4 types of management styles for effective leadership

There’s no singular best management style. There are, however, factors that can affect which approach works best in a given situation. Factors that affect leadership and management style include personality, organizational structure, and company culture. Leadership methods that deliver exceptional results for startups, for example, might flop in investment banking.¹

This article will explore the pros and cons of four different types of leadership and management styles as well as help you identify your style and adapt it throughout your career.

Leaders with an authoritative management style set the direction and empower their team. These leaders offer guidance and support but aren’t overbearing or harsh.²

Authoritative leaders are confident and decisive. While they trust their teams, they make the ultimate decisions. They also believe in holding their direct reports accountable. This style is firm but not rigid. It centers around a shared vision and is often inspiring.²

It works well when you’re instigating change management, when you need to make quick decisions, and when you’re guiding people who are new or unsure in their roles.²

It should be noted, an authoritative style is less effective when you’re working with experienced professionals or when you need to solicit innovative ideas.² Another downside to authoritative leadership is that it can be inflexible, and it doesn’t work well if the leader’s goals aren’t aligned with the company’s.

Also called the democratic leadership style, participative leadership invites every team member to participate in the decision-making process.

Leaders who use this management style encourage collaboration and creativity. They take on the role of facilitator rather than dictator. These leaders provide their teams with the information and tools they need to do their jobs and make effective decisions, but they give their teams a lot of leeway when it comes to how they work.³

This leadership style can result in higher job satisfaction rates and a more inclusive workplace. It can boost morale and make employees want to stay around longer. This style works well in environments that benefit from a wide range of perspectives and ideas. It’s a particularly good fit for creative and innovative fields.

On the flip side, it may not work as well in workplaces that rely on highly regimented or structured activities.³

Leaders who choose the delegative management style take a hands-off approach to managing their teams. They don’t micromanage because they trust their teams to do their jobs and meet their objectives.

This style works well for teams that are highly motivated and competent at their jobs. Delegative leadership encourages employee growth and creativity.⁴

This leadership style is also called laissez-faire. It's similar to participative management but more hands-off. Delegative management puts employees in control of how they get their work done. Rather than coming together to make decisions, individuals or teams are given tasks to accomplish and left to develop a plan of action on their own.⁴

Although this management style is associated with high rates of employee satisfaction, it may not work as well in industries where employees perform repetitive duties or need to follow orders quickly.⁴

In today’s rapidly changing business environment, change is the only constant. Rapid technological advancements mean people have to embrace lifelong learning. Skills quickly become outdated, and employees need to acquire new ones to remain competitive. This frequent turnover can be demoralizing and cause change fatigue in the workforce.⁵

The transformational leadership style is a good fit for such turbulent times. It can inspire and motivate employees to make positive changes.

Transformational leaders focus on setting a vision and helping their employees support one another to meet their goals. These leaders provide positive reinforcement and foster an encouraging work culture.⁵

Although transformational leadership is often a good fit for modern businesses that undergo frequent changes, it may not be the best fit for teams that need more concrete, hands-on direction.⁵

While the four leadership styles—authoritative, participative, delegative, and transformational—are often considered foundational, there are other management styles that leaders adopt based on specific goals or team dynamics.

One notable approach is the coaching leadership style. Coaching managers prioritize employee morale and development by offering continuous feedback and personalized support. This style is especially effective for fostering growth and building leadership skills in team members. A coaching leader focuses on helping employees develop long-term skills and confidence, ensuring that they feel valued and supported in their roles.

In contrast, the autocratic leadership style, also known as autocratic management, involves a top-down decision-making process where leaders provide clear instructions and expect compliance without seeking input from others. This autocratic leadership approach can be beneficial in high-pressure situations requiring quick decisions, but it may limit creativity and team member engagement.

Another approach is the visionary management style, where visionary leaders focus on pushing teams toward innovation and future growth, often challenging the status quo. These leaders inspire their teams to aim for bold, long-term business objectives rather than sticking to traditional methods.

Each of these effective management styles can be applied depending on the situation, and successful leaders often blend elements of common leadership styles to suit their teams and business needs.

The autocratic and authoritative leadership styles are often confused due to their strong control elements; however, they differ significantly in their execution and impact on employees. Here’s an overview:

• Top-down decision-making: The autocratic leader makes unilateral decisions without seeking input from team members, emphasizing strict control and expecting unquestioned compliance
• Limited flexibility: This autocratic management style leaves little room for creativity or collaboration, as the leader retains all power
• Use cases: Autocratic leadership can be an effective leadership style in high-stakes or crisis situations where quick decisions are essential, such as in military settings or highly regulated industries
• Drawback: This approach can stifle innovation, lower employee morale, and foster a less collaborative work environment

• Vision-driven leadership: In contrast, authoritarian leaders set a clear vision and direction while encouraging some involvement from team members, providing guidance and inspiring their teams to work toward shared goals while maintaining ultimate decision-making authority
• Empowerment: Although authoritative leaders retain control, they empower their teams by providing the tools and support needed for success, trusting their team members’ abilities and holding them accountable to high standards
• Use cases: This visionary leadership style is ideal when clear direction is needed, particularly during times of change or when a strong leader is required to inspire and rally a team
• Drawback: This approach may not resonate as well with highly skilled or experienced teams who prefer a more hands-off approach, such as laissez-faire leadership or servant leadership style

In summary, autocratic leadership is rigid and provides little freedom for employees, whereas authoritative leadership is more empowering and focused on a shared vision, allowing for employee development and participation within established boundaries.

Whether you’re brushing up to interview for a new position—employers often ask potential leaders about their management style—or want to be more effective in your current position, discovering your management style can help.⁶

One way to start is by reading about different styles and seeing if one resonates with you. Think about your character traits, including your strengths and weaknesses. For example, if you’re highly driven and need to be in control, the laissez-faire approach may not suit your style.⁶

You can also take a self-assessment that can help you narrow down your choices. It may highlight areas of your personality that you hadn’t considered before.⁶

Asking people who have worked with you is also a good way to discover your management style. Reflect on the feedback they give you and consider whether it conflicts with the traits you value in a leader.⁶

Think about inspirational leaders you’ve worked with or seen in action as well. What qualities made them great leaders? See if these qualities line up with your own values and goals.

When it comes to picking a leadership style, there are no right or wrong answers, but considering the questions—and their answers will help you identify a style that works with your strengths and aligns with your values.⁶

Because the optimal leadership style for a manager depends on a variety of factors, simply choosing one and committing to it wholeheartedly won’t work. You need to be flexible and willing to change when necessary. As with many other aspects of business, you have to be adaptable.⁷

Be ready to adjust your leadership style based on external factors. If you change jobs, you might find that your new position requires a different style. Even if you stay in the same position, adapting your leadership style for different teams, or even tasks, can be effective.

Pick your leadership style to suit the moment. When your team is working on a creative project, a delegative style may be more effective. When the project needs to be deployed, an authoritative management style may get it to market faster.⁷

Regardless of what your personal leadership style is, the University of Kansas’ online MBA program can help you learn dynamic management skills to lead any organization.

KU’s Jayhawk alumni work in organizations of all sizes throughout the world. With an emphasis on real-world problem-solving, our curriculum will equip you with the skills you need to be a competitive candidate for any leadership position. The admissions process is straightforward, making it easy to take the next step in your business career as a KU student.

Contact one of our admissions outreach advisors today to apply.