Question

Thoroughly explain the concepts of transactional and transformational leadership's, as well as the types of situations for which each form is best suited.

Thank you for your time and effort.

Answer 1

Transactional leadership: This leadership style is more concerned with maintaining the normal flow of the operations. It can be described as “keeping the ship afloat. Such leaders make use of array of incentives and disciplinary power in order to encourage the employees to perform their best. Transactional leaders do not look ahead in strategically guiding the firm to gain the position in market, instead they make sure that all the operations flows smoothly today. When it comes to the front line supervisor or minimum salaried employees, transactional leadership style is more effective. this leadership style is best suited for settled Environment. It works well with policing agencies and first responder organizations and organizations where the structure is essential.

Transformational leadership: Such leadership goes beyond managing the day to day activities & developing the strategies for taking his company, department or team to the next performance level and organization success. This style of leadership focus on motivation, team building, collaborating with employees at different level of a firm to accomplish success. The transformational leaders sets the aim and incentives to encourage the employees to give higher performance, while providing them opportunity for personal and professional growth. CEO or sales manager become effective if they are transformational leaders. This style is best suited for turbulent environment.