SERVANT LEADERSHIP AND EMPLOYEE WELL BEING IN NIGERIA (CASE STUDY ON CHEVRON OIL AND GAS)

ABSTRACT

The study investigates the effect of servant leadership on employee well-being in Nigerian organizations. The research adopted a descriptive survey design, utilizing a sample of 316 employees randomly selected from a population of approximately 1500 workers at the company's Lekki-Ajah branch. Data was collected through an online questionnaire, which was structured into two sections: one covering the bio-data of respondents and the other exploring the relationship between servant leadership styles and employee well-being. Data analysis was conducted using simple percentages and frequency counts while the hypotheses were tested sing Chi-square. Findings from the study revealed that leadership styles characterized by active listening, empathy, and persuasion significantly enhance employee well-being. These results align with existing literature on the positive effects of servant leadership in various organizational settings. It was concluded that adopting leadership styles focused on employee well-being can improve job satisfaction, engagement, and overall performance. The study recommends that Chevron Oil and Gas, and similar organizations, adopt leadership strategies that prioritize these qualities to foster a more motivated and healthier workforce.

CHAPTER ONE

1.1 Background to the Study:

Every organization globally prioritizes employee well-being since it is intrinsically linked to critical organizational outcomes, including employee retention, productivity, profitability, loyalty, and customer satisfaction (Shaver, 2019). An employee whose well-being is adequately addressed exhibits commitment and excitement for their job and actively contributes to enhancing the organization's reputation. Employee well-being significantly contributes to the organization's growth and development, since elevated levels of employee well-being enhance productivity. A better employee well-being also influences the enhancement of organizational citizenship behavior and job productivity (Shaver, 2019). During periods of stress, like as the Covid-19 outbreak, employee well-being is crucial in organizational processes; thus, management must prioritize employee well-being at work and in other organizational activities during crises.

Improved employee well-being fosters heightened motivation among employees, hence augmenting productivity and organizational profitability. Furthermore, settings that motivate employees through better welfare package in their job duties promote organizational commitment, customer happiness, and staff retention (Mehta & Mehta, 2013). Individuals whose needs are well catered for completely commit themselves physically, intellectually, and emotionally to fulfill job responsibilities. Employee well-being includes motivation of all kinds, incentives, health well-being and so on (Saks, 2016). Personnel who enjoy better well-being arrangement demonstrate elevated enthusiasm, passion, and dedication, using their talents and expertise to meet client needs and achieve goals.

In contrast, employees whose well-being are neglected demonstrate diminished productivity and organizational loyalty, along with increased stress and absenteeism (Richman, 2016). Numerous elements may facilitate or impede employee well-being at work, such as management self-efficacy and the supportive atmosphere (Harter et al., 2022). Mehta and Mehta (2023) identified the consequences of employee well-being to be trust and honesty, job qualities, communication of performance goals, growth possibilities, organizational commitment, and team work. Employees with poor well-being are more prone to fatigue, sickness, cynicism, and ineffectiveness (Maslach

• Leiter, 2021). Given the correlation between well-being and significant business results at both human and organizational levels, exploring additional elements that affect well-being is likely to be beneficial.

Organizations that provide services face challenges in meeting the varied demands of customers; therefore, well-being is crucial in the service sector, where frequent interactions necessitate that employees uphold a favorable brand image while delivering superior service. Moreover, service positions often need employee enthusiasm and collaboration within teams to guarantee the provision of high-quality client care. The intricacy of work activities and the environment necessitates that service companies give superior internal service (e.g., from leaders to subordinates) to enable the provision of exceptional service (i.e., from employees to consumers).

Research has shown that work happiness is mostly contingent upon the quality of interpersonal relationships. A leader assumes a pivotal position inside an organization. Leaders that foster positive relationships via career development will significantly improve work well-being (Ding, et al., 2022). Consequently, leaders must consistently dedicate much time and effort to comprehend their own leadership style and its impact on their personnel. While some conventional leadership styles exhibit qualities akin to servant leadership, much discourse has addressed their deficiencies in fostering employee work satisfaction. Transformational leaders provide customized attention to their followers via support and encouragement, inspire them by conveying a clear vision, and provide intellectual stimulation by fostering challenge, creativity, and learning (Bass, 1985). Authentic leaders possess self-awareness, lead with empathy, and prioritize long-term objectives, fostering the development of their followers (Kruse, 2023). Ethical leaders prioritize adherence to fundamental principles, a vision that encompasses service to others, the enactment of virtuous behaviors, and the inspiration and motivation of others via these activities (Centre for Ethical Leadership, 2024).

Numerous leadership models and styles exist; however, the servant leadership concept has been a topic of study in recent years. Servant leadership fosters a pleasant work atmosphere, improving employees' feeling of belonging, job satisfaction, and organizational loyalty (Ding, Lu, Song & Lu, 2022). Hashim, Khattak, and Kee (2017) established an association between servant leadership and work satisfaction in their research. Several researchers have discussed the influence of servant leadership on work satisfaction, as well as the effect of job satisfaction on employee loyalty and organizational success in their research.

Servant leadership is a leadership approach that prioritizes the interests of followers above those of the leader (Joseph & Winston, 2005). Studies carried out Liden et al, 2021 and William, 2022 demonstrated that servant leadership enhances employee well-being by emphasizing follower growth, community building, genuine leadership, and shared leadership. The most definitive sign of servant leadership is the propensity of followers to adopt servitude themselves. McCann, Grave, and Cox (2024) contend that the objective of servant leader influence is not to command people but to inspire and enable followers to engage in service and stewardship independently. Servant leadership promotes the use of integrating and compromising conflict management techniques among workers in professional environments to stimulate employee well-being (Maiti et al. 2020).

Bambale (2024) said that servant leadership consistently contributes to employee well-being, enhances morale, and positively impacts individual and organizational performance. Servant leadership consistently seeks to cultivate and retain high-potential people, so supplying the business with good management capabilities, resources, and competitive human assets (McGraw

• Taylor 2004). Likewise, conflict management techniques influence an employee's success and well-being within a company (Kellett, Humphrey & Sleeth, 2009). Servant leadership practices in an organization significantly influence staff turnover rates (Aziziha, FarajiHajirasouliha, Mousari
• Zakaria, 2023).

Leadership styles for long have been considered an important factor in the aspect of influencing employee performance, happiness and their general wellbeing, this case study focuses on servant leadership which is one of the many leadership styles in question. The influence of leadership on employee wellbeing and productivity is found to be even more significant in the oil and gas industry’s unpredictable setting. An excellent case study to investigate how servant leadership influences employee well-being is Chevron, an important contributor in the oil and gas industry.

Employee well-being includes physical, emotional, and organizational health and wellness, which is strongly related to Sustainable Development Goals (SDG) 3:- (good health and well-being) and (SDG) 8:- (Decent work and economic growth). Understanding the relationship between servant leadership and employee wellbeing could bring up practical solutions to encourage and develop a more sustainable, motivated and productive relationship in the workplace. Consequently, this research is aimed at examining the effect of servant leadership on employee well-being in Nigerian organizations.

1.2 Statement of the Problem:

Human resources are critical elements that may significantly impact the viability of a firm or organization. Siagian (2024) asserts that the success of a company is influenced by several factors, with human resources being one of the most critical, as they are the agents involved in all stages from planning to evaluation, capable of leveraging the organization's or company's other resources. Hence, prioritizing employee well-being in an organization should be the goal of any organizational leadership. Effective leadership style such as servant leadership may significantly enhance employee well-being (Handoyo & Setiawan, 2017; Winarno & Hermana, 2019). In an organizational environment, employee well-being is a critical factor for a corporation to attain optimal outcomes. Employee well-being may be enhanced with increased work satisfaction, leading to improved organizational performance (Fakhri et al., 2019).

Effective employee well-being positively impacts organizational success (Irawan et al., 2015; Silvianita & Tan, 2017) and facilitates the attainment of career objectives for the individual (Fakhri et al., 2017). Despite that many researchers has carried out studies on leadership style and employee well-being, there is still a dearth in research on servant leadership and employee well-being in Nigeria, hence, the current research is considered timely.

1.3 Objectives of the Study:

The main objective of this research is to examine the effect of servant leadership on employee well-being in Nigerian organizations. The specific objectives are:

1. To examine the effect of leader’s active listening on employee well-being.
2. To establish the role of leader’s empathy on employee well-being.
3. To determine the effect of leader’s persuasiveness on employee well-being.

1.4 Research Questions:

1. What is the effect of leader’s active listening on employee well-being?
2. What is the effect of leader’s empathy on employee well-being?
3. What is the effect of leader’s persuasiveness on employee well-being?

1.5 Research Hypotheses:

HO1: Actively listening leaders does not significantly affect employee well-being in Nigerian organizations.

HO2: Leadership with empathy does not significantly affect employee well-being in Nigerian organizations.

HO3: Persuasive leadership does not significantly affect employee well-being in Nigerian organizations.

1.6 Scope of the Study:

This study will cover the effect of servant leadership on employee well-being in Nigerian organizations. It will also cover the effect of servant leadership on employee commitment, loyalty, job performance and team collaboration in Nigerian organizations. It will also cover Chevron oil and gas in Lagos State, covering issues spanning 2020-2024.

1.7 Significance of the Study:

The following are the significance of this study:

1. The outcome of this research will enlighten the government, policy makers, business professionals, management experts, stakeholders in the business sector and the general public on the effect of servant leadership on employee well-being in Nigerian organizations.
2. Findings from this study will also lead to effective policy formulation at national and state level which is aimed at addressing the effect of servant leadership on employee commitment, loyalty, job performance and team collaboration in Nigerian organizations.

1.8 Limitation of the Study:

This study faces several limitations,

1. Access to internal data from Chevron may be restricted due to confidentiality policies.
2. Employee responses might be biased due to fear of repercussions.
3. Time constraints which is due to balancing this study with other academic work which consequently will cut down on the time devoted to the research work.

Financial constraint- Lack of proper funds would reduce the efficiency of sourcing for relevant materials, literature or information and the process of data collection (internet, questionnaire, and interview).

Despite these limitations, efforts will be made to mitigate their impact through careful planning and execution.