Transactional vs. Transformational vs. Level 5 Leadership
Executive A has qualities that can be linked to a level 5 leader. Significant qualities are evident from the description. For instance, Executive A is quick to give praise and success of the company to other leaders in the organization. According to Gallos (2008), level 5 leaders have a sense of personal humility in the sense that they are never boastful and avoid any form of public adulation. This is clearly shown even in the case where the media has described the Executive A as the reason for the company’s success. Furthermore, the ability of Executive A to improve the performance of the company soon after becoming CEO shows another quality that is common with level 5 leaders.
Leader B is more of a transactional leader. This is evident in the authoritative approach to the leader uses. For instance, Leader B follows a strict chain of command and applies the theory of rewarding good performing employees, which is common with leaders who embrace an authoritative leadership style. The Leader B rewards subordinates for their good work. According to Bertocci (2009), transactional leadership uses the reward system to motivate employees. This also implies that employees are held responsible for their own mistakes.
Leader C is more of a transformational leader. Transformational leaders have the ability to motivate and inspire employees to achieve results (Bertocci, 2009). From the scenario, it is clear that Leader C encourages followers to surpass their self-interest for the success of the organization. Furthermore, despite setting high expectations, Leader C motivates the employees and instills a sense of pride in them. Additionally, Leader C displays another quality of a transformational leader, which is individual attention to employees’ needs (Bertocci, 2009). This can be shown by the leader’s effort to try to remember information such as employees’ birthdays and other special events that affect or influence the employees.
One area that would be affected if Leader B would become CEO would be the employees’ desire to work. There would be an increase in employees not being satisfied with their work. Thus, the corporation’s performance would drop since the employees have no desire to work for such a leader who punishes them for mistakes. The problem with transactional leadership style is that it assumes that people are only motivated by rewards. This type of leadership would be more suited in an environment where rules and policies have to be followed without question. Thus, most middle managers tend to use this style. If a company CEO uses the transactional leadership style, performance of the company is bound to go drop as the motivation of employees decreases.
The leadership style of Leader C would likely maintain and improve employee performance. Further, the corporation performance is likely to be maintained. This is because certain aspects of Leader C resonate with the leadership qualities of Executive A. For instance, both the Executive A and Leader C take pride in inspiring the employees. Leader C also embraces being a mentor to the employees. The success of most organizations depend on the level of employee satisfaction, which means that for the continued success and good performance of the corporation, Leader C would be more effective than Leader B. Transitioning from a transformational leader to a level 5 leader is more easier than transitioning from a transactional leader to a level 5 leader.
Bertocci, D. I. (2009). Leadership in organizations: There is a difference between leaders and managers. Lanham, Md: University Press of America.
Gallos, J. V. (2008). Business leadership: A Jossey-Bass reader. San Francisco: Jossey-Bass.