The paper “ Transactional and Transformational Leadership” is a thoughtful example of the literature review on management. In order to understand the two, it is important to define leadership. Leadership is associated with the management workers that are charged with giving inspiration, operational oversight, objectives, and as well as administrative service to an organization. Thus, effective leadership in a firm can help employees to prioritize their objectives as well as provide guidance towards realizing the firm’ s overall vision. As such, leadership occurs when a leader and the follower are in an exchange-based relationship.
For example, a manager may assign the subordinate some tasks and as a result discourse on the same based on the progress. Accordingly, the relationship’ s main objective is to meet the other party’ s needs. In addition, the relationship between the leader and the follower is often transitory. Ultimately, leadership is effective as long as the relationship between the leader and follower is of mutual benefitFiedler Contingency ModelDeveloped in the mid-1960s by Fred Fiedler, Contingency Model argues that there is a perfect style of leadership. Instead, one’ s leadership effectiveness depends on the situation. Transactional and Transformational LeadershipAccording to Burns (1990), Transactional and Transformational Leadership can be distinguished by how each leadership style motivates its followers.
Burns gives a general definition by asserting that the transactional leadership approach occurs when leaders in the organization motivate the workers in achieving goals through mutual exchange. For instance, leaders can motivate their workers by giving them bonuses for the organizational goals to be achieved. Conversely, Transformational leadership occurs when the leaders in the organization seek to appeal to their subordinates’ character and inspire workers to strive beyond the organizational goals. Transactional LeadershipMoreover, Transactional is based on leader-follower relationships or exchanges.
In effect, subordinates perform in accordance with the direction and will of their leaders, and in turn, the leaders reward positively for their efforts.
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