EXECUTIVE SUMMARY
INTRODUCTION
Here are the two different types of managers. The first manager is task oriented which is called as transactional Leadership. Transactional leaders are mainly focused on hypothesis because followers are motivated through reward and punishments. They are closely aligned with the internal motivational factors of the followers (2014).
In other words we can define transactional leadership as managerial leadership that focuses on the role of organisation, supervision and group performance. Workers are provided with rewards and punishments. Some of the characteristics of transactional leadership are:
a) Followers should obey and follow the instructions of the leaders.
b) The leader should perform her best when the chain of command is clear.
c) Leader must have motivational skills.
d) Rewards and punishments according to their works (Cherry, 2014).
The second manager is people oriented. She is friendly and focuses on structuring and planning the work. Her behaviour is related with transformational leadership style. Transformational leaders are those who tells their followers to become a leader. They are the leaders who stimulate and inspire their leaders to follow the long term mission and vision. Transformational leaders are encouraging and friendly in nature. They can easily cope up with the environment as well as with the people. They are the leaders having faith and belief in people.
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
While the manager administers, the leader innovates; one maintains, while the other develops. Managers focus on systems, structure and routine, while leaders focus on people. One controls, while the other inspires trust; one accepts the status quo and does things right, while the other challenges the status quo and does the right thing. (Murray, 2010).
5. Transactional leadership includes a deal between the leader and his/her followers. The workers are basically doing tasks for the organization, in order to receive some kind of benefits, money, etc.
Understanding the difference and similarities between managers and leaders can be enlightening. Managers develop and manage plans that impact the strategic vision of an organization while leaders set strategic visions for the organization. Managers establish plans, support strategic plans, and organizational objectives. Managers also evaluate and track the achievement of tactical plans that have been assigned to specific staff. While on the other hand leaders motivate staff to achieve the object and task set forth. Managers serve as problem solvers. Managers are the people who assign resources to groups. On the hand leaders serve as persuasive change agents.
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.
2. Managerial. The leader who sees herself as a manager is concerned primarily with the running of the organization. Where it's going is not at issue, as long as it gets there in good shape. She may pay attention to relationships with and among staff members, but only in the service of keeping things running smoothly. Depending upon the nature and stability of the organization, her main focus may be on funding, on strengthening the organization's systems and infrastructure (policies, positions, equipment, etc.), or on making
“Transactional leadership is a style of leadership focused on contingent rewards of followers” (McGuire & Kennerly, 2006, p.180). Goals are set, directions are given, and rewards are used to reinforce employee behaviors associated with meeting or exceeding established goals. Followers are manipulated and controlled with rewards of praise and recognition, merit raises, and promotions, which can be given or withheld according to the employee’s performance. The outcome of such behavior is enhanced role clarity, job satisfaction and improved performance (McGuire & Kennerly, 2006).
2. Katzenbach and Kahn (2010) compare three types of managers in regard to motivation and pride building (p. 79). This is similar to the Blake and Mouton Managerial Grid. What insights from these categories of managers and the Grid can you use to motivate performance in yourself and others?
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.
The transactional style of leadership is pretty straight forward but it uses rewards and punishments to motivate the team. This is a style of leadership that is similar but not as extreme as the autocratic style. The transactional styles are direct and dominant and spend a great amount of time saying what is expected from the team as a whole. The leaders monitor the work and each and everyone’s individual performance, there is also a clear chain of command. Transactional leaders are very commonly found within businesses where people are given rewards such as bonuses, training or time off if they show a good demonstration.
As far as differences, both managers and leaders have to deal with different priorities and
Driven by Policy and procedures and pays attention to titles and positions is what managers are more concerned with and leaders develop relationships and encourage judgment and application of guidelines. Leaders are natural mentors and see peoples strengths while managers evaluate people, restrict initiative, and look for what employees are doing wrong. Assessing and pushing individuals to do what the manager wants to achieve an overall goal while leaders draw people and empower effectiveness through influential skills.
In general, we are familiar with the quote managers do things right while leaders do the right things. In essence, the analytical versus the holistic approach of leadership addresses these two separate and distinct functions within an organization. For instance, a manager focuses on the daily operations of an organization with an emphasis on team delivery, budgeting, and supervising the employees. Contrarily, leaders within an organization focus their time on improvements and innovation. In particular, leaders can perform this function since they are not culpable for routine tasks and mired in the minutia. As a result, there is a misnomer that managers are leaders and leaders remain managers, but they are not exclusive. Therefore, being a manager and a leader requires different abilities and dispositions.
Transactional and transformational leadership differ. Ingram (2016) states “Different managers employ distinctly different management styles, ranging from relatively hands-off, facilitative styles to autocratic, micromanaging styles. Managers can also employ different motivational strategies and techniques to boost employee performance or accomplish internal change. Transformational and transactional leadership are polar opposites when it comes to the underlying theories of management and motivation. Understanding the difference between transformational and transactional leadership is crucial for anyone pursuing a career in management.” (Ingram, 2016). When I was a manager, I had to make sure my store operated properly and maintain sales. Sometimes I would hold contest for my workers to motivate them, Ingram (2016) states “Transactional leadership styles are more concerned with maintaining the normal flow of operations. Transactional leadership can be described as "keeping the ship afloat." Transactional leaders