"Transactional leaders focuses on the role of supervision, organization, and group performance. They are concerned about the status quo and day-to-day progress toward goals. Transformational leaders work to enhance the motivation and engagement of followers by directing their behavior toward a shared vision."
Transactional leadership is a leadership style where the goals and objectives are clearly stated, structured, and very organized. The management style is very authoritative where the leader-follower chain of command is clear. Transactional leadership focuses on results, conforms to the existing structure of an organization and measures success according to that organization’s system of rewards and penalties
Transactional leaders:
Bill Gates: “The first rule of any technology used in a business is that automation applied to an efficient operation will magnify the efficiency. The second is that automation applied to an inefficient operation will magnify the inefficiency.”
-As a transactional leader, he used to visit new product teams and ask difficult questions until he was satisfied that the teams were on track and understood the goal.
Transformational leadership is where the leader acts as a role model and a motivator who offers vision, excitement, and encouragement.
Transformational leaders:
Nelson Mandela: “Be a life long student, read as many books as possible.”
-The transformational approach analyzes the leader-follower interaction and examines how certain leaders are able to motivate followers by inspiring and empowering them towards achieving a common vision through a strong sense of purpose and commitment.
