This study investigates the impact of leadership models on the efficiency and innovation outcomes of cross-functional teams (CFTs) in product development contexts. With the aim of identifying effective leadership practices, the research focuses on how transformational, shared, and situational leadership models influence team dynamics, communication, collaboration, and ultimately, product development efficiency. Employing a systematic literature review combined with content analysis, the study analyzes peer-reviewed articles and scholarly books published from 2013 to 2024. This methodology facilitates a comprehensive examination of current leadership models and their applicability to CFTs. Key findings reveal that transformational leadership inspires and motivates team members, shared leadership enhances ownership and accountability, and situational leadership adapts to the dynamic needs of product development projects. These leadership models significantly contribute to fostering an environment conducive to open communication and collaboration, driving innovation and efficiency in product development processes. Based on these insights, strategic recommendations for industry leaders include adopting flexible leadership styles, promoting open communication, encouraging shared leadership, and investing in leadership development. These strategies are pivotal for leveraging the diverse expertise within CFTs and enhancing product development outcomes. The study underscores the critical role of leadership in maximizing the potential of CFTs for innovation and efficiency. It highlights the need for leaders to adapt their strategies to the unique challenges of managing diverse teams, offering a path forward for effective team leadership in product development.
Keywords: Cross-functional teams, Leadership models, Product development efficiency, Innovation outcomes.