Paternalistic
Transactional
Transformational
Leadership Styles
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“Pater” means father in Latin
Leaders show aspects of a “father figure”
Primitive way of creating a hierarchy
Illustrate, guide, & support employees to succeed
Employees are not pawns
Avoid negative situations
Advantages
 Two way conversations
 Considered real people,
not just robot workers
 Ensures employee and
organizations needs are
met
 Increased loyalty
Disadvantages
 Dictatorial or autocratic
 Dependency on the leader
 If leader makes mistake,
employees feel let down
 Less independent thinking
among employees
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Ethan A. Winning
 Lack of consistency
 Over-staffing
 Over-compensation
 Poor performance
Harry Levinson
 "that kind of management that does for people what
ideally they should do for themselves."
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Popular in the past
Now new methods take preference in workplace
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Consults with employees about ideas
Rewards for good thoughts
Leader makes final decision in best interest of
employees
Explains final decision to employees
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Give attention to social needs of employees
Make sure workers are happy & satisfied
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Henry Ford (original founder of Ford Motors) - known for running
company using paternalistic leadership
Treated workers with care and respect  viewed as father figure
Raised daily salary from $2.34 a day to roughly $5.00 a day  workers
satisfied and worked at greatest potential
Increase in pay based 100% on what he believed was the correct thing to
do without taking anyone else’s ideas or strategies
“Tunnel Vision” – reluctance of an individual to consider alternatives to
their preferred line of thought
“The problem was that for too long they worked on only one model.
Although people told him to diversify, Henry Ford had developed tunnel
vision. He basically started saying "to hell with the customer," who can
have any color as long as it's black.” – Lee Iacocca, former President of
Ford and chairman of Chrysler
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Developed a Sociological Department for workers  limited
spending of $5.00/day salary
Workers had no input on decisions within Ford Motor Company
Failure to acknowledge ideas of others
“Father figure” approach caused workers to feel as if they were
children rather than adults who were part of the company
1941 - Paternalism led to a Dictatorship resulting
in a labor strike
Ford’s son took over and changed the
leadership style from
paternalism/dictatorship to servant leadership
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People are motivated by reward
and punishment
Social systems work best with a clear
chain of command
When people have agreed to undertake
a job, part of the deal is that they
give all authority to the
manager/leader
Prime purpose of subordinate is to
do what the manger tells them to do
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Leader creates clear structures where it is clear what is
required of the subordinates
Punishments are not always mentioned but are wellunderstood & formal systems of discipline are usually
in place
Early stage – negotiating the contract where the
subordinate is given a salary/benefits, and the
company gets authority over the subordinate
When assigned a task, subordinate is fully responsible
for it
Transactional leaders often use management by
exception
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Leadership based on contingency –
reward/punishment is contingent upon performance
Leadership vs. Management – leans more towards the
management side
Popular among people who are highly motivated by
money and simple rewards  behavior seen to be
predictable
When not to use - demand for a skill exceeds the
supply
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Opinion Leaders
 Individuals that are thought to be in touch with public opinion
Group Leaders
 Referred to as bureaucrats & bargainers
 “You give me good results and I will give you more money”
 Can be granted leadership status by the position they hold in an organization (ex.
group manager, group supervisor)
Governmental/Party Leaders
 Political leaders that represent a particular party (ex. Democratic or Republican)
 Always looking to protect their own interests
Legislative Leaders
 Engage in bargaining, reciprocal exchanges, and political payoffs
Executive Leaders
 Able to transcend party lines & use own personal power & popularity to gain
support
 Do not rely on political party’s power they belong to – rely on connection with
people they represent
 Use press conferences to manipulate others
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Women
 more focused on the rewards component
 seen to exceed men when it came to the positive aspects of a
leadership style  women always won when it was GOOD to WIN
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Men
 more focused on the punishment aspects
 seen to exceed women when it came to the negative
attributes  men always won when it was BAD to WIN
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Parents & Children
 Punishments - being grounded, not watching TV or using the
phone, etc.
 Rewards – later curfew, greater privileges (phone, car), etc.
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Tamers & Animals (dogs, cats, etc.)
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Style best defined as leadership that creates valuable
and positive change in its followers. A transformational
leader focuses on "transforming" others to help one
another, to look out for each other, to be encouraging
and harmonious, and to look out for the organization as
a whole. In this leadership, the leader enhances the
motivation, morale and performance of its follower
group.
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James MacGregor Burns (1978) - first person to
introduce concepts of transformational leadership in
his descriptive research on political leaders
Bernard Bass (1985) - later enhanced the theory
According to Burns, the transformational style creates
significant change in the life of people and
organizations
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Builds on strengths (may have lain dormant) of others
Leaders raise levels of awareness about issues of consequence and
ways of reaching organizational goals
Enable people to transcend their own self-interest for the sake of
others
Leaders change reality by building on the human need for meaning
 focus on values, morals and ethics. They are proactive and
encourage human potential.
Goal = transform people and organizations; enlarge vision, insight
and understanding; clarify purposes; make behavior congruent with
beliefs, principles, or values; bring about changes that are permanent,
self-perpetuating, and momentum building
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Charismatic
Confidence
Respect and loyalty
Expressive praise
Inspiration
Working Toward
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Strategic thinker
Ability to empower others
Initiative
Positive mental attitude
Visionary
Encouraging human potential
Willingness to change
Ability to handle conflict
Effective communicator
Skilled Motivator
Ability to inspire trust
Ability to gain commitment
• Clear sense of purpose
• Value driven
• Strong role model
• High expectations
• Persistent
• Self-knowing
• Effective communicator
• Emotionally mature
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constantly looking into the future for new possibilities
changers of context (change people's frame or thinking so that they see
new opportunities that were not noticed before)
stand-up for, speak to, and hold the organization accountable to its vision
and mission
creators of new organizational capabilities (not just competencies)
always wanting the organization to be different, unique, and exceptional
working to build organizations that are more self-managing
not just foreground heroes, but also work quietly and humbly in the
background to put the right people, purpose, and processes in place in
the organization
inspire others to reach their potential in the context of the work that needs
to be done to achieve the organization’s vision and mission
Advantages
Disadvantages
 Higher commitment , effort,
performance and job
satisfaction of followers
 Lower levels of stress and
burn out
 Greater employee innovation,
harmony & good citizenship
 Improve performance of
organization
 Passion and confidence can
be mistaken for truth and
reality
 The energy that gets people
going can also make them
give up
 Leaders may get frustrated if
organization does not need
transforming
What distinguishes transformational leaders from
transactional leaders?
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They identify themselves as change agents – these leaders make a difference and
transform the organization for which they have assumed responsibility
They are courageous individuals – they are able to take a stand, able to take risks
and able to stand against the status quo in the larger interest of the organization
They believe in people – they are not dictators. They are powerful yet sensitive to
other people, and ultimately work towards the empowerment of others
They are value-driven – they are able to articulate a set of core values and exhibit
behavior that is quite congruent with their value positions
They have the ability to deal with complexity, ambiguity and uncertainty – they
are able to cope with and frame problems in complex, changing world
They are visionaries – they are able to dream, able to translate those dreams and
images so that other people can share them
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Niu, Chun-Pai, An-Chih Wang, and Bor-Shuian Cheng. “Effectiveness of a moral and benevolent leader:
Probing the interactions of the dimensions of paternalistic leadership.” Asian Journal of Social
Psychology 12.1 (2009): 32+. Academic OneFile. Web. 16 Nov. 2009.
<http://find.galegroup.com/gtx/start.do?prodId=AONE&userGroupName=wit_main>.
“Paternalism and Business: They Exist, But Do They Mix?” Management and Human ResourceConsultants. Web.
18 Nov. 2009. <http://www.ewin.com/articles/paternal.htm>.
Bjerke, Bjorn. Business Leadership and Culture National Management Styles in the Global Economy. London:
Edward Elgar Pub, 2001. Print.
Series, Jossey-Bass Management. Business Leadership A Jossey-Bass Reader. San Francisco: Jossey-Bass, 2003.
Print.