Transformational Leadership Case Study

CONTEMPORARY APPROACH

Based on the issue 3, the situation and the leadership applied to the organization can be related with the Contemporary Approach that have two leadership style which are Transactional Theory and Transformational Theory.

Transactional Theory vs Transformational Theory

I. Transactional Theory

Transactional Theory is a leadership style applied where the leader manage and control the follower in the normal condition where the leader make sure everything is normal and under control. The leader will solve the problem when something interfere the normal organization practice. All the leader out there will apply this leadership style because to make sure everything is under control is one of the responsibility of the leader.

Transformational Theory

Transformational Theory is a leadership style applied where the leader act as changing agents in the organization which the leader itself want to change and transform the organization to become better. The leader also try to develop role and commitment to the employee toward the achievement of the organization goal. This leadership style rarely applied in the organization because most of the organization just want to maintain the current practice unless for the organization that started want to transform to become big organization. There are four elements of transformational leadership which are:

a) Develop and communicate a strategic vision

The leader develop new strategies and challenging vision toward the achievement of the organizational goal. The vision must be what we expect the organization in the future and then discuss together with the employee to give them clear image what they have to achieve with the new vision and strategies of the organization goal. The leader also have to make the team cohension and relationship become strong and motivate the employee for together complete and achieve the organizational goal.

b) Encourage

In particular, leaders will clarify the path so subordinates know which way to go, remove roadblocks that are stopping them going there and increasing the rewards along the route.

Leaders can take a strong or limited approach in these. In clarifying the path, they may be directive or give vague hints. In removing roadblocks, they may scour the path or help the follower move the bigger blocks. In increasing rewards, they may give occasional encouragement or pave the way with gold.

This variation in approach will depend on the situation, including the follower 's capability and motivation, as well as the difficulty of the job and other contextual factors.

House and Mitchell (1974) describe four styles of leadership:

1. Supportive leadership

Considering the needs of the follower, showing concern for their welfare and creating a friendly working environment. This includes increasing the follower 's self-esteem and making the job more interesting. This approach is best when the work is stressful, boring or