Abstract:
Leadership is one of the key determinants associated with the success and failure of any
organization. Leadership style is the manner in which people are directed and motivated by a
leader to achieve organizational goals. This study examines the impact of leadership styles on
the organizational performance. The focus was on six major leadership styles -transformational,
transactional, autocratic, charismatic, bureaucratic and democratic. This study has provided
deep insights about the leadership styles; the democratic, transformational, bureaucratic and
autocratic leaderships have a positive impact on the organizational performance, however, the
charismatic and transactional leaderships have negative impact on the organizational
performance, as it does not provide opportunities and freedom to employees. In this study, both
primary and secondary research has been conducted. The primary research has been done
using the quantitative approach, with the help of survey instrument, based on a survey
questionnaire. The secondary research has been done through the review of previously
established literature for achieving the research objectives. The findings suggested that
charismatic, bureaucratic and transactional leadership styles have negative relationship with
organizational performance. Transformational, autocratic, and democratic leadership styles, on
the other hand, had a positive relationship with the organizational performance. It has been
recommended that organizations use the leadership style that enhances the capabilities and
abilities of the people.