CHARISMATIC, TRANSFORMATIONAL & TRANSACTIONAL LEADERSHIP.BY
: - BINIT SHAH SHASHIN BAJAJ VINOD GARG
Inspirational Approaches to Leadership Traditional approaches
ignore the importance of the leader as a communicator. Framing is a
way of communicating to shape meaning. Its a way for leaders to
influence how others understand and see events. Framing is an
important aspect of leadership as it is the ability of leader to
inspire others to act beyond their self interests.
Charismatic Leadership Charismatic leadership was first
discussed by Max Weber. The word charismatic is derived from a
Greek word charisma which means a gift. Charismatic means a certain
quality of an individual personality, by virtue of which he or she
is set apart from ordinary people and treated as exceptional powers
or qualities. According to Robert House the theory followers make
attributions of extraordinary leadership abilities when they
observe certain behaviors.
ContThe characteristics of a charismatic leader are as follows :
1. They have a vision. 2. They are willing to take personal risks
to achieve that vision. 3. They are sensitive to follower needs. 4.
They exhibit behaviors that are out of the ordinary.
TransformationalleadershipJames MacGregor Burns (1978) : first
introduced the concept of transforming leadership in his
descriptive research on political leaders, but this term is now
used in organizational psychology as well.
DefinitionTransforming leadership is a process in which "leaders
and followers help each other to advance to a higher level of
morale and motivation. James MacGregor Burns
According to Burns, the transforming approach creates
significant change in the life of people and organizations. It
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.
The four Is Idealized Influence (charisma): - Follower
admiration & respect. - Risk sharing. - Consideration for
follower needs. - Ethical & moral conduct (trust).
Inspirational motivation: - Meaning & challenge to work
Intellectual stimulation: - Creative problem solving.
Individualized consideration: - Listening, praising.
Some tips for transformational leadership Develop a challenging
and attractive vision, together with the employees. Tie the vision
to a strategy for its achievement. Develop the vision, specify and
translate it to actions. Express confidence, decisiveness and
optimism about the vision and its implementation. Realize the
vision through small planned steps and small successes in the path
for its full implementation.
Transactional Leadership First described by Max Weber in 1947
Focuses on Basic management process of Controlling, organizing and
Short-term Planning Most often used by managers Motivates and
directs followers through appealing to their own self-interest
Power of transactional leader comes from authority and
responsibility given to them Main goal of follower is to obey the
instructions of leader
Dimensions of Transactional Theory Contingent rewards SMART
Goals Active Management by exceptions Passive Management by
exceptions Laissez - faire
Assumptions of Transactional Theory Employees are motivated by
reward & punishment Subordinates are not Self-motivated.
Closely monitored and controlled to get work done Subordinate have
to obey the orders of the superior
Implication of Theory Where no creativity or new ideas are
required from followers Where goal is clearly defined
Difference b/w Transactional Leadership and Transformational
Leadership
