Question

Discuss the differences between transformational leadership and transactional leadership styles? Which is the best for developing employees

Answer 1

Transformational leadership motives employees by creating a positive and learning environment in the organization. This leadership focuses on morals, values, and ideas of the employees. It aims to change the existing culture of the organization into enthusiastic and stimulating environment. It develops feeling in the heart and mind of employees to meet the expectations of their leader.

Transactional leadership motivates employees by setting goals and rewards for them. Non-completion of goals leads to punishment for employees. Rewards and punishments are used to control employees. Employees are self-motivated and self-directive in this leadership. It is based on organizing, controlling, and planning for employees.

Transformational leadership is best for employees as it is proactive leadership while transactional leadership is responsive leadership. Proactive leadership aims to change and develop employees for future problems and issues. While responsive leadership deals with only present issues.