Leadership style that includes passive management by exception, active management by exception, and contingent reward focused on performance expectations.

• A. Time-Driven Model of Leadership
• B. Transformational Leadership
• C. Skills Approach
• D. Transactional Leadership Model

Answer: (D)

Transactional leadership centers on using contingent rewards and management by exception to guide performance. Passive management by exception means the leader intervenes only after standards are violated, while active management by exception involves actively monitoring for deviations and correcting them as they happen. Contingent reward ties performance to rewards or recognition. This combination focuses on concrete exchanges and performance standards rather than inspiring change or developing followers.

Transformational leadership, by contrast, emphasizes motivating and intellectually stimulating followers to exceed expectations and pursue a shared vision, not just meet predefined standards. The skills approach looks at a leader’s abilities and competencies rather than a specific pattern of supervision and rewards. The Time-Driven Leadership Model centers on how time impacts leadership decisions, rather than the exchange-based, corrective-reward behavior described here.