The THE EFFECTS OF LEADERSHIP BEHAVIOUR ON THE INNOVATION PERFORMANCE OF SMES IN AFRICA
DOI:
https://doi.org/10.54695/grhu.138.0081Keywords:
Leadership behavior, SME, Innovation Performance, EntrepreneurshipAbstract
Small and medium companies (SMEs) constitute a sector that is crucial in addressing the worldwide demands of 21st-century businesses. To perpetually enhance and maintain the operations of SMEs globally, there is a must for increased innovation stemming from value addition, particularly in developing nations. This necessity facilitates the examination of leadership behavior's impact on the innovative performance of SMEs in Ghana, a nation reliant on the export of a limited number of primary commodities, akin to numerous African countries. A mixed-method research methodology employed a cross-sectional survey to collect 305 responses from business owners and management personnel of SMEs by simple random sampling. A significant discovery is that leaders' endorsement of innovation positively impacts the innovation performance of SMEs. Consequently, numerous recommendations may be proposed. Initially, managers ought to cultivate enduring, trust-based relationships with others to augment the innovation performance of SMEs. Leaders ought to cultivate a personal network of professional contacts. Secondly, leaders ought to synthesize ideas, challenges, and observations into broader settings within organizational operations. Third, when companies actively implement enhancements and innovations, it synergizes with the entrepreneurial acumen of leaders to elevate the innovative performance of SMEs.


