Home Business Insights & Advice Leadership styles in business: Finding the right approach for employee management

Leadership styles in business: Finding the right approach for employee management

by Sarah Dunsby
15th Sep 23 4:02 pm

When running a successful business, finding the right approach to employee management can be like putting together a jigsaw puzzle – it takes time, patience, and a keen eye for detail. But don’t worry; leadership isn’t as daunting as it sounds. There are a variety of leadership styles, each with its strengths and weaknesses, and understanding these can make a world of difference in your workspace.

Autocratic leadership

Autocratic leadership, or authoritarian leadership, is characterized by individual control over all the decisions in an organization. The decisions of autocratic leaders are often based on the leader’s thoughts and assessments rather than those of his subordinates. This style can be beneficial in fast-paced environments where decisions need to be made quickly and without the need for team agreement. Nevertheless, striking the right balance is key in this kind of leadership style.

Democratic leadership

Democratic leadership, or participative leadership, is a style in which leaders involve team members in decision-making. Basically, the leader still has the final say, but input from team members is highly valued and considered.

This leadership style encourages open communication, fosters creativity, and boosts team morale by making employees feel valued and involved. However, adopting this leadership style requires caution, as spending too much time on discussions can slow the decision-making process.

Laissez-faire leadership

Laissez-faire leadership is also known as free-reign leadership. Leaders who adopt this style primarily give their teams autonomy, allowing them to make decisions and solve problems independently. These leaders are there to provide guidance and resources when necessary, but they generally allow their team members to work at their own pace and in their own way.

This leadership style is commonly used in creative fields or organizations with highly skilled and motivated teams, promoting innovation and out-of-the-box thinking. However, it may not be suitable for situations that require close supervision or in teams where members need more self-motivation or direction.

Transformational leadership

This leadership style is all about inspiring change and transformation in individuals and the organization as a whole. A transformational leader is concerned with getting the job done and driving personal and professional growth among team members. Most transformational leaders boost employee motivation through team-building exercises and classic wellness initiatives like the step challenge. Not only do these approaches result in employee empowerment, they also enhance overall productivity.


Just as there are different types of puzzles with varying degrees of complexity, various leadership styles are suitable for different situations and teams. It’s crucial to understand that no style is superior to the others, and the best leaders often flex their styles based on the specific situation or people they are dealing with. The key to effective leadership lies in understanding these styles and knowing when and how to apply them.

Remember, the goal is to complete the puzzle, enjoy the process, and ensure everyone else does. As you navigate your leadership journey, remember that effective leadership is not a one-size-fits-all approach but a dynamic process that calls for adaptability, empathy, and keen judgment.

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