American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 134 | P a g e PARTICIPATORY MANAGEMENT AND EMPLOYEE PERFORMANCE IN MANUFACTURING FIRM IN ENUGU STATE, NIGERIA Emeh Ndidiamaka Chioma Ph.D Department of Business Administration, Enugu State University of Science and Technology, Nigeria. DOI: https://doi.org/10.5281/zenodo.15024368 Abstract: The study examined the effect of the Participatory Management on Employee Performance in manufacturing firms in Enugu State Nigeria. The specific objectives are to; examine the effect of Leadership styles on Employee Performance in evaluating the effect of Communication on Employee performance in manufacturing firms in Enugu State Nigeria. A descriptive research survey was adopted for the study. A structured questionnaire was used to collect data for the study. Data collected were analyzed using both descriptive and inferential statistics with the aid of the Statistical Package for Social Sciences (SPSS). While descriptive statistics was used to describe the socio-demographic characteristics of the respondents, Simple linear regression analyses were used for further analysis. All the hypotheses were tested at a 0.05 level of significance. The result revealed that Leadership styles significantly positively affect Employee Performance with a value of (F = 29.618; p = 0.002), while Communication Styles significantly positively affect Employee Performance (F = 21.371; p = 0.003). The study concluded that Participatory Management has a significant effect on Employee Performance in manufacturing firms in Enugu State Nigeria. The study recommended among others training programs for managers to develop inclusive leadership skills. Focus on fostering empathy, active listening, and collaborative decision-making in other to improve employee performance. Keywords: Employee, Management, Participatory, Performance 1.1 Introduction Participatory management represents a progressive shift in organizational leadership, emphasizing the involvement of employees at all levels in decision-making processes. Rooted in democratic principles, this management approach seeks to create an inclusive work environment where the insights, expertise, and contributions of employees are actively solicited and valued (Okiomah, 2020). Unlike traditional hierarchical models, participatory management fosters a culture of collaboration and shared responsibility, aiming to leverage the collective intelligence and creativity of the workforce (Beauty, & Aigbogun, 2022). The essence of participatory management lies in its ability to empower employees, mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 135 | P a g e making them integral to the organizational decision-making fabric. By encouraging open communication, transparency, and mutual respect, this management style helps in building trust and engagement among employees. In such an environment, employees are more likely to feel a sense of ownership and commitment to their work, driving higher levels of motivation and productivity (Sigroha Aand Gaurav 2021). One of the key advantages of participatory management is its potential to enhance organizational performance through improved problem-solving and innovation. When employees are given the opportunity to contribute their unique perspectives and ideas, organizations can benefit from a broader range of solutions and approaches. This inclusive decision-making process not only enhances the quality of decisions but also fosters a more dynamic and adaptable organizational culture. Moreover, participatory management can significantly improve job satisfaction and employee morale (Jaafaru, et al 2023). By involving employees in decisions that affect their work and recognizing their contributions, organizations can create a more fulfilling and supportive work environment. This, in turn, can lead to higher retention rates, as employees are more likely to remain with organizations where they feel valued and engaged. In addition to its impact on employee performance and satisfaction, participatory management also aligns well with contemporary trends towards corporate social responsibility and ethical business practices. By promoting a culture of participation and inclusivity, organizations can enhance their reputation and build stronger relationships with stakeholders, including customers, investors, and the broader community (Okiomah, 2020). Enugu State, Nigeria, recognized for its industrial potential, is witnessing a transformative shift towards sustainable manufacturing practices. Within this context, firms' management style plays a crucial role in shaping organizational outcomes. Among the various management approaches, the participatory management style has garnered significant attention for its potential impact on employee performance. The participatory management style offers a promising pathway to achieving these goals in sustainable manufacturing firms, where operational efficiency and resource optimization are paramount. The manufacturing sector in Enugu State is uniquely positioned to benefit from participatory management practices. The region's evolving industrial framework, coupled with an increasing emphasis on sustainability, necessitates a workforce that is not only skilled but also highly motivated and engaged (Okiomah, 2020). This study aims to explore the effect of the participatory management style on employee performance in sustainable manufacturing firms in Enugu State, Nigeria. It seeks to understand how this management approach influences key performance indicators such as productivity, Leadership styles, Communication Styles, job satisfaction, and employee retention. 1.2 Statement of the Problem In the context of manufacturing, firms in Enugu State, Nigeria, face the dual challenge of maintaining operational efficiency while adhering to environmental and social sustainability standards. The management style adopted by these firms plays a critical role in addressing this challenge. Participatory mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 136 | P a g e management, characterized by the active involvement of employees in decision-making processes, is posited to enhance employee performance and, by extension, contribute to organizational sustainability. However, there is limited empirical evidence on how this management style specifically affects employee performance in the sustainable manufacturing sector within Enugu State. This research aims to bridge the gap in understanding by investigating the effect of participatory management style on employee performance in sustainable manufacturing firms in Enugu State. The study will examine how employee involvement in decision-making processes affects their motivation, communication skills, engagement, leadership, and overall performance. Additionally, it will explore the specific challenges and opportunities that arise when implementing participatory management in the context of sustainable manufacturing in this region. By addressing these issues, the research seeks to provide actionable insights for managers and policymakers aiming to enhance employee performance and achieve sustainability goals in the manufacturing sector of Enugu State. 1.3 Objective of the Study The main objective of this study examines the effect of Participatory Management on Employee Performance in Manufacturing firms in Enugu State Nigeria. The specific objectives are to; i. Examine the effect of Leadership styles on Employee Performance in Manufacturing firms in Enugu State Nigeria. ii. Evaluate the effect of Communication Styles on Employee Performance in Manufacturing firms in Enugu State Nigeria. 1.4 Hypotheses of the Study i. Leadership styles have no significant effect on Employee Performance in Manufacturing firms in Enugu State Nigeria. ii. Communication Styles has no significant effect on Employee Performance in Manufacturing Firms in Enugu State Nigeria. Review of Related Literature 2.1 Conceptual Review Participatory Management Participatory management refers to the management approach where the subordinates of an organization are fully involved in the active management and decision-making processes of the organization (Ogbo, et al (2016). Participative style can be defined as a management style based on informing employees about important aspects of business development and their participation in decision-making and solving business problems, especially those that concern them. The main aim is to use their potential, knowledge, and motivation, increase their job satisfaction, and strengthen their identification with the company, but at the same time gain their understanding of the new measures or changes in the company. Consequently, workers feel more valued and strive to achieve management objectives. Participatory management focuses on empowering team members to participate in the mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 137 | P a g e decision-making process. In addition, Participatory Management (PM) is often used interchangeably with employee empowerment or participative decision-making. When employees are empowered they are motivated since they control and make decisions on most aspects of their jobs, Urban, (2011). Empowerment must be followed by accountability so that caution is an exercise in spending. Rolkova and Farkašová (2015) observed that the stability of a team depends primarily on factors such as employees’ empowerment, involvement, satisfaction, and friendly communication between colleagues in the workplace. Team structure brings together people with different skills to meet a particular objective. Being part of a team permits every person in a company to perform great roles that will, in turn, create value for the organization. Managers know that employees are the key facilitators who deal face-to-face and directly with the customers and satisfy their needs. To gain a competitive advantage and beat the competition in today’s business world such that decisions to stay ahead of global or domestic competitors are made, this form of management is adopted by many manufacturing organizations, (Okiomah, 2020). Leadership styles Leadership is a social influence process in which the leader seeks the voluntary participation of subordinates to reach organizational goals. A leader can be defined as a person who delegates or influences others to act to carry out specified objectives. Leaders usually exhibit a style of leadership as they motivate and inspire their followers. Leadership style, therefore, refers to how a leader chooses to lead and interact with their followers (Northouse, 2018). It reflects the leader's behaviors, attitudes, and actions in influencing and directing others. Leadership style has a huge influence on how a leader makes decisions, communicates expectations, motivates followers, and creates a work environment. Leadership style is an expression of the leader's leadership approach. It reflects the leader's preferences, values, and beliefs about how to effectively lead and influence others. There are several leadership styles and these different leadership styles can impact the dynamics, productivity, and culture within an organization or group in several different ways. Today’s organizations need effective leaders who understand the complexities of the rapidly changing global environment. If the task is highly structured and the leader has a good relationship with the employees, effectiveness will be high on the part of the employees. Styles of Leadership Transformational Leadership Style The transformation leader has charismatic capabilities, induces moral values, and attempts to develop employee capabilities. This leadership provides a kind of vision that elevates the followers/employees' work potential and commitment to achieving the highly valued tasks that yield maximum output (Bass and Avolio, 2004). Transactional Leadership Style mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 138 | P a g e Transactional leaders believe in close supervision, identifying mistakes, and application of corrective measures to rectify errors. This theory bases leadership on a system of reward and penalty, (Obiwuru, 2011). Additionally, Shah and Kamal (2015) pointed out that leaders who employ a transactional style prefer the status quo, and no diversification, they strictly adhere to stipulated parameters to attain maximum performance from subordinates. Laissez-Faire Leadership Style Laissez-faire leadership is also known as delegate leadership. This is a type of leadership style in which leaders are hands-off and allow group members to make the decisions. According to Northouse (2013), they do not have any exchange with their followers, and they do not help their followers to grow. The leadership of Laissez-Faire is the characteristic of leaders who avoid decision-making and avoid responsibility (Robbins, 2007). Leaders regard subordinates as fully responsible for any decision and give assistants complete freedom and power to make work decisions. Autocratic leadership style In the autocratic leadership style, the leader determines policy and assigns tasks to members without consulting his subordinates (Dotse & Asumeng, 2014). Therefore, there is a power distinct between leader and followers in an autocratic leadership style. Then, leaders closely supervise employees to achieve the right performance. Lewin et al., (1939) explored that autocratic leaders provide clear expectations for what needs to be done, when it should be done, and how it should be done. According to Business Essential (2009), the autocratic leadership style is useful in an emergency and may work in a crisis or as a last resort with a problem employee. Democratic leadership style Democratic leadership is a leader who achieves consensus through participation. The democratic leadership is also known as participative leadership style (Cherry, 2006). Mat (2008) described a participative leader as a leader who encourages the participation of staff in solving problems and decision-making in daily operational matters. He posited that the roles and contributions of staff are important. Nwokocha and Iheriohanma (2015) stated that in a democratic style, the leader will gather opinions, suggestions, and feedback from staff before making decisions or issuing instructions to the team. Thus, the direction of the team is influenced by the staff’s involvement. This style builds trust, respect, and commitment and works best when wanting to receive input or get employees to achieve consensus. It is a leadership style that encourages employees to participate in the decision-making process in the organization. Charismatic leadership Charismatic leadership is one of the most successful trait-driven leadership styles. They are visionary leaders who exhibit a personality that motivates their subordinates to execute that vision. Because of their level of success and motivation, charismatic leaders have been one of the most valued and cherished leaders. They provide a fertile group for innovation and creativity, and more often, they are mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 139 | P a g e highly motivational. When a charismatic leader is at the helm of organizational affairs, the subordinates simply want to follow suit, (Michael, 2010). Bureaucratic leadership Bureaucratic leaders create policies and rely on them to meet organizational goals and policies that drive objectives, execution, strategy, and outcomes. They comfortably rely on given policies and can convince their subordinates to get on board (Michael, 2010). Also, they believe that policies dictate the direction, and they are strongly committed to processes and procedures in place of people; thereby, they seem aloof. Communication Styles Communication plays a vital role in every organization. With the help of communication an employee shares his feelings, emotions, thoughts, ideas, policies, goals, and much more to his employer. Every organization has a different style of communication. With a better communication style employers not only boost employee morale, and job performance but also enhance the workplace. A good communication style creates higher job satisfaction, better employee engagement, lower turnover of employees, and stronger long-term commitment. The need for workplace communication is to achieve the organizational goal. Clear communication is most important for a successful organization. By good communication, a team can succeed. It doesn’t matter that can be a family, a company a ministry, or a club. The members of an effective team have strong communication that enhances commitment and connection. Open, honest, and strong communication keeps the employee motivated. Effective communication is an intentional goal-oriented cohesive force for organizational strategies (Garcia, 2012). Effective communication in the workplace is part and partial of a successful organization. Managers with good communication skills can share their ideas clearly so that subordinates can understand what to perform. On the contrary bad communication can lead the employee frustration, absenteeism lower productivity, and a greater turnover rate. An effective style of communication means respecting yourself and other people. It is a great ability to clearly express your ideas, thoughts, and feelings through open, direct, and honest communication. Having a more assertive type of communication doesn’t mean that you will get whatever you want but it can help you to achieve a better understanding. It will help you to handle the situation well and give a sense of satisfaction to both parties. Effective communication at the workplace leads to a better management style because it enhances the morale of employees and employers. It also creates a positive climate and fosters equality, (Sigroha and Gaurav, 2021). Styles of Communication There are four styles of communication. They are as follows: 1. Passive Communication Style mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 140 | P a g e Unusually passive communicators are very quiet. These types of people do not express their feelings and opinions and they just to listen others. They are misunderstood because they are not expressive and behave humbly and softly. Most of the time they say no even if they fail to predict further circumstances. They do not stand for their rights which is why they are manipulated by others for their interest. But when someone crosses their limits, they react a lot. These people are emotionally dishonest because they always hide their feelings. These people behave meek and humbly and always avoid conflict. Their identifications are soft voice, poor posture, humbly behavior, inability to say no, and fidgeting. 2. Aggressive Communication Style These types of people are often loud and tend to blame others for their mistakes. They show a bossy nature, mean-spirited, and lacking gratitude. They speak rudely demand respects from others and advocate their need only. This style of communication is very expensive. It creates a lot of problems in the workplace. An Aggressive person assumes that their needs are most important and they think that their rights are more important as compared to others; they have contributed more than other people. It is an ineffective style of communication because the contents of this communication are too rude and adamant. Their identifications are intense eye contact, harsh tone, gestures like crossing arms, frowns, criticizing others, and pointing figures, 3. Passive-aggressive communication Style These types of people fall right between being passive and aggressive. They communicate subtly and indirectly. They are frustrated and try to be cooperative but they are not. In this style of communication, people appear passive on the ground level but act out their anger in indirect or workplace communication. In simple words, they are stubborn or adamant but never create conflicts with others. The saying “Cut off your nose to spite your face” is a good description of this type of person. They are isolated and never annoy others. Their identification is mumming, showing denial, showing happy face, frequent sarcasm, body language that does not match, 4. The Assertive Style The assertive communication style is a healthy and effective way to express. This type of person vocalizes their need but respects the needs of others. During a conflict, they try to find a solution so that everyone can maintain their dignity. Assertive styles of communication have high self-esteem at both ends. It is known as the most effective style of communication; it is the sweet spot between being too aggressive and too passive. When we are assertive, we have a sense of confidence to communicate without games or a sense of manipulation. The communicator knows his/ her limits and cannot cross them. But this style of communication is used less in the workplace. Their identifications are extensive gestures, good eye contact, clarity of voice, and using the word I, (Sigroha and Gaurav, 2021). Employee Performance mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 141 | P a g e Employee performance is defined differently by different scholars. Employee performance is a term typical to the human resource field where employee performance can refer to the ability of employees to achieve organizational goals more effectively and efficiently. Employee performance can be described as what an employee does or does not do such as the quantity of output, timeliness of production, presence at work, and cooperativeness (Gungor, 2011). It is worth noting that, the organization itself determines the nature of the performance. On the other hand, employees are of vital importance in the achievement of any organization. Employee performance is generally characterized as the conduct demonstrated by an employee during the execution of a specific task delegated by the employer. It also pertains to the results yielded by an individual worker within an organization. According to Fuertes et al. (2020), employee performance is tied to the accomplishments of each employee aligning with the distinct guidelines, policies, or anticipations of the organization or employer. As stated by Jiang et al. (2020), employee performance characterizes the competencies and capacities of individual employees within an organization. In such instances, highly skilled and proficient employees often display elevated proficiency and dedication to their roles, resulting in superior employee performance compared to those with fewer skills and expertise. Organizations need high-performing employees to achieve their goals, deliver the products and services they specialize in, and achieve competitive advantage. The performance of employees is the successful completion of tasks by individuals or individuals to pre-defined acceptable standards as set and measured by a supervisor or organization while efficiently and effectively utilizing available resources in a changing environment (Jaafaru et al, 2023). As affirmed by Fuertes et al. (2020), exceptional employee performance plays a pivotal role in delivering high-quality services to customers and enhancing the organization's profitability. These advantages stemming from improved employee performance tend to establish a sustainable competitive advantage over the long term. The enthusiasm and dedication of employees are commonly heightened when fellow employees or managers within the organizations are effectively fulfilling their respective roles. How the organization engages with and communicates with its employees significantly contributes to enhancing employee performance, serving as a wellspring of motivation and the acquisition of fresh insights and abilities (Jiang et al., 2020). 2.2 Theoretical Review Fiedler’s Contingency Theory The theory of contingent leadership developed by Fiedler (1967) as cited in Armstrong (2009) stated that the type of leadership exercised depends to a large extent on the situation and the ability of the leader to understand it and act accordingly. This is sometimes called situational leadership. This leadership style depends on the readiness of the followers because it is their action that determines effectiveness. Fiedler wrote: “Leadership performance depends as much on the organization as on the leader’s attributes”. Fiedler pointed out that the performance mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 142 | P a g e of a group is related both to the leadership style and to the degree to which the situation provides the leader with the opportunity to exert influence (Armstrong, 2009). Fiedler considered a person’s leadership style is relatively fixed and difficult to change; therefore, the basic idea is to grow the leader’s style with the situation most favourable for his or her effectiveness. By diagnosing leadership style and organizational situation, the correct fit can be arranged (Daft, 2013). Porter et al., (2006), effective group performance relies upon the correct balance between the leader’s style of interacting with the staff and how much influence and control the situation gives the leader. Systems Theory Because of its origins in multiple disciplines, systems theory is meant to apply to organisms and human behaviors in different disciplines (Kast & Rosenzweig, 1972). When applied to communication, the systems theory is meant to understand the interconnectedness of human communication and not just focus on one aspect of it (Scott, 1974). According to systems theory, components of each system are structured in a hierarchical ordering, and components are interdependent with one another in the system to the extent that one component cannot function without the support of other components. At the organizational level, the organizations and other organizations in the environment are also interdependent on one another. The outcome of an organization’s communication has consequences on its functioning and hence it can be seen in its overall performance. Various theories have attempted to explicate this contingency view of organization-environment relationships. 2.3 Empirical Review Idowu (2019) conducted a study to examine the impact of leadership styles on employees’ work performance in some selected southwestern Nigerian private Universities. The study aims to study the impact of the different leadership styles on employees’ work performance in some selected south- western Nigerian Private Universities. The survey research design was used for this study. The results revealed that Universities driven by the desire to achieve better performance from his/her employees should try to exhibit more transformational and transactional leadership styles and less laissez-faire and autocratic leadership styles. Sigroha and Gaurav (2021) conducted a study to evaluate the relationship between styles of communication and their impact on employees’ performance in public and private hospitals of the National Capital Region of India. The study aims to evaluate four styles of communication (passive, passive-aggressive, assertive, and aggressive) predicting the different dimensions of employees’ performance in the hospitals. The survey research design was used for this study. The results revealed that an assertive style of communication is best for employees’ performance, it is much more productive for hospitals as well as for patients and it creates standards for hospitals and helps to achieve the goals of the hospitals mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 143 | P a g e Beauty and Aigbogun (2022) conducted a study to examine the impact of styles of leadership on employees’ performance at Turn-all Holdings Ltd, Harare, Zimbabwe. The study aims to evaluate the impact of styles of leadership on employees’ performance, mainly the impact of transformational, transactional, and laissez-faire leadership styles at Turn-all Holdings Ltd, Harare. A quantitative approach, a descriptive survey research design, and a structured questionnaire were used for this research. The results revealed that transformational and laissez-faire styles significantly positively impact employee performance, whilst, transactional leadership is found to have a negative impact. Jaafaru et al, 2023) conducted a study to examine the effect of communication on employee performance of Fazim Global Concept in Gombe, Nigeria. The study aims to assess the significant relationship between forms of communication and employee performance of the Fazim Global Concept. A survey research design was used for this study. The result revealed that communication plays a very significant role in improving employees’ performance at Fazim Global Concept Gombe. 3. Methodology The research design for this study was essentially descriptive to enable the researcher to investigate the statement of the problem under study. Descriptive research is research that specifies the nature of a given phenomenon. It applies a systematic explanation of situations. This type of research is expected to help in decision-making. They are prerequisites for inferences and generalizations. The research involves the selection of specific numbers of manufacturing firms within the southeastern region from which the desired number of respondents were chosen in other to investigate the effect of the Participatory Management Style on Employee Performance in sustainable Manufacturing firms in South Nigeria. The respondents received the appropriate and sufficient instructions they needed to complete the survey. Sections include: Section A: Demographic characteristics Demographic characteristics on which data were collected include gender, age, marital status, and highest level of education. Section B This section contains questions on the constructs – Leadership styles, Communication Styles, and employee performance. The three constructs were measured using a 4 - 4-point Likert scale where “1” = Strongly Agree (SA), “2” = Agree (A), “3” = Disagree (D), and “4” = Strongly Disagree (SD). The Cronbach Alpha reliability test was used to determine the questionnaire's internal consistency and reliability. Since the scale's alpha values were higher than 0.7, all the constructs showed high reliability. Cronbach alpha should be greater than 0.7, according to Nunnally [1]. Table 2 provides a summary of the reliability analysis. Table 2: Summary of Cronbach’s Alpha levels for the construct Variable name Cronbach’s Alpha Number of items Decision Leadership styles 0.708 5 Fit for use mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 144 | P a g e Communication Styles 0.823 6 Fit for use Employee performance 0.767 5 Fit for use Questionnaire Administration With the help of some trained research assistants, copies of the questionnaire were self-administered throughout the southeastern state. The study's participants were assured of their confidentiality and were made aware of this fact by each research assistant, a finite population of 853 was obtained from the firm’s human resource department, after which a total sample of 272 was obtained for the study using the Taro Yamane formula. 272 copies of the questionnaire were distributed and 237 questionnaires were returned which accounted for an 87% return rate of the questionnaire. Data Analysis techniques Data collected were analyzed using both descriptive and inferential statistics with the aid of the Statistical Package for Social Sciences (SPSS). While descriptive statistics was used to describe the socio-demographic characteristics of the respondents, Simple linear regression analyses were used for further analysis. All the hypotheses were tested at a 0.05 level of significance. 4. Results and Discussion Socio-Demographic Information of Respondents This section presents information about the sex, age of respondents, marital status, and highest educational qualification of respondents (Table 3). The information provided here was analyzed using frequency count and percentage. Table 3: Socio-demographic characteristics of respondents All Demography characteristic s Frequency Percent (%) Sex Male Female 197 40 83% 17% Age of respondents Under 20 20 - 29 30 – 39 40 – 49 50 – 59 60 and above 17 67 72 53 18 10 07% 28% 30% 22% 08% 04% Marital status Single Married Separated/Divorced Widowed 137 89 09 02 58% 36% 04% 01% mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 145 | P a g e Highest Educational Qualification Primary Education Senior Secondary School NCE HND Bachelor’s degree Post Graduate Qualification Others 17 28 30 49 71 21 21 07% 12% 13% 21% 30% 09% 09% Table 3 is the demographic profile of the respondents which reveals a predominantly male composition, with males comprising 197 out of a total of 237 participants, accounting for 83% of the sample. In terms of marital status, the majority of participants are single, constituting 58% of the sample, while 36% are married. The age distribution shows that the largest portion of participants falls within the 30-39 age group, with 72 individuals (30%), followed closely by the 20-29 age group, comprising 67 individuals (28%). The representation decreases with age, with only 4% of participants being 60 years and above. Regarding academic qualifications, the sample demonstrates a varied educational background, with the highest proportion holding a Bachelor's degree (71 individuals, 30%), followed by HND (Higher National Diploma) at 49 individuals (21%) and NCE (Nigerian Certificate in Education) at 30 individuals (13%). Other qualifications include Senior Secondary School (28 individuals, 12%), Postgraduate degrees (21 individuals, 9%), and 21 individuals (9%) with qualifications classified as "Others". In summary, the demographic profile showcases a predominantly male, relatively young, and well- educated sample. The majority of participants are single, with a significant portion having attained at least a Bachelor's degree. The age distribution skews towards younger age groups, with the highest representation in the 20-39 range, indicating a younger demographic profile. This data provides valuable insights for understanding the characteristics and composition of the sample population, which can be essential for various research or decision-making purposes. Results The test for the various study objectives is presented in this section. These individual objectives were examined using linear regression analysis. The analyses of linear regression were conducted using the Enter method. The findings are listed below.: Objective One: Leadership styles have no significant effect on Employee Performance in Sustainable Manufacturing firms in Enugu State Nigeria. The ANOVA table (Table 4) shows that at a 0.05 significance level, the model is significant for predicting the impact of Leadership styles on employee performance (F = 29.618; p = 0.002) among the several selected firms in southeast Nigeria. There exists a low correlation between the observed and predicted values of the variable, economy of the community (R = 247). In contrast, only 21.99% (Adjusted R2 = mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 146 | P a g e 0.2199) of the variance for respondents’ employee performance was accounted for by Leadership styles (Table 5). Table 4: Anova Table showing the goodness of fit table Model Sum of squares Df Mean Square F Sig 1 Regression 33.297 1 33.297 29.618 0.002 Residual 265.321 236 1.1242 Total 298.618 237 a. Dependent Variable: Employee performance b. Predictors: (Constant), Leadership styles Table 5: Predictive Power of the Leadership styles on employee performance Model R R Square Adjusted R Square Std Error of Estimate 1 0.247 0.311 0.2199 1.61360 a. Predictors: (Constant), Leadership styles Notwithstanding, Table 6 indicates that Leadership styles significantly affect employee performance (p=0.000). For every unit increase in Leadership styles, the employee performance increases by 0.301. Table 6: Impact of Leadership styles on employee performance Unstandardized coefficient Standardized coefficient T Sig Mode l B St. Error Beta 1 Constant 2.922 0.038 97.4 0 0.000 Leadership styles 0.301 0.0102 0.292 29.51 0.000 a. Dependent Variable: Employee performance Objective Two: Communication Styles have no significant effect on employee performance in sustainable Manufacturing firms in South Nigeria. Table 7 shows that the model is significant for predicting the health of the people in the benefitting communities (F = 21.371; p = 0.003). However, Table 8 shows that the correlation between the observed and predicted values of the variable, the health of the benefitting community is low (R=0.300). Moreover, only 50.1% (Adjusted R2 = 0.501) of the variance for employee performance was accounted for by Communication Styles. Table 7: Anova Table showing the goodness of fit table mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 147 | P a g e Model Sum of squares Df Mean Square F Sig 1 Regression 17.003 1 17.003 21.371 0.003 Residual 187.763 236 0.7956 Total 204.766 237 a. Dependent Variable: Employee performance b. Predictors: (Constant), Communication Styles Table 8: Predictive Power of the Communication Styles on the Employee Performance Model R R Square Adjusted R Square Std Error of Estimate 1 0.300 0.589 0.501 2.34958 a. Predictors: (Constant), Communication Styles Table 9 however indicates that the employee performance in the firms is significantly influenced by Communication Styles (p=0.003). As the employee performance increases by 0.284 for every unit increases in Communication Styles. In this case, we agree that Communication Styles affect employee performance across the study area. Table 9: Impact of Communication Styles on employee performance Unstandardized coefficient Standardized coefficient t Sig Mod el B St. Error Beta 1 Constant 14.42 2.3380 6.19 0 0.000 Communication Styles 0.284 0.102 0.292 2.77 8 0.007 b. Dependent Variable: Employee performance 5. Conclusion The findings of this study underscore the pivotal role of participatory management in enhancing employee performance within manufacturing firms in Enugu State, Nigeria. Leadership styles that embrace participation and inclusivity have demonstrated a significant positive effect on employee performance. When leaders engage employees in decision-making processes, it fosters a sense of ownership and accountability, which in turn boosts productivity, job satisfaction, and commitment to organizational goals. This alignment between leadership practices and employee aspirations is crucial for the dynamic and resource-efficient operations that manufacturing demands. Moreover, the study mailto:contact@americaserial.com mailto:contact@americaserial.com American Research Journal of Economics, Finance and Management Volume 13 Issue 1, January-March 2025 ISSN: 2836-9416 Impact Factor: 6.41 Journal Homepage: https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com Official Journal of America Serial Publication American Research Journal of Economics, Finance and Management https://americaserial.com/Journals/index.php/ARJEFM, Email: contact@americaserial.com 148 | P a g e highlights the critical impact of effective communication styles in driving employee performance. Transparent and open communication channels ensure that employees are well-informed, valued, and motivated to contribute their best efforts. This, in turn, leads to enhanced collaboration, innovation, and problem-solving capabilities within the workforce. By fostering a culture of open dialogue and feedback, manufacturing firms in Enugu State can harness the full potential of their human capital, thereby achieving greater operational efficiency and sustainability. The implementation of participatory management practices, characterized by inclusive leadership and robust communication strategies, has been shown to significantly improve employee performance in manufacturing firms in Enugu State. These findings provide valuable insights for managers and policymakers seeking to enhance organizational performance through human-centered management approaches. By embracing participatory management, firms can not only improve their sustainability outcomes but also create a more engaged, productive, and satisfied workforce. This research contributes to the broader understanding of effective management practices in the context of sustainable development, offering a roadmap for other regions and sectors aiming to achieve similar successes. The study concluded that Participatory Management has significant effect on Employee Performance in Manufacturing firms in Enugu State Nigeria. Recommendation Based on the findings that participatory management, inclusive leadership styles, and effective communication significantly enhance employee performance in manufacturing firms in Enugu State, Nigeria, the following recommendations are proposed: i. Offer training programs for managers to develop inclusive leadership skills. Focus on fostering empathy, active listening, and collaborative decision-making in other to improve employee performance. Establish mentorship programs where experienced leaders can guide and support less experienced managers in adopting participatory practices. Recognize and reward leaders who effectively engage their teams and demonstrate the benefits of participatory management. ii. Create an open communication culture where transparency is prioritized. Ensure that information flows freely across all levels of the organization. Use multiple communication platforms to keep employees informed about organizational goals, changes, and progress toward sustainability objectives. Develop interactive platforms such as intranets, suggestion boxes, and digital forums to facilitate continuous and open dialogue between management and employees. References Armstrong, M. (2009). Handbook of management and leadership: A guide to managing for result. London: Kogan Page. Bass, B. M., & Avolio, B. J. (1994). Improving organizational effectiveness: Through transformational leadership. 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