Industrial-Organizational Psychology
Learning Module
Leader-Member
Exchange (LMX)
Theory
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Lesson Objectives
At the end of this lecture, you should:
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Understand the elements of LMX theory
Know the precursors and outcomes of
LMX
Know how gender influences fairness in
LMX relationships
Understand the role of perspective taking
in LMX
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Leader-Member Exchanges
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Leaders develop relationships with each
member of work group
High quality relationship
 member
is part of “in-group”
 more responsibility, higher satisfaction
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Low quality relationship
 member
is part of “out-group”
 less responsibility, lower satisfaction
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Theoretical Overview of LMX
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Relationships develop from series of
exchanges or interactions
Phase 1: Role-taking
 member
enters organization
 leader assesses member’s abilities/talents
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Phase 2: Role-making
 informal,
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unstructured negotiation of role
Phase 3: Role-routinization
 social
exchange pattern emerges
 becomes routine
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Precursors of LMX
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Member attributes influence relationship
 extroversion
 abilities
 ingratiation
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behaviors
Leader provides social support
Affective responses influence relationship
 perceived
similarity
 attraction
 leads
to increased interaction
 trust
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Outcomes of LMX
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Job satisfaction
Organizational commitment
Moderated/affected by other factors
 type
of task matters
 level
of challenge
 situational
factors
 size
of group
 workload
 financial resources
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Gender/Fairness and LMX
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Gender differences influence interactions
Mixed gender relationships
 supervisors
rate performance lower
 supervisors report liking subordinate less
 subordinates experience greater role
ambiguity
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Opposite true in same gender relationships
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Gender/Fairness and
LMX Process Phases
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1: Role-taking - mutual respect essential
 men
and women define respect differently
 social categorizing and stereotyping
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2: Role-making - trust develops
 single
violation may destroy relationship
 violations reinforce negative stereotypes
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3: Role-routinization - mutual obligation
 gender/fairness
issues resolved by this
phase
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Perspective-Taking
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Ability to “read” leader or member
important in LMX
Use role-taking skills to entertain the point
of view of another
Associated with empathy, reasonableness,
and sensitivity
Negatively associated with aggressiveness
and sarcasm
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Perspective-Taking I Questions
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When you were drawing, did you draw
toward yourself or toward your partner?
How do you think your score on the
perspective-taking questionnaire might
relate to your performance on this task?
How do you think one’s tendency or ability
to take the perspective (i.e., point of view)
of another might influence the ways in
which leaders and subordinates interact?
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Perspective-Taking II Questions
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How difficult was it for you to imagine
drawing from your partner’s perspective?
How do you think your score on the
perspective-taking questionnaire might
relate to your performance on this task?
How do you think one’s tendency or ability
to take the perspective (i.e., point of view)
of another might influence the ways in
which leaders and subordinates interact?
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998
Perspective-Taking Wrap-up
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3 role-taking aspects related to
perspective-taking
 accurate
in ability to perceive how others
understand and respond to world
 can view situations from many perspectives
 able to perceive other’s perspective in
depth
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Leaders and members high on these
aspects may have higher quality LMX
Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998