Leader-Member Exchange Model



Leader-member Exchange Model

Introduction

Every leader and his/her followers work differently in various complex situations and are considered as unique. Leadership is considered as effective when both follower and leader have good relationships between them which help a lot in accomplishing desired goals (Graen, Uhl-Bien, 2005). In order to build this effective relationship between leader and follower, an appreciation for personal values is required especially to who are willing to use their talents and use their energy to fulfill shares goals. There are various leadership theories defining styles, characterizes and traits of leaders, here in this paper I am going to evaluate Leader Member Exchange Theory, (LMX theory) in which I shall be giving brief introduction about in/out groups along with specific examples and descriptions.

In and Out Groups

Today, many companies frequently bring together various teams where some members participate remotely and some are collocated. We usually notice that managers and team leaders have more interactions with some specific members of the team plus those members tend to receive all important responsibilities from team leaders and these members are preferred more and also considered on first place for the recognition and rewards. This tendency is central to Leader-member exchange theory (Fairhurst, 1993). This theory states that in most of the situations leaders does not treat every member the same. Dyadic relationship is build between followers and leaders and each follower is treated differently by leaders which results into two follower group: an in group and out group.

In-Group

Those team members that are proven loyal, reliable and qualified are placed within this group membership. This group consists of team members that are more confident to manager, to which he devotes more attention and give them challenging work and interesting, offering opportunities for training and promotion (Dienesch, Liden, 2006). This group also becomes more confident with the manager. Often, people in this group have a similar personality, work ethic and feel supported by their boss.

Out-Group

The members of this group have much formal relationship with leaders. When the team could somehow betray confidence manager, or show that they are unmotivated and a lack of competition, they are placed within this group. The work of this group is often limited and unrewarding, tend to have less access to and relationship with the manager, and often do not receive opportunities growth or progression.

Situation

In group

People considered as part of in-group are some trust followers of their leaders, usually having strong relationship or we can say special higher quality relationship. I was also placed in group category by my fellows when I was doing internship at reputable organization. I was efficient enough in my work which helped me in achieving more than my target. I was able to do my work effectively because my leader was an effective leader and I usually followed his all directions and we were of almost same age that allowed us to build even stronger relationship. My leader liked me and due to my efficiency in work he used to assign me various ...