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Leadership Theories & Models

Leadership vs Leader: Understanding the Crucial Distinction

Discover the difference between leadership and leader. Learn why leadership is a process anyone can practice, not just a position someone holds.

Written by Laura Bouttell • Tue 30th December 2025

Leadership vs Leader: Understanding the Crucial Distinction

A leader is a person assigned or designated to guide others, whilst leadership is the process of influencing and inspiring people toward shared goals—and crucially, you don't need to be the former to practice the latter. This distinction transforms how we think about influence, development, and organisational effectiveness.

Consider a striking reality in modern organisations: some people in formal leadership positions are poor leaders, and many good leaders have no formal authority whatsoever. The project team member who aligns colleagues around a difficult goal, the individual contributor who mentors junior staff, the cross-functional collaborator who breaks down silos—these individuals exercise leadership without holding leader titles.

Understanding the leadership-leader distinction liberates influence from hierarchy. It recognises that leadership is something you do, not something you are—a matter of action rather than position. This perspective opens leadership capability to everyone whilst challenging those with formal authority to actually lead rather than merely occupy positions.


What Is the Fundamental Difference Between Leadership and Leader?

The distinction is categorical: a leader refers to a person, whilst leadership refers to a process or set of actions.

Defining "Leader"

A leader is an individual person who is assigned or delegated to guide a group, team, organisation, or similar entity. Key characteristics include:

A leader is like the captain of a ship—positioned at the helm, expected to make significant decisions, and visibly identified with that responsibility. Examples include CEOs, managers, team leaders, and department heads.

Defining "Leadership"

Leadership, in contrast, is not classified by a person but rather as a process. Leadership can be defined as the action of influencing a group, team, or organisation to help reach its goals. Essential characteristics include:

Leadership is more like steering the ship—the actions of inspiring, guiding, and rallying others toward a common destination. It's the doing, not the being.

Dimension Leader Leadership
Nature Person/Individual Process/Action
Source Assigned position Chosen behaviour
Requirement Formal designation None—anyone can lead
Permanence Role-bound Situational
Visibility Position on org chart Observable actions
Dependency Requires appointment Requires only initiative

Why Does This Distinction Matter for Organisations?

The leader-leadership distinction has profound implications for how organisations develop capability, distribute influence, and achieve results.

Liberating Influence From Hierarchy

Traditional thinking conflates the person (leader) with the process (leadership), assuming only those in authority positions can lead. This assumption:

  1. Limits organisational capability — Restricts leadership to the few with titles
  2. Creates bottlenecks — Concentrates influence at hierarchy points
  3. Demotivates talent — Tells capable people they cannot lead without promotion
  4. Misallocates development — Focuses leadership training on position-holders

Separating the concepts opens leadership to everyone. Individual contributors, project team members, junior employees—anyone can exercise leadership through their actions, regardless of their place on the organisational chart.

Challenging Position-Holders to Actually Lead

Conversely, recognising that holding a leadership position doesn't automatically confer leadership capability challenges managers and executives to earn their influence.

Just because a person is assigned as the leader of a group does not necessarily mean that person has leadership skills. The newly appointed manager may have authority but lack the ability to inspire, align, or motivate their team. Their title makes them a leader; their actions—or lack thereof—determine whether they exercise leadership.

Enabling Distributed Leadership

Modern organisations increasingly depend on distributed leadership—influence exercised across levels, functions, and teams by whoever is best positioned to provide it in the moment. This approach:


Can You Practice Leadership Without Being a Leader?

Absolutely—and this capability increasingly distinguishes high-performers from average contributors.

How Leadership Without a Title Works

Leadership without formal authority relies on different foundations than positional power:

Expertise and Credibility Demonstrated competence creates expert power that transcends hierarchy. When colleagues trust your judgement, they follow your guidance regardless of whether you're their boss.

Relationship Investment Influence through genuine connection develops when you show authentic interest in others, consistently deliver on commitments, and build trust through repeated reliable interactions.

Vision and Purpose Articulating meaningful objectives attracts voluntary followership. People engage discretionary effort toward purposes that matter to them, even when direction comes from peers rather than supervisors.

Initiative and Action Leadership often emerges simply by stepping forward. When challenges arise and someone takes constructive action, others naturally follow—regardless of whether that person holds authority.

Real Examples of Leadership Without Position

Two Types of Authority

Understanding this distinction reveals two fundamentally different types of authority:

  1. Ascribed authority — Granted through position, title, or formal designation
  2. Earned authority — Developed through competence, character, and consistent action

When people say they "don't have authority" because they lack a title, they're referring to ascribed authority. But titles say nothing about earned authority—the kind that actually generates willing followership. People follow who they trust, regardless of role.


What Makes Someone an Effective Leader?

Being designated as a leader doesn't guarantee effective leadership. What actually distinguishes those who lead well?

It's About Actions, Not Position

Leadership is something you do, not something you are. It is a person's actions, rather than their words or job title, that inspire trust and commitment. Effective leaders:

  1. Model desired behaviour — Demonstrate what they expect from others
  2. Communicate clearly — Articulate vision, expectations, and feedback
  3. Develop others — Invest in people's growth and success
  4. Make decisions — Take responsibility for consequential choices
  5. Build trust — Act with integrity and consistency over time

Character Foundations

Effective leadership rests on character traits that inform action:

Capability Requirements

Beyond character, effective leadership requires developed capabilities:

Effective Leadership Factor Description
Action orientation Leads through behaviour, not position
Character foundation Integrity, humility, courage, empathy
Capability development Vision, influence, emotional intelligence
Relationship investment Trust-building through consistent reliability
Results delivery Actually achieves shared objectives

How Can Organisations Develop Leadership Rather Than Just Leaders?

Traditional development focuses on promoting people into leadership positions, then training them. A more effective approach develops leadership capability broadly.

Shift Development Philosophy

Instead of reserving leadership development for those already in positions, organisations should:

  1. Identify leadership potential early — Look for initiative, influence, and effectiveness regardless of level
  2. Provide development opportunities — Give emerging leaders chances to practice before promotion
  3. Recognise leadership wherever it occurs — Celebrate leadership actions regardless of whether they come from designated leaders
  4. Assess leadership separately from position — Evaluate capability independent of title

Create Leadership Practice Opportunities

People develop leadership through practice, not just training. Organisations can provide:

Stretch Assignments Projects or responsibilities that require influencing without authority develop leadership muscles that classroom training cannot build.

Cross-Functional Roles Working across organisational boundaries requires persuasion and relationship-building rather than hierarchical authority.

Mentoring Responsibilities Developing others builds leadership skills whilst multiplying organisational capability.

Community Involvement External leadership opportunities in professional associations, charitable organisations, or community groups build transferable capabilities.

Measure Leadership Behaviours

What gets measured gets managed. Organisations should assess:


What Happens When Leaders Lack Leadership?

The distinction becomes especially visible when position-holders fail to exercise actual leadership.

Recognising the Gap

Signs that someone holds a leadership position without exercising leadership include:

Consequences for Teams

When designated leaders don't actually lead:

  1. Engagement drops — People disconnect from work and organisation
  2. Performance plateaus — Teams deliver minimum rather than maximum
  3. Talent exits — High performers seek environments with genuine leadership
  4. Culture erodes — Organisational values become hollow words
  5. Innovation stalls — People stop taking risks or suggesting improvements

Addressing the Gap

Organisations can address leadership gaps through:


How Can Individuals Develop Their Leadership?

Regardless of current position, individuals can develop their leadership capability.

Start With Self-Leadership

Self-leadership is the bedrock of influence. Before you can effectively lead others, you must lead yourself—managing your own behaviour, development, and effectiveness. This includes:

  1. Self-awareness — Understanding your strengths, weaknesses, and impact on others
  2. Self-discipline — Consistently doing what's required regardless of motivation
  3. Self-development — Continuously learning and growing
  4. Self-management — Handling emotions, stress, and energy effectively

Build Influence Foundations

Develop the foundations that enable leadership without requiring position:

Expertise Become genuinely expert in areas that matter. Deep competence creates credibility that hierarchy cannot provide. As expertise grows, influence follows naturally.

Relationships Invest authentically in connections with colleagues, stakeholders, and others. Trust accumulated through consistent reliability enables influence when needed.

Reputation Build a track record of delivering results, acting with integrity, and supporting others' success. Reputation precedes you into rooms you haven't yet entered.

Practice Leadership Actions

Leadership develops through practice. Seek opportunities to:


Frequently Asked Questions

What is the difference between a leader and leadership?

A leader is a person—an individual designated or recognised to guide others. Leadership is a process—the actions of influencing, inspiring, and guiding people toward shared goals. You can be a leader (hold the position) without exercising leadership (taking the actions), and you can exercise leadership without being formally designated as a leader. The distinction matters because it opens leadership capability to everyone rather than restricting it to position-holders.

Can anyone be a leader without a title?

Yes. Leadership is about actions, not positions. Anyone can exercise leadership by taking initiative, building relationships, developing expertise, articulating vision, and influencing others toward shared goals. Whilst formal leadership positions provide certain authorities, the actual process of leading—inspiring and guiding others—doesn't require organisational designation. Many of the most effective leaders in organisations have no formal authority.

What makes someone a true leader?

A true leader earns followership through their actions rather than demanding compliance through their position. Key characteristics include integrity (consistency between values and behaviour), competence (capability that generates credibility), genuine care for others' success, clear communication of vision and expectations, and consistent delivery on commitments. True leadership is recognised by others' willing choice to follow, not by organisational charts.

How can I develop leadership skills without being in a leadership position?

Develop leadership through practice: take initiative on challenges, build expertise that creates credibility, invest in relationships that enable influence, mentor and develop others informally, articulate vision that helps colleagues see meaning in their work, and step forward when situations require someone to lead. Every interaction is a leadership development opportunity. The most effective formal leaders often developed their capability before reaching leadership positions.

Why do some leaders fail to demonstrate leadership?

Some position-holders fail at leadership because they rely on authority rather than earning influence, lack the skills to inspire and align others, fear making difficult decisions, prioritise their own advancement over team success, or simply don't invest effort in the leadership process. Holding a leadership position doesn't automatically confer leadership capability—that must be developed through deliberate practice and genuine commitment to others' success.

What is the relationship between management and leadership?

Management and leadership overlap but differ in emphasis. Management focuses on processes—planning, organising, controlling, and directing work to achieve defined objectives. Leadership focuses on people—inspiring, influencing, and aligning them toward shared vision. Effective managers need leadership capability; effective leaders often need management skills. Both are distinct from being "a leader" (position) or practicing "leadership" (process).

How can organisations develop leadership at all levels?

Organisations develop distributed leadership by identifying potential early (regardless of current level), providing practice opportunities (stretch assignments, cross-functional projects, mentoring roles), recognising leadership wherever it occurs, measuring leadership behaviours (not just managerial performance), and creating cultures where people feel empowered to step forward and lead regardless of position. The goal is building leadership capability broadly rather than reserving it for the few with titles.


The Process That Anyone Can Practice

The leader-leadership distinction fundamentally reframes how we think about influence in organisations. Leadership isn't a position reserved for the few—it's a process accessible to everyone willing to take action.

This perspective liberates leadership from hierarchy. It tells the individual contributor that they can lead through expertise and initiative. It tells the project team member that they can lead through influence and relationship. It tells the junior employee that they can lead through example and courage. Position is not destiny.

Yet this perspective also challenges those who hold leadership positions. Titles alone don't make leaders—actions do. The manager who relies solely on positional authority has the title but not the substance. Genuine leadership must be earned through consistent behaviour that inspires trust and followership.

For organisations, the implication is clear: develop leadership broadly rather than reserving it for position-holders. Create opportunities for leadership practice at every level. Recognise and celebrate leadership wherever it emerges. Build cultures where people feel empowered to step forward and lead regardless of their place on the organisational chart.

Leadership is not something you are. It's something you do. And that means anyone can start today.