The principal’s leadership is a strategic factor that determines the success of managing Islamic educational institutions in achieving their vision, mission, and educational objectives. However, the complexity of the principal’s duties requires the ability to apply appropriate leadership styles, master professional competencies, and possess adequate managerial skills. This article aims to analyze effective leadership styles, principal competencies based on the Regulation of the Minister of National Education of the Republic of Indonesia Number 13 of 2007, and the skills required in managing Islamic educational institutions. This study employs a literature review (library research) method by examining various academic sources, including books, scientific articles, policy documents, and relevant research findings. Data were analyzed using deductive, interpretative, comparative, and descriptive approaches to obtain a conceptual synthesis of principal leadership. The findings indicate that the effectiveness of principal leadership can be achieved through the application of situational leadership styles, including instructive, consultative, participative, and delegative styles, in accordance with teachers’ characteristics and levels of readiness. In addition, principals are required to possess five core competencies, namely personality, managerial, entrepreneurial, supervisory, and social competencies. This study also identifies five essential skills that support the effectiveness of principal leadership, namely leadership skills, human relationship skills, group process skills, personnel administration skills, and evaluation skills. These findings emphasize that the success of Islamic educational institutions is strongly influenced by the principal’s ability to integrate competencies, skills, and adaptive leadership styles in response to the needs of the educational organization.