LEADERSHIP CHARACTERISTICS OF ... - Drake University

Transactional LeadershipTheory
By the late 1970s and early 1980s, leadership theories began to
move away from the specific viewpoints of the leader, follower, and the
leadership context and toward processes that centered more on the
interactions between the leaders and followers. Transactional leadership
was described as that in which leader-follower relationships were based
on a series of exchanges or bargains between leaders and followers
(Bums, 1978).
Transactional theory was "based on reciprocity where leaders not
only influence followers but are under their influence as well" (Heifetz,
1994, p. 17). Other research suggested that transactional leadership
varies with respect to the leader's activity level and the nature of the
interaction with the followers (Bass, 1990). Hater and Bass (1 988) viewed
transactional leadership as a type of contingent-reward leadership that
had active and positive exchange between leaders and followers whereby
followers were rewarded or recognized for accomplishing agreed upon
objectives. These rewards might involve recognition from the leader for
work accomplished, bonuses, or merit increases. Positive reinforcement
could be exchanged for good work, merit pay for increased performance,
or promotions and collegiality for cooperation (Sergiovanni, 1990).
Leaders could instead focus on mistakes, delay decisions, or avoid
responses. This approach is referred to as "management-by-exception"