The Leadership Styles Handbook:

Introduction

Everyone wants to know which style is considered the best and the worst when it comes to leadership styles. It’s a question thousands of people type into Google every year, and pages upon pages of search results seek to answer. Unfortunately, if you do this, you’re likely to end up more confused than when you started because, as you’ll quickly find out, there is no one answer to the question. 

That’s because leadership is so incredibly nuanced. For example, what works for a supervisor leading a team on the frontline of a manufacturing plant may be entirely different from their counterpart in the customer service or marketing department. In fact, these two leaders could argue until they’re blue in the face over which of their leadership styles is better and never come to an agreement. 

So, what does this mean for you? First, it means that you can relax knowing there is no wrong answer when it comes to adopting a leadership style (or styles!), as it will entirely depend on the nature of your work, your company’s culture, and those in your charge. Second, it means that finding your leadership style is not something that will happen overnight. Rather, it’s a process and your style will evolve as you do over the course of your career in leadership.

To get started, take the following quiz to find out your current dominant leadership style. Then, read through the guide to get a better understanding of not just that style, but the others as well. Also, as you read through each, think about a time when you adopted a given style - How did you feel? Was it effective? What were the circumstances? Think about your past leaders or mentors you look up to or want to emulate - Which style did they embody? Even consider the type of leader you want to be in 6 months or 6 years. In doing this, you will find yourself one step closer to knowing which leadership style is best for you.

The Charismatic Leadership Style

Charismatic leaders use various communication techniques to build strong emotional connections and interpersonal relationships, leading by example, and influencing others and fulfilling their mandate. They are the leaders who make employees feel that they can achieve a goal or milestone even in the face of adversity and who keep a positive attitude and encourage others to keep going when things get tough. According to a study in the Journal of Behavioral Studies in Business, they do this by using the following four techniques:

1. Humor - Self-deprecating humor is commonly used as a tool to show vulnerabilities, increase likability, “level the playing field,” and lower people’s guard, which contributes to the creation of an emotional bond.
2. Storytelling - The use of stories that include audience members or are humorous or self-deprecating is often used to illustrate a message, so the audience can better retain the information or instruction.
3. Reading the Audience - A charismatic leader observes or “reads” their audience's facial expressions, body language, and tone of voice to determine if a humorous story, dramatic pause, or change in cadence or tone is most appropriate.
4. Working the Room - By shaking hands, learning names, asking personal questions, actively listening, and generally connecting with the audience on a one-to-one basis, charismatic leaders get a “feel” of the room, which they can then use to alter their styles and techniques for optimal impact.

The Advantages of Charismatic Leadership

• Increased sense of belonging as a result of the employee’s emotional connection with their leader. (Cambridge University Press)

• Charismatic leadership is positively related to an individual’s identification with their workgroup or team, positively contributing to job involvement, job satisfaction, performance, and turnover intention. (International Journal of Psychology)

• The strong emotional connections and relationships charismatic leaders build with their employees can create a sense of trust and loyalty.

• Improved teamwork results from charismatic leaders' strategic vision, clear and articulate communication, sensitivity to the environment, and sensitivity to employee needs. (Leadership and Organization Development Journal)

• Employees led by charismatic leaders show signs of reduced stress and burnout. (University of London and University of Hertfordshire)

The Possible Disadvantages of Charismatic Leadership

• Employees may become too reliant on their charismatic leader to set the vision, tell them what to do or feel, and even motivate them.

• When charismatic leaders put exceptionally high-performance pressure on employees, employees may behave unethically to meet the set expectations. (International Journal of Environmental Research and Public Health)

• Charismatic leadership can be misused, manipulated, or abused to get what an individual wants or to further a personal agenda. (The Business and Management Review)

The Democratic/Participative Leadership Style

Unlike the leadership styles that operate using a top-down approach, the democratic leadership style, also referred to as participative leadership, forgoes the formal, hierarchical structure in favor of collaboration, teamwork, consensus, and participation from all. While democratic leaders prefer to work with their teams as equals and hear out all voices, they retain the formal authority and responsibility to make decisions they feel best to align with the interests of the team, client, or organization. Interestingly, in one study, 70% of respondents disagreed that this leadership style results in many problems in the workplace; rather, about the same percentage affirmed that democratic/participative leadership is more effective than autocratic and free rein leadership styles.

The Advantages of Democratic Leadership

• Democratic leadership builds high levels of trust, which leads employees to reciprocate through exhibiting higher levels of organizational performance. (International Journal of Development Strategies)

• Given the nature of democratic leadership, it can support creating an inclusive and collaborative team culture as an emphasis is put on everyone being heard.

• Democratic leadership increases employee satisfaction and organizational efficiency, thus positively influencing the success of the organization. (Canadian Journal of Business and Information Studies)

• Democratic/participative leadership is associated with increased creativity and problem-solving. (Journal of Developmental Entrepreneurship)

• The democratic leadership style is likely to engage and empower individuals due to feeling valued by their leader.

The Possible Disadvantages of Democratic Leadership

• The decision-making process is inevitably slowed down or overly complicated as democratic leaders seek out and contemplate many perspectives, which can be particularly problematic in crises where decisions need to be made quickly.

• Employees may consciously or unconsciously resent a leader’s decision if they feel their perspective is not adequately considered. For that reason, democratic leaders should be prepared to explain the rationale for a decision to an appropriate extent.

• If democratic leaders appear to take one individual's “side” or perspective too often, it can be interpreted as favoritism which can, in turn, cause tension.

The Laissez-Faire Leadership Style

Laissez-faire leaders typically take a hands-off approach to managing others and seek to limit their interference with the day-to-day activities of those around them. However, this absence does not absolve them of responsibility for their employee’s behaviors, actions, and outcomes. The most effective laissez-faire leaders realize this and are prepared to step up when their team needs it. 

As you can imagine, this leadership style is risky in the wrong circumstances, such as when employees are new or untrained. On the other hand, laissez-faire leadership can be highly effective for those managing highly trained teams of experts, creative departments or projects, or employees with a track record of success, accountability, and motivation.  

The Advantages of Laissez-Faire Leadership

• Reduces an employee's dependence on the leader as the absence of a leader challenges them to find answers, proactively problem-solve, and make decisions independently.

• Employees learn new skills and establish interpersonal relationships they may not otherwise have in order to fulfill the mandate.

• Potentially reduces the amount of time a leader spends directly managing people, which could mitigate micromanagement.

• Certain employees will be challenged, motivated, and empowered by the freedom and control they have over their work and life on the job under a laissez-faire leader.

• Can lead to an increased number of unique learning and development opportunities that engage employees.

The Possible Disadvantages of Laissez-Faire Leadership

• Laissez-faire leaders who withhold reinforcement, constructive feedback, or praise, either intentionally or unintentionally, negatively impact their employee’s performance in one of two ways; they either decrease the probability of future desired behavior or open the door for increased levels of undesired performance. (European Journal of Management)

• Individuals whose sense of self is strongly tied to their interpersonal relationships may experience laissez-faire leadership as disappointing, resulting in negative attitudes toward their supervisors and the organization. (Journal of Business and Psychology)

• Laissez-faire leadership has been found to have a negative relationship with innovation and engagement at work. (Heliyon)