Leadership effectiveness is unexpected besides true leaders’ behavior. According to Madanchian, Hussein, Noordin & Taherdoost (2017), correct and superb leaders’ behavior is no longer past than to have a democratic and cooperative relationship with subordinates. It is the leadership style of a leader that makes either successful or ineffective leadership.
Yet, nonetheless, there is no consensus among students on conclusions of leadership styles with its outcome. It relies upon the nature of the style and organizational behavior. For instance, according to Felfe & Schyns (2004), transformational and transactional leadership styles have complementary effects on every different and increase leadership effectiveness in the organization. The finding of this study is replicated by another scholar like Yukl (2006). He concludes that transformational leadership style can extend follower motivation and overall performance more than transactional leadership, however, fine leaders might also use a mixture of each sort of leadership styles.
But, according to Avolio & Bass (2004), study finds about the Full Range of Leadership (FRL) through the usage of MLQ instrument shows that transformational leaders are indispensable for organizational success. The model contains the three leadership style and within these styles there are nine subscales. And, it includes three scales to measure more effort, effectiveness, and satisfaction. The conclusion of the study suggests that transformational leadership style has a fine effect and transactional leadership style has a bad impact on leadership effectiveness. In addition, Erkutlu (2008) reaffirms that it is only transformational leadership fashion has an extensively tremendous effect on organizational successes in the hospitality industry. But, all scholars are attaining common conclusion on laissez-faire of leadership style as it has a poor impact on organizational success.
In fact, there is no one comprehensive and suitable leadership style to all organizations. It varies with situations such as organizational culture, employees’ behavior, working situation and dedication of co-workers. However, unless the employees aren’t productive and successful, their clients are no longer satisfied. And, the organization can’t survive. The success and failure of an agency are fairly relying on the competence of leadership and the ability of a leader to have an impact on their followers. Therefore, the way of the leading organization, empower follower to be productive via inspiring and motivating them thru educate and monitoring is the fundamental feature of leadership.
Transformational leadership is most notably researched leadership style and these effects exhibit that transformational leadership style has a notably positive impact on leadership effectiveness. Transformational leaders are very passionate, enthusiastic and energetic. They work to transforms the skill, capabilities, values, and belief of their followers. They strive to inspire them internally by way of influencing their attitudes and assumptions. Transformational leaders articulate and communicate a compelling vision to their followers that inspires and motivates them to gain extraordinary goals. Transformational leaders are honest and exhibit integrity. They set clear goals, and communicate these dreams to their followers and shared imaginative and prescient with them. Hence, transformational leadership develops and prospers in the surroundings in which leaders and their followers are engaging positively for the betterment of the organization. Transformational leaders now not only enhance the ability and competencies of their followers but also align follower’s dreams with the desires of the organization (Sadeghi & Lope Pihie , 2012).
Transformation leadership has a positive correlation with employees’ organizational commitment, pride and job performance. Transformational leaders have an effect on subordinates by motivating and inspiring them to reap organizational goals. Transformational leaders also strive to assist subordinates to think about attractive future effects related to the organization. Transformational leaders motivate subordinates to put in extra effort and to go past what they (subordinates) expected before. Transformational leaders acquire the biggest overall performance from subordinates since they are able to inspire their subordinates to elevate their competencies for success and increase subordinates‟ revolutionary trouble solving skills. The transformational leadership style has significant relationships with overall performance outcomes: effectiveness in work, satisfaction, more effort and dependability (Muhammed & Fissha, 2015 Long, Yusof, Kowang& Heng, 2014 Erkutlu, 2008).
Transactional leaders accept as true with on trade of reward and benefits after the successful completion of task and assignments. These kinds of leaders strive to boost a shape primarily based on work and reward relationship. The transactional leaders emphasize the definition and implementation of goals, law, and standards. Transactional leaders spend their energies on work execution and rely on rewards and benefits to improve the workers’ performance. This style of leadership offers with preserving the cutting-edge state of affairs and motivating human beings via contractual settlement (Khan, Nawaz & Khan, 2016).
Furthermore, contingent reward affects many delight stages by using management in a fine way. Passive-Management by exception leadership has terrible relationships with perceived satisfaction. The explanation lies in subordinates’ perceptions of their leaders being dealers of change who can create and articulate a clear imaginative and prescient for an organization. That is, leaders might also empower subordinates to reap at higher requirements and act in ways that engender trust, thereby, growing satisfaction with leaders and commitments to occupations (Sadeghi & Lope Pihie, 2012 Erkutlu, 2008 ).
The laissez-faire style of Leadership is the one in which the leader tries to make minimal interference in the affairs of subordinates even to the extent of now not giving clear orders and instructions. In this kind of leadership, the leaders avoid duties and do no longer build two-way communications with his subordinates. In this type, by and large, subordinates are not cozy with their leader, manufacturing targets are now not met which consequences in the negative overall performance of organizations.
Moreover, laissez-faire style is associated with dissatisfaction, unproductiveness, and ineffectiveness. In Laissez-faire style, the leader doesn’t get concerned in the important decision-making process. It indicates no subject or sense of accountability when an important problem or scenario requiring an urgent response is confronted. Alternatively, employees are at their own in the time of crisis and problem and look for assistance from other sources. Employees take their own decisions to manage a crisis situation. Hence the relationship between laissez-faire leadership style with subordinates and Organizational outcomes is weak and ineffective (Khan, Nawaz & Khan, 2016 Sadeghi & Lope Pihie, 2012 Erkutlu, 2008).
