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
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