Different Leadership Styles Used by Companies During Success and Crisis
Leadership styles play a large role in the success or failure of an organization. Depending on the current condition of the organization, managers may need to apply certain leadership styles in particular situations. Each leadership style offers benefits to an organization and possesses drawbacks. Companies seeking success or how to effectively handle a crisis must know the best leadership style to incorporate during these times.
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Transformational
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Transformational leadership is a powerful style implemented in many organizations that enjoy or desire success. Transformational leaders influence employees by providing an example. A transformational leader can inspire others to achieve success by encouraging innovation and creativity. Managers who implement this leadership style can pull employees together to work toward a common goal. One reason employees easily come together is because a transformational manager listens to the suggestions of employees and incorporates their ideas whenever possible.
Coaching
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The coaching leadership style is present in many successful organizations. This style trains and assists employees in an effort to increase performance, productivity and motivation. The coaching leadership style develops the strengths of employees, which improves employee morale. The manager works closely with employees and is available for questions and concerns. Importance is placed on providing employees with the tools and resources needed to complete job duties. Employees who understand their weaknesses benefit the most from a coaching leader.
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Coercive
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Ann Breene of Case Western Reserve University states organizations should only use the coercive leadership style in emergency situations. For example, if a company experiences a natural disaster that drastically reduces production, a manager may use the coercive leadership style to get employees on the same page and increase productivity. Coercive leadership style leaves little flexibility because the manager forces employees to comply by using threats. This leadership style is only recommended to handle issues that organizations can solve quickly. The coercive leadership style leads to problems in the long run because employees typically dislike the forceful nature used by managers. Organizations using the coercive style for a long period may experience high absenteeism and employee turnover.
Authoritative
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The authoritative leadership style is another method organizations may use during a crisis. Unlike the coercive style, an authoritative leader doesn’t force employees to comply but shares his vision and encourages employees toward that vision. Authoritative leaders can influence employees to work together during a crisis, but they can easily slip into a style that is too demanding if caution is not taken. The authoritative style thrives in organizations that need new vision and direction. Leaders know how to establish goals and how to deal with challenges. In many cases, this leadership style yields positive results in the long term.
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