Transformational Leadership contains four dimensions. The first dimension is idealized influence. Idealized influence is described as behaviour that results in follower admiration, respect, and trust. Idealized influence involves risk sharing on the part of leaders, a consideration of follower needs above personal needs, and ethical and moral conduct.
The second dimension is inspirational motivation. This dimension is reflected in behaviour that provides meaning and challenge to followers’ work. It includes behaviours that coherent clear expectations demonstrating commitment to overall organizational goals. In addition, team spirit is aroused through enthusiasm ad optimism.
The third dimension is intellectual stimulation. Leaders who demonstrate this type of Transformational Leadership request new ideas and creative problem solutions from their followers, and encourage new approaches to job performance.
The fourth dimension is individualized consideration. This is reflected by leaders who listen attentively and pay special attention to their follower’s achievements and growth needs.
On the other hand, Transactional Leaderships contains two dimensions. The first dimension is contingent reward. Leader’s contracts exchange of rewards for effort, promises rewards for good performance, recognizes accomplishments.
The second dimension is Management-by-exception. Leader watches and searches for differences from rules and standards, takes corrective action and interferes only if standards are not met.
