How to Develop Leadership Skills: 6 Essential Skills

If you’re running a business, you’ve probably asked yourself, “How do I become a better leader?” The truth is, leadership doesn’t come from a job title, it comes from how you show up, how you treat your team, and how well you guide your business forward. Whether you’re growing a team, facing tough decisions, or just trying to get more organized, learning how to develop leadership skills can make all the difference. In this post, we’ll break down six key skills every business owner needs, and give you tips you can use.

According to Harvard Business Review, companies with strong leadership development programs are 2.4 times more likely to hit their performance targets, making leadership skill development a critical business investment.

1. Know Yourself: Build Self-Awareness

One of the first steps in learning how to develop leadership skills is getting to know yourself better. That may sound simple, but it takes real effort. Self-awareness means understanding your personality, your habits, how you handle stress, and how others experience you as a leader.

Why does this matter? Because when you’re self-aware, you can lead with more clarity and confidence. You’ll be better at making decisions, handling tough conversations, and creating a work environment where people feel respected and understood.

What Self-Awareness Looks Like in Leadership

Let’s say you’re running a meeting, and someone challenges your idea. If you’re not aware of your emotions or communication style, you might react defensively or shut the conversation down. But if you’re self-aware, you can pause, recognize your feelings, and choose a better way to respond, like asking for more input or thanking them for sharing.

Self-awareness helps you:

• Stay calm in stressful situations
• Communicate more clearly
• Build trust with your team
• Recognize when you need help or support

How Do I Know If I’m Self-Aware?

A lot of leaders think they know themselves well, but research shows most people overestimate their self-awareness. So, how can you check in with yourself?

Here are a few ways to build self-awareness:

Ask for honest feedback. Talk to your team, a coach, or trusted friends. Ask questions like, “What’s it like to work with me?” or “Is there anything I do that gets in the way of progress?” You may not love every answer, but it’s how you grow.

Try a personality or leadership assessment. Tools like the DISC assessment, StrengthsFinder, or Myers-Briggs can give you insights into how you think, lead, and communicate. These tools won’t give you all the answers, but they’re a great place to start.

Reflect on past experiences. Think about a time when something didn’t go well, like a missed deadline or a team disagreement. How did you react? Would you handle it the same way today? Looking back helps you move forward with more awareness.

Can Self-Awareness Help Me Lead Better?

Absolutely. Leaders who know their strengths can use them more often, and leaders who know their weaknesses can work on them or get help from others. Self-aware leaders also tend to have better relationships with their team, make smarter decisions, and create a more positive workplace.

Here’s an example: Imagine you know you’re not great with details, but you’re great at big-picture thinking. Instead of struggling with spreadsheets, you could assign that task to someone who enjoys it and focus your energy on planning and strategy. That’s smart leadership.

What If Self-Awareness Feels Uncomfortable?

That’s normal. Sometimes it’s hard to face things we don’t like about ourselves. But the goal isn’t to be perfect, it’s to be honest. The more you practice self-awareness, the easier it becomes. Over time, you’ll notice yourself staying calmer in tough moments, asking better questions, and making decisions that reflect who you want to be as a leader.

2. Speak Clearly, and Listen Well

If you’re learning how to develop leadership skills, communication is one of the most important areas to work on. Great leaders know that communication is more than just talking, it’s about making sure people understand you and feel heard.

You might have the best ideas in the world, but if you can’t explain them clearly, your team may end up confused, frustrated, or disconnected. On the flip side, when people feel like their voice matters, they’re more motivated, more engaged, and more likely to stay with your company long term.

Why Communication Is So Important for Leaders

Leadership communication isn’t just about giving orders or making announcements. It’s about building trust, solving problems, and making sure everyone is moving in the same direction. Strong communication keeps your team focused and working together.

Let’s break it down. Good communication means:

• Sharing your vision and goals in a way that makes sense
• Giving clear instructions without micromanaging
• Being open to questions and different opinions
• Giving and receiving feedback in a helpful, respectful way

When done right, communication brings clarity, connection, and confidence to your team.

How Do I Become a Better Communicator?

Here are a few practical tips to help you grow this skill as part of your leadership development:

Listen to understand, not just to respond. It’s easy to focus on what you’re going to say next, but real listening means paying attention, asking questions, and making sure you fully understand the other person before jumping in. People can tell when you’re truly listening, and it goes a long way in building trust.

Write things down. Whether it’s a quick email recap or a shared to-do list, writing down key points helps avoid confusion later. Not everyone remembers conversations the same way, so having something in writing keeps everyone aligned.

Give regular feedback, and ask for it too. Feedback doesn’t have to be formal or critical. Sometimes it’s just a quick “Hey, great job on that project” or “Next time, let’s try doing this a little differently.” And don’t forget to ask for feedback from your team. It shows that you value their input and are open to growing, too.

What If I’m Not a Natural Speaker?

You don’t have to be a professional speaker to be a great communicator. Being a leader isn’t about using big words or sounding perfect. It’s about being real, being clear, and being consistent.

If you’re nervous about speaking up or leading meetings, try these tips:

• Practice ahead of time, even if it’s just in front of a mirror.
• Use simple language, don’t try to sound fancy.
• Pause and check for understanding. Ask, “Does that make sense?” or “Any questions so far?”

Over time, communicating clearly will start to feel more natural. And remember: what matters most is that your team understands you and feels comfortable coming to you.

Why Does Listening Matter So Much?

When people don’t feel heard, they stop sharing ideas, and that can really hurt your business. But when you take the time to listen, you show your team that you care about what they have to say. It helps them feel respected and more connected to their work.

Listening also helps you catch problems early. If a process isn’t working or someone’s feeling overwhelmed, listening gives you the chance to fix it before it becomes a bigger issue.

3. Make Smart Decisions (Even When It’s Hard)

When you’re learning how to develop leadership skills, one of the most important things to get better at is making decisions. As a business owner, you face choices every single day, some small, like which software to use, and others big, like whether to hire a new team member or invest in a new location.

Some of these decisions are easy and come with a clear answer. But many times, the choice isn’t so obvious. That’s where strong leadership comes in. Good leaders know how to stay calm under pressure, look at the situation from all angles, and move forward, even if the decision is a tough one.

Why Decision-Making Is Such a Big Deal for Leaders

Because your choices affect more than just your to-do list. They impact your team, your customers, your finances, and even the future of your business. A leader who can make thoughtful, timely decisions keeps things moving and builds trust. On the flip side, avoiding decisions or changing direction too often can create confusion or cause people to lose confidence.

That doesn’t mean you have to be perfect. One key part of leadership is learning how to make the best possible decision with the information you have, even if it’s not a guaranteed outcome. Understanding why is leadership important can help you see how decision-making impacts every aspect of your business.

How Can I Get Better at Making Decisions?

Here are a few helpful ways to build your decision-making skills:

Write down the pros and cons. This classic approach still works. Seeing the benefits and drawbacks of each choice in front of you can make things feel more manageable. It helps you spot which option has more long-term value or fewer risks.

Ask your team for input. You don’t have to figure everything out on your own. Sometimes your employees or advisors will see things you don’t. Getting their perspective can give you valuable insights, and show them that their opinion matters.

Take time to reflect afterward. Once the decision is made and the results come in, look back on how it went. What worked well? What would you do differently next time? Every choice is a chance to learn and grow.

Use a system. Some business owners use tools like a decision matrix or the Eisenhower Box (urgent vs. important) to help prioritize. Having a method to guide you can take some of the stress out of the process.

What If I’m Afraid of Making the Wrong Choice?

That’s completely normal. No one wants to make a bad decision, especially when money, time, or people’s jobs are involved. But here’s the truth: you will make mistakes sometimes. The key is to learn from them.

Strong leaders don’t freeze up or try to avoid making tough calls. They gather what they can, make the best choice available, and move forward with confidence. And if it doesn’t go perfectly? They adjust. They take ownership, fix what needs fixing, and keep going.

Being decisive doesn’t mean you always know exactly what to do. It means you’re willing to lead through uncertainty and take responsibility for the outcome.

How Does Decision-Making Fit Into Overall Leadership?

When your team sees you making thoughtful decisions, it helps them feel secure. They know what to expect and trust that you’re leading with their best interests in mind. That kind of stability is powerful, it creates a work environment where people are more productive, more engaged, and more likely to stick around.

Making smart decisions also helps you use your time and energy wisely. Instead of getting stuck overthinking or second-guessing, you can focus on what matters most: growing your business and supporting your team.

In the end, learning how to develop leadership skills means getting comfortable with decision-making, even when the answers aren’t clear. You don’t have to know everything. You just need to keep showing up, learning from each choice, and leading with purpose and confidence. That’s what strong, effective leadership is all about.

4. Think Ahead: Be Strategic

If you’re a business owner, your to-do list probably feels endless. It’s easy to spend your day just putting out fires, answering emails, solving problems, checking off tasks. But when you’re learning how to develop leadership skills, one of the biggest things to focus on is strategic thinking.

Strategic thinking means stepping back from the day-to-day grind to look at the big picture. It’s about setting long-term goals, planning ahead, and making sure your short-term actions actually support where you want your business to go. Without a strategy, you might stay busy, but not necessarily productive.

Why Strategic Thinking Matters for Leaders

Because your business needs more than just hard work, it needs direction. If you’re only focused on the next task, you might miss bigger growth opportunities. On the other hand, leaders who think strategically make smarter investments, stay ahead of competitors, and help their teams work toward something meaningful.

Strategic leaders:

• Set clear goals for the next 6 months, 1 year, or even 5 years
• Identify patterns and problems before they become emergencies
• Make choices that align with the company’s mission and long-term success

Being strategic isn’t about having all the answers, it’s about being intentional with your time, your team, and your resources.

How Can I Become a More Strategic Thinker?

Here are a few simple ways to build this important leadership skill:

Set aside time to plan. Strategic thinking doesn’t happen by accident. You need to block off time on your calendar, maybe once a week or once a month, just to focus on the big picture. No emails, no meetings. Just thinking, planning, and reflecting.

Ask yourself what’s working, and what’s not. Take an honest look at your business. What’s going well? Where are you wasting time or money? What would you change if you had the chance? Asking these questions regularly helps you stay focused on what truly matters.

Work with a business coach or mentor. Sometimes, it’s hard to “zoom out” when you’re in the middle of running everything. That’s where leadership development strategies come into play. A coach or mentor can help you see things from a fresh perspective and guide you in building a plan that works for your business and your goals.

What’s the Difference Between Being Busy and Being Strategic?

That’s a great question. Being busy means you’re doing a lot. Being strategic means you’re doing the right things.

For example, maybe you’re spending hours trying to fix a software system that keeps crashing. A strategic leader might pause and ask, “Is this the best use of my time, or should I invest in a new system that saves time long term?” Strategic thinking helps you shift from reactive mode to proactive planning.

What If I’m Not Naturally a “Big-Picture” Thinker?

That’s okay. Strategic thinking is a skill, not a personality trait, and like any skill, it can be learned. You don’t have to change who you are. You just need to practice stepping back and asking, “What’s the goal here?” or “How does this decision help us move forward?”

Here are a few questions to help you think more strategically:

• Where do I want my business to be one year from now?
• What challenges could hold us back, and how can I prepare for them?
• Are my team members working on the right priorities?
• What changes can I make today that will lead to long-term success?

Why Should I Get Outside Help?

Because you don’t have to figure it all out on your own. Many business owners get so caught up in the daily grind that they lose sight of the future. That’s where support systems, like business coaching, peer groups, or strategy workshops, can make a huge impact.

With the right leadership development strategies, you’ll learn how to plan effectively, lead with purpose, and create systems that move your business forward.

5. Learn to Delegate

One of the hardest things for many business owners to do is let go. When you’ve built something from the ground up, it’s natural to feel like you need to be involved in everything. But if you’re learning how to develop leadership skills, knowing how to delegate is a must.

Delegating doesn’t mean you’re lazy or not paying attention. It shows that you trust your team and that you’re serious about growing your business in a smart, sustainable way. Great leaders know they can’t do it all alone, and they don’t try to.

Why Delegation Is So Important

Because trying to do everything yourself leads to burnout. When you’re handling every little task, there’s no time left for big-picture thinking, planning, or strategy. Delegation helps you:

• Use your time more effectively
• Focus on what you do best
• Build up your team’s skills and confidence
• Create systems that allow your business to grow without depending only on you

When you delegate well, everyone benefits. You get to step into a true leadership role, and your team becomes more capable and engaged.

But What If I Don’t Trust Anyone Else to Do It Right?

That’s a common concern, and it usually means there’s a training or communication gap, not a talent gap. Most people want to do well, but they need the right support and information to succeed. If you’re afraid things won’t be done the way you like, it might be time to improve how you delegate.

How Do I Delegate the Right Way?

Here are some steps to make delegation easier and more effective:

Choose the right person for the task. Not every task fits every person. Think about each team member’s strengths, experience, and current workload. Who’s ready for this responsibility? Who might grow from the challenge?

Be clear and specific. Don’t assume people know what you’re thinking. Explain what needs to be done, why it matters, and when it’s due. Include any tools, examples, or context they’ll need to get the job done well.

Set expectations, but don’t micromanage. Once you hand off the task, trust them to carry it out. Check in at key points, but resist the urge to take over or redo their work unless it’s truly necessary. People learn by doing, and sometimes by making small mistakes.

Give feedback afterward. Let them know what went well and what could be improved. This helps them grow and shows that you value their effort. Over time, they’ll get better and better, which means you can delegate even more.

What If Someone Messes Up?

Mistakes will happen. That’s part of learning. When they do, talk it through with your team member in a calm, supportive way. Ask:

• What part of this was unclear?
• What did you learn from it?
• How can we handle it better next time?

Instead of jumping in to fix everything, treat it as a teaching moment. That’s what real leadership looks like.

How Does Delegation Help Me Grow as a Leader?

When you delegate, you free up time and energy to focus on the big stuff, like strategy, growth, and team development. You also build a team that doesn’t rely on you for every answer, which makes your business stronger and more flexible in the long run.

Delegating also shows your team that you trust them. That trust builds loyalty and motivation. People are more likely to take initiative and do their best work when they feel like their leader believes in them.

6. Stay Flexible and Keep Learning

No matter how well you plan, things won’t always go the way you expect. That’s just part of running a business. Markets change. People leave. Goals shift. And when that happens, your ability to stay flexible is what sets you apart as a strong leader.

If you’re serious about learning how to develop leadership skills, being adaptable is one of the most important qualities to build. It’s not just about going with the flow, it’s about being ready to adjust your thinking, your strategy, or your approach when something unexpected happens.

Why Flexibility Is So Important in Leadership

Because change is constant. Whether it’s a new trend in your industry, a last-minute client request, or an employee who suddenly quits, things will come up that you didn’t plan for. Leaders who can stay calm and adjust quickly are the ones who keep moving forward, even when things get tough.

Flexible leaders:

• Stay calm during change and uncertainty
• Find creative solutions when plans fall apart
• Show their team how to handle challenges with confidence
• Keep growing, learning, and improving over time

When your team sees that you can adapt instead of panic, it builds trust, and it creates a stronger, more resilient business. This connects to adaptive leadership principles that help leaders navigate uncertain situations.

How Can I Become More Adaptable?

Here are some practical ways to build flexibility into your leadership style:

Look at mistakes as learning opportunities. Everyone messes up sometimes. What matters is what you do next. Instead of beating yourself up, ask: What can I learn from this? What would I do differently next time? That shift in mindset helps you grow instead of getting stuck.

Be open to new ideas. Just because something has “always been done that way” doesn’t mean it’s the best option now. Stay curious. Try new tools. Ask your team for input. The more open you are, the more creative solutions you’ll find.

Stay calm under pressure. When things get stressful, your team looks to you for direction. If you stay calm and focused, they will too. That doesn’t mean you can’t feel stress, it just means you lead with steadiness, even when things feel shaky behind the scenes.

What If I Struggle With Change?

That’s totally normal. Most people like routine and structure. Change can feel uncomfortable, especially when it’s out of your control. But flexibility isn’t about loving change, it’s about learning how to handle it without falling apart.

You can start small:

• Try a new way of doing a familiar task
• Ask someone else how they’d solve a problem you’re facing
• Say “yes” to something that feels slightly outside your comfort zone

Each small step helps you become more open, confident, and capable.

How Does Learning Fit Into This?

The best leaders never stop learning. Whether it’s reading business books, taking online courses, attending workshops, or just asking your team for feedback, continued learning keeps you sharp. It also shows your team that growth is part of your company’s culture, not just something you expect from them, but something you live by too.

One of the most powerful leadership development strategies is creating a habit of learning, because when you grow, your business grows with you. This aligns with understanding what is organizational leadership and how it creates a learning culture.

Why These Leadership Skills Matter

You don’t need to be a “natural-born leader” to guide your business well. These are all skills you can learn, practice, and improve over time. When you invest in your leadership, your whole business benefits, from happier employees to clearer systems to bigger growth.

And the good news? You don’t have to do it alone. With the right leadership development strategies, you can get the support and guidance you need to grow both yourself and your business.

Research from the Center for Creative Leadership shows that organizations with comprehensive leadership development programs have 13% better financial performance and are 18% more likely to achieve their business goals.

Want Help Becoming a Stronger Leader?

If you’re serious about how to develop leadership skills, we’re here to help. At AMB Performance Group, we work with business owners all over the U.S., including right here in Palm Beach and Martin Counties, who want to grow their leadership and take their business to the next level.

Whether it’s through one-on-one coaching, group programs, or planning workshops, we’ll help you build the skills that matter most.

Check out our leadership services or reach out to us today to get started.