What does "lead by" mean in the next context:
<span lang="UK" style="font-size:14.0pt;line-height:
115%;font-family:&quot;Times New Roman&quot;,serif;mso-fareast-font-family:Calibri;
mso-fareast-theme-font:minor-latin;color:black;mso-themecolor:text1;mso-ansi-language:
UK;mso-fareast-language:EN-US;mso-bidi-language:AR-SA">He leads by ending denial and making tough decisions

"<span lang="UK" style='color: black; line-height: 115%; font-family: "Times New Roman",serif; font-size: 14pt; mso-fareast-font-family: Calibri; mso-fareast-theme-font: minor-latin; mso-themecolor: text1; mso-ansi-language: UK; mso-fareast-language: EN-US; mso-bidi-language: AR-SA;'>He leads by ending denial and making tough decisions"<span lang="UK" style='color: black; line-height: 115%; font-family: "Times New Roman",serif; font-size: 14pt; mso-fareast-font-family: Calibri; mso-fareast-theme-font: minor-latin; mso-themecolor: text1; mso-ansi-language: UK; mso-fareast-language: EN-US; mso-bidi-language: AR-SA;'>He leads. How does he lead? 'by' shows how he leads, the method. Denial and making difficult decisions are the method he uses to show leadership; it is how he leads. Not by commands, and giving orders, but he leads through example, through/by his actions.

It is referring to leadership qualities. You might say "the boss leads by showing employees the right way to do things".