transformational leader, and enables the leader to pursue avenues that can bring change to the organization that have long-term benefits (Matey 601).
Transactional managers respond to change, where transformational managers bring about change. A transactional manager reacts to changes in production quotas, for example, by requiring that employees either increase their hourly output, or work overtime to meet the new standards. Failure to accomplish these tasks results in disciplinary action for employees, without consideration for the reason that the new standards were not met. By contrast, a transformational leader may observe that if production is increased, savings can be realized through lower carrying costs. This can be presented to the workers with the challenge for the workers to meet new production standards. The way in which the workers meet those standards is left to their discretion. Transactional techniques, such as increased pay for the new standards, may be used as part of the transformational leader's strategy, but it i
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