The Role of Transformational Leadership on the Growth of Autocare SMEs in Roysambu Sub-County in Nairobi, Kenya

The growth and sustainability of organizations have been an area of concern for leaders due to the uncertainty surrounding such businesses. Factors such as globalization, unstable economy and rapid technological changes have continued to demand leaders to steer organizations to success during such turbulent times. The aim of this study was to establish the effect of transformational leadership on the growth of Autocare Small and Medium Enterprises (SMEs) in Roysambu Sub-County in Nairobi, Kenya. The study employed a quantitative approach, positivist research philosophy, and descriptive research sign. The study targeted all the 30 SMEs in Autocare business in Roysambu Sub-County in Nairobi from whom 30 percent of the target population from each stratum were selected using both stratified random sampling and purposeful sampling methods. Quantitative data were collected using structured questionnaires through drop and pick method after the research instruments were pre-tested for reliability and validity.Data was analyzed using advanced Microsoft Excel and IBM SPSS Statistics. Advanced Microsoft Excel was used for data organization, coding, data cleaning, and preliminary tabulation, while SPSS was used to perform the statistical analyses, including descriptive statistics and analysis of variance (ANOVA) and coefficient as appropriate to the research questionnaires and hypotheses. The results of the study showed that the combined mean of the four elements of transformational leadership was 3.829. Further, the results indicated a positive and significant correlation (.992, p< 0.05) between transformational leadership and organizational growth. Further, the results indicated that 99.2 percent of the growth of Autocare SMEs in Roysambu Sub-County was attributed to transformational leadership.