ABSTRACT

Many people may feel uncomfortable with an exchange-based approach to relationships. In fact, exchange-based leadership theories have been criticized by many academics. Leadership theories based on exchange are known as transactional theories, and have been seen as inferior to transformational leadership, where workers move beyond self-interest to a broader interest and alignment with organizational goals. In contrast, transactional leadership is normally based on material exchange, in which the workers receive material rewards for their work. It is the type of work relationship we see in the first phase of this leadership model. However, this model explains how transactional leadership can evolve into a transformational relationship. There has been little academic research into fun in the workplace, and there is some uncertainty whether it even belongs at work. Some writers argue that humour can distract attention from work and hinder productivity, and some forms of humour can actually upset workers.