April 03, 2011


Transactional leadership is a type of ledership which emphasizes of rewards and gains in return for performance. Transactional leaders also influnce employees just like the transformational leaders but the difference is that the transformational leaders don't believe on rewards. The transactional leaders set goals for people, they also clerify the outcomes and also provide them feedback. The goals are set and the employees are asked to achieve those goals but they don't attempt to encourage and motivate people to achieve much more than that and that keeps their approach stagnant and their responsibility is not increased. So, they just work for a specific goal, a reward and it limits their involvement in the work.

So, it is imporatant to know that the rewards and monetary gains are not very important and beneficial as they make people work as much as to get the reward and does not improve the quality of their work. So, we should try to motivate people to take the best out of them, should encourage them and involve them in work and should avoid monetary rewards.    

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