Transformational leadership is widely recognized as an effective leadership style; however, it is important to recognize its potential misuse, where it may serve a leader’s self-interests at the expense of others, both inside and outside the organization. In this article, we present an experiential exercise that uses the case of Theranos and its founder and former CEO, Elizabeth Holmes, to highlight the limitations and potential dark sides of transformational leadership. In this exercise, students watch three YouTube videos about Holmes, identify the characteristics of Holmes that match transformational leadership, and discuss issues with her leadership style. This exercise can be used in Introductory Management and Organizational Behavior courses, in-person or virtually. Students who have completed the exercise agree it is effective in teaching the concept of transformational leadership and in fostering active class engagement.
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