Impact of leadership styles on career adaptability among employees in small and medium scale enterprises in Ghana

Abstract

This study explores impact of leadership styles on career adaptability of employees within small and medium enterprises (SMEs) in Ghana. Employing a quantitative approach, data were collected using a structured 5-point Likert-type scale questionnaire, and analysed through descriptive and inferential statistics. A purposive sampling technique yielded a sample of size 234 respondents from a population of 710 from among the various SMEs. The analysis was conducted using IBM SPSS and Partial Least Squares Structural Equation Modelling (Smart PLS v.4). The findings indicated a significant positive relationship between transformational and transactional leadership styles and the various dimensions of career adaptability of SMEs. The study highlights the complementary roles these leadership styles play: transformational leadership fosters personal growth, innovation, and self-management, while transactional leadership provides structure, measurable goals, and stability. Based on the results, the researcher recommends that government bodies and industry associations recognize the critical role of leadership development in enhancing the performance and career adaptability of employees in SMEs, particularly in developing economies.