What is Authentic Leadership and Why is it Important in the Workplace?

Leadership is never truly impactful without authenticity.

When managers are focused on hitting targets and driving performance, authenticity can often be the last thing on their minds. However, what many don't realize is that authenticity is the foundation of long-term success. Without it, any achievements are likely to be short-lived.

Being an authentic manager means being genuine, transparent, and deeply invested in your team’s well-being. It’s not about putting on a façade or pretending to care; it's about actually caring. Authentic leaders lead with their true selves, aligning their actions with their values and beliefs. They communicate openly and honestly, build real connections with their team, and inspire through their actions and words.

Authentic leadership isn’t just about being a nice person; it’s about being a real person. It's about showing vulnerability, admitting mistakes, and learning from them. It's about creating an environment where employees feel safe to express themselves, take risks, and grow. This kind of leadership builds trust, fosters loyalty, and drives sustainable success.

But what are the key elements of authentic leadership? Let’s break them down.

The 5 Elements of Authentic Leadership

Purpose

Purpose is all about knowing why you lead. It’s understanding your mission and what drives you. Without purpose, your leadership lacks direction. Employees can tell when a leader is just going through the motions.

Values

Values are your guiding principles. They dictate how you make decisions and interact with others. If you’re not clear on your values, how can you expect your team to be? Leaders who don't live by their values create confusion and mistrust.

Heart

Heart is about empathy and compassion. It’s showing that you genuinely care about your team. Many leaders forget that their employees are people with lives outside of work. A little heart goes a long way in building loyalty and trust.

Self-Discipline

Self-discipline is about consistency and accountability. It means showing up and doing what you say you’ll do. Leaders who lack self-discipline create chaos and lose respect. If you can't manage yourself, how can you manage a team?

Relationships

Relationships are the connections you build with your team. It’s about being approachable and building trust. Leaders who don’t invest in relationships often find themselves leading a disengaged and unmotivated team.

Many leaders don’t consider all these elements enough, especially those that require empathy. They get sidetracked by worrying about results and forget what’s needed to achieve them—especially long-lasting ones.

But what are those results? What impact does authentic leadership have on employees?

10 Benefits of Authentic Leadership as a Manager

Engagement

Authentic leadership boosts employee engagement. When employees feel their leaders are genuine and care about their well-being, they become more invested in their work. Engaged employees are enthusiastic, productive, and committed.

Retention

High turnover rates are a nightmare for any company. Authentic leaders create an environment where employees feel valued and understood, making them less likely to jump ship. Employees are more likely to stay long-term if they feel a genuine connection with their leaders.

Trust

Trust is the bedrock of any successful team. Authentic leaders build trust by being transparent and reliable. When employees trust their leaders, they are more likely to follow their guidance and work effectively as a team.

Company Culture

Creating an authentic company culture is key to inspiring employees and making them excited to come to work every day. This means building a positive and inclusive environment where employees feel they can be themselves and contribute fully.

Motivation

When employees see their leaders being genuine and passionate, it inspires them to be the same. Authentic leaders motivate their teams not through fear or authority but through inspiration and genuine connection.

Innovation

A culture of authenticity encourages creativity and innovation. When employees feel safe to express their ideas without fear of judgment, they are more likely to come up with innovative solutions. Authentic leaders create an environment where creativity thrives.

Performance

The combined effects of trust, engagement, and motivation lead to improved performance. Authentic leadership ensures that employees are aligned with the organization's goals and are willing to put in the extra effort to achieve them.

Communication

Authentic leaders are great communicators. Their transparency and openness encourage honest communication within the team. This reduces misunderstandings and fosters collaboration.

Development

Authentic leaders care about the growth and development of their employees. They provide constructive feedback, support career progression, and invest in training opportunities. This not only improves individual performance but also builds a stronger team.

Resilience

In times of crisis and uncertainty, authentic leaders provide true stability for their team members. Their consistency and ethical grounding provide a sense of security and direction for their teams. Employees are more likely to stay focused and resilient under the guidance of an authentic leader.

Addressing Common Objections

Will being authentic make employees not respect me?

Absolutely not. Authenticity builds respect. When employees see their leaders as genuine and trustworthy, their respect for them deepens. Authentic leaders who genuinely care for their employees are more respected, not less.

Will a friendly approach lead to a lack of effort?

No. Being friendly and approachable doesn't mean a lack of authority. It means employees feel comfortable and valued, which often leads to increased effort and loyalty. Authentic leadership strikes the right balance between being a good person and a good leader.

- Written by Oliver Howson