Finding the Right Leadership Style: A Deep Dive Into Unconventional Insights

As a business owner or entrepreneur, your leadership style defines the trajectory of your company’s success, employee engagement, and overall culture. But finding the “right” leadership style isn’t about following a rigid template—it’s about understanding the nuance, blending techniques, and using your natural tendencies to get the best out of people.

While many articles discuss leadership styles in general terms—authoritarian, democratic, laissez-faire—let’s dig deeper into something more uncommon and practical. Using the Leadership Styles Questionnaire as a foundation, this article reveals insights that could challenge what you think you know about leadership.

The Secret Sauce to Effective Leadership: Fluidity, Not Rigidity

Most leaders fall into the trap of adopting a single style and sticking to it. But, effective leadership is fluid, and here’s why:

  1. Adaptability to Situational Demands One major misconception about leadership is that one size fits all. But employees’ needs evolve. Sometimes, employees need guidance (authoritarian), while in other instances, they thrive with autonomy (laissez-faire). Fluidity is about recognising these shifts and adapting accordingly, without staying trapped in a single style. Fluid leaders outperform those who remain rigid. Fluid leadership isn’t just a buzzword—it’s an undervalued necessity for small businesses.
  2. Blending Authoritarian, Democratic, and Laissez-Faire Styles Leaders often mistakenly categorise themselves as strictly authoritarian, democratic, or laissez-faire. However, the Leadership Styles Questionnaire reveals something interesting: most effective leaders blend these styles depending on context.
    For example, authoritarian leadership might help you navigate a crisis when quick decision-making is essential. However, in more creative environments, employees need autonomy to think freely, making a laissez-faire approach more fitting. Meanwhile, democratic leadership shines when collective buy-in is crucial for success.
    Most people don’t know this, but exceptional leaders use all three styles within a single day.

Authoritarian: The Underrated Style with a Bad Rep

Authoritarian leadership often gets a bad name for being too rigid or oppressive. However, when applied correctly, this style serves a critical function in businesses, particularly in high-pressure or high-stakes environments. Sometimes employees need clear directions, especially during crises or when decisions need to be made quickly without endless consultation.

  • When to Use Authoritarian Leadership:
    • Navigating a crisis or emergency
    • Launching a time-sensitive product
    • Addressing underperformance quickly

But, here’s the twist: authoritarian leadership only works when there’s mutual respect between you and your team. If employees feel empowered outside of crisis mode, they’ll accept more directive approaches during emergencies.

Democratic Leadership: It’s Not Always About Voting

A common misconception about democratic leadership is that it’s merely about voting and consensus-building. In reality, it’s about creating an environment of shared ownership.

In SMEs, leaders often struggle to delegate responsibility because of tight resources. However, by involving your employees in decision-making processes, you can get valuable insights while simultaneously boosting morale and job satisfaction.

But don’t confuse democratic leadership with the absence of control. Democratic leaders set the vision and strategic direction, then seek input to refine execution. It’s less about “who decides” and more about “how we refine the decision.”

  • When to Use Democratic Leadership:
    • Brainstorming sessions for new product development
    • Building buy-in for a significant strategic shift
    • Employee engagement initiatives to strengthen culture

Laissez-Faire Leadership: Empowerment Without Chaos

The laissez-faire style is often associated with hands-off leadership, where leaders trust employees to make decisions on their own. While it fosters innovation and independence, it can be disastrous without the right structure in place. True laissez-faire leadership isn’t chaos, it’s freedom with accountability.

This style works best when you have a team of highly skilled, self-motivated individuals who need the space to innovate and problem-solve. However, most entrepreneurs don’t know this: laissez-faire leadership should be paired with check-ins and feedback loops to ensure goals are aligned and results are measured.

  • When to Use Laissez-Faire Leadership:
    • Managing expert or highly creative teams
    • Delegating long-term projects with clear deadlines
    • Fostering an innovation-driven culture

Key Takeaway: Fluid Leadership is the Ultimate Competitive Advantage

SMEs often lack the luxury of large HR departments or leadership development programs, which is why mastering the art of fluid leadership is crucial. Rather than pigeonholing yourself into a single style, successful leaders blend and adapt as situations change.

If you’re unsure where your leadership style currently stands, the Leadership Styles Questionnaire is a fantastic tool to identify your tendencies. However, this is just the beginning of your leadership journey. The real magic happens when you cultivate the ability to switch between styles effortlessly, based on the unique demands of your business and team.

Fluid leadership isn’t something that happens overnight. It requires self-awareness, continual feedback, and the humility to admit when a different approach is needed. But once mastered, it becomes your secret weapon for scaling your business, retaining top talent, and fostering a resilient, adaptable company culture.