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Arabian Journal of Business and Management Review

ISSN: 2223-5833

Open Access

Review on Components of Transformational Leadership

Abstract

Berhanu Debela Gonfa

The objective of this review paper is just to shade light on the major components of transformational leadership. Now days the working environments of organizations are characterized by continuous change, fluctuation, higher level of turbulence, increased volatility and uncertainty and global competition. In the future too, organizations keep on facing global challenges. The challenge of the present generation is more than that of the previous. This all demands new leadership style and that is transformational leadership. Based on ranges of existing literatures “Transformational leadership is a type of leadership style where by the leader identifies the needed change, creates a vision to guide the change and executes the change”. Transformational leadership describes a process of positive influence that changes and transforms individuals, organizations, and communities and is charismatic, visionary, and inspiring. Transformational leaders inspire, motivate and stimulate followers to achieve extraordinary results. Transformational leaders seek to transform or change the basic values, beliefs, and attitudes of followers so that they are willing to perform beyond the minimum levels specified by the organization. Transformational leader is the leader that possesses and makes use of four leadership characteristics and known for and changing things in a big way. First, transformational leaders tends to be idealized influence where by leaders tends to be role models for the followers and they are admired and respected by the followers because of high standards of ethics demonstrated by the leaders. Secondly transformational leaders tend to be intellectual stimulation which means they stimulate and encourage creativity and innovation. The third one is inspirational motivation and it is about inspiring and motivating the followers through providing meaning and challenge to the followers work. The fourth one is individualized consideration in which leaders pay special attention to individual differences, needs for achievement and growth and treat them accordingly with respect. The leaders are acting as coach and mentor. Transformational leaders effectively build on these characteristics and integrate principles from a variety of leadership theories. Transformational leadership style makes use of any one or more of the four core components to enhance performance and accomplishment and achieve superior results. The more the leadership approaches encompasses more components, the more is the result. Therefore, having more of or the combination of all the components helps to get exceeding outcomes.

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