Leadership Context Values-based leadership has a significant impact on the performance and functioning of an organization. Boje, (2000) cites Burn's (1978) theoretical work on transformational leadership basing his argument on Kohlberg's theory of moral development and Weber's (1947) theory of leadership and authority. In his work, Boje, 2000 agrees with Burn that a leader based on moral values ​​is one who emphasizes social exchange between leader and follower in the form of psychological contract and mutual needs driven by charisma, individualized consideration, intellectual stimulation and inspiring motivation. .(Homrig, 2001) The transcendent values ​​of transformational leaders have great potential to promote performance beyond expectations and to effect enormous changes in the way the organization operates as they seek freedom, justice, equality and collective well-being. It therefore appears that transformational leadership is that type of leadership that seeks to harness the full potential of individuals through the satisfaction of collective needs. While Weber's (1947) theory is cited by Boje, (2000) as having different forms of leadership such as charismatic, bureaucratic and traditional aspects, they all coexist together and change from the other occurs gradually. Although the two theorists; Weber (1947) and Burn (1978) approach leadership from different perspectives, Boje recognizes that they both share a similarity in their work in that they both see moral values ​​as an important consideration in any form of leadership. (Boje, 2000) .Transformational leaders inspire followers to achieve extraordinary results by providing meaning and understanding, questioning assumptions, refraining from problems and... middle of paper... the company's vision and mission to the in order to align their goals with the company. When Robert Eaton became president in 1993, he involved company executives to develop the vision and mission. As a result, better communication and ongoing training have become an integral part of the puzzle to doing business in a new way. (Ashley, 1997) In conclusion, leadership is not only important for companies operating on a global scale but also for domestic companies. It is clear that when a leader takes his rightful position as a leader, performance and results show up. Their values ​​and beliefs become the guiding principles in which ideas, imaginations and talents are shared by all. Such transformational leaders not only inspire their employees to follow them, but help each other grow, motivate and boost morale in achieving extraordinary results with few resources..