The primary aim of the present study is to determine the impact of employee decision making styles on organizational performance. Study also investigates the moderating role of emotional intelligence on the relationship among decision making styles and organizational performance. Data is collected on random sampling basis from 187 banking sector employees. Findings of the study determine that employee’s different decision making styles influence organizational performance differently.
Major findings include that rational and dependent decision making styles have high positive impact on organizational performance while avoidant decision making styles has negative impact on organizational performance. Study further determines that emotional intelligence moderates the relationship among decision making styles and organizational performance. Key words: Decision making Decision making styles INTRODUCTION Organization’s performance is measured considerably based on their financial achievements and growth.
None of any organization wants to have losses and low future growth. Thus managers in the organizations have urge to craft performance in the line of business operations. This performance achievement approach makes the benchmark for the top management to recognize their manager’s efforts and intellectual abilities in making productive business. In order to get sustainable organizational performance, managers have to make decisions in framing their organization’s path towards the achievement of organizational goals. Managers needed substantial information to make sound business decisions thus; managers must have substantial information before making decisions.
Organizational decision making is the basic function of top level executives for most organizations. Although most executives have a specific area in which their decisions directly affect, those decision will affect the organization as a whole in some capacity. Most organizations meet annually to project or forecast next year’s goals, this is where section, area, and or department managers as well ...
As the decisions based on small information are not effective and this poor business decision making are reflected in the organizational performance. However, manager’s decisions affect the organization daily [1, 2]. Astley and Ven (1983)  argue that decision makers have significant influence on a firm’s performance. Holt and Jones (2002)  found that Organizational performance Emotional intelligence emotional intelligence has an impact on organizational performance.
Consequently, the focus of this paper is to evaluate the employee different decision making styles and the impact of these decision styles on organizational performance. Study also investigates the moderating role of emotional intelligence on the relationship among decision making styles and organizational performance. Literature Review: There is an emerging body of knowledge devoted to define the individual decision making styles. The innovation of individual decision making styles and group decision rules have a significant inferences for organizations . Researchers have explored a wide range of individual decision making styles . Such as, Scott and Bruce (1995)  define decision making styles as “the learned habitual response pattern exhibited by an individual when confronted with a decision situation.
Based on this definition, Scott and Bruce (1995)  categorize individual decision making style in to five major categories which deals in turns with rational, intuitive, dependent, avoidant and spontaneous decision making styles. Authors defined decision making styles as.
Intuitive decision making styles is characterized by reliance upon hunches and feelings (c) dependent decision making styles is characterized by search for advice and direction from others (d) avoidant decision making style is characterize by attempts to avoid decision making and (e) spontaneous decisions making styles is characterized by taking sudden and impulsive decisions. However, an individual decision making practices can also be determined in terms of decision rules that generate alternatives for individual decisions . Researchers found that individual try to apply specific rules while making decisions under any circumstances .
These definitions emphasize the presents of individual bases of power or the need for power. Power is left out of management and organization literature because it is incompatible with discussions on ideology and values. - Pfeffer then discusses the functions served by management writing. Management writing focuses on rationality, and efficiency. Discussions on power and politics do not ...
Beatty (1986)  define these decisions rules as an alternative that provide maximum payoff based on all future conditions. Author further explained that an individual examine each alternative and select the option providing highest payoff. By considering these decision rules, Baum and Walley (2003)  found that fast strategic decision making have an impact on organizational performance in terms of corporate reputation, financial performance, employee commitment and growth of organization. March and Sutton (1997)  enlighten firms’ performance as the evaluation in terms of profits, productivity, debt ratios, market share, sales and stock prices.
Bolat and Yylmaz (2009)  defined organizational performance on the basis of seven performance categories. These performance categories include profitability, organizational effectiveness, continuous improvement, productivity, quality, quality of work life and social responsibility. Antony and Bhattacharyya (2010)  expalined organizational performance in a broad sense and define it as the excellent measure of association of all performance variables which influence the organization’s functioning. There is wide range of literature available on the discussion that whether to measure firm performance subjectively or objectively.
The core reason behind this phenomenon is that objective measures are used to be more real but are often restricted in scope to financial data. Subjective measures on the other hand lack concreteness, but equip the researcher with a richer description of the efficiency of an organization as compared to competitors [13, 14]. We used subjective measure in this study for organizational performance because objective measures are more fine-grained than quantitative measures . Many researchers explored the link between decision making and organizational performance.
... Emotional Intelligence,' which he aimed specifically at corporate audiences. 'The competency model uncovers hidden ingredients for success,' he explains. 'The correlations between performance ... problem was emotional. Using a technique called 'emotional resonance,' the team identified the underlying feelings that were driving client decisions. 'Negative emotions were barriers,' ...
Amason (1996)  founds that top management teams make decisions which influence the organizational performance. Allen, Amason, David & Schweiger (1994)  founds that strategic decision making influence organizational performance. Irene, Abdul and Rasheed (1997)  further found that rational decision making have a positive association with organizational performance. Rehman (2011)  propose a theoretical model and argue that decision making styles have an impact on organizational performance.
There Is an Impact of Decision Making Styles on Organizational Performance: Abraham (2000)  founds that an emotionally intelligent individuals have high organization commitment, high success rate  and use positive emotions to enhance their decision making capability. George (as cited in Gardner and Stough, 2001)  argues that emotional intelligence enhances individual ability to get solutions for the problems and to tackle issues and opportunities facing by them and by their organizations as well. Individual within this context, are able to enhance decision making capability through their knowledge and management of emotions and the leaders who are able to correctly recognize emotions are more able to decide whether the emotion is attached to opportunities or problems and therefore use those emotions in the procedure of decision making.
The definition of emotions and its measurement changes with the passage of time. Salovey and Meyer (1990)  define emotions as an organized response which crosses the many psychological subsystems such as psychological, experimental, cognitive and motivational subsystems. At earlier stages, intelligence researcher measures emotions with respect to various subsystems such as occasionally emotions and social emotions (Gardner, 1983)  and consider emotional intelligence as a part of social intelligence (Salovey & Meyer, 1990) .
Salovay and Meyer (1990)  are the first who uses term “emotional intelligence” and define it as the “ability to monitor one’s own and other’s feelings and emotions to discriminate among them and to use this information to guide one’s thinking and actions”. Author further elaborate the concept of emotional intelligence by explaining it through three dimensions of adaptive abilities; appraisal and expressing the emotions, utilizing and regulating the emotions in solving problems. Later on, Goleman (1995)  expanded the construct of emotional intelligence by adding specific social and communication skills which influence by understanding and expression of emotions.
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Theoretical Framework model of emotional intelligence by focusing more on the cognitive components of emotional intelligence. The revised model composed of four categories of emotional intelligence: perception appraisal and expression of emotions; employing and analyzing emotional information; emotional facilitation of thoughts and regulation of emotions for further emotional growth.
Later on many researcher defines and measures emotional intelligence according to the scope of their studies such as GENOS EI Inventory which is specifically designed for workplace emotional intelligence, Bar-On emotional quotient inventory which deeply measures the emotional intelligence construct (Bar-On, 1996)  and Bernet (1996)  developed the Perception of Affect scale based on the basis that being able to focus rapidly, properly and effortlessly to feelings is the keystone of emotional intelligence.. Researchers founds that emotional intelligence also have impact on organizational performance.
Holt and Jones (2002)  concluded that emotional intelligence has an impact on organizational performance. Druskut, Sala, & Mount (2006)  studied the various ways through which emotional intelligence affects organizational performance. Authors concluded that emotional intelligence have an impact on performance, helps in developing international business capabilities and affects many business outcomes. Melita, Ceasar, Gerald, Anthony and Ronald (2003)  founds that emotional intelligence training is an evolutionary means of organizational performance.
Jordan & Troth (2002)  founds that emotional intelligence influence the employee preferred style of conflict resolution which contributes towards the understanding of organizational performance and its determinants. Hypothesis 2: Emotional Intelligence Moderates the Relationship Between Decision Making Styles and Organizational Performance: Based on the above literature, following framework as depicted in Figure 1 is designed for the present study in which decision making styles serve as independent variable, organizational performance as dependent variable while emotional intelligence serve as moderating variable among decision making styles and organizational performance.
Abstract This paper explores the concept of emotional intelligence and the effects on leadership. The articles discussed in the paper analyzed the different array of qualities in emotional intelligence towards leadership. Emotional intelligence is a way of behaving and acting towards situations and people. Leadership styles must adapt to the situations and exhibit empathy at times to support the ...
Population for the study consists of 151 branches of all public and private limited banks located in Gujranwala city of Pakistan. Random sampling is used to collect data from banking sector employees. Data is collected by using questionnaire method. Respondents consist of 16% top level managers, 59% middle level managers and 25% of low level mangers. In addition to this, participants include 83% of males and 17% females. Measure and Procedure: Decision making styles of the employees were accessed using decision making styles questionnaire developed by Bass and Avolio (2000) . The original decision making style questionnaire