Characteristics:
1. Direction and Guidance
- In this style of leadership, employees get little direction and guidance from the leader.
- Leaders have very little control over the employees.
- Employees are given complete freedom to make decisions.
- Employee moral values increases and they are trusted as well.
- Employees are effective in their work but chances of failure also increase.
- This type of leadership is followed by an educational institution, at home and even in some business organization.
2. Problem Solving
- Any problem occurs in between are taken care by subordinates.
- Every employee is well skilled and trained to withstand obstacles.
- If the problem is difficult to interpret then leader involves in getting the solution.
3. Passive Leadership style
- In this leadership style, everything is accepted without active response.
- All resources and tools are made available to employees in order to ensure positive output.
- If any mistake happens, then the employees are allowed to learn from it rather putting any kind of compensation.
- Employees get to learn various technical skills which increases the empowerment of group members.
4. Power and Authority
- In this type of leadership, employees have the power to make decisions yet leaders still take responsibility for the way to achieve goals and objective.
- The leader knows when to step in and lead during a dangerous situation.
- Leaders praise a good job and also gives rewards to employees.
- It is the responsibility of the leader to hire highly skilled, well educated and experienced employee.
- Leaders closely monitor the performance of employees and give feedback.

Application:
This type of managment is best suitable for those who are self motivated and focused. They are capable of working with experienced, educated and highly skilled employees. They also have the interest to work in team environment. Laissez Faire leadership can be seen in:
- Advertising agency
- Product Design firm
- Starup and Social Media companies
- Research and Development department
- High end Architectural and Specialized engineering firm