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Leadership is vital in directing and managing an organization’s resources, including human capital, to achieve efficiency and effectiveness. Therefore, effective leaders must motivate, guide, and manage the organization to achieve its mission and vision. Leaders use various leadership styles to achieve shared organizational or group goals. These styles depend on various internal and external factors; the latter refers to the leader’s extrinsic factors, like their followers’ skills and organizational needs, whereas the former includes the leader’s intrinsic factors, such as their strengths, personalities, and principles. Leadership styles also depend on emerging trends and knowledge about effective leadership traits. Transformational and servant leadership are among the most popular leadership styles due to their effectiveness in achieving shared objectives.
Leaders should be able to change their organizations, including the work culture, systems, processes, and environment. This factor defines transformational leadership. According to Mengel (2021), transformational leadership is a management approach that induces organizational changes by defining a vision and inspiring followers to align their interests and work toward them. James McGregor Burns first developed this leadership theory in 1978; Bernard Bass developed it further in 1985. Transformational leaders work toward revolutionizing their organizations or teams based on internal or external needs and drivers (Mengel, 2021). They include all stakeholders, including followers, in this change process, guaranteeing effectiveness and efficiency in following the new vision and achieving common goals. Additionally, transformational leadership inspires and encourages employees to change their processes and mindsets based on the organization’s change drivers.
Transformational leaders have various traits that foster their effectiveness. First, the primary trait of transformational leaders is that they are visionary.
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