Leadership Theory Vs. Transactional Leadership

Proper management of institutions is the key to the success of such a firm. The kind of leadership being dispensed directly affects the motivation of employees and their productivity. The two most prominent kinds of leadership are transformational and transactional leadership. This article seeks to discuss the two kinds of leadership and eventually propose the most efficient kind of management.

According to Sullivan and Decker (1997) transactional leadership is a traditional, goal oriented type of leadership based on the social exchange theory. Work is exchanged for rewards in

Transformational leaders and transactional leaders differ from one another in the manner that they encourage and motivate those who follow them. Transactional leaders are defined as those who focus on monetary and tangible rewards as motivational tools for the daily operations (Marquis & Huston, 2015). Transactional leadership is associated with a clear organizational structure in which managers and subordinates understand their roles and know from whom to receive reward and feedback (Cherry, 2015). This type of leadership style focuses on motivation for the here and now to accomplish daily tasks at hand. This leadership does not focus on forward thinking or growth towards the future (Gellis, 2001).

Over the past twenty years, an abundant body of researches have been done to review transformational leadership and transactional leadership. Burn (1978) was the first person to introduce and conceptualize the concept of transformational leadership and transactional leadership. Bass (1985) based on Burn’s concept and deepen his notion with modifications, which stated that one of the best frameworks of leadership is transformational or transactional, but not opposing to each other. Followed by Bass and Avolio (1994), they provide the idea of these two leaderships and generalize them into the development of global economic world. Bass and Avolio (1997) also suggested that there was no need to view transformational and

Transactional leadership styles are more concerned with maintaining the normal flow of operations. Transactional leadership is described as making contact with others for the

Transactional leadership on the other hand was first described in 1947 by Max Weber; he first coined "rational-legal leadership — the style that would come to be known as transactional leadership — as the exercise of control on the basis of knowledge” (Spahr, 2014). According to Spahr (2014), characteristics of transactional leaders include: focus on short-term goals, favor structured policies and procedures, thrive on rule following and doing things correctly, revel in efficiency, left-brained, inflexible, and opposed to change.

Compare and contrast two theories of leadership. Do these theories offer practical guidance for managers?

Organizational leadership builds on traditional theories in order to form new and exciting directions. Transactional leadership is a traditional theory, which has been used as a platform to understand leadership and further develop techniques for higher organizational performance. The three components of transactional leadership help shape and define the style, but are not always strictly adhered to. There are many advantages and disadvantages of transformational leadership. Knowing how and when to apply this style will prove useful for most successful organizational leaders. President Dwight Eisenhower was a good example of how transactional leadership could be used successfully.

Since the beginning of recorded history, leadership has been one of, if not the most important elements in the success or failure of an endeavor. This is whether it involved a prehistoric hunting party or ruling the Roman Empire. Today, leadership is recognized as a vital factor in an organization’s quest to be productive and profitable. For an organization to be competitive and achieve optimum success in the 21st century, it is vital that they employ effective leaders that will be able to communicate their vision and goals, motivate their employees and develop trusting and loyal relationships with its stakeholders. There is no one or best way to accomplish this mission. There have been numerous leadership theories and styles which have been developed over time which can enable leaders to choose which method would be most effective for them in establishing collaborative working relationships and a respectful team environment in a group setting (Landis, Eric A; Hill, Deborah; Harvey, Maurice R, 2014).

Six styles of leadership are going to be examined in this paper; transactional, transformational, servant, charismatic, contingency, and strategic.

Leadership development is a multi-billion-dollar industry in the United States and Europe. This essay discusses the difference in transformational and transactional leadership styles and provide examples. Transformational leadership is developmental and usually begins with a transactional approach. First, transactional leader's behavior approach is management- by-exception. This leader puts out fires by taking corrective actions to solve the problem. Additionally, he/she uses contingent reward behavior: rewards an employee for doing a good job. Both concepts have proven to be effective. Something as simple as a pat on the back brings about a greater

Over the past twenty years, an abundant body of researches have been done to review transformational leadership and transactional leadership. Burn (1978) was the first person to introduce and conceptualize the concept of transformational leadership and transactional leadership. Bass (1985) based on Burn’s concept and deepened his notion with modifications, which stated that one of the best frameworks of leadership is transformational or transactional. Following Bass and Avolio (1994, p. 4) provided the idea of these two leaderships and generalized them into the development of global economic world. Bass and Avolio (1997) also suggested that there was no need to view transformational and transactional leadership as

There are a few leadership theories, but for this research I will only on four of these. The theories that will be discussed are Situational leadership theory, Contingency theory, Transformational, and Transactional theory. The theory Transformational is pondered by several to be the theory improvement for transactional leadership theory, and it appears to have a cumulative number of research studies that are supporting the benefits of this theory. So, I will also compare and discuss the contrast of the four different theories, and like a few examples. In an ever changing organization, there are many who suggest that maybe transactional and transformational theories are the optimal theory for the public service field. It will

The 1970s brought a number of emerging leadership theories, these theories focused on the importance of a leader 's charisma to leadership effectiveness. Many of these theories and models were the same. Transformational leadership theory separated itself between the transactional and the transformational leader. This leadership theory focuses on role and task requirements and utilizes rewards contingent on performance. Research shows that in contrast, transformational leadership focuses on developing mutual trust, fostering the leadership abilities of others, and setting goals that go beyond the short-term needs of the work group.

Task no.1.1:-Sum up the Leadership Theories:- Definition of leadership & leader , shows great influence and bonding with its theories. It is an ability of leader how he influence a group towards the achievement of a vision or set of goals. Leadership is also about coping with change. Leaders set a direction for future by making a vision of the future. Then guide people by easy mode of communication with this vision & inspire them to rule out the problems.