The path-goal theory of leadership provides a self-explanatory definition that the leader is responsible for creating a clear objective in order to achieve his/her goal, in which case a leader has a clear vision of an organizations foreseeable future that is fundamentally impossible to attain without the resourcefulness of employee development which ultimately means that a large portion of the leaders success relies upon the leaders followers and the followers willingness to follow the appointed leader.

The genuine essence of a leader employing the path-goal leadership theory is found within the leaders' ability to identify the strengths and weaknesses of their followers and to develop their action-based strategy accordingly. A leader's strategy is based on identifying the pertinent characteristics of their followers in order to delegate and develop a proficient team of professionals. Followers are more likely to be productive if they feel they are valued by their leaders. How followers are treated will reflect on the performance level within an organization. The key element of a successful path-goal leader is the integration of rewarding subordinates for a job well done.