The hidden cost of narcissistic Leadership in the modern workplace

By: Professor Kwasi Dartey-Baah

Modern organisations are increasingly shaped by leaders who project confidence, ambition, and certainty. In fast-moving, high-stakes environments, these qualities can be magnetic. Leaders who speak boldly, articulate grand visions, and radiate self-belief often rise quickly. Yet beneath this appeal lies a leadership paradox that organisations ignore at their peril.
Narcissistic leadership thrives on the conviction of superiority and entitlement, coupled with an intense need for admiration. Such leaders are often highly visible, persuasive, and fearless in decision-making.

In the short term, these traits can energise teams, drive innovation, and signal momentum to markets and stakeholders. Many organisations reward this early impact, mistaking presence for performance. But narcissism in leadership is fundamentally self-referential. Decision-making becomes less about organisational purpose and more about personal validation. Employees are valued insofar as they advance the leader’s image, success, or status. Over time, this shift alters the psychological contract between leaders and followers.
From an organisational development perspective, leadership is not only about outcomes, but about how those outcomes are achieved. Narcissistic leaders often demand exceptional effort while offering little emotional or relational return. Feedback flows upward, dissent is discouraged, and loyalty is confused with agreement. What begins as inspiration can quietly turn into intimidation. The consequences for employees are profound. While narcissistic leaders may initially stimulate creativity and bold thinking, the relational cost accumulates.

Employees report declining trust, reduced voice, and a sense that their work lacks meaning beyond serving someone else’s ego. Stress increases as emotional energy is spent managing impressions rather than doing meaningful work. Engagement erodes, not because employees lack resilience, but because their psychological resources are being steadily depleted.
Workplace flourishing the state in which employees feel both good and function well becomes difficult under such leadership. Flourishing depends on positive emotions, a sense of contribution, social connection, and the belief that one’s efforts matter. Narcissistic leadership undermines each of these foundations by prioritising self-promotion over shared success. People cannot thrive in environments where recognition flows in only one direction.

This dynamic is particularly damaging in today’s organisational landscape, where adaptability, collaboration, and human-centred performance are increasingly critical. As organisations integrate advanced technologies and navigate constant disruption, employee wellbeing is no longer a “soft” concern; it is a strategic requirement. Leaders who drain rather than replenish their teams’ psychological resources weaken organisational resilience. Importantly, not all confidence is harmful. The issue is not strong leadership presence, but leadership that lacks self-regulation, empathy, and accountability. Healthy organisations develop leaders who balance ambition with humility, vision with listening, and authority with responsibility.

The conclusion is stark. Narcissistic leadership may accelerate ascent, but it rarely sustains performance. Organisations that confuse charisma with character eventually pay the price in disengagement, turnover, and lost potential. Leadership that feeds the ego at the expense of people does not build organisations, it exhausts them. In the long run, the most effective leaders are not those who shine the brightest, but those who create environments where others can flourish.

About the writer:
Professor Kwasi Dartey-Baah is the Vice-Chancellor of Central University and professor of Leadership and Organisational development.

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