MBA Boot Camp: Leadership Styles (7.4)
Concepts & Vocabulary
Transactional Leadership: Focused on routine, performance, and clear rewards/punishments. ("Hit this KPI and you get a bonus.")
Transformational Leadership: Focused on inspiring and motivating employees to innovate and create change. ("We are going to revolutionize this industry.")
Situational Leadership: The theory that there is no single "best" style of leadership; effective leaders adapt their style based on the maturity and competence of the employee they are managing.
Core Lesson: Adapting to the Room
Many new managers think they need to pick one leadership style and stick to it. MBA programs teach Situational Leadership.
Imagine you are a Marketing Director with two employees:
Sarah is a brand new intern. She is highly enthusiastic but has no idea how to run a Facebook ad campaign. She needs Directing (highly transactional, clear step-by-step instructions).
David has been a copywriter for 10 years. He knows exactly what to do. If you try to give him step-by-step instructions, he will feel micromanaged and quit. He needs Delegating (highly autonomous, transformational vision).
Good leaders don't treat everyone equally. They treat everyone appropriately based on the situation.
