6 Leadership Styles To Skyrocket Business Growth

December 13, 2023

Your team is your greatest asset. Your team’s greatest asset is a leader who recognises the power of leadership versatility in the ever-evolving business landscape. With all that in mind, let’s explore 6 leadership styles to skyrocket your business growth.

This first leadership style is based on theories that believe people are motivated by a reward system structure and that “work is a transaction.” For instance, employees are rewarded with bonuses whenever they meet or surpass a certain quota. 

This type of leadership is perfect for self-motivated team members because transactional leadership is focused on delivering results. 

Next is the visionary leader. This leadership style fosters an inspiring environment for every team member to work towards the company’s objectives. This style focuses on creating a solid team bond that encourages everyone to work towards the big-picture goal in their own way of doing things. 

For instance, holding a quarterly meeting for “innovation hours” wherein team members are free to explore and suggest creative ways to tackle existing team processes that are not as effective.  

This leadership style is a good fit for small businesses that are swiftly growing. 

Strategic leaders are forward-thinkers who value consistency, collaboration, and productivity in primary operations. They encourage both tactical planning for future growth and utilizing existing opportunities and resources. 

This type of leadership is an excellent fit for dynamic, complex, and rapidly shifting environments. 

The Laissez-faire leadership style is focused on giving its team members the liberty to work on their respective tasks however they see fit. Apart from this, a laissez-faire leader trusts that quality work will be delivered, even without high-maintenance supervision. 

For instance, a laissez-faire leader working on a new feature for an app development only requires periodic updates from their team members. This way, the laissez-faire leader is able to strike a balance between necessary guidance and freedom for its members to work on the project using their creative methods.

This laid-back leadership style is especially suited for highly accomplished and well-experienced team members.

From the word “democratic” itself, this leadership style’s focal point lies in giving each team member a voice in the decision-making process. 

For example, before a final decision, a democratic leader will see to it that each team member is given an equal opportunity to express their input on the new marketing campaign strategy. Subsequently, the final call will be based on a consensus among the members, ensuring everyone in the team that their ideas and opinions are heard. 

Democratic leadership is most compatible with businesses that heavily benefit from diverse perspectives, collaboration, and employee engagement. Often these are knowledge-based industries that need constant research and development like tech companies.

And finally, the mentor-style leadership. This leadership approach aims for one thing: to ultimately unlock each team member’s full potential. By nurturing each team member’s strengths, the mentor-style leader can fully unleash their specialization. 

Often, leaders with this approach scout talents with different skill sets that will complement each other and encourage open communication within the team. 

The key to skyrocketing your business growth from the different leadership styles listed above is to truly know what works for you, your team members, and your business goals. Remember, it’s not a one-size-fits-all dilemma, so don’t be afraid to do your own thing.

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