When it comes to running a business, there are multiple decisions that business owners must make which impact employee performance and the success of goods and services. The way we choose to lead is crucial in determining these outcomes as it directly affects employee work and client satisfaction. Leadership style can be influenced by personal preferences but should not be chosen arbitrarily.
To effectively manage personnel, understanding factors influencing leadership decisions is important. In my opinion, three main factors shape my choice of leadership style: my own personality, employee characteristics, and the working environment.
The leader’s personality significantly determines their adopted leadership style. Aligning natural traits with a specific management approach often results in successful outcomes by fostering a comfortable dynamic between leaders and their team.
Individuals who are outgoing and sociable tend to choose the transformational leadership style in order to connect and communicate with others. The diversity of employees also has a significant impact on leadership style. Companies often have employees from different races, genders, ages, and cultures, so leaders must adapt by developing a vision and a multi-cultural approach to their work. A participatory management style that involves close collaboration with employees is best suited for diverse sets of workers. For example, my information technology company may attract younger employees who thrive in a collaborative environment where tasks are shared among multiple individuals. This open work style encourages the exchange of ideas and relies more on two-way communication rather than isolated cubicle work. The level of closeness in working with employees influences one’s interactive style, which is why I prefer the transformational leadership style. Additionally, the working environment also plays a significant role in determining our chosen leadership style. The demands of the organization – including its market, systems, processes – as well as its culture greatly influence our approach to leadership.
Organizations that deal with safety critical products or services, which carry high risk, require fast responses or are coming under attack or criticism, are more likely to foster aggressive styles of leadership. On the other hand, those organizations that encourage continuous improvement and innovation, or which are keen to develop customers, staff and suppliers, are more likely to foster participative styles of leadership. Organizational culture represents the collective version of individual personality and determines how the organization’s leadership communicates and makes decisions. Moreover, an organization’s culture tends to reinforce compatible styles of leadership in its junior leaders. To conclude, leadership style is determined by the approach a leader adopts, and there are several styles available depending on the circumstances and factors influencing the leader’s decision-making process. Ultimately, the choice of flexibility and adopting a specific style lies with the leader.
