Question

Bass’s model of transformational leadership incorporated charisma (or idealized influence) as a major component, along with inspirational motivation, intellectual stimulation, and individual consideration. Intellectual stimulation and individualized consideration seem to be the aspects of transformational leadership that distinguish it from charismatic leadership or make it a special category of charismatic leadership. The term “pseudo-transformational” has also been used to describe a certain type of leader. Give an example of a well-known leader who is generally seen as charismatic, but would not be considered transformational according to Bass’s definition. Explain why this is so. Give an example of a well-known leader who would be considered transformational. Explain why this is so

Answer 1

The two leaders that I have chosen both of whom are good leaders, include –

Indira Nooyi (PepsiCo) - A charismatic leader who is not transformational

Jeff Bezos (Amazon) - A transformational leader

Indira Nooyi – One of the very few successful women leaders to have led huge companies with lakhs of employees and billion dollars revenues.

Indira Nooyi exhibits situational leadership, which is a mix of delegating, supporting, coaching and directing behaviors. Below are few differentiators in her leadership style –

1. Strategy is critical to a firm’s success while speed matters in digital age
2. It is important to co-opt critics, take their suggestions and involve them in the product development rather than bulldozing or ignoring them.

Indira Nooyi’s leadership style is near to Team Leadership considering both the aspects of production and people.

Though she is charismatic of the few women leaders leading billion dollar firms, her approach is not transformational.

Jeff Bezos – Unconventional leader with determined focus on customer satisfaction while ensuring the leadership principles are imbibed by the employees.

Jeff Bezos exhibits unconventional leadership style as his decisions are aggressive and clearly highlights the purpose while adhering to the leadership principles of Amazon. Below are few differentiators in his leadership style-

1. Customer obsessed and low cost goods proponent
2. Venturing into wide range of services through horizontal and vertical integration and venturing into new services.

Jeff Bezos exhibits Produce or Perish leadership style as he is extremely demanding when comes to deliverables and work with sole focus on customer service.

While Jeff Bezos is charismatic, he is also transformational due to the way he takes initiatives, inspires the employees towards better customer service.