Chapter 7: Leader–Member Exchange Theory 

Lauren Dodge 

Dr. Wood 

Leadership 1301 

25 September 2018 

Review Questions 

Chapter 7: Leader–Member Exchange Theory 

  1. What researchers are most associated with leader–member exchange theory?

Dansereau, Graen, Haga, Maslyn, Schyns, Farmer, Randolph-Seng. 

  1. Explain the differences between in-groups and out-groups.

The “in-groups” are based on the expanded and negotiated role responsibilities whereas the “out-groups” are based on the formal employment contract or the defined roles.  

  1. How did the focus of research change from early research studies to the later studies?

The researchers changed the focus from “in-groups” and “out-groups” to a more focused study of how LMX theory was related to organizational effectiveness.  

  1. What were the findings of the Gerstner and Day (1997) meta-analysis?

They found that leader-member exchange was consistently related to member job performance, satisfaction, commitment, role conflict and clarity, and turnover intentions.  

  1. How does communicating through technology at work affect leader–follower relationships?

Communicating through technology takes away that personal side of a relationship. I believe with technology there may be less motivation as a follower as there will be no emotion attached like there is in a personal connection.  

  1. What support is there for the validity of the LMX 7 Questionnaire?

Gerstner and Day found the support for this meta-analysis for the psychometric properties of the questionnaire.  

  1. Explain the concept of leadership making, including each phase.

Phase 1: Stranger. The interactions between the leader and follower rely on rules and are headily contractual relationships. Follower complies with the leader.  

Phase 2: acquaintance. Improving career-oriented social changes which involve sharing more resources and personal or work-related information.  

Phase 3: Partnership. High quality exchanges between leader and member. Mutual trust, respect, and obligation toward each other. Dependable relationship.  

  1. What is meant by the term “empowerment” and how does it relate to LMX?

As we increase in a phase and better relationship between leader and follower there is more empowerment to reach the goal. Empowerment is the will and the drive to succeed.  

  1. What strategy do researchers typically use to evaluate leader–member exchanges?

Kelley (2014) investigated the ways leaders use narratives. Other researchers identify the importance of looking at social interactions and communication. 

  1. How can leaders best determine how trustworthy or reliable their followers are?

They can identify through social interaction and traditional friendship building techniques.  

  1. Explain how leader–member exchange theory works, both descriptively and prescriptively.

The ultimate goal is a good relationship between the leaders and followers. Working with an in-group allows a member to accomplish more and, in return, leaders will give them more responsibilities and opportunities. Leaders will also give them more of their time and support.  

Out-group members operate strictly within their defined roles (they do what is required). Leaders treat them fairly but with no extra attention.  

Graen and Uhl-Bien advocated that leaders should attempt to have a good relationship with all followers as they do with in-group members. Everyone should have fair opportunity to have high quality exchanges with their leader.  

Focusing attention on the relationships.  

  1. What is the relationship between LMX and employee energy and creativity?

Typically, in-group members have better relationships with the leader because they are receiving more attention for their work and are given more room for creativity which leads to more motivation and energy. 

  1. What are strengths of leader–member exchange theory?

-strong descriptive theory 

-only leadership approach that focuses on dyadic relationships 

-directs attention to the importance of communication 

-alert for leaders to stay unbiased 

-Substantiates relationship to positive organizational outcomes 

  1. What are criticisms of leader–member exchange theory?

-runs counter to the human value of fairness  

-does not address the follower’s perception of fairness: promotions, pay-wages, decision making, communication 

-basic ideas are not fully developed 

-inadequate explanation of contextual factors 

-measurement of leader-follower exchanges 

  1. How can LMX be applied to different levels of an organization?

Leader member exchange is related to performance, organizational commitment, job climate, innovation, organizational citizenship behavior, empowerment, procedural, distributive justice, career programs, etc. – Graen and Uhl-Bien (1995)

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