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Transactional Leadership: - It is a managerial leadership that focuses on the role of supervision, organization, and group performance; leader promotes compliance through rewards and punishments.
Transformational Leadership: - It is a real leadership that enhances the motivation, morale, and performance of followers through a variety of mechanisms.
* Leadership is responsive and its basic orientation is dealing with present issues
* Leaders rely on standard forms of inducement, reward, punishment and sanction to control followers
* Leaders motivate followers by setting goals and promising rewards for desired performance
* Leadership depends on the leader’s power to reinforce subordinates for their successful completion of the bargain.
* Leaders arouse emotions in their followers which motivates them to act beyond the framework of what may be described as exchange relations
* Leadership is proactive and forms new expectations in followers
* Leaders are distinguished by their capacity to inspire and provide individualized consideration, intellectual stimulation and idealized influence to their followers
* Leaders create learning opportunities for their followers and stimulate followers to solve problems
* Leaders possess good visioning, rhetorical and management skills, to develop strong emotional bonds with followers
* Leaders motivate followers to work for goals that go beyond self-interest.
