The behavior of leader is the single most important influence on the competitiveness of a company. Not only, do a leader set formal mission, goals, policies, and procedures, but also set a practical example of him to communicate the importance of organizations cultural values.
Subordinates are keen observers and quickly notice if standards are in practice and upheld.
Leaders communicate with their employees by their actions to enforce policies and procedures. For the workers leader is a coach, who gives structure to a team of players who already have all the basic skills of their sport. Organizational structure, culture, and behavior are the outcome of their leadership. Leaders who are innovative, creative, visionary, and demonstrate a willingness to take risk and accept responsibility makes the organization successful and competitive. Successful leaders emphasize on open communication, decentralization and input from the employees in decision making process.