Comparison of Transformational and Transactional Leadership

Organization
Behaviour

Table of Contents
INTRODUCTION...........................................................................................................................3
1. How do the behaviours of leaders differ in theory and practice? Give examples of
behaviours where theory and practice diverge.......................................................................3
2. Critically examine the concept of psychological contracts. Illustrate your response with
examples of differences that can arise between employers and employees...........................5
3. Detailed comparison on transformational and transactional leadership.............................7
CONCLUSION..............................................................................................................................10

INTRODUCTION
Organizational behaviour is seen as the field of study where performance of individual
and whole group is evaluated as per their activities within the company. The respective zone of
study study mainly evaluates behaviour of individual at workplace and its impact over
organisational working practices, performance, job structure and business growth (Odom and et.
al., 2019J). The present project takes into account the example of Marks and Spencer, a
renowned UK based retail company that is headquartered in Westminster, London. The
company was incorporated in the year 1884 and offers its services to customers worldwide. Its
product range includes range of category such as clothing, food items, home products etc. This
report will provide detailed information on behaviour of leaders in different organisational
practices, along with divergent between theory and practices within different organisational
situations. It will also provide description on psychological contract. At last, detailed explanation
will be given on transactional and transformational leadership along with its difference.
1. How do the behaviours of leaders differ in theory and practice? Give examples of behaviours
where theory and practice diverge
One of the most apparent debates associated with leadership is regarding its focal point.
While some individuals believe that the emphasis should be upon theoretical constructs, others
consider that practical approach to leadership should be given due consideration. The
behavioural pattern of leader in both the contexts are divergent. It is essential to take into due
consideration both the perspectives with a view to gain in-depth comprehensibility and apply the
leadership in a manner such that the organisation can benefit as a whole. However, a reasonable
difference persists within both the perspectives. As per the practical perspective, the leaders are
keen on attaining knowledge about the situation deeply and a little bit regarding how as well as
why it took place (ohnson Jr and Kruse, 2019). On the contrary, the leaders while applying
theoretical perspective seek to dig deeper into the reason and the manner in which a business
situation takes place, with a bigger emphasis upon ascertaining whether there is any significant
impact of the situation over the company and its operations or not. Whereby a leader intends to
attain the goals as well as objectives of the corporation, they need to focus on practical as well as
theoretical knowledge as collaboratively they underpin the business condition in a