Transformational leadership can be a good way for an organization to grow and improve with the right leader. The concept first appeared at the suggestion of leadership expert James MacGregor Burns (Randolph, 2021). Transformational leadership, according to him, is the shift of leaders and followers to a higher degree of morality and motivation. With insight and charisma, transformational leaders can inspire others to change their expectations and motivation to move towards higher goals. In this regard, this type of leadership can be especially effective in nonprofit organizations.
One of the main advantages of this type of leadership is that the selfless vision of the company inspires and encourages the director to become transformational. Accordingly, the goals of such management will be directly correlated with the company’s targets, which is a positive growth factor (Peng et al., 2020). The second advantage is the desire for innovation. Nonprofit organizations are often involved in charity or socially significant projects. This means they need constant progress to improve their services and expand their coverage to help as many people as possible. For this, the ideal option would be implementing the changes and innovations that the transformational leader provides (Asbari et al., 2020). The third advantage of this type of management can be called raising the morale and efficiency of employees. This is especially important for nonprofit companies where people sometimes work on an unpaid volunteer basis (Almas et al., 2020). Thus, improving their motivation and state of mind will directly affect the efficiency of the entire company. The next benefit of transformational leadership for such organizations may be the development of future leaders (Abu-Rumman, 2021). Many employees can take an example and learn from the current leader to take his place later. In this way, the skills and competencies of all employees of the organization will be improved.
In conclusion, it is worth saying that transformational leadership is the best way to manage nonprofit organizations. This effect is achieved by combining all the positive aspects of this type, which are combined with the qualities that managers should have. In charitable and social companies, it is essential to motivate employees and promote their desire to work for the good of society. Thus, the transformational leader will ensure innovation in the company and improve the skills of employees.
References
Abu-Rumman, A. (2021). Transformational leadership and human capital within the disruptive business environment of academia. World Journal on Educational Technology: Current Issues, 13(2), 178-187. Web.
Almas, S., Chacón-Fuertes, F., & Pérez-Muñoz, A. (2020). Direct and indirect effects of transformational leadership on volunteers’ intention to remain at non-profit organizations. Psychosocial Intervention, 29(3), 125-132. Web.
Asbari, M., Santoso, P. B., & Prasetya, A. B. (2020). Elitical and antidemocratic transformational leadership critics: is it still relevant?(A literature study). International Journal of Social, Policy and Law, 1(1), 12-16. Web.
Peng, S., Liao, Y., & Sun, R. (2020). The influence of transformational leadership on employees’ affective organizational commitment in public and nonprofit organizations: A moderated mediation model. Public Personnel Management, 49(1), 29-56. Web.
Randolph, S. (2021). A Review of Selected Works of James MacGregor Burns. Journal of Character and Leadership Development, 8(1).