Managers should therefore be professional enough in trying to come up with the best style or a blend of styles that best suit their organisations in order to ensure that they achieve the underlying goals and objectives. Attention in the recent decades has been heavily laid on the field of leadership and the basic reason for this is to come up with the various impacts that a management or leadership style can positively impact the overall organisational performance. Effective leadership by many is taken to be the driving force of success for an organisation. Lack of this king of leadership proves detrimental and for this reason there are various leadership styles that shall be highlighted in this paper that are most common and whose use can either bring down or raise an organisation to prosperity depending on the particular organisational context (Northouse and Northouse 2009). These styles will assist in explaining how leadership styles can impact on organisation performance.
There a huge link that exists between the leadership style and the organisational performance as highlighted above. In looking at this relationship it is important to appreciate that the first major aspect is that of practice. In the world today there increasingly high competition that managers are facing and this has bred rivalry that is based on innovation and dynamism in dealing with competitors (Koene et al. 2002). Therefore, the behaviour exhibited by a manager or leader is crucial in steering the organisation through this kind of competitive atmosphere that is full of challenges while trying to cope with the possible occurrence of diminishing returns. This also shows how important leadership can be in making an organisation take a competitive advantage over its rivals, enhance profitability and general organisational improvement.
Organisational settings in many instances dictate the