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Effective Executive Magazine:
Toxic Leaders: Exploring the Dark Side†
 
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This paper reviews the emerging research interest in toxic or destructive leadership. Much of the leadership writing has assumed that leaders are effective. There is data suggesting that about half of individuals in leadership roles are falling short in meeting their organizational objectives. Most employees say that the worst aspect of their job is their managers. Toxic leaders have been described using various labels: destructive, narcissistic, flawed, derailed, petty tyrants, dysfunctional, abusive, bullying, psychopathic, Machiavellian and stupid. In general, toxic leaders are associated with negative attitudes towards the leaders, poorer job performance, lower psychological health of employees, greater intentions to quit and more counterproductive job behavior by employees. In order to develop better leaders, toxic leaders need to be discussed in management development programs and at MBA level courses. Toxic leadership behaviors can be changed, though not easy. Assessment tools, 360 degree feedback, coaching and mentoring, and punishing toxic leaders can be helpful.

 
 
Leadership plays an important role in creating psychologically healthy workplaces and organizational success. Organizations worldwide spend billions of dollars annually in efforts to increase the quality of their leaders at all levels and hopefully, ultimately increase the success of their organizations. When the concept of leaders and leadership is discussed there is an implicit bias or assumption that leaders are or will be effective. Unfortunately, the evidence does not support these biases or assumptions. Hogan (1994) and Hogan and Hogan (2001) believe that about half the individuals in leadership positions are falling short in meeting their organizations’ objectives. These implicit biases or assumptions prevent us from considering the dark side of leadership: Why do so many leaders fail? For example, Wells Fargo CEO John Stumpf built a successful career, but on October 12, 2016 resigned following a scandal involving employees opening fake accounts to meet aggressive sales targets. About 5,300 lower level employees were fired and Wells Fargo was fined $185 mn.
 
 
Toxic Leaders, Exploring the Dark Side