According to Abbas & Asghar ( 2010) Organizational leadership refers to the ability of the management to acquire and protect the company benefits by understanding the needs of employees and company objectives and bringing them together to work in a healthy environment to achieve common goals (Sansom 1998). Effective leadership is thus a vital element in establishing direction of the organization and motivation to employees in order to achieve set targets in the company .It plays an important role in the growth, development and nurturing of the company by helping the working team overcome internal and external challenges, promoting change by the organization’s vision and strategies and allocation of resources.
A good culture is cultivated in an organization from good leadership whereby trust is built between leaders and employees leading to a positive impact to the organization (Hao & Yazdanifard 2015).They state that good leadership shapes a positive culture in the organization because it inspires trust from employees (Ionescu, 2014).Good culture leads to improved performance, good behavior and attitude by employees and a sense of belonging which brings about loyalty and commitment to the organization (Schein,2010). Such a culture reduces internal conflicts and does not give room for racial, religious nor cultural discrimination, but rather, encourages healthy competition and motivation to employees to be innovative
In conclusion, it is evident that good leadership in an organization is the backbone of the company because all the performances and outcome in organization solely depends on it. It has worthy benefits to both the leaders and employees which make the running of operations in the company easy and effective.