Poor Leadership May Endanger Your Business

Poor leadership can have a detrimental impact on the success of your business. Being overbearing or demanding can leave your employees feeling stressed and counterproductive. A poor approach to leadership can have many negative impacts on the future functionality of your organization. 

 Poor Leadership Can Sink Your Business 

 Leadership is one of the most important aspects of running your new business. Many employees have encountered a manager or supervisor who did not treat them kindly. If employees do not have the feeling that they can follow the leadership of their manager, it can lead to confusion, resentment, and conflict in the workplace. 

 Did you ever work for a boss who was a bully, who did nothing but demean staff, shout orders or cause undue stress to his or her employees? Such behavior certainly doesn't promote loyalty. It often leads to a number of consequences that seriously hamper your ability to run a profitable and successful business.

 It is important to take time to assess the kind of leadership skills you want to promote your business. Do you want to be a leader who takes near total control of the business environment? This type of leader is certainly capable, but may have very few "people skills." Such an employer often overworks, underpays, or under-appreciates their staff. 

 An autocratic or bossy leader may leave employees feeling mentally and physically drained. Such employees don't like coming to work, but need the job and the paycheck.  Even the best democratic type leaders occasionally deal with the ramifications of poor leadership or decisions. Your ability to deal with new or unexpected obstacles or situations in a positive and focused manner provides the leadership your employees need. 

 An extremely laid-back or laissez-faire type leader will have little to no control over employees. This can result in incomplete orders, lack of quality, and poor customer service; which in turn results in the loss of sales and potential profits. Are you a passive leader? Many new business owners have no experience in leadership and tend to allow their employees to make decisions about anything from scheduling to production to customer service. 

 However, it is important to find an appropriate balance in the suggestions you take, and the decisions you carry out. While you certainly want to allow your employees to offer their input in many situations, it's up to you to make the final decision. A poor leader refuses to accept suggestions or ideas from others; especially employees. This type of attitude is often found in bosses or managers who are unconcerned and unaware of worries, complaints or conflicts between their employees. 


 Poor leaders who display a lack of concern for an employee's welfare will not generate the efficiency, loyalty, or quality work that is the foundation of business success. Poor leadership will have a direct impact on both short and long-term business goals. Don't hamper your business success before you've even get started.

You can learn more in the LeadersBench curriculum.