The purpose of the study was to examine practice of government secondary and preparatory school principalsâ€™ in Addis Ababa. The study employed a descriptive survey design and was conducted in Six secondary and preparatory schools. To collect the relevant data questionnaire, interview and document analysis were used during the study. Data was gathered from 108 teachers, 18 principals, 6supervisors, 6 PTAs and 6 student counselors and were analyzing using five rating scales, mean , weighted mean. Standard deviation. The participants of the study were selected conveniently based on their responsibility. .Descriptive survey design was supported by qualitative study that was employed to study the practices . Accordingly, questionnaire was prepared to be filled by teachers ,principals and supervisors and interviews were administered for PTAs and student counselors .The data obtained through questionnaire were analyzed using statistical tools such as mean , weighted mean and standard deviation and also the data were analyzed and interpreted by using appropriate inferentialstatistic ANOVA to scrutinize the response of various groups on the basis of this findings principals were less effective in their principals some decision did not implement and evaluate timely by stakeholders, the stakeholders participation in school decision-making was unsatisfactory, due to lack of qualification in the profession, lack of vision, lack of training, lack of transparency, work load, absence of regulation instability of school principals were some of the factors and the gap between the principal and the stakeholders that were found to have impeded stakeholders to participate in school decision-making .It was thus concluded that decision-making is not implemented based on the rule and regulation. Based on the findings conclusions, recommendations were the selection or appointment of school principals should be based on educational leadership performance and blue print standards, not political outlook and avoid making decision alone, made on capacity building and empowering of principals to do their work effectively, in turn, encouraging participatory approach of principals. Furthermore, the selected sub cities and Addis Ababa Education Bureau is responsible to give directives and guidelines in the case that whenever short coming and gaps are observed and the secondary and preparatory schools should organized public relations to create school-community participation in addition to that the interference of outside the school leaders and political bias should be eliminated from schools