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Top 5 Types of Leadership in Management

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27th Oct, 2022
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Top 5 Types of Leadership in Management

Management comprises several organs working together in harmony to fuel a business towards success. These organs are significant to the company’s growth and maintain a balanced atmosphere in the workspace. Lack of strategic approach, behavioral conflicts, inconsistent teamwork or inaccurate resources can stem from inefficient or poor management. This is where a leading figure takes charge to restore balance. 

Different types of management styles followed by organizations demand a leading figure with adequate skills to manage and assist people towards organizational goals. The figure controls and commands without the overpowering workforce to analyze the brand demands and satisfy them while working on their personal growth. Leadership is significant for the development of a company’s management wing. 

Let’s learn all about leadership and its different types of management styles to help run diverse management!

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What is Leadership?

Leadership refers to mobilizing the workforce to work along with available resources and strategic plans toward organizational success. The position is held by an individual possessing skills and inherent qualities to effectively communicate, influence, and mobilize people to achieve short-term and long-term business goals. 

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While leadership qualities drive a company’s success, it also emphasizes the well-being of the participating workforce. Each employee must thrive under their guidance and grow professionally under a positive leader who inspires and challenges them to push their limits.

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Leadership in Management: Why is it important?

Reports claim around 83% of organisations believe they need leaders at every company tier to ensure a smooth sailing entity. Management comprises diverse roles and organs, essential for accomplishing multiple business objectives. While a managerial role simply drives people to optimize their productivity, leaders influence the team inherently, fueling the professional and personal development of every participant. 

Leadership’s importance reflects through the priorities it sets for the organization and its employees. Emphasizing personal growth, leaders envision better business opportunities. Leadership roles simultaneously balance technical and interpersonal aspects to create a harmonious working environment. 

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Types of Leadership in Management

Leadership qualities differ with situations and strategies for apt implementation. These styles can be changed depending on the workforce, available resources and time limits for crucial projects. Thus, types of leadership in management is divided into five different categories or approaches. 

1. Transformational Leadership

The transformational leadership style encourages positive change among employees and motivates people through a vision to assimilate changes for good. This style enables leaders to inspire teammates and encourage them to follow a positive journey towards becoming good leaders themselves. 

Advantages

  • Prioritises corporate vision
  • Values relationship among workers and creates a healthy environment
  • Improves communication among team
  • Encourages to map out lacking points and work on it
  • Establishes problem-solving skills

Disadvantages

  • Creates additional pressure on the workforce 
  • Consistent communication can be time-consuming
  • Requires frequent participation

2. Authoritarian Leadership

An authoritarian leadership style refers to a leadership style in management where one person exercises complete control over the entire workforce and their responsibilities. The leader commands people to work and rarely takes orders or feedback for changes from teammates. 

Advantages

  • Faster decision-making process
  • A unified and cohesive strategical approach 

Disadvantages

  • Asserts responsibility on a single entity
  • Lack of feedback and new ideas
  • It might lead the workforce to rebel
  • Kills collaborative innovation

3. Delegative Leadership

Delegative leadership entails increased group effect and little to no collaboration of the leader. In this leadership style, the leader delegates responsibilities among team members and allows them to engage in individual work. The leader has minimal participation in the organization’s daily functioning. 

Advantages

  • Fuels individual innovation
  • Reduces employee stress
  • Creates a positive work environment through employee satisfaction

Disadvantages

  • Lacks cohesiveness due to individual work and the leader’s minimal role
  • Shifting blame on teammates
  • Lack of accountability

4. Transactional Leadership

A transactional leadership role is relevant to managerial responsibilities. The style follows a ‘transaction’ protocol where employees receive gifts or rewards for the work they perform. The reward-based system allows the leaders to only engage with employees to check time-bound goals or lack of efficiency. 

Advantages

  • Putting up exceptional work will lead the entity to gain benefits
  • Compiles work in a structural manner
  • Increases productivity to target reward

Disadvantages

  • Lack of team communication
  • Diminishing creativity and innovation
  • Little to no leadership development, creating more followers than leaders.

5. Participative Leadership

Participative leadership in management refers to a style of leadership which values the participation of the entire workforce. It allows leaders to invite all team members and offer their valuable feedback to conclude. Their input is essential before reaching any final decision. 

Advantages

  • Encourages team spirit and collaboration
  • Improves communication
  • Achieves high level of productivity
  • Encourages innovation and creativity through diverse ideas

Disadvantages

  • A time-consuming process involving a long feedback window from employees
  • Can cause frequent conflicts
  • A rise in security issues with the participation of too many people
  • Hindrance in project quality due to changing expertise

How to Improve Leadership Skills for Management Roles?

The best part about leadership skills is that they can be developed and improved if you are willing to put in the work. Leadership improvement further demands following several essential steps. 

  • Work on self-awareness to start the journey. Knowing your weakness and strength extends an opportunity to improve them.
  • Communication skills can offer you diverse opportunities in life. Hence, it is essential to understand your current proficiency level and improve accordingly.
  • Lay down your goals, short or long, and start working on them.
  • Accept failures and criticism, view them as learning curves, and improve upon your problem points. 

Stepping into the Management World

Stepping into any business with effective leadership qualities can prepare you for a successful leadership role. But what about educational endeavors? Management courses can help you implement and improve many of your leadership skills. upGrad’s Leadership and Management in New-Age Business Program developed by Wharton faculty, is one such program which might help you broaden your leadership skills.

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The course contains fundamentals of management, effective communication, business strategy, supply chain management, digital innovation, and more to enhance learners into leaders. upGrad’s extended learning services include benefits such as career guidance, career counselling, expert mentorship and 360-degree career support to establish well-rounded candidates ready for the competitive market. 

Visit upGrad to learn more about the course and enroll!

Conclusion

Following essential leadership styles and knowing which one is most suitable for your management can bring drastic changes to your workforce. A true leader oversees growth for every individual working under their wing, from personal to professional. Therefore, knowing these leadership styles and other facts is essential to take a step and work toward becoming a better leader. Leadership demands consistent work, so put on your thinking cap and analyze your leadership bone for better management.

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Kamal Jacob

Blog Author
Kamal is an experienced Online marketing consultant with a high degree of expertise in SEO, Web Analytics, Content/Technical planning and marketing.

Frequently Asked Questions (FAQs)

1What is good leadership?

Good leadership refers to a leader owning all the qualities that boost a company’s success while maintaining a healthy relationship with the workforce. Good leadership drives the entire team towards efficiency to achieve organizational success without leaving anyone behind or pushing the workforce to follow an unhealthy work pattern. It entirely depends on maintaining a balance.

2Is leadership a skill?

Yes. Leadership is a skill a leader must work on to improve through the years. While it is a skill-based trait, it is not made up of a single skill. Leadership combines diverse traits, including communication, teamwork, patience, efficiency, and agility. When all of these work together, leadership skill shines.

3What are the core leadership skills?

Core leadership skills include effective communication, self-awareness, influence, and the ability to learn more. These skills work together to make a good leader that manages a company’s well-being and harmony among the team members. Generating good leadership in different management styles without these core qualities is impossible.

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