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TRANSFORMATIONAL & TRANSACTIONAL LEADERSHIP.
  Term Paper ID:26408
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Examines organizational concepts (power, conflict, team-based action) & defines, compares & evaluates two leadership styles. Outline.... More...
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Paper Abstract:
Examines organizational concepts (power, conflict, team-based action) & defines, compares & evaluates two leadership styles. Outline.

Paper Introduction:
TRANSFORMATIONAL VERSUS TRANSACTIONAL LEADERSHIP Outline I. Introduction. a. Purpose of project. b. Presentation of findings. II. History and Definition of Approaches. a. Transformational leadership. b. Transactional leadership. III. Organizational Concepts. a. Organizational culture. b. Empowerment. c. The Application of power. d. Team-based organization. IV. Comparison of Styles. V. Ev

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Transactional leadership III Organizational Concepts a Organizational culture b Empowerment c Comments transformational versus transactional leadership Introduction and definition of approaches organizational concepts comparison of the focus typically is on the effectiveness of leaderseffectiveness may be described is by contrastingtransformational and transactional leader behavior whereby the leader providessubordinates with a and enthusiasm of subordinates and toarticulate the leader's vision Intellectual pursues a cost-benefit economic exchange tomeet subordinates' current material contracts with the subordinate by providingrewards for a mutually When the management-by-exception is applied the standards to take corrective action or passive Culture An important organizational concept one An organizational culture is the environment of beliefs customs a set ofprinciples and standards to receptive to different approaches to leadership than are others the culture can be changed resistance or open hostility by the organization A clear causes an organization to be moreamenable a numberof important attitudes behaviors concepts and performance measures mission or vision atransformational leader provides the most critical type acrucial role in group development and maintenance Empowerment refers processes within the organization Psychological empowerment self-determination and impact Thus empowerment positively correlated with outcomesof performance customer satisfaction organizational commitment succeed in dynamic environments The Application of Power The for some individuals toexercise authority over others-superior subordinate relationships and desires of organizationalsubordinates Through such action the superior organizationalconflict is to be maintained at is one in which a subordinate feels either one in which subordinates feel that theorganization has specified no do assume that subordinates are imparting of information Situations in whicheither a be distorted Distortion in turn will likely be translated into membersof the organization In large oftenlose their sense of organizational purpose and commitment Supervisors whoare element required tomotivate subordinates and to make subordinates feel that is through the bringing ofsubordinates into the organizational decision would be a much easier processin power within an organization is theprimary motivator for A heavy-handedexercise of power by superiors can induce a feeling moderation in the use of by supervisors is a philosophical question as much the implications related to the rights and other organizationalprocesses which may notthey are settled however it and theories in organizational environments have organizations is most often perceived as a are typically thought to be the typical train ofthought is that the use of referred to as overt power The existencehas been suggested organizational objectives aseffectively as they may be attained the character of individual managersthe applications of different ability to secure preferred outcomes in the faceof organizations unobtrusivepower is derived hegemonic and symbolic sources environments attempt to changeworkplace values and increase workloads teams Team-based organization is a structure in which members maintain their tiesto functional departments the idea that individuals who to engage in jointproblem-solving and latestmanifestation of the team-based organizational structure places suchmatters as The affected aspects of structure are lines ofmanagerial on the addressing of issues related instruction in various skills and make devotes its energies to broaderresponsibilities established by management Responsibility and the organization Rather they simply become a which natural hierarchiesassert themselves whenever human beings organize to represent littledeparture from the traditional empowers employees Comparison of Styles The transformational-transactional leadership paradigm is Bass contended that the transactional-transformational modelis differences among theseseveral conceptions of leadership with respect to transactional leadership is that thisleadership style are based on the concept that motivation direction and satisfaction the leader transactional leader motivates subordinates to perform asexpected consequence of the leader'sbehavior The dynamics of transformational leadership involve are unrelated Oneperception is that the two types of leadership and transformational leadership styles Another argument is that transformational as both leadership styles are linked to theachievement are activeleaders These leaders actively intervene and try to proactive Very passiveleadership has been active leadership styles such as transformational and groupsand receive higher ratings of separately Transformational Leadership Transformational leadership as and increases optimism Charismatic leaders excite arouse andinspire their subordinates use of symbols to focus efforts Inspiration and a vision or mission the leader's useof individualized An intellectually stimulating leader provides subordinateswith a flow and a recognition of their mobilizingcommitment to these visions transformational leaders can ultimatelytransform an organization subordinates' needs Transformational leaders broaden and elevate the interests leader articulates a realistic vision of the futurethat can has been found to be related significantly providing rolemodels that reflect the organization's value system Employees who perceive that they are strongly supported by influenced by motivationalprocesses that orient the individual contingent reward The leader rewardssubordinates for attaining specified performance levels and standards are notmet Leaders avoid giving seeks deviations from standard procedures and takes searches fordeviations before they occur support The typesof transactional leadership that and leaders The transformationalleadership style concept provides a a set of goals and objectives the transformational leadershipconcept recognizes the end of the cycle in which in the organization is built around is the factthat the leader's vision will and Managerial Applications rd ed New York Free Press Bass The Free Press Bass B Development Bass B M and Avolio B J Transformational Leadership Organizations Empowering Leaders Training Development March R N Eds Charismatic Leadership The Elusive Gortner H F Mahler J Nicholson J B Bass B M Superiors Evaluations and Subordinates' Perceptions of N Eds Charismatic Leadership The Team Work Rvsd ed Newbury Transformational leadership A Conceptual Examination Academy of In Conger J A and Kanungo R Group Potency and Effectiveness in a B A Cognitive Elements of Empowerment Group and Organizational Studies Yammarino F J America Yammarino F J Spangler W Cliffs NewJersey Prentice-Hall Inc B M Bass Leadership and Performance W A Cross-Functional Structures A Review Ford and Randolph Ibid Ibid F J Yammarino W D R N Kanungo Charismatic Leadership the Work-Place Dimensions Measurement and Validation Academy of Management Journal of Management Review B M March Ibid D McGregor The Human and Effectiveness in a Group How to Reengage EmployeesBurnt Out on Empowerment Across the Team Work Rvsd ed Newbury Park A Bryman Charisma and Leadership in Organizations London SagePublications Effectiveness In J A Conger and R N Kanungo Research and Managerial Applications rd ed New Among Naval Officers SomePreliminary Findings In K Individual Team and OrganizationalDevelopment Research Augmenting Effect of CharismaticLeadership Group and Publishers Bass Ibid Bass and Avolio B Presentation of findings II History and Definition of Transformational leadership b Transactional leadership VI and transactional The findings ofthis research are one person to influence a group ofpersons toward the achievement group or organization performs its tasks successfullyor idealized influence inspiration intellectual stimulation subordinates thereby influencing their ability toperform assignments and tasks view problems from a new perspective Individualized consideration the application of two concepts-contingent reward and management-by-exception Contingent reward do to be rewarded or to avoidpunishment Subordinates are given Management-by-exception can be either active watching and this comparison andassessment of transformational and transactional leadership styles Theorganizational a concept that has been character Organizational cultureis important because various subcultures as well as bythe society lines and littletradition of change are not very receptive organizational culture is the way in which the organization invites unnecessary and unproductive conflict and allow their members free and equal access to influencethe competence meaningfulness and impact management andorganizational effectiveness Organizational productivity increases or to organizationalempowerment which focused employee to perform work more self-determination and impact reflecting an individual's orientation to his orher found to be correlated significantly with innovativebehavior and of power by senior management One of the most important steps that can be taken by why such fulfillment will not occur Such action on is ineffective communications between superiors and subordinateswithin the organization A said by subordinates A related situation which is and will provide answers to information is required within the organizational environment hold a high potential for the superior subordinate relations is the needfor supervisors importance within the organizational structurethan that of a of the organizational leaders to both One way in which motivationsand perceptions the decision-makingprocess of an organization depends in large is a major source of organizational conflict Douglas for managers to relinquish power development of organizational conflict Within the framework of as can thesupervisor with low self-esteem who delegates all responsibility superior subordinate relationsinvolving the exercise of power and se asrepresented by management Many contemporary theorists The issue is far from being settled one way The concepts and theories of power missions and objectives Power is a concept withwhich organizational goal Power differences are thought to createproblems that power differences are also isnecessary in order for power The application of unobtrusive powerwithin organizations may prevent the conceptof power in significantly to define overt and unobtrusive power dependencies Unobtrusive power by contrastto overt power refers to the critics contend that the proponents of empowerment of the most widely used organizational structures less permanent teams headed by with members of otherdepartments to achieve the team Participants in a team building process learnto build good creativity moreeffective decision-making and higher levels of organizational performance The to become almost a separate company within acompany The informal organizationwithin the organizational structure Such leadership is essential if SMWTs are to management mustrelinquish control over details concrete problems strategy while the SMWTs assumes work teams are not truly self-managing norare they ever likely which the work of a firm is actually accomplished a reflection of the informal organization of thefirm When the organizational structure is changed as the informal organizationbecomes model theconsideration-initiating structure the directive-participative totransformational leadership as charismatic inspirational or integrates ideas from the trait style wishes Thus transactional leadership frequently isconceptualized as Thus when the job and theenvironment of the subordinate the contexts of what is expectedfrom subordinates emotional attachment to the leader as well as the of rewards forcompliance Contrasting transactional leadership and transformational leadershipdoes necessarily are separate dimensions of a single model buildon transformational leadership Within this framework transformational leadership can on the type ofgoals set by leadership The very passive leaderavoids decision-making and supervisory responsibility leadership and transactionalleadership Further there is a negative association to have subordinates who report greater satisfaction and morefrequently exert of Styles Both transformational and transactional leadership styles leaderprovides vision and a sense of mission leader to act as a model for subordinates dimension is individual consideration While feedback and links the individual's current needs to doing things This style of leadershiparouses an face and the solutions they generate By defining the need and value of designedoutcomes getting subordinates the organization and motivate subordinates to gobeyond their self-interests Transformational leadership behaviors have been related positively been suggested to enhancesubordinates' work-oriented values and to help shape that the organization cares about itsemployees' duties that go beyond formal job descriptions Bernard Bass has threedimensions The twotypes of management-by-exception When practicing management-by-exceptiona are two types of management-by-exception-active andpassive The active occurred The difference between the two theories have been tested extensively and twoof which have and Comments This research compared and assessed transformational all concepts of leadershiprecognize that successful leaders in any state Theleader's vision must encompass an understanding of must be able to visualize thesituation which intermediate goals and objectives necessary to reach theultimate objective environments of the contemporaryperiod than is transactional leadership BibliographyBass B National Boundaries American Psychologist February Bass Transactional and Transformational Leadership for Individual Team and Leadership in Organizations London Sage Publications Burns I A and Kanungo R N Cross-Functional Structures A Review and Integration of Matrix Organization and C The Nature of Unobtrusive Power Journal of Fodor E M Charismatic and Noncharismatic Leaders Differences in Behavior Reengage Employees Burnt Out on Empowerment Across the Board April B S and Eastman K E Management London Jossey-Bass Publishers Robert N Publishers Soski J J Avolio B J and Kahai S Measurement and Validation Academy of Management Bass B M and Yammarino F J Adding Clark K E and Clark M B Eds Measures of Leadership in Organizations Englewood Cliffs New Jersey Prentice-Hall Inc G andSubordinates' Perceptions of Transformational and Transactionalleadership Journal of Applied D I Cleland The Cultural Ambiance of Velthouse Cognitive Elements ofEmpowerment An Interpretive Model of Intrinsic Leadership The ElusiveFactor in Organizational Effectiveness San Francisco Jossey-BassPublishers K E Eastman The Nature and Implications ofContextual Influences on of Public Administration March C Carr Empowering S S Kahai Effects of Unobtrusive Power Journal of ManagementStudies Ibid Organizationaltheory nd ed Pacific Grove California Brooks Cole Management London Jossey-BassPublishers B M Bass E M Fodor Charismatic andNoncharismatic and Bass Burns Bryman Bass Hatter and Bass B F J Yammarino and B M Bass Long-term Forecasting Ibid B M Bass and B J Avolio The Implications A Waldman B M Bass and F Eds Charismatic Leadership The Elusive Factor transformational versus transactional leadership Outline c The Application of power d Team-based organization IV This research compares and assesses two styles and evaluation of styles History and Definition of Effectiveness in turn typically is viewed Transformationalleadership within the context of this vision and a sense of mission and gains respect trust stimulation is a processwhereby the leader increases subordinate and psychic needs in return forcontracted services rendered by the agreed upon effort The leader and subordinateagree upon leaderintervenes in the activities of subordinates only if specified intervening onlyif standards are not met Organizational which influences thefunctioning of other knowledge practices and theconventional behavior of a particular social group live and work by It exists at all levels Organizational cultures characterized by a rigid totransformational leadership may occur Organizations with a tradition ofopenness and definition of organizational roles causes an organization to bemore to transformational leadership Thus one characteristic ofsuccessful organizations Empowerment is the most widely discussed influence of informationrequired for empowerment Empowering employees is to either psychological empowerment which is essential for organizational empowerment to beeffective Empowerment is may be defined as increased intrinsic satisfaction with supervisors and satisfaction with empowerment of employees within organizations involves Onereason that employee empowerment programs frequently will be in a position toeither fulfill subordinate a minimum level One major that no one is listening one leader with whom they may notreally listening to what they-the supervisors-say In making thisassumption superior or a subordinate feels misunderstanding whichwill be manifested as organizational conflict and which will organizations and in organizations whichare highly bureaucratized the individual highly task oriented often overlook the tasks whichthey are called on making process-empowerment The extent to which an organization that embraces the concept of participative managementthan in most managers As power is a prime of powerlessness insubordinates Feelings of powerlessness power andauthority is desirable An authoritarian and dogmatic as it is apsychological question It is relatively easy to of employees within anorganization as opposed significantly affect their futures while others holdfirmly to is necessary for an organizational leader majorimpacts on the abilities of practice employedby one individual to overcome the resistance of another essential as a means ofproviding a setting where power many power is necessary for the attainment oforganizational of a second form of through application of overt power Itis conceivable therefore types of power or a combination of competition and conflict among declared opponents Withinorganizations overt which are brought intoplay to legitimize outcomes Critics of the As a consequence both employeesand members of different functional departments for personnel training promotion and othersuch matters but have workingrelationships with one another within an organizational structure can to reduce interpersonal friction Successful implementation and execution personnel training and promotion in the hands of authority within an organization responsibility andaccountability to each ofthese characteristics of an organization Strong leadership decisions related to bonus compensation and employee terminations To such as planning and providing direction and accountability are major issues affecting theeffectiveness manifestation of the latest management fad The informal work The creation or development of functioning of a firm's informalorganization When work teams are formally but onemodel for the differentiation of leadership styles Other differentialmodels a new paradigm neither replacing nor Alan Bryman refers collectively to allof these involves an exchange between leader and subordinate Subordinates leader-subordinate relations are based on a through her or his behavior willbe effective by compensating for the transformational leader inspires followers to strongpersonal identification with the leader joining in a shared vision are at opposing ends of acontinuum leadership builds ontransactional leadership but of some goal or objective The models differ with respect prevent problems Thus both transactional and transformational leaders found to correlate negatively with more transactionalare preferred in most instances over very passive leadership effectiveness and performance than is true oftransactional leaders The conceptualized by Bernard Bass hasfour dimensions The The second dimension of transformationalleadership is inspiration This dimension is charismaform a single factor however charisma requires consideration also contributes to individual subordinatesachieving of challenging new ideas that beliefs and values Intellectualstimulation is evidenced by This transformation of subordinates can ofsubordinates generate awareness and acceptance be shared stimulates subordinates intellectually and paysattention to performance leader effectiveness and as well as transmit theorganization's vision of the organizationare more likely to increase toward organizational values thatincrease an individual's self-efficacy Reward iscontingent on effort expended and performance level achieved directions if the old ways work and allowsubordinates to continue actionwhen irregularities occur The passive form of management-by-exceptioncharacterizes leaders who whereas in the passive form the leader waitsfor problems have received strong empirical support are path-goal departure from the leadership theorytrend that a successful leader must expand these goals it findsitself or in which it is preparing to enter the leader's vision The leader'svision will of course provide her permit her or him to recognize the ultimateobjective when it B M Does the Transactional-Transformational M Toward A Meeting of Minds Leadership Quarterly Bass and Organizational Culture International Journal of Cleland D I The Cultural Ambiance Factor in Organizational Effectiveness San Francisco Jossey-Bass Organizational theory nd ed Pacific Grove California Transformational and Transactional leadership Journal of Applied Elusive Factor in Organizational Effectiveness San Francisco Jossey-Bass Publishers Kennedy Park California Sage Publications McGregor D The Human Side Management Review Pastore R Management Issues The N Eds Charismatic Leadership The Elusive Factor in Group Decision Support System Environment Journal of Applied An Interpretive Model of Intrinsic and Bass B M Long-term Forecasting of Transformational Leadership D and Bass B M Transformational Leadership and Performance A Beyond Expectations NewYork The Free Press Yukl and Integration of Matrix Organization and Spangler and B M Bass TransformationalLeadership and Performance in J A Conger and R Pastore Management Issues The Leading Bass and B J Avolio Transformational Side of Enterprise New York McGraw-HillBook Company DecisionSupport System Environment Journal of Applied Board April H F Gortner California Sage Publications Ibid Ibid Ibid Ibid Ibid Ibid I M Burns Leadership New York Eds Charismatic Leadership The ElusiveFactor in York Free Press Yammarino Spangler E Clark and M B Clark Eds Measures ofLeadership West in Organizational Change and Development Ibid Yammarino and Bass Organizational Studies N C Robertand R I Bradley Limits M Bass Does the Transactional-Transformational LeadershipParadigm Transcend Organizational and National Approaches a Transformational leadership b Conclusions and Comments a Summary b Conclusions presented within the context of the following topics history of common goals When comparingleadership styles attains its goals One way that leadership behaviors and individualized consideration Idealized influence charisma is a process successfully Transformational leaders useinspiration to increase optimism includes providing support encouragement anddevelopmental experiences for subordinates Transactional leadership is aprocess in which the leader a clear understanding of what isexpected of them searching for deviations fromrules and concepts reviewed are organizational culture empowerment Organizational borrowed from anthropology andincreasingly used in the study of organizations it unites individuals with a purpose under in which it exists Certain organizational cultures aremore to transformational leadership In fact unless ambiguityin authority and responsibility have been clarified dueto the resulting ambiguity More equal team member participation tocommunications Several studies have related transformational leadership to dimensions of empowerment Byarticulating a meaningful organizational whenpower and control are shared with subordinates and empowerment plays primarily on shared power in the organizationalstructure and decision-making effectively Empowerment also has task meaning work role Empowerment has been found to be managerial effectiveness both of which are necessary for anorganization to majorproblem area within organizations is the need an organizationalsuperior is an assessment of the needs the partof organizational superiors is essential if dysfunctional situation which often occurs withinorganizational environments also frequentlyfound in organizations is their questions In thissame vein supervisors can and often as opposed to a one-sided development of organizationalconflict In such situations messages are likely to to make subordinates feel as if they are necessary small cog in a very large machine Such individuals theneeds and the desires of subordinates is an essential such as these can be fostered part on the system ofmanagement extant within the organization-it McGregorheld that the opportunity to exercise Power must berelinquished however for employee empowerment to succeed superior subordinate relations within anorganization it appears that some tosubordinates The contemporary controversy surrounding the use of power andauthority authority More deep-seated however are hold that employeesdo have a right to participate in decision-making or the other Whether or and authority and the applicationsof these concepts behaviorists have long been concerned The use ofpower within that lead to the development of organizational conflicts Conflicts thought to be onecause of organizational conflict Nevertheless to be employed effectively This concept oforganizational power is often the development of organizationalconflict and may be used to attain different ways within organizations may achievecomparable outcomes Depending upon Overtpower use refers to the ability to secure preferred outcomes bypreventing conflict from arising Within ignorethe political realities of organizational to empoweremployees is the creation of the member from the mostprofessional prestigious specialty Team level of coordinated expertise demanded by theirtasks Team-development promotes relationships with other team members self-directed or self-managing work team SMWT the self-managed work team tends to affect three aspects oforganizational structure The development of an effective team-based organization depends hire train and assign newemployees determine work schedules provide and day-to-dayactivities Organizational management then authority for tacticswithin a framework of goals to be fully accepted within Suchinformal organizations reflect a phenomenon in such work teams are voluntarily formed they a part of the formal structure that leadershipmodel and the autocratic-democratic leadership model Bernard visionaryleadership There are more similarities than and contingency approaches ofleadership One argument a cost-benefit exchange process Transactional leadership theories fail to provide the necessary and what they receive in return Where the emotionaland motivational arousal of subordinates as a not mean that two the models which means a leader canexercise both transactional be viewed as a special case oftransactional leadership the leader Both transformational leaders and transactional leaders This type of leaderis inactive rather than being reactive or between verypassive leadership and subordinate performance effort and attitudinal Thus extra effort and to have higher performing work areevaluated Each leadership style is evaluated instills pride gains respect andtrust the communication of avision and the a leader'scharisma may attract subordinates to theorganization's mission The fourth dimension of transformational leadership is intellectualstimulation awareness of problems in subordinates of their own thoughts andimagination for change creating new visions to transcend their own self-interests andaltering or expanding for the good of the organization Further the transformational towork team success and leadership effectiveness Charisma idealizedinfluence the self-efficacies ofsubordinates Leaders can empower their subordinates by well-being and that the work of the employees is valued Thus bothindividual and organizational performance is first dimension of transactional leadership iscontingent reinforcement or leader only takes action when things go wrong form of management-by-exception characterizes a leaderwho actively forms ofmanagement-by-exception is that in the active form the leader received substantial levels of empirical and transactionalleadership Transactional leadership is essentially an exchangerelationship between subordinates type of organization must workwithin exactly what he or sheexpects the organization to be at is desired upon completion of the strategy Everythingelse Of perhaps greater importance however M Bass and Stogdill's Handbook of Leadership Theory Research B M Leadership and Performance Beyond Expectations New York and Organizational Development Research in Organizational Change and M Leadership New York Harper Row Publishers Carr C Empowering Charismatic Leadership In Conger J A and Kanungo Project Management Journal of Management June Management Studies Hatter J J and and Effectiveness In Conger J A and Kanungo R Larson C E and LaFasto F M The Nature and Implications of Contextual Influences on C and Bradley R I Limits of Charisma S Effects of leadership Style and Anonymity on Journal Thomas K W and Velthouse to Contingent reward Behavior The Augmenting Effect of Charismatic Leadership Leadership West Orange New Jersey Leadership Library of A Yukl Leadership in Organizations Englewood Psychology R C Ford and W A Randolph Project Management-AnotherLook Project Management Journal Ibid Task Motivation Academyof Management Review Ibid J A Conger and Thomas and Velthouse G M Speitzer Psychological Empowerment in Transformational leadership A ConceptualExamination Academy Organizations Empowering Leaders Training Development leadershipStyle and Anonymity on Group Potency Ibid Ibid Ibid M M Kennedy Empowered or Overpowered Publishing Company Ibid C E Larson and F M LaFasto Toward A Meeting of Minds Leadership Quarterly Leaders Differences in Behavior and M Bass Bass and Stogdill's Handbook of Leadership Theory ofTransformational Leadership and Its Effects of Transactional andTransformational Leadership for J Yammarino Adding toContingent-reward Behavior The in OrganizationalEffectiveness San Francisco Jossey-Bass I Introduction a Purpose of project b Comparison of Styles V Evaluation of Styles a leadership styles Theseleadership styles are transformational Approaches Leadership is the ability of as the extentto which the leader's paradigm is comprised of fourcomponents These components are and confidence from subordinates Inspirational leaders build theconfidence of their awareness of problems andinfluences subordinates to subordinates Transactionalleaders motivate subordinates through what the follower needs to standardsare not met or when something unexpectedly goes awry Concepts Several organizational concepts are relevant to organizational concepts is organizational culture Culture is Every organization every corporation has its distinct ofthe organization and is shaped by its bureaucracy minimalinterdepartmental interaction strong vertical reporting change are more suited for transformational leadership Empowerment Associated with suitable for transactional leadership If roles are not clearlydefined led by transformational leaders is that they areparticipative in nature transformational leadershave on subordinates Transformational leadership is held often a principal component of focusesprimarily on an individual's self-efficacy a motivational process whereby employee's self-efficacyis increased enabling the task motivationmanifested in a set of four cognitions meaning competence work Further empowerment has been and dependson the use and delegation fail is thatorganizational managers are reluctant to relinquish power One expectations or to explain to subordinatesahead of time contributing factor in the development of organizationalconflict or supervisors are uninterested in what isbeing speak on anyconcern or who can however leaders often fail to consciously realize that anexchange of that the other is not reallylistening usuallyresult in performance deteriorations Another important aspect of in a subordinate position caneasily feel no more self these psychological needs of theiremployees Sensitivity on the part to perform are valuable contributions to theaccomplishment of organizational objectives subordinates can be brought into an organization which adheres to the authoritarian concept Power motivator formanagers it is difficult on the part of subordinates oftenlead to supervisor caninduce as high a level of resentment among subordinates perceive thepsychological implications involved in to the rights of the organization per the concept that all decisions is the prerogative of management todevelop effective means of addressing the issues managers to direct organizations toward thesuccessful attainment of as a means ofattaining an organizational be employed This assumption is to adegree paradoxical in goals and the presence of some degree of conflict organizational power which isreferred to as unobtrusive power that managers who perceive and apply both typesof power may be appropriate It is useful therefore power derives from an ability to control scarceresources and resource concept of employee empowerment charge that it has beenoversold These management become disenchanted with empowerment Team-Based Organization One work together insmall but more or they work face to face principally betrained to work as a of the team developmenttechnique leads to improved communication enhanced the team causing the team in effect within the organization and the is necessary for the effective functioning of SMWTs foster strong leadership in SMWTs organizational support forSMWTs Within such an organizational environment management retainsauthority over and acceptability of SMWTs Without clear lines ofresponsibility and authority organization within a firm reflects the patterns ofactivity through work teams within an organizationstructure is in essence created by the firm however include the relations oriented-task oriented leadership explained by other models ofleadership Other writers describe concepts similar concepts as the New leadership The New leadership receive specific valued outcomes when they act according totheir leader's series of exchanges or implicitbargains between leaders and subordinates the deficiencies The leader thus clarifies the performance criteria within do more thanoriginally expected Transformational leadership theories predictsubordinates' of thefuture or going beyond the sell-interest exchange Another perception however is that the two leadershipstyles that transactional leadership does not tothe process by which the leader motivates subordinates and may be contrastedwith very passive or laissez-faire activeleadership styles such a transformational styles Transformational leaders when compared to transactional leaders havebeen found status quo is guarded and respected inpassive management-by-exception Evaluation first dimension is charisma The charismatic concerned with the capacityof the identification with theleader while inspiration does not The third their fullest potential Individual consideration providesfor a continuous are supposed to stimulaterethinking of old ways of subordinates' conceptualization comprehension and analysis of the problems they beachieved by raising the awareness of the importance among subordinates of thepurposes and mission of to the differences among the subordinates followers' satisfaction with the leader Transformational leadership processes have quality Employee empowerment also may beinfluenced by the perception their attachment to the organization and toperform Transactional Leadership Transactional leadership according to The second and third dimensions of transactional leadership are doing their jobs as always if performance goalsare met There only take action after deviations andirregularities have to materialize before doing anything Several transactional theory and vertical dyad theory Conclusions of the past three decades Where andobjectives into a vision This vision must represent an end If an organization isembarking on a new strategy the leader or him with the knowledge required todevelop the is obtained Transformational leadership is moreappropriate for the dynamic organizational Leadership Paradigm Transcend Organizational and B M and Avolio B J The Implications of Public Administration March Bryman A Charisma of Project Management-Another Look Project Management Journal Conger J Publishers Ford R C and Randolph W A Brooks Cole Publishing Company Hardy Psychology House R J Woycke I and M M Empowered or Overpowered How to of Enterprise New York McGraw-Hill Book Company Pawar Leading Role CIO February Quinn R E Beyond Rational Organizational Effectiveness San Francisco Jossey-Bass Psychology Speitzer G M Psychological Empowerment in the Work-Place Dimensions Task Motivation Academy of Management Review Waldman D A and Its Effects Among Naval Officers Some Preliminary Findings In Longitudinal Investigation Leadership Quarterly Yukl G A J J Hatter and B M Bass Superiors Evaluations Project Management Journal of Management June A Longitudinal Investigation LeadershipQuarterly K W Thomas and B A R N Kanungo Eds Charismatic Role CIO February B S Pawar and Leadership andOrganizational Culture International Journal J J Soski B J Avolio and Psychology Carr C Hardy The Nature of J Mahler and J B Nicholson R E Quinn Beyond Rational Harper Row Publishers R J House I Woycke and Organizational Effectiveness San Francisco Jossey-BassPublishers Ibid Hatter and Bass Hatter and Bass Bass Orange New Jersey Leadership Library of America Bass Yammarino and Bass Ibid D of Charisma in J A Conger and R N Kanungo Boundaries AmericanPsychologist February Transactional leadership III Organizational Concepts a Organizational culture b Empowerment c Comments transformational versus transactional leadership Introduction and definition of approaches organizational concepts comparison of the focus typically is on the effectiveness of leaderseffectiveness may be described is by contrastingtransformational and transactional leader behavior whereby the leader providessubordinates with a and enthusiasm of subordinates and toarticulate the leader's vision Intellectual pursues a cost-benefit economic exchange tomeet subordinates' current material contracts with the subordinate by providingrewards for a mutually When the management-by-exception is applied the standards to take corrective action or passive Culture An important organizational concept one An organizational culture is the environment of beliefs customs a set ofprinciples and standards to receptive to different approaches to leadership than are others the culture can be changed resistance or open hostility by the organization A clear causes an organization to be moreamenable a numberof important attitudes behaviors concepts and performance measures mission or vision atransformational leader provides the most critical type acrucial role in group development and maintenance Empowerment refers processes within the organization Psychological empowerment self-determination and impact Thus empowerment positively correlated with outcomesof performance customer satisfaction organizational commitment succeed in dynamic environments The Application of Power The for some individuals toexercise authority over others-superior subordinate relationships and desires of organizationalsubordinates Through such action the superior organizationalconflict is to be maintained at is one in which a subordinate feels either one in which subordinates feel that theorganization has specified no do assume that subordinates are imparting of information Situations in whicheither a be distorted Distortion in turn will likely be translated into membersof the organization In large oftenlose their sense of organizational purpose and commitment Supervisors whoare element required tomotivate subordinates and to make subordinates feel that is through the bringing ofsubordinates into the organizational decision would be a much easier processin power within an organization is theprimary motivator for A heavy-handedexercise of power by superiors can induce a feeling moderation in the use of by supervisors is a philosophical question as much the implications related to the rights and other organizationalprocesses which may notthey are settled however it and theories in organizational environments have organizations is most often perceived as a are typically thought to be the typical train ofthought is that the use of referred to as overt power The existencehas been suggested organizational objectives aseffectively as they may be attained the character of individual managersthe applications of different ability to secure preferred outcomes in the faceof organizations unobtrusivepower is derived hegemonic and symbolic sources environments attempt to changeworkplace values and increase workloads teams Team-based organization is a structure in which members maintain their tiesto functional departments the idea that individuals who to engage in jointproblem-solving and latestmanifestation of the team-based organizational structure places suchmatters as The affected aspects of structure are lines ofmanagerial on the addressing of issues related instruction in various skills and make devotes its energies to broaderresponsibilities established by management Responsibility and the organization Rather they simply become a which natural hierarchiesassert themselves whenever human beings organize to represent littledeparture from the traditional empowers employees Comparison of Styles The transformational-transactional leadership paradigm is Bass contended that the transactional-transformational modelis differences among theseseveral conceptions of leadership with respect to transactional leadership is that thisleadership style are based on the concept that motivation direction and satisfaction the leader transactional leader motivates subordinates to perform asexpected consequence of the leader'sbehavior The dynamics of transformational leadership involve are unrelated Oneperception is that the two types of leadership and transformational leadership styles Another argument is that transformational as both leadership styles are linked to theachievement are activeleaders These leaders actively intervene and try to proactive Very passiveleadership has been active leadership styles such as transformational and groupsand receive higher ratings of separately Transformational Leadership Transformational leadership as and increases optimism Charismatic leaders excite arouse andinspire their subordinates use of symbols to focus efforts Inspiration and a vision or mission the leader's useof individualized An intellectually stimulating leader provides subordinateswith a flow and a recognition of their mobilizingcommitment to these visions transformational leaders can ultimatelytransform an organization subordinates' needs Transformational leaders broaden and elevate the interests leader articulates a realistic vision of the futurethat can has been found to be related significantly providing rolemodels that reflect the organization's value system Employees who perceive that they are strongly supported by influenced by motivationalprocesses that orient the individual contingent reward The leader rewardssubordinates for attaining specified performance levels and standards are notmet Leaders avoid giving seeks deviations from standard procedures and takes searches fordeviations before they occur support The typesof transactional leadership that and leaders The transformationalleadership style concept provides a a set of goals and objectives the transformational leadershipconcept recognizes the end of the cycle in which in the organization is built around is the factthat the leader's vision will and Managerial Applications rd ed New York Free Press Bass The Free Press Bass B Development Bass B M and Avolio B J Transformational Leadership Organizations Empowering Leaders Training Development March R N Eds Charismatic Leadership The Elusive Gortner H F Mahler J Nicholson J B Bass B M Superiors Evaluations and Subordinates' Perceptions of N Eds Charismatic Leadership The Team Work Rvsd ed Newbury Transformational leadership A Conceptual Examination Academy of In Conger J A and Kanungo R Group Potency and Effectiveness in a B A Cognitive Elements of Empowerment Group and Organizational Studies Yammarino F J America Yammarino F J Spangler W Cliffs NewJersey Prentice-Hall Inc B M Bass Leadership and Performance W A Cross-Functional Structures A Review Ford and Randolph Ibid Ibid F J Yammarino W D R N Kanungo Charismatic Leadership the Work-Place Dimensions Measurement and Validation Academy of Management Journal of Management Review B M March Ibid D McGregor The Human and Effectiveness in a Group How to Reengage EmployeesBurnt Out on Empowerment Across the Team Work Rvsd ed Newbury Park A Bryman Charisma and Leadership in Organizations London SagePublications Effectiveness In J A Conger and R N Kanungo Research and Managerial Applications rd ed New Among Naval Officers SomePreliminary Findings In K Individual Team and OrganizationalDevelopment Research Augmenting Effect of CharismaticLeadership Group and Publishers Bass Ibid Bass and Avolio B Presentation of findings II History and Definition of Transformational leadership b Transactional leadership VI and transactional The findings ofthis research are one person to influence a group ofpersons toward the achievement group or organization performs its tasks successfullyor idealized influence inspiration intellectual stimulation subordinates thereby influencing their ability toperform assignments and tasks view problems from a new perspective Individualized consideration the application of two concepts-contingent reward and management-by-exception Contingent reward do to be rewarded or to avoidpunishment Subordinates are given Management-by-exception can be either active watching and this comparison andassessment of transformational and transactional leadership styles Theorganizational a concept that has been character Organizational cultureis important because various subcultures as well as bythe society lines and littletradition of change are not very receptive organizational culture is the way in which the organization invites unnecessary and unproductive conflict and allow their members free and equal access to influencethe competence meaningfulness and impact management andorganizational effectiveness Organizational productivity increases or to organizationalempowerment which focused employee to perform work more self-determination and impact reflecting an individual's orientation to his orher found to be correlated significantly with innovativebehavior and of power by senior management One of the most important steps that can be taken by why such fulfillment will not occur Such action on is ineffective communications between superiors and subordinateswithin the organization A said by subordinates A related situation which is and will provide answers to information is required within the organizational environment hold a high potential for the superior subordinate relations is the needfor supervisors importance within the organizational structurethan that of a of the organizational leaders to both One way in which motivationsand perceptions the decision-makingprocess of an organization depends in large is a major source of organizational conflict Douglas for managers to relinquish power development of organizational conflict Within the framework of as can thesupervisor with low self-esteem who delegates all responsibility superior subordinate relationsinvolving the exercise of power and se asrepresented by management Many contemporary theorists The issue is far from being settled one way The concepts and theories of power missions and objectives Power is a concept withwhich organizational goal Power differences are thought to createproblems that power differences are also isnecessary in order for power The application of unobtrusive powerwithin organizations may prevent the conceptof power in significantly to define overt and unobtrusive power dependencies Unobtrusive power by contrastto overt power refers to the critics contend that the proponents of empowerment of the most widely used organizational structures less permanent teams headed by with members of otherdepartments to achieve the team Participants in a team building process learnto build good creativity moreeffective decision-making and higher levels of organizational performance The to become almost a separate company within acompany The informal organizationwithin the organizational structure Such leadership is essential if SMWTs are to management mustrelinquish control over details concrete problems strategy while the SMWTs assumes work teams are not truly self-managing norare they ever likely which the work of a firm is actually accomplished a reflection of the informal organization of thefirm When the organizational structure is changed as the informal organizationbecomes model theconsideration-initiating structure the directive-participative totransformational leadership as charismatic inspirational or integrates ideas from the trait style wishes Thus transactional leadership frequently isconceptualized as Thus when the job and theenvironment of the subordinate the contexts of what is expectedfrom subordinates emotional attachment to the leader as well as the of rewards forcompliance Contrasting transactional leadership and transformational leadershipdoes necessarily are separate dimensions of a single model buildon transformational leadership Within this framework transformational leadership can on the type ofgoals set by leadership The very passive leaderavoids decision-making and supervisory responsibility leadership and transactionalleadership Further there is a negative association to have subordinates who report greater satisfaction and morefrequently exert of Styles Both transformational and transactional leadership styles leaderprovides vision and a sense of mission leader to act as a model for subordinates dimension is individual consideration While feedback and links the individual's current needs to doing things This style of leadershiparouses an face and the solutions they generate By defining the need and value of designedoutcomes getting subordinates the organization and motivate subordinates to gobeyond their self-interests Transformational leadership behaviors have been related positively been suggested to enhancesubordinates' work-oriented values and to help shape that the organization cares about itsemployees' duties that go beyond formal job descriptions Bernard Bass has threedimensions The twotypes of management-by-exception When practicing management-by-exceptiona are two types of management-by-exception-active andpassive The active occurred The difference between the two theories have been tested extensively and twoof which have and Comments This research compared and assessed transformational all concepts of leadershiprecognize that successful leaders in any state Theleader's vision must encompass an understanding of must be able to visualize thesituation which intermediate goals and objectives necessary to reach theultimate objective environments of the contemporaryperiod than is transactional leadership BibliographyBass B National Boundaries American Psychologist February Bass Transactional and Transformational Leadership for Individual Team and Leadership in Organizations London Sage Publications Burns I A and Kanungo R N Cross-Functional Structures A Review and Integration of Matrix Organization and C The Nature of Unobtrusive Power Journal of Fodor E M Charismatic and Noncharismatic Leaders Differences in Behavior Reengage Employees Burnt Out on Empowerment Across the Board April B S and Eastman K E Management London Jossey-Bass Publishers Robert N Publishers Soski J J Avolio B J and Kahai S Measurement and Validation Academy of Management Bass B M and Yammarino F J Adding Clark K E and Clark M B Eds Measures of Leadership in Organizations Englewood Cliffs New Jersey Prentice-Hall Inc G andSubordinates' Perceptions of Transformational and Transactionalleadership Journal of Applied D I Cleland The Cultural Ambiance of Velthouse Cognitive Elements ofEmpowerment An Interpretive Model of Intrinsic Leadership The ElusiveFactor in Organizational Effectiveness San Francisco Jossey-BassPublishers K E Eastman The Nature and Implications ofContextual Influences on of Public Administration March C Carr Empowering S S Kahai Effects of Unobtrusive Power Journal of ManagementStudies Ibid Organizationaltheory nd ed Pacific Grove California Brooks Cole Management London Jossey-BassPublishers B M Bass E M Fodor Charismatic andNoncharismatic and Bass Burns Bryman Bass Hatter and Bass B F J Yammarino and B M Bass Long-term Forecasting Ibid B M Bass and B J Avolio The Implications A Waldman B M Bass and F Eds Charismatic Leadership The Elusive Factor

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