Transformational Leadership

by Ken Valenzuela, BeALeader.Net's Chief Editor

ransformational Leadership has been defined as a process that changes individuals. It has to do with emotions, ethics, values, long term goals, the needs and motives of the followers, and of course, the needs of the leader. (Northouse, 2004)

Transformational Leadership is characterized for an exceptional level of influence that leads the followers to perform well beyond what is usually expected of them. It incorporates charismatic and visionary leadership also.

Transformational Leadership places attention on the leader’s transforming abilities, rather than on personal characteristics and follower relations (Lussier & Achua, 2004).

Transformational Leadership in Research

The term “Transformational Leadership” was coined in 1973 by J.V. Downton in his work Rebel leadership: Commitment and charisma in a revolutionary process.

Since the 1980s Transformational Leadership has been the focus of much research. By 2001, K.B. Lowe & W.L. Gardner, found that one third of the research made was about transformational or charismatic leadership.

The ideas behind Transformational Leadership are based on the works by J.M. Burns, and B.M. Bass.

Transactional And Transformational Leadership

The essence of the transformational leadership theory is the distinction between transformational and transactional leadership. Both types of leadership are defined in terms of the component behaviors used to influence followers and the effect of leaders on the followers (Yukl, 2002).

A third type of leadership laissez-faire leadership has also been included to identify leaders that do not exhibit transformational or transactional behaviors.

Transformational Behaviors

• Idealized Influence: Leaders that exhibit this behavior are the strong role models for followers. These leaders usually have very high standards of moral and ethical conduct. They provide followers with a vision and a sense of mission.
• Inspirational Motivation: Leaders that exhibit this behavior are able to communicate high expectations to followers, and inspire them to commit to the shared vision of the organization. These leaders enhance team spirit, using pep talk and encouraging words.
• Intellectual Stimulation:Leaders that exhibit this behavior stimulate followers to be creative and innovative, to challenge established standards, and to test new approaches in solving issues inside the organization.
• Individualized Consideration:Leaders that exhibit this behavior provide a supportive climate to listen to individual needs of the followers. They also act as coaches and advisers to help the followers grow in their professional development.

Transactional Behaviors

• Contingent Reward:The efforts of the followers are valued in specific rewards. The leader then tries to establish a payoff for the necessary efforts to do the job. Clearly it’s a transaction.
• Management by Exception:When deadlines, standards or metrics have not been met, then the manager comes in. It has to do with corrective criticism, negative feedback, and negative reinforcement. It takes two forms, active and passive.
  The active form includes behaviors that tend to “correct” the mistakes as soon as they appear, on a daily basis, or as often as the process can be monitored.
  The passive form, has to do with the measures taken after the standard or process has failed.

Laissez-faire Behaviors

• Laissez-Faire:This behavior is basically linked to a leader who does not perform as one, that is, leadership absence. The leader abdicates responsability, delays decisions, gives no feedback, and makes little or no effort to satisfy followers needs.

Transformational Leadership in Practice

For this approach to work the leader has to work on his or her personal characteristics, build a strong set of values. They have to pay great attention to their behavior. In that way they can opt to become strong role models to their followers.

The leader has to develop a vision, that takes into account the collective interests of individuals within the organization. Without vision there’s not transformational leadership.

After developing the vision, the leader has to share that vision back to the organization and make it happen.

A great transformational leader is a “social architect”, the leader is involved in the culture of the organization and help shape its meaning.

Ups and Downs of Tranformational Leadership

The Up Side

• It’s intuitive, the appeal of the approach is based on the common conception that a leader has to provide a vision, has to be out front advocating change for others.
• Leadership is a process that occurs between leaders and followers, as such both parties are involved in developing and nurturing the relationship. The needs of others are fundamental for transactional leadership.
• It works, there’s a lot of evidence to prove that transformational leadership works.

The Down Side

• Not too clear, lacking conceptual clarity is one of the criticisms to this theory. There are so many areas in which the leader can be of influence that is not clear what parameters take into account to perform a clear measure of it.
• It’s elitist and antidemocratic. Because of the prominent positions leaders have inside the organization, and their role in changes, establishing visions and advocating new directions, some say the leader might be acting on his/her own and placing himself or herself over the followers needs.

Summary to Tranformational Leadership

With its roots in 1973 when the term was first coined, transformational leadership has been since the 1980s and has been the subject of many studies since then.

The key to understand Transformational Leadership is that it takes into account the followers needs and encourages the followers to become the best they can.

There are 4 basic behaviors that transformational leaders exhibit: Idealized influence, Inspirational Motivation, Intellectual Stimulation, and Individualized Consideration.

Leaders that exhibit Transformational Leadership behaviors are perceived as more effective, and with better work outcomes. Transformational leaders move followers to accomplish more than what is expected of them. (Northouse, 2004).

Further Investigation and References

Northouse, P.G. (2004) “Leadership Theory and Practice” (3rd Ed)
Sage Publications

Lussier, R.N.; Achua, C.F. (2004) “Leadership: Theory, Application, Skill Development” (2nd Ed)
South-Western

Yukl, G.A. (2002) “Leadership in Organizations” (5th Ed)
Prentice-Hall