A Comparative Study of Leadership Styles and Their Impact on Organizational Performance

Abstract

Leadership plays a vital role in shaping an organization’s culture, direction and overall performance. Different leadership styles have distinct impacts on employee engagement, satisfaction, innovation and adaptability. This research examines the relationship between transformational, transactional, laissez-faire, democratic, autocratic, charismatic and bureaucratic leadership styles and organizational performance. Using a quantitative methodology, data was collected from employees across twenty organizations through structured surveys. Statistical analyses, including correlation, regression and ANOVA, were performed to assess the influence of leadership styles on key performance indicators. Findings indicate that transformational, democratic and autocratic leadership styles have a positive association with organizational performance, while transactional, charismatic and bureaucratic styles are either negatively associated or show insignificant effects. The study highlights the importance of leadership style selection and adaptation in enhancing productivity and employee satisfaction. Recommendations emphasize fostering transformational practices and balanced democratic approaches while minimizing rigid or disengaging styles to achieve sustainable organizational success.