Theories of transformational leadership and leader-member exchange leadership have been a topic of discussion for many researchers. The majority of authors agree that transformational leaders “have qualitatively different and quantitatively greater effects on their followers than the effects of exchange leaders” (Gupta & Krishnan 2004, p.7). This essay builds on the existing literature on these two theories and will attempt to draw a parallel between LMX and transformational leadership, that is, it will reveal the different and similar qualities of supervisor-subordinate relationships. Specifically, the essay focuses on the mechanism each leadership style uses to develop these relationships. This will actually help uncover some differences and similarities. This article first revisits the main aspects of transformational leadership and LMX leadership theories, then discusses them in relation to their capacity to develop different qualities of supervisor-subordinate relationships. In “Leader-Member Exchange, Transformational Leadership, and Value System” Krishnan (2005). ) noted that according to Burns, "the result of leadership transformation is a relationship of mutual stimulation and elevation that converts followers into leaders and leaders into moral agents", meaning that leaders and members of the leadership The team offers each other. In this case, leaders serve their followers, create conditions for their further development and allow them to feel free and independent in their work. Burns also asserted that "leaders and followers elevate each other to higher levels of morality and motivation", that is, transformational leadership is possible because team members and followers leaders improve each other (Gupta and Krishnan 2004, p. 14). Bass further expanded the theory proposed by Burns and brought it into the organizational context. He defined transformational leaders as leaders who motivate their followers to do more than they initially expected. Transformational leaders are attentive to the needs of team members; however, it takes time to develop strong emotional bonds between them. Nevertheless, leaders always encourage their followers to give their best. Leaders help people look beyond self-interest for the good of the entire group, organization, or society. They also help followers understand the need for emotional and intellectual change; committing to the greatness that lies in the aspiration for business efficiency “such as profits and high stock values, as well as impeccable ethics” (Dubrin et al 2006, p. 107). Thanks to leaders, team members know the goals and the means to achieve them. As conceptualized by Bass (2003), transformational leadership includes charisma, intellectual stimulation, inspirational motivation, and individualized consideration...