Leading With Purpose: How a Strong Leadership Philosophy Will Transform Your Team

In 1999, Mitt Romney arrived in Salt Lake City, Utah, to take over preparations for the 2002 Winter Olympics. He arrived amidst a scandal, after the Olympic Organizing Committee was accused of bribery and corruption, and had accrued a deficit of roughly $400 million. 

Led by servant leadership and transformational leadership philosophies, Romney was able to turn the situation around. The 2002 Winter Games were successful, ending with a budget surplus of $40 million. 

Romney explained how servant leadership guided his action plan when he arrived in Salt Lake City, saying, “If Salt Lake 2002 was to be successful, the Games had to be about service to the world and to the athletes.”

He further explained how transformational leadership provided a vision and set high expectations for the Games, saying, “Our task was to identify a defining vision, communicate that in a compelling way, and provide the kind of focus that reinforces that vision as a living, breathing thing, not just lip service.”

A strong leadership philosophy is often the defining characteristic of a well-functioning team. Just as Romney’s philosophy provided the clarity and direction needed during the Winter Olympics, every organization needs a leader with a clearly defined philosophy to guide their team toward progress and past obstacles.

In this article, we’ll dive deeper into the importance of leadership philosophies and discuss how to develop one that fits you and your team. 

What Is a Leadership Philosophy?

A leadership philosophy is a set of guiding principles and beliefs that shape the way a leader approaches their role and interacts with others. It serves as a framework for making decisions, setting goals, and leading others effectively. A leadership philosophy reflects an individual’s values, vision, and understanding of leadership. Because each individual’s philosophy may be unique to them, many refer to it as their personal leadership philosophy. 

Leaders with a clearly defined personal leadership philosophy provide their teams with the following benefits: 

• Consistent decision-making: A well-defined leadership philosophy ensures that every decision is consistent with the organization’s core values and that the team’s actions work toward the same goals. 
• Increased team inspiration: When leaders communicate their values, vision, and principles through their leadership philosophy, it provides a framework for others to understand the leader’s expectations and can serve as a source of inspiration during challenging times.
• Growth and development: By examining their leadership philosophy and assessing its effectiveness, leaders can identify areas for growth, learn from their experiences, and refine their approach to leadership.
• Organizational unity: When leaders communicate their philosophy and values, it creates a shared understanding and a common purpose among team members. 
• Buy-in: A leader can only be successful if their team believes in their vision. When a team understands their leader’s leadership philosophy, the team is more likely to share their vision and work together to achieve it. 

Types of Leadership Philosophies

While each leadership philosophy can be unique to the individual, many philosophies can be categorized into one of the following types:

1. Transformational Leadership Philosophy

This leadership philosophy focuses on inspiring and motivating followers to achieve their full potential by creating a vision and setting high expectations. Transformational leaders motivate followers to look beyond their own self-interest and commit to a collective purpose that contributes value to communities and society. 

Leaders and teams who are well-suited for a transformational leadership philosophy have the following characteristics: 

• Innovative and creative
• Driven by change 
• Committed to living a life of purpose
• Willing to be a role model
• Passionate
• Confident
• Excellent communicator

How to Implement a Transformational Leadership Philosophy

• Develop and communicate your vision: Create a compelling vision for the future that motivates and inspires followers. Describe how the vision aligns with shared values and priorities. Communicate your vision frequently to keep people engaged and energized. 
• Challenge the status quo: Transformational leaders are often disruptors in their industries. They are creative enough to see how things could be different and brave enough to work toward those changes. 
• Role model desired behaviors: Practice the mindsets and behaviors you want to see from your team. Walk the talk through your own actions and priorities. Share stories of progress and success to reinforce role modeling through examples.
• Set challenging goals: Transformational leaders encourage their team to achieve their highest potential, which means goals should be challenging enough to push your team to grow. 
• Provide support and recognition: Supporting your team is critical when you set challenging goals. This will ensure your team doesn’t get burnt out or resentful while pursuing challenging goals. 

2. Servant Leadership Philosophy

This philosophy emphasizes the leader’s role as a servant to their followers. Leaders prioritize the needs and well-being of their team and their community. Their primary goal is to serve and support their followers’ growth and success.

You may be well-suited for a servant leadership philosophy if you have the following characteristics: 

• Humble
• Self-aware
• Passionate about the success of others
• Willing to step out of the spotlight
• Willing to share recognition for successes but accept responsibility for failures
• Patient
• Eager to mentor and teach

How to Implement a Servant Leadership Philosophy

• Set aside ego: A servant leadership mindset involves placing others at the center of your priorities. This means you’ll celebrate your team members’ success rather than seek recognition for your own achievements. 
• Listen to your team’s needs: Regularly ask your team members what they’re working on, what their current challenges are, and what they could use from you. Be proactive in seeking this information rather than waiting for team members to bring up these topics unprompted. 
• Develop a support system: After listening to the needs of your team, develop a support system that addresses these needs. For example, if team members are looking for mentorship, schedule time to regularly discuss goals and the path they are on. 

3. Laissez-Faire Leadership Philosophy

A laissez-faire leadership philosophy involves a hands-off approach, where leaders give their team members autonomy and decision-making authority. The leader provides minimal guidance and allows individuals to take ownership of their work. 

It’s important to remember that this leadership philosophy works well when your organization is filled with self-motivated experts who need little direction and support to succeed. However, employees who are still developing their skills and need guidance may struggle under this leadership philosophy. 

A laissez-faire leadership philosophy works well for leaders with the following traits:

• Trust your team members to carry out their responsibilities without interference
• Have creative and self-motivated team players
• Your team enjoys independence and autonomy
• You have numerous responsibilities and don’t have the time or capacity to be highly involved in hands-on leadership

How to Implement a Laissez-Faire Leadership Philosophy

• Build a team of skilled and experienced experts: Laissez-faire leadership is not based on mentorship and guidance, which means it’s critical to find team members who already have a high level of knowledge and expertise. For example, laissez-faire leadership works for Warren Buffett because he believes in working with only the smartest people. He once said, “Surround yourself with people better and smarter than you. It’s amazing how much you can grow.”
• Set clear expectations for results: Team members can only govern themselves while meeting your expectations if you make it clear what those expectations are. Clearly state your goals and allow your team members to work toward those goals in the ways they believe are the best. 
• Encourage leadership development: A team led by a laissez-faire leadership philosophy should be filled with team members who are all leaders. To help your team develop their leadership abilities, provide opportunities for leadership development. Encourage team members to read the best leadership books, attend conferences, and develop skills related to their roles. 

4. Transactional Leadership Philosophy

Transactional leadership involves setting clear expectations and implementing rewards and punishments based on those expectations. This leadership philosophy is the opposite of a laissez-faire leadership style. Individuals who require flexibility, creativity, and autonomy may struggle under this leadership philosophy. 

However, in some circumstances, the specific expectations and consequences can benefit inexperienced workers who need support and guidance while learning new skills. For example, often, teachers implement transactional leadership styles in their classrooms as they work to teach structure to children. 

A transactional leadership philosophy works well in the following situations: 

• Team members are motivated by incentives
• Your people need structure and guidance as they learn their roles
• The company works with a lot of contractors and freelancers
• You’re a hands-on leader
• You have the capacity to set and enforce expectations

How to Implement a Transactional Leadership Philosophy

• Carefully consider if your team will respond well to a transactional leadership style: It’s important to consider that many types of teams may struggle with this type of leadership. Self-motivated and experienced team members who prefer autonomy may feel micromanaged by transactional leaders, and they may begin to resent this type of leadership. Before moving forward with this leadership style, consider whether your team needs this level of structure and if certain team members can thrive without it. 
• Set clear goals with measurable results: Expectations and goals should be clearly defined and measurable so team members know exactly what they’re working toward.
• Assign and communicate incentives to tasks and goals: Inform your team how they will be rewarded for results. For example, many teams offer team members commissions, bonuses, or other rewards for performing well. Clearly communicate specific consequences for poor behavior, as well. For example, don’t simply tell your team they must show up to work on time. State that showing up late three times will result in being let go. This is a specific behavior with a clear consequence, so there is no room for misinterpretation. 
• Adopt a direct communication style: Direct communication establishes authority. Be sure to communicate unambiguously, informing your team of what is expected. Leave little room for confusion or misinterpretation. 

5. Democratic Leadership Philosophy

A democratic leadership philosophy promotes participatory decision-making, where leaders involve their team members in the decision-making process. The leader values input from their followers and seeks consensus to ensure collective ownership and commitment. 

Organizations with a democratic leadership philosophy typically have minimal hierarchy and encourage communication among all levels of employees, from new hires to top-level management.

Democratic leadership is the antithesis of autocratic leadership, in which leaders impose their will on their organization and discourage dissent. While autocratic leadership encourages resentment, fear, and a lack of creativity, democratic leadership does the opposite. In a democratic organization, free-flowing ideas can inspire creativity. 

Leaders and teams who are well-suited for a democratic leadership philosophy have the following characteristics: 

• Creative and motivated team members who are willing to contribute ideas
• Collaborative
• Unified behind a common purpose and goals
• Leader is willing to cede control and trust team members
• Communicative and good at active listening

How to Implement a Democratic Leadership Philosophy

• Share information openly: Team members must have access to the same information as you in order to be informed participants in a democratically led organization. Make relevant information, priorities, challenges, metrics, and other data openly available to team members. Answer questions fully and share the rationale behind key decisions.
• Solicit input and opinions: Actively seek out input, perspectives, ideas, concerns, objections, and feedback from team members on key issues, decisions, problems, and new initiatives. Leave topics open for discussion rather than pronouncing solutions or directions unilaterally. Listen with an open mind.
• Empower team members to make decisions: Rather than requiring team members to seek final approval from you for each decision, empower team members to make the final call on certain issues. 

6.  Authentic Leadership Philosophy

An authentic leadership philosophy is based on transparency, relationship-building, and openness. Leaders who adopt this philosophy believe their organizations thrive when they build sincere relationships and establish trust with their employees. 

An authentic leadership philosophy might be a good fit for you, if you have the following traits:

• Relationship-driven
• Inclusive
• Willing to accept accountability for mistakes
• Sincere
• Passionate about your work
• You have the time, capacity, and interest in socializing with team members
• Willing to get to know your team on a personal level

How to Implement an Authentic Leadership Philosophy

• Practice transparency: Openly share information, priorities, challenges, limitations, key decisions, and the rationale behind them with followers. Acknowledge what you do not know. Admit when you make mistakes. 
• Express your passion: Share your genuine excitement, motivation, and inspiration with followers in a way that energizes them around a common vision or objectives. Find ways to articulate why people should care and feel inspired to join in pursuing progress. Passion gives life and direction to authenticity.
• Spend time relationship-building: An authentic leader values understanding their team members on a personal level, which takes time and effort. Set aside time for socializing and having fun together. Share your personality with your team members and get to know theirs.
• Show you sincerely care about your team members: Make sure team members know they can come to you for support and be proactive about checking on your team members’ well-being. 

Leadership Philosophy Examples in Real-World Leaders

Transformational Leadership

Martin Luther King Jr. led with a transformational leadership philosophy, enabling him to forever change attitudes toward racial equality in the United States. His famous “I Have a Dream” speech painted a picture of the world he wanted to create.

In his speech, he clearly stated his vision, describing a world where Black and White Americans could sit down together, their children could play together, and everyone would be judged by the “content of their character rather than the color of their skin.”

At the end of his speech, King explains how his vision would transform the world, saying, “With this faith, we will be able to transform the jangling discords of our nation into a beautiful symphony of brotherhood.”

Servant Leadership

When Cheryl Bachelder became CEO of Popeyes Louisiana Kitchen in 2007, she reversed the downward trajectory of the restaurant chain by adopting a servant leadership philosophy. 

In her book Dare to Serve: How to Drive Superior Results by Serving Others, Bachelder explains that she took herself out of the spotlight and focused on the well-being of her employees, franchise owners, and customers. By especially focusing her efforts on serving franchise owners, Popeyes was able to double profitability. She writes, “The leader must have both—the courage to take the people to a daring destination and the humility to selflessly serve others on the journey.”

Laissez-Faire Leadership

Warren Buffett is known for taking a laissez-faire approach to leadership. He hires the most skilled employees he can find, and he allows them to take the reins with little interference. In the 2010 Berkshire Hathaway Report, Buffett stated, “We tend to let our many subsidiaries operate on their own, without our supervising and monitoring them to any degree. Most managers use the independence we grant them magnificently, by maintaining an owner-oriented attitude.”

Transactional Leadership

Former CEO of General Electric, Jack Welch, was known for adopting a transactional personal leadership philosophy. He established policies at his company that rewarded top-performing employees with bonuses and promotions. However, employees performing in the bottom 10% at the end of each year were fired.

Democratic Leadership

Tony Hsieh, the late former CEO of Zappos, led with a democratic leadership philosophy, encouraging participative decision-making across the organization. Zappos prioritized open communication and transparency so every employee would be empowered to participate in decision-making. 

Jacqui Gonzalez explains that while she worked as a customer service agent at the company, she was empowered to make decisions regarding customers as she saw fit. “We don’t have to put someone on hold and ask permission,” Gonzalez said, “We don’t have a manager that you need to be transferred to. How refreshing is that?”

Authentic Leadership

Former COO of Facebook and Meta Platforms Sheryl Sandberg has explained her authentic leadership style, saying, “I believe in bringing your whole self to work. We are who we are. When you try to have this division between your personal self and your professional self, what you really are is stiff . . . That doesn’t mean people have to tell me everything about their personal lives. But I’m pretty sharing of mine.”

How to Develop Your Leadership Philosophy

The right leadership philosophy for you and your organization will depend on your personality, core values, and the characteristics of your team. When writing a leadership philosophy, start with these steps: 

1. Self-Reflection: Take time to reflect on your values, beliefs, strengths, and areas for growth. Consider your experiences, both as a leader and as a follower. Reflect on the leaders who have influenced you and the qualities you admire in them.
2. Define Your Purpose: Ask yourself what you hope to achieve. What impact do you want to make? Consider the overarching goals and vision you have for yourself and your team or organization.
3. Identify Core Values: Determine the principles that are most important to you and that you want to embody in your leadership style.
4. Assess Your Strengths and Weaknesses: Evaluate your strengths as a leader, such as communication skills, strategic thinking, or problem-solving abilities. Also, be honest about areas where you need improvement, such as delegation, conflict resolution, or active listening.
5. Consider the characteristics of your team: What does your team need to thrive? Do they thrive with total autonomy? Do they have the capacity and desire to participate in the decision-making process at your organization? 
6. Draft Your Philosophy Statement: Write a concise and clear statement that outlines your leadership philosophy. Begin by summarizing your purpose and values. Then, articulate your approach to leadership, how you will interact with and inspire others, and the principles that will guide your decision-making.
7. Seek Feedback and Reflection: Share your leadership philosophy with trusted colleagues, mentors, or friends. Seek their input and reflections on your philosophy. Consider their perspectives and incorporate their insights into refining your philosophy.
8. Revise and Refine: Continually refine your leadership philosophy as you gain more experience and insights. Update your philosophy periodically to reflect your growth as a leader and any shifts in your values or perspectives.

Adapting and Evolving Your Leadership Style

Choosing a leadership philosophy is not about finding the “right” or “perfect” answer but rather making the best choice you can at a given point based on your current self-awareness and circumstances. 

The most impactful leaders maintain an open mind and are willing to adapt or evolve their leadership philosophy as needed to continue achieving the best results. Leaders who view their philosophy as a rigid set of rules to follow—rather than a basis for continuous learning and development—will be easily surpassed by more growth-oriented competitors. 

To ensure your leadership philosophy continues to serve you and your team over time, keep these tips in mind:

• Make a habit of reflection and adjustment: Regularly reassess how well your chosen approach matches current needs. Make adjustments to restore proper alignment without abandoning the core principles that define your authentic leadership.
• Seek feedback often: Don’t allow yourself to become surrounded by “yes” men. Surround yourself with people who care enough to be honest and regularly seek feedback from those people about the effectiveness of your current leadership philosophy. 
• Continue learning from other leaders: Every leader’s philosophy will be slightly different, and each person you meet can teach you something, whether it’s skills you want to incorporate into your own leadership philosophy or something you want to avoid. Make an effort to continuously interact with other leaders so you don’t get stuck in your own mindset without hearing fresh perspectives. 

To keep learning about leadership strategy, check out these articles:

The Evolution of Leadership Philosophies (From Carnegie to Brown)

Start with Why: A Powerful Way to Lead with Purpose