Impact of Democratic Leadership Theory on Business Operations

Running head: MANAGEMENT
Management
Name of the Student
Name of the University
Author Note

MANAGEMENT1
Table of Contents
Introduction:...............................................................................................................................3
Purpose of Leadership:...............................................................................................................3
Leadership Theory:....................................................................................................................4
Benefits:.....................................................................................................................................6
Conclusion:................................................................................................................................6
References:.................................................................................................................................8

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Introduction:
The importance of efficient leadership is pretty prominent in the modern world of
business. Considering the complexity of the modern business and the uncertainty associated
with the business market, it becomes important for the companies to have visionary leaders
who have the capability to lead the organizations in such a manner that the sustainability of
the business operations of those organizations, gets improved (M. Taylor, Cornelius and
Colvin, 2014). In the organizational context, the success of the business leaders in the
effective formation of the business strategy, corporate level strategy or the human resource
strategy is observed to be crucial for the success of the companies in improving the
sustainability of their business (Azanza, Moriano and Molero, 2013). Hence, it becomes
important to analyse the concept of leadership in the organizational context. The paper
discusses regarding the impact of leadership in the business context and identifies the success
and competitive advantage of the democratic leadership theory or the participative
management theory. Along with this, the paper shows the significance of the mentioned
theory in the business operations of the modern organizations.
Purpose of Leadership:
Considering the definition of leadership, it is recognized as a process or method
through which an executive is expected influence, guide or direct the behaviour or the
approach of the other individuals towards the accomplishment of a common goal or
achievement. Antonakis and Day (2017), claimed that the leadership should be considered as
the ability of the individuals that have the capability to introduce a great deal of zeal and
confidence amongst the subordinate employees for the achievement of a mutually accepted
objective. According to Goleman, Boyatzis and McKee (2013), leadership enables a
particular individual to succeed in achieving a particular objective with a larger group of