ABSTRACT

Charismatic approaches tend to focus on the personality of the leader and thus show great interest in leader traits, especially mystique, and cultural expectations. On the other hand, transformational theories tend to focus on how leaders lead change and the "triggers" of change. This chapter presents a brief sketch of Otto von Bismarck, architect of the modern German state, provides an example of the complexity of extracting a large personality out of a great change process or vice versa. Charismatic leadership is also based on the leader's passion, confidence, and exceptional ability to persuade and sway people. The chapter briefly reviews two of transformational leadership: Change Master Theory and Leadership Practices Theory. Performance expectations in transactional theories tend to emphasize "good" performance. Exceptional performance is necessary for organizational success, whether that entails higher productivity levels, a greater contribution in adaptation and innovation, or effective organizational transformation.