Unpacking the Leadership–Performance Nexus: Competence Heterogeneity Utilization as a Statistical Mediator in Selected Central Government Ministries in Kenya
Abstract
Strategic leadership is consistently associated with public-sector performance, yet the organizational processes accompanying this relationship remain less clear. This study examined whether competence heterogeneity utilization, defined as the perceived presence and functional use of diversity in experience, qualifications, skills, functional backgrounds, and tenure, statistically mediated the association between strategic leadership and organizational performance in three selected central government ministries in Kenya. A pragmatist, cross-sectional mixed-methods design combined questionnaires from 264 employees with 15 key-informant interviews. Strategic leadership was associated with organizational performance (B = 1.001, β = .828, p < .001; R² = .686) and competence heterogeneity utilization (B = 1.003, β = .773, p < .001; R² = .598). In the joint model, competence heterogeneity utilization remained significant (B = .195, β = .209, p < .001), while the leadership coefficient declined to B = .807 (β = .667, p < .001); R² = .703. The Sobel test supported a significant indirect association (z = 3.850, p < .001), representing approximately 19.5% of the total association. Interviews indicated that competence-diverse teams supported decision quality and implementation, although diversity was not consistently utilized. Findings are interpreted as statistical rather than causal mediation.
Keywords: strategic leadership; competence heterogeneity utilization; organizational performance; statistical mediation; public sector; Kenya
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