Improving your organization’s effectiveness typically involves analyzing operations and looking for ways to reduce errors, eliminate waste, improve customer satisfaction and continuously develop your workforce potential. A successful transformational leader inspires and motivates her subordinates to make the transition to a new way of working. She communicates a clear shared vision, sets attainable goals, manages objections and inspires the workforce. A transformational leader leads with courage and confidence.


An effective transformational leader recognizes unique opportunities and creates a clear vision for his organization’s future. Using his natural charisma, energy and conviction, he takes the lead. This causes subordinates to follow him, because he consistently acts as a role model and builds trust based on his solid moral and ethical behavior. Employees don’t get distracted by disputes. They seek to improve organizational effectiveness, because they believe in their leader’s message. Morale and productivity typically increase in this type of environment.


Transformational leaders articulate a vision that appeals to followers. To improve organizational effectiveness, they present optimism about the future as a result of the impending changes. They accept feedback from subordinates and recognize that change, particularly disruptive change, may threaten employees. To persuade employees to act, an effective transformational leader cites success stories about other companies and challenges employees to achieve improved results.


By encouraging followers to take some risks and challenge assumptions, a transformational leader stimulates intellectual curiosity and promotes creativity and innovation instead focusing on doing work the same way day after day. By constantly seeking to improve processes and overcome obstacles, this type of leadership allows for some experimentation in order to arrive at new techniques. In contrast to transactional leadership, which focuses on task completion to meet short-term objectives, transformational leadership emphasizes motivating subordinates to alter the current state in a positive manner for long-term results. Transformational leaders challenge followers to make big changes. This may cause disruption in business operations for the short term but produce long-term improvements in organizational effectiveness.


Transformational leaders act as mentors or coaches to subordinates as individuals. This helps maintain a high level of collaboration and feeling of connection. These leaders address subordinates’ concerns by inspiring them to see things differently. Transformational leaders respect individual contributions and build strong teams that value diversity. This enables improved employee morale, decreased attrition and absenteeism, which leads to increased organizational effectiveness. These employees go on to become leaders themselves, sustaining and maintaining change in the organization.