LEADERSHIP CHARACTERISTICS OF ... - Drake University

Hospital CEOs possess that combination of strength in both transactional
and transformational styles. As stated in Chapter Two, transformational
leaders positively influence organizational effectiveness as it relates to
improved finances (Bass, 1990), better work and productivity outcomes
(Lowe et al., 1996); and, when combined with transactional leadership,
results in enhanced potency, cohesion and success in an organization
(Bass & Avolio, 2003). Bass and Avolio (2003) in their experimental
research with the U.S. Navy further strengthened the augmentation effect
that transformational leadership has on performance when combined with
transactional leadership.
While transformational leadership, as defined in Chapter 2, is highly
correlated with positive business outcomes such as financial success, low
employee turnover, and employee productivity, passive-avoidant
leadership styles offer no such correlation. Leaders with high passive-
avoidant scores fail to intervene until problems become serious, wait to
take action until mistakes are brought to their attention, avoid
responsibility, are absent when needed, fail to follow up on requests for
assistance, and resist expressing their views on important issues. Where
such leadership behaviors exist, there is less satisfaction with the leader,
less employee effort, and less employee effectiveness. Hospital CEOs
were reported to exhibit very low passive-avoidant traits and behaviors
which, when combined with their transformational and transactional
93