The Exchange

Throughout my adult life, I have found that different leaders expected more from me than others.  The amount expected was sometimes linked to my relationship with the leader.  Sometimes I received more influence and concern from leaders.  Other times, I was just another employee.  What did I receive from those leaders who showed concern and what did they receive from me?  How was my treatment from those who did not show the same concern?  The answers can be explained via the Leader-Member Exchange (LMX) theory.

First and foremost, what is the LMX theory?  According to Northouse (2013), “LMX theory makes the dyadic relationship between leaders and followers the focal point of the leadership process” (p. 161).   This dyadic relationship determines whether a follower is placed in the in-group or out-group.  The in-group is that group which the leader bestows expanded responsibilities and the out-group is those which are follower based on employment or contract only.  Personality and other characteristics also play a role on whether an employee is part of the in-group or the out-group.  Early in my career, I was known to be very motivated to work.  This placed me in the in-group of many of my superiors.  I was given more jobs to do and trusted more than some of my peers to do more complex tasks.  I learned many things from my supervisors and in turn, I gave them all the work I was able to do.  I looked forward to coming into work and doing my best.

“…studies found that high-quality leader-member exchanges (which are probably exchanges between people in some kind of in-group) produced less turnover, higher performance evaluations, higher amount of promotions, greater organizational commitment, better work assignments, better job attitudes, more support from the leader, and faster career progress” (PSU WC, 2014, L.8 p. 4).  As my career progressed and I started to lead, I found improving relationships with my subordinates to be an effective method of leadership.  In and out-groups were less important to me as I strived to develop a relationship where everyone could be part of the in-group.  My workers put forth extra effort in their jobs (which made my job easier) and in turn, I was able to offer rewards such as time off and company wide recognition.  People wanted to work for me and I was able to reward their efforts.

But what of the out-group?  Do they still receive the same benefits?  Some criticisms of LMX theory state an issue of fairness.  Those in the out-group often do not receive the same attention as the in-group.  They often come into work, work, and then go home.  Often times, this can appear to show favoritism for the in-group.  Whenever I was part of the out-group, I did what I was told, but deep down I could tell that I was not receiving the same amount of attention or given the same amount of time as those in the in-group.  If anything, it taught me to always pull those who find themselves in the out-group toward the in-group…or at the very least do my best to keep everything fair.

So in the end, my adult life I have seen various groups form and what effects those groups can have on the relationships between leaders and followers.  I have seen great exchanges between both parties when relationships are high and have seen what could be perceived as unfairness when relationships are not as close.  In the end, through LMX theory, I have learned to strive for equality while at the same time strive for high quality leader-member exchanges.  In the future I will be filling both leader and follower roles.  I need to learn from previous exchanges and hopefully be influenced to take on more roles and responsibilities all the while influencing my own followers.  The exchange between all parties can lead to great things.

References

Adams, S. (Artist). (2007).  Dilbert. [Image].  Retrieved on March 9, 2014 from                             http://dilbert.com/dyn/str_strip/000000000/00000000/0000000/000000/00000/10   0/600   1607/1607.strip.gif

Northouse, P. (2013).  Leadership: Theory and Practice. (6^th Ed.).  Thousand Oaks: Sage.

Pennsylvania State University World Campus. (2014). PSYCH 485.  Lesson 8: Leader-Member   Exchange Theory (LMX.).  Retrieved on March 9, 2014 from                                                    https://courses.worldcampus.psu.edu/sp14/psych485/001/content/08_lesson/01_page.ht     ml