Transformational leadership is the leadership approach that creates positive and valuable change in the followers. It is a leadership style that leads to changes that are positive to the followers. Transformational leaders are enthusiastic, passionate and energetic. These leaders are involved and concerned in any process and they are ever focused in helping each and every member of the group. Transformational leaders focus on transforming others to help one another, to be harmonious and encouraging, to look out for each other and look for the organization as a whole. Transformational leader also enhances morale, motivation and the performance of the followers.

Transformational leadership is related to motivation in that these leaders are able to inspire the followers to change their motivations to work. They are also able to change all perceptions and expectations towards common goals in the work. Both leaders and followers make other to advance in higher levels of motivation and morale. Transformational leaders are capable of helping followers to experience motivation and passion towards fulfilling their goals. They have a vision which is clear and which is able to articulate the followers. This is usually referred to as inspirational motivation (Crawford, Gould & Scott, 2003).

Transformational leader is that leader who is charisma. He has a clear vision for organization and he communicates very well and easily the vision he has with the group members. Charisma leader easily detects what is important to organization and individuals as whole. The transformational leader is also confidence in his work. He has good sense of business and has capability of seeing which decisions affect the organization positively. Therefore, the leader gets the ability of acting confidently while inspiring trust in the members of the team.

The transformational leader has loyalty and respect. He inspires loyalty and respect in the individuals by taking time in letting them to know that they are important. He respects other people’s decisions and appreciates them at all points. Transformational leader is also expressive towards praising the individuals as well as the team on the job that done well. Transformational leaders are ever inspiring by helping people do the things they are not sure that they were capable of doing them. These leaders are able to achieve this through encouraging and praising statements.

Lee Iacocca was appointed as a leader of Chrysler Corporation in 1980s. He was able to use transformational leadership skills in competing with the Japanese car industry which was a great competitor. He motivated his followers towards working hard and not to focus at the rewards they were getting but their own goals and learn from any opportunity arising. Another example of transformational leadership is when a parent is raising the child; he or she does not expect anything from child when he grows up. The parent provides services to children; these services are dedicated, committed and unconditional. The parents motivate their children to lead to a good life (Kendra, 2010).

In transactional leadership, the leaders set goals and give rewards as motivation factor for desired performance. On the other hand, transformational leaders motivate their followers to work beyond their self interest. Leaders are aware of the link between the reward and the effort of the followers. They argue that efforts results to good rewards. This differs to the case of transformational leader who arouses follower’s motivations making them to work beyond the framework while stimulating them to solve their problems. Transactional leaders always look for the amount of the work that has been done and they even go to an extent of giving rewards to those whose work satisfies them. Political leaders announce benefits of the agendas in exchange of votes from citizens. These are transactional leaders who are after rewards and conditions unlike transformational leaders who inspire followers to serve their own interest to achieve superior results.