Hi everyone! Maria is here again, a psychologist and member of the Business Development team at 1-StopAsia. I hope you’ve enjoyed our exploration of the intersection between psychology and the translation industry. Today we’re diving into a new chapter of our journey – Company Governance that impacts not only the efficiency and success of a company but also the well-being of its employees. Today we will look into the leadership styles.
Leaders are essential to the well-being of the workplace, especially in an industry like ours where hybrid or remote work, tight deadlines, and constant adaptation are the norm. In this article, we will go deeper examining two common leadership styles—transformational and transactional—and their impact on employee well-being. When leaders understand how these styles shape the workplace, they can create an environment where teams can thrive both professionally and personally.
Transformational Leadership vs. Transactional Leadership: A Brief Overview
Transformational leadership focuses on long-term goals by motivating and inspiring employees to achieve and exceed their objectives through empowerment and a shared vision. Leaders who follow this style tend to be proactive and encourage creativity, independence, and innovation while focusing on team building and individual support.
On the other hand, transactional leadership emphasizes structure, supervision, and performance. Managers here tend to focus on clear goals, rewards, and punishments to keep employees on task and ensure efficiency. Although both leadership styles have their advantages, they affect employee well-being in different ways.
Impact on Employee Well-Being
1. Transformational Leadership and Well-Being
- Emotional Support and Growth: Transformational leaders provide ongoing emotional support, promote a sense of belonging, and reduce workplace stress. Employees feel valued and encouraged to grow personally and professionally. This type of leadership can have a significant positive impact on mental health, improve morale, and reduce burnout but is not always applicable for some positions, due to the specifics of the daily tasks.
- Improved Engagement and Job Satisfaction: By creating an environment of trust and mutual respect, transformational leaders can often achieve higher levels of employee engagement. When employees are actively involved in shaping the company’s vision, they are more likely to find meaning in their work, which helps to increase job satisfaction. It is important to mention that this leadership style fits best creative and communication-focused positions. If this leadership style is implemented in a highly structured position, this might have the opposite effect and leave employees confused and stressed.
- Challenges: However, transformational leadership requires energy and consistency. It also requires excellent interpersonal skills from the leaders to recognize personality types and lead accordingly without restricting freedom and at the same time delegating responsibility. When leaders fail to maintain engagement or create unrealistic expectations, it can lead to stress or disappointment among employees who feel unsupported. This is why even if they set up long-term goals, leaders should plan realistically with steady, gradual improvement, which will also keep the constant engagement, grow the passion for the profession, and improve creativity over time.
- Pro Tip: Leaders can maintain the well-being of their teams by regularly communicating with employees to provide feedback, celebrate small successes, and make necessary adjustments to their leadership approach. This ensures that the inspiration they provide is aligned with the goals and abilities of the individuals.
2. Transactional Leadership and Well-Being
- Clarity and Structure: Transactional leadership provides clear guidelines, rules, and expectations, which can reduce anxiety for employees who prefer structure. Employees know exactly what is expected of them, and they can rely on a reward system to motivate them. This predictability can create a stable work environment where employees feel safe. This approach is essential for some positions within our Translation industry. Positions like Project Management and administrative and technical positions benefit from a structured and unified approach which improves efficiency and also makes troubleshooting easier.
- Burnout Risk: While transactional leadership is effective for short-term goals and crisis management, it can also lead to a higher risk of burnout if employees feel their efforts are evaluated solely on performance. This emphasis on performance rather than personal development can lead to feelings of disengagement or undervaluation.
- Limited Growth: Employees may feel their creativity or personal growth is stifled. They often have less autonomy to explore new ideas or take initiative, which can negatively impact motivation and job satisfaction over time. Repetitive tasks and procedures leave the sensation of a sterile work atmosphere where new ideas and approaches are rarely introduced. This might make employees unable to show other qualities that might be essential for the company’s and their personal well-being.
- Pro Tip: To balance a transactional approach, leaders can incorporate recognition and appreciation beyond results. Recognizing the effort, creativity, or collaboration required to achieve a goal can foster a more positive atmosphere while maintaining clarity and structure. The introduction of a “suggestions box” at the office or space in your communication platforms could present the opportunity for employees to share new ideas or changes regarding the work process.
Find the Right Balance for Happiness
Many leaders choose to use a mix of transformational and transactional styles, depending on the needs of their team and the specific goals they want to achieve. Knowing when to encourage creativity and when to create structure is key to promoting employee well-being. Here’s how to find that balance:
1. Personalize leadership: Every employee has different needs when it comes to support. While some thrive under transformational leadership, others prefer the clear expectations of transactional leadership. Leaders should tailor their approach based on an individual’s strengths, communication preferences, and psychological needs. This is why one of the most important qualities of leaders and managers, has to be social and emotional intelligence which helps to identify the type of personality on the other side and adjust leadership based on the personality and position.
- Pro Tip: Hold regular one-on-one meetings to get feedback from your team. Ask them how they feel about the support they’re receiving and if they need more structure or freedom in their role. Use this time to get closer to your team and understand more about their current situation outside of work. Sometimes people could be overwhelmed by personal issues and might need more or less support and supervision in their daily working activities.
2. Promote a culture of recognition: Both leadership styles benefit from a strong culture of recognition. Whether employees are exceeding goals or coming up with creative ideas, feeling valued goes a long way toward keeping them mentally and emotionally engaged.
- Pro Tip: Make recognition a regular part of team meetings. Celebrate individual and team achievements, and emphasize the effort and collaboration behind the results.
3. Encourage open dialogue: Leaders must create a safe space for employees to voice concerns or challenges related to productivity and well-being. Open communication builds trust, which in turn promotes a healthy work environment where employees feel supported.
- Pro Tip: Facilitate regular wellness checks to discuss how employees are managing their workload and stress levels. Stay informed about stress-handling strategies and implement changes in workload if needed. This practice not only helps prevent burnout but also improves team morale.
Conclusion
Both transformational and transactional leadership styles have their place in the translation industry. The key to maintaining a healthy workforce is to understand the strengths and limitations of each approach and apply them carefully based on the needs of the team. Building a team is like building a family and requires both understanding and commitment. Let’s not forget that we spend the majority of our day at work, so staying healthy and productive is important to foster a positive work culture. By fostering a balanced environment that promotes structure and inspiration, leaders can ensure that employees remain proactive without compromising their well-being.
Moving forward, let us continue to create workplaces where productivity and personal well-being coexist in harmony. Stay tuned for more insights on how psychology continues to shape the translation industry and our working lives.