Leadership Styles in National Bank of Bahrain: A Comparison of Transactional and Transformational Leadership

Leadership in a
changing
context

Introduction
HRD department
Human resource
development department of
the company helps them in
gathering prospective
people for the company and
keeping them interested in
process activities as well.
The HRD departments help
in creating good workplace
environment for the
employees(Banks, et. al.,
2016).
The purpose of this task is
to provide a brief overview
about the leadership styles
used in different
departments of the national
bank of Bahrain.
PR department: The public
relation department is the
department promotes the
company in the external
market and aims to satisfy the
customers with their activities.
Activities like promotion,
customer grievances/
complaints etc. are handled by
this department. 2

Transactional
Leadership
This type of leadership is also known as
managerial leadership which lays
emphasis only on the process of
supervision, organization and
performance of the company
(Ohunakin, Adeniji, and Akintayo,
2016). The transactional leadership
style is a style under which the
leaders of the organization insist
the followers to obey the rules and
laws formed by the organization,
they perform such acts with the use
of both rewards and punishments
process.
Transactional leadership establishes and
standardize practices helps an
organization to reach maturity and
emphasis setting of goals (Javed,
Jaffari, and Rahim 2014)
.
1.

“▪ Transactional leadership focus on the results of the activities
presented in the organization; also this type of leadership lays
strict focus the outcomes and order to provide outcomes, the
leaders penalize and reward the employees for the work
performed by them. A transactional leader works by providing
rewards and sanctions to its employees.
▪ Political scientist James McGregor Burns is one of the most
prominent authors to talk about leadership in his book in the
year 1980 (Asrar-ul-Haq, and Kuchinke 2016) .
4

Implication of transactional
leadership
▪ The leaders who perform
transactional leadership style
lay more focus on the short
term goals and plans, and
standard rules and codes of
conduct. Such leaders strictly
follow the rules ad do not
believe in inputting creativity
and innovation in process of
the organization (Belias, et. al.,
2015) .
5
• The assumptions of transactional leadership are that the activity
believes that the employees get motivated by rewards and
punishments and the subordinates have to obey the orders given
by the superiors.
• The transactional leadership is used in an organization when the
leader wants to maintain a strict decorum in the organization.

Transformation
al Leadership
Transformational is a leadership style which
works with an aim to create inspirational
vision for the subordinates working with them.
The leaders who uses this type of leadership
style identify the changes which shall be
conducted by the management and
implement them using innovation and
creativity practices in the system (Imran, Ilyas,
and Aslam 2016).
6
This term was firstly
coined by James V.
Downton and was further
developed by leadership
expert and presidential
biographer James
MacGregor Burns.
According to Burns, this
leadership applies when
leaders and followers
make each other advance
to a higher level of
morality and motivation
(Northouse 2018) .