Mc Gregor's Transactional Leadership Theory

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Leadership as defined by Northhouse (2007;3), is a process whereby an individual influences a group of individuals to achieve a common goal. In organizations, the success of the organization is determined by the ability of individuals to realize and have the same direction in following this common goal usually due to influence. Because of such, a number of leadership theories have been propounded over the years which have sought explore different dimensions of leadership in trying to come up with a panacea for problems which arise in organizations due to leadership. Amongst these theories and concepts are The traits theory of leadership, transformational leadership, transactional leadership, Mc Gregor’s theory X and Y. This paper
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Transactional leaders is one in which leader-follower relationships are exchange based, that is both followers and leaders perceive each other as a means to their ends, that is they perceive each other as potential instruments to each other’s goals and needs in the accomplishment of asks and goals (Bass, 1990). Another theory which follows an almost similar perspective to that of the Transactional leadership style is the Transformational Leadership theory, this theory seeks to explain the extraordinary influence and effects leaders may have on their followers. Unlike transactional leadership which is mostly based on materialistic rewards from the leader for the accomplishment of tasks by the followers. For transformational leadership to exist, there should be first personal identification of the goals of the leader which motivates followers to exert high levels of commitment and…show more content…
According to Pastor and Mayo (2006), Charisma is a relationship bond between the leader and the followers. Charismatic leaders can instill a sense of dynamism, power and confidence to team members by articulating an organization’s long term goals and exhibiting confidence in their followers.
The third concept is intellectual stimulation, this refers to the behavior by leaders of questioning assumptions made by their followers. This is done so as to help them rephrase their problems and to enable them to approach old problems differently. Intellectual creativity helps create a sense of creativity among followers in overcoming obstacles which they face in their organization’s activities.
The last concept on transformational leadership is personal and individual attention. Individual attention refers to the attribute of the leader of showing concern for their followers through personal interaction with them. Once a leader shows concern and communicates with followers at personal level then the leader is perceived as approachable and friendly. This creates a bond between the leader and the followers which can play a crucial role in ensuring the fulfilment of the organization’s
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