Exam 9: Charismatic and Transformational Leadership

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Not all leaders use their charisma for positive results.Some leaders use their charisma to promote self-interest.Group accomplishments are used for self-glorification,and ideological appeals are simply ploys to gain power.Other leaders use their charisma to inspire commitment to organizational ideals,not personal goals.Ideological appeals are genuine attempts to communicate a better vision for the organization rather than a ploy to acquire power.It is this quality of charisma to influence both positively and negatively that earns it the description as a double-edge sword.

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Despite the contributions by charismatic theorists to the field of leadership,charisma is not without its limitations.Charismatic leadership theories emphasize the role of an individual leader who takes the initiative for developing and articulating a vision to followers.However,it is more likely the case that in times of crisis (such as an organization facing significant external challenges or serious internal weaknesses),greater success comes from a shared strategic leadership approach than a lone star individualistic approach.
Most of the descriptive literature on effective leaders suggests that charisma in its individualized form may be inadequate to achieve major changes in an organization's performance.In fact,it is more likely the case that positive organizational change is the result of transformational leadership by individuals not perceived as charismatic.Thus,charismatic theories that emphasize "lone star" leadership by extraordinary individuals may be most appropriate for describing a visionary entrepreneur who establishes a new organization.