AN INVESTIGATION INTO THE LEADERSHIP CHALLENGES THAT CHARACTERISE STATE OWNED ENTERPRISES IN ZIMBABWE: A Case Study of the Zimbabwe Rural Electrification Agency (REA)
- State Owned Enterprise,
- State Enterprises
Copyright (c) 2019 IJRDO - Journal of Business Management (ISSN: 2455-6661)
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
The study investigated the leadership challenges that characterize State Owned Enterprises (SOEs) in Zimbabwe with specific focus on the Zimbabwe Rural Electrification Agency (REA). Like most State-Owned Enterprises in Zimbabwe and in most countries, REA faced many challenges leading to poor service delivery and huge losses among a plethora of other problems. The study employed a case study approach and questionnaires were administered on 105 respondents. Key informants from selected members from the parent Ministry, REA Board and executive were subject to face-to-face interviews. The study found that some of the leadership problems which led to poor performance at REA included bureaucracy, nepotism, abuse of power, lack of commitment, poor corporate governance practices, lack of accountability, inappropriate leadership styles and poor communication. Employees at REA were generally aware of the vision and mission of the organization. The study found out that inefficiency at REA is partly exacerbated by the fact that it is a monopoly. It was revealed that the organization did not carry out external audits of accounts frequently. The correlation tests showed that there is a relationship between SOE performance and failure to adhere to the principles of good corporate governance. The study recommended that management should be exemplary in their conduct and actively promote employee motivation. The answer could lie in opening REA’s services to competition.
Armstrong, M., (2009). Armstrong’s Handbook of Human Resource Management Practice. 11th Edition. London: Kogan
Avolio, B.J. & Yammarino, F.J. (2002). Introduction to, and overview of, transformational and charismatic leadership. The road ahead. Oxford: Elsevier
Avolio, B. J., & Bass, B. M. (Eds.) (2001). The full range of leadership development: Basic and advanced manuals. Binghamton, NY: Bass, Avolio & Associates.
Avolio, B. J., Bass, B. M., & Jung, D. I. (2009). Re-examining the components of transformational and transactional leadership using the Multifactor Leadership Questionnaire. Journal of Occupational and Organizational Psychology, 72, 441–462.
Bass, B. (2005) Leadership and Performance beyond Expectations. New York: Free Press.
Bass, B. M. & Avolio, B. J. (2009). The implications of transactional and transformational leadership for individual, team, and organizational development. Research in Organizational Change and Development, 4, 231-272.
Bennis, W. G., & Nanus, B. (2004). Leaders: The strategies for taking charge. New York: Harper& Row.
Burnes, B., (2009). Managing Change. Fifth Edition. Harlow, Prentice Hall
Cadbury Report on Financial Aspects of Corporate Governance, 1992Available at: http//www.Accessed 22 July 2012
Creswell, J. W., & Zhang, W. (2009). The application of mixed methods designs to trauma research. Journal of traumatic stress, 22(6), 612-621.
Cumarinha-Matos, L (2012), Scientific Research Methodologies and Techniques, UNINOVA
Forfas, T. (2010), The Role of State-Owned Enterprises: Providing Infrastructure and Supporting Economic Recovery, retrieved from http://www.forfas.ie/publication, accessed 04-02-2017, 1500 hours
Fullan D. (2001). Competency-based leadership for the 21st century. Military Review,79
Gavin J.N., Geoffrey C. Kiel, (2004),"Breakthrough board performance: how to harness your board's intellectual capital ", Corporate Governance, Vol. 4 Iss: 1 pp. 5 -)
Gill, M. (2005). Governing for results: A director’s guide to good governance. Victoria.
Glazunov N (2012), Foundations of Scientific Research, National Aviation University
Goodwin .X Wofford V. and Whittington F (2001) Mindsets for Managers. Working paper, Centre for Leadership Studies.
Hadebe, S., Mandaza, I., Moyo, G., Mutondoro, F., and Ncube, M. J., (2015) Annual State of Corruption Report: Focus on State-Owned Enterprises. Transparency International Zimbabwe. Retrieved from http://tizim.org/wp-content/uploads/2016/05/ Report 1.pdf. Accessed 12-01-2017. 1854 hours
Hafsi (2003). Strategic Issues in State-Controlled Enterprises, Greenwich (CT), JAI Press.
Hill, L, Briefly, F and MacDougall (2003), Research Methods for Managers. Paul Chapman, London
House, R. J. (1976). A 1976 theory of charismatic leadership. In J. G. Hunt & L. L Larson
James, D and Gauldington, H., (2008), Corporate Governance Letters, Mendel-Wesley, Geneva
Khomba J.K and Vermaak FNS (2012). Business ethics and corporate governance: An African socio-cultural framework. African Journal of Business Management, 6(9):3510-3518
Kim, K., Dansereau, F., Kim, I. S., & Kim, K.S. (2004). A multiple-level theory of Leadership Development in SMEs – Phase 1 Report 35
Kingdom Afrasia (2014) Report: State enterprises performance: Can privatization be the answer? Retrieved from http://www.financialgazette.co.zw/state-enterprises- perform ance-can-privatisation-be-the-answer/. Accessed 11-01-2017. 0800 hours
Kothari C (2004), Research Methodology, New Age International Ltd Publishers, New Dehli
Ling, Y., Z. Simsesk, M.H. Lubatkin and J.F. Veiga, (2008). The impact of transformational CEOs on the performance of small- to medium-sized firms: Does organisational context matter? J. Applied Psychol., 93: 923-934.
Marrez H (2015), The role of state-owned enterprises in Romania, Economic Analysis from European Commission’s Directorate for Economic and Financial Analysis, Volume 12 | Issue 1 | January 2015
Megginson, W. L. (2005): Financial Economics of Privatization, Oxford University Press, New York, 2005.
Mutanda, D., (2014) The impact of the Zimbabwean crisis on parastatals. International Journal of Politics and Good Governance. Volume 5, No. 5.2 Quarter II 2014
Ngima W and Kyongo J (2013), Contribution of Motivational Management to Employee Performance, International Journal of Humanities and Social Science Vol. 3 No. 14 [Special Issue - July 2013]
Northouse, P. G. (2004). Leadership theory and practice. 3rd ed. Thousand Oaks, CA: Sage Publications.
OECD Guidelines on Corporate Governance of State-Owned Enterprises of the contents of obituaries from 1974 to 1998. Sex Roles, 45 (11/12), 827 – 843.
Olson F, Decker V., and Johs-Artisensi G. (2006) Leadership and Learning Leadership and Organisation Development Journal Vol 15, Issue 4.
Organization for Economic Cooperation and Development, (2006) OECD Guidelines on Corporate Governance of State-Owned Enterprises. OECD Publishing. Paris Organizational Studies, 11 (1), 27 – 37.
Pergola T.M. and Joseph,G.W. (2011) Corporate Governance and broad equity ownership, Vol 11 No 2 pp. 200-213
Peters, J. E., & Thie, H. (1998). Future leader development of Army Non-commissioned
Porter, M. (2004), Competitive Advantage: Creating and Sustaining Superior Performance. New York: Free Press.
Said, N., Zaidee A, Zahari A, Ali S and Salleh S (2015) Relationship between Employee Motivation and Job Performance: A Study at Universiti Teknologi MARA (Terengganu), Mediterranean Journal of Social Sciences MCSER Publishing, Rome-Italy, Vol 6 No 4 S2
Saunders, M., Lewis, P., & Thornhill, A. (2009). Research Methods for Business Students: Edinburgh: Pearson Education Limited.
Sharma, M and Jain, S., (2013), Leadership Management: Principles, Models and Theories. Global Journal of Management and Business Studies. ISSN 2248-9878 Volume 3, Number 3 (2013), pp. 309-318
The Zimbabwe Independent. (2012) A reflection of public administration crisis. Retrieved from https://www.theindependent.co.zw/2012/05/24/a-reflection-of-public-administration-crisis/. Accessed 13-01-2017. 1500 hours
Thompson, L. (2004). Moral leadership in a postmodern world. Journal of Leadership. Vol.6. No. 2. 2004pp25-35
Thomsen, S. (2004) “Corporate values and corporate governance”, Corporate Governance, Vol 4 No 4 2004 pp. 29-46
Toninelli, P. (2000): "The rise and fall of state-owned enterprise in the western world, Cambridge University Press, Cambridge, 2000
Van den Berghe, L.A.A. and Baelden, T. (2005) “The complex relation between director independence and board effectiveness”, Corporate Governance, Vol.5 Iss: 5 pp. 58-83.
Xu Y (2002), Powering China: Reforming the Electric power Industry in China, (Aldershot: Ashgate) 2002. p.126.
Yin, R.K. (2003) Case Study Research: Design and Method, 3rd Edition. London: Sage.
Yukl, G. (1999). Leadership competencies required for the new Army and approaches for developing them. In J.G. Hunt, G. E. Dodge, & L. Wong (Eds.), Out-of-the-box-leadership.