The Ultimate A–Z Guide to Leadership in Organizational Behavior

An organization’s success depends on its leaders, from top executives to team leaders. They are, after all, responsible for guiding the organization in the right direction. From this lens, leadership plays a vital role in shaping how employees behave and how these behaviors impact business outcomes. In this article, we evaluate the importance and benefits of leadership in organizational behavior. 

In this blog, you’ll learn:

• What is the Role of Leadership in Organizational Behavior?
• How Does Effective Leadership Impact Employee Engagement and Productivity?
• What are the Key Qualities of an Effective Leader in Organizational Behavior?
• How Does Effective Leadership Influence the Overall Culture of an Organization?
• What Strategies Can Leaders Employ to Improve Organizational Behavior?
• Implement Strategic Change in Your Organization With Emeritus

What is the Role of Leadership in Organizational Behavior?

Leadership is one of the most critical aspects of organizational behavior. Leaders set the tone for how individuals interact within an organization. Moreover, they serve as role models, embodying the values and behaviors expected of employees, thereby influencing the overall behavior and attitudes within the organization. 

Furthermore, effective leaders inspire employees by appreciating their contributions and providing clear guidance on the what and why of their tasks. More importantly, they create an environment of innovation and creativity by constantly encouraging their team members to think outside the box and come up with new ideas. This, in turn, motivates employees to do their best. 

ALSO READ: 8 Types of Leadership Styles and How to Choose Yours

How Does Effective Leadership Impact Employee Engagement and Productivity?

1. Valuing Employees’ Individuality  

Every employee has a unique personality, with distinct ways of working to achieve their goals. Therefore, when an employee knows that they are valued for their individuality, they are more likely to be engaged. 

2. Building a Positive Work Culture 

Company culture is not just an HR initiative; leaders and managers play an active role in creating a positive work culture in an organization. They are responsible for creating a work environment where employees feel valued, appreciated, supported, and included. 

3. Prioritize Value-Driven Work for All 

Even if organizations have a positive culture and employees know that they’re cared for, if they don’t know why their work matters, they won’t be engaged. Therefore, leaders who emphasize the value of leadership in organizational behavior must help employees understand the impact of their work. 

ALSO READ: Leadership Theories For Every Manager 

What are the Key Qualities of an Effective Leader in Organizational Behavior?

1. Self-Awareness

A crucial quality of a good leader is self-awareness. Leaders must always be mindful of their actions, words, and even their body language because their team members closely watch and learn from them. Even when leaders don’t realize it, their behavior and reactions are constantly observed by team members. Therefore, one has to be self-aware of their actions and their effects on their team members. 

2. Credibility 

Credibility is a vital quality of a good leader. Leaders earn credibility and the trust of their team by keeping their promises, taking responsibility for what they say and do, and prioritizing the team’s well-being over their own.

3. Staying Authentic 

Authenticity means being true to oneself. Therefore, leaders who are authentic and genuine in their interactions build a strong bond with their team members, leading to enhanced employee engagement and efficiency. 

4. Being Consistent 

Consistency is a vital quality of an effective leader in organizational behavior. It allows leaders to establish trust, maintain a clear and steady course, and inspire confidence in their teams. Furthermore, consistency in a leader’s words and actions means that they behave predictably—their behavior towards their team members doesn’t change.  

5. Transparency 

Building a strong organizational culture is all about transparency. The more open a leader is about organizational behavior and the company’s vision and mission, the easier it is for the employees to understand their role and how they need to conduct themselves within the organization. 

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How Does Effective Leadership Influence the Overall  Culture of an Organization?

The benefits and influence of effective leadership in organizational culture are undeniable. Besides promoting a positive company culture, effective leadership also motivates employees and increases engagement, productivity, and business outcomes. Furthermore, leaders influence the company through their actions and decisions. 

For instance, consider a company that has historically struggled with employee morale and engagement. They hire a new CEO who recognizes the importance of fostering a positive organizational culture. Through open and inclusive communication, rewards and recognition, and employee development opportunities, such CEOs can bring about transformational change in an organization.

Over time, their leadership style influences a significant shift in the workplace culture. Employees become more engaged, motivated, and collaborative. Furthermore, the culture evolves, and the company experiences improved productivity and lower turnover rates. This example illustrates the benefits and influence of effective leadership in organizational culture. 

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What Strategies Can Leaders Employ to Improve Organizational Behavior?

1. Redesign Accountability in the Organization 

Redesigning who is responsible for what helps leaders identify their organization’s strengths and weaknesses. This can be used to encourage different stakeholders to take accountability for their actions, which in turn creates a work environment where people are responsible for their work. 

2. Implement a Three-Pronged Approach for Enhancing Organizational Communication 

A three-pronged approach to communication involves a multifaceted strategy to ensure effective communication. This communication approach includes three components— verbal, nonverbal, and written communication. Thus, leaders who emphasize enhancing organizational communication can use these three components to enhance the internal communication of their company. Consequently, improving organizational communication can create a positive work environment, enhance teamwork and goodwill, and increase the efficiency of the workplace. 

3. Focus on Improvement 

Leaders must encourage a culture of continuous improvement within the organization. They can start by seeking feedback from employees about their leadership style. This will encourage their team members to be open to feedback and learn from their mistakes. Furthermore, a workforce that focuses on continuous improvement can get better at handling complex situations and internal communication, which can lead to a positive organizational culture. 

ALSO READ: Communication Skills for Effective Leadership

Implement Strategic Change in Your Organization With Emeritus 

If you are looking to implement strategic change in your organization, you’re in the right place. Emeritus’ leadership courses, designed for fresh graduates and experienced professionals, will equip learners with skills to redefine their organization’s strategy. These courses will enable aspiring and experienced leaders to gain the knowledge that will help them build stronger teams and successful businesses.