Leadership styles | Developingleadership

Transformational Leadership

Transformational leadership is a leadership style which positively changes its followers. These leaders are generally energetic, enthusiastic and passionate. They are focused on helping in the success of every member of their team or followers, and therefore involved in the success process. This leadership has the ability to inspire followers to share a common vision, empower them to achieve the vision, and provide them with the necessary resources for developing their personal potential (Bass, 1996). These leaders serve as role models, bring out the confidence among followers, encourages confidence as well as focusing on the follower’s needs for growth (Bass and Avolio, 1994). They also help to transform their followers into becoming leaders themselves by creating a valuable and positive change in the followers (Bass, 1998).

The definition of transformational leadership is primarily based in terms of the leader’s effect on followers, and the behaviour used to achieve the effect (Yukl, 1999). The leader’s motivation is to lead first and get the organisation into the shape necessary to adapt successfully to external conditions, with a sense of mission to recreate the organisation to survive in a challenging external environment (Smith et al, 2004). The main initiatives of this leader are idealised influence, inspirational motivation, intellectual stimulation and individualised consideration. These initiatives lead to: role modelling, high ethical standards, concern for the needs of others, communication of expectations and sharing of ideas, innovations, risk taking, and sharing of visions. According to Smith et al (2004), transformational leadership in contracts, gives the leader some initiative in making decisions which is to help the leader to take some risks or to drop outdated practises.

According to Burns (1978), transformational leadership can be seen when leaders and followers make each other to advance to a higher level of moral and motivation. These leaders, through the strength of their vision and personality are able to inspire followers to change expectations, perceptions and motivations working towards common goals. Each subordinate are treated as an individual by these leaders and serves as instructors and trainers through delegation and learning opportunities. Whatever motivates each person personally, they try to discover and act on the discovery, therefore treating each subordinate differently. These leaders serve as role model by creating a developmental course toward its followers. They also show appreciation and give special attention to recruits and those who appear ignored or abandoned.

The approach of transformational leadership according to Burns (1978), creates significant change in the life of people and organisations. It redesigns perception and values, and it changes expectation and aspirations of employees and organisations. According to Bass (1985), because of the qualities of transformational leaders, the followers experience trust, admiration, has respect for the leader and therefore are willing to work harder than they are expected thereby helping to improve the organisation. This result occurs because the transformational leader provides followers with an inspiring mission and vision and gives them identity. He motivates followers through his inspirational influence such as charisma, intellectual stimulation and individual consideration. Research has shown that transformational leadership can enhance subordinate motivation and performance (Lowe, Kroeck, & Sivasubramaniam, 1996). One essential function of a transformational leader is to influence the organisation culture, structure, technology, and the management systems (Yukl, 1999). Bass (1996) proposed that transformational leadership is beneficial for followers and their organisation, regardless of the situation.

These are some elements of transformational leadership (Bass, 1998):

Individualised Consideration – This is the extent to which each follower’s needs are focused and attended to. The leader gives support, communicates openly and organises challenges that will help in the development of the organisation. The leader acts as a mentor or coach to the follower and offers listening ears to their concerns and needs. This gives the followers aspiration for self development and essential motivation for their tasks.
Intellectual Stimulation – This is the degree to which the leaders confront assumptions, takes risks and seeks ideas from followers. A leader with this style stimulates and encourages creativity among their followers. For such leaders, learning is valuable and they therefore nurture and develop people who dependently think for themselves and figure out better ways to execute their tasks. They are compelled to think about old problems in a new way.
Inspirational Motivation – This is the degree to which the leader articulates a vision that is pleasing and inspiring to followers with high standards. Inspirational leaders with motivation challenges followers with high standards, and make them aware on how bright the future ambitions are. The visionary aspect of leadership is supported through communication which makes the vision clear, more accurate, potent and appealing. The followers are willing to invest more of their efforts in tasks and are optimistic about the future and also believe in their abilities.
Idealized Influence – Transformational leaders act in ways that make them role models, well respected, admires and also trusted. Their followers identify and describe them as having extraordinary capabilities, being persistent and determination. These leaders are willing to take risk and can always be relied to do the right thing demonstrating moral standards.

Charismatic Leadership

Charismatic leadership theory is described based on the amount of leader influence over their followers and the type of leader-follower relationship that occurs (Conger and Kanungo, 1998). According to Weber (1947), he described charismatic leadership as how followers attribute extraordinary qualities (personality) to the leader. While Conger and Kanungo (1998) defined charismatic leadership in terms of amount of leader influence over followers and the type of relationship that exists between leaders and their followers, House (1977), defined it in terms of how the leader influences the attitude of their followers and motivations as well, without considering how the followers view the leader’s characters.

According to Conger and Kanungo (1998), the key behaviours of charismatic leaders include communicating an innovative strategic vision, caring and providing for member needs, taking personal risks and identifying constraints, threats, and opportunities. Some key behaviour according to Shamir et al (1993), include communicating an appealing vision, sharing prospective ideas, expressing and showing self confidence, and replicating exemplary behaviour. This leadership role derives its ability to see what is really important and therefore transmit a sense of mission to his followers.

This leadership style is mostly found in people throughout business and is based on extraordinary characteristics of a leader who inspires and directs followers by dedicating and committing themselves to a shared vision and values (Conger & Kanungo, 1998). Nevertheless, Trice and Beyer (1986) argued that charismatic leadership involves more than just extraordinary personal characteristics.

Organisations and is one of the elements which separates an ordinary manager from a true leader (Conger & Benjamin, 1999). Charismatic leaders serves as a symbol of success and accomplishment to others and this helps others by inspiring them to be like or better than their leader. They make their followers excited and interested about any assignments, command respect and inspire them to have a sense of purpose. Subordinates always have faith in charismatic leaders and are proud to be associated with leaders whom they trust to overcome any obstacle.

Charismatic leaders inculcates their subordinates with faith, pride which will make them stand out in the crowd, and respect among their fellow colleagues at work (Conger & Benjamin, 1999). Most charismatic theories highlight the acknowledgement of follower’s extraordinary qualities to the leader. These acknowledgements are determined jointly by character exhibited by the leader, subordinates, and situation. According to Shamir et al (1993), charismatic leadership is more likely to occur when the environment is not certain, when there is stressful crisis for the group or organisation, when the task is complex and unclear, when the organisation needs restructuring, and the leader has a high position power such as having control over some information in the organisation. Weber (1947) assumed that for an emergence of a charismatic leader, a crisis was necessary while Shamir et al. (1993) argued that a crisis facilitates the emergence of a charismatic leadership but is not a necessary antecedent condition. In the absence of a real crisis, the leader may be able to interpret events in a way that exaggerates environmental threats, or the leader may secretly sudden an event that makes a crisis look more imminent (Hunt et al. 1999).

Conger & Kanungo (1998) described five behavioural qualities of charismatic leaders that indicate a more transformational viewpoint:

Vision and communication
Sensitivity to member needs
Understanding the environment
Taking personal risk
Performing unconventional behaviour.

Musser (1987) comments that charismatic leaders seek to introduce both commitment to ideological goals, and also devotion to themselves. The motives and needs of the leader determine the extent to which either of the two goals is dominant.

Some similarities arise between transformational leadership and charismatic leadership styles in that transformational leader may well be charismatic too. Bass (1985) suggested that charisma is a necessary component of transformational leadership, but he also noted that a leader can be transformational without being charismatic.

Their main difference is in their basic focus. While the transformational leader has its focus in transforming the organisation and possibly their followers, the charismatic leader may not want to change anything (Conger & Kanungo, 1998).

The charismatic leader, despite their charisma and obvious concern, may be more concerned with themselves than anyone else in the organisation. Their values are highly significant and if their intensions towards others are good, they can elevate and transform an entire company. If they are selfish, they can create divisions among followers in an organisation (Musser, 1987). Their self belief is so high that they can easily believe that they are perfect and therefore lead their followers into the wrong direction, even when they have received adequate warning from others.

The side effects of Transformational Leaders in organisations

According to Yukl (2008), the side effects of leader behaviors on another performance determinant are negative rather than positive. For example, empowering employees to make decisions about how to do the work may increase their motivation and satisfaction (better human relations), but if employees are focused on improving customer service, the number of customers handled by each employee may decline (lower efficiency).

Most theories on transformational leadership are visualized primarily the dyadic level. While the major interest is to explain a leader’s direct influence over individual followers, some theories explain leader’s influence on group or organisational processes such as how well the work is organized to utilize employees and resources, how well the inter-related group activities are coordinated, the procurement and efficient use of resources, and external coordination with other parts of the organisation and outsiders (Yukl, 1998). The influence of these group processes by leaders is not explained very well by the transformational leadership theories.

Organisational processes also receive insufficient attention in most theories of transformational leadership. Leadership is seen as a key determinant of organisational effectiveness, but the causal effects of the behaviour of leaders on the organisational processes that ultimately determine effectiveness are rarely described in any detail. The possibility of negative effects on followers by transformational leadership theory has been noted by numerous writers. According to Yakl (1999), he argued that transformational leadership theory is biased towards favouring some stakeholders such as top management, customers, at the expense of others such as the employees.

Individual leaders can take advantage of their followers without even realizing it, by creating high level of emotional involvement when it is not necessary. Harrison (1987), anticipated that these followers can be subjected to such a high level of emotional involvement in the work and they become worn out by the prolonged stress at work.

Transformational leadership can also have some other negative consequences on organisations. If members of an organisation are influenced by different leaders with competing visions, it will result to conflicts in the organisation (Porter and Bigley, 1997). When there is cooperation needed to achieve organisational objectives, the result can be a decline in organisational effectiveness (Yukl, 1999).

Advice

There are some missing transformational behaviours which can be identified by examining other theories and research on effective leadership. The core transformational behaviours at the dyadic level of analysis should probably include inspiring (infusing the work with meaning), developing (enhancing follower skills and self-confidence), and empowering (providing significant voice and discretion to followers). Using the narrow definition of empowering here, and it means only power sharing (not actions to increase follower optimism and self-efficacy). At the group level of analysis, the core transformational behaviours should probably include facilitating agreement about objectives and strategies, facilitating mutual trust and cooperation, and building group identification and collective efficacy. At the organizational level of analysis, the core transformational behaviours should probably include articulating a vision and strategy for the organization, guiding and facilitating change, and promoting organizational learning.

In organisations where there are different leaders with competing visions, there will be conflicts and other members of staffs will have doubt in the role they play. Leaders who identify strongly with their team members and focus solely on its objective can improve their member’s motivation and workers performance (Porter & Bigley, 1997). When inter-unit or teamwork is needed to achieve organisational objectives, it could lead to a delay or decline in organisational effectiveness (Yakl, 1999). This is because in an organisation with leaders having groups or teams with the motive to focus on specific tasks each, it will help in division of labour and greater outcome will be achieved in the organisation compared to all teams and leader working together. Not only will it reduce the rate at which each tasks will be carried out (division of labour), it will also lead to conflict and disagreement amongst leaders (Porter & Bigley).

The side effects of Charismatic Leaders in organisations

Generally, there is confusion about the meaning of charismatic leadership based on the fact that there are differences on how it is defined by theorists (Bryman, 1993). This is due to the emphases which most charismatic theories lay follower attributions of extraordinary qualities to the leader. Charisma is also said to be temporary and it’s gained or lost as conditions change (Bryman, 1992). There is no clarification to what extent the same conditions that facilitates the acquirement of charisma are involved in its loss. It seems likely that attributions of charisma to the leader will diminish if the antecedent crisis in an organisation ends or if followers become more confident and capable of solving problems for themselves in the organisation.

Charismatic leadership implies radical change in the strategy and culture of an organisation, which may not be necessary or appropriate. They often fail to plan for a competent successor; therefore, it results to a new crisis when they depart (Sankowsky, 1995). When most charismatic leaders are given substantial authority or control with an appealing vision of a brighter future, they misuse the authority while the vision remains an empty dream.

One major problem with charismatic leaders is, ironically, their strength. In a situation when a company is moving in the right direction, the charismatic leader can facilitate the progress.

Reasons for Loss of Charisma in the leaders

Some possible reasons for the loss of charisma among leaders include decisions that result in apparent failure, when leaders betray followers, and the emergence of rivals who are even more attractive and credible than the leader.

When changes occur over a period of time in an organisation led by a charismatic leader, it could lead to a loss of charisma and the removal of a charismatic leader. Charismatic leaders who founded new organisation can become victims of their own success. According to Bryman (1992), this occurs in situations whereby the organisation grows larger and becomes more professional and focused, charismatic founders may be removed from office if their expertise is no longer exceptional and they lack the position power to ensure their survival.

Advice

There is the need to show more clarity and consistency in the use and definition of the term charismatic. The most useful definition seems to be in terms of attributions of charisma to a leader by followers who identify strongly with their leader. This definition maintains the original meaning of charisma and provides a foundation for differentiating between charismatic and transformational leadership (Yukl, 1999).