It is believed that for positive leadership in human life, there is a relation to the commitment in terms of the organizations (Aarons, 2006, p. 1163). It is evident that there is a connection between leadership, and organizational process (Aarons, 2006, p. 1163). It is evident that there is a difference between transformational and transactional leadership. The two forms of leaderships are seen to have a diverse relation to cultural and organizational boundaries studied in a number of research cases (Aarons, 2006, p. 1163). There are cases where leaders use both forms of leadership to enhance the output of their commitment to the organizations. Scope
The purpose of this paper is to discuss the relationship of transactional and transformational leadership. Specifically, this paper looks at how transactional and transformational leadership interact with one another, particularly how transformational leadership augments transactional leadership. In order to look at this interaction, there is first a description of the characteristics of both leadership types. Next, an example of transformational leader is used in an effort to look at how transformational leadership augments transactional leadership. Transactional and transformational leadership has been of great interest to many researchers in the current era. Adopting either transformational and transactional leadership behavior helps in the success of the organization (Laohavichien et al., 2009). This might be the reason that different authors of the recent past considered transactional and transformational leadership as predicating variables and investigated their relatedness with other criterion variables.
Both transformational leadership and transactional leadership help in predicting subordinates’ satisfaction with their leaders (Bennett, 2009). However, in some situations both cannot provide the ultimate satisfaction to their subordinate and partially contribute as explanatory variables. As the study of Chen et al., (2005) found that followers were satisfied with the contingent reward dimension of transactional leaders and individualize consideration of transformational leaders. In the same way the study of Jansen et al., (2009) concluded that the transformational leadership behaviors contribute significantly to exploratory innovation while transactional leadership behaviors facilitate improving and extending existing knowledge and are associated with exploitative innovation (Jansen et al., 2009).
Initially, transactional and transformational leadership are different in terms of implementation and its outcomes. However, transformational leadership was developed from transactional leadership (Downton, 1973). Bass, defined transactional leadership as an exchange activity that leaders execute to motivate subordinates in order to achieve their tasks by giving out reward or punishment correspond with their performance (Bass,1985). Additionally, active and passive management by exception are taken into account when it comes to misconception and faults.( Bass,1985) stated that transformational leadership emphasizes the value of subordinates, encourages them to perform extra effort, and assures their comprehension on organization’s goals and objectives. Besides, idealized influence, inspirational motivation, intellectual stimulation and individualized consideration are a combination of effective transformational leadership. For instance, parents raise their children by dedicating love and care without desiring anything in return. Their purpose is to see their children become more mature and able to pursue their future’s goals. To be more precise, transactional leadership focuses on task completion