Abstract:

The present study was aimed at examining the role of the facets of transformational and transactional leadership style in the prediction of decision-making styles. Two standardized measures were administered on a purposive sample of 300 bank managers was included in the study from public and private sector banks (including operational, middle and top management). Idealize influence behavior has significant positive effect on rational style. Inspirational motivation has significant positive effect on rational and intuitive style. Inspirational motivation has significant positive effect on rational style whereas significant negative effect on avoidant and spontaneous style. Contingent Reward positively predicted rational style. Management-by-Exception Active showed positive effect on rational, intuitive, and dependent style and negatively predicted spontaneous style. Management-by-Exception Passive positively predicted avoidant style and displayed negative effect on rational style. Finally, implications, limitations, and suggestions were discussed.

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