Why Good Leaders Turn Bad And Harm Their Teams

17 Dec 2024 by Benjamin Laker · Forbes

Understanding why leaders fall to the dark side requires a multidimensional perspective that ... [+] considers individual psychology, workplace culture and systemic structures.getty

Leadership is often idealized as a force for good—driving positive change, inspiring teams and achieving ambitious goals. However, leadership also has a darker side.

Power, ambition and the pressures of professional life can push even well-intentioned leaders into behaviors that harm their teams, their companies and, in many cases, themselves. Understanding why and how leaders succumb to the darker aspects of leadership is not just an academic exercise—it’s also a practical challenge for anyone navigating today’s workplaces.

The Allure of Power and Control

At its very core, leadership involves power—the ability to influence others and make decisions that shape outcomes. However, power is often a double-edged sword. While it can be wielded for altruistic purposes, driving innovation, change or enabling collaboration, it can also corrupt even the most well-meaning leaders. Those who crave control or dominance often find the allure of unchecked power irresistible, leading to actions that prioritize personal gain over the collective well-being of their teams or organizations.

Unchecked power often manifests in small compromises that, over time, grow into significant issues. For instance, a leader might begin by silencing dissenting voices during a meeting or dismissing critical feedback, but these seemingly minor acts can snowball into deeply ingrained toxic behaviors. For employees who find themselves witnessing such dynamics, the key is to document patterns of behavior carefully and escalate concerns through appropriate channels. Meanwhile, workplaces must proactively create cultures where feedback—especially critical feedback—is not only welcomed but actively acted upon. Without such safeguards in place, the darker side of power can take root and flourish unchecked.

Research into psychopathy in managerial contexts, such as that presented during the British Academy of Management (BAM) webinar Moving to the “Dark Side”: an Exploration of Bad Leadership and the Measurement of Psychopathy in Managers, provides startling insights into how individuals with manipulative tendencies can rise to leadership positions. Often, they mask their darker traits behind charisma, confidence and strategic relationships. These findings underscore the vital importance of designing hiring and promotion processes that evaluate not just technical competence but also ethical judgment and interpersonal impact. Such proactive measures can help identify potential risks before they escalate into full-blown crises.

When Ambition Turns Toxic

Ambition is widely regarded as a defining characteristic of many successful leaders. However, when left unchecked, ambition can morph into a toxic force that blinds individuals to ethical considerations. Leaders driven solely by an insatiable desire to succeed often lose sight of the boundaries that should guide their actions. They may begin rationalizing harmful behaviors under the guise of achieving broader business goals. For example, decisions made in the name of hitting financial targets or securing a competitive edge can sometimes result in exploitative practices or an outright disregard for employee well-being.

To combat this, companies must take active steps to clearly define and consistently communicate their values to all levels of leadership. Leaders should be evaluated not only on what they achieve but also on how they go about achieving it. Embedding ethical principles into performance reviews and offering training programs focused on responsible decision-making can help ensure that ambition does not veer into destructive territory. Employees, too, can play an essential role by holding their leaders accountable—raising concerns when they observe actions that contradict their company’s stated values or ethics.

Workplace culture often plays a pivotal role in enabling such toxicity. In high-pressure environments where results are valued above all else, leaders may feel justified in adopting coercive or unethical tactics to meet expectations. This dynamic often becomes even more pronounced when employers set unrealistic targets or fail to adequately acknowledge the toll that high-pressure environments can take on workers at all levels. Building a culture of balance and sustainability, where long-term success is prioritized over short-term wins, can help mitigate the risks associated with toxic ambition.

The Role of Systems in Enabling Harmful Leadership

While the intentions of individual leaders matter greatly, it is often organizational systems themselves that inadvertently enable bad leadership. Many workplaces fall into the trap of failing to hold individuals accountable for their actions or of rewarding short-term successes over long-term integrity and sustainability. Structural hierarchies and rigid performance metrics, which dominate many professional landscapes, can both protect and promote leaders with questionable ethics. When systems lack transparency and allow excessive concentration of power, they effectively create opportunities for exploitation.

For instance, employees in lower-ranking positions may feel unable to voice concerns due to fears of direct retaliation from their managers or ostracism. To address this issue, companies must implement anonymous reporting mechanisms and ensure that whistleblowers are adequately protected. Such mechanisms are vital for creating an environment where employees feel empowered to speak up without fear of negative consequences.

Cultural norms also play a significant role in enabling harmful leadership. Often, these norms suppress dissent, discourage employees from reporting unethical behavior or foster complacency among those who witness leadership failings. HR teams and senior leaders have a responsibility to actively encourage open dialogue and ensure that raising concerns is both safe and rewarded. Sinem Bulkan, a lecturer in leadership and organizational behavior at the University of Reading’s Henley Business School, emphasizes the importance of dismantling systems that perpetuate cycles of destructive leadership. Her research highlights the need for greater transparency, accountability and a firm commitment to ethical governance, as well as better recruitment and assessment methods.

The Psychological Underpinnings of Destructive Leadership

The psychological makeup of a leader often determines whether they are susceptible to the dark side. Traits such as narcissism, Machiavellianism and psychopathy—collectively known as the “dark triad”—are particularly relevant in this context. These traits can, in some cases, drive bold decision-making or innovative thinking, but they also increase the likelihood of manipulative, exploitative and even abusive behavior.

Leaders with dark triad traits often excel in interviews and initial impressions, as their confidence and charm can easily overshadow underlying tendencies. However, over time, these same traits can lead to dysfunctional team dynamics, reduced trust, deviant behaviors and diminished performance.

To address these challenges, employers must adopt more nuanced approaches to leadership assessments. Beyond traditional performance metrics, evaluations should include behavioral indicators and 360-degree feedback mechanisms that incorporate input from peers, subordinates and even external stakeholders. This comprehensive approach can help identify potential red flags early on and prevent individuals with destructive tendencies from advancing unchecked.

For employees navigating the influence of such leaders, recognizing the warning signs is crucial. Patterns of manipulation, excessive self-promotion, grandiosity or a noticeable lack of empathy are often indicators that a leader may be operating from a darker place. Building networks of support within the company, seeking mentorship from trusted figures and documenting experiences can all provide avenues for addressing these challenges while preserving professional integrity.

Ultimately, understanding why leaders fall to the dark side requires a multidimensional perspective that considers individual psychology, workplace culture and systemic structures. With actionable measures such as transparent systems, ethical evaluations and balanced corporate environments, it is possible to counteract the forces that enable destructive leadership.