The Influence of Leadership Styles on Employee Engagement and Organizational Performance in Canadian Small and Medium-Sized Enterprises

Abstract

This research examines how organizational behaviour is experienced and enacted within small and medium-sized enterprises (SMEs) operating in Ottawa, Ontario. Using an in-depth qualitative design, the study draws on insights from 62 semi-structured, face-to-face interviews conducted with both managerial and non-managerial staff across a range of industries, including technology, healthcare, education, retail, and hospitality. The findings highlight key behavioural patterns shaping everyday organizational life, notably leadership inclusivity, interpersonal communication practices, workforce diversity, and the management of work–life boundaries. Through thematic analysis, the study illustrates how broader Canadian cultural norms and multicultural principles are embedded in SME workplaces, influencing employee engagement, collaboration, and organizational performance. By addressing a notable gap in qualitative research on organizational behaviour in Canadian SMEs, this study offers actionable insights for business leaders, human resource practitioners, and policymakers seeking to foster healthier and more effective workplace environments.