Warren Buffett Leadership Style

The immense success that Warren Buffett has enjoyed over the years is owed to the maintenance of multiple remarkable leadership practices. There is a myriad of lessons that one can pick up from the article regarding Warren Buffett’s leadership style. Chris (2015) indicates that Buffett is a firm believer in the abilities of his followers. In this regard, he shuns the intense supervisory habits that most leaders portray when they want certain functions completed. Secondly, Buffet also understands that getting the maximum level performances from employees requires a high level of autonomy. The laissez-faire style that he has maintained for quite some time has made his organization one of the best places to work in. Buffett’s leadership ideology eliminates the struggle for power among various executives or junior employees. Decisions in the organization are only made with the business interests in mind as Chris (2015) illustrates.

Power tussles and other political dynamics can yield detrimental conflicts within the organization. As George & Jones (2000) assert, overlapping authority and differences in the approaches utilized in executing organizational functions can lead employees to conflict with other thus creating a toxic working environment. The leadership style practiced by Warren Buffett creates no room for such dynamics. The Berkshire Conglomerate’s workplace is devoid of arrogance, complacency, and bureaucracy as illustrated by Chris (2015). Perhaps the leadership theory that better describes Buffett’s style is Fiedler’s Contingency Theory of Leadership. As mentioned in the article, Buffett’s conglomerate operates in multiple industries and locations. The ability to enjoy success depicts his versatility in adapting his management styles to suit the situations that his multiple companies go through. Additionally, he is not a predictable person and he does not like to stay in a comfort.

Buffet’s success is owed to his warm embrace of the dynamism of the modern business environment. Therefore, instead of concluding that he practices transformational leadership, it is ideal to say that he mainly adheres to the tenets of the contingency theory of leadership. George, Jones & Sharbrough (2005) indicate that a vision is always integral to transformational leadership. Still, being a visionary is not an attribute that Warren Buffett is known for. In fact, Buffett’s style can be closely linked with the servant leadership style. This is mainly due to the fact that he has taken every measure to ensure everybody is comfortable and operates freely within the organization. Nonetheless, his style leans towards the contingency theory of leadership because he remains fixated on the business’ interests rather than the employees’ interests.


Chris, J. (2015). 9 Warren Buffett Leadership Style Doctrines. Chris Johnson.

George, J. M., & Jones, G. R. (2000). Essentials of managing organizational behavior. Prentice   Hall.

George, J. M., Jones, G. R., & Sharbrough, W. C. (2005). Understanding and managing   organizational behavior. Upper Saddle River, NJ: Pearson Prentice Hall.





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