How Does Leadership Style Affect Organizational Impact?
Leadership style is a critical determinant of organizational impact. Transformational leaders inspire and motivate their teams to exceed expectations by fostering an environment of trust and innovation. On the other hand, transactional leaders focus on routine and structured tasks, offering rewards and punishments to achieve goals. The former typically results in a more engaged and proactive workforce, while the latter can lead to short-term gains but may not sustain long-term growth and innovation.