Transformational leadership is a type of leadership where the leader is found to work with
subordinates to identify the things that need to be changed and create a vision to guide that
change through inspiration and then implement the change in tandem with committed members
of the group. According to Yukl and Van Fleet (1992) theories related to leadership are a hybrid
approach to leadership (e.g traits, behavior, attributes and situations). Burns in 1978 introduced
the difference between transformational and transactional leadership while Bass in 1985
identified eight dimensions of leadership behavior covering these two broad domains.
Dimensions of Transformational leadership behavior: Idealized influence, those leaders who
have high standards of ethical and moral conduct, they have high personal regard and engender
loyalty from followers. Inspirational motivation, those leaders with a strong vision for the values
and ideals on future based. These leaders stimulate enthusiasm, build confidence and inspire
followers using symbolic actions and persuasive language. Intellectual stimulation, leaders who
challenge organizational norms, encourage divergent thinking, and force followers to develop
innovative strategies. Individual consideration, this dimension refers to leader behaviors intend at
apprehending any different growth and developmental needs of followers as consulting them.
Transactional Leadership: It is also called as managerial leadership, and their major focus are
supervision, organization and performance. Leadership style under this heading is that leaders
promote compliance by employees through both punishment and reward. Dimensions of
transactional leadership are: Contingent reward, leadership behaviors focused on exchange of
resources. Management by exception-active, performances are monitored by taking corrective
action as required. Management by exception-passive, in it passive approach are been taken by
the leaders, intervening only if problem becomes serious. Laissez-faire, it is thought as ...