3 Ways Democratic Leadership Helps Business Growth

Updated Over a Week Ago


Ginni Rometty, CEO of IBM, has always demonstrated democratic leadership to make tough decisions such as channeling resources to big-data efforts.

Through her, IBM continues to grow and is partnering with government enterprises (among other entities) to leverage its ability in cognitive computing. In participative leadership, employees who would otherwise feel undermined by hierarchical standards are included in the decision-making process.

A democratic leader considers all input when making strategies and also aims to promote teamwork and loyalty.

As a result, workers feel that their contributions matter, which makes them work harder, ensuring the growth of your business.

1. Appealing to the Millennial Workers

44% of millennial workers say that they are likely to work harder when their employer listens and holds regular meetings with them, according to a recent Gallup research.

They are not very productive when working in an overly hierarchical setting and often want to leave for a more flexible company Young employees crave freedom and want to be actively involved in strategic development and the decision-making process. They want to feel like part of a more significant movement, which is why you should strive to be a democratic leader.

You will empower them to use their craftsmanship to work harder and remain loyal to your setup, thereby facilitating business growth.

2. Improved Customer Experience

In today’s competitive world, businesses have to perform better to win over customers. Through reading online reviews and using other resources, consumers know exactly how a particular company compares to its competitors. In such an environment, democratic leadership is bound to perform better.

This is because it is characterized by informed business decisions and bolstering dedication among employees. Such employees are used to freedom, have better work relations, and communicate better with clients.

They capitalize on their strengths to get work done, and, as a result, their businesses will retain existing clients and win over new customers, making more revenue and ensuring growth.

3. Helps to Cope With Disruption

Today’s world is characterized by constant innovations that create new markets and often lead to the displacement of business setups. A company like Uber has shown that it is possible to grow within a short time. It has grown exponentially and turned the entire market on its head within just a few years of entering the industry.

Among other reasons, this tremendous success is because the company leadership adopted a culture that gave employees the freedom to make innovative decisions.

You can emulate such a company by remaining alert and developing informed and futuristic strategies that will help you cope with severe disruptions, thereby ensuring constant growth.

A Friendly Environment

As a democratic leader, you should listen to your workforce instead of making bias decisions and dictating their roles. Such a boss understands that people who can make effective personal decisions can also come up with good ideas in a professional setting.

This leader creates a friendly environment that lets them achieve the same. By so doing, they can utilize and align all resources, focusing on achieving the core business goal.

How Do You Engage in Democratic Leadership?

If you have ideas you feel like sharing that might be helpful to readers, share them in the comments section below. Thanks!

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Sally Keys
Sally Keys
Sally is a freelance writer who gave up a successful career in HR to become a work-from-home mum running her own business. She operates a strict daily schedule, often getting a lot of her work done before the kids get up, and enjoys getting out of the home to walk her pet Labrador, Rosie.
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