Transformational and Laissez-Faire Leadership Styles Analysis

Table of Content


Transformational leadership style defines as leaders who can supply an imaginative and prescient and a feel of the mission, inspire, pleasure and achieve respect and believe thru charisma. These type of leaders are inspiring their followers to function in advance of expectations through influencing them to pursue greater and convincing to exchange their self-interests with organizational interests. They are additionally making an attempt to inspire followers to commit a shared vision and dreams for an organization, initiating them to be innovative, problem solvers, and creating followers’ leadership potential by way of coaching, monitoring, and provision of both task and aid (Khan, Nawaz &amp Khan, 2016).

Transformational leadership style has five factors. These are: (1) idealized influence (attributed), (2) idealized influence (behavioral), (3) inspirational motivation, (4) intellectual stimulation and (5) individualized consideration.

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Idealized Influence

Idealized influence is characterized by leaders who behave as position fashions to their followers. Subordinates have perfect trust, respect, and admiration on their leaders. Charisma is an alternate time period which replaces idealized influence. It is associated with charismatic leadership. The leader’s behavior is reliable, as a substitute than arbitrary, and the leader shares in any risks happen. The chief demonstrates excessive standards of ethical and moral habits and avoids the use of power for non-public acquire (Long, 2014).

Idealized have an impact on consists of two forms idealized influence attribute in which leaders get hold of having faith plus respect, and idealized have an effect on behavior in which leaders show off brilliant conduct and might sacrifice their personal desires to improve the goals of their workgroup (Sadeghi & Lope Pihie, 2012).

Inspirational Motivation

Inspirational motivation refers to transformational leaders sharing a compelling vision or aim with their followers and continuously motivating them to reach for the goal. It helps to boost subordinates’ self-assurance and reassuring them that boundaries faced can be overcome. Higher degrees of motivation have been linked with higher tiers of performance. Inspirational motivation frequently produces person effort and performance past ordinary expectations, therefore growing followers who are impartial in managing challenges on their very own (Khan, Nawaz & Khan, 2016).

Intellectual Stimulation

Intellectual Stimulation involves leaders motivating their followers’ effort to be innovative and innovative by questioning assumptions, reframing issues and drawing near old conditions in new ways. It can be used to extend inspired ideas that will enhance the leader’s reputation. Basically, intellectual stimulation includes the leader stimulating the followers to suppose thru problems and troubles for themselves and therefore to increase their own ability. In intellectual stimulation, new thoughts and innovative trouble solutions are solicited from followers who are integrated into the system of addressing issues and finding solutions. Followers are inspired to attempt new approaches, and their ideas are now not criticizing due to the fact they vary from the leaders’ thoughts (Long, 2014).

Individualized Consideration

Individualized consideration refers to the personal interest that transformational leaders pay to their followers, the place the chief acts as a teach and mentor in recognizing and developing the followers. Transformational leaders are as people and not only individuals of a team and thus, set up a one-to-one relationship with the followers in order to hear to and apprehend their wants and goals. This in flip helps the followers’ development. As a result of individualized consideration and other transformational leadership behaviors, followers are empowered. The purpose of transformational leadership is to seriously change humans and organizations in literal experience to trade them in idea and heart (Khan, Nawaz& Khan, 2016).

Transactional Leadership Style

Transactional leadership style is focusing on the function of supervision, business enterprise, and crew performance. Transactional leaders require contractual settlement between the leaders with their followers. The follower is responsible for following the order to operate a task. The leader, in turn, gives rewards for following orders in completing the task. The followers may additionally be punished when they fail to accomplish their duties. The leaders do no longer focus on their employees’ non-public development and do not individualize their needs. This approach emphasizes the significance of the relationship between leaders and followers focus on the communal advantages derived from a structure of ‘contract’ via which the leader gives you such matters as rewards or incentive in return for the dedication of the followers (Oelofse, 2006).

Transactional leadership style is described in terms of three factors. These are (1) contingent reward, (2) management by exception (active) and (3) management by exception (passive).

Contingent Reward

Contingent reward entails an interplay between the leaders and the followers on the groundwork of leaders’ rewards, promises, and eulogies to inspire followers so as to reap performance degree signed by using both parties. Contingency rewards are the necessary leadership instrument in transactional vicinity that brings followers and team to perform up to standard. With this type of leadership, the leader tries to gain settlement from followers on what must be performed and what the payoffs will be for the people doing it (Khan, Nawaz & Khan, 2016).


Management-by-exception includes corrective criticism, poor feedback, and terrible reinforcement. Management-by-exception takes two forms: active and passive. A leader makes use of the active form of management-by-exception watches followers intently for mistakes or rule violations and then takes corrective action. This is very fundamental when in some situations like safety is paramount in importance.

Passive management-by-exception implies waiting passively for deviances, mistakes, and blunders to appear and then taking corrective action. A leader using passive shape intervenes solely after requirements have no longer been assembly or troubles have arisen. An example of passive management-by-exception is explained in the management of a supervisor who gives a worker a poor performance comparison barring ever speaking with the worker about her or his prior work performance (Khan, Nawaz & Khan, 2016).

Laissez-Faire Leadership Style

Laissez-faire leadership style is regarded as delegate management style. In this style of leadership, leaders are hands-off and allow group contributors to make the decisions. This leader abdicates duty, delays decisions, offers no feedback, and makes little effort to assist followers to fulfill their needs. There is no trade with followers or attempt to assist them to grow. This element is usually regarded as the most passive and ineffective shape of leadership. Yukl (2010) argued that laissez-faire leader shows passive indifference about the mission and subordinates, for instance, ignoring troubles and ignoring subordinate needs. It is high-quality described as the lack of nice leadership as an alternative than as an example of transactional leadership.

Leadership effectiveness

Leadership effectiveness is integral to success in any organization. It carefully relies upon on effects and penalties of the leaders‟ things to do for followers and organization. The extent to which the agency achieves its desires and performs its assignment is the most regular measures of leadership effectiveness. Effective leaders are capable to wholly interact followers in the organizational strategies. Appropriate leadership fashion is an essential issue influence the effectiveness of the leaders (Sadeghi & Lope Pihie, 2012).

In fact, the notion of leadership effectiveness is nevertheless challenging among scholars to define leadership effectiveness and about its measurements. Still, there is no common idea and described the dimension of effectiveness. However, leadership effectiveness symptoms such as actions of a leader, conduct of subordinates closer to organizational desires and fulfillment of common desires are regularly taken as terrific measurement (Madanchian, Hussein, Noordin & Taherdoost, 2017).

Therefore, in accordance to Madanchian, Hussein, Noordin & Taherdoost (2017), leadership effectiveness can be measured via measuring unique leader’s direct results and subordinates’ assessment about their chief performance in the organization. Measuring specific leader’s direct result is through making an evaluation of leadership effectiveness by means of comparing with others. Specific leader’s result refers to the overall performance of a chief that is found in the practical output of an association objectively. In concerning to this, group overall performance and success of group goals, subordinate leader effectiveness evaluation, developed subordinate job satisfaction, accelerated subordinate performance, extended selection making, and improved team performance are examples of leadership effectiveness measures that study the particular leader’s outcome.

The 2nd measurement of leadership effectiveness is subordinate contrast of the leader’s effectiveness. This refers to the subjective measurement of leadership effectiveness. Exemplary measurements in this regard are subordinates’ opinion and willingness to work for a leader. This finds out about has six object scales to measure leadership effectiveness. These are a subordinate willingness to work at a high-level overall performance for the leader, agreement that they would experience working for the leader, get along with the leader, admire the leader, find their work patterns compatible with the leader, and have similar best for the leader.

These measurements of leadership effectiveness have been summarized as a goal and subjective measurement with the aid of Erkutlu (2008). Objective consequences refer performances or intention attainments that are physically measurable such as income growth, income margin, sales increase, market share, income relative to targeted sales, return on investment, productivity, the value per unit of output, etc. In other cases, subjective rankings of leaders’ effectiveness are acquired from the leader’s superiors, peers, or subordinates.

Therefore, for this study about goal results size is not fabulous due to the lack of first-rate data. BCA hasn’t sufficient and nice reports for measurement of leadership effectiveness. Hence, a subjective ranking of leadership effectiveness is suitable from perceptions of people from the city administration.

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