Abstract
The article examines the mechanisms of forming the socio-psychological climate in the production process using the example of enterprises in Azerbaijan and Kazakhstan. The socio-psychological climate is considered as an integral characteristic of a labor collective, reflecting the system of interpersonal relations, emotional background, motivational structure, and features of organizational behavior. The study analyzes the relationship between leadership styles and managerial decision-making as key factors influencing the formation of the psychological climate. A comparative analysis of management practices in both countries was conducted, taking into account the historical and cultural context as well as the transformation of management models under economic modernization. Empirical data confirm the presence of a statistically significant relationship between leadership style, decision-making patterns, and the state of the socio-psychological climate. It was found that democratic and hybrid management styles contribute to improving organizational stability, reducing conflict levels, and increasing labor productivity. Keywords: socio-psychological climate, leadership style, managerial decisions, production process, work collective, motivation, Azerbaijan, Kazakhstan. JEL: M12, D23, J24, M54; UDC: 005.32; 316.6; 331.101.3