Which among the following is not a characteristic of transactional leaders?

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UGC NET Paper-2: Commerce 25th Dec 2021 Shift 2
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  1. Gives personal attention, treats each employee individually.
  2. Abdicates responsibilities, avoid making decisions.
  3. Intervens only when standards are not met.
  4. Contracts exchange of rewards for efforts.

Answer (Detailed Solution Below)

Option 1 : Gives personal attention, treats each employee individually.
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UGC NET Paper 1: Held on 21st August 2024 Shift 1
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Detailed Solution

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The correct answer is Gives personal attention, treats each employee individually.

Mistake PointsTransactional Leaders are of various kinds like Contingent Reward Leaders, Management by Exception (Active) Leaders, Management by Exception (Passive) Leaders and Laissez-faire Leaders 

Management by Exception (Passive) Leaders intervenes and takes charge only if subordinates fail to meet work standards. They get involved when there is an issue.

According to this, it can be said that transactional leaders abdicates responsibilities, avoid making decisions. Hence, it can be included in one of the characteristics of Transactional leaders.

Key Points Transactional leaders: 

  • Someone who values order and structure is referred to as a transactional leader.
  • They are likely to be in charge of military operations, major enterprises, or worldwide projects that require rules and procedures to meet deadlines or transport personnel and materials in an orderly manner.
  • Transactional leaders do not fit well in environments that promote creativity and new ideas.
  • Transactional leadership emphasizes on results.
  • Transactional leaders hold positions of formal authority and responsibility in an organization. 
  • Transactional leader avoid making decisions to address problems or address issues until there is no alternative course of action.

Important Points

Following are the characteristics of transactional leaders:

  • Disclosure inefficiency
  • Giving supervision and direction
  • Practicality
  • A structured environment is required.
  • Award performance
  • External inductors etc

Transactional leaders do not give personal attention and does not treat each employee individually.

Among the above options, option (a) does not characterize transactional leadership.

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