Tesla

Leadership
Styles
Tesla leadership… Transformational leadership

 Elon Musk’s leadership style is transformational since it focuses on innovation and achieving large
scale goals.
 This leadership style’s strengths are innovative thinking, analysis, problem-solving, planning, and
strategy execution. In short, transformational leaders don’t wait for the world to change—they make
a plan and motivate others to join them so they can achieve their vision.

Top 3 Elon Musk Transformational Leadership Quotes:

“We will not stop until every car on the road is electric.”
“If you get up in the morning and think the future is going to be better, it is a bright day. Otherwise,
it’s not.”

“Really, the only thing that makes sense is to strive for greater collective enlightenment.”
Why is this style of leadership best for tesla

 There are several reasons why transformational leadership is the best option for Tesla:
 Mission-driven: Tesla is a company with a strong mission to accelerate the world's transition to sustainable energy.
A transformational leadership style aligns well with this mission as it emphasizes the importance of a shared vision
and purpose.
 Innovative and fast-paced: The automotive and clean energy industries are constantly evolving, and companies
must be able to adapt quickly to keep up. Transformational leadership encourages creativity, innovation, and risk-
taking, which can help Tesla stay ahead of the competition.
 Employee motivation: Transformational leadership emphasises the importance of inspiring and motivating
employees to achieve their full potential. This can lead to higher levels of employee engagement, motivation, and
commitment to the company's goals.
 Hands-on leadership: Elon Musk's hands-on approach to leadership allows him to make quick decisions and take
bold moves, which can be necessary in a fast-paced industry like automotive and clean energy.
Democratic
leadership Advantages  Disadvantages 
Encourages participation  Time consuming 

Increases motivation  Possible conflict 

Higher job satisfaction  Lack of direction 

Better collaboration and Inefficient 

team work
Increases innovation and
creativity 
 Autocratic Leadership

Pros
Fast decision making
Quick crisis management
Reduces employee stress
Direct communication
Improves productivity
Cons
Results in micromanagement
Creates a lack of trust
Leads to a lack of creativity
Disregards employee ideas
Stressful for management

An autocratic leadership style would be beneficial to Tesla as it would allow them to reach
their goals faster through a more efficient communication process. However, it would likely
demotivate employees as their ideas aren’t accounted for.
News for Tesla around leadership
styles

 However… 
 Musk's leadership style also causing some controversy. Some former employees
have criticized him for creating a high-pressure work environment that
prioritizes results over employee well-being.
  Additionally, Musk has been known to make controversial statements on social
media, which has at times led to negative publicity for Tesla.

“…Musk is treating people like collateral damage instead of human beings,
forgetting basic human decency in the way he’s handling the layoffs.
  Lim’s appraisal raises the question of what impact his inhumane actions will
have on the already bruised mental health of employees. Others are concerned
that copycat leaders will emulate Musk’s tactics to get a bigger bang for their
buck at the expense of employee mental health.”