Leadership - Leader-Member Exchange

6 important questions on Leadership - Leader-Member Exchange

What is leader-membership exchange (LMX)?

LMX is defined as the quality of the working relationship that is developed with each follower.
  • How well does your leader recognize your potential?
  • How well does your leader understand your job problems and needs? 

The LMX model has shown that in a relatively short period of time, leaders decide who is in their “in-group” and who is in their “out-group.”

What is the difference between the in-group and out-group?

  • These are the leader’s “go to” people in a work group
  • They are dependable, trustworthy, and assist the leader in reaching his or her goals
  • They get more responsibility, receive better performance evaluations, higher salary increases and are promoted at a rate faster than their peers  

  • Out-group members are not poor performers.
  • Out-group members perform to the specifications in their job descriptions but
  • don’t go above and beyond
  • don’t take on extra work.
  • Get less responsibility, receive lesser performance rating, etc.

How do effective LMX relationships develop?

1. Role-taking;
  • boss tests the commitment of followers by offering extra work in exchange for benefits

2. Role-making;
  • mutual expectations established
  • follower’s role clarified

3. Role-routinization;     
  • roles become predictable
  • leader and follower both know what to expect 

Why is a positive working relationship with your boss important?

An effective working relationship with your boss predicts performance, job satisfaction, organizational commitment, motivation, and lower turnover.

What are follower reactions to authority?

Counterdependent - Resent authority and being told what to do.

Overdependent - Compliant and give in all the time.

Interdependent - Depend on one another to get things done in the group and organisation.

What is the self serving bias?

Self-serving bias occurs when a person attri­butes successes to internal factors and failures to situational factors.

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