Effective leadership is vital for the success of any organization. After all, business leaders have a significant impact on whether an organization achieves its strategic goals. Because they’re so critical, leadership skills have long been a topic of great interest to scholars, and many leadership theories have emerged. One of the most widely discussed and researched theories is authentic leadership.
Authentic leadership theory holds that leaders who focus on inspiring trust and fostering open relationships are better positioned for success. Proponents of the theory state that adopting the characteristics of authentic leadership can lead to positive business outcomes, such as increased engagement and stronger relationships.
This guide explores authentic leadership theory and examines how you can develop your own leadership skills through self-study and advanced education, through programs such as Southeastern Oklahoma State University’s online Master of Business Administration (MBA) with a Concentration in Leadership.
What Is Authentic Leadership?
Although exact definitions vary, authentic leadership is an approach to leadership that emphasizes self-awareness, transparency and values-driven decision-making. A professional who uses an authentic leadership style seeks to strengthen their relationship with employees to foster a positive workplace.
Authentic leadership theory is vastly different from traditional approaches to leadership. Traditionally, leaders prioritize short-term performance outcomes, seeking to influence others to drive progress toward goals. With an authentic model, leaders seek to connect with employees as people and let their own humanity show, encouraging employee growth that contributes to the organization’s long-term success.
What Are the Core Characteristics of Authentic Leadership?
Individuals who lead authentically often display certain core characteristics, including self-awareness. Authentic leaders understand their strengths and weaknesses and live by strong personal values in the workplace. In addition, they prioritize relational transparency. They practice open and honest communication with team members to prevent misunderstandings and limit office gossip and distractions.
Generally, authentic leaders engage in balanced information processing. They prefer to make an objective evaluation of the information before reaching decisions rather than letting emotions or biases cloud their judgment. Authentic leadership also usually involves a deeply internalized moral perspective, with leaders modeling ethical behavior guided by their own strict inner standards.
Authentic Leadership Examples in Practice
Authentic leadership theory becomes easier to understand when exploring real-world examples. Take Jacinda Ardern, who served as New Zealand’s prime minister from 2017 to 2023. Her commitment to transparency with her internal team and the people of New Zealand enabled her to respond effectively to crises that occurred during her tenure. Many experts laud her response to the 2019 Christchurch mosque shooting and how New Zealand limited the spread of COVID-19 under her leadership.
In the corporate world, Microsoft CEO Satya Nadella provides another example of an authentic leader. As AI competition has increased pressure on the tech giant, Nadella has demonstrated self-awareness that his vision alone should not be the lodestar for the company. As a result, he has launched weekly meetings to gather input directly from employees. In addition, he practiced complete transparency through regular companywide communications while overseeing Microsoft’s major restructuring in 2025.
What Are the Benefits of Authentic Leadership?
Authentic leadership can benefit organizations in several ways. Relational transparency builds trust between employees and business management, which can lead to improved morale and higher employee retention. When employees feel valued and secure in the relationship with company leaders, they may also feel more engaged. In turn, increased engagement can translate into better productivity and efficiency.
By fostering a positive working environment, authentic leadership encourages employees to collaborate, resulting in more cohesive teams. In the short term, enhanced teamwork often equals more favorable project outcomes. Over time, consistent, authentic leadership leads to greater innovation, giving organizations a competitive advantage.
If all of an organization’s managers and C-suite executives adopt an authentic leadership style, exponential effects are possible. An organization-wide commitment can reshape organizational culture and enable companies to pursue their strategic goals as fully unified teams.
Developing Authentic Leadership Skills
Authentic leadership skills are typically not innate. Individuals who lead authentically must develop them over time. Increasing your own emotional intelligence and communication skills is an important step in the process.
There are several ways to begin developing authentic leadership skills. These include:
- Self-study: Reflecting on your own performance through journaling and self-critiques can help you identify areas for improvement and enhance your leadership over time.
- External resources: Reading business books and attending leadership workshops, training and seminars can help you strengthen specific skills.
- Seeking feedback: Asking your employees to review your performance in writing through anonymous surveys can give you insights into your current level of authenticity and how you can improve over time.
- Mentoring: Identify someone who leads authentically and ask them to serve as your personal mentor, so that you can learn from their experience.
- Formal education: Graduate-level business education via an accredited program, such as Southeastern’s MBA in Leadership online program, allows you to hone critical skills that can contribute to your overall career development.
Foster Authentic Leadership Skills with Graduate Business Education
In today’s highly competitive business environment, authentic leadership skills are more critical than ever. Leading authentically benefits organizations by boosting engagement, job satisfaction, employee retention, team cohesion and innovation.
Developing authentic leadership skills may help you contribute to organizational success and increase the value you bring to management positions, advancing your career. Pursuing a graduate-level business degree can help you strengthen your existing skills and acquire new competencies that enhance your leadership abilities.
Southeastern’s online MBA in Leadership program aligns with the goals of professionals like you who want to continue meeting their work and personal obligations while pursuing advanced business education. Offered by the Association to Advance Collegiate Schools of Business-accredited John Massey School of Business, this flexible online format fits into your daily schedule, and its affordable tuition structure maximizes value.
In the program, you will have a chance to learn from instructors with real-world experience and gain skills that you can begin immediately applying to your leadership position. Get ready to foster authentic leadership skills in yourself. Learn more about Southeastern’s online program and apply today.
Learn more about Southeastern’s online MBA in Leadership program.