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Situational Leadership Aspects in Business Setting


The performance in the workplace is significantly conditional upon the adoption of an appropriate leadership style by managers addressing the principal organizational needs. One of them is situational leadership, and its incorporation in regular operations of present-day companies seems to provide positive results (Walls, 2019). However, this approach also has specific drawbacks which should be timely addressed in order to avoid financial losses stemming from the ineffectiveness of guiding employees. Therefore, it is critical to understand how different aspects of this method can be applied to a business setting while considering appropriate alternatives depending on the type of organization or job position.

Positive Aspects

The first area of consideration is the benefits of introducing situational leadership to the needs of different entities. They mainly include the possibility of ensuring flexibility in the decision-making process, promoting collaboration between employees by involving them in this task, and improving their ability to readjust efforts when needed (Walls, 2019). Also, this method helps assess the appropriateness of one or another person for teamwork in specific projects, thereby boosting the confidence of individuals in acting independently (Walls, 2019). These factors appear to be vital for the success of the organizational activity and explain the feasibility of adopting this style in the workplace.

Negative Aspects

The described advantages of situational leadership are complemented by particular drawbacks which should be effectively addressed in order to guarantee the proper implementation of this technique. The adverse aspects are related to the fact that decisions made while using this approach are frequently determined as unstructured, implying an insufficient degree of control over their practical implementation (Wuryani et al., 2021). In this way, the performance system becomes ineffective when managers empower employees by emphasizing the importance of acting on a case-by-case basis without having any instruments to control their actions (Wuryani et al., 2021). Therefore, the challenges connected to the use of this style are linked to the impossibility of managing independently applied solutions.

Application to a Business Setting

Considering the above factors, situational leadership in a business setting can be applied by focusing on the importance of each employee for a positive outcome of projects. For example, when individuals work within a team, the unity of their views might be detrimental to the results as it can lead to the failure to notice changes (Wuryani et al., 2021). In this way, an increase in flexibility through considering numerous opinions instead of following one course of action can increase the overall productivity in a continuously evolving environment.


The type of organization or job position can be critical when selecting a style of leading employees, and in the case of routine tasks instead of emergencies, transformational leadership seems to be a better solution. This idea is based on the fact that it modifies the overall system in the workplace instead of addressing separate occasions (Rao & Arora, 2018). Therefore, for instance, when companies perform mainly operations with a limited number of unexpected factors, this approach is more favorable.


In conclusion, situational leadership is an effective approach to organizational needs, including both benefits and drawbacks. The former is presented by flexibility and enhanced collaboration of all participants, whereas the latter includes the lack of structure correlation with organizational performance. Thus, an optimal alternative to this method is transformational leadership, advantageous for maintaining regular operations and bringing clarity to the expectations of all employees and managers.


Rao, R. K., & Arora, S. (2018). Pathway to transformational leadership. KAAV International Journal of Economics, Commerce & Business Management, 4, 533-540. Web.

Walls, E. (2019). The value of situational leadership. Community practitioner: The journal of the Community Practitioners’& Health Visitors’ Association, 92(2), 31-33. Web.

Wuryani, E., Rodlib, A., Sutarsib, S., Dewib, N., & Arifb, D. (2021). Analysis of decision support system on situational leadership styles on work motivation and employee performance. Management Science Letters, 11(2), 365-372. Web.

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