5 Character Traits of an Effective Business Leader


What does an effective business leader look like? Well, on the outside, they could look like any of us, facially speaking. However, it’s the character traits that are generally universal among all good leaders that are the proof of the proverbial pudding. For example, there are some character traits that show bad leadership:

  • Laziness
  • Arrogance
  • Egotism
  • Close-mindedness
  • Slow learning

You may have spotted some of those traits in people you have known yourself, or even (whisper it), within your own leadership. If the latter, you will struggle to steer your business in the right direction. There are character traits you need to develop, especially if they are not naturally ingrained into you. The following, for example, are signs of an effective leader. Do any of them apply to you? If not, you need to change your leadership style.

  1. An enthusiastic leader can inspire others, from rallying the troops in his employ to encouraging customers to buy a product or service. Enthusiasm is infectious – think Steve Jobs every time he tried to sell a new product with incremental improvements – and people will jump on board because of the passion on display.
  2. Self-awareness. Being self-aware means knowing oneself, warts and all. There will be an understanding of both strengths and weaknesses, and while this can incur vulnerability from the leader, it can also command respect. The self-aware leader is honest about his successes and failings. The self-aware leader will seek to better himself when needed, such as taking a masters in business management online. Self-awareness is key to understanding oneself and taking steps to to improve failings.
  3. Nobody likes a liar. Those people who engage in mistruths will fall flat on their faces and engender no respect. An honest leader, on the other hand, will be trusted. By evidencing honesty, such as admitting to their own mistakes, credibility will be gained. Sometimes, honesty hurts, but the leader won’t be afraid to direct it at themselves or at others if they know it will only better the business in the process. An honest leader has integrity, and this will inspire confidence in others.
  4. There is no room for dithering or procrastination in business, especially when tough decisions need to be made quickly. A decisive leader will take the bull by the proverbial horns, and will decide on a course of action. While mistakes can be made, a bad decision can be better than no decision at all, when procrastination results in a larger problem.
  5. Running a business is not easy, and the leader is aware of this. Despite the obstacles that lie ahead, they will meet them head-on and find ways to overcome them. With this not-giving-up mentality, the leader will also inspire those around him; those people who may have given up if not for the sterling example of the person leading them into business battle.

How many of those character traits do you identify with? Hopefully, more than a couple of them. Still, let’s be honest. Leadership is tough, so failings will be made. However, the character traits mentioned can overcome any difficulties you may face if you are in a higher position. Work on them, study them, and let them become ingrained into your leadership style.