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Democratic or Autocratic Leadership Style?Participative Management and its Links to rewarding Strategies and Job Satisfaction in SMEs

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  • Joanna Dyczkowska
  • Joanna Dyczkowska

Abstract

The paper aims at detecting relations between participative management and rewarding strategies as well as employees’ job satisfaction in SMEs. Unlike many studies which examine effectiveness of rewarding policies from a managerial perspective, the article takes employees’ point of view. The empirical part of the paper presents conclusions resulting from analyses of: employee strategic awareness, involvement in goal-setting processes and integration in discussion on company performance, linked to diverse rewarding systems applied in Polish enterprises. Results presented in the paper refer to data from 93 SMEs and 86 large companies, collected at the turn of 2013 and 2014. The authors’ research contributes to the discussion on rewarding strategies, demonstrating that involvement of employees in managerial activities is a precondition for developing performance-based rewarding strategies, and that such involvement makes employees more satisfied with their work. Thus the paper fills in the research gap on linking leadership styles with forms of and satisfaction with remuneration systems.

Suggested Citation

  • Joanna Dyczkowska & Joanna Dyczkowska, 2018. "Democratic or Autocratic Leadership Style?Participative Management and its Links to rewarding Strategies and Job Satisfaction in SMEs," Athens Journal of Business & Economics, Athens Institute for Education and Research (ATINER), vol. 4(2), pages 193-218, April.
    • Handle: RePEc:ate:journl:ajbev4i2-5
    DOI: 10.30958/ajbe.4.2.5
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    References listed on IDEAS

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    1. Scott, Thomas W. & Tiessen, P., 1999. "Performance measurement and managerial teams," Accounting, Organizations and Society, Elsevier, vol. 24(3), pages 263-285, April.
    2. Radu OGARCA & Liviu CRACIUN & Laurentiu MIHAI, 2016. "Leadership Styles In Smes: An Exploratory Study In Romania," Management and Marketing Journal, University of Craiova, Faculty of Economics and Business Administration, vol. 0(2), pages 283-298, November.
    3. Mina Simona, 2012. "The Romanian centralized organizations' resistance to change," Constanta Maritime University Annals, Constanta Maritime University, vol. 18(2), pages 313-320.
    4. Yong Wang & Panikkos Poutziouris, 2010. "LEADERSHIP STYLES, MANAGEMENT SYSTEMS AND GROWTH: EMPIRICAL EVIDENCE FROM UK OWNER-MANAGED SMEs," Journal of Enterprising Culture (JEC), World Scientific Publishing Co. Pte. Ltd., vol. 18(03), pages 331-354.
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    Cited by:

    1. Ghadah Alarifi & Nawal Abdalla Adam, 2023. "The Role of Participatory Leadership and Employee Innovative Behavior on SMEs’ Endurance," Sustainability, MDPI, vol. 15(3), pages 1-13, February.
    2. Petrus Maasalo & Henri Teittinen, 2023. "A conceptual framework for exploring management control style within psychological empowerment," International Journal of Business and Management, International Institute of Social and Economic Sciences, vol. 11(1), pages 1-18, May.

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