TOPIC NAME-

IMPACT OF LEADERSHIP ON
EMPLOYEE RETENTION IN
HEALTHCARE INDUSTRY

STUDENT NAME- ANJALI RAWAT

MAKAUT ROLL NO.- 13600923011
PAPER CODE- 105
PAPER NAME-RESEARCH METHODOLOGY &
BUSINESS STATISTICS
 Introduction
This review looks closely at how three
important things – rewards, career growth, and
performance reviews – can make employees
stay with a company. Studies have already
shown that these factors directly influence how
committed employees feel and whether they
stay. By looking at much research, this review
breaks down the things such as leadership that
affect employee retention, using strong
evidence from studies that tested different
ideas.
Importantly, the review indicates that good
reward systems and clear career paths are
crucial for keeping talented employees. By
focusing on these specific things, companies can
create a work environment where people are
happy and engaged, which ultimately leads to
higher retention rates.
 Literary Preview
01 02 03
Impact of job satisfaction Weighing the issues of The Relationship between
components on intent to safety and employee Leadership Style,
leave and turnover for retention (WISER) for Organizational Culture,
hospital-based nurses leadership in healthcare and Job Satisfaction in the
U.S. Healthcare Industry

04 05
Winning employee Employee Retention in Public and
retention strategies for Private Hospital Settings: An
today’s healthcare Empirical Study of its Relationship
organisation with Participative Climate, and Role
Performance
Impact of job satisfaction components on intent to leave
and turnover for hospital-based nurses
Name of the Author- Billie Coomber, K. Louise Barriball Year- 2006
Name of the Journal book-International Journal of Nursing Publisher- Elsevier Ltd.
Studies 44 (2007) 297–314

This literature review examines key findings related to nursing job satisfaction
and turnover. Many studies have shown that higher job satisfaction correlates
with lower turnover rates among nurses. The factors influencing nurses' decisions
to leave their positions often revolve around issues affecting job satisfaction, such
as ineffective supervisory relationships and limited opportunities for
professional development.
Herzberg's theory distinguishes between maintenance (dissatisfiers) and
motivating factors in job satisfaction. The most frequently reported themes in the
research are leadership, educational attainment, stress, and pay, with leadership
quality, stress, and pay being particularly influential. Stress, especially related to
work schedules, appears to affect younger nurses more significantly.
Interventions like stress-management training, support from colleagues and
senior staff, and flexible working practices can mitigate stress and improve job
satisfaction. Furthermore, a lack of recognition, support, and empowerment from
nurse managers can lead to job dissatisfaction and intent to leave, emphasizing
the importance of transformational leadership styles in nursing management.
 Weighing the issues of safety and employee retention
(WISER) for leadership in healthcare
Name of the Author- Jacob Creel, John S. Pearson, Mark Dame, Morgan E. House, Toby
Brooks Publisher- Texas Tech University
Name of the Journal book-Journal of Business and Educational Leadership Health Sciences Center
Vol 1, No 1; Fall 2021

In the dynamic and demanding realm of healthcare, where natural workplace stressors, long
work hours, and the perpetual pursuit of high performance are the norm, the interplay
between organizational culture, leadership styles, and employee retention emerges as a
critical concern. This literature review underscores the importance of examining various
factors, including psychological distress, empowerment, job satisfaction, work engagement,
absenteeism, and burnout, that directly impact healthcare workers' decision to stay or leave
their roles. Two prominent leadership styles, transactional and transformational, play pivotal
roles in shaping the organizational cultures of healthcare institutions. While transactional
leadership may risk overlooking the innate dedication of healthcare professionals,
transformational leadership aligns seamlessly with their values and aspirations, fostering
unwavering commitment and loyalty.
Research reveals that transformational leadership not only mitigates psychological distress
but also enhances psychological empowerment, job satisfaction, and work engagement while
reducing burnout and absenteeism. To tackle the complexities of ensuring safety and
employee retention, a cultural transformation emphasizing interdisciplinary buy-in through
a Safety-Specific Transformational Leadership approach holds promise in elevating
healthcare quality, safety, and workforce retention. In conclusion, the healthcare industry's
enduring challenges necessitate a holistic approach that combines the right leadership style
and a transformative culture to ensure both employee well-being and the continued delivery
of high-quality care.
The Relationship between Leadership Style, Organizational
Culture, and Job Satisfaction in the U.S. Healthcare Industry
Name of the Author- Mouhamadou Sow, Jeanie Murph, Rosa Osuoha
Year- 2017
Name of the Journal book- Management and Economics Research Journal, Vol. 3, Publisher- Research Gate
Pages 1–10

This literature review explores the intricate relationship between transformational

leadership, organizational culture, and job satisfaction within the healthcare industry. It
reveals that while transformational leadership has long been considered an effective
means to enhance job satisfaction and engagement among healthcare workers, its impact
diminishes when organizational culture variables are considered. The study emphasizes
the necessity for healthcare organizations to shift away from externally focused
cultures, as these may divert attention from addressing the needs of internal stakeholders,
ultimately leading to lower job satisfaction.
The review also highlights the complementary approach of altering organizational culture
to improve job satisfaction. It underscores that the interactions between transformational
leadership, organizational culture, and job satisfaction in healthcare remain a complex
challenge for leaders in the field. Transformational leadership, characterized by charisma,
innovation, and motivation, can influence job satisfaction through vision and employee
development. However, the study suggests that building an internally focused culture
may be more effective in enhancing job satisfaction among healthcare employees,
encouraging healthcare leaders to prioritize its cultivation. In conclusion, understanding
these intricate dynamics is vital for healthcare organizations seeking to improve job
satisfaction and the overall well-being of their workforce.
 Winning employee retention strategies for today’s
healthcare organisation
Name of the Author- John B Izzo and Fam Withers
Year- 2002
Name of the Publisher- Health care Financial Management

In today's evolving work landscape, employee retention in healthcare organizations hinges on several
critical factors. One of the key strategies employed by some forward-thinking companies is the
implementation of flexible work arrangements. By allowing employees to have more control over their
schedules and time off, these organizations acknowledge the significance of work-life balance and its
positive impact on retention. Furthermore, the availability of part-time positions, especially for
healthcare professionals seeking greater flexibility, has become a competitive advantage for employers.
In addition to flexibility, healthcare organizations are embracing a shift towards a more collaborative
and inclusive work environment. Employees are no longer satisfied with mere involvement; they seek
active participation and ownership in decision-making processes. By adopting an approach that values
employee input and fosters a sense of partnership, organizations can enhance job satisfaction and
retention.
Personal and professional growth opportunities are also pivotal in retaining healthcare employees.
Companies must provide avenues for learning, skill development, and career advancement, aligning
employees' aspirations with their professional roles. Empowering employees to find meaning and
fulfillment in their work, while connecting their contributions to a broader mission, can further bolster
retention rates.
Finally, fostering a sense of community and camaraderie in the workplace has proven to be a powerful
retention tool. Employees who develop friendships at work are more likely to stay, emphasizing the
importance of a positive and social work environment.
In conclusion, healthcare organizations must adapt to the changing expectations of their workforce by
offering flexible arrangements, promoting employee participation, facilitating growth, and nurturing a
sense of community to enhance employee retention.
Employee Retention in Public and Private Hospital Settings:
An Empirical Study of its Relationship with Participative
Climate, and Role Performance
Name of the Author- Priyanka Singh Jadon, B.K. Upadhyay Year- 2018
Name of the Journal book- Indian Journal of Commerce & Management Studies 9(1), 37–46 Publisher- ERM Publications

The study highlights the significance of Participative Climate (PC) and Role
Performance (RP) in the healthcare sector and their impact on employee
retention. It emphasizes the value of involving medical staff in collaborative
decision-making processes, which not only contributes to a healthier work
environment but also correlates with reduced physical and psychosomatic
complaints among employees. This active participation leads to higher job
satisfaction and lower turnover rates. Traditional retention strategies, such as
fringe benefits, are deemed ineffective for retaining talented healthcare
professionals. The research underscores the relationship between PC, RP, and
retention, offering insights for both public and private healthcare settings to
address issues related to employee intent to leave and migration while
enhancing job satisfaction and retention.
GAP ANALYSIS
A significant data gap was identified in the Indian
Healthcare Industry (HI) during the research, with
limited articles and resources available.

This scarcity of information presents an opportunity to

delve deeper into understanding employee needs and
behaviors in Indian HI. By addressing these factors
through effective leadership, employee performance
and retention can be significantly improved.

Information technology is found to be one of the

factors that can plausibly influence the job satisfaction of
employees and their intention to stay.