5. Autocratic Leadership
Autocratic leadership is defined by a top-down approach when it comes to all
decision-making, procedures, and policies within an organization. An autocratic
leader focuses less on collecting input from team members and tends to make
executive decisions that others are expected to follow.
When they are effective:
The autocratic leadership style gets a lot of flak, but it can be useful in some
situations as:
One of these is in typical situations, such as if your company is facing a crisis and
needs fast decision-making.
It can also be a good idea to give the most skilled person autocratic control in
highly technical companies and projects so that they can make well-informed
decisions quickly.
6. Transactional Leadership
Transactional leadership is defined by control, organization, and short-term
planning. Leaders who adopt this style rely on a system of rewards and
punishment to motivate their followers. As you can see, there are many similarities
between transactional leadership and autocratic leadership. The main difference is
that, in exchange for compliance and high performance, an employee might be
rewarded with a promotion.
When they are effective:
Transactional leadership is all about efficiency and sustainability. Transactional
leaders run a give-and-take system in which employees are rewarded for good
performance and punished for bad – these leaders are not interested in making
waves.
7. Bureaucratic Leadership
Bureaucratic leadership relies on a clear chain of command, strict regulations, and
conformation by its followers. As the name implies, this is a leadership style that’s
commonly found in government entities, as well as military and public
organizations.
When they are effective:
There’s a reason bureaucratic leadership is associated with big corporations, and
that’s because it’s hard to run such a big company effectively without a secure
operating framework.
Bureaucratic leader is in highly technical departments where strict rules and a
chain of command are necessary to keep things in order. These might include
accountancy and law.
8. Transformational Leadership
Transformational leaders create a vision based on identified needs and guide their
teams toward that unified goal through inspiration and motivation. The main
difference is that this one is focused on changing the systems and processes that
aren’t working – unlike transactional leadership, which don’t aim to change the
status quo.
When they are effective:
Transformational leadership, as you’d expect from the name, is most effective in
times of change.
This could be during mergers and acquisitions, restructuring, rebranding,
diversifying a product line – any situation in which you need a leader to run point on
innovation.
9. Coaching Leadership
Coaching leadership is a style defined by collaboration, support, and guidance.
Coaching leaders are focused on bringing out the best in their teams by guiding
them through goals and obstacles.
When they are effective:
Coaching leadership was most effective in building relationships and self-efficacy.
This type of leader is best placed in direct management roles, working with teams
where individual members lack the skills or knowledge they need to achieve their
goals or have become bored or dissatisfied over time.
10. Democratic Leadership
Democratic leadership, which is also commonly known as participative leadership,
is about letting multiple people participate in the decision-making process. This
type of leadership can be seen in a wide range of contexts, from businesses to
schools to governments.
When they are effective:
Democratic leadership is effective in teams that are highly skilled and experienced,
particularly when those skills and experiences are diverse.
A medical team is a good example. Ideally, the doctor in charge of care for a
critically ill patient would consult a number of specialists who have also examined
the patient before making big decisions for that person, such as changing their
medications, performing risky surgical procedures.
11. Servant Leadership
Servant leadership puts the needs and wellbeing of followers first. In other words,
these types of leaders adopt a serve-first approach and growth mindset to prioritize
their organization, employees, and community above themselves.
When they are effective:
A servant leadership style is ideal when your leader will be managing disparate
workers or teams who need to be able to work independently, such as:
1. Remote teams of freelance writers or developers
2. Travelling salespeople
3. Offices in different regions or countries
12. Laissez-Faire Leadership
Laissez-faire leadership takes a hands-off approach to leadership and gives others
the freedom to make decisions. While leaders still provide their teams with the
resources and tools they need to succeed, they remain largely uninvolved in the
day-to-day work. This is a leadership style you’ll commonly find in creative settings,
such as advertising agencies or start-ups, due to its encouragement of
independent thinking.
When they are effective:
This style is most effective when you are supervising teams of highly skilled
individuals. Team members will have a higher level of skill than you. It is this
combination of practical skill but lack of leadership skills that enables the laissez-
faire style to be so effective; while you are expected to establish the goals, targets,
and deadlines, you trust that your team is talented enough to make the best
decisions in their area of expertise to achieve these objectives.
13. Pacesetter Leadership
Pace-setting leadership is a result-focused form of leadership, where the leader of
a team instructs the team on what to do, how to do it and when to do it through his
or her actions. Pace-setting leadership involves setting an example by placing a
high standard of performance and expecting the employees to reach to complete
the set goals.
When they are effective:
The pacesetter leadership style is effective in temporary projects and teams that
are already highly motivated and competent and have clear measures for success
and growth.
A famous example of a pacesetter leader is Jack Welch, one-time chief executive
officer of General Electric. He took a hard line on ranking his employees, rewarding
the top 20% and firing the bottom 10%. During his tenure, the company’s value
rose by 4,000.
14. Visionary Leadership
Visionary leadership is a business leadership style that focuses on a long-term
plan for the future. A strong visionary leader has a clear idea of the future, which
they communicate to their employees to foster a community of collaboration and
teamwork.
When they are effective:
The visionary leadership style is most effective when a big change is a foot and
when a clear vision is needed to move the company forward.
Steve Jobs is a great example. When he returned to Apple in 1997 as the chief
executive officer, the company was nearly bankrupt, but he made several big
changes fast. He:
1. Convinced Microsoft to invest $150m
2. Cut the number of Apple products by 70%
this led to an unbelievable profit the following year.