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    Categories: Transformational Leadership

Impact of Transformational Leadership on Organizational Performance through Knowledge and Innovation

Transformational leadership is a style of leadership that encourages, inspires and motivates employees to innovate and create new opportunities that will lead to change, facilitate growth and shape the future success of the organization. This can only be accomplished by representing a strong sense of corporate culture, employee ownership and independence in the workplace.

These leaders inspire and motivate their teams without micromanaging. They trust their employees to take authority over decisions with their assigned jobs. Transformational leadership is a style that is designed to allow employees more room to be creative, look towards the future and discover new solutions to old problems.

Concept of Transformational Leadership

The concept of transformational leadership was introduced by James V. Downton in 1973. This concept was further advanced by James MacGregor Burns,  an American historian and political scientist, presidential biographer, and authority on leadership studies. Later, in 1985, Bernard M. Bass, an American scholar in the fields of leadership studies and organizational behavior expanded the work of Burns explaining the psychological mechanisms that govern transformational leadership.

According to Bass, transformational leaders are supposed to have positive expectations for their employees, they have to believe that their team can do its best if they are properly inspired, motivated and stimulated to exceed normal levels of performance.

Now that we have learned the basic concept of transformational leadership, let’s move on to the impact it has on an organization.

Impact of Transformational Leadership on an Organization

1. Develops a Challenging and Attractive Vision

Transformational leaders create a climate in which the team members feel involved and important. It gives them the strength to work tirelessly towards the vision of the organization. Every leader lays down a clear vision for their organization to work on and makes them see that the vision is reachable. If they have a clear path and a set of guidelines to work with, it will not only boost employee morale but it will also increase the organization’s productivity.

2. Specifies and Translates Vision into Actions

A transformational leader endows others to act. After setting a goal, developing a vision and laying down a strategy, the next thing is to act. A transformational leader walks the talk and the action starts with him. The entire team follows his/her lead and focuses on how to achieve those goals and objectives in the given timeline.

3. Expresses Confidence, Decisiveness, and Optimism

A transformational leader has to believe in the vision he/she is selling to the employees. Bass refers to this as having idealized influence and inspirational motivation. This means the leader has to become a full-fledged role model, acting out and displaying ideal traits giving the team the confidence, decisiveness, and optimism to work towards the goal of the organization.

4. Ties the Vision to a Strategy

A vision without a plan is dead. Every manager has a strategy or plan laid down to achieve a certain vision. Once the transformational leader develops a plan, it will motivate his/her team because they will have clearly set out guidelines for achieving their visions.

Why a Transformational Leadership Program is Important?

A transformational leadership program helps you inherit the traits a transformational manager needed to influence employees to focus on company objectives. A transformational leadership online course can also do the job. A good transformational leadership online course gives you a wide range of theoretical insights that enable you to leverage your unique personal and professional journeys for greater fulfillment in your life and career, respectively.

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