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Studies have shown transformational leadership practices lead to higher satisfaction with a leader among followers and greater leader effectiveness, while one transactional practice (contingent reward) leads to higher follower job satisfaction and leader job performance.
In contrast to the two above leadership styles, transformational leadership follows a different, more long-term oriented philosophy: Short-term, egotistic goals, are substituted by long-term, higher-ranked values and ideals. This paradigm change usually increases commitment, self-confidence, and employee satisfaction. [8]
This particular leadership style is commonly used in organizations, due to its positive outcomes such as higher work engagement, motivation, and creativity in employees. [34] Parker and Mason's 2010 study introduced a relationship between transformational leadership with work adaptation and work performance. [32]
Transformational leadership behaviors include “core” transformational leadership behaviors, articulating a vision, providing an appropriate model, fostering the acceptance of group goals, maintaining high performance expectations, and fostering intellectual stimulation. Empirical evidence indicates positive and significant relationships ...
During this period of widespread rejection, several dominant theories took the place of trait leadership theory, including Fiedler's contingency model, [16] Blake and Mouton's managerial grid, [17] Hersey and Blanchard's situational leadership model, [18] and transformational and transactional leadership models. [19] [20] [21]
Transformational leadership can motivate employees by appealing to their ideals and moral values, which in turn leads to a more effective and meaningful work environment. Transformational leaders create shared organizational value through "inspirational communication, ongoing practices, setting meaningful goals and designating significant work."
Transactional leadership (or transactional management) is a type of leadership style that focuses on the exchange of skills, knowledge, resources, or effort between leaders and their subordinates. This leadership style prioritizes individual interests and extrinsic motivation as means to obtain a desired outcome. It relies on a system of ...
The leader–member exchange (LMX) theory is a relationship-based approach to leadership that focuses on the two-way relationship between leaders and followers. [1]The latest version (2016) of leader–member exchange theory of leadership development explains the growth of vertical dyadic workplace influence and team performance in terms of selection and self-selection of informal ...