7 Most Popular Leadership Styles for Executives in 2025

Introduction

Leadership isn’t just a position or an authority someone has over some people. It’s a responsibility that requires ethical practices to lead people to specific collective goals.

Effective and good leadership allows leaders to navigate through difficult situations. They can create an environment where employees can thrive. In fact, sometimes, a leader has to take accountability for their actions.

Here, we have shared seven leadership styles that are most effective in different types of organizations. Read on.

Transactional Leadership style

The transactional leadership style is effective in different workplaces. Organizations use a reward and punishment system to motivate employees to achieve organizational goals.

It’s a leadership style that focuses on structures and delivers the best results in achieving short-term goals.

A chain of command exists in this type of leadership style. Employees feel motivated to achieve their goals since there’s a reward.

The fear of punishment also motivates them not to fail. Transactional leadership works in a work environment, trying to achieve short-term goals.

Transformational Leadership Style 

Global leaders like Gandhi and Mandela popularized the Transformational Leadership Style. In the business world, leaders like Richard Branson and Jeff Bezos also follow this leadership style.

Transformational Leadership Style is all about inspiring and influencing employees and flowers to achieve positive change. It’s a popular leadership style that’s often common among leaders of the current time.

Followers of this style try to listen to and understand their employees’ needs and provide solutions. Transformational leaders also make decisions that motivate others.

Servant Leadership Style

A servant leadership style is one of the parts of executive coaching. Under this leadership style, leaders focus more on care than control. Active and empathetic listening is one of their tools when seeking to understand the needs and concerns of their employees.

They develop organizational awareness by working with employees from different ranks within the organizational hierarchy. They use their foresight, stewardship, and commitment to the growth of their employees for their overall growth.

Laissez-Faire Leadership Style 

The term Laissez-faire is French, and it means ‘allow-to-do.’ This leadership style is all about practicing a laid-back approach to handling employees and workers in an organization. Here, employees have to work under minimal supervision.

Employees enjoy more autonomy and trust from the employers and have a space for open communication. Employers start by delegating work to their employees as part of this leadership style. They also offer their employees all the tools and resources needed to achieve the goal.

Bureaucratic Leadership Style 

Bureaucratic leadership style works with a chain of command and set rules and a strict chain of command. This leadership style depends on hierarchy, rules, written documents, Career orientation, and the technical expertise of their employees.

Although it might often seem too technical, the bureaucratic leadership style works efficiently in a highly regulated line of business.

A downside of implementing such a leadership style is its rigidity. It can also affect any creative work due to the rigidity of rules in this leadership style.

Charismatic Leadership Style 

The charismatic leadership style is all about persuasion. Leaders use charm, communication, and several other techniques to motivate and persuade employees to understand and work on organizational goals.

Leaders who follow this leadership style are often passionate and confident. They have a strong conviction and are experts at creating a sense of purpose among people. This leadership style is often needed during times of crisis.

Coaching Leadership Style

Coaching leadership style is also one of the best ways to motivate employees. This is a leadership style that aims to showcase greatness and share skills and expertise with team members.

Leaders who follow this leadership style often focus on developing teams with strong core skills and talents.

Coaching leaders are experts in their own field. For example, an IT expert turned IT startup owner can use a coaching leadership style. He can train, motivate, and educate his employees to reach the goals that benefit the organization.

Conclusion

It’s often the environment that shapes a leader. But, with one’s intention to work, grow, and influence others as a leader, leadership has to be thoughtful and positive. It’s often part of someone’s personality. However, good leadership is a practice and comes with intention.

All the seven leadership styles we have mentioned in this article are effective and among the best in leadership.

Leave a Comment