Advantages and disadvantages of lmx theory

leader member exchange theory pdf

This score was interpreted as a very high score. The in-group consists of a few trusted followers with whom the leader usually establishes a special higher quality exchange relationship.

Leader member exchange theory ppt

Supportive colleagues can help overcome workplace anxiety. A member who is similar to the leader is more likely to succeed. You may have noticed your team leader or manager have more interactions with some of the team members. From Chapter 2 of the textbook, we have learnt that surface-level diversity can be outweighed by the deep-level similarities and surface-level similarities can also be outweighed by deep-level differences. Subordinates feel a sense of loyalty to the leader and do not mind going above and beyond their job description. Communication is a medium through which leaders and subordinates develop, grow and maintain beneficial exchanges. This can lead to direct conflict between the two groups. The quality of the relationship is reflected by the degree of mutual trust, loyalty, support, respect, and obligation. In the role-making stage, leaders and members negotiate informally on issues related to the workplace. In addition, in-group members are more likely to take on administrative tasks that support the leader and demonstrate loyalty.

Moreover, diversity is one of the factors that decide the success of a team. The group a member lands in tends to be the group where the member remains. The out-group consists of those who have failed to curry the leader's favor.

what are the specific benefits of high-quality leader-member relationships for leaders?

It states that two types of relationships develop and it categorizes the relationships into two subgroups. The Vertical Dyad Linkage Model explains the dynamics of the relationships leaders form with each of their group subordinates, or members.

Advantages and disadvantages of lmx theory

It is an enjoyable productive experience, which makes all group members from the leader to the most junior group member stronger as everyone pushes themselves and each other to be better. Out-group members do not feel treated fairly and feel that their efforts are not appreciated Northouse, The in-group also has better access to resources. In the role-making stage, leaders and members negotiate informally on issues related to the workplace. Strengths of LMX Theory LMX theory is an exceptional theory of leadership as unlike the other theories, it concentrates and talks about specific relationships between the leader and each subordinate. Because of the uneven or discriminatory treatment, the out-group members would react according to the equity theory. It states that two types of relationships develop and it categorizes the relationships into two subgroups. For example, members who are highly agreeable may be preferred by a leader who is not as such personality characteristics of the members may allow leader to facilitate changes in the team more efficiently. For these reasons, low attrition rate, increased salaries, and promotion rates are associated with the in-group members in comparison to that of the out-group members.

For example, reduced employee turnover, increased organizational commitment, and faster promotions are listed in the newest research on the exchanges between leaders and followers.

This kind of a treatment is not given to the members of the out-group. A member who is similar to the leader is more likely to succeed.

LMX Theory is a robust explanatory theory.

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Transformational Leadership Theory and LMX Theory