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CHARISMATIC AND
TRANSFORMATIONAL
LEADERSHIP THEORIES
Present by:
Sabahat
Filza
Nayab
CHARISMATIC
LEADERSHIP
Charisma defined by Max
Weber(1864-1920)
From the Greek word charizesthai,
which means “GIFT”
A divinely conferred power or talent
What Is Charismatic Leadership
“A certain quality of an individual personality, by
virtue of which he or she is set apart from
ordinary people and treated as endowed with
supernatural, superhuman, or at least
specifically exceptional power or qualities”
Characteristics Of Charismatic
Leadership
1. Vision and articulation. Has a vision—expressed as an idealized
goal—that proposes a future better than the status quo; and is able to
clarify the importance of the vision in terms that are understandable to
others
2. Personal risk. Willing to take on high personal risk, incur high costs
and engage in self-sacrifice to achieve the vision
3. Environmental sensitivity. Able to make realistic assessments of
the environmental constraints and resources needed to bring about
change
4. Sensitivity to follower needs. Perceptive of others’ abilities and
responsive to their needs and feelings
5. Unconventional behavior. Engages in behaviors that are perceived
as novel and counter to norms
Are Charismatic Leaders Born Or
Made?
Are leaders successful because of their
charisma? Or do they develop charisma by
being good leaders?
Does Effective Charismatic Leadership
Depend On Situation?
For example,
 in the 1930s, Franklin D Roosevelt offered a vision to
get Americans out of the Great Depression.
 In the early 1970s, when Chrysler Corp was on the
brink of bankruptcy, it needed a charismatic leader
with unconventional ideas like Lee Iacocca to reinvent
the company.
 In 1997, when Apple Computer was floundering and
lacking direction, the board persuaded charismatic
cofounder Steve Jobs to return as interim CEO and to
inspire the company to return to its innovative roots.
The Dark Side Of Charismatic
Leadership
The leaders who promotes self-interest and
manipulate their followers to achieve their own
goal.
• Uses power only for personal gain
• Promotes own personal vision
• Demands own decision be accepted without
question
• One-way communication
• Insensitive to follower’s needs
What is TRANSFORMATIONAL
LEADERSHIP
GREAT LEADERS
OVERCOME AND
CREATE MORE GREAT
LEADERS
Definition
TRANSFOMATIONAL LEADERSHIP
Is a leadership style where one or more
person engage with others in such a
way that leaders and followers raise
one another to higher levels of
motivation or morality
DEFINITION
TRANSFORMATIONAL LEADERS
Its inspire their followers to
achieve extraordinary
outcome and , in the
process, develop their
followers’ own leadership
capacity.
TRASACTIONAL LEADERSHIP
 Classical management
 Focus on the leader and the follower
 Require appropriate role behavior
 Requires clear goal and appropriate
transactions
 Transactional leadership focuses on the
task
Characteristics of transformational
leaders.
1. Idealized influence:
Leader serves as an ideal role model for
followers and is admired for this.
2.Inspirational motivation:
Transformational leaders have the ability
to inspire and motivate followers.
3.Intellectual stimulation:
Transformational leadership challenges
followers to be innovative and creative.
4.Individualized
consideration:
Gives personal attention and treat
each employee individually.
Characteristics of transactional
leaders.
1.Contingent rewards:
Transactional leaders link the goal to
rewards.2.Management by
Exception (active): Transactional leaders actively monitors the
work of their subordinates.
3.Management by
Exception (passive):To response of Unacceptable performance
may even use punishment .
4.laissez-faire:
The leader himself abdicates responsibilities and
avoids making decision.
full Range of leadership Model
Leaders are generally most effective when they
regularly use each of the four transformational
behaviors.
How Transformational Leadership
Works.
• Transformational leaders set out to empower
followers and nurture them to change.
• They becomes strong role models for their
followers.
• They create a vision.
• They acts as change agents who initiate and
implement new directions.
• They act as social architects.
Evaluation Of Transformational
Leadership.
• Evaluation, validation, and comparative study.
• Evaluation of leaders in corporate and public
organizations, as well as the military.
• Multifactor leadership known as the M.L.P.
• Evidence supporting the superiority of
transformational leadership over transactional
leadership.
Evaluation Of Transformational
Leadership.
For Example.
• A number of studies with US Canadian and German
military officers they found at every level that
transformational leaders were evaluated as more
effective than their transactional leaders.
Transformational Leadership Versus
Charismatic Leadership.
• Charismatic Leadership.
A leadership that reins itself on the leaders charm and
attraction which creates inspiration and devotion
among the followers towards the leader.
Transformational Leadership.
Leadership approach that causes a change in
individuals and social systems through collective
vision.
Charismatic Leadership Versus
Transformational Leadership.
1. Origins.
• Charismatic Leadership.
People believe charismatic leaders are born & not made.
Transformational Leadership.
Transformation leaders are not adaptive and mostly are trained
to be a leaders.
2. Focus.
• Charismatic Leadership.
Charismatic leaders may not want to change anything in the
organization.
Charismatic Leadership Versus
Transformational Leadership.
• Transformational Leadership.
Transformational leaders have a basic focus of transforming the
organization and their followers.
3. Benefit Sharing.
• Charismatic Leadership.
Charismatic leadership to work more towards their personal
benefit and image building.
• Transformational Leadership.
Transformational leaders tend to work more for the betterment
of the organization and their followers.
Charismatic Leadership Versus
Transformational Leadership.
4. Succession.
• Charismatic Leadership.
Charismatic leaders are hard to replace.
• Transformational Leadership.
Transformational leaders can be replaced if they are trained well.
OB,Charismatic & transformtional theory

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OB,Charismatic & transformtional theory

  • 2. CHARISMATIC LEADERSHIP Charisma defined by Max Weber(1864-1920) From the Greek word charizesthai, which means “GIFT” A divinely conferred power or talent
  • 3. What Is Charismatic Leadership “A certain quality of an individual personality, by virtue of which he or she is set apart from ordinary people and treated as endowed with supernatural, superhuman, or at least specifically exceptional power or qualities”
  • 4. Characteristics Of Charismatic Leadership 1. Vision and articulation. Has a vision—expressed as an idealized goal—that proposes a future better than the status quo; and is able to clarify the importance of the vision in terms that are understandable to others 2. Personal risk. Willing to take on high personal risk, incur high costs and engage in self-sacrifice to achieve the vision 3. Environmental sensitivity. Able to make realistic assessments of the environmental constraints and resources needed to bring about change 4. Sensitivity to follower needs. Perceptive of others’ abilities and responsive to their needs and feelings 5. Unconventional behavior. Engages in behaviors that are perceived as novel and counter to norms
  • 5. Are Charismatic Leaders Born Or Made? Are leaders successful because of their charisma? Or do they develop charisma by being good leaders?
  • 6. Does Effective Charismatic Leadership Depend On Situation? For example,  in the 1930s, Franklin D Roosevelt offered a vision to get Americans out of the Great Depression.  In the early 1970s, when Chrysler Corp was on the brink of bankruptcy, it needed a charismatic leader with unconventional ideas like Lee Iacocca to reinvent the company.  In 1997, when Apple Computer was floundering and lacking direction, the board persuaded charismatic cofounder Steve Jobs to return as interim CEO and to inspire the company to return to its innovative roots.
  • 7. The Dark Side Of Charismatic Leadership The leaders who promotes self-interest and manipulate their followers to achieve their own goal. • Uses power only for personal gain • Promotes own personal vision • Demands own decision be accepted without question • One-way communication • Insensitive to follower’s needs
  • 8. What is TRANSFORMATIONAL LEADERSHIP GREAT LEADERS OVERCOME AND CREATE MORE GREAT LEADERS
  • 9. Definition TRANSFOMATIONAL LEADERSHIP Is a leadership style where one or more person engage with others in such a way that leaders and followers raise one another to higher levels of motivation or morality
  • 10. DEFINITION TRANSFORMATIONAL LEADERS Its inspire their followers to achieve extraordinary outcome and , in the process, develop their followers’ own leadership capacity.
  • 11. TRASACTIONAL LEADERSHIP  Classical management  Focus on the leader and the follower  Require appropriate role behavior  Requires clear goal and appropriate transactions  Transactional leadership focuses on the task
  • 12. Characteristics of transformational leaders. 1. Idealized influence: Leader serves as an ideal role model for followers and is admired for this. 2.Inspirational motivation: Transformational leaders have the ability to inspire and motivate followers. 3.Intellectual stimulation: Transformational leadership challenges followers to be innovative and creative. 4.Individualized consideration: Gives personal attention and treat each employee individually.
  • 13. Characteristics of transactional leaders. 1.Contingent rewards: Transactional leaders link the goal to rewards.2.Management by Exception (active): Transactional leaders actively monitors the work of their subordinates. 3.Management by Exception (passive):To response of Unacceptable performance may even use punishment . 4.laissez-faire: The leader himself abdicates responsibilities and avoids making decision.
  • 14. full Range of leadership Model Leaders are generally most effective when they regularly use each of the four transformational behaviors.
  • 15. How Transformational Leadership Works. • Transformational leaders set out to empower followers and nurture them to change. • They becomes strong role models for their followers. • They create a vision. • They acts as change agents who initiate and implement new directions. • They act as social architects.
  • 16. Evaluation Of Transformational Leadership. • Evaluation, validation, and comparative study. • Evaluation of leaders in corporate and public organizations, as well as the military. • Multifactor leadership known as the M.L.P. • Evidence supporting the superiority of transformational leadership over transactional leadership.
  • 17. Evaluation Of Transformational Leadership. For Example. • A number of studies with US Canadian and German military officers they found at every level that transformational leaders were evaluated as more effective than their transactional leaders.
  • 18. Transformational Leadership Versus Charismatic Leadership. • Charismatic Leadership. A leadership that reins itself on the leaders charm and attraction which creates inspiration and devotion among the followers towards the leader. Transformational Leadership. Leadership approach that causes a change in individuals and social systems through collective vision.
  • 19. Charismatic Leadership Versus Transformational Leadership. 1. Origins. • Charismatic Leadership. People believe charismatic leaders are born & not made. Transformational Leadership. Transformation leaders are not adaptive and mostly are trained to be a leaders. 2. Focus. • Charismatic Leadership. Charismatic leaders may not want to change anything in the organization.
  • 20. Charismatic Leadership Versus Transformational Leadership. • Transformational Leadership. Transformational leaders have a basic focus of transforming the organization and their followers. 3. Benefit Sharing. • Charismatic Leadership. Charismatic leadership to work more towards their personal benefit and image building. • Transformational Leadership. Transformational leaders tend to work more for the betterment of the organization and their followers.
  • 21. Charismatic Leadership Versus Transformational Leadership. 4. Succession. • Charismatic Leadership. Charismatic leaders are hard to replace. • Transformational Leadership. Transformational leaders can be replaced if they are trained well.