Examining the influence of leadership styles on customer satisfaction within project-based organizations in the United Arab Emirates (UAE)

Abstract

Customer satisfaction is critical to project success in the UAE's power sector. Clients are most satisfied when their project objectives are met within the specified timeframe. This study focuses on fostering long-term value and enhancing customer satisfaction in power sector projects by implementing transformational leadership. Since the UAE is the second-largest power sector in the Middle East after Saudi Arabia, transformational leadership is particularly relevant in managing complex, large-scale projects where organizational success hinges on effective project execution. This study investigates the influence of transformational leadership on customer satisfaction by assessing core leadership attributes, including vision, motivation, individualized consideration, and intellectual stimulation. The study explores how transformational leadership cultivates a customer-focused approach, improves service efficiency, and optimizes project outcomes. Data collection was conducted through an online survey distributed via Google Forms to key project stakeholders and managers between July 2024 and December 2024. The collected responses were analysed using a quantitative approach through IBM SPSS, with correlation studies performed to assess the relationship between transformational leadership and three key dimensions of customer satisfaction. The findings indicate that transformational leadership in the UAE extends beyond project delivery, significantly contributing to customer satisfaction. Furthermore, the study underscores the need for leadership development as a strategic priority in project-based organizations. It recommends incorporating transformational leadership principles into project management practices to enhance customer satisfaction and achieve operational excellence within the UAE power sector.