Leadership
Leadership
Leadership
All leaders, to a certain degree, do the same thing. Whether you’re talking about an executive,
sports coach, or schoolteacher, leadership is enabling others to accomplish something they
couldn’t do on their own. Some people in formal leadership positions are poor leaders, and
many good leaders have no formal authority. In this sense, leadership is something you do and
not something you are. It is a person’s actions, rather than their words or job title, that inspire
trust and commitment.
There are several essential qualities that define a successful leader for any group. A
well-rounded leader is capable of providing guidance and inspiration to everyone around them.
Their leadership style is made up of authority as well as a positive attitude to foster their team
members’ qualities and create a work environment where they can be open, honest, and
productive.
Along with being authoritative and approachable, effective leaders possess a growth mindset.
This means they’re always focused on their company or organization’s common goal and overall
mission.
LEADERSHIP TRAITS
Leadership traits refer to personal qualities that define effective leaders. Leadership refers to the
ability of an individual to guide the team , or organizations at large toward the fulfillment of goals
and objectives. It plays an important function in management, as it helps maximize efficiency
and achieve strategic and organizational goals. Leaders help motivate others, provide guidance,
build morale, improve the work environment, and initiate action.
Also, a common misconception is that individuals are just naturally gifted with leadership skills.
The truth is that leadership traits, like other skills, can be acquired with time and practice. Below
are seven traits of an effective leader:
1. Effective communication
Leaders are excellent communicators, able to clearly and concisely explain problems and
solutions. Leaders know when to talk and when to listen. In addition, leaders are able to
communicate on different levels: one-on-one, via phone, email, etc.
3. Long-term thinking
Leaders are visionaries. This is evidenced by the leadership trait of being able to plan for the
future through concrete and quantifiable goals. They understand the need for continuous
change and are open to trying new approaches to solve problems or improve processes.
4. Self-motivation
Leaders are self-motivated and are able to keep going and attain goals despite setbacks. In
addition, good leaders try their best to exceed, not just meet, expectations.
5. Confidence
Virtually all good leaders share the leadership trait of confidence. They are able to make tough
decisions and lead with authority. By being confident, leaders are able to reassure and inspire
others, establish open communications, and encourage teamwork.
6. People-orientation
Leaders are typically people-oriented and team players. They’re able to foster a team culture,
involve others in decision-making, and show concern for each team member. By being
people-oriented, leaders are able to energize and motivate others. By making each individual
feel important and vital to the team’s success, they secure the best efforts from each member of
the team.
The following behaviors will help you focus on your self-awareness and personal development
to develop this important leadership quality.
● Set goals, prioritize goals, and take responsibility for accomplishing them. Also, take
responsibility for falling short of your stated goals or making mistakes along the way.
● Successful leaders focus on the big picture, avoid distractions, and don’t get bogged
down by small, tactical details. Practice these behaviors to promote effective
management of your time and attention.
● Set boundaries between your personal and professional lives. Remember that your
organization will follow your lead—if they see you working long into the night, they will
assume that they have to do the same.
● Retain awareness of your strengths, weaknesses, and any potential sources of bias that
may impact your thinking and decision-making. Conduct self-assessments and seek
feedback from your team, and set improvement goals with measurable targets in areas
where you have room to grow.
● Accept that things can and will go wrong. This anticipation will help you respond in a
thoughtful way that does not make a difficult situation even worse.
● These behaviors will help you demonstrate leadership ability by developing others within
an organization.
● Recruit and develop a team with diverse skills and backgrounds, and give the team
members the tools and the space to build trust among each other.
● As a coach, demonstrate empathy as well as strength. Effective leaders know how to be
assertive and kind at the same time.
● Delegating responsibility can be harder than completing the task yourself, but it allows
you to see what a team is capable of doing. Accomplishing difficult tasks helps a team
build confidence and continue its path to growth.
● Make genuine connections with those outside your organization. Actively seek out
people who will make your team stronger, even if their expertise doesn’t perfectly match
the needs you have at the moment.
● Prioritize training within your organization—and balance it with a culture that allows team
members to thrive. As Richard Branson famously said, “Train people well enough so
they can leave, but treat them well enough so they don’t want to.”
LEADERSHIP STYLES
Democratic Leadership
A democratic leadership style is where a leader makes decisions based on the input received
from team members. It is a collaborative and consultative leadership style where each team
member has an opportunity to contribute to the direction of ongoing projects. However, the
leader holds the final responsibility to make the decision.
Democratic leadership is one of the most popular and effective leadership styles because of its
ability to provide lower-level employees a voice making it equally important in the organization.
It is a style that resembles how decisions are made in company boardrooms. Democratic
leadership can culminate in a vote to make decisions.
Democratic leadership also involves the delegation of authority to other people who determine
work assignments. It utilizes the skills and experiences of team members in carrying out tasks.
The democratic leadership style encourages creativity and engagement of team members,
which often leads to high job satisfaction and high productivity. However, establishing a
consensus among team members can be time-consuming and costly, especially in cases where
decisions need to be made swiftly.
Autocratic leadership is the direct opposite of democratic leadership. In this case, the leader
makes all decisions on behalf of the team without taking any input or suggestions from them.
The leader holds all authority and responsibility. They have absolute power and dictate all tasks
to be undertaken. There is no consultation with employees before a decision is made. After the
decision is made, everyone is expected to support the decision made by the leader. There is
often some level of fear of the leader by the team.
The autocratic type of leadership style can be very retrogressive as it fuels employee
disgruntlement since most decisions would not be in the employees’ interests. An example can
be a unilateral increase in working hours or a change in other working conditions
unfavorable to employees but made by leadership to increase production. Without
employee consultation, the manager may not be fully aware of why production is not
increasing, thereby resorting to a forced increase in working hours. It can lead to
persistent absenteeism and high employee turnover.
However, autocratic leadership can be an effective approach in cases where the leader is
experienced and knowledgeable about the circumstances surrounding the decision in question
and where the decision needs to be made swiftly. There are other instances where it is also
ideal such as when a decision does not require team input or an agreement to ensure a
successful outcome.
Autos in Greek means "same" or "self", so in an autocratic government all the power is held by
the leader him- or herself. Autocratic governments are often called dictatorships, or sometimes
autocracies. In everyday life, a teacher, a parent, or a football coach can all behave like
autocrats as well.
3. Laissez-Faire Leadership. The laissez-faire leadership style is a “hands-off” approach to
leadership, which involves the manager delegating responsibility and decision-making to team
members with minimal interference and supervision. This leadership model can encourage
innovation by empowering self-motivated employees to engage with their own passions and
interests.
The laissez-faire leadership approach is empowering to employees who are creative, skilled,
and self-motivated. The level of trust and independence given to the team can prove to be
uplifting and productive and can lead to job satisfaction.
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Leadership Styles
Leadership Styles
The behavioral approach employed by leaders to influence, motivate, and direct their followers
Written by
CFI Team
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What are Leadership Styles?
Leadership styles refer to the behavioral approach employed by leaders to influence, motivate,
and direct their followers. A leadership style determines how leaders implement plans and
strategies to accomplish given objectives while accounting for stakeholder expectations and the
wellbeing and soundness of their team.
Leadership styles have been studied in various fora to establish the appropriate or most
effective leadership style that motivates and influences others to accomplish set goals. The
major tenet of effective leadership style is the degree to which it builds follower trust.
Studies carried out indicate that followers who trust in their leader are more likely to follow
through with the leader’s instructions over and above the expected. In turn, they will accomplish
set goals while being allowed to speak freely to air their ideas and suggestions on the direction
of the projects at hand.
The leadership styles discussed in this article are based on studies and findings by several
accomplished leadership researchers, which include Robert K. Greenleaf, Karl Lewis, Daniel
Goleman, Bruce Avolio, and Bernard M. Bass.
Effective leadership has more to do with leadership style. Hence, a leader’s ability to take
charge and know whether a situation requires an executive decision or a more consultative one
is vital. Furthermore, a leader needs to have the ability to know the most effective leadership
style that is suitable for an organization or situation to succeed. Understanding one’s leadership
style allows a leader to take ownership, control, and responsibility for the size and scope of the
tasks ahead.
A study by Daniel Coleman in a Harvard Business Review article, Leadership That Gets
Results, reviewed and analyzed more than 3,000 middle-level managers to find out specific
leadership behaviors and their effect on profitability. The results revealed that a manager’s
leadership style was responsible for 30% of the company’s bottom-line profitability.
An understanding of one’s leadership style and the ability to be flexible based on changing
circumstances will likely result in the additional benefits below:
1. Democratic Leadership
A democratic leadership style is where a leader makes decisions based on the input received
from team members. It is a collaborative and consultative leadership style where each team
member has an opportunity to contribute to the direction of ongoing projects. However, the
leader holds the final responsibility to make the decision.
Democratic leadership is one of the most popular and effective leadership styles because of its
ability to provide lower-level employees a voice making it equally important in the organization.
It is a style that resembles how decisions are made in company boardrooms. Democratic
leadership can culminate in a vote to make decisions.
Democratic leadership also involves the delegation of authority to other people who determine
work assignments. It utilizes the skills and experiences of team members in carrying out tasks.
The democratic leadership style encourages creativity and engagement of team members,
which often leads to high job satisfaction and high productivity. However, establishing a
consensus among team members can be time-consuming and costly, especially in cases where
decisions need to be made swiftly.
2. Autocratic Leadership
Autocratic leadership is the direct opposite of democratic leadership. In this case, the leader
makes all decisions on behalf of the team without taking any input or suggestions from them.
The leader holds all authority and responsibility. They have absolute power and dictate all tasks
to be undertaken. There is no consultation with employees before a decision is made. After the
decision is made, everyone is expected to support the decision made by the leader. There is
often some level of fear of the leader by the team.
The autocratic type of leadership style can be very retrogressive as it fuels employee
disgruntlement since most decisions would not be in the employees’ interests. An example can
be a unilateral increase in working hours or a change in other working conditions unfavorable to
employees but made by leadership to increase production. Without employee consultation, the
manager may not be fully aware of why production is not increasing, thereby resorting to a
forced increase in working hours. It can lead to persistent absenteeism and high employee
turnover.
However, autocratic leadership can be an effective approach in cases where the leader is
experienced and knowledgeable about the circumstances surrounding the decision in question
and where the decision needs to be made swiftly. There are other instances where it is also
ideal such as when a decision does not require team input or an agreement to ensure a
successful outcome.
3. Laissez-Faire Leadership
Laissez-faire leadership is accurately defined as a hands-off or passive approach to leadership.
Instead, leaders provide their team members with the necessary tools, information, and
resources to carry out their work tasks. The “let them be” style of leadership entails that a leader
steps back and lets team members work without supervision and free to plan, organize, make
decisions, tackle problems, and complete the assigned projects.
The laissez-faire leadership approach is empowering to employees who are creative, skilled,
and self-motivated. The level of trust and independence given to the team can prove to be
uplifting and productive and can lead to job satisfaction.
At the same time, it is important to keep such a type of leadership in check as chaos and
confusion can quickly ensue if the team is not organized. The team can end up doing
completely different things contrary to what the leader expects.
According to research, laissez-faire leadership is the least satisfying and least effective.
4. Transformational Leadership
Transformational leadership is all about transforming the business or groups by inspiring team
members to keep increasing their bar and achieve what they never thought they were capable
of. Transformational leaders expect the best out of their team and push them consistently until
their work, lives, and businesses go through a transformation or considerable improvement.
Such a style of leadership is often associated with high growth-oriented organizations that push
boundaries in innovation and productivity. Practically, such leaders tend to give employees tasks
that grow in difficulty and deadlines that keep getting tighter as time progresses.
However, transformational leaders risk losing track of individual learning curves as some team
members may not receive appropriate coaching and guidance to get through challenging tasks.
At the same time, transformational leaders can lead to high productivity and engagement
through shared trust and vision between the leader and employees.
5. Transactional Leadership
Transactional leadership is more short-term and can best be described as a “give and take” kind
of transaction. Team members agree to follow their leader on job acceptance; therefore, it’s a
transaction involving payment for services rendered. Employees are rewarded for exactly the
work they would’ve performed. If you meet a certain target, you receive the bonus that you’ve
been promised. It is especially so in sales and marketing jobs.
Transactional leadership establishes roles and responsibilities for each team member and
encourages the work to be completed as scheduled. There are instances where incentive
programs can be employed over and above regular pay. In addition to incentives, there
are penalties imposed to regulate how work should be done.
Transactional leadership is a more direct way of leadership that eliminates confusion between
leader and subordinate, and tasks are clearly spelled out by the leader. However, due to its rigid
environment and direct expectations, it may curb creativity and innovation. It can also lead to
lower job satisfaction and high employee turnover.
Example:
Fast food chains
● Managers reward employees who are fast and maintain quality with bonuses or extra
hours
Sales teams
● Salespeople are given quotas to meet, and are rewarded with bonuses or commissions
for meeting or exceeding them
Schools
● Students are rewarded with good grades for performing well, and punished with bad
grades for performing poorly
Charismatic leadership employs charisma to motivate and inspire followers. Leaders use
eloquent communication skills to unite a team towards a shared vision. However, due to the
charismatic leaders’ overwhelming disposition, they can see themselves as bigger than the
team and lose track of the important tasks.
Example:
Martin Luther King Jr.
An influential figure in American history who inspired optimism and created lasting change
Mother Teresa
A servant-leader who treated all people with dignity and respect, and focused on helping others
grow
Transformational leadership is all about transforming the business or groups by inspiring team
members to keep increasing their bar and achieve what they never thought they were capable
of. Transformational leaders expect the best out of their team and push them consistently until
their work, lives, and businesses go through a transformation or considerable improvement.
Such a style of leadership is often associated with high growth-oriented organizations that push
boundaries in innovation and productivity. Practically, such leaders tend to give employees tasks
that grow in difficulty and deadlines that keep getting tighter as time progresses.
However, transformational leaders risk losing track of individual learning curves as some team
members may not receive appropriate coaching and guidance to get through challenging tasks.
At the same time, transformational leaders can lead to high productivity and engagement
through shared trust and vision between the leader and employees.
Example :
Steve Jobs
Had a compelling vision for Apple's future, focusing on innovation, design excellence, and
customer satisfaction
Elon Musk
Set ambitious goals and drove his teams intensely to achieve them, leading to extraordinary
achievements like the first privately funded launch of a spacecraft by SpaceX to the
International Space Station.
Transactional leaders make sure the team is running smoothly and producing results
today, while transformational leaders spur innovation and look toward tomorrow. In
either case education and training can be an effective tool in advancing one's abilities as
a leader.
7. Servant Leadership. Servant leaders place the satisfaction of their employees above all
else. They believe that the professional and personal fulfillment of their team members will
result in a higher quality of work, and servant leaders place the needs of others above their own.
Servant leadership involves a leader being a servant to the team first before being a leader. A
servant leader strives to serve the needs of their team above their own. It is also a form of
leading by example. Servant leaders try to find ways to develop, elevate and inspire people
following their lead to achieve the best results.
Servant leadership requires leaders with high integrity and munificence. It creates a positive
organizational culture and high morale among team members. It also creates an ethical
environment characterized by strong values and ideals.
However, other scholars believe servant leadership may not be suitable for competitive
situations where other leaders compete with servant leaders. Servant leaders can easily fall
behind more ambitious leaders. The servant leadership style is also criticized for not being agile
enough to respond to tight deadlines and high-velocity organizations or situations.
8. Bureaucratic Leadership. A bureaucratic leader is a “by the books” leader. They adhere
strictly to company policy and tradition, and set clearly-defined expectations for their team
members to follow. This is a stable, systematized approach to leadership that can be an
effective style in highly regulated departments.
Bureaucratic leadership is a “go by the book” type of leadership. Processes and regulations are
followed according to policy with no room for flexibility. Rules are set on how work should be
done, and bureaucratic leaders ensure that team members follow these procedures
meticulously. Input from employees is considered by the leader; however, it is rejected if it does
not conform to organizational policy. New ideas flow in a trickle, and a lot of red tape is present.
Another characteristic is a hierarchical authority structure implying that power flows from top to
bottom and is assigned to formal titles.
Although there is less control and more freedom than an autocratic leadership style, there is still
no motivation to be innovative or go the extra mile. It is, therefore, not suitable for young,
ambitious organizations on a growth path.
Bureaucratic leadership is suitable for jobs involving safety risks or managing valuable items
such as large amounts of money or gold. It is also ideal for managing employees who perform
routine work