This is a power point presentation which includes the comparison between the transactional and transformational leadership

1. Transactional
and
Transformational
Leadership
MEENU SAJEEV

2. Transactional Leadership
• Transactional leadership or transactional management is a part of a
style of leadership that focuses on supervision, organization,
and performance.
• Transactional leadership is a style of leadership in
which leaders promote compliance by followers through both
rewards and punishments.
• Through a rewards and punishments system, transactional leaders
are able to keep followers motivated for the short-term.
• The transactional approach are not looking to change the future,
they look to keep things the same.
• Leaders using transactional leadership as a model pay attention to
followers' work in order to find faults and deviations.
• This type of leadership is effective in crisis and emergency situations
as well as for projects that need to be carried out in a specific way.

3. CHARACTERISTICS
• Setting a clear goal.
• Create targets for each individual and the team.
• Spot performance gaps.
• They won’t trust their followers, they monitor their
performance.
• They take corrective actions when necessary.
• They gaining promise to performance and tasks through pay,
reward, appreciation and honor.

4. Transformational Leadership
• Transformational leadership is a leadership style in which
leaders encourage, inspire and motivate employees to
innovate and create change that will help grow and shape the
future success of the company.
• This is accomplished by setting an example at the executive
level through a strong sense of corporate culture, employee
ownership and independence in the workplace.
• Transformational leaders inspire and motivate their workforce.
• It’s a management style that’s designed to give employees
more room to be creative, look to the future and find new
solutions to old problems.
• Encourages the motivation and positive development of
followers.

5. COMPONENTS
• Idealized influence: Being role models for their followers and
the leaders are admired, respected, and trusted.
• Inspirational motivation: Team spirit is aroused and the
leader creates clearly communicated expectations that
followers want to meet and also demonstrates commitment
to goals.
• Intellectual stimulation: Creativity is encouraged and
encourage their follower’s hard work to be inventive and new,
modern by questing assumptions, reframing the troubles, and
approaching mature situations in new or different ways.
• Individualized consideration: Trace over individual talents and
they pay special focus to each individual’s needs and to help
them achieve their higher level needs.

6. Differences
Transactional Leadership
• Leadership is responsive.
• Works within the
organizational culture.
• Employees achieve
objectives through
rewards and
punishments set by the
leader.
Transformational Leadership
• Leadership is proactive.
• Works to change the
organizational culture by
implementing new ideas.
• Employees achieve
objectives through
higher ideals and moral
values.

7. Differences
Transactional Leadership
• Motivates followers by
appealing to their own
self-interest.
• Management-by-
exception
Stress correct actions to
improve performance.
• Intellectual stimulation
or motivation is zero.
Transformational Leadership
• Motivates followers by
encouraging them to put
group interests first.
• Individualized
consideration
Each behavior is directed to
each individual to express
consideration and support.
• Intellectual stimulation
Promote creative and
innovative ideas to solve
problems.

8. THANK YOU