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Traditional and Modern Leadership Style

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Tina Otto

on 2 May 2014

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Transcript of Traditional and Modern Leadership Style

Leadership Styles
Table of Content
Traditional Leadership Styles
Modern Leadership Styles
Autocratic Leadership Style

Bureaucratic Leadership Style

Democratic Leadership Style

Laissez-Faire Leadership Style
Charismatic Leadership Style

= Leader-focused styles (autocratic, charismatic)
= Employee-focused styles (Laissez-faire, servant)
= Development from leader-focused to
employee-focused due to change of society,
economy, technology
= No type better than the other
= Adaptation to situation
Traditional Leadership Styles
Autocratic Leadership Style
Bureaucratic Leadership Style
Democratic Leadership Style
Laissez-Faire Leadership Style

Modern Leadership Styles
Charismatic Leadership Style
Transactional Leadership Style
Transformational Leadership Style
Visionary Leadership Style
Servant Leadership Style


Transformational Leadership Style
Transactional Leadership Style
Visionary Leadership Style
Servant Leadership Style

• Leaders make the decisions and
dictate work methods and processes
• Followers are rarely trusted with decisions or
important tasks (Lewin et al., 1939)

When to use?
• Projects with short term objectives/deadlines
• Workforce with low levels of motivation
(Warrick, 1981)
Advantages Disadvantages

+ increase of productivity due to
Hawthorne Effect (The Economist, 2008)
+ fast decision making
- slow staff development
- high stress level for the leader
(Oates, 2009)

• 'Management by the Books'
• Procedures followed as established
(Weber, 1905)

When to use?

• Dangerous Workplaces
• Labours requiring thorough handling
(Baldock, 2012)
Benefits Drawbacks

• High Work Quality • Lack of Pleasure
• Control over Staff • Lack of Self-Actualization
• Increase Productivity • No Creativity - no

(Oates, 2009)

• 'Give and Take'
• Delegation of Responsibility
• Feedback
(Gastil, 1994)

To apply when...

...Employees may propose ideas
...Emphasis lies on training, development
and work quality (Warrick, 1981)

- Hands-Off Approach
- 0% Intervention
- 100% Delegation
(Lewin et al. 1939)

- Teams with high Responsibility
- Motivation and Skills (Weber, 1905)

+ Independence
+ Skills Development (Morgan, 2011)
- Low Productivity
- Potential of 'anarchy, chaos, and inefficiency'
(Goodnight, 2004, p.822)
+ Satisfaction & Motivation
+ Issues not Hidden
+ Lower Turnover and Fluctuation

- Slow Decision Making

(Oates, 2009)

≠ Autocratic: rather dictation,
Charismatic: creation of devoted followers
≠ Laissez-faire: totally hands off,
Servant: empowers followers to motivate them
Conclusion and Future Outlook
'Perfect' Leadership Style Does not Exist

Employees Are Company's Most Valuable Resource

Corporate Social Responsibility

Globalization Process

New Technologies

The Comparison of Traditional and Modern Approaches
Form of “authority based on perceptions of a uniquely gifted individual” (Rumsey, 2013, p. 376)

Strong assertiveness, clear objectives and measures of value

Motivate follower in extraordinary way (Hillmann, 2007)
Advantages and Disadvantages
Encourages the follower’s creativity and forward-thinking decision making and they remain committed to the vision (Herman, 2006)
Through the usage of ideology, manipulation techniques and mass media plus elimination of rational elucidation leaders with propagandistic and charismatic can be composed (Hillmann, 2007).
Bernard Bass (1981): transactional leaders believe workers are motivated by rewards (Ledlow & Coppola, 2011)

Salary and other benefits were given to the follower and the company acquires power over the subordinate (Changing Minds, 2013)

Focuses on basic management approaches as controlling, organizing and short term planning (Khan & Anjum, 2013)
Advantages and Disadvantages
Does not inspire group members to look for solutions because of little room for creativity

Not be used in complex situations or higher levels and more professional environments
(Turner, 2012)
Deliver explicit benefits through their abilities to appeal small operations rapidly (Ingram, 2013)

Effective in areas where the targets are clear and where is little room for creativity and innovation (Turner, 2012)
To make significant change in form, appearance, or character (Puccio, et al., 2011)

Procedure between leaders and followers that makes them help each other to advance a higher level of moral and motivation (Shelton, 2012)
Benefits and Drawbacks
Inspiring others with a shared vision for the future, leading by example, encouraging employees to work as teams, setting high standards

Provides followers with a creative environment, motivation and the opportunity to improve skills to benefit their needs and or-ganizations
(Puccio, et al., 2011)
Subordinates could become insecure without having constant reassurance and contact with their leaders (Syndell, 2008)
Interconnect, improve and foster a change of ideas toward the achievement of the company’s goals by providing the subordinates with a vision that is meaningful for the followers (Borkowski, 2011 and Goethals, et al., 2004)

Most appropriate when a company needs a new direction and want to move people towards a vision/dream (Murray, 2013)
Create communication, creativity and development because it was evolved from transformational leadership

Familiar with the followers’ skills and know how make them to develop in the team
(Gill, 2006)
Followers have to perform on high levels and can be encountered with stress even if leaders know their abilities

Participate at permanent seminars and trainings which cost a lot of money and takes time
(Gill, 2006)
Benefits and Drawbacks
“Servant leadership emphasizes increased service to others, a holistic approach to work, promoting a sense of community and the sharing of power in decision making” (Spears, 2005, p. 2).
Aim is to put serving others, including workers and consumers, as the ideal priority (Marquis & Huston, 2009)
Workers feel empowered which will promote them to feel more valued

supporters will work together toward a goal and will exercise a higher effort in their capacity (Alcala, 2009)
Followers may manipulate servant leaders and thereby, can take advantage of their own needs

Can be too idealistic to implement (Xu, 2008)
Advantages and Disadvantages
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