When you become an entrepreneur, you often don’t think about what happens when your business starts to grow. You don’t think about when you need to hire employees and how you’re going to lead them. However, determining your leadership style is a crucial step you need to take before you even start a company. Your leadership style determines your company’s core values, operations, and hiring and firing processes.
The good news is there are many different types of leadership styles – some more effective than others. Below, we outline the most successful leadership styles you should adopt as an entrepreneur.
The name of this one is fairly self-explanatory. Like a coach on a sports team, coach-style leadership means you identify the strengths and weaknesses of each individual employee and build strategies to help work together effectively as a team. These leaders hone in on each person’s unique strengths and nurtures those strengths. Then, each employee can continue to get better and better. Bottom line: coach-style leadership focuses on strengthening both the individual and the team.
Similar to a democracy, this leadership style lets the employees provide input to ultimately make the final decision. It promotes the importance of acting like a leader and creates an atmosphere where everyone feels comfortable speaking up. Even though the leader can overrule what his or her employees decide, the freedom to speak prepares all your employees for when it is their turn to lead projects or other team members.
This is a hybrid leadership style. Strategic leadership means you focus on the vision for the company’s overall operations and mission while also sharing that vision with employees so they can help work toward it. This leadership style also allows employees to provide input on how to achieve the company’s vision. You are setting the precedent that all employees are leaders as well as providing them the mentorship they need to succeed.
This is an interesting one because it means a leader is constantly tweaking things for improvements. Employees are given goals or tasks they need to complete within a certain deadline. These goals and deadlines start simple and then gradually get more and more difficult, so employees are constantly pushing themselves. While this may seem stressful, this leadership style motivates hardworking employees and transitions them into higher roles because they are constantly improving.
You may have heard about other leadership styles, such as autocratic, bureaucratic, or transactional, but they are not considered as effective as the four listed above. If you can adopt these proven leadership methodologies, you will jumpstart the success of your leadership and improve your company’s growth. Check out more of our leadership resources here.