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Transformational leadership drives production and efficiency. When employees feel included and encouraged, they work harder and stay with a company longer. This style of leadership can help employees get the most out of their job and increase profits for companies. These four traits of transformational leadership define this leadership style.

Transformational leaders motivate their followers in positive ways. In their role as a leader, they define the mission and goals of the team. They then align duties and responsibilities to achieving those goals. Instead of scolding employees and using fear as a motivator, transformational leaders engage employees in the process, encourage employee efforts, celebrate successes, and provide rewards for achievement. This creates a positive association with their work and makes followers feel confident enough to achieve their goals.

Another trait inherent in transformational leadership is macro-management. These leaders trust their employees to work independently without constant check-ins or supervision. They delegate tasks and give their followers a chance to improve their skills through their work. Part of allowing employees to work independently involves listening and being open to new ideas from employees. Inclusion in the decision-making process challenges and galvanizes employees, which can make them more productive.

Transformational leaders take an interest in the individual team members to prevent challenges from occurring. Strong transformational leaders mentor employees individually. This individualistic attention makes people like they bring value to the team, and mentoring is an investment in their future. It also provides a way for transformational leaders to learn how employees work best and gain the trust of their employees.

Ethical Promotion
For a company that embeds its values into its culture, transformation leadership is complimentary. These leaders get people to follow them by acting as an example. Upholding the values and ethics of the company and industry plays a key role in this. Making choices that uplift employees, maintaining honesty, and creating an inclusive and principled workforce can help leaders show their commitment to their ethics and values. Employees can internalize and display the same traits in their work.

Transformational leadership can help companies produce employees who enjoy their job, which creates loyalty and strive to meet goals. When leaders show these traits, they can productively engage their followers.