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Transformational Leadership

Chapter 8

2Northouse, Leadership 8e. © SAGE Publications, 2019.

Overview

 Transformational Leadership (TL) Perspective

 A Model of Transformational Leadership

 Transformational Leadership Factors

 Full Range of Leadership Model

 The Additive Effects of TL

 Other Transformational Leadership Perspectives

 How Does the Transformational Approach Work?

3Northouse, Leadership 8e. © SAGE Publications, 2019.

Transformational Leadership

Description

 Process--TL is a process that changes and transforms individuals, both leaders and followers.

 Influence--TL involves an exceptional form of influence that moves followers to accomplish more than what is usually expected.

 Core elements--TL is concerned with emotions, values, ethics, standards, and long-term goals.

 Encompassing approach--TL describes a wide range of leadership influence where followers and leaders are bound together in the transformation process.

4Northouse, Leadership 8e. © SAGE Publications, 2019.

Types of Leadership Defined (Burns, 1978)

TRANSACTIONAL

Focuses on the

exchanges

that occur

between leaders

and their followers TRANSFORMATIONAL

Process of

engaging with others

to create a connection

that increases

motivation and morality

in both the leader and

the follower

Focuses on the

leader’s

own interests

rather than the

interests of his or

her followers

PSEUDO-

TRANSFORMATIONAL

Northouse, Leadership 8e. © SAGE Publications, 2019.

Types of Leadership Defined

(Burns, 1978)

TRANSACTIONAL

Focuses on the

exchanges

that occur

between leaders

and their followers

No new taxes = votes

Turn in assignments = grade

Surpass goals = promotion

The exchange dimension is so

common that you can observe

it at all walks of life.

Northouse, Leadership 8e. © SAGE Publications, 2019.

Types of Leadership Defined

(Burns, 1978)

 Leaders who are

 transforming but in a

negative way

 self-consumed,

exploitive; power-

oriented, with

warped moral values

 Includes leaders like

 Adolph Hitler

 Saddam Hussein

PSEUDOTRANSFORMATIONAL

 Focuses on

the

leader’s

own interests

rather than the

interests of his or

her followers

Northouse, Leadership 8e. © SAGE Publications, 2019.

Pseudotransformational (Christie, Barling, & Turner, 2011)

Four experimental studies => model of

pseudotransformational leadership

1) Self-serving

2) Unwilling to encourage independent thought in

followers

3) Exhibits little general caring for others

4) Uses inspiration and appeal to manipulate followers

for his or her own ends

8Northouse, Leadership 8e. © SAGE Publications, 2019.

Types of Leadership Defined Burns

(1978)

TRANSFORMATIONAL

Process of

engaging with others

to create a connection

that increases

motivation

and morality in both the

leader and the follower

 Leader is attentive to the needs and motives of followers

and tries to help followers reach their fullest potential.

• Mohandas Gandhi raised

the hopes and demands of

millions of his people and in

the process was changed

himself.

• Ryan White raised people’s

awareness about AIDS.

Northouse, Leadership 8e. © SAGE Publications, 2019.

Transformational Leadership and

Charisma Definition

 Charisma--A special personality characteristic that

gives a person superhuman or exceptional powers and

is reserved for a few, is of divine origin, and results in

the person being treated as a leader (Weber, 1947).

 Charismatic Leadership Theory (House, 1976)

 Charismatic leaders act in unique ways that have specific

charismatic effects on their followers.

Northouse, Leadership 8e. © SAGE Publications, 2019.

Theory of Charismatic Leadership

(House, 1976)

Northouse, Leadership 8e. © SAGE Publications, 2019.

Theory of Charismatic Leadership (Shamir, House, & Arthur, 1993)

Later Studies

 Charismatic Leadership:

 Transforms follower’s self-concepts; tries to link identity of

followers to collective identity of the organization

• Forge this link by emphasizing intrinsic rewards and de-emphasizing extrinsic rewards

• Throughout process, leaders ▪ express high expectations for followers

▪ help followers gain sense of self-confidence and

self-efficacy

12Northouse, Leadership 8e. © SAGE Publications, 2019.

Model of Transformational Leadership (Bass, 1985)

 Expanded and refined version of work done by Burns and House. It included • More attention to followers’ rather than leader’s needs

• Suggested TL could apply to outcomes that were not positive

• Described transactional and transformational leadership as a continuum

 Extended House’s work by

• Giving more attention to emotional elements and origins of charisma

• Suggested charisma is a necessary but not sufficient condition for TL

13Northouse, Leadership 8e. © SAGE Publications, 2019.

Model of Transformational Leadership TL motivates followers beyond the expected by

▪ raising consciousness about the value and importance of specific and idealized goals

▪ transcending self-interest for the good of the team or organization

▪ addressing higher level needs

14Northouse, Leadership 8e. © SAGE Publications, 2019.

Transformational Leadership Factors

15Northouse, Leadership 8e. © SAGE Publications, 2019.

Full Range of Leadership Model

16Northouse, Leadership 8e. © SAGE Publications, 2019.

Transformational Leadership Factors:

The 4 Is  Idealized Influence

 Acting as strong role models

 High standards of moral and ethical conduct

 Making others want to follow the leader’s vision

 Inspirational Motivation

 Communicating high expectations

 Inspiring followers to commitment and engagement in

shared vision

 Using symbols and emotional appeals to focus group

members to achieve more than self-interest

17Northouse, Leadership 8e. © SAGE Publications, 2019.

Transformational Leadership Factors:

The 4 Is  Intellectual Stimulation

 Stimulating followers to be creative and innovative

 Challenging their own beliefs and valuing those of leader and

organization

 Supporting followers to

 Try new approaches

 Develop innovative ways of dealing with organization issues

 Individualized Consideration  Listening carefully to the needs of followers

 Acting as coaches to assist followers in becoming fully

actualized

 Helping followers grow through personal challenges

 For example, showing optimism helps employees become more

engaged in their work (Tims et al., 2011)

18Northouse, Leadership 8e. © SAGE Publications, 2019.

The Additive Effect of Transformational Leadership

Augments impact on employee’s performance and company profit (Rowald & Heinitz, 2007)

Positively related to job satisfaction and performance (Nemanich & Keller, 2007)

Boosts employee engagement and optimism (Tims, et. al., 2011)

TL leaders more likely to promote employee’s achieving their mastery goals (Hamstra, et.al.,2014)

19Northouse, Leadership 8e. © SAGE Publications, 2019.

Transactional Leadership Factors

Contingent Reward  The exchange process between leaders and followers in

which effort by followers is exchanged for specified rewards

 For example, how much TV a child can watch after practicing piano.

Management-by-Exception

 Leadership that involves corrective criticism, negative feedback, and negative reinforcement

 Two forms

• Active--Watches follower closely to identify mistakes/rule violations

• Passive--Intervenes only after standards have not been met or problems have arisen

20Northouse, Leadership 8e. © SAGE Publications, 2019.

Nonleadership Factor

Laissez-Faire

The Absence of Leadership  A hands-off, let-things-ride approach

 Refers to a leader who

 abdicates responsibility,

 delays decisions,

 gives no feedback, and

 makes little effort to help followers satisfy their needs.

 May also be a strategic choice by leader to

acknowledge subordinates’ abilities

Individualized Consideration

Bennis and Nanus (1985)

Four Leader Strategies in Transforming

Organizations

 Clear vision of organization’s future state

 TL’s social architect of organization

 Create trust by making their position known and

standing by it

 Creatively deploy themselves through positive self-

regard

Kouzes and Pozner (1987, 2002)

Model consists of five fundamental practices

 Model the Way

 Inspire a Shared Vision

 Challenge the Process

 Enable Others to Act

 Encourage the Heart

How Does the Transformational

Leadership Approach Work?

 Focus of Transformational Leadership

 Strengths

 Criticisms

 Application

Transformational Leadership

Focus of Transformational

Leaders

 TLs empower and nurture followers

 TLs stimulate change by becoming strong role models for followers

 TLs commonly create a vision

 TLs require leaders to become social architects

 TLs build trust and foster collaboration

Overall Scope

 Describes how leaders

can initiate, develop, and

carry out significant

changes in organizations

Strengths

 Broadly researched. TL has been widely researched, including a

large body of qualitative research centering on prominent leaders

and CEOs in major firms.

 Intuitive appeal. People are attracted to TL because it makes sense

to them.

 Process focused. TL treats leadership as a process occurring

between followers and leaders.

 Expansive leadership view. TL provides a broader view of

leadership that augments other leadership models. Contributes to

leader’s growth.

 Emphasizes followers. TL emphasizes followers’ needs, values,

and morals.

 Effectiveness. Evidence supports that TL is an effective form of

leadership.

Criticisms

 Lacks conceptual clarity  Dimensions are not clearly delimited

 Parameters of TL overlap with similar conceptualizations of leadership

 Unclear whether dimensions are simply descriptions of TL

 Measurement questioned  Validity of MLQ not fully established

 Some transformational factors are not unique solely to the

transformational model

 TL treats leadership more as a personality trait or predisposition

than a behavior that can be taught

 No causal link shown between transformational leaders and

changes in followers or organizations

 TL is elitist and antidemocratic

 Suffers from heroic leadership bias

 Has the potential to be abused

 May not be well-received by millennials

Application

 Provides a general way of thinking about leadership that stresses ideals, inspiration, innovations, and individual concerns

 Can be taught to individuals at all levels of the organization

 Able to positively impact a firm’s performance

 May be used as a tool in recruitment, selection, promotion, and training development

 Can be used to improve team development, decision- making groups, quality initiatives, and reorganizations

 The MLQ and Sosik and Jung (2010) guide help leaders to target areas of leadership improvement