared not to significantly relate with performance | en_US |
