Association of Chartered Certified Accountants (ACCA) Certification Practice Test

What is a key feature of the laissez-faire style of leadership?

1. Manager dictates all work processes

2. Manager allows employees to make their own choices within limits

3. Manager takes a hands-on approach to decision-making

4. Manager collaborates actively with employees

The correct answer is: Manager allows employees to make their own choices within limits

The laissez-faire style of leadership is characterized by a hands-off approach where the manager provides minimal supervision and allows employees a great degree of autonomy in their work. This means that while the manager may set broad goals or expectations, the day-to-day decisions and tasks are largely left up to the employees themselves. This leadership style is particularly effective in environments where team members are highly skilled, motivated, and capable of working independently. It fosters creativity and innovation since employees feel empowered to explore their ideas and approaches without being constrained by micromanagement. In this context, it becomes clear that allowing employees to make their own choices within certain limits aligns perfectly with the core principles of laissez-faire leadership. The emphasis here is on trust, responsibility, and self-direction, fostering an environment where individuals are encouraged to take ownership of their work.