Critically Assess How Transactional And Transformational Leadership Affects Workforce Behavior

Transactional Leadership

The essay describing about what leadership is and how transactional and transformational leadership affects the workforce behavior. The task also highlights the differences that are present between transactional and transformational leadership. It shows how transactional and transformational leadership is helpful in an organization and the possibilities that it will be effective if they are combined together by the leaders. The two types of leadership make smooth functioning of the business possible. It is considered as an effective way of doing business. The task further provides help in knowing how these types of leadership is seen working in an organization. The task therefore draws the relation between transactional and transformational leadership style and the way it is and it can be practiced in an organization. More detail of the task has been drawn below.

Transactional leadership is a style that focuses on supervising, organizing and performing. In this type of leadership, leaders are responsible for promoting the idea of working with the help of rewards or even the punishments (Wang, Oh, Courtright & Colbert, 2011). Transactional leadership style does not really focus on changing the future rather it works on the already existing team. Leaders work on developing the same environment without making much change in it. They are responsible for managing larger operations and international projects. It is dependent on self- motivated people who help them in supervising, organizing and performing for better functioning. The leaders are the workers work together to achieve the desired goals (Jogulu, 2010).

Transformational leadership is a style which focuses of transforming the environment of business by bringing in new changes. It uses a leader along with its subordinates to work together on a group in order to identify the changes that are needed in the business. The leadership style focuses on enhancing the growth of an individual, motivates them, and increases their job performance. The teams work together to bring out the change in business in a positive way. The leaders under this style teach the worker to accept the challenges and overcome their weaknesses by strengthening their capability of doing work. Transactional leadership guarantees the growth of an individual (Warrick, 2011).

Leadership style means analyzing, advocating, encouraging and motivating people of the organization to effectively run the business.

Strategy plays a very important role in decision making. Leadership style helps in managing the business in a strategic manner. It is an efficient way for the company to motivate and encourage their employees towards the work and brings out there in a capability of walking with the organization with proper and true loyalty and honesty. It is a way of building business with a professional approach in a systematic manner. In this way, it affects the workforce behavior at the workplace. Leadership style also helps the company in showcasing their practical approach in running a business. Transactional and transformational leaders are two types of leadership style that focus on managing and organizing the performance of business by motivating the employees. There is a huge involvement of both the styles in affecting the workforce behavior. These leadership techniques are used when there is a misconduct and misbehavior are going on among the employees and there is a need of finding a solution to it. Employees seek various solutions to resolve the issues from its leaders. The leaders are therefore responsible in finding a proper solution to those problems. Many a times it happens that the work given to the employees becomes burdensome and heavy. In order to avoid this company usually looks for leaders who are motivated and can also motivate others. Values play an important role in assisting company in achieving the target (Birasnav, 2014).

Transformational Leadership

Transformational leaders are responsible in developing the feeling of honesty, hard work, liable, confident, etc. These leadership style helps in managing the work force by encouraging them and fulfilling the needs of the employees. These two leadership style shows indirect and positive impact on the behavior of employees. It creates job satisfaction among them. The impacts are seen with the help of leaders who make these employees realize about the inner strength that they possess which can help them in achieving the target in an effective way (Dumdum, Lowe & Avolio, 2013). Employees need a timely motivation from the leaders in order to work efficiently to achieve the target. Leaders of the company are made on the basis of their managing skills, their professionalism, attitude, values, capability of managing work and ability to guide their subordinates. Employees being the important part of business needs to be guided at every point as no business can run without the involvement of employees. This also develops confidence in the employees and increases their willingness to work. It helps in transforming the overall culture of the business in a smooth manner. Leaders provide a platform to the employees to keep their opinion and express their views (Zacher, Rosing & Frese, 2011). The styles of leadership teach them to work in a planned manner to achieve organizational goals and targets. It helps the organization to build the business in a systematic manner by teaching the values to its employees.

Transformational leaders make the employees self sufficient and fill them with motivation. This helps them in putting their efforts to make the business grow and flourish on the large scale. It helps in achieving organizational effectiveness with a qualitative approach (Antonakis & Day, 2017). With its increasing graph it also increases the performance of the employees. Leaders of the company do not make the employees feel alone and share their burden. This helps in making the organization effective and proactive. Hence, transactional and transformational leadership style plays a very important role in affecting the behavior of the employees. This changing behavior in employees becomes effective for the organization. It helps the company to grow towards the high standards of business. It is easy and a systematic way of encouraging workers to generate good outputs from the inputs provided to them (Zopiatis & Constanti, 2010).

Transactional leadership focuses on the concept of working together with its followers to achieve the target goals of the business. The concept of transformational leadership on the other hand focuses on the values, ideas, opinions, thinking and needs of those followers. Transactional leadership has only one leader who is responsible in controlling the team, whereas, transformational leadership can have more than one leader. Transformational leadership focuses on planning and executing the functions responsible for managing the environment of business, but in case of transformational leadership the focus lies of innovation. The motivation tool for transactional leadership is attracting followers by analyzing and putting their self interest on top. Transformational leadership stimulates group interest prior to anything as a motivational tool. These differences makes these two types of leadership style different from each other and help the organization to function better by motivating the employees in a proper and professional manner. Transactional leadership attracts the employees who are willing to work in the conditions of organizations. They welcome the opportunities and accept the challenges which in a way influence the behavior of the workforce (Simola, Barling & Turner, 2010).

Leadership Style and Strategy

Difference between transformational and transactional leadership

Many organizations combine these two leadership styles in order to achieve effective result. They focus on recruiting self motivated employees under transactional leadership style and also seek for values, ideas, creativity, and other qualities that are considered helpful in motivation. These two leadership style brings in the idea of transforming the culture of business by selecting employees who can work for the betterment of the company (Riaz & Haider, 2010). Leaders of the company usually looks after combining both leadership approaches as it can be beneficial for the company to run the business by focusing on all ground levels. Combing the styles can be effective as it becomes easy to manage the teams by hiring not just one leader but more than one leader for the group. Transactional and transformational leadership possess their separate qualities. These qualities can become an advantage for the company in different areas. The company can implement both the leadership style as needed. Hence combining the leadership approaches can develop the chances of running the business effectively and efficiently (Giltinane, 2013).

It is concluded that transactional and transformational leadership styles play a major role in encouraging workers.  Transactional leadership style provides organization with eligible workers who are self motivated and confident and transformational leadership seeks for the values and morale that is present in the individuals who can work in a team. These styles possess the quality of motivation which can help in managing the business on a large level. Both the styles are different from each other with one common similarity of possessing the technique of motivation.

References

Antonakis, J., & Day, D. V. (Eds.). (2017). The nature of leadership. Sage publications.

Birasnav, M. (2014). Knowledge management and organizational performance in the service industry: The role of transformational leadership beyond the effects of transactional leadership. Journal of Business Research, 67(8), 1622-1629.

Dumdum, U. R., Lowe, K. B., & Avolio, B. J. (2013). A meta-analysis of transformational and transactional leadership correlates of effectiveness and satisfaction: An update and extension. In Transformational and Charismatic Leadership: The Road Ahead 10th Anniversary Edition (pp. 39-70). Emerald Group Publishing Limited.

Ghasabeh, M. S., Soosay, C., & Reaiche, C. (2015). The emerging role of transformational leadership. The Journal of Developing Areas, 49(6), 459-467.

Giltinane, C. L. (2013). Leadership styles and theories. Nursing Standard, 27(41).

Jogulu, U. D. (2010). Culturally-linked leadership styles. Leadership & Organization Development Journal, 31(8), 705-719.

Riaz, A., & Haider, M. H. (2010). Role of transformational and transactional leadership on job satisfaction and career satisfaction. Business and Economic Horizons, 1(1), 29-38.

Simola, S. K., Barling, J., & Turner, N. (2010). Transformational leadership and leader moral orientation: Contrasting an ethic of justice and an ethic of care. The Leadership Quarterly, 21(1), 179-188.

Wang, G., Oh, I. S., Courtright, S. H., & Colbert, A. E. (2011). Transformational leadership and performance across criteria and levels: A meta-analytic review of 25 years of research. Group & organization management, 36(2), 223-270.

Warrick, D. D. (2011). The urgent need for skilled transformational leaders: Integrating transformational leadership and organization development. Journal of leadership, Accountability, and Ethics, 8(5), 11-26.

Zacher, H., Rosing, K., & Frese, M. (2011). Age and leadership: The moderating role of legacy beliefs. The Leadership Quarterly, 22(1), 43-50.

Zopiatis, A., & Constanti, P. (2010). Leadership styles and burnout: is there an association?. International Journal of Contemporary Hospitality Management, 22(3), 300-320.

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