Storey explained the study of leadership in businesses as being develop throughout the years with altering theories of leadership and leadership development. In 2004, Storey identified the most important theories as Traits theory, Behavioural theories, Situational and Contingency theories and Path-goal methods, New Leadership (Charismatic and Transformational theories), constructivist theories, leadership with learning and post-charismatic and post-transformational theories. The trait theory focuses on identifying different traits or characteristics that make people different from other people which gives them a leadership advantage. This assumption that leadership depends on the qualities of the leader makes trait theories seem similar to great man theories but trait theories differ because they do not assume that leadership is limited to a few heroic men (Judge et al, 2002). For example, some leaders can be known for they charisma.
Some other examples of traits for an effective leader are intelligence, self-confidence and determination. These traits allow individuals to be great bosses to employees. According to Derue et al (2011), behavioural theories focuses on the specific behaviours of a leader. For behavioral theorists, a leader behavior is the best predictor of his leadership influences and as a result, is the best determinant of his or her leadership success.
New Leadership theories: transactional and transformational theories; Transactional theories focus on results, conforms to the existing structure of an organization and measures success according to that organization’s system of rewards and penalties; while, transformational theories focus on change in an individual and social systems. In conclusion a leadership theories shows a progression from great man and trait theories to new leadership theories including transformation and transaction theories.