TRANSFORMATIONAL LEADERSHIP AND ORGANIZATIONAL PERFORMANCE

Transformational Leadership and Organizational Performance

Table of Contents

CHAPTER # 1: INTRODUCTION3

Statement of the Problem3

Significance of the Problem3

Research Question3

CHAPTER # 2: LITERATURE REVIEW4

Roles of Transformational Leader4

Transformational Leadership in Non-profit Organizations5

Transformational Leadership Style6

Assumption of Transformational Leadership8

CHAPTER # 3: METHODOLOGY9

Data Sources and Research Limitations9

Data Type9

CHAPTER # 4: ANTICIPATED RESULTS11

CHAPTER # 5: CONCLUSION12

CHAPTER # 1: INTRODUCTION

Statement of the Problem

The number of reports and studies detailing how transformational leadership affect on organizational performance seem to have an underlying assumption that every action in the organization is a manifestation of power, which is used by both managers and performers. Power manifests itself through the channels of power, which include the power of coercion, influence, expertise, information, official conduct, credibility, authority to award. Yet unlike the growing evidence and research conducted in the business and public sectors examining the connection between transformational leadership and performance of organization, similar research in the non-profit sector is sparse and not well known. Oftentimes, when reading a research report on the leadership in relation to organizational performance, the nature of transformational leadership manifests itself as personal qualities of humans and the environment in which the activities of the company.

Significance of the Problem

When an individual affects the behavior of group members without the use of coercive forms of power, it is a manifestation of transformational leadership. The organization attaches great importance to the leadership of the need to select and nominate individuals for leadership positions, most suitable for management functions.

Research Question

How transformational leadership affect on organizational performance?

CHAPTER # 2: LITERATURE REVIEW

Transformational leadership involves the motivation of employees and members to perform normal expectations for meeting the organization's mission and for achieving organizational goals. It inspires staff and members to put aside personal self-interest for the common good of the organization and to have confidence in their ability to achieve the “extraordinary” challenges before them (Avolio, 1999, pp. 42-68). The transformational leader is a person who may have a real impact on the behavior of employees.

Roles of Transformational Leader

Transformational leaders play significant roles for achieving the objectives of an organization. For achieving the objectives transformational leader guides the subordinated that play an active role together with the leader that is to focus on the conduct and behavior of others, on the environmental factors and their mediating judgments (Avolio & Bass, 1987, pp. 29-50). Examples of this approach:

•The leader meets with internal and external environmental needs that affect the behaviors of subordinate to control their behavior.

•The leader looks for individual factors that govern the behavior of subordinates.

•The leader jointly with the subordinates tries to find ways to control individual behavior to produce mutually reinforcing and beneficial acts for the results of the organization.

With these approaches, the transformational leaders and subordinates regulate relations based on cooperation, and consciously try to change the behavior of each other, giving and taking the desired reward.

In order to create the followers, the transformational leader has to be very cautious in establishing personal integrity and their trust which is a vital part of ...