As a process, leadership is the use of noncoercive influence to shape the group's or organization's goals, motivate behavior toward the achievement of those goals, and help define group or organization culture. As a property, leadership is the set of characteristics attributed to those who are perceived to be leaders. Leadership and management are often related but are also different. Managers and leaders use legitimate, reward, coercive, referent, and expert power.

The trait approach to leadership assumed that some basic trait or set of traits differentiated leaders from nonleaders. The leadership-behavior approach to leadership assumed that the behavior of effective leaders was somehow different from the behavior of nonleaders. Research at the University of Michigan and Ohio State identified two basic forms of leadership behavior-one concentrating on work and performance and the other concentrating on employee welfare and support. The Leadership Grid attempts to train managers to exhibit high levels of both forms of behavior.

Situational approaches to leadership recognize that appropriate forms of leadership behavior are not universally applicable and attempt to specify situations in which various behaviors are appropriate. The LPC theory suggests that a leader's behaviors should be either task-oriented or relationship-oriented depending on the favorableness of the situation. The path-goal theory suggests that directive, supportive, participative, or achievement-oriented leader behaviors may be appropriate, depending on the personal characteristics of subordinates and the environment. Vroom's decision tree approach maintains that leaders should vary the extent to which they allow subordinates to participate in making decisions as a function of problem attributes. The leader-member exchange model focuses on individual relationships between leaders and followers and in-group versus out-group considerations.

Related leadership perspectives are the concept of substitutes for leadership, charismatic leadership, and the role of transformational leadership in organizations.

Political behavior is another influence process frequently used in organizations. Impression management, one especially important form of political behavior, is a direct and intentional effort by someone to enhance his or her image in the eyes of others. Managers can take steps to limit the effects of political behavior.