Transactional & Transformational Leadership

Central Questions:

1) How do leaders create and sustain change?

2) What style of leadership is needed to motivate people to undertake change?

Transactional Leadership

Based on the concept of exchange between leader and group membersLeader provides resources and rewards in

exchange for motivation, productivity, effective goal, or task accomplishments

2 Forms ofTransactional Leadership Contingent RewardContingent Reward

Positively reinforce appropriate behaviorsNegatively reinforce inappropriate behaviors

Highly ineffective and/or satisfying to all

Management by Exception (MBE)

Active MBEActive MBE: monitor groups and correct mistakes

Laissez-Faire MBELaissez-Faire MBE: leave group alone and only interact when there are challenges

The Downside of Transactional Leadership Low expectations Minimal accomplishments Low levels of satisfaction Focus is on short-term, immediate

outcomes only

Transformational Leadership

“The ability to get people to want to change and to lead change.”

3 Elements of Transformational Leadership

1) Inspiration and Charisma

2) Intellectual Stimulation

3) Individual Consideration

Inspiration and Charisma

Create an emotional bond between leader and group

How can you do this?

Intellectual Stimulation

Challenge the group to identify and solve challenges (out of the box)

Individual Consideration

Develop appropriate personal relationships with members

Treat members differently but equitably

Summary

1)1) Inspiration and CharismaInspiration and Charisma: builds and sustains an emotional bond that overcomes the psychological and emotional resistance to change

2)2) Intellectual StimulationIntellectual Stimulation: provides the new solutions and innovations that empowers members

3)3) Individual ConsiderationIndividual Consideration: encourages members because they actually know the leaders

Transcendent Leadership We are all connected. Humankind is We are all connected. Humankind is

not divided by false distinctions such not divided by false distinctions such as race, gender, or even culture but is as race, gender, or even culture but is one species with a multitude of one species with a multitude of histories and experiences.histories and experiences.

Transcendence involves

1. A climate of trust by walking the talk2. Information sharing transparency and

disclosure3. Meaningful participation in all aspects of the

event4. Collective decision making Consensus5. Protecting and valuing divergent views6. Redefinition of roles Associates

The Transcendent Leader

1. Reflective

2. Value-Centered

3. Global in perspective

4. Facilitator of dialogue and deliberation

5. Open-minded

6. Service above Self

Summary

Transactional = Give something to get something

Transformational = Go beyond self interests for the good of the whole

Transcendental = Service above self “To Rule or Govern is easy – To Lead is

Difficult.”