Employee performance is a constant concern for any manager in a company or organisation. Managers have the unenviable task of balancing the meeting of organisational targets through the resources at their disposal. They must also manage their own responsibilities and personal targets which could be different to targets of the employees. These differences could create divergent priorities and affect the manager-employee relationship. Managers, in an effort to create a healthy work environment, need to show leadership qualities that encourage cooperation from their employees. These qualities must enable employees to form trustworthy relationships with their colleagues and the organisation thereby encouraging employee engagement and improved performance. A specific leadership quality that can create this type of positive and productive environment is authenticity. Authentic leadership can engender employee trust and organisational commitment and improve performance. Authentic leadership encourages improved relationships in the organisational environment by allowing employees and managers to communicate effectively. This encourages understanding of individual and organisational limitations in a non-threatening manner. Cultural intelligence is another quality that can enhance the employee manager relationship and affect the organisational climate. In South Africa’s culturally diverse environment managers from various cultural backgrounds will need to form healthy working relationships with employees and colleagues to encourage cooperation. These challenges and opportunities form the basis for this research study in the hope of informing managers of the relevance of the research topic and encouraging a change of behaviour and further study within the South African work environment.
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