Understanding collaborative and distributed leadership in biotechnological companies: Highlighting implications of leadership and culture for firm performance

Abstract

Leadership and culture have been heralded as significant determinants of firm performance over time, but their applicability within the STEM sectors. Also, collaborative and distributive leadership applications within the technologically advanced sector, such as biotechnology, remain understudied. Based on this backdrop, the present study focused on the effects of collaborative and distributed leadership as enablers of the performance of biotech companies within Australia. The findings suggested that the effect of both leadership styles was significant, indicating that collaboration and harmony within technologically advanced organizations enable improved performance. The findings confirmed the positive mediation effects of culture as well. The findings from the study can be used to improve managers’ understanding of leadership styles. Establishing policies related to teamwork and leadership can help develop an effective organizational culture - essential for a firm’s success.