Transformational and Transactional Leadership

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Transformational and Transactional Leadership : 

Transformational and Transactional Leadership Leadership Approaches to Motivating Followers The PI Leadership Course

Transactional V Transformational: 

Transactional V Transformational Burns distinguished between transactional and transforming leaders. They are distinguished by how they motivate followers Transactional approach is where leaders motivate followers to achieve goals by mutual exchange E.g. Business – bonuses to achieve goals, politicians – votes for promises Transformational leaders - visionary leaders seeking to appeal to their followers better character Want to move them toward higher and more universal needs and purposes to achieve goals The transformational leader is seen as an agent of change.

Transformational Leadership: 

Transformational Leadership Leadership that: Raises followers awareness of the significance of team goals Brings change in followers from self interest to team interest Brings transformation to their character It focuses on relationship between leaders and followers and their: Values Ethics Goals Emotions Social style of leadership concerned with collective good Often of a political or religious nature

Leaders and Followers : 

Leaders and Followers The relationship between leaders and followers may be: One to one Team or group Organisation Nation

James MacGregor Burns: 

James MacGregor Burns In description of transformational Leadership Burns sought to link role of leaders and followers Described Leadership as process where leaders and followers: Encourage each other to higher levels of motivation Motivate each other to higher levels of morality (ethics)

B M Bass: 

B M Bass Bass developed Burn’s thoughts by saying Transformational Leadership motivates followers to more than expected by: Raising followers awareness of important goals and vision Getting followers to transcend self for sake of the team Getting followers to address higher level needs – not just for security or significance, but also justice / morality

The Transformation Leader: 

The Transformation Leader Is attentive to needs of followers but stresses important goals Encourages followers to fulfill potential and achieve goals Examples include – Ghandi : Raised hopes and demands of millions for independence of India Process brought change in followers to use peaceful protests to do this Process also changed himself Also Nelson Mandela: Committed to peaceful democracy in SA Even though imprisoned for 27 years, sought peaceful reconciliation between whites and blacks Before independence many wanted to use violent means, but he was committed to peaceful Post-independence, he sough reconciliation to achieve a black / white society – his goal – rather than revenge.

Four factors that transform followers: 

Four factors that transform followers Charisma or idealized influence Leaders are strong role models Followers identify with leaders and want to be like them Leaders have high / strong ethics Inspirational Motivation Leaders communicate high expectations to followers Inspire / motivate them to greater commitment to the vision Use symbols and emotional appeals to motivate them

Four factors that transform followers (Cont): 

Four factors that transform followers (Cont) Intellectual Stimulation Leaders challenges and stimulates followers to be creative and innovative Motivates them to challenge own beliefs and values as well as those of leaders and group Individualized Consideration Leader provides supporting atmosphere to listen carefully to individual follower needs Leaders are like coaches to assist followers in their needs and to improve Leaders delegate to help followers grow through challeneg

Pseudotransformational Leader: 

Pseudotransformational Leader Leaders that are: Exploitive Self –consumed Power-orientated Low moral values Often pursuing self and negative goals (power expansion) Transform followers in a negative way Motivate them towards negative goals Lead to lower levels of morality Personalized Leadership focused on leader’s interests (opposite to Social Leadership concerned with groups collective good) Examples include Hitler and Saddam Hussein

Transactional Leadership: 

Transactional Leadership Burns distinguished transformational from transactional leadership Transactional leadership: Focuses on motivational exchanges that occur between leaders and followers E.g politicians get votes by promising tax cuts Managers who offer promotions/bonuses/good evaluations to those who do well/exceed targets Teachers who remind students good grades will be given to those who work hard Transactional leadership is common at all levels in organisations

Transactional Vs Transformational: 

Transactional Vs Transformational Transactional Leadership in motivating followers is very common Motivation to fulfill/exceed goals provided by personal exchange e.g. money, promotion, gifts Transformational leadership- encourages motivation simply for good of team/organisation and to fulfill goals. Followers will not be rewarded – but are more professional and team players In this way transformational raises morality and ethic of people Many Charismatic leaders motivate followers using transformational / pseudotransformational leadership

Conclusion: 

Conclusion The way they motivate followers distinguishes transactional and transformational leaders