Transformational and Transactional Leadership in Nestle Company

This presentation discusses the implementation of transformational and transactional leadership in two departments of Nestle Company, namely Human Resource and Production. It analyzes the characteristics, advantages, and disadvantages of both leadership styles and their expected results. The presentation also critically analyzes the implementation of these leadership styles in the two departments.

TRANSFORMATIONAL AND
TRANSACTIONAL
LEADERSHIP

TWO DEPARTMENTS
In nestle company two departments are taken.
One department is Human resource department and other
department is production department.
a.) Human resource (department A) : It is a major component
of employee well being and the responsibilities that are
considered are hiring, firing and considering the laws.
b.) Production (department B) : The department is engaged in
turning the inputs into finished goods by the process of
production. The manager of production is responsible to make
sure that raw materials are converted into finished goods.

TRANSACTIONAL LEADERSHIP
 Emphasizes on
overall performance, supervision and on the company.
 Rewards and punishments.
 Achieving standards

CHARACTERISTICS OF TRANSACTIONAL
LEADERSHIP OR LEADERS
 Extrinsic motivation
 Practicality
 Resistance to change
 Rewards performance
 Discourage independent thinking

ADVANTAGES AND DISADVANTAGES OF
TRANSACTIONAL LEADERSHIP
 Advantages
a.) self motivated
b.) Productivity
c.) structure
d.) reproduced
o Disadvantages
a.) flexible working pattern
b.) limited creativity
c.) rigid
d.) Personal initiative

TRANSFORMATIONAL LEADERSHIP
 Leadership approach
 Valuable and positive change
 Increases motivation and performance of the followers
 Quiet leaders
 Proper decisions

CHARACTERISTICS OF TRANSFORMATIONAL
LEADERSHIP OR LEADERS
 Inspirational
 Mobilize
 Motivation
 Conflict resolution

ADVANTAGES AND DISADVANTAGES OF
TRANSFORMATIONAL LEADERSHIP
 Advantages
a.) communicating ideas
b.) good balancing
c.) mutual trust
d.) high emotional intelligence
o Disadvantages
a.) ineffective
b.) good structure to survive
c.) not fit in bureaucratic structure

IMPLEMENTATION OF TRANSACTIONAL
LEADERSHIP TO (DEPARTMENT A)
 Transactional leadership will be implemented in Human
resource department.
 Rewards and incentives
 Supervision
 Work group performance
 Planning

IMPLEMENTATION OF TRANSACTIONAL LEADERSHIP TO
(DEPARTMENT A)
 HR Business partners
a.) Helps to achieve strategy
 HR centers of Excellence
a.) Reward
b.) Talent
c.) Diversity
d.) employee relation
 HR operations
a.) recruitment
b.) HR systems

IMPLEMENTATION OF TRANSACTIONAL
LEADERSHIP TO (DEPARTMENT A)
 Transactional leadership
Focuses on creating
a.) Good work environment
b.) clarify the relation
Between performance and rewards
c.) Reward performance
d.) To achieve standards

IMPLEMENTATION OF TRANSFORMATIONAL
LEADERSHIP TO (DEPARTMENT B)
 Transformational leadership will be implemented in
Production department.
 Raise motivation of each other
 It is related to producing the goods into finished goods and
then adding value to the work.

IMPLEMENTATION OF TRANSFORMATIONAL
LEADERSHIP TO (DEPARTMENT B)
 Transformational leadership
a.) experience
b.) behavior
c.) motivation
d.) organizational commitment
e.) commitment between leader
And vision

IMPLEMENTATION OF TRANSFORMATIONAL
LEADERSHIP TO (DEPARTMENT B)
 Production activities
a.) Inbound logistics
b.) Operations
c.) Outbound logistics
d.) marketing and sales
e.) service

CRITICALLY ANALYZE IMPLEMENTATION OF
TRANSACTIONAL LEADERSHIP IN ( DEPARTMENT A)
 Implementation of transactional leadership in human
resource department can result in
a.) Enhancement in critical analysis
b.) Networking
c.) Proper decision making
d.) managerial activities

CRITICALLY ANALYZE IMPLEMENTATION OF
TRANSACTIONAL LEADERSHIP IN ( DEPARTMENT A)
 In human resource department, where transactional
leadership style can be applied and all activities can be
analyzed against specific standards of measurement.
a.) Develop skills
b.) managing the activities
c.) rules
d.) professional communication

CRITICALLY ANALYZE IMPLEMENTATION OF
TRANSACTIONAL LEADERSHIP IN ( DEPARTMENT A)
 The expected results that can be achieved by considering
transactional leadership style are
a.) work effectively
b.) handle the issues with confidence
c.) can handle the situation with proper guidance

CRITICALLY ANALYZE IMPLEMENTATION OF
TRANSFORMATIONAL LEADERSHIP IN
( DEPARTMENT B)
 Implementation of transactional leadership in production
department can result in
a.) improved quality of the product
b.) Retain skilled workers
c.) Saving the overall cost and resources
d.) Reduces sick leave

CRITICALLY ANALYZE IMPLEMENTATION OF
TRANSFORMATIONAL LEADERSHIP IN
( DEPARTMENT B)
 How it has affected the production department of nestle
a.) resistance to change
b.) enhancement in productivity
c.) competitive advantage
d.) proper utilization of resources

CRITICALLY ANALYZE IMPLEMENTATION OF
TRANSFORMATIONAL LEADERSHIP IN
( DEPARTMENT B)
 The expected results that can be achieved by considering
transformational leadership style are
a.) Mutual understanding
b.) better behavior
c.) proper coordination

CONCLUSION
 Better working environment with which style ?
a.) Transactional leadership style : helps to motivate the
employees by taking into consideration rewards and incentives.
b.) Transformational leadership style : The employees and
managers motivate each other.

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