Discuss critically the relevance of transformational approach for effective leadership.

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Discuss critically the relevance of transformational approach for effective leadership.

        Nowadays, transformational leadership is considered a popular theory among the vast number of leadership theories that have evolved over the years. In the contemporary ever-changing world, situations often demand change and transformational leadership could possibly fit in that context. Its conceptual validity and relationship to effectiveness have been well established by numerous researchers (Lowe et al., 1996). Proper definition first came from James Macgregor Burns’ study (1978), which drew a distinct line between transformational and transactional leadership styles.

        Burns’ view of the transformational leader was that of someone who would be willing to instil vision to others and provide change so that leader and follower would both achieve a higher moral and motivational state. On the other hand, the transactional leader would be someone who would engage subordinates through an exchange scheme. Elaborating on that, Bass (1985) developed the Multifactor Leadership Questionnaire (MLQ). A tool, which has been used in a big number of studies to measure transformational leadership in relation to a variety of different parameters and outcomes including effectiveness. He also introduced ‘the Four Is’ that constitute transformational leadership behaviours (intellectual stimulation, idealized influence, individualized consideration and inspirational motivation).

        Lowe et al. (1996) conducted a meta-analysis of various studies where the MLQ was used which showed that transformational leadership behaviours correlated strongly with leadership effectiveness. Among them charisma (comprises inspirational motivation and idealized influence) was found to be the one most strongly associated with leadership effectiveness. Perhaps because of the way it is perceived and the traits that come to mind when one tries to relate it to transformational leadership. In addition, it highlighted the importance of transformational leadership not only for top level leaders but also those at lower levels of organizations.

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Transformational leadership essentially means change. This includes change not only to organizational culture but also the culture of people outside the organization (Tucker and Rusell, 2004). That in fact could be one of the characteristics used to describe a successful transformational leader. An organization or a firm can often find itself amid various interest groups (i.e. customers, employees, shareholders and local community). All with different interests aims and values. An effective transformational leader could possibly influence and motivate all of these parties in such a way that individual interest becomes common interest. Through this process, both the leader and followers ...

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