Any organization’s success, growth, and development depend primarily on the person leading the charge. A true leader is someone who can visualize the bigger picture and determine the direction and purpose for their business. They can recognize and harness the strength of their teammates, encouraging them to do their best.
That said, heading an institution and its members is no easy task and comes with tons of added responsibility. Leaders must learn to flex between multiple leadership styles according to the demands of a given situation. Only then can they provide direction, implement plans and motivate their associates. Listed below are a few business leadership styles that most wise leaders choose to follow.
Autocratic
This is perhaps the oldest leadership style in the business playbook and one that most leaders have used in the past. According to William Schantz, an autocratic leader has complete control over all decisions and prefers little to no input from their associates. They rarely take into account the opinions of their teammates and prefer to make choices based solely on their judgment. Autocratic leadership offers a straight chain of command, allowing effective and efficient completion of tasks. While this leadership style gets the job done, associates often view such a leader as ‘bossy’ and start to resent them in the long run. The lack of input de-motivates teammates, who often feel discouraged and left out.
Pacesetting
This business leadership style is perfect for a leader who likes to lead by example. They are highly driven and prefer to set the bar high for themselves and their associates. Such a leader clearly emphasizes the standards and goals, expecting quality performance from their team and prioritizing results above all else. They encourage healthy competition amongst colleagues, pushing them to run hard and fast towards the finish line. While this style is known to boost team spirit, it too can be off-putting if implemented consistently. The immense pressure and rivalry can cause employees to feel burned and develop a negative attitude towards one another.
Democratic
Also called participative leadership, this is a style implemented by a leader who likes to take into account the advice and opinions of their team. Although the head makes the final call, every associate gets a seat at the table, allowing them to express their ideas and concerns. William Schantz says, it is perhaps the most effective of all business leadership styles because team members, regardless of their designation, can participate and exercise their authority. All colleagues feel heard and seen. This creates a positive working ambiance, promotes trust, boosts team morale, and encourages cooperation.
Coaching
A leader following this style intends to maximize employee performance by embracing their individual personalities, talents, and skills. Instead of forcing employees to work towards the same goal, a coach harnesses the individual strengths of each member. The coach-style leader works to create a unique team where each member specializes in something different. Leaders who employ this leadership style encourage associates to tap into their abilities and create a collaborative working environment filled with trust and safety. However, such leadership isn’t always efficient and may not be appropriate for high-pressure, result-driven businesses.
Conclusion
The key to being a great leader lies in knowing which leadership style fits the requirements of your business and works best for your team. To enhance effectiveness, you must learn to switch between different styles depending on the need of the hour. After all, while being gentle and giving room to your employees may foster a healthy work relationship; sometimes you need to be strict to get the job done. For more information, contact William Schantz.
