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Leadership: Transactional vs. transformational

by Ronald Claiborne

Created on: June 24, 2009   Last Updated: July 02, 2009

Learn how to become an effective leader using the transactional or transformational leadership model or a combination of models to achieve your purpose. You can improve your leadership skills through understanding what each leadership model consist of and through learning how to apply them to your situation.

Improving your leadership skills can help you save time, save money, and cut cost by improving your effectiveness in running your organization. Transactional leadership occurs when something of value is exchanged between two parties and transformational leadership occurs when followers willingly comply with leadership (Kuhnert, and Lewis, 1987). Becoming an effective leader will require applying the six steps to effective leadership of clarifying your center, clarifying what is possible, clarifying what others can contribute, supporting others so they can contribute, being relentless, and measuring and celebrating progress to your chosen leadership style (Clawson, 2006). Clawson (2006) points out behaving as and becoming an effective leader is a secondary by-product of an intense commitment to a purpose.

Transactional leadership, for most leaders, is easier to learn and use because it comes to them naturally and has been ingrained through various levels of social functioning from families, to schools, and other institutions (Antonakis, 2008). Transactional leadership is based upon rewarding desirable behavior and outcomes and sanctioning undesirable behaviors and outcomes (Antonakis, 2008). Transformational leadership according to Antonakis (2008) uses actions that are values-based, visionary, inspirational, emotional, intellectually stimulating and charismatic.

Transformational leadership is different from transactional leadership because it is not ingrained in the cognitive mind. There are some guidelines for implementing the transformational leadership model. These guidelines include articulating a clear and appealing vision, explaining how the vision can be obtained, acting confident and optimistic, expressing confidence in followers, using dramatic, symbolic actions to emphasize key values, and leading by example (Yukl, 2006).

Learning to be successful in using either the transactional or transformational leadership model will require you to draw upon your inner strength to achieve success. Leading from your strength involves knowing your own strength, build a support system of people and processes that support your strengths and strengthens

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