business - leadership

Leaders

Have a vision and often think long term.

Think of ways to improve and innovate.

Look to inspire and motivate others.

Constantly wanting to be moving forwards.

Managers

Make decisions that affect day to day.

Set objectives for departments and staff.

Allocate resources/staff.

Aim to meet targets and maintain stability.

Autocratic leadership

The leader makes the decisions on their own.

They will identify the objectives of the business/department and say exaction how they are going to be achieved.

Advantages of autocratic leadership

Quicker decision making.

Appropriate in a crisis situation.

Good for unskilled workers as lots of clarity.

Disadvantages of autocratic leadership

Less creativity as no employee input.

Demotivating as no responsibility.

More supervision required.

Possible high labour turnover.

Paternalistic leadership

A softer form of autocratic leadership and is used in similar situations.

It does care more about wellbeing and motivation and employees will be consulted in decisions - also called ‘fatherly’.

Advantages of paternalistic leadership

More input into decisions.

Employees feel valued so motivation increases.

Employees are more loyal to the business.

Disadvantages of paternalistic leadership

May slow down decision making.

Could be distrust if favouritism is perceived.

Some supervision still required.

Democratic leadership

A leader encourages employees to participate in the excision making.

They will discuss, listen to advice and will delegate responsibility.

Advantages of a democratic leadership

More input into decisions.

Less pressure on leaders.

Employees more loyal to the business.

Employees feel valued so motivation increases.

Disadvantages of democratic leadership

Difficult in large businesses.

Longer decision making.

Not good in a crisis.

Some employees will feel rejected.

Laissez-faire leadership

A hands off approach to leadership.

Support and coaching may be offered but the leader will rarely interfere in the running of the business.

Advantages of laissez-faire leadership

More innovation and less micromanaged.

Hood for small, highly motivated employees.

Lots of responsibility so employees feel valued.

Disadvantages of laissez-faire leadership

Often ineffective.

Lots of pressure as lack of support.

Demotivated due to increased stress levels.

Transformational leadership

Used when a business needs change. Highly innovative style which encourages ideas on how to improve and then inspire employees to make the changes.

Advantages of transformational leadership

Encourages innovation and learning.

Engaging as it breaks up monotony.

Good for businesses that need changing.

Disadvantages of transformational leadership

Too much freedom can be risky.

Sometimes overwhelming to look at big picture.

Can result in employee burnout.

Influences on the style of leadership

Size of the business.

Culture of the business.

Skill level of staff.

Time frame.

Nature of the task.

Personality of the leader.