Leadership Fundamentals Transactional and Transformational Leadership Principles The

Leadership Fundamentals Transactional and Transformational Leadership Principles

The Mistakes We Make • Conflating Leadership with Position • Ignoring the Importance of Position “There go the people. I must follow them, for I am their leader. " -French Radical (1830’s) • Treating Leadership as Inorganic “To be a really effective leader you have to give a damn about something. ” -Dan Chase (I don’t know. Probably a few years ago. Let’s just say 2010 “Leadership can be developed. However, it cannot be ‘promoted. ’” -Dan Chase (June 16 th, 2015)

Two Types of “Leadership”

Transactional Leadership • Laissez-Faire • Management by Exception • Contingent Rewards “For the past decade, research has supported the idea that, on average, transformational leadership is far more effective than transactional leadership in generating the higher levels of extra effort, commitment, performance, and satisfaction of those led. ” “The best transactions are constructive and evidence would suggest that these are usually reasonably effective in achieving desired levels of performance. ” - Bruce J. Avolio, 1999 Zappos

Transformational Leadership • • Idealized Influence Inspirational Motivation Intellectual Stimulation Individual Consideration “One recent study of R&D firms found teams whose project leaders scored high on transformational leadership produced betterquality products as judged 1 year later and were more profitable 5 years later. A review of 87 studies testing transformational leadership found it was related to the motivation and satisfaction of followers and the higher performance and perceived effectiveness of leaders. ” “Leadership is leaders inducing followers to act for certain goals that represent the values and the motivations—the wants and needs, the aspirations and expectations—of both leaders and followers. And the genius of leadership lies in the manner in which leaders see and act on their own and their followers’ values and motivations. ” -James Mac. Gregor Burns, 1978

Idealized Influence • Role Model Values • Trust • Self-Sacrifice “The best leader does not ask people to serve him but the common end. The best leader has not followers, but men and women working with him. ” -Mary Parker Follett

Inspirational Motivation • Meaning • Vision • Optimism “We choose to go to the moon in this decade and do the other things, not because they are easy, but because they are hard, because that goal will serve to organize and measure the best of our energies and skills, because that challenge is one that we are willing to accept, one we are unwilling to postpone, and one which we intend to win. ” -September 12, 1962

Intellectual Stimulation • New Ways of Viewing Problems • Question Assumptions • Tolerate Mistakes “Nothing is too good, too fixed too political, or too bureaucratic that it can’t be challenged, changed, retired, and/or abandoned. ” “The work of leaders is change. Leadership is inextricably connected with the process of innovation. ” Bruce J. Avolio, 1999 - Rosabeth Moss Kanter

Individual Consideration • Teach Efficacy • See the Whole Person • Recognition “Further Analysis also indicated that these gains from non-financial incentives were sustained over time and, when compared to financial incentives, had an equally significant impact. . . ” - Luthans and Stajkovic, 2009 “If you report that your manager is a close friend, you are 2. 5 times more likely to be satisfied with your job. ” - The Leadership Challenge

What Extremes to Avoid • Transactional is “less than” • What you do isn’t “Big” Enough for Transformational Leadership “Transformational leadership adds or augments transactional leadership in its effects on follower motivation, satisfaction, and performance. Transformational leadership does not replace transactional leadership. ” Bruce J. Avolio, 1999

Are Leaders Born or Made? • Life Biography Wide Learning Influence Without Authority Extreme Challenges • Self-Efficacy Enacted Mastery Modeling Verbal Arousal “The Unexamined Life is not Worth Living -Socrates YES!

Leadership Fundamentals Transactional and Transformational Leadership Principles