Authentic Leadership Theory: The Need-to-Know Concept for MBAs

This article is sponsored by the University of Aberdeen Business School. Learn more about its new online MBA

Can people be trained to be good leaders, and what constitutes genuine leadership? Troubled by accounting scandals at corporations such as Enron, and Tyco, and riled by the acute mismanagement that culminated in the 2008 global financial crisis, many have begun to pose this type of question with ever greater urgency. Business schools also reassessed their curricula, conscious of their role in shaping future generations of leaders – graduates who they are sure to hope will not become the protagonists of such ill-fated global economic catastrophes.  

The need to restore confidence and optimism in the leadership of corporations and governments is just as important today as it was almost a decade ago. "A leader without integrity, without an ethical base, is going to be seen as too easy to influence, as having no views of their own. We can all think of a very pragmatic politician who will, perhaps, change their mind just to win votes and, as managers, we mustn't fall into that trap," says Mark Whittington, head of the University of Aberdeen Business School.

In its newly launched online MBA, known as the ‘MBA (Global)’, the University of Aberdeen guides students through the theories that underpin leadership. Key among them is something known as ‘authentic leadership theory’, a relatively new approach to management that emphasizes the value of possessing a strong moral code.            

"I think effective leadership is always about being authentic to who you are, and being authentic to the people you work with…That is about conveying commitment to a goal and project, as well as empathy and support for those you are working with. Those, to me, are the things that make leadership effective," explains Ian Heywood, MBA program director at the University of Aberdeen Business School.

Attempts to define and operationalize the constructs of leader authenticity and inauthenticity go back to the early 1980s. However, it was not until the publication, in 2003, of Authentic Leadership: Rediscovering the Secrets to Creating Lasting Value by Bill George, senior fellow at Harvard Business School, that the term, ‘authentic leadership theory’, really began to draw global attention.

"Authenticity has become the gold standard for leadership. No longer is leadership about developing charisma, emulating other leaders, or looking good externally. Instead, leadership is about inspiring and empowering those you lead," George wrote in 2015. 

George outlines five key characteristics that define an ‘authentic leader’. They are: Knowing yourself; practicing your values and principles; leading with the heart and head; building lasting relationships; and self-discipline.

The University of Aberdeen Business School stresses the importance of authenticity in a person’s leadership style. “I think that when you try to lead from a position where you don't feel as though you're authentic, or it doesn't represent your views or your values, or those of the organization, that's often where leadership goes astray and we get what I often refer to as 'the dark side' of leadership coming out,” says Heywood.