LA level 5 leader has specific qualities that make them so great. They are stubborn and ruthless but they are humble. Level 5 leaders accomplish great things for their company and never take any credit because they give the credit to their people, luck and external factors. Making their company successful and great is what motivates them. When they leave, they expect their company to be even better. These qualities are what makes a level 5 leader take a good company and turn it into a great company.
A transactional leader focuses on structure and process rather than outside the box thinking. Transactional leaders use positive and negative reinforcement to manage employees. Praise and bonuses when employees do well is some positive reinforcements that they use. Reprimands or suspensions when work quality falls or something else goes wrong is some negative reinforcements that they use. Transactional leader are also especially effective in times of crisis.
A transformational leader can motivate people to want to change, to improve, and to be led. They do this by being a role model. Transformational leaders motivate people to achieve high standards and challenge people to develop creative solutions. They develop people on individual basis. Transformational leaders are great at aligning the company’s interests with employee needs.
Executive A is a level 5 leader. Colleagues describe as driven, fiercely ambitious and entirely focused on the company. He shies away from the attention and often gives credit for the company’s success to other leaders in the organization. He is quick to accept responsibility for mistakes and poor results and takes pride in developing strong leaders within the company. These are all qualities I described above for a level 5 leader.
Leader B is a transactional leader. He establishes clear goals by clarifying role and task requirements