MGT 560 SEU Transactional Charismatic & Transformational Leadership Questions

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Nohfbzv

Business Finance

MGT 560

Saudi electronic university

MGT

Description

As we have studied during this week, transformational leaders encourage their employees to share ideas. This type of leader motivates employees and seeks collaboration to achieve goals. They take the time to listen to employees and evaluate ideas. Open communication, cooperation, and risk-taking are characteristics that often describe transformational leaders.

When COVID-19 began, Salam, the general manager of XYZ’s chain restaurant, conducted a meeting with all employees. During the meeting, Salam shared COVID-19 related information and expressed the critical importance of customer safety. 

As a transformational leader, Salam wanted to involve all employees in the decision-making process to determine if masks and gloves should be used by employees, the number of customers to be served inside the restaurant at one period of time, how sanitation efforts could be encouraged, and more. Since the transformational leadership approach was used, the process of determining what was best for the organization took countless meetings and over one month to agree upon. While waiting to make a final decision, employees became ill with COVID-19 and the restaurant needed to close for longer than anticipated. 

Thinking about the case presented above:

Determine if the transformational leadership style was the best approach to use.

Explain what leadership approach you would have used if you were in Salam’s position (i.e., transactional leadership, charismatic leadership, or transformational leadership). 

  1. Explain the advantages and disadvantages with using the transactional leadership approach as compared to the transformational leadership approach.
  2. If you were Salam, what would you have done differently and why.

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Chapter 8: Transformational Leadership Description (1 of 17) • • • • Current and popular. Changes and transforms people. “New Leadership” paradigm. Increased research. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 2 Description (2 of 17) • Emphasizes motivation and follower development. – Fits today’s work group needs. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 3 Description (3 of 17) Transformational Leadership Defined (1 of 2). • Transactional leadership. • Transformational leadership. • Exchange dimension. • Employees prefer transformational leadership. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 4 Description (4 of 17) Transformational Leadership Defined (2 of 2). • Pseudotransformational leadership. • Aspects of pseudotransformational leadership. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 5 Description (5 of 17) Transformational Leadership and Charisma (1 of 3). • Charisma. • House’s theory of charismatic leadership. • Personality characteristics. • Behaviors. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 6 Description (6 of 17) Transformational Leadership and Charisma (2 of 3). • Effects of charismatic leadership. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 7 Description (7 of 17) TABLE 8.1 Personality Characteristics, Behaviors, and Effects on Followers of Charismatic Leadership Personality Characteristics Behaviors Effects on Followers Dominant Sets strong role model Trust in leader’s ideology Desire to influence Shows competence Belief similarity between leader and follower Self-confident Articulates goals Unquestioning acceptance Strong moral values Communicates high expectations Affection toward leader Expresses confidence Obedience Arouses motives Identification with leader Emotional involvement Heightened goals Increased confidence Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 8 Description (8 of 17) Transformational Leadership and Charisma (3 of 3). • Effects often occur with distress. • Shamir, House, and Arthur (1993) revised House’s theory. • Ties followers to organization. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 9 Description (9 of 17) A Model of Transformational Leadership. • Bass (1985): expanded and refined model. • Emphasized emotional elements. • Stressed follower motivation. • Seven different factors. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 10 Description (10 of 17) TABLE 8.2 Leadership Factors Transformational Leadership Transactional Leadership Laissez-Faire Leadership Factor 1 Idealized influence Charisma Factor 5 Contingent reward Constructive transactions Factor 7 Laissez-faire Nontransactional Factor 2 Inspirational motivation Factor 6 Management by exception Active and passive Corrective transactions Factor 3 Intellectual stimulation Factor 4 Individualized consideration Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 11 Description (11 of 17) A Model of Transformational Leadership: Transformational Leadership Factors (1 of 2). • Charisma or idealized influence. • Attributional component. • Behavioral component. • Inspiration or inspirational motivation. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 12 Description (12 of 17) A Model of Transformational Leadership: Transformational Leadership Factors (2 of 2). • Intellectual stimulation. • Individualized consideration. • Transformational produces more effects than transactional. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 13 Description (13 of 17) A Model of Transformational Leadership: Transactional Leadership Factors. • Contingent reward. – Constructive transaction. • Management by exception. – Active versus passive. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 14 Description (14 of 17) A Model of Transformational Leadership: Nonleadership Factor. • Laissez-faire. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 15 Description (15 of 17) A Model of Transformational Leadership: Transformational Leadership Measurements. • Multifactor Leadership Questionnaire (MLQ). Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 16 Description (16 of 17) Other Transformational Perspectives: Bennis and Nanus. • Questioned leaders on their lives and personalities. • Four common leader strategies. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 17 Description (17 of 17) Other Transformational Perspectives: Kouzes and Posner. • Interviewed leaders and analyzed. • Five practices. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 18 How Does the Transformational Leadership Approach Work? (1 of 2) • Broad-based and multi-faceted. • Aims to empower followers. • Depends on a vision. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 19 How Does the Transformational Leadership Approach Work? (2 of 2) • Organizational values and norms. • Working with people. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 20 Strengths (1 of 2) • Widely researched. • Appealing. • Acknowledges follower–leader process. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 21 Strengths (2 of 2) • Broad view of leadership. • Emphasizes followers’ needs, values, and morals. • Evidence of effectiveness. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 22 Criticisms (1 of 3) • Lacks conceptual clarity. – Broad characteristics and parameters. – Overlap. • Measurement issues. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 23 Criticisms (2 of 3) • Leadership as a personality trait. • Lack of evidential support. • Elitist and antidemocratic. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 24 Criticisms (3 of 3) • Leader unreliability. • Question of universality. • Question of use with millennials. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 25 Application (1 of 2) • • • • Generalized approach. Emphasizes individual leader traits. Widely applicable. Uses MLQ or similar assessment. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 26 Application (2 of 2) • Vision-focused. • Sosik and Jung (2010) guide. Northouse, Leadership, 9th edition. © SAGE Publications, 2021. 27
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Running head: APPROACHES TO LEADERSHIP

Approaches to leadership
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APPROACHES TO LEADERSHIP

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Running head: APPROACHES TO LEADERSHIP

Approaches to Leadership
University
Student’s name
Course title
Professor’s name
Date

1

APPROACHES TO LEADERSHIP

2
QUESTION 1

In the situation in the organization involving the health and safety of the employees in XYZ's
chain restaurant, transformational leadership was wrong because of the following reasons. The
first reason is that it is time-consuming. The situation in the organization required quick action
that transformational leadership cannot contain. The employees and the managers were involved
in long discussions on keeping the employees safe without considering the interaction between
the employees and other people in the community. The result was the outbreak of the disease in
the organization leading to its closure for a long period.
The second disadvantage is slow decisions making process because of the need for
consensus among different parties in the organization. The management and employees had
several meetings trying to seek individuals’ opinions leading to the disease outbreak, thus
affecting the company's operation (Matthews, 2018). Transactional leadership skills would have
helped the situation. The general managers would have given the directions on how employees
would protect themselves and sanitize the place for the safety of the employees and customers.
The third disadvantage is that transformational leadership may result in wrong decisions
making because of the lack of decisiveness of the general manager. The employees may
sluggishly handle the issue because of lack of interest and affecting organizations’ operations.
The next disadvantage is that transformational leadership may lead to employee burnout. The
leadership style requires constant meetings and consultation among stakeholders that may affect
the employees. The workers need to perform their duties, have a break, and not attend several
meetings to solve management issues. The final weakness is that transformational leadership
focuses on individual needs (Matthews, 2018). Still, the issue at hand was a pandemic that
required a quick response to protect different people in and outside the organization.

APPROACHES TO LEADERSHIP

3
QUESTION 2

The most suitable leadership approach suitable for dealing with the issue facing XYZ’s
chain restaurant is charismatic leadership. Transactional leadership has many advantages over
transformational leadership, according to the current situation in the organization. Some of the
advantages of transactional leadership include the following. The first advantage is that the type
of leadership creates the emotional appeal that makes followers accept certain decisions from the
management without resistance. Salim could tell the employees about the effects of the pandemic
and the strategies that would reduce the impact on the organization. The general manager could
state the number of deaths. The high cost of treatment was sufficient grounds to convince the
employees to embrace his sanitization decisions, using gloves and masks.
The second advantage is that transactional leadership saves time since it does not involve
several meetings, as in the case of transformational leadership that seeks consensus with the
employees. The leadership style encourages followers to accept certain decisions and get the
benefits or face the consequences of disobeying the orders. The situation in the organization
required quick decisions to protect all the stakeholders because of the fast rate at which the
disease was spreading globally (Laurent, 2020). The third advantage is that it eliminates
confusion within the chain of command since the employee understands that all decisions are
made by the top management and implemented by the employees. The next advantage is that it
reduces other expenses. For example, in the organization, the management had to use more
money to fund employees' treatment after the outbreak of the diseases. A transactional leadership
would have saved the situation by ensuring that the employees sanitize the place wear gloves and
mask for safety purposes. The final advantage is that it is simple to follow since the managers
give guidelines to employees at the beginning without involving many stakeholders.

APPROACHES TO LEADERSHIP

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QUESTION 3

Transactional leadership has both strengths and weaknesses compared to transformational
leadership. The first advantage is that it motivates employees because of the rewards. The
leadership uses rewards and punishment to achieve particular objectives. The management offer
paid holidays as a financial gift to the employees who meet certain targets. The second advantage
is achievable goals becau...

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