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Analysis of Leadership Theories and Applicability at ECG
Loren Karl Schwappach
Colorado Technical University

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Abstract
This paper is an analysis of the leadership theories and styles identified by Kurt Lewin and
colleagues in 1939 and my hypothesis identifying the most logical leadership method suited to
promote a sound, ethical, and productive corporate atmosphere at Expert Consulting Group
(ECG)

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Analysis of Leadership Theories and Applicability at ECG
Introduction
As the newly appointed compliance officer for ECG it is my duty and privilege to
continuously review corporate ethical policies and practices. Additionally I am obligated to
spread corporate knowledge of acceptable and unacceptable ethical behaviors and practices
while providing leadership and management with the latest methods of incorporating these
practices into strategic and tactical methodologies.
In the first corporate wide correspondence with ECG employees I wrote about the
distinctions that separate manages from leaders. In essence leaders are strategists that influence
the energy in others providing a vision to followers in order to achieve a strategic goal and
managers are transactional tacticians responsible for executing a plan of action designed to
achieving a set objective.
In the second correspondence with ECG employees I discussed several theoretical
approaches to ethics in order to assist ECG staff, leadership, and employees in understanding the
relevance of ethical theories to organizational problems.
In today’s correspondence I will return once again to the art of leadership. After my
return from this year’s Annual Compliance Officers Conference I spent several nights in deep
thought about the influence of leadership on corporate ethics. After concluding my research, I
have isolated numerous research theologies and selected the three most contrasting leadership
styles from the group. The three styles I identified were studied by Kurt Lewin in the late 1930s.

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After reviewing Lewin’s styles of leadership I was able to relate leadership traits that are
most likely to be found in the styles’ practitioner to allow for natural, effective, appropriate
situational control as necessary to maximize the effectiveness of leadership. After weighing the
advantages and disadvantages of each style separately I then hypothesized the theoretical
organizational impacts from using each style.
Using all of this information I then concluded what I believe to be the most effective of
the three leadership styles necessary to promote a sound, ethical, and productive corporate
atmosphere at Expert Consulting Group (ECG).
I choose to review the three leadership styles of autocratic, democratic, and laissez-faire
based leadership because of the striking differences that separate each of them and the
contrasting traits that should be necessary in the leaders for each method to maximize leadership
effectiveness.
Additional leadership styles discovered during my research include charismatic,
participative, situational, transactional, transformational, servant, explorative authoritative,
benevolent authoritative, consultative, participate, visionary, coaching, pacesetting, and
commanding leadership. Each of these styles deserves careful attention; however, for the
purpose of today’s correspondence I will only discuss autocratic, democratic, and laissez-faire
leadership styles.
Autocratic Leadership

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In autocratic leadership, leaders not followers have the most authority and control in the
decision making process. Autocratic leaders seek to retain responsibility rather than delegate
responsibilities. (Marshall & Ren, 2011, pg. 3)
This leadership style has the advantages of faster decision making, increased
productivity, and reduced stress. (Marshall & Ren, 2011, pg. 3)
The disadvantages include deskilled, unmotivated, and less confident followers, micro-
management, and a lack of creative decision making. (Marshall & Ren, 2011, pg. 3)
A good leader planning to succeed primarily using the autocratic style would need to be
confidant, charismatic, decisive, enthusiastic, and brave.
Appropriate situations to best utilize the autocratic leadership style occur when there is
limited time for decision making, unskilled or new followers, effectual supervision is only
possible through command and instruction, followers fail to react to other leadership styles and
when work must be integrated throughout various departments.
Situations in which autocratic leadership should not be utilized include, when followers
have the strong desire to be listened to, are overly dependent upon management, when there is
low follower morale, and if followers seem fearful.
Expected organizational impacts from using the autocratic style are dependent upon the
character traits of the leader and followers. Yet, I believe it would most likely produce long term
negative results due to stiffened creativity and a lack of follower confidence, skill and
motivation. This style is suggested to be used only in grave situations where a follower fails to
respond to the Democratic leadership style.

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Democratic Leadership
In democratic leadership the leader sees everyone as an equal, continuously seeking
feedback and consultation on issues and decisions. (Marshall & Ren, 2011, pg. 3) The leader
delegates responsibilities by assigning tasks to followers.
This leadership style has the advantages of creative thinking, fewer mistakes, and
providing for a more cohesive team. One disadvantage includes a lengthy decision making
process. (Marshall & Ren, 2011, pg. 3)
A good leader planning to succeed primarily using the democratic style would most
likely be political, indecisive, overly dependent, and a good communicator.
Most of the time, this is the preferred leadership style sought by followers. (Yukongdi,
2010, pg. 172)
Appropriate situations to best utilize the democratic leadership style occur when there is
plentiful time for decision making, several skilled or old followers, and/or followers fail to react
to other leadership styles.
The expected organizational impacts from using the democratic style are again dependent
upon the character traits of the followers. Yet, I believe this style would produce the greatest
variety of positive results with the least amount of disadvantages for a corporation.
Laissez-Faire Leadership

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The laissez-faire leadership style provides the least amount of direction. All authority is
delegated. The followers must determine the goals, decisions, and problem resolutions.
(Marshall & Ren, 2011, pg. 3)
This leadership style has the advantages of creative thinking, flexibility, originality and
allows for emergent leaders. Some disadvantages include frustration, poor quality of outcomes,
disorganization, and limited follower growth. (Marshall & Ren, 2011, pg. 3)
A good leader planning to succeed primarily using the laissez-faire style would most
likely be free going, indecisive, not opinionated, and relaxed.
Appropriate situations to best utilize the laissez-faire leadership style occur when there is
a huge majority of skilled or seasoned followers, and/or followers fail to react to other leadership
styles.
The expected organizational impacts from using the laissez-faire leadership style are
again dependent upon the character traits of the leader and followers. Yet, I believe this style is
far too directionless, chaotic, and carefree for most organizations.
Recommendation for ECG
I believe it is in the best interest for leaders to constantly analyze their environment and
the responsiveness of their followers. Reviewing the advantages and disadvantages of each I
would initially say that it is in the best interest of ECG leadership to utilize the democratic
leadership style. However, while the democratic approach is often the preferred follower style
toward leadership (Yukongdi, 2010, pg. 172), it isn’t always the most effective and can’t work

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for all of the people all of the time. There will be times when ECG leaders need to use the
autocratic or laissez-faire styles in order to maximize employee energy and response. Therefore
leadership should have an understanding of how to best utilize each style and make careful
analysis of the followers and environment so that they know when and where to utilize one style
over another.

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References
Marshall, J. & Ren, L. (2011). Does leadership style matter? Investment committee decision-
making study. Vanguard research, June, Retrieved July 17, 2011, from
http://us.vocuspr.com/newsroom/ViewAttachment.aspx?SiteName=vanguardnew&Entity
=PRAsset&AttachmentType=F&EntityID=841453&AttachmentID=faf7d421-125e-4a0a-
a05e-e051871ccf3b
Yukongdi, V. (2010). A study of Thai employees' preferred leadership style. Asia Pacific
Business Review, 16 (1-2). pp. 161-181. ISSN 1360-2381