BLUF

Transactional leadership is a style of leadership that focuses on achieving specific goals through a system of rewards and punishments.

Summary

TRANSACTIONAL LEADERSHIP MODEL

  • Transactional leaders use contingent rewards, such as bonuses or promotions, to incentivize good performance, and may use disciplinary measures to correct poor performance.
  • Transactional leaders tend to be directive and maintain high control over their subordinates.
  • This leadership style is often effective in stable and predictable environments where clear rules and procedures are necessary for efficient operations.
  • Transactional leadership has been criticized for its focus on short-term goals and its reliance on extrinsic rewards as a motivator.

ARTICLES TRANSACTIONAL LEADERSHIP MODEL

  • ARTICLE: MAY 2022 Pros and Cons of Transactional Leadership
    • Main Points:
      • Transactional leadership focuses on short-term goals and planning and fails to look at the big picture or plan for the future.
      • Transactional leadership is a rewards-and-punishment-based system designed to motivate employees to achieve results.

References