Characteristic

Advantages

Disadvantages

When to apply

Transactional leadership

When a leader forces a follower to act in a certain way in exchange for something the follower wants to gain or avoid.

By accepting their positions, employees unconditionally agree to obey management. Employees accept and carry out orders given to them, and health care managers in turn pay them their salaries.

Healthcare executives who prefer a transactional approach to leadership may be well suited to address cyber security challenges. Their penchant for close supervision and adherence to standards and procedures aligns well with the requirements of security planning. Clearly defined roles and guidelines are also critical in addressing cyber threats.

Does not promote creativity and does not inspire problem solving.

People work best when they are under clear command.

Close supervision ensures that people achieve their work goals.

The main goal of employees is to carry out the orders and instructions of their superiors.

Innovative leadership

Focuses on how to succeed in unpredictable circumstances and how to create an environment that fosters innovation in the healthcare organization.

Because this leadership style encourages employees to explore their own ideas, people tend to feel intrinsically motivated under innovative leaders. Intrinsic motivation often makes people perform better. It can also lead to high job satisfaction and lower turnover.

To harness the full power of data, healthcare leaders need to invest in technologies that can turn data into actionable information. They also need to ensure compliance with privacy laws regarding how health information can be used.

Adaptation to changes

Increasing team efficiency

Making a decision

Multi-stakeholder management.

Charismatic leadership

Charismatic leaders depend on their ability to communicate emotionally and emotionally. By powerfully expressing their vision and inspiring trust, they influence those they lead and persuade them to act.

Many of the strengths of a charismatic leader can be especially useful in high-stakes, stressful environments where team morale can easily suffer. The ability to emotionally connect and unite groups around common goals can foster loyalty and commitment to the cause, thereby reducing the risk of employee burnout and disengagement.

Because of their popularity, charismatic leaders may not hear critical feedback. However, constructive criticism plays a role in the success of the health care organization. For this reason, charismatic leaders must seek criticism and create opportunities for feedback.

Charismatic leaders can motivate their employees and involve them in their ideas. Because charismatic leaders are mission-driven, they often succeed in bringing about needed change in their healthcare organizations.

Situational leadership

Situational leaders study the tasks before them and determine which approach to leadership is most appropriate.

Compliance with the rules of the shift requires the participation and commitment of all personnel. Situational leaders’ skills in providing directives, encouraging participation, and delegating responsibilities are well suited to regulatory compliance.

Situational leadership recognizes that a one-size-fits-all approach does not always work. Health care managers may find great advantage in using a leadership style that provides flexibility in dealing with complex social situations.

The developers of the theory of situational leadership suggest that leaders check the maturity levels of individuals or groups, how to choose how to approach them. In this context, maturity refers to the level of competence and knowledge of people.

Transformational leadership

It is aimed at giving employees the opportunity to participate in initiating changes that can change the health care organization for the better. Transformational leaders look for ways to share the leadership process with employees at all positions.

Adopting a transformational approach to leadership can be helpful when managing disruptive change. Healthcare leaders may also find it useful to take a transactional approach to leadership to meet the specific metrics required for value-based care. Cost control and data collection require strict adherence to roles and procedures.

In situations where employees lack skills and need close supervision, a transformational leadership style may not be best or helpful.

If necessary, motivate and inspire employees to work on improving the health care organization. Leaders inspire loyalty by building trust and a shared vision among employees.