Transformation Leadership: Inspirational Leadership

We need transformation leadership. In times of crisis and ever-changing complexity, it is more important than ever to have inspiring leaders. In fact, extraordinary times require extraordinary leaders with innovative ideas.

The concept of transformational leadership first appeared in the middle of the 20th century. In fact, it was James V. Downton who first used this term. However, the idea did not attract any interest until the late 1980s. It was Bernard M. Bass, an academic in industrial and organizational psychology, who then further developed it. Furthermore, he supported the idea with important scientific data.

It actually makes more sense to use this type of approach in management today, because it is basically about developing a corporate culture where companies are encouraged to be more autonomous, responsible and motivated to overcome difficulties, take risks and achieve success.

What is transformation management?

There are different types of leadership: democratic, autocratic, transactional and transformative, to name a few. In fact, there are many ways to lead. However, not all are necessarily effective. In fact, it is true to say that every organization tends to develop its own management structure. However, not everyone will be able to achieve a good working atmosphere or to improve the production level enough to ensure a good market position.

It is a sad fact that the classic authoritarian governance model continues to dominate today, where there is a clear difference between bosses and employees. In such situations, however, there is not really a real leader. In fact, it is only a figure who uses his authority to impose his ideas on his employees in an extremely conventional way.

Large companies know that this model does not work. In fact, they know that what is needed, more than bosses, are good leaders. People who are able to inspire and transform. Thus , certain changes have been made in recent years, such as the introduction of transaction management.

Transactional leadership is a model in which the employee is motivated via financial incentives. Every effort they make is rewarded financially, therefore the company’s productivity is also improved. However, is this the best model?

For experts like Bernard M. Bass, the answer is no. He would argue that transformational leadership is the best way for a company to lead over the others.

Transformational leadership skills

According to Dr. Bass, a transformation leader does all of the following:

• Motivates and inspires a positive atmosphere in the work environment.

• Is a clear example of the values ​​of the organization itself, is dynamic and has clear moral principles.
• Is ethical, creative and emotionally intelligent with good communication skills.
• Develops a work environment where priorities are clarified.
• Trust their employees’ potential and abilities.
• Encourages their employees to think of the company as something that is a part of them.
• Emphasizes honesty, cooperation, respect and open communication.
• Offers training and guidance.
• Creates harmony.
• Encourages people to make decisions for themselves.
• Encourages people to take responsibility for their duties.
• Make the work simple and motivating. They do this by creating an exciting environment where employees feel encouraged to come up with valuable suggestions and contributions.

How has transformational leadership evolved?

According to Bernard Bass, there are four components of transformational leadership:

Idealized influence (II)

The leader is the role model that the entire company follows. Furthermore, they not only lead by example, they firmly believe in what they can do. This affects others. Thus, this type of leader is inspiring because they believe in both what they do and what they want to achieve.

At the same time, this type of leader hopes that their team will develop the same qualities. They are transformational leaders because they drive others to make changes as well as guide and teach them.

Individual care (IC)

Transformation leadership is also compassionate leadership. The transformation manager cares about each and every employee and really connects with them with the aim that they will reach their full potential. Because an employee who is skilled and fond of his work is of great value to the company.

Inspirational motivation (IM)

Above all, leadership is about motivation. Motivation means giving a person a reason to strive and meet challenges, to always give their best. This is something that distinguishes transformational leadership from other forms, in that it affects people in a simple but powerful way.

The goal is actually that everyone should be so engaged in the organization’s goals that they feel free both to propose new ideas and make decisions on their own.

Intellectual stimulation (IS)

This is a very interesting aspect of transformational leadership. Transformation leaders challenge their employees with the goal of stimulating creativity. This is so that the employees go beyond the ordinary and achieve the extraordinary. Transformation leaders achieve this by trusting their employees and placing responsibility on them, as well as stimulating them intellectually.

This transformational approach is as interesting as it is revealing. Any organization should undoubtedly introduce this form of management. People who study this particular theory are usually quick to point out that a good example of a transformation leader was Nelson Mandela. In fact, Mandela used the principles of transformational leadership to abolish apartheid and bring about change in South Africa. Furthermore, he achieved it. In fact, there is absolutely no doubt that Nelson Mandela is still a true form of inspiration for all of us.