Influence of Leadership Styles on Sustainable Development for Social Reconstruction: Current Outcomes and Advisable Reorientation for Two Aerospace Multinationals—Airbus and TASL

Abstract

This article analyzes the influence and foreseeable evolution of three main leadership styles in sustainable development for social reconstruction in two leading companies, the European Airbus and the Indian Tata Advanced Systems Ltd. (TASL) (Hyderabad, India). Inductive research was employed, using two cross-national case studies and a comparative analysis applying statistical testing. Data were collected through interviews and a survey among principal company leaders with several functions. The study focused on three styles: transactional, transformational, and servant leadership. The strength of this paper is that it sheds light on an understudied industry by providing findings on both the present (as-is) state and the advisable reorientation (i.e., future state suggested by respondents). This could contribute to filling the current gap in understanding the influence of leadership styles on the aerospace and defense industries’ economic, social, and environmental outcomes. By analyzing the results obtained in both companies, we concluded that even though all three styles are present in both companies, servant and transformational leadership provide better results for sustainable development for social reconstruction. Regarding the advisable reorientation, according to the respondent’s suggestions, the style best suited to influence sustainable development for social reconstruction in the long term in both companies is the servant style. As for the transitional phase, respondents suggest a hybrid leadership model, encompassing features of both the transformational and the servant styles.