DIRE DAWA UNIVERSITY

SCHOOL OF GRADUATE STUDIES

COLLEGE OF BUSINESS AND ECONOMIC

THE ASSESSMENT OF LEADERSHIP PRACTICES AND CHALLENGES

IN URBAN KEBELS OF DIRE DAWA ADMINSTERATION,
EASTERN ETHIOPIA
BY BIRUK ARGAW (Bsc.)
ID NO. DDU1204671

A THESIS RESEARCH PROPOSAL SUBMITTED TO DEPARTMENT OF

MANAGEMENT, COLLEGE OF BUSINESS AND ECONOMIC, DIRE
DAWA UNIVERSITY IN PARTIAL FULFILLMENT OF THE
REQUIREMENTS OF MASTERS OF BUSINESS ADMINISTRATION

ADVISOR: Ass. Professor Aschalew Mulugeta

February, 2020
DIRE DAWA UNIVERSITY, ETHIOPIA
 ACKNOWLEDGEMENTS
First of all, I would like to thank my Almighty God. Next, My deepest gratitude to my principal
Advisor Ass. Professor Aschalew Mulugeta for his valuable advice and cooperation in each step
of my work during class lectures time. I am greatly humbled for all support that I have got from
the kebele administrators who provided me the necessary information about the study areas.
Finally, I would like to thank all my family and my friends who were involved in sharing ideas
and encouragements starting from the beginning of title selection until the end of proposal
development

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 TABLE OF CONTENTS

ACKNOWLEDGEMENTS ............................................................................................................. i
LIST OF FIGURE.......................................................................................................................... iv
LIST OF TABLES .......................................................................................................................... v
ABSTRACT ................................................................................................................................... vi
1. INTRODUCTION ...................................................................................................................... 1
1.1. Background of study ............................................................................................................ 1
1.2. Statement of the problem ..................................................................................................... 2
1.3. Research questions ............................................................................................................... 3
1.4.1. Specific objectives ......................................................................................................... 3
1.5. Significance of the study ...................................................................................................... 4
1.6. Scope of the study ................................................................................................................ 4
1.7. Limitation of the study ......................................................................................................... 4
1.8. Organization of the study ..................................................................................................... 5
1.9. Definition of concepts and terms ......................................................................................... 5
2. LITERATURE REVIEW ........................................................................................................... 6
2.1. Leadership theory ................................................................................................................. 6
2.2. Success and effectiveness of leadership ............................................................................. 10
2.3. The leadership style with employee satisfaction and performance .................................... 10
2.4. Leadership practices ........................................................................................................... 12
2.5. Challenges of leadership .................................................................................................... 14
3. RESEARCH METHODOLOGY.............................................................................................. 17
3.1. The study area description.................................................................................................. 17
3.2. Research design .................................................................................................................. 18
3.2.1. Questionnaire design ................................................................................................... 18
3.3. Procedures of data collection and ethical consideration .................................................... 18
3. 4. Data sources ...................................................................................................................... 19
3.5. Data Collection Techniques ............................................................................................... 19
3.6. Method of data analysis ..................................................................................................... 19
3.7. Sampling techniques and size of sampling ........................................................................ 19
3.8. Population, sample size determination ............................................................................... 20
3.9. Instrument development ..................................................................................................... 22

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4. WORK PLAN ........................................................................................................................... 24
5. BUDGET BREAK DOWN ...................................................................................................... 25
6. REFERENCES ......................................................................................................................... 27
7. APPENDIX ............................................................................................................................... 29

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 LIST OF FIGURE
Fig1: Conceptual framework ..................................................................................................... 16

Fig2: Study area map................................................................................................................. 17

iv
 LIST OF TABLES
Table 1:Table determining sample size ..................................................................................... 21

Table 7 :Table total sample size ................................................................................................ 21

Table 3: Plan of activity for the sudy ........................................................................................ 24

Table 4: Budget breakdown ...................................................................................................... 26

Table 5: Budget Summary..........................................................Error! Bookmark not defined.

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 ABSTRACT
The purpose of this study is to perform the analysis of leadership practice and challenges in case
of Dire Dawa city Administrative office selected kebele’s. Descriptive survey based on cross
sectional study will be used to attain the objective of the research. Nonprobability purposive
sampling methods were used in selecting a total of 384 respondents as sample for the study, A
Questionnaires, interviews and document review techniques will be employed as data gathering
instruments. The collected data will be analyzed using descriptive statistics such as percentage,
bar graph, pay chart, and cross tabulations. The analyzed findings expected to indicate
leadership practice and challenges In Dire Dawa Administrative offices. Lack of awareness of
the society on knowledge and skill of the officers on properly implementation of good leadership
practice has impact on societal outlook, which constrains playing part in leadership practice. To
curb challenges, Dire Dawa city Administration office has taken number of measures that could
be considered as opportunities. In this global competitive environment, effective leadership
practice is necessary to reduce the attrition rate. From the effective leadership practice only, it is
possible to achieve Administration goal, vision and value of the office. Bad Leadership practice
affects the subordinate and management performance and outcome. This research will
summarize and assess leadership practice on different components of Dire Dawa city
Administration office and will try to give the possible alternative solutions that might help to
control challenges and get better leadership practice and challenge. The study will be planned
for eight months from topic selection up to Submitting the final thesis and in each steps of the
activity monitoring will be done by the principal investigator. To accomplish the study
15,940Ethiopian birr required.
Keywords
Leadership, Leadership practice, Leadership style, challenge, performance

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 1. INTRODUCTION
1.1. Background of study
Modern leadership style has vital role, for the development of country, nation as well as
organizations (Khator, jul 2012). In the world history, so many phenomena are happening related
with countries leadership effectiveness or failure (Khator, jul 2012) . Because of good leadership
style and skilled leaders‟ execution capability, countries developed economically, politically,
socially and technologically. At the same condition organizations also developed on execution of
effective leadership. According to (Goitom, 2018) a skilled leader plays significant role towards
the success of organization. On one hand, more failures of organization are attributable to poor
leadership other than any cause (Haruun, 2013). Poor leadership can nullify the soundest
organization. It is the quality of leadership, which usually determines the fate of an organization.
The leader is the agent who helps to smooth the pathway towards goal accomplishment. There is
no substitute for effective leadership (Pintrich, 2000). According to Larraine Contend stated that
the leader‘s role has shifted dramatically in recent years. In the past, the emphasis was more on
the leader as ―boss‖ (Larraine G. a., 2003) .Today leaders must be partners with their people;
they can no longer lead with positional power alone. Leaders must move from the ―command-
and-control‖ role of judging and evaluating to a role of ensuring accountability through
supporting, coaching, and cheerleading. In addition to this (Robert J. , 2003) also say that
organizational leadership does not mean having a boss thinking of a command and then watch as
it is filtered throughout the rank. Organizational leadership, instead, is the ability of management
to understand its employees and company‘s goals enough to bring everyone together.
According to (Goitom, 2012) leadership involves the following significant functions: providing
inspiration to peoples, securing corporation, creation of confidence, providing conductive
environment, implementing change, maintaining discipline among members, representing the
members, goal setting, setting direction for the organization, leading their follower, innovating
new ideas, creating good relationship with their employees as well as customers, and managing
changes in the organization. On the top of the above reason can agreed with (Joseph, 2007) what
he stated that leadership requires native talent, developed abilities, and the ephemeral but critical
qualities of vision, inspiration, imagination, innovation, risk-taking, perspective, passion,
excitement.

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Based on the above critical opinion it is logical to say, leadership practice plays an important role
in providing shared vision and values that are essential for the accomplishment of organizational
objective or goal. (Northouse, 2010) Enhances commitment, by empowering, coaching and
cheers leading which will enable the organization to create heroes at all levels, in the wellbeing
of the organization consistence.
In leadership practices, leaders confront with several challenges in the day-to-day operation, but
the question is how leaders resolve this challenge or change in to opportunity. According to
(Worku, 2012). Leadership challenge is about how leaders mobilize others to want to get
extraordinary thing happen in the organization. It is about the practices that leaders use to
transform values into actions, visions into realities, obstacles into innovations, separateness into
solidarity, and risks into rewards (Worku, 2012). It is about a climate in which people turn
challenging opportunities into remarkable successes. Currently in Ethiopia, service-providing
organization, including government and private are growing in different aspect of social
activities. These social activities marked leadership challenges in every sector and organizational
levels. Therefore, this study designed to empirically examine leadership practice and challenge in
Dire Dawa city administration.

1.2. Statement of the problem

The relationships between the leader and employee, as well as the quality of employees‘
performance, are significantly influenced by the leadership style adopted by the leader (Jeremy et
al., 2011). Leadership style in an organization is one of the factors that play significant role in
enhancing or retarding the interest and commitment of the individuals in the organization
(Obiwuru et al., 2011)
Effective leadership practice enables greater participation of entire work force, and can
positively influence both individuals and organizational performance (Yukl G. , 2012).
Therefore, it is logical to say that the success of an organization is dependent on the effective
leadership practice. Employees also have the major roles and make significant contributions to
the leadership challenge of the Administration. In Ethiopian context, As the main development
agenda of Ethiopian is poverty eradication all development polices and strategies are there for
geared to words this end effective implementation of this leadership practice and empirical
analysis are integrated and comprehensive manner of varies level of leadership style in this
administration office. It needs good leadership practice, which is Trustworthy, enthusiastic and

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need for achievement confident and competent, Inspirational, motivational, coach and
counsellor, Good communicator and well organized, Tolerant, diplomatic and intelligent,
Committed to excellence, Adaptable and flexible. To bring all economic and good leadership
practice and development community will have to respecting construction and leading values.
These forces Administrator to give guarantee for the people are well-respected strengthening
accountability and financial system. To curb challenges Administrator launched a number of
process reengineering and training programs to improve skills and ensure appropriate implication
capacity fanatical mobilization inflation problem, under leadership of industrial, health, mining,
education sector and good leadership practices. One of them is low practice of society in good
leadership related facts and outlook on leadership roles which is initiated to undertake the study
in the area. Thus, the study tries to determine the challenges and leadership practice in Dire
Dawa administrative office.

1.3. Research questions

RQ1. What is the perceived leadership practice being practiced by the leaders at the
Administration office?
RQ2:- What is the level of follower‘s satisfaction with the existing leadership style practice?
RQ3:- What are the leadership often challenges encountered in the day to day practice as
described by leaders?
1.4. Objectives of the study
This section deals with the general objective of the study, which deals with the topic of the study,
and the specific objectives, which deals with the research questions. The general objective of this
research is to assess the leadership practice and challenges, in the successful operation of Dire
Dawa city Administration.

1.4.1. Specific objectives

The specific objectives of this research are-
 Examine the leadership exercise in Dire Dawa city Administration leadership practices
and challenge.
 Examine the employee‘s satisfaction with the leadership engagement.
 Examine the often challenges that are encountered by leaders‘ practice and challenge of
Administration.

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  Identify that affecting the implementation of leadership practices in Dire Dawa city
Administration, Give the possible alternative solutions that might help to control
challenges and get better leadership practice and challenge Administration office

1.5. Significance of the study

The finding of the study will provide data-based information concerning the current leadership
practices and challenges of leadership in the agency. Accordingly, it will enable the leaders of
Dire Dawa city Administration improve their leadership practices and effectively lead the
implementation in their respective agency goals. To this end, all the agency employee,
customers, top, middle and lower level leaders will be benefited from the findings of the study.
Above all, well-conceived assessment of the behavior and the act of the members of the Dire
Dawa city Administration. Leadership team will benefit the leadership team members
themselves. Such an assessment should be considered as an opportunity to gather the right
information about effectiveness of their leadership in their effort to transform the Dire Dawa city
Administration. The result of the study can provide the Dire Dawa city Administration leader‘s
feedback about areas of strengths and weaknesses so that they can plan ways to improve their
performance. It can also give the leaders an awareness regarding the need to improve their
leadership competence throughout their careers to meet the mounting challenges of their jobs.
Besides, it might also serve as a springboard for the future researchers.

1.6. Scope of the study

This study focused on specifically to investigating the leadership practice and challenges in Dire
Dawa city Administration. Focusing on strategic, technical and operational employee. Regarding
to sample, the research will try to use manageable number of respondents from employees,
leaders. In addition, the research will try to cover the available recent year‘s data, 2017 up to
2020 regarding to employee data and agency profile because it will be relevant for the time
being.

1.7. Limitation of the study

In conducting this study, the work will be more thorough if the two rural kebele and one urban
city administrations of Dire Dawa city covered. However, to make the study more manageable
and accomplishable as well as to know the attitudes of the leaders, it will be tried to focuses only
on sampled leaders‘ practice and challenges in Dire Dawa city Administration. In this regard, the

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study will be carried out in Dire Dawa Administration in three Administration office of the city.
There is no sufficient data on the historical data of leadership style practices and challenges in
the study area.

1.8. Organization of the study

This research report will be organized into five chapters. The first chapter will be deal with the
introductory parts including - background of the study, statement of the problem, general and
specific objectives, research questions, significance of the study, scope of the study, limitation of
the study, definition of terms and organization of the study ; chapter two contains review of
related literatures; chapter three contains research design and methods; chapter four dealt with
research analysis, results and discussions and chapter five contains conclusions,
recommendations and limitations of the study and suggestions for further research will be
presented. Reference and appendix parts were also included at last session.

1.9. Definition of concepts and terms

Leadership - Leadership is the process of sharing & coordinating the organization vision to the
followers to overcome problems and to achieve the goals and objectives of the organization.
Leadership Practice – Leadership practice is actions and strategies leaders will take and
implement in order to consistently help their team better themselves, and attain organizations‘
goals.
Leadership Challenge – leadership challenges are the difficulties or new things which needs an
individual leader‘s required skills and ability to accomplish a desired goal.

Administration office – Administration office is one that is operated by the government often
provide services for citizens regardless of the person's ability to pay

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 2. LITERATURE REVIEW
2.1. Leadership theory
When we look at the various definitions and ideas about leadership, it is not hard to conclude that
the concepts of leadership are all over the map. For example, some adherents uphold concepts of
servant leadership. Others talk about visionary leaders. Other terms, such as transformational
leadership, also show up in the literature. And there are lots more. There are also definitions that
draw a distinction between leadership and management, with some displaying a sense that being
a leader is somehow superior to being a manager. In reality, most leaders engage in some form of
management, and all managers should demonstrate leadership. Even employees who are not in
management display leadership among their colleagues and teams. Leadership is a process by
which a person influences others to accomplish aims or objectives, using their capacity to
motivate, inspire and influence others. Leadership is related to other management concepts such
as motivation, communication, authority, power and delegation, it is the relationship through
which one person influences the behavior and actions of other people.
Leadership or management style is about the way a relationship is handled between a manager
and their sub-ordinate(s). Generally, two contrasting leadership or management styles exist.
Democratic leadership styles reduce the power differential between a manager and subordinate,
this management style is based upon the principles of democracy and social equality. A
democratic manager will ask for opinions from subordinates, and will amend their original idea
or decision, if required, from consultation. Participation from all sub-ordinates is encouraged.
Autocratic leadership styles which are a more a bossy way of managing sub-ordinates, based
upon centralized decision making by the manager, who is often impatient, aggressive and
dominating. An autocratic manager would not encourage participation in decision making from
their sub-ordinates. The position as a manager gives the authority to accomplish certain tasks and
objectives, but this power or influence, perhaps through official job title, does not make a
manager a leader. Being a manager makes you the boss, but being a leader means to motivate,
inspire and influence others e.g. followers, to achieve aims or objectives, not just from bossing
them around. Natural leaders have the power to initiate action without any formal authority.
Leadership trait theory is centuries old and based on the idea that there are certain personality
traits that an individual may be born with that make them successful leaders. The idea that
leadership is in your genetics and something you are either born with or not. In summary leaders

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are different types of people from followers and are born to be leaders; However, this theory has
been widely criticized. In response to this developed the behavioral theory of understanding
leadership that is theorists who began to research leadership as a set of behaviors, evaluating the
behavior of successful leaders, determining situational approaches to leadership and identifying a
broad range of different leadership styles. They turned attention to what leaders did and how they
behaved or could behave towards their sub- ordinates. Behavioral theories of leadership support
the idea that behavior of leaders distinguishes them from their followers and also that leadership
is a skill that can be taught.

Laissez-Faire Leadership

These leaders practice the art of delegation, in which the leaders are hands –off and allow group
members to take a decision. There is not much interference between leaders and followers, they
usually avoid responsibility, don‘t have feedback mechanism and delay the decision making
(Bass & Riggio., 2015 ;Samad.et.al. , 2006) this style of functioning doesn‘t involve in the
meaningful transaction and does nothing to affect the follower‘s behavior outcomes. They
usually avoid getting involved in the decision making and work progress and allow things to
happen (Chowdhury, 2014)and also have a weak relationship with organizational citizenship
behavior (Malik et, 2016)

Transactional Leadership

During the late 1970s and early 1980s, the research on leadership moved in different direction
from the specific perspectives of the leader, leadership context, and follower and toward
practices that focused on the exchanges between the leaders and followers. Transactional
leadership theory looks at exchange of wants between followers and leaders.

This style involves close monitoring and taking corrective action as and when they occur
(Obiwuru,et al.,2011; Avolio & Afshinpour,2007).Transactional leadership is usually
characterized as instrumental in follower‘s goal attainment using carrot and stick approach (Bass,
1997 ; Samad.et.al.,2015)Transactional leaders expect certain work behaviors from their team
members or followers who are compensated for these behaviors by both monetary and
nonmonetary rewards. Power and influence is also part of transactional leadership style and is

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more applicable in corporate management style of functioning. It can sometime be compared to
autocratic leadership style when there is more power over their followers with regards to making
staff inputting to management decisions ((Lyons & Schneider ,2009 ; Samad.et.al.,2015)

Transformational Leadership

According to Yukl, 2011Seeks to ―raise the consciousness of the followers by appealing to the
ideals and moral values rather than to materialistic desire‘s or negative emotions‖ (Yukl, 2011).
On the basis of agreement to involve followers in the process (activities) towards organization to
achieving common goals and returns distinguishes transformation leadership from other previous
and contemporary theories. This style helps followers to accomplish their commitment and
renew them (Avolio,2011; Afshinpour,2014) The leader motivates, inspires and transforms
followers to perform while transcending self-interest for the betterment of the organization
(Avolio,2011; Afshinpour,2014) inspires his followers to go and achieve goals beyond their
personal interest for the benefit of the group or organization. He also identified this style as a
process where people engage with others in such a way that they raise their level of motivation
and morality. They promote intellectual development, confidence in the team; build team-spirit
and enthusiasm by motivating and encouraging the followers towards achieving organizational
goals (Aydin & Sarier, 2013 ; Uysal Cho &Dansereau,2010; Samad.et.al.,2015)

Situational Leadership

Hersey and Blanchard proposed the situational theory based on the appropriate leader behavior
depending on the maturity (degree of motivation, competence, and accepting responsibility) of
the leader‘s followers. As the follower‘s maturity increases from high to low, the leader needs to
move gradually from high task-oriented behavior to low task -oriented behavior. The theory
claims that it‘s possible for a task-oriented leader to change his style to become employee
oriented leader based on the situation. (Peretomode.O, 2012)Argues that effectiveness of
successful leaders is those who can change their style according to the situation and their
effectiveness depends on identifying the level of follower‘s maturity and adapt to their leadership
style. (Farmer,2012; Afshinpour, 2014)Leaders can use this style for learning and development,
as it develops independence and competence among employees to communicate openly to fulfill
organizational goals and employee satisfaction.

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Servant Leadership

Servant leadership can be found in many religious texts, though the philosophy itself transcends
any particular religious tradition. Servant leadership is based on concepts taken from religious
faith (Spears, 2008; Samad.et.al., 2015; Sendjaya. et, al.,2010)identified ten characteristics of
servant leaders (i.e. Listening, empathy, healing, awareness, persuasion, conceptualization,
foresight, stewardship, commitment to the growth of others, and building community in the
writings of Greenleaf. (Iarocci, 2017)Author of Servant Leadership in the Workplace, identifies
3 key priorities (developing people, building a trusting team, achieving results), 3 key principles
(serve first, persuasion, empowerment) and 3 key practices (listening, delegating, connecting
followers to mission) that distinguish servant leadership in the workplace context. (Joseph J. and
Iarocci, 2017)Servant Leadership in the Workplace: A Brief Introduction (Cairnway, 2017)
(Yukl, 2011)clarifies the primary concern of the leader should be to develop, mature and protect
followers/team members. The major difference between the transformational leadership and
servant leadership is based on the focus of the two kinds of leadership. It is debated that
transformational leaders focus on organization and organizational goals, whereas the servant
leaders focus on followers (Samad.et.al , 2015).

Authentic & Ethical Leadership

Authentic leadership is another emerging and ethical leader behavior which focuses on positive
values. The theories talk about consistent values and behavior of leaders. They include honesty,
altruism, compassion, optimism and resilience (Yukl, 2011) ―Authentic leadership as root
constructs that can incorporate transformational and ethical leadership‖ given that there is an
overlap with transformational leadership theory (.Samad.et.al,2004; Avolio.Gardner &
Walumbwa.Luthans,2015)Ethical leaders seek to build mutual trust, respect and social justice
among the followers and find solutions to conflicts among the stakeholders..

Strategic Leadership

According to House and Aditya (Ozera, et, al.,2014)describe the research on strategic leadership
is mostly theoretical and case studies, not much work is done using empirical studies. Based on
recent researches on the leadership behavior, many styles are relevant to strategic leadership.

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(Gardner. et. al.,2010; Ozera et al.,2014) Have called for more research on strategic leadership
in a recent review. The Strategic leader needs to influence others to enhance their performance
towards the success of long-term organizational goals by managing change, handling ambiguity
and providing right direction to the group by aligning workgroups to implement change.

2.2. Success and effectiveness of leadership

According to Michael (2011) leadership has a direct cause and effect relationship upon
organizations and their success. Factors that influence leadership effectiveness include the
leader‘ s Personality, past experience and expectations; the superiors‘ expectations and behavior;
the subordinates characteristics, expectations and behavior; the requirements of the task; the
organizational climate and policies; and the expectations and behavior of peers. These factors
also influence the leader in turn. The influence process is reciprocal involving leaders and group
members. Leader‘s personality, past experiences and expectations: The leader‘s personality or
past experience helps his or her leadership style. It does not mean that the style is unchangeable.
It is important to note that managers, who attempt to adopt a style that is very inconsistent with
their basic personality, are unlikely to use that style effectively.
The leader s expectations are another component of leadership. Evidence has shown that, for a
variety of reasons, situations tend to work out the way we expect them to; this is sometimes
referred to as self-fulfilling prophecy. In fact, one study found that new leaders who were told
that their subordinates were low performers managed in a much more attractive manner than new
leaders who were told that their subordinates were high performers.
―The unexamined life is not worth living‖ So self –assessment, learning through approaches to
solve realistic problems can be way forward towards leadership development. Leadership
development is work in progress; continuous effort must be made to practice for being effective
in workplace. Organizations must look at long term development approaches and must create a
culture of learning and development to further continue and approach towards developing leaders
(Vries. K.M. & Korotov. K, 2010)

2.3. The leadership style with employee satisfaction and performance

To implement good leadership style in an organization, the leaders should understand position of
supremacy, task structure, expertise, and leader member relation. Having appropriate leadership
is importance to be success in management and organization because the success or failure of

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organizations often attributed to it. It is a widely held belief that leaders do make difference and a
significant impact on the work performance and satisfaction of individuals, group and the overall
accomplishment of set goals and objectives. Therefore, in this section summarized the different
literatures and empirical evidences review regarding to the relationship between leadership style
with employee satisfaction and performance consequently.
(Saleem. Hina, 2014). From the public universities of Pakistan, 217 teachers sample population,
result shows transformational leadership has positive association with job satisfaction, which
means that transformational leader through their inspiring and motivating behavior can induce
changes in psychological states of members of organization. However, negative association
between transactional leadership and job satisfaction found, which means that transactional
leaders are more concerned with achieving organizational goals through giving rewards or
punishments and have less concern with motivation of the members of organization. (Sheikh Ali,
2014)Research finding also from 60 instructors from selected universities in Mogadishu
especially those who held permanent positions. The result indicated that there is a positive and
significant relationship among transformational and transactional leadership and job satisfaction.
Specially, there is a strong relationship between transformational leadership style and job
satisfaction while there is weak relationship between job satisfaction and transactional leadership
compare with transformational leadership style. That means the instructors prefer
transformational leadership than transactional leadership.
On the other hand, (Hafiz Ali Javed, 2014) research result shows from the sample of 230
participants from different branches of five private banks, transactional leadership style is the
main leadership style that can increase the employees‟ job satisfaction significantly due to strong
positive correlation with their job satisfaction. (Crawford and Rich, 2015)Agreed on
transactional leadership is found to enhance the employee satisfaction as compared to
transformational leadership.
On one hand regarding to leadership style and employee‘s performance, the empirical review
shows the following. (Muhammad.peter, 2016) Empirical test, shows from the sample of 224
full-time employees over in the kebeles sector. The study shows that there is a positive
relationship between transformational leadership and employee performance outcomes. But,
laissez-faire leadership style showed negative relationship with employee performance
outcomes, in terms of effectiveness, and employee satisfaction. In addition to that, (Jyoti.Bhau.,

11
2015)agree on transformational leadership behavior is positively related to outcome, while
transactional leadership behavior is usually negatively related to the long-term performance.
Transformational leadership has positive in hence on employee self- efficiency, motivation,
creativity and organizational performance. (Ebrahim, 2016) Conclude on their research both
transformational and transactional leadership styles govern employee attitude towards their
leaders, job performance and organizational productivity. Contrary, the leaders who are passive
or use laissez-faire leadership style considered least effective and have negative impact on
followers‘ performance outcomes and productivity.
According to Ethiopian context different literatures view shows the following, As (Worku
2013)research finding, he confirm on results of the study, there is significant relationship
between leadership behavior and employees performances. As his conclusion democratic
leadership style positively affected employees‟ performances while autocratic leadership, style
affected negatively on employees‟ performance. In addition to that, (Solomie, 2010) Democratic
leadership and transformational leaders are enables to create productive and (selfdevoted
workers. Rahel 2014) The study also showed a significant correlation of the two parameters,
performance and employee satisfaction. Conducting on her study, she identified that the
transformation leadership style as the most appropriate for modern-day organizations, which
contributed. However, the autocratic behavior of the leadership stored a negative input against
employee performance.
From this empirical review, the researcher informed that employee performance and satisfaction
is heavily relying on leadership style, and it can play a vital role in determining the performance
of employees. Leaders may use different leadership style according to the situation and particular
approach. So, leaders must carefully analyze, what kind of leadership they should adopt and
adjust their leadership style, if they to want to increase employee performance and satisfaction.
In general, in this global competitive environment, effective leadership style is necessary to
reduce the attrition rate of the employee performance and satisfaction.

2.4. Leadership practices

Leadership styles are the way or system leaders used to motivate their followers to achieve the
objectives of the organization. Different scholars have been undertaking numerous researches in
the area of leadership that the more emphasis was given to the influence of selected behavior on
their leadership style. The view of the studies conducted in the field leadership is focused on

12
three issues. The first focus is the influence of leader‘s perception to an individual leadership
style, the second focus is on the perception of followers to leaders‘ leadership styles & its
characteristics of influence and the third focus is on perception of both leaders and followers to
the leadership styles (Karthikeyan, 2015).
Furthermore, leadership has a greatest contribution on organizations performance in which the
success or failure of proper organizations, nations and other social units has been largely credited
to the nature of their leadership style (Ladino al, 2013). Hence, leadership styles are the main
indicators of leaders‘ behavior to influence followers in an organization.
The most important thing to accept leadership challenges, leaders should follow the exemplary
leadership practices which is identified and used by any one in any organization.
Modelling the Way begins with the clarification of personal values and involves building and
affirming work cultures that all can embrace, Inspiring the shared vision means leaders are
driven by their clear image of possibility and what their organization could become, Challenging
the process is those who lead others to greatness seek and accept challenge or accept the
creativity and innovation of others, Enables others to act by fostering collaboration and
strengthening others or simply empowering and Encouraging employees by recognizing their
contributions and celebrating values and victories
According to Rao (2010) in his book revealed that Japan‘s, India‘s, USA‘s and China‘s countries
leadership practice implications (Rao, 2010). Japan‘s leader act as a social facilitator and group
member while in India leader act as a boss and as a social facilitator and group member
depending up on situations where as in USA and in China leader act as a head for groups and
decision maker. Leadership style practices in Japan partly autocratic and partly democratic but in
India paternalistic style, in USA and China commonly used style is directive styles. In terms of
developing followers, both Japan and India take care of follower‘s development where as in
USA and China does not take care of the follower‘s development. The communication systems
in organization for both USA and China mostly top-down system but in Japan communication
system in both ways and in India communication system preferably top-down, but resorts to both
ways if necessary. Face- to face confrontation avoided in Japan and China, while face-to-face
confrontation in USA is common but in India confrontation initially, & compromise at a later
stage. In Japan, China and India there is a common value where as in USA often different values.

13
2.5. Challenges of leadership
In globalization, the world class leaders face great challenges in their day to day activities. These
challenges emerged from external, internal and the leaders itself.
Researchers identified six the main challenges which faces leaders Gentry et al., (2016); these
challenges classified in the following manner:
Developing Managerial Effectiveness - The challenge of developing the relevant skills—such
as time management, prioritization, strategic thinking, decision-making, and getting up to speed
with the job to be more effective at work,
Inspiring Others- The challenge of inspiring or motivating others to ensure they are satisfied
with their jobs; how to motivate a workforce to work smarter,
Developing Employees - The challenge of developing others, including topics around mentoring
and coaching,
Leading a Team - The challenge of team-building, team development, and team management;
how to instill pride in a team or support the team, how to lead a big team, and what to do when
taking over a new team,
Guiding Change - The challenge of managing, mobilizing, understanding, and leading change.
How to mitigate change consequences, overcome resistance to change, and deal with employees‘
reaction to change and Managing Internal Stakeholders and Politics - The challenge of managing
relationships, politics and image. Gaining managerial support and managing up; getting buy-in
from other departments, groups, or individuals‖ (Gentry et al, 2016).
Increasing pace of change. Is one of the public sector organizations leadership challenge which
facing public leaders. In order to survive and succeed an organization must be knowledgeable
about how to implement appropriate organizational changes that will be accepted by its
employees. The question of survival is relying on leader‘s implementation of appropriate change
for a given sectors.
Technological developments. Technological development goes through timely base in order to
fit current internal and external requirement of the organization. Technological advancement
requires highly skilled man power to accurately implement the program.
Technological advances extend the possibility of global economy which has changed the way
people do business and communicate. Technological advancement has not only save time and

14
money for a greater organizational profit and a better quality of life but has also created a global
village with shared regulation, language, and values.
Citizen Empowerment. Globalization makes people very equipped to undertake the challenges of
the activities. Therefore, this equipped society expects sophisticated and quality service from
their respective leaders. Currently, the public in general search relevant information with the help
of modern technology & this makes them empowered citizen. The other empowerment may be
from the law of the country give the right to do.
Changing workforce and changing environment. Working with different work force is important
to acquire different skills and knowledge but bringing them in a common understanding is a
challenging activity for global leaders. Making comprehensive analysis of environment is very
important to overcome the leadership challenges. (Schofield,2008; Ferguson et al.,2014)Stated
that there are many challenges in the public sector organizations from which leading change,
influencing followers and developing managerial & personal effectiveness in public sector
organization is the great challenge for today public leaders.
(Tesfaye, 2014) Identified the challenges public service sector organizations‘ leaders‘ faces is
related with leader‘s personality challenges to implement public service reform programs. They
stated that the real leadership challenges are associated to lack of effective leaders and lack of
adequate knowledge and skill for implementing the projects.
2.6. Conceptual framework

Human development, from the perspective of good leadership, can be evaluated by many
leadership principles and indicators. Various administrations have developed a list of indicators
to assess leadership practice. For the purpose of this study the practice of good leadership in
relation to man power development in administration office.
Seven good leadership practice dimensions will be considered in this study for analysis of
empirical analysis of leadership practice in Dire Dawa administration office.
These are Trustworthy and a good listener, Enthusiastic and need for achievement, Confident
and competent, Inspirational and motivational, Coach and counsellor, Good communicator and
well Organized, Tolerant, diplomatic and intelligent, Committed to excellence, Adaptable and
flexible. These variables are comprehensive, appropriate and most representative and found to be

15
useful in understanding and measuring better good leadership practice issues based on the
practices.

Perceived leadership

Challenges 0f Satisfaction
leadership

Leadership style

Fig1: conceptual framework

16
 3. RESEARCH METHODOLOGY
3.1. The study area description

Dire Dawa City in the east of Ethiopia, bordering the regions of Oromia and Somali. The Dire
Dawa Administrative Council consists of the city of Dire Dawa and the surrounding rural areas.

This study will be undertaken in Dire Dawa administration city. Dire Dawa city will be selected
purposively to undertake this research because in the study area there are observed leadership
practice problems

These huge Administration organizations needs modernized leadership to satisfy the needs of
the customers in the organizations. Therefore, identifying and assessing leadership practices and
challenges in this study area Dire Dawa Administration city is very critical.

Fig2: study area map

17
3.2. Research design
As it is clearly stated in the objectives the main purpose of this study is to analyze the leadership
practice and challenges in case of Dire Dawa city Administrative. To get these objectives a
descriptive research method was employed. In order to carry out this research it will be important
to contact Dire Dawa dwellers‘, delegates of Dire Dawa council, civil servants and officers. To
collect information from office informant‘s questionnaires will be used. The questionnaires will
be two types: closed and open-ended. Two kinds of questionnaires will be prepared for sample
respondents of the study area. Structured questionnaires will be used to collect information by
interviewing the governmental officers and civil servants, who had close relation to civil service
reforms. The questionnaire prepared for civil servants set in English and translated to Amharic
language by the data collectors that contained closed and open-ended questions.

3.2.1. Questionnaire design

The layout of the questionnaire was kept very simple to encourage meaningful participation by
the respondents. The questions were kept as concise as possible with care taken to the actual
wording and phrasing of the questions. The reason for the appearance and layout of the
questionnaire is of great importance in any survey where the questionnaire is to be completed by
the respondent. Besides, all questions in the questionnaire were adopted from other sources. The
questions that were used in the questionnaire are five-point Likert scale type and open-ended
questions. The type of scales used to measure the items on the instrument is continuous scales
(strongly disagree to strongly agree).

3.3. Procedures of data collection and ethical consideration

Firstly, the questionnaires and interview are prepared in English and in Amharic to collect
feasible information from the sample population. Then clear orientation and training will be
given for the data collectors before interview and questionnaire are conducted. Given the nature
of this research, there are certain ethical considerations that need to be taken into consideration.
In the first instance, all participants will be treated with respect and courtesy. A strategy of
‗informed consent‘ will be adopted, with the aim and methods of the research being made clear
to all participants. The confidentiality and anonymity of individual respondents will be assured.

18
3. 4. Data sources
The data used to this study included both primary and secondary data sources. Primary data
which will directly collected from the respondents while secondary data relied on published and
unpublished materials, such as internet, books, magazines, reports and journals.
Primary Sources
To realize the target, the study used a well-designed questionnaire as the best instrument. This
will be completed by employees of the selected organization.
Secondary source
Secondary data from files, pamphlets, office manuals, circulars, and policy papers were used to
provide additional information where appropriate. Besides, a variety of books, published and/or
unpublished leadership documents, websites, reports, and newsletters were reviewed to make the
study fruitful.

3.5. Data Collection Techniques

Questionnaire
A questionnaire with both open-ended and close-ended question items have been originally
Prepared in English and then translated into Amharic to collect information from delegates, Civil
Servants, and dwellers were fill up the questionnaire and focal persons were used.
Interview
Both structured and un-structured manner of face to face (personal) interview will be conducted
to obtain accurate information from delegates, Civil servants, dwellers‘ and other concerned
bodies.

3.6. Method of data analysis

Data collected through the above-mentioned techniques will be organized by using descriptive
statistical tools such as percentages, tables, graphs and figures through SPSS and other software.
Hence both quantitative and qualitative approaches were employed in the research to come up
with the thesis report.

3.7. Sampling techniques and size of sampling

In order to obtain a representative sample of respondents for this study, nonprobability purposive
sampling methods are used. A number of factors also determined options for sample survey.

19
These required less time and produced quick answer, more economical, and detailed information
and high degree of accuracy because it deals with relatively small number of respondents.

3.8. Population, sample size determination

The respondents were selected purposively because of their heterogeneous nature. And Stratified
Sampling technique was applied to assess leadership practices in the selected Dire Dawa
administration office. After stratum of the administration members it is used a random sampling
technique to select from each stratum. This enabled to gather different data from the respondents
that had different responsibilities in the selected administration office.
Dire dawa administration has 9 urban and 38 rural kebele. Among 9 urban kebeles in the city
administration for the purpose of this study three kebele purposely selected. As such, kebele 02,
kebele 06, kebele 09 is selected therefore, total population of dire dawa city in 2020 is 408,000,
and 320 households are randomly recruited for quantitate data. It was tried to get if there could
be a readymade list of household‘s elders, kebele administrator and other concerned authorities
were recruited for qualitative data. Thus, 64 individuals purposely selected for qualitative data.
Hence, a total of 384 subjects are participated in this study.
Sample size = ( ) ( ) ( )
s = required sample size.
= the table value of chi-square for 1 degree of freedom at the desired confidence level (3.841).
N = the population size.
P = the population proportion (assumed to be .50 since this would provide the maximum sample
size).
d = the degree of accuracy expressed as a proportion (.05).
No calculations are needed to use Table 1. For example, one may wish to know the sample size
required to be representative of the opinions of 26,042 high school teachers relative to merit pay
increases. To obtain the required sample size enter Table 1 at N = 26,042. The sample size
representative of the teachers in this example is 368. Table 1 is applicable to any defined
population.

20
 Table 1:Table determining sample size
N= population size
S=sample size
The relationship between sample size and total population is illustrated in Figure 1. It should be
noted that as the population increases the sample size increases at a diminishing rate and remains
relatively constant at slightly more than 384 cases.
The population was divided into sub-groups on the basis of core operational functions so that:
Administration Sub-group Population Sample
Dire Dawa city Kebele 02 8000 122
Administration Kebele 06 8680 128
Office Kebele 09 9360 134
Total 26040 384

Table 2:Table total sample size

21
After determining the sample size, respondents were selected from Administration office based
on proportional allocation as shown in the above table. In selecting the representatives following
the method of proportional allocation under which the sizes of the samples from different strata
are relatively kept proportional to the sizes of the strata. Thereafter, every respondent was
selected randomly from each stratum to give equal chance of selection since the study targeted to
all of the workers.

3.9. Instrument development

The instruments are developed based on the objectives of the study and research questions. The
principles of questionnaires such as, use simple and clear languages, statements should not be too
long and the use of appropriate punctuations is also considered when developing the instrument.
Design of the Instruments
The instruments were designed in such ways that they can strengthen the viability of the study.
The questionnaires were designed in the English language.
Instrument Validity
Validity is the degree to which a test measures what it purports to measure (Creswell, 2009:190-
92). Validity defined as the accuracy and meaningfulness of the inferences which are based on
the research results. It is the degree to which results obtained from the analysis of the data
represent the phenomena under study. The validity of the questionnaire data depends on a crucial
way the ability and willingness of the respondents to provide the information requested. In this
study to assure of the quality of the data pretested questionnaire will be used. Pretest of the
questionnaire will be employed prior to actual data collection period among 5% of the study
sample on in kebele 02 not included in this study.
Measurement instrument
From the types of measurement instruments the study uses semi-structure questions in the
interviews and both closed and open-ended types of questions in the questionnaires. The
questionnaires contained standard questions as used by Rob johns, (2010) involving the
construction of multiple‐ item measures, known as Likert scales. These instruments usually
require respondents to give their level of agreement or disagreement, which can range from 1 to
5, to the statements/questions/items that indicate relative levels. In the interviews the researcher
modified and adjusted questions to evaluate the good governance application and practices,
customer satisfaction and challenges and provided vital information about the interview to get

22
the need data through the interview from the interviewees based on their individual perspectives
and experiences through direct discussion.
Explanatory variables
Motivation: Hilda ‗s (2006) questionnaires are adapted and used to measure motivation. The
item's reliability and validity will be checked while adapting them for analysis. 17 items elicit
expectancy, instrumentality, and valences of outcomes which measured on the five-point Likert
scale ranged from strongly disagree (1) to strongly agree (5).
Ability: Ability measures an individual employee ‗s capability to perform a given job. For work
units that predominantly require ―crystallized intellectual abilities‖ and absence of
entrepreneurship, the relationship between ability and performance is weak with experience
(Kanfer and Ackerman, 2004). Hence, the squared root of the total experience of each employee
was used to proxy the respective ability.
Sex of the Employees (Gender): This is a dummy variable that takes the value of one of the
employees is male and zero otherwise.
Employee’s Age (Age): It is measured in several years. The age of an employee can positively
or negatively affect their job performance. In other words, with age, an employee can show low
performance or high performance while executing the assigned work. There are possible job
Performance differences between older and younger workers. However, there are mixed results
as to the direction of influence. It was hypothesized that Age is non-linearly related to individual
performance.
Employee’s Education level in schooling (Education): It is a continuous variable and is
measured in years of formal schooling of the individuals. Education plays an important role in
the performance of employees in their job. Further, education is believed to improve the
readiness of the employees to accept new ideas and innovations. Therefore, an employee with
better educational level has a chance to effectively and efficiently perform their tasks that
enhance organizational performance.
Marital Status (Mart.): It is a dummy variable that takes 1 for married employees and 0,
otherwise.
Training: Training is one of how employees acquire new knowledge and skill and it is measured
with a five-point Likert scale which ranges from ―Poor to ―Excellent‖.

23
 4. WORK PLAN

S. Activities Jan 2021 -Aug2021

No

May
Apr

Aug
Mar

Jun.
Jan.

Feb

Jul.
1 Topic selection
2 Proposal finalization
3 Proposal defense
4 Prepare for field work
5 Selection & training of
Data collector and
supervisors
6 Pre-test

7 Data collection
8 Data entry and processing

9 Data analysis and thesis

write up
10 Final defense
11 Submitting final thesis
draft
12 Monitoring overall
activities

Table 3: Plan of activities for the study

24
 5. BUDGET BREAK DOWN
To conduct this study different materials and transportations, labor power (labor cost) will be
necessary. In order to accomplish the study a total sum of 15,940 Ethiopian birr will be required
as the purpose described in statement and detail break down illustrated on the table below. The
price and pays are determined by the current and local market of goods and labor. All financial
cost is to be self.

S. No Budget category Unit of Unit price Multiplying Total price (ETB)

measure (ETB) factor

01 Personal cost Individual Daily wage Number of person

x working days

Supervisor Each 200 2*10 4,000

Data collector Each 150 4*10 6,000

Language translator Each 200 2*1 400

02 Equipment and Item Cost per No of item
Supplies cost item
Questionnaire Page no. 1 1536 1536
duplication
Printing and Binding Each 120 10 1200

Pen Each 6 8 48

Pencil Each 3 20 60

Sharpener Each 6 6 36

25
S. No Budget category Unit of Unit price Multiplying factor Total price
measure (ETB) (ETB)
03 Transport and Round trip Cost per No of trips/item
communication cost individual (ETB)
Transport Trip 50 4*50 200

Mobile & card Each 100 5 500

Training Cost/ item No. of days

Hall rent 400 3 1200

04 Total 15,180

05 Contingency (5%) 760 Contingency

(5%)
Grand total 15,940 Grand total

Table 4. Budget breakdown

Budget summary

S. No Budget Category Total cost (ETB)

01 Personnel cost 10,400

02 Equipment and Supplies cost 2,880

03 Transport and communication cost 700

04 Training 1200

05 Contingency 760

Grand total 15,940

Table 5. Budget summary

26
 6. REFERENCES
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outcome. Newyork: tamera schnieder.
Avolio,2011; Afshinpour,2014. (n.d.). transformational leadership. soud arebia:
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Bass, 1997 ; Samad.et.al.,2015. (n.d.). transformation and charismatic leadership. canada: mind
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Chowdhury. (2014). impact of transformational and servant leadership on. santa clarita: gulf
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Crawford and Rich. (2015). educational leader and manager. london: segapub.
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Gentry et al. (2016). how to be boss everyone wants to work for. benton: scholar.utc.edu.
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Goitom. (2018). leadership skill. addis abeba, ethiopia:
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Hafiz Ali Javed, H. (2014). transactional leadership style. PAKISTAN: private bank.
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Karthikeyan. (2015). how effective leadership can facilitate change. usa: global journals inc.
Khator, A. A. (jul 2012). role of leadership in organizational development. Mombasa Kenya:
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Larraine, G. a. (2003). the new face of leadership, 2003. newyork: AMACO.
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 7. APPENDIX
Questionnaire
Dear respondents, this questionnaire is designed to obtain reliable information on the
―Assessment of leadership practice and challenges in Dire Dawa city Administration‖. The
information obtained will be used only for academic purposes and for the successfulness of the
study your response should have great contributions. Therefore, you are kindly requested to give
genuine information.
Assessment of leadership practice and challenges
Please mark (√) your response to each statement according to the following five-point scale in
terms of your own agreement and disagreement of the statement. For open ended questions write
your own opinion and feeling.
5= Strongly Agree, 4= Agree, 3= Neutral, 2= Disagree, 1= Strongly Disagree
If you chose any of the statements given in the questionnaire, you should mark (√) for your
choice.
Dear respondent if you have any inconvenience contact me by the following addresses.

With Best Regards!

By: Biruk Argaw
Phone No: +251938341760,
Email: birukargaw490@gmail.com

29
Instruction: Kindly provide the following information. Please, tick (√) or (X) as appropriate.
General information Question
1,Gender
Male

Female

2,Age Below 30
31-40 years
41-50 years
Above 50 year

3,Education Diploma
Bachelor degree
Master‘s degree
PhD degree

4,Experience Less than five year

6-10 years
11-15 year
Above 15 years

5,Level of job position Administrator/supervisor

Manager/ department level
General / deputy manager
Staff

30
Instruction: The item below shows major outsourcing contribution to the organization. Please
tick the number that you feel most appropriate, using the scale from 1 to 5 (Where 1 = Strongly
Disagree, 2 = Disagree, 3 = Neutral, 4 = Agree and 5 = Strongly Agree).
Leadership challenge dimension questions SA A N DA SD
(5) (4) (3) (2) (1)

Public reform program implementation

1,Among change tools balance scored card [ ] [ ] [ ] [ ] [ ]
measurement implementation were organized
manner in organizations
2, Periodical meetings and feedback systems in [ ] [ ] [ ] [ ] [ ]
organizations were going in appropriately.
3,A pace of change in organizations [ ] [ ] [ ] [ ] [ ]
Challenge related with leadership role
4,Effectively influencing followers to achieve the [ ] [ ] [ ] [ ] [ ]
organizations goal
5, Effective communication of the organizations [ ] [ ] [ ] [ ] [ ]
activities.
Challenges related with technology applications.
6,Employees interest within organization [ ] [ ] [ ] [ ] [ ]
7,Customers & government interests outside the [ ] [ ] [ ] [ ] [ ]
Organization
Challenges related with technology applications
8,ICT using skill [ ] [ ] [ ] [ ] [ ]
9,ICT infrastructures development [ ] [ ] [ ] [ ] [ ]
Satisfying different stakeholders
10,Employees interest within organization [ ] [ ] [ ] [ ] [ ]
11,Customers & government interests outside the [ ] [ ] [ ] [ ] [ ]
Organization

31
 SA A N DA SD
Perceived leadership practice (5) (4) (3) (2) (1)

1, In my sector leadership skill gaps were assessed for [ ] [ ] [ ] [ ] [ ]

training in a regularly organized manner.
2, Continuous leadership training programs are [ ] [ ] [ ] [ ] [ ]
provided in my sector to enhance leader‘s skill &
knowledge.
3, In my sector includes improving all human, [ ] [ ] [ ] [ ] [ ]
conceptual and technical skills of the leader.
4, Follow-up and support/coach systems to improve [ ] [ ] [ ] [ ] [ ]
Leaders skill are undertaken in my sector
5, In my sector includes improving all human, [ ] [ ] [ ] [ ] [ ]
conceptual and technical skills of the leader.
6,Follow-up and support/coach systems to improve [ ] [ ] [ ] [ ] [ ]
leaders‘ skill are undertaken in my sector
7, In my sector leadership skill gaps were assessed for [ ] [ ] [ ] [ ] [ ]
training in a regularly organized manner.
8, Continuous leadership training programs are [ ] [ ] [ ] [ ] [ ]
provided in my sector to enhance leaders‘ skill &
knowledge.
9, In my sector includes improving all human, [ ] [ ] [ ] [ ] [ ]
conceptual and technical skills of the leader.
10, Follow-up and support/coach systems to improve [ ] [ ] [ ] [ ] [ ]
leaders‘ skill are undertaken in my sector

32
1, how satisfied with current leaders
A, Very satisfied C, somehow satisfied
B, Satisfied D, not satisfied at all

Interview Questions
1. What does leadership mean to you?
2. How do you influence your employees as a leader in the sector and which leadership style
appropriate to your organization?
3. What are the leadership challenges in your sector?
4. How to resolve leadership challenges?
5. What are the strategies used to develop leadership in your sector?
6. What are the implementation gaps of developing leadership strategies?

33