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Benefits of Leadership

By: Hsin-Yi Cohen BSc, MA, MSt - Updated: 30 Oct 2017 | comments*Discuss
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Why is leadership so important? Does it really matter if a group does not have the support of a good leader? Yes, in fact, it seems it does. History and experience suggests that leadership IS very important to the success of a group or community as a whole – and to the success of individuals within the group.

Leadership in Business

There is a reason why most businesses are organised with a “boss” or various layers of authority and leadership – this is the model which produces the most effective and efficient system for generating productivity and profitability. Leadership is vital for both in building the strength and power of the organisation and in helping to manage relationships and resources.

The employees need leadership to show them direction, motivate and inspire them to perform at their best and control or discourage any actions which may be damaging to the business as a whole; whilst the customers and clients need leadership to inspire trust and confidence in the business’s products or services.

Leadership is also important in ensuring the smooth running of the organisation as a whole – to ensure that employees are financially compensated in a fair and timely manner and that stockholders are satisfied with their investment. The workplace is a team environment and nowhere else is leadership so important. Note, however, that leaders do not necessarily have to be the person with formal authority – many of those in an official position of authority are simply managing and not leading.

Studies show that 80% of problems experienced in any organisation are people-related so good leadership always benefits the organisation as a whole. With good leadership, team members will feel valued and an integral part of the development of the organisation – this invariably leads to greater benefits for the business. Studies show that with good leadership, employees have:

  • More personal satisfaction with work and personal life
  • Greater ownership is transferred to the people doing the work
  • Expanded skills and competencies

Whilst for the business or organisation as a whole, there is:

  • More strategy in addition to operations roles
  • More qualified and developed people
  • More qualified, stronger leaders coming through the "ranks" (future leader development)

Leadership in the Home

The home unit can also work like a business or organisation and it is important that the “head adults” of the household (e.g.. you and your spouse) provide effective leadership to guide the other members within the family and maintain peaceful control of the household. If you or your spouse fail in your leadership duties, then problems will often develop – whether between the children and parents, between siblings or even between the spouses themselves, such as when there is competition over leadership.

Leadership in the home is very much leading by example and understanding the concepts of leadership will help you provide a better environment for the other members of the family to flourish.

Leadership in Everyday Life

Even when you are not formally managing a group of people, there are still situations where leadership can play an important role. Your everyday relationships – such as with your bank manager, with trades people, with service staff – can be improved if you show leadership skills that enable you to “take charge” and encourage a positive outcome from your point of view, while still maintaining good relationships with the other party.

The Benefits of Leadership

The benefits of leadership are numerous – they include:

  • Enabling a business to develop deeper and more trusting relationships with its clients
  • Inspiring and motivating team members to stretch themselves on an important project
  • Helping businesses and organisations convince their investors to fund the next project.
  • Encouraging employees, team members or family members to hang in through tough times
  • Creating enthusiasm an organisation through times of challenge or difficult change
  • Gaining the ability to negotiate complex contracts that benefits all sides
  • Nurturing a corporate culture that engenders loyalty and retention

Overall, leadership helps groups and organisations build consensus around common goals, improve collaboration between team members and colleagues and ultimately achieve greater success.

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[Add a Comment]
Okay I got partly what I wanted.... Thanks for always sharingyour content with us. Astudent from UGANDA AFRICA
Kashomesa - 30-Oct-17 @ 2:56 PM
Kevin - Your Question:
Very well organized and plenty of useful information is shown! Thank you.

Our Response:
We are glad this article has helped.
LeadershipExpert - 7-Oct-16 @ 12:38 PM
Very well organized and plenty of useful information is shown! Thank you.
Kevin - 6-Oct-16 @ 7:28 PM
i don kno dis shiet man iz da bul shiet
jim carrie - 13-Oct-15 @ 7:18 AM
Thanks for this well researched information.
ouma - 22-Aug-15 @ 2:12 PM
This is not what I was looking FOR.
mike - 4-Jan-15 @ 8:17 PM
Not helpful to your kids i would say. what if they decide to do research? They wouldn't understand this information
Tehrii_pae - 23-Jul-14 @ 4:17 PM
This is nice and has helped me in my studies.
DenKim - 10-Apr-11 @ 6:08 PM
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