The paper tells that presence of motivating and inspiring leaders elicits responses from followers that work to the advantage of every stakeholder involved. Gandhi, Abraham Lincon, and Napolean are examples of great leadership that led their nations forward. There is, however, considerable debate as to what constitutes inspiring and motivating leadership. The usual suspects are personality traits, which are further subdivided into five traits, nurturing, and training, environment and heredity. Some of the key ingredients necessary for leadership in the new age are the vision and the ability to handle new situations and adapt aptly. Furthermore, the presence of charisma and a good feel elicits positive responses necessary to bring about change. While one may have the personality traits, he must also understand what motivates employees and subjects and how their motivation can be aligned with the goals of the organization. The ability to empathize with the employees is one of the key factors that determine the quality and success of leaders. While we shall discuss what motivates employees in detail, a key motivating factor is the kind of work they are doing. This is where the leadership’s role to identify what is best for each individual employee comes into play. Leadership is different to management and the differentiating factor is the role of charisma. Leadership and management are two completely different phenomena and most individuals do not exceed at both simultaneously. Organizations today need to breed leadership rather than waiting for a leader to come along. It is also important that while nurturing leadership, management skills and tactics are kept intact. The importance of vision and a clear sense of direction into the long-term goals of the organization cannot be underplayed at any stage. This is what differentiates the functional leaders from the visionary leaders.
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