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2.4 Leader Member Exchange (LMX) Theory 2.4.1 LMX Defined Developed by Graen (1975) and colleagues (e.g. Dansereau et al., 1975), Leader- Member Exchange theory, initially called Vertical Dyad theory, focuses on the valuable leadership achieved in the relationship between the leaders and the followers (Martin et al., 2010). The focal notion of LMX is that leadership occurs through an effective relationship development of individuals (Uhl-Bien, 2006). These relationships progress through a sequence of social exchanges and are defined as the value of the relationship between the leader and the subordinate (Schriesheim, Castro, & Cogliser, 1999). LMX theory states that, within work units, the quality of the leader- member exchange differs widely along a continuum of low to high quality LMX. Members in the low quality LMX range receive fewer valued resources than those in high quality LMX relationships. Graen and Cashman(1975) argue that a contractual atmosphere is maintained in the exchanges at this level. In contrast, leadership relationships with high quality LMX are those most favoured by their leader, and the exchanges often surpass the limitation of a formal employment contract. These subordinates thus receive influence and support from their managers, thereby providing the subordinates greater autonomy and responsibility (Dansereau et al., 1975). This in turn, enhances the subordinates’ work performance (Hogg & Martin, 2003). Sin et al. (2003) state that high level leader member exchange (i.e. LMX) is characterized by a high degree of trust and obligation, whereas low level LMX implies a low level of trust. These groups of high quality and low quality LMX relationships are sometimes mentioned as “in-group” and “out-group” (Graen & Cashman, 1975) or as “trusted assistants” and “hired hands” (Cogliser et al., 2009). 13
Colquitt, Lepine and Wesson (2011) relate LMX to role theory and explain that leaders develop vertical dyads during role-taking phases. The stages progress through the tenure of employment of a subordinate and develop into a role saturation phase. Colquitt et al.(2011) suggest that there is a free flow of exchange at this stage wherein a supervisor offers more support and opportunities, and the subordinate contributes with more activities and effort. Northouse (2001) believes that LMX theory works in a two-way process by both describing and prescribing leadership. In both examples, the primary concept is centred on how the leader develops dyadic relationships with his or her subordinates. Working with in-group workers allows the leader to accomplish more effective work compared to that achieved with those in an out-group. In addition, the members of out-groups do not do extra work and operate only within their prescribed operational roles. Graen and Uhl-Bien (1991) further advocate that the leaders should create relationships with subordinates in a manner similar to that of the high LMX group or in-group to create quality partnerships with members in the organisation. 2.4.2 LMX in Hospitality Numerous studies in the hospitality literature have analysed LMX and certain studies are highlighted in this section. For example, Testa (2002) found that high LMX groups fostered higher levels of trust, and higher levels of satisfaction with their supervisors. The influence of LMX in role negotiations was extensively discussed by Borchgrevink et al. (2001). This study found that members with high LMX had strong relationships with their supervisors. The LMX and TMX (Team-Member exchange) were proposed as likely moderators to test the employee socialisation (Lam, 2003). The results of this 14
Page 1 and 2: An examination of the relationship
Page 3 and 4: 3.2 Research Paradigms ............
Page 5 and 6: LIST OF TABLES Table 1: Measures of
Page 7 and 8: LIST OF FIGURES Figure 1: Conceptua
Page 9 and 10: ACKNOWLEDGEMENTS I take this opport
Page 11 and 12: employees and help human resource d
Page 13 and 14: Several leadership theories can be
Page 15 and 16: 1.2 Research Objective This study d
Page 17 and 18: 1.5 Definitions of Key Terms Leader
Page 19 and 20: 2.2 Characteristics of the Hospital
Page 21 and 22: satisfaction, as employees have a v
Page 23: The theories that focus on follower
Page 27 and 28: elationships with the organisation.
Page 29 and 30: In particular, Grestner and Day (19
Page 31 and 32: Martin, 2004; Kenney, Blascovich, &
Page 33 and 34: 2.5.1.5 Egocentric bias Egocentric
Page 35 and 36: The foregoing sections reviewed the
Page 37 and 38: (1993)analysed the relationship bet
Page 39 and 40: etter organisational commitment whe
Page 41 and 42: Turnover is a topic of intense rese
Page 43 and 44: poor working conditions and unsatis
Page 45 and 46: group, they will regard themselves
Page 47 and 48: 3.1 Introduction CHAPTER 3 - METHOD
Page 49 and 50: present study is consistent with a
Page 51 and 52: hospitality literature have been co
Page 53 and 54: Table 1: Measures of Subordinate LM
Page 55 and 56: Table 3: Measures of Turnover Inten
Page 57 and 58: English (Manjunath & Kurian, 2009).
Page 59 and 60: and a Participant Information Sheet
Page 61 and 62: 3.8.1.2 Support for the Difference
Page 63 and 64: dependent or independent (Székely
Page 65 and 66: CHAPTER 4 - RESULTS The research in
Page 67 and 68: 1. Gender: Lodging: All of the 161
Page 69 and 70: are marginally more experienced wit
Page 71 and 72: Table 9: Industry Experience of Sub
Page 73 and 74: Table 10: Job Function of Subordina
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Table 11: Hospitality Education of
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4.1.2 Supervisors The supervisors w
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3. Tenure: All supervisors from bot
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Table 16: Industrial Experience of
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experience among the supervisors in
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among these supervisors ranged from
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This hypothetical supervisor will h
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Figure 2: Scree Plot 78
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supervisor LMX score of each partic
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On the other hand, supervisor LMX i
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Table 26: Correlation Results when
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Table 29: Subordinate Tenure Fewer
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a moderate correlation (.322) betwe
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Table 33: Supervisor Industry Exper
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From the results presented in Table
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5.1 Introduction CHAPTER 5 - DISCUS
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findings suggest that behaviours re
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agreement with the organisational c
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In addition, the research used two
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commitment. It is evident that comm
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science study, where perceptions of
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REFERENCES Adler-Milstein, J., Sing
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BLS. (2011). Job openings and labor
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De Matos, C. A., Henrique, J. L., &
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Harris, M. M., & Schaubroeck, J. (1
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Kara, D. (2012). Organisational com
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Lord, R. G., & Emrich, C. G. (2001)
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Pellegrini, E. K., Scandura, T. A.,
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Sin, H. P., Nahrgang, J. D., & Morg
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Vecchio, R. P. (1998). Leader-membe
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Kindly complete the following quest
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Appendix 2: Supervisor Questionnair
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Appendix 3: Participant Information
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The only cost to you is your time:
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Appendix 5: Participant Information
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How do I agree to participate in th
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