Open Access
American Research Journal of Business and Management
ISSN (Online): 2379-1047
DOI: 10.46568/arjbm
Employee Commitment on the Relationship between Blue Ocean Leadership Style and Organization Performance
Moi University, Kenya.
Dr. Jane Chepngeno Sang, “Employee Commitment on the Relationship between Blue Ocean Leadership Style
and Organization Performance”, American Research Journal of Business and Management, Vol 9, no. 1, 2023, pp. 72-79.
Abstract
A major ingredient in most non-performing organizations is poor leadership. Blue ocean leadership (BOL) is a new style,
which aims to achieve a leap in an organization’s leadership, quickly and at low cost, by engaging previously disengaged
employees, leading to improved performance. However, a few studies have explored BOL in Kenya’s organizations. The
aim of this study was to determine the relationship between BOL and organization performance (OP) in four selected
companies on Nairobi Securities Exchange (NSE) and determine the moderating role of employee commitment (EC) on the
relationship. Specifically, the study assessed the effect of BOS on organization performance and determined the moderating
role of EC on the relationship. The study first assessed the companies’ current (‘as-is’) leadership canvases, developed
alternative leadership states, and selected leadership profiles that could best unlock disengaged employees, which were
validated against each company’s performance. The sample consisted of 144 employees from the four companies in Eldoret
Town, selected from a target population of 224, by stratified random sampling. Data were collected using questionnaires
and interview schedules. Findings showed a significant and positive effect of BOL (β = 0.298, p<0.0001) on OP. Companies
which outperformed others had senior managers who delegated duties, removed bureaucratic bottlenecks and spent
more time analyzing and espousing the company’s future. Middle managers in these companies coached, motivated
and served their customers (junior employees), and not their bosses. Employee commitment was found to moderate
the relationship between BOL and OP. The study concluded that BOL significantly improves employee commitment and
engagement, leading to better OP. Thus, companies should implement BOL to improve their OP.