LEADERSHIP THEORIES AND STYLE

WITH THE HELP OF CASE

STUDY(222801029)
Leadership Theories:

1. Situational Leadership Theory:

This theory suggests that there is no single way of leading and that the leadership style should vary
according to the situation. A good leader must be able to identify the readiness level of their
followers and adapt their leadership style accordingly. The readiness level can be assessed through
the follower's ability, willingness, and motivation to perform a task.

2. Trait Theory:
This theory emphasizes the innate characteristics of a leader such as intelligence, charisma,
confidence, and determination. According to this theory, people are born with certain traits that
make them great leaders. Trait theory suggests that leadership is not a skill that can be learned but is
an inherent quality of an individual.

Leadership Styles:

1. Transformational Leadership:
This style of leadership focuses on inspiring and motivating followers to achieve a common goal. A
transformational leader makes the followers feel valued and confident by providing them support,
recognition, and opportunities to grow. This style of leadership encourages teamwork, creativity,
and innovation.

2. Laissez-Faire Leadership:
This style of leadership is hands-off and allows followers to make decisions and take responsibility
for their own work. The leader provides minimal guidance and input, which can lead to a lack of
direction and motivation among followers. Laissez-faire leadership is only effective when the
followers are skilled and experienced in their work.

Case study:

Oceanic Bank International Plc is a Nigerian commercial bank that was established in 1990. The bank
went through a period of leadership changes and faced many challenges. It was acquired by Ecobank
Transnational Incorporated in 2011. One of the leaders of Oceanic Bank International Plc was Cecilia
Ibru, who was the Managing Director and CEO from 2000 to 2006. She was known for her
charismatic leadership style and her ability to motivate her team. She was a transformational leader
who inspired her followers to be creative and innovative. This helped the bank to achieve significant
growth during her tenure. However, Ibru was eventually convicted of financial crimes, and the bank
suffered significant losses. The new leaders of the bank adopted a laissez-faire leadership style,
which was not effective in addressing the challenges that the bank faced. The bank was eventually
acquired by Ecobank Transnational Incorporated, which implemented a situational leadership style
to adapt to the changing situation of the bank. The new leadership team identified the readiness
level of the followers and adapted their leadership style accordingly, which helped the bank to
recover and grow.