This is known as authoritative or directive style. When a manager centralizes power and decision-making in himself and exercises complete control over his subordinates, he is said to have an autocratic leadership style. Here, the manager uses threats of penalties and punishments to subordinates.
He sets the group goals, structures the work, orders his subordinates and expects them to follow orders unquestioningly, and ungrudgingly. The subordinates are told what to do but are not told why it should be done.
The subordinates under such a leader may get completely frustrated, ire compelled to follow the decisions even if they are wrong, staff morale will be low and conflicts develop easily. If an error crops up, subordinates will refuse to accept responsibility.
This style leads to quick decision-making and should be used under following circumstances:
(1) When the subordinates do not have the knowledge of institutional goals;
(2) When the leader prefers to be active and dominant in decision-making;
(3) When the subordinates are inexperienced or lacking in training;
(4) When the institution endorses fear and punishment as accepted disciplinary techniques;
(5) When there is little room for error in final accomplishment; and
(6) When there is a condition of stress and speed is essential.