Transformational Leadership is the need of hour to accept the challenges of competition in the wake of Liberalization and Globalization. Transformational leaders can take care of Human Capital of the organization through disruptive innovation, willing to adapt to the unknown territory ahead, by motivating their Employees and achieve success.
The concept of Transformational Leadership was introduced by James McGregor Burns in his book “Leadership” in 1978, stating that there are two types of leaders in the organizations. One, who is “Transactions Leader” who focuses on results, conforms to the existing structure of an organization and measures success according to that organization’s system of rewards and penalties and another type is “Transformational Leader” who encourage, inspire and motivate employees to innovate and create change that will help grow and shape the future success of the organizations. Today the organizations have become a highly complex entity, having larger size of its structure; higher number of resources in any division, project, various teams to which effectively manages and produces results, is a challenge. Complexity can be due to multiple stakeholders, or multiple steps that need to be followed in a process coupled with the challenges of Globalization, where fierce competition is the order of day. Under this situation, the concept of Transformation Leadership can prove to me more functional and effective in which “Human Capital” is given due consideration. In fact most of the organizations have common resources such as, Infrastructure, Capital, Information Technology, and Human resources. The competency of human resources of organization makes a difference. So we need “Transformation Leaders” at every level of the organizations for achieving Success, but to be very honest Transformation Leaders are in short supply in Indian Organization, this may be due to our present educational System, which need a relook. Present Government has already taken some steps in this regard. We need to transform our education system, looking in to our future challenges of the Organizations vis-a-vis need of the Society.
Why Transformational Leadership is the “Need of Hour”?
The Transformational Leaders will focus and develop amongst subordinates
- An Inspiring Vision (Visionary Leadership)
- Trust-Based Relationships ( for Positive Inter personal Relations)
- Environment of Motivation (So that Employees are self motivated)
- Decision Making with Stable emotional Intelligence
- High Character & Moral value (Integrity beyond iota of doubt)
- Initiative & Energetic (To accept the challenges)
- Ability to take Risk & Responsibility (Calculated Risk, of course)
- Develop Technical competency (To have bird’s eye view on the Issue)
- Good communicator / Clarity of thought
- Spirit of Impartiality (Not to take any favor)
Finally, Transformational Leaders are capable to adopt the Culture and Environment of Organizations where they are placed and will grab the opportunity that exist in the environment. During Covid-19 pandemic, myriad opportunities to expand businesses in organizations/sectors such as e-commerce, health care organizations, pharmacy, mask making, sanitizers, immunity booster etc have gained importance, whereas other organizations such as MSME, oil companies, tourism industry, hotels, automobiles, management consultancy and training, etc suffered a setback.
In the Indian context there are various sectors in both the public and private like Scooters India Ltd, IFFCO, NPC, Zomato etc., which have shown growth. “The first step towards getting somewhere is to decide you are not going to stay where you are,” as said by J.P. Morgan. Transformational leadership can teach us vital lessons towards achieving success and set a new benchmark.