Association of Chartered Certified Accountants (ACCA) Certification Practice Test

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Which leadership style involves minimal managerial intervention?

  1. Autocratic leadership

  2. Democratic leadership

  3. Laissez-faire leadership

  4. Transactional leadership

The correct answer is: Laissez-faire leadership

Laissez-faire leadership is characterized by a leadership style that involves minimal managerial intervention, allowing team members to have significant autonomy in their work. This style empowers individuals to make their own decisions, fostering creativity and innovation, as they are trusted to manage their tasks without excessive oversight. In a laissez-faire environment, leaders provide the necessary tools and resources but step back from direct involvement in the day-to-day processes and decision-making. This can lead to high levels of motivation and engagement among team members, as they feel their expertise and judgment are valued. This leadership style is most effective in environments where team members are highly skilled and motivated, allowing them to thrive with the freedom to navigate their challenges independently.