Preview

Theory and Practice of Transactional-Transformational Leadership

Good Essays
Open Document
Open Document
829 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Theory and Practice of Transactional-Transformational Leadership
Running head: THEORY AND PRACTICE OF TRANSACTIONAL-TRANSFORMATIO

Theory and Practice of Transactional-Transformational Leadership THEORY AND PRACTICE OF TRANSACTIONAL-TRANSFORMATIO
Abstract
This essay details the different behaviors characterized by the contemporary transactional and transformational leadership models. The specific behaviors of each model are reviewed and their corresponding relation to motivation of individuals and teams are assessed. Both leadership techniques are distinct however neither is mutually exclusive and a balance of both models is generally needed for the success of a business. THEORY AND PRACTICE OF TRANSACTIONAL-TRANSFORMATIO
Theory and Practice of Transactional-Transformational Leadership
Leadership and its various theories have been a topic of interest according to Robbins, DeCenzo and Coulter (2013) since people have been working in groups to accomplish common goals (p 310). Contemporary leadership theories include: leader-member exchange (LMX), transformational-transactional leadership, charismatic-visionary leadership and team leadership. This essay will assess the theory and practice of the transactional and transformational leadership models and how each relates to individuals, teams and their successes.
Transactional Leadership Businessdictionary.com (2013) defines transactional leadership as a “style of leadership that is based on the setting of clear objectives and goals for the followers as well as the use of either punishments or rewards in order to encourage compliance with these goals”. It is a model which uses a leader with a contingent reward system, rewarding his or her team/followers for desired performance.
Transactional leaders lead and manage by exception, taking corrective action when goals are not met and/or do not generally intervene until a problem is serious or brought to their attention. The behaviors engaged in by transactional leaders, managing by


References: BuisnessDictionary.com. (2013). Retrieved from http://www.businessdictionary.com/definition/. Ingram, D. (2013). Transformational leadership vs. transactional leadership definition. The Houston Chronicle. Retrieved from http://smallbusiness.chron.com/transformational-leadership-vs-transactional-leadership-definition-13834.html. Robbins, S.P., DeCenzo, D.A. & Coulter, M. (2013). Fundamentals of management. Upper Saddle River, NJ: Prentice Hall.
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Good Essays

    West Fertilizer Company: Transactional Leadership Analysis
    • 923 Words
    • 4 Pages

    West Fertilizer Company: Transactional Leadership Analysis

    Transactional leadership focuses on the role of supervision, organization, and group performance (Ifeanyi and Odumeru, 2013). It is a style…

    • 923 Words
    • 4 Pages
    Good Essays
    Read More
  • Good Essays

    The Hurt Locker: The Four Perspectives Of Leadership Theory
    • 1176 Words
    • 5 Pages

    The Hurt Locker: The Four Perspectives Of Leadership Theory

    The theories mentioned so far have been, transactional leadership theories: a process of social exchange between followers and leaders that involves a number of reward based transactions. The transactional leader clarifies performance expectations, goals, and a path that will link achievement of the goals to rewards. Transformational leadership is leadership that inspires followers to share a vision, empowers them to achieve the vision, and provides the resources necessary for developing their personal potential. Transformational leaders serve as role models, support optimism, and mobilize commitment as well as focus on the followers needs for growth.…

    • 1176 Words
    • 5 Pages
    Good Essays
    Read More
  • Good Essays

    Transactional Leadership
    • 2174 Words
    • 9 Pages

    Transactional Leadership

    Transactional leadership is based on the premise that employees will perform an action for a simple reward or to avoid punishment. A transactional leader does not typically recognize or praise employees who meet expectations. Because the leader views the job as a simple exchange -- work for money, for example -- he feels no obligation to provide praise simply when an employee upholds his end of the deal. Only exceptionally good performance is rewarded, and mistakes are corrected through…

    • 2174 Words
    • 9 Pages
    Good Essays
    Read More
  • Better Essays

    Meg Whitman Leadership Case Study
    • 2252 Words
    • 10 Pages

    Meg Whitman Leadership Case Study

    1. Transactional leadership involves motivating and directing a group, through the pleasing of their own self-interest.…

    • 2252 Words
    • 10 Pages
    Better Essays
    Read More
  • Good Essays

    Transformational vs Transactional Leadership
    • 1595 Words
    • 7 Pages

    Transformational vs Transactional Leadership

    This document is intended to compare and contrasts Transformational and Transactional Leadership and discusses how they are used in management of organizations by managers. Before we can delve into the comparison or contrast, we first need to define what we mean by each of these terms we are comparing and contrasting. Transformational Leadership Defined This type of leadership can best be defined as a process in which "leaders and followers help each other to advance to a higher level of morale and motivation". This style of leadership is intended to create significant changes in the life of people and organizations. This leadership style redesigns perceptions and values, and changes expectations and aspirations of employees. Unlike in the transactional approach, it is not based on a "give and take" relationship, but on the leader's personality, traits and ability to make a change through example, articulation of an energizing vision and challenging goals. Transforming leaders are idealized in the sense that they are a moral exemplar of working towards the benefit of the team, organization and/or community. The extent, to which a leader is transformational, is measured first, in terms of his influence on the followers. The followers of such a leader feel trust, admiration, loyalty and respect for the leader and because of the qualities of the transformational leader are willing to work harder than originally expected. These outcomes occur because the transformational leader offers followers something more than just working for self- gain; they provide followers with an inspiring mission and vision and give them an identity. The leader transforms and motivates followers through his or her idealized influence or (charisma), intellectual stimulation and individual consideration. In addition, this leader encourages followers to come up with new and unique ways to challenge the status quo and to alter the environment…

    • 1595 Words
    • 7 Pages
    Good Essays
    Read More
  • Best Essays

    Transformational and Inspirational Leadership
    • 2637 Words
    • 11 Pages

    Transformational and Inspirational Leadership

    An explanation of how authors like Burns and Bass wrote about Transformational Leadership, and pointing out its differences from transactional leadership. Continuing by defining transformational leadership and analysing its components, as well as a demonstration of how authors like Bass and Yukl contributed to the idea, followed by a critical analysis to the topic.…

    • 2637 Words
    • 11 Pages
    Best Essays
    Read More
  • Better Essays

    Transformational Leadership Analysis
    • 1449 Words
    • 6 Pages

    Transformational Leadership Analysis

    Transformational leadership respites on the bases of transactional leadership (Simic, 1998). It focused on the technologies changes and also the human relation aspects (Imran & Wasim, 2010). According to James McGregor Burns, the new style transformational leadership is the leadership that needed today yet not the old style of transactional leadership (Simic, 1998). Transformational leadership is a complex process; the realization requires more visionary and more inspiring figures (Simic, 1998). The organization’sculture recognizes the transformational leader as having a high level of competence, identity, and experience in their area of expertise (Lowder, 2009). The leader motivate the employees to do more than their expectation, increase their sense of importance and value of the tasks, inspire them to go beyond their own individual interests and direct themselves to the interests of the team, organization or the community for raising the level of change to a higher level (Simic, 1998). Transformational leader achieves a high level of legitimate power through their strong…

    • 1449 Words
    • 6 Pages
    Better Essays
    Read More
  • Powerful Essays

    Transformational and Transactional Leadership Styles, Followers' Positive and Negative Emotions, and Performance in German Nonprofit Orchestras
    • 6932 Words
    • 28 Pages

    Transformational and Transactional Leadership Styles, Followers' Positive and Negative Emotions, and Performance in German Nonprofit Orchestras

    Although the transformational-transactional leadership paradigm has received increased attention from the research community over the past two decades, the nonprofit sector has been…

    • 6932 Words
    • 28 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Transactional vs Transformational
    • 276 Words
    • 2 Pages

    Transactional vs Transformational

    Transactional leaders are willing to work within existing systems and negotiate to attain goals. They tend to think inside the box when solving problems. Transactional leaders handle all the details that come together to build a strong reputation in the market place, while keeping employees in the frontline…

    • 276 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    Transactional Leadership
    • 534 Words
    • 3 Pages

    Transactional Leadership

    The two characteristics of Transactional leadership are: "Leaders use contingent rewards to motivate employees, and leaders exert corrective action only when subordinates fail to obtain performance goals" ( Kreitner & Kinicki, 2005 p. 613).…

    • 534 Words
    • 3 Pages
    Good Essays
    Read More
  • Good Essays

    Transformation or Transactional Leadership, a better concept for contemporary organisation
    • 2553 Words
    • 11 Pages

    Transformation or Transactional Leadership, a better concept for contemporary organisation

    Drucker, P. F. (1995). Managing in a Time of Great Change. Boston: Harvard Business Press.…

    • 2553 Words
    • 11 Pages
    Good Essays
    Read More
  • Powerful Essays

    Transactional and Transformational Leadership
    • 1722 Words
    • 7 Pages

    Transactional and Transformational Leadership

    The transactional leader works with the present cultural work environment within their organisation, following existing rules, procedures, expected outcomes and operating norms (Lindgreen, A et al. 2009). They have an exchange relationship (Erkutlu 2008) with…

    • 1722 Words
    • 7 Pages
    Powerful Essays
    Read More
  • Good Essays

    Transactional Leadership Reflective Report
    • 482 Words
    • 2 Pages

    Transactional Leadership Reflective Report

    Transactional leadership consists of three dimensions: contingent reward and active and passive management-by-exception. Contingent reward involves the use of rewards for goal attainment. Active management-by-exception is setting clear expectations and active monitoring of deviances from standards, mistakes, and errors. Passive management-by-exception is passively waiting for deviances from standards, mistakes, and errors until they cannot be ignored. (p. 832)…

    • 482 Words
    • 2 Pages
    Good Essays
    Read More
  • Best Essays

    Organisations and Behaviour
    • 3260 Words
    • 14 Pages

    Organisations and Behaviour

    Transactional leadership is the style that the employee is hired accepting to receive orders by the leader. The organization will pay the member due to the efforts however the leader is free to punish the employee if the standards are not met. Another thing is that in this style the responsibilities are very clear and who is willing to grow tend to work harder for better compensation (salary, bonus, others). On the other hand people may feel frustrated leading to employee turnover. A good example of that is a sales person in a car showroom, if the person does not reach the monthly target of sales this person may face punishment such as demotion or even termination of employment. Or also a bank sales person who has to go to companies and promote credit cards also may face the same situation.…

    • 3260 Words
    • 14 Pages
    Best Essays
    Read More
  • Best Essays

    Managing and developing people
    • 3773 Words
    • 12 Pages

    Managing and developing people

    Lai, A. (2011) ‘Transformational-Transaction Leadership Theory’. Journal of Leadership Theory [online] 1-34. Available from [2 June 2013]…

    • 3773 Words
    • 12 Pages
    Best Essays
    Read More