Abstract
Small and Medium- sized enterprises (SMEs) have emerged as building block for the growth
of economies all around the globe. It has been observed that leaders and employees- both, play a crucial role
for the success of any firm. In SMEs the workers and leaders work in close contact. Therefore, the success
of the SME is also dependent upon such Interpersonal factors. Moreover, today’s new era has emerged as
posing new challenges for the leaders. For instance, emotional encounters faced by workers has deviated the
dimension of employee satisfaction towards subjective facets of life satisfaction. Hence, satisfaction through
(provision of affection) through interpersonal contact has gained more importance for the existing workforce
in the workplace. The affective dimension of subjective well-being (SWB) has turned out to be a viable solution
for such emotional traumas like distress. Similarly, servant leadership (SL) being a new concept in leadership
studies has emerged as an ultimate solution for provision of employee SWB. Therefore, this study has focused
its attention towards the determination of relationships between SL and the affective dimension of SWB. This
study has employed a quantitative methodology. Data were collected through a self-administered survey -
questionnaire, which has been adapted from a previously- validated survey. The target population consisted
of SMEs operating in the province of Balochistan, Pakistan. Convenience sampling was applied to collect
data from 304 employees of the SME sector. The study results indicate that there is a positive significant
relationship among characteristics of SL (emotional healing, empowerment and conceptualization) and the
affective dimension of SWB. The study findings suggest that in order to assure success, a positive emotional
state of employees should be an important consideration for SME leaders.
Raheela Maula-Bakhsh, Abdul Raziq. (2018) Relationship between Servant Leadership and Subjective Well-Being: Evidence from Manufacturing and Services based SMEs in Pakistan, Journal of Management Sciences, Volume 5, Issue 1.
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