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Leadership Styles

What Leadership Style Does Target Use? A Strategic Analysis

Discover Target's collaborative leadership style and how CEO Brian Cornell uses purpose-driven management to transform retail operations and engage 400,000+ employees.

Like a skilled conductor orchestrating a symphony of nearly 2,000 stores and over 400,000 team members, Target's leadership approach has become a masterclass in transformational retail management. Under CEO Brian Cornell's stewardship since 2014, the Minneapolis-based retail giant has adopted a distinctive leadership philosophy that blends collaborative decision-making with purpose-driven execution, fundamentally reshaping how modern corporations engage their workforce and serve their communities.

Cornell, who joined Target in August 2014 after more than 30 years in escalating leadership positions at leading retail and consumer-product companies, has quickly established a strategic direction that built on the company's strengths whilst making enormous investments in digital, data and supply chain capabilities. His approach represents a paradigm shift from traditional command-and-control management towards what business scholars increasingly recognise as essential for navigating today's complex retail landscape.

The question of Target's leadership style isn't merely academic—it offers crucial insights for business leaders seeking to understand how purpose-driven organisations create sustainable competitive advantage whilst maintaining operational excellence at scale. This comprehensive analysis examines the key components of Target's leadership approach, from Cornell's transformational methodology to the company's innovative employee engagement strategies.

Cornell's Transformational Leadership Foundation

Brian Cornell has demonstrated transformational leadership from his earliest days at Target, exhibited most notably when he made the swift decision to pull Target out of Canada in 2015, a move that required shuttering operations losing $3.1 million daily whilst providing comprehensive support structures for 17,600 displaced employees. This decisive action exemplified the hallmarks of transformational leadership: the ability to make difficult decisions quickly, communicate change effectively, and maintain focus on long-term strategic vision.

The classical definition of transformational leadership—inspiring followers to transcend self-interest for organisational goals whilst developing their leadership capacity—finds perfect expression in Cornell's approach. Cornell views his role as CEO as "a chance to coach again, and teach and share some new stories," drawing parallels between sporting leadership and business management. This coaching mentality permeates Target's leadership culture, creating what researchers call a "multiplier effect" where leaders develop other leaders throughout the organisation.

Cornell's background in multiple CEO roles across diverse retail environments—from PepsiCo Americas Foods to Sam's Club and Michaels—provides him with what organisational psychologists term "cognitive complexity." His experience includes roles as both a vendor partner and a competitor to Target, providing important perspectives that inform his current leadership approach. This varied experience enables him to view challenges from multiple angles, a critical component of transformational leadership.

The transformational nature of Cornell's leadership becomes particularly evident in his approach to organisational change. Rather than implementing top-down mandates, he employs what business strategists call "participative transformation," involving key stakeholders in the decision-making process whilst maintaining clear strategic direction.

The "Why"-Focused Strategic Philosophy

Cornell's leadership approach highlights a critical aspect of executive decision-making: understanding and communicating the 'why' behind every business decision. During his recent address to Target's top 50 executives, Cornell underscored that this understanding is crucial for fostering a culture that's customer-centered and purpose-driven.

This "why"-focused philosophy draws inspiration from Simon Sinek's influential concept of starting with purpose, but Cornell has adapted it specifically for retail environments. Rather than focusing solely on immediate outcomes, he encourages his executives to think about the underlying reasons and intended impacts of each choice, ensuring that efforts remain consistent with Target's brand identity.

The strategic implications of this approach extend far beyond philosophical musings. When leaders consistently communicate the reasoning behind decisions, they create what organisational behaviorists call "psychological ownership" among employees. Team members understand not just what they're doing, but why it matters, leading to higher engagement and more innovative problem-solving.

Cornell's emphasis on the "why" also serves as a filtering mechanism for strategic decisions. By grounding choices in Target's foundational purpose, Cornell and his team ensure their efforts remain consistent with the brand's identity, from in-store experience to product selection. This creates coherence across the organisation's vast operations, something particularly challenging for companies operating at Target's scale.

The approach also reflects what management theorists call "values-based leadership," where decisions are evaluated not merely on financial metrics but on alignment with organisational purpose. This methodology has proven particularly effective in retail, where brand authenticity significantly influences consumer behaviour.

Collaborative Decision-Making Architecture

Target's leadership structure embodies what organisational design experts term "distributed leadership," where decision-making authority is strategically dispersed throughout the organisation rather than concentrated at the top. Target's leadership encourages teamwork and collaboration at all levels, with leaders working closely with their teams, ensuring open lines of communication and a shared sense of purpose.

This collaborative approach manifests in several concrete practices. Cornell takes 10-15 of his officers at a time on two-day "accelerated mentorship programs" during which they travel to different parts of the country, spend time in Target stores and distribution centers, and meet with board members or shareholders. These immersive experiences break down hierarchical barriers and create shared understanding across leadership levels.

The collaborative decision-making process at Target operates on what systems theorists call "nested autonomy"—teams have significant decision-making authority within clearly defined parameters. This approach accelerates response times whilst maintaining strategic alignment, particularly crucial in retail's fast-moving environment.

Leadership updates within Target emphasise bringing "a highly collaborative, solution-oriented approach to leadership," as evidenced in recent senior appointments where collaborative skills are explicitly highlighted as key qualifications. This suggests that collaborative competency has become a formal criterion for leadership advancement within the organisation.

The collaborative architecture also extends to supplier relationships. Target's partnership with PepsiCo exemplifies how Cornell treats companies as true collaborators rather than traditional vendors, working together on product strategies and market positioning through consistent communication and shared vision.

Employee Engagement Through Immersive Leadership

Cornell's approach to employee engagement represents what leadership researchers call "authentic leadership"—leaders who demonstrate genuine concern for followers' development and well-being. Cornell has literally immersed himself in developing close mentoring relationships with his teams, creating experiences that break down individual "walls" and build trust faster than traditional office-based interactions.

This immersive approach serves multiple strategic functions. First, it's educational, giving team members "certain memories and perspectives on the business that they've never had before." Second, these connections facilitate future collaboration by helping team members realise "we're all part of one team."

The psychological impact of this approach cannot be overstated. When employees see senior leadership investing time in their development through meaningful experiences, it creates what organisational psychologists call "perceived organisational support"—the belief that the company values their contributions and cares about their well-being. This perception strongly correlates with employee engagement, retention, and performance.

Cornell's commitment to spending time with teams extends even during challenging periods: "Even during the pandemic, my best days are still the ones when I'm out in our stores hearing from our team or catching up with teams virtually via Zoom." This consistency reinforces the authenticity of his leadership approach.

The immersive leadership model also creates what researchers term "leader-member exchange quality"—higher-quality relationships between leaders and followers that transcend traditional workplace boundaries. These relationships become particularly valuable during periods of organisational change or crisis.

Culture of Care, Growth, and Winning Together

Target's cultural philosophy centres on three core principles: "We care, grow and win together," creating an environment where leaders show up for each other, make people the priority, and treat each other with respect whilst believing in lifting each other up and valuing relationships above all else.

This cultural framework reflects what organisational culture experts call "clan culture"—characterised by collaboration, trust, and shared values. Research consistently demonstrates that clan cultures perform better in dynamic environments requiring innovation and adaptability, making it particularly suitable for retail's evolving landscape.

The "care" component manifests in concrete policies and practices. Target provides free backup care to all U.S. team members, offering access to childcare or care for another family member, demonstrating how cultural values translate into tangible benefits. This approach recognises that employee well-being directly impacts customer experience and business performance.

The "growth" element reflects Target's investment in continuous development. The company completed 1.5 million leadership training hours in 2023, with holistic and continuous approaches to learning and development for leaders at every step of their journey. This substantial investment demonstrates the organisation's commitment to developing internal talent rather than relying solely on external recruitment.

The "winning together" philosophy emphasises collective success over individual achievement. This approach believes in the collective power of difference to accomplish more and strives to continuously make things better for each other and guests. Such collaborative orientation helps prevent the silos that often plague large organisations.

Diversity, Equity, and Inclusion Leadership

Target's approach to diversity, equity, and inclusion represents what scholars call "inclusive leadership"—actively creating environments where all individuals can contribute their full potential. Cornell has publicly committed to diversity and inclusion programs, stating: "I recognize that it's time to take it to another level, and that as CEOs, we have to be the company's head of diversity and inclusion."

This leadership commitment extends beyond rhetoric to substantial investment. Following the murder of George Floyd, Target invested $10 million to support partners such as the National Urban League and the African American Leadership Forum, demonstrating how leadership values translate into community action.

Target's millennial employees participate in Diversity Action Committees and business councils that unite them through common interests or goals, with these groups organised and managed by team members for team members. This approach exemplifies what researchers call "employee resource group leadership," where diverse voices contribute to organisational direction.

The inclusive leadership approach also influences talent development. Cornell credits his early experience working with Ellen Marram at Tropicana, noting: "Watching her navigate that environment fueled my commitment to advancing women in leadership." This personal experience informs his systematic approach to developing diverse leadership pipelines.

Inclusive leadership at Target operates on multiple levels—from board composition to frontline team development. The company's "Belonging at the Bullseye" initiative drives a team culture focused on creating joyful experiences for guests while building deep and lasting relationships in served communities.

Technology-Enabled Leadership Innovation

Cornell's leadership approach embraces what technology researchers call "digital leadership"—leveraging technology to enhance human connections rather than replace them. Under Cornell's direction, Target made enormous investments in digital, data and supply chain capabilities, placing the company's fleet of stores at the center of both physical shopping and digital fulfillment.

This technology integration reflects sophisticated understanding of how digital tools can amplify human leadership rather than diminish it. During the pandemic, Target introduced new online, on-demand learning and development platforms including Skillsoft learning library and internally-created Adaptive Leadership sites, seeing exciting usage that affirmed teams' eagerness to grow and learn.

The technology-enabled approach extends to communication and collaboration. Cornell adapted his engagement approach during COVID-19, maintaining connection with teams through virtual platforms whilst preserving the authentic relationship-building that characterises his leadership style.

Target's technology leadership also demonstrates what researchers call "anticipatory leadership"—making strategic investments before market forces demand them. Cornell's decision to invest heavily in digital capabilities was "considered counterintuitive and met with skepticism at the time," but proved prescient as omnichannel retail became essential.

Strategic Partnership Leadership

Cornell's approach to external partnerships reflects what international business scholars term "collaborative advantage"—creating value through strategic relationships that neither party could achieve independently. The partnership between Target and PepsiCo illustrates how collaboration can be mutually beneficial when both parties are committed to shared goals, with Cornell treating PepsiCo as a true collaborator rather than traditional vendor.

This partnership philosophy extends Target's internal collaborative culture to external relationships. Through consistent communication and shared vision, Target and PepsiCo create cohesive consumer experiences that reflect each brand's identity and values. Such alignment requires sophisticated relationship management and strategic thinking.

The collaborative partnership approach also reflects Cornell's understanding of ecosystem thinking—recognising that success depends on the strength of the entire value network, not just individual company performance. This perspective becomes increasingly important as retail operations become more complex and interdependent.

Strategic partnerships under Cornell's leadership also serve as learning laboratories. His experience across multiple industries and roles provides perspective on what makes partnerships successful, knowledge he systematically applies to Target's alliance strategy.

Operational Excellence Through People-Centred Leadership

Target's operational excellence reflects what operations management experts call "service-profit chain thinking"—recognising that employee satisfaction drives customer satisfaction, which drives financial performance. Target's leadership creates an environment where leaders are approachable and employees feel valued, fostering collaboration, inclusion, and empowerment.

This people-centred approach to operations differs significantly from traditional efficiency-focused models. Rather than viewing employees as cost centres to be optimised, Cornell's leadership recognises team members as the primary source of competitive advantage in retail.

Target's purpose-driven team of more than 400,000 works daily to help all families discover the joy of everyday life, with every store, facility and office serving as an extension of the community. This community orientation influences how operational decisions are made and implemented.

The operational leadership approach also emphasises what researchers call "adaptive capacity"—the ability to respond effectively to changing circumstances. As Cornell notes: "Years of bold investments in our strategy and capabilities have enabled our team to meet the needs of American consumers in any environment, including through the unprecedented challenges of the pandemic."

Sustainability and Social Responsibility Leadership

Cornell's leadership extends Target's influence beyond traditional business boundaries into what scholars call "corporate citizenship leadership." Target Forward represents the company's commitment to being a net zero enterprise by 2040, with Cornell stating: "As a company and a member of the global community, it's imperative for the health of both our business and our planet that we embrace new ways to move forward."

This sustainability leadership reflects sophisticated understanding of stakeholder capitalism—recognising that long-term business success requires consideration of environmental and social impacts alongside financial performance. Cornell acknowledges that "sustainability is tied to business resiliency and growth, and that our size and scale can drive change that is good for all."

The social responsibility approach also demonstrates what researchers call "authentic leadership"—alignment between stated values and actual behaviour. Target's team volunteerism totalled one million hours in 2023, continuing traditions dating back to the founding of the Dayton Foundation in 1918.

Corporate citizenship leadership under Cornell also involves supply chain transformation. By 2025, Target commits to engage suppliers to prioritise renewable energy and collaborate on solutions that protect, sustain and restore nature. This approach extends leadership influence throughout the value network.

Recognition and Industry Leadership

Cornell's leadership effectiveness has garnered significant industry recognition, reflecting what leadership researchers call "leadership capital"—the accumulated reputation and influence that enables greater organisational impact. The National Retail Federation recognized Cornell with "The Visionary" award in 2022, given annually to "an outstanding retail industry leader."

In 2025, Brian was inducted into the World Retail Congress Hall of Fame, while UCLA honored him with the John Wooden Global Leadership Award for exemplifying integrity, ethical values and leadership qualities. These recognitions validate the effectiveness of his leadership approach and provide external credibility for Target's leadership philosophy.

The industry recognition also reflects Cornell's thought leadership role. He currently serves as non-executive chairman of Yum! Brands and on the National Retail Federation's executive committee, sharing Target's leadership innovations with broader business community.

Such recognition creates what organisational theorists call "institutional legitimacy"—acceptance and credibility within the broader business ecosystem that enhances the organisation's ability to attract talent, partners, and investment.

Future Leadership Evolution and Strategic Direction

Cornell's commitment to remain as CEO for approximately three more years, with Target's board eliminating its mandatory retirement policy, provides stability for continued leadership evolution. This extended tenure enables longer-term strategic thinking and cultural development that shorter CEO tenures often cannot achieve.

The leadership evolution at Target reflects what strategic management scholars call "dynamic capabilities"—the ability to systematically modify operational routines and strategic direction in response to changing environments. Cornell's leadership approach has demonstrated this adaptability through multiple market cycles and disruptions.

Target's corporate strategy emphasises building capabilities in team engagement, consumer-centricity, technology integration, and operational efficiency to enable continued growth. This strategic framework provides direction for leadership development and organisational evolution.

The future leadership direction also emphasises what researchers call "ambidextrous leadership"—simultaneously managing current operations whilst innovating for future opportunities. This balance becomes increasingly critical as retail continues evolving rapidly.

Conclusion: Lessons from Target's Leadership Paradigm

Target's leadership style under Brian Cornell represents a sophisticated synthesis of transformational, collaborative, and purpose-driven approaches that addresses the complex challenges facing modern retail organisations. The emphasis on "why"-focused decision-making, immersive employee engagement, and authentic relationship-building provides a blueprint for leaders seeking to drive performance whilst maintaining human-centred values.

The strategic implications extend far beyond retail. Cornell's integration of technology-enabled collaboration, inclusive leadership practices, and stakeholder-oriented thinking offers insights for leaders across industries navigating digital transformation whilst preserving organisational culture. The measurable results—from financial performance to employee engagement to industry recognition—validate the effectiveness of this comprehensive approach.

Perhaps most significantly, Target's leadership model demonstrates that purpose-driven management need not sacrifice operational excellence or financial performance. Indeed, the evidence suggests that authentic, collaborative leadership enhances both employee engagement and business results, creating sustainable competitive advantage in an increasingly complex marketplace.

For business leaders seeking to implement similar approaches, Target's experience suggests that successful transformation requires sustained commitment, systematic investment in leadership development, and willingness to challenge traditional hierarchical assumptions. The journey demands patience, authenticity, and recognition that true organisational change occurs through people, not systems—a lesson as relevant in the boardrooms of London as in the stores of Minneapolis.

Frequently Asked Questions

What type of leadership style does Target primarily use? Target employs a transformational leadership style combined with collaborative decision-making. CEO Brian Cornell emphasises purpose-driven management, "why"-focused decision-making, and immersive employee engagement that develops leaders throughout the organisation.

How does Brian Cornell's background influence Target's leadership approach? Cornell's diverse experience across multiple CEO roles and industries provides cognitive complexity that informs Target's leadership philosophy. His background as both vendor partner and competitor to Target offers unique perspectives that shape strategic thinking and partnership approaches.

What makes Target's employee engagement strategy distinctive? Target's engagement strategy centres on immersive leadership experiences, including Cornell's two-day mentorship programs with senior officers. The company emphasises authentic relationship-building, continuous learning (1.5 million training hours in 2023), and a culture of "care, grow, and win together."

How does Target integrate diversity and inclusion into its leadership model? Target practices inclusive leadership with substantial investment in diversity programs, employee resource groups managed by team members, and systematic commitment to advancing diverse leadership pipelines. Cornell personally champions diversity as a CEO responsibility rather than delegating it to others.

What role does technology play in Target's leadership approach? Target uses technology to enhance rather than replace human connections. The company invests heavily in digital capabilities whilst maintaining authentic leadership relationships, including virtual engagement platforms and on-demand learning systems that support leadership development.

How does Target's leadership style impact business performance? The leadership approach has delivered measurable results including strong financial performance, industry recognition (Cornell received NRF's "The Visionary" award), successful navigation of market disruptions like COVID-19, and sustained employee engagement across 400,000+ team members.

What can other organisations learn from Target's leadership model? Target demonstrates that purpose-driven, collaborative leadership can enhance both employee engagement and business performance. Key lessons include the importance of "why"-focused communication, investment in leadership development, authentic relationship-building, and systematic integration of values into operational decisions.