Why Lateral Leadership Matters
Projects are becoming more complex, teams collaborate across departmental and national boundaries, and hierarchies are becoming flatter. This is the reality of the modern working world. In this context, lateral leadership is increasingly being used.. It means leading without formal authority. Instead of relying on hierarchy, lateral leadership is based on trust, communication, and collaboration.
More and more employees are taking on leadership responsibilities in projects, transformation teams, or agile contexts, without holding a formal leadership position. For lateral leadership to succeed, a clear understanding of the success factors is required – and these we will take a closer look at. in this blog article.
What Defines Lateral Leadership
Lateral leadership describes leading at eye level, where it’s not position but the ability to cooperate that makes the difference. Successful lateral leaders stand out through arguments, expertise, personality, and relationship management.
Some typical situations in which lateral leadership is required:
- Leading projects or transformation teams
- Technical responsibility in matrix organisations
- Coordinating working groups during change processes
- Collaboration in agile teams without formal hierarchy
In all these contexts, means such as instructions or control are of little help. Instead, the focus is on inspiring people to work toward shared goals.
Practical Examples from Everyday Work
- Project leadership in product development: An engineer leads an interdisciplinary team from marketing, IT, and production. Her task: to bring together all perspectives and resolve conflicts constructively, even though she is not the direct superior of anyone.
- Transformation team in a corporation: Employees from different departments are tasked with implementing new software together. The lateral leader must build trust and create clarity so that everyone pulls in the same direction.
- Agile collaboration in a start-up: Here, leadership responsibility shifts depending on the project. Lateral leadership means taking responsibility when needed while remaining open to the expertise of others.
These examples show that lateral leadership is not a niche topic but part of everyday life in many organisations.
Success Factors of Lateral Leadership
For lateral leadership to work, certain competencies and conditions are required.
1. Clarity about Role and Goals
Especially without disciplinary authority, it is crucial to define one’s own role in the team clearly. Those who articulate what they are responsible for and which goals are to be achieved provide orientation. Equally important is drawing transparent boundaries around tasks and responsibilities. This helps avoid misunderstandings and builds the foundation for trusting collaboration.
2. Communication and Relationship Building
Lateral leadership thrives on effective communication at eye level. This means actively listening, asking open questions, and showing genuine interest in others’ perspectives. Constructive feedback – both giving and receiving – is another key element. Equally important is addressing conflicts early, before they strain collaboration. Those who consciously nurture relationships and build trust can exert influence even without formal authority.
3. Conflict Competence
Where different interests and perspectives collide, tensions inevitably arise. Lateral leaders should not avoid conflicts but view them as opportunities for growth. This means actively seeking solutions that work for all parties involved while fostering an open communication culture. In this way, conflicts can be used productively to improve processes and teamwork.
4. Self-Leadership
Those who lead others without hierarchical authority must first be able to lead themselves effectively. This includes the ability to self-reflect: How do I impact others? What strengths and weaknesses do I bring to the table? Equally important are stress management and strong time and priority management skills. Only those who stay organised and capable of action can reliably support others.
5. Trust and Psychological Safety
A central foundation of lateral leadership is a sense of safety within the team. Psychological safety means that every team member can speak openly without fear of negative consequences. Lateral leaders can foster this by communicating transparently, making decisions understandable, and reliably keeping commitments. This creates an environment where trust can grow and collaboration can thrive.
Methods and Tools for Practice
To ensure these success factors don’t remain abstract, here are some proven methods that strengthen lateral leadership:
- Questioning techniques: Instead of giving instructions, use targeted questions to encourage clarity and personal responsibility.
- Active listening: Paraphrase what you have understood to avoid misunderstandings.
- Feedbackregeln: Beschreiben statt bewerten („Mir ist aufgefallen, dass…“).
- Moderationstechniken: Gespräche strukturieren, Ergebnisse festhalten, Konsens sichtbar machen.
- Reflection: Regularly review your own role and impact.
Challenges and How to Overcome Them
Lateral leadership is demanding – it comes with its own set of challenges:
1. Lack of acceptance
Some team members do not accept leadership without hierarchy. Here, it helps to create transparency, emphasize the benefits of collaboration, and persuade through expertise.
2. Resistance within the team
Different interests can lead to blockages. Solution: Address conflicts, emphasize common goals, and actively leverage different perspectives.
3. Virtual collaboration
In distributed teams, personal closeness is often missing. However, trust can still be built digitally—through regular check-ins, transparent communication, and clear agreements.
Lateral Leadership as a Success Factor for Organizations
Lateral leadership is more than an individual skill – it is a key factor for an organization’s future viability. It enables collaboration across hierarchical boundaries and lays the foundation for innovation and change. Whether it’s an agile transformation, cross-functional projects, or innovation: Without effective lateral leadership, many teams fail to reach their goals.
To strengthen lateral leadership clear roles, open communication, conflict management skills, self-leadership, and trust are essential. With the right methods and training, employees can learn to lead effectively even without formal authority. For HR developers, this means: Lateral leadership should be an integral part of development programs. Trainings, coaching, and digital learning offerings can specifically support employees in building this competency.
