The Transactional Leadership Style

The Transactional Leadership Style
The transactional leader views the leader-follower relationship as a transaction. By accepting a position as a member of the group, the individual has agreed to obey the leader. In most situations, this involves the employer-employee relationship, and the transaction focuses on the follower completing required tasks in exchanged for monetary compensation.  One of the main advantages of this style is that it creates clearly defined roles. People know what they are required to do and what they will be receiving in exchange for completing these tasks. It also allows leaders to offer a great deal of supervision and direction if it is needed. Group members may also be motivated to perform well to receive rewards. One of the biggest downsides is that the transactional style tends to stifle creativity and out-of-the-box thinking

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