What does team–member exchange bring to the party? A meta‐analytic review of team and leader social exchange

Both leader–member exchange (LMX) and team–member exchange (TMX) measure the quality of reciprocal exchange among employees in the workplace. Although LMX focuses on supervisor–subordinate relationships while TMX examines the relationships among team members, both have theory‐based and empirically proven relations with workplace outcomes such as job performance, organizational commitment, job satisfaction, and turnover intentions. However, it is not yet known which has more of an impact on such workplace outcomes—specifically, it is not clear if an employee's time is best spent developing vertical relationships among supervisors and subordinates (LMX) or on the horizontal relationships among team members (TMX). Accordingly, this meta‐analysis explores the incremental validity and relative importance of these two social exchange‐based constructs. The theoretical logic underlying LMX and TMX is clarified, and the parameter estimates between LMX, TMX, and work outcomes are reported. Results demonstrate that TMX shows incremental validity above and beyond LMX for some outcomes (organizational commitment and job satisfaction), but not others (job performance and turnover intentions). Also, LMX shows greater relative importance across all four outcomes. In sum, the clarification of the theoretical and empirical landscape lays a foundation for recommendations for future research. Copyright © 2013 John Wiley & Sons, Ltd.     

Supervisor monitoring and subordinate innovation

This study introduces a new and parsimonious classification of supervisor monitoring (observational monitoring and interactional monitoring) and examines the effects of these two monitoring styles on subordinate innovation. Guided by social exchange theory, we propose that the two monitoring styles influence subordinate job attitudes (trust and distrust in their supervisor), relationship quality (leader–member exchange), and work behaviors (feedback‐seeking behaviors), which, in turn, affect their innovation. The pilot study developed the scales for the two monitoring styles and tested their content validity among 189 undergraduate students. Using a sample of 385 subordinates, Study 1 assessed the construct validity of the two monitoring styles. In Study 2, the results of a survey of 388 supervisor–subordinate dyads show support for the proposed theoretical model. Specifically, observational monitoring and interactional monitoring were related to subordinates' trust and distrust in their supervisor. Trust and distrust in the supervisor, in turn, were related to the quality of the leader–member exchange, feedback‐seeking behaviors, and ultimately, supervisor‐rated innovation. These findings suggest that supervisors' monitoring styles have both positive and negative effects on their subordinates' innovation, which depends on the type of monitoring supervisors engage in. Copyright © 2015 John Wiley & Sons, Ltd.     

The supervisor POS–LMX–subordinate POS chain: Moderation by reciprocation wariness and supervisor's organizational embodiment

We present three studies providing an increased understanding of the interdependence between perceived organizational support (POS) and leader–member exchange (LMX). Using employees from a social service agency and new hires from a variety of organizations, we report evidence for a relational chain leading from supervisors' perceptions of support by the organization (supervisor POS) to the formation of high‐quality LMX relationships with their subordinates (first link), who interpret high‐quality LMX as support from the organization (subordinate POS, second link) and, ultimately, repay the organization with increased dedication and effort (examined here in terms of reduced withdrawal behavior). The relationship between supervisor POS and LMX with subordinates was strongly moderated by supervisor fear of exploitation in exchange relationships (reciprocation wariness), holding only for supervisors with low reciprocation wariness. Consistent with the view that employees perceive the organization as partly responsible for treatment received from supervisors, LMX was found to be more strongly related to POS when employees highly identified their supervisors with the organization (supervisor's organizational embodiment), and this interaction extended to reduced withdrawal behavior. Copyright © 2013 John Wiley & Sons, Ltd.     

Navigating uneven terrain: The roles of political skill and LMX differentiation in prediction of work relationship quality and work outcomes

Drawing from social/political influence, leader–member exchange (LMX), and social comparison theories, the present two‐study investigation examines three levels of LMX differentiation (i.e., individual‐level, meso‐level, and group‐level LMX differentiation) and further tests a model of the joint effects of political skill and LMX differentiation on LMX, relative LMX, and employee work outcomes. In Study 1, we used data from 231 employees and found support for the interactive effect of political skill and individual perceptions of LMX differentiation on LMX quality. We also found partial support for the moderating role of individual‐level LMX differentiation on the indirect effects of political skill on self‐rated task performance and job satisfaction via LMX. In Study 2, we used data from 185 supervisor–subordinate dyads and examined both meso‐level and group‐level LMX differentiation via a multilevel moderated mediation model. Results supported the moderating role of group‐level LMX differentiation and group mean LMX on the indirect effects of political skill on supervisor‐rated task performance and contextual performance/citizenship behavior as well as job satisfaction via relative LMX. Overall, the results suggest that politically skilled employees reap the benefits of LMX differentiation, as they enjoy higher absolute LMX and relative (i.e., to their peers) LMX quality. Copyright © 2016 John Wiley & Sons, Ltd.     

Abusive supervision and work behaviors: The mediating role of LMX

We investigated the mediating role of the leader–member exchange (LMX) in the association of abusive supervision and employee work behaviors (task performance and organizational citizenship behaviors toward the organization and individuals). Using data collected from 366 supervisor–subordinate dyads, we found that LMX fully mediated the negative effects of abusive supervision on all three work behaviors. In addition, we conducted a supplementary study on the basis of the data collected from 54 supervisor–subordinate dyads from a garment company, and we found that LMX mediated the relationship between abusive supervision and employee objective future performance with interactional justice controlled. Copyright © 2011 John Wiley & Sons, Ltd.     

Supervisor expediency to employee expediency: The moderating role of leader–member exchange and the mediating role of employee unethical tolerance

We utilize social learning theory to test the role‐modeling effect of supervisor expediency (i.e., a supervisor's use of unethical practices to expedite work for self‐serving purposes). In particular, we examine the relationship between supervisor expediency and employee expediency, as moderated by leader–member exchange (LMX) and mediated by employee unethical tolerance. We predict that employees are more likely to model their supervisors' expedient behaviors when their relationship is characterized by high‐LMX (a high‐quality exchange relationship that is rich in socioemotional support). Furthermore, we argue that supervisor expediency, especially when LMX is high, influences employees' attitudes of unethical tolerance, which then affects employees' expedient behaviors. Across 2 multisource field studies and a third time‐lagged field study, we found general support for our theoretical predictions. Theoretical and practical implications are discussed.     

Avoiding or embracing social relationships? A conservation of resources perspective of leader narcissism,leader–member exchange differentiation,and follower voice

In this study, we draw from the conservation of resources theory and the narcissism literature to examine why and when narcissistic leaders develop and maintain differentiated social relationships with followers in a group setting, therefore demotivating follower voice. Using data from 457 employees and their 95 supervisors working at a large Chinese consulting company, we tested and found support for our hypotheses that leader narcissism had a negative direct effect on employee voice, as well as a negative indirect effect on voice via group-level leader–member exchange (LMX) differentiation. Our findings further showed that leaders' upward exchange, leader–leader exchange (LLX), with their own supervisor moderated the negative indirect effect of narcissism on voice such that this negative indirect effect was stronger in the presence of low leader LLX but turned nonsignificant in the presence of high leader LLX. Theoretical and practical implications of our research are discussed. Limitations and directions for future research are also offered.     

A multilevel study of group‐focused and individual‐focused transformational leadership,social exchange relationships,and performance in teams

Using matched reports from 73 team leaders and 359 of their members across 23 companies in Korea, we examined a multilevel model where group‐ and individual‐focused transformational leadership and their influence processes operate at the team and dyadic levels independently and interactively to be associated with team and member performance. Results indicated that group‐focused transformational leadership was positively associated with team performance through team member exchange (TMX), whereas individual‐focused transformational leadership positively related to team members' in‐role and extra‐role performance through leader–member exchange (LMX). TMX not only positively mediated the relationships between group‐focused transformational leadership and member performance after controlling for LMX but also positively moderated LMX–performance relationships. Moreover, the indirect effect of individual‐focused transformational leadership through LMX on member performance was contingent upon the level of TMX. Theoretical and applied implications are discussed. Copyright © 2015 John Wiley & Sons, Ltd.     

Person–organization and person–supervisor fits: Employee commitments in a Chinese context

The present study simultaneously examined people's perceptions of person–organization (PO) and person–supervisor (PS) fit and related these perceptions to employees' commitments. Three‐hundred‐and‐sixty employee–supervisor dyads from Taiwanese organizations reported about their PO fit and PS fit perceptions. In addition, supervisors reported about their perceptions of fit and guanxi with each of their employees. Results indicated that PO and PS fit perceptions both had an independent and additive relationship with organizational commitment. The link between employee PS fit perceptions and organizational commitment was mediated by commitment to the supervisor. Both employee and supervisor fit perceptions contributed to commitment to the supervisor through their influence on the quality of the leader‐member exchange (LMX). Guanxi could not explain additional variance in LMX and supervisor commitment. Implications for theory and practices regarding person–environment fit, commitment, and LMX are discussed. The study findings offered suggestions for a new Theory of Multiple Fits. Copyright © 2010 John Wiley & Sons, Ltd.     

Understanding employee innovative behavior: Integrating the social network and leader–member exchange perspectives

By integrating social network theory and leader–member exchange (LMX) theory, we explore the effects of three types of social relationships on employee innovative behavior: weak ties outside the group, LMX, and strong ties within the group. The results from a sample in a high‐tech firm showed that LMX fully mediated the positive relationship between out‐group weak ties and innovative behavior. Furthermore, within‐group strong ties negatively moderated the second stage of this indirect relationship, such that LMX was positively and significantly related to innovative behavior only when the number of within‐group strong ties was low. The theoretical and practical implications of these findings are discussed. Copyright © 2015 John Wiley & Sons, Ltd.     

Leader–member exchange: Moderating the health and safety outcomes of job insecurity

IntroductionJob insecurity has been repeatedly linked with poor employee health and safety outcomes. Although research on high quality leader–member exchange (LMX) has demonstrated many beneficial effects, no research to date has examined the extent to which positive LMX might attenuate those adverse health and safety-related consequences of job insecurity. The current study extends research in this area by specifically examining the buffering impact of LMX on the relationship between job insecurity and safety knowledge, reported accidents, and physical health conditions. Furthermore, the study also examines whether positive LMX mitigates the typically seen negative impact of job insecurity on supervisor satisfaction.MethodsThe hypotheses were tested using survey data collected from 212 employees of a mine located in southwestern United States.ResultsAs predicted, job insecurity was related to lower levels of supervisor satisfaction, more health ailments, and more workplace accidents, and was marginally related to lower levels of safety knowledge. Results indicated that LMX significantly attenuated these observed relationships.ConclusionsThe quality of the dyadic relationship between supervisor and subordinate has a significant impact on the extent to which job insecurity is associated with adverse health and safety outcomes.Practical applicationsPractical implications for supervisor behavior and developing high quality LMX are discussed in light of today's pervasive job insecurity.     

Organizational justice,voluntary learning behavior,and job performance: A test of the mediating effects of identification and leader‐member exchange

This paper presents and tests an integrative model of voluntary learning behavior. Drawing on social exchange theory, we argue that individuals are more likely to pursue learning activities when they identify with their employing organization and have a high quality leader–member exchange (LMX) relationship with their supervisor. We further argue that organizational identification is enhanced by both distributive and procedural fairness, whereas LMX quality is enhanced by interpersonal and informational fairness. Moreover, we contend that effective learning behavior improves job performance. The model was tested with a sample of 398 employees from a large automobile dealership. Results supported most predictions. Copyright © 2009 John Wiley & Sons, Ltd.     

When creativity enhances sales effectiveness: The moderating role of leader–member exchange

This study extends research on creativity by exploring the boundary conditions of the creativity–job effectiveness relationship. Building on social exchange theory, we argue that the extent to which employee creativity is related to sales—an objective work effectiveness measure—depends on the quality of leader–member exchange (LMX). We hypothesize that the relationship between creativity and sales is significant and positive when LMX is high, but not when LMX is low. Hierarchical linear modelling analysis provided support for the interaction hypothesis in a sample of 151 sales agents and 26 supervisors drawn from both pharmaceutical and insurance companies. Results showed that sales agents who were more creative generated higher sales only when they had high‐quality LMX. An ad hoc qualitative study provided a more detailed understanding of the moderator role played by LMX. Copyright © 2012 John Wiley & Sons, Ltd.     

The role of human capital,motivation and supervisor sponsorship in predicting career success

Based on Turner's (1960) contest‐ and sponsored‐mobility systems, a comprehensive model of the determinants of career success was examined. Human capital and motivational variables represented the contest‐mobility system whereas leader–member exchange and supervisor career mentoring represented the sponsored‐mobility system. Results based on data from 245 supervisor–subordinate dyads indicated limited support for the contest‐mobility system and strong support for the sponsored‐mobility system. Interestingly, the two forms of sponsorship were differentially related to career outcomes. Specifically, leader–member exchange was positively related to salary progression, promotability, and career satisfaction. Career mentoring, however, was only related to promotability. Copyright © 1999 John Wiley & Sons, Ltd.     

Leader–member exchange and job performance: The effects of taking charge and organizational tenure

We theorized and tested the mechanisms by which leader–member exchange (LMX) quality is associated with job performance. The results obtained using 212 employee–supervisor pairs from eight Chinese companies indicated that LMX quality had an indirect and positive relationship with taking charge via psychological empowerment and had an indirect and positive relationship with job performance via taking charge. In addition, organizational tenure significantly moderated the relationship between taking charge and job performance, such that the positive effect of taking charge on job performance became weaker as organizational tenure increased. Furthermore, organizational tenure significantly moderated the indirect positive relationship between LMX quality and job performance via taking charge; the indirect effect became weaker as organizational tenure increased. These results suggest that organizations should encourage managers to develop high‐quality LMX with their subordinates, which may make them feel more empowered and engage in more taking charge, and result in better job performance. Copyright © 2014 John Wiley & Sons, Ltd.     

Reactions to psychological contract breach: a dual perspective

This study examined reactions to psychological contract breach from two separate perspectives, that is, employee's reactions to perceptions of employer breach and supervisor's reactions to perceptions of employee breach of the psychological contract. In addition to the main effects, we also hypothesized that the benevolence (or kindness) of the supervisor and the traditional values (or respect for authority) of the employee would attenuate the negative effects of psychological contract breach. We tested these hypotheses with a sample of 273 supervisor‐subordinate dyads from the People's Republic of China. The results showed that employer breach correlated negatively with employee outcomes of organizational commitment (OC), organizational citizenship behavior (OCB), and work performance, but this negative relationship was weaker for employees with traditional values. The results also demonstrated that employee breach correlated negatively with responses from the supervisor, in terms of the mentoring provided to the employee and the leader‐member exchange (LMX) quality. However, more benevolent supervisors reacted less negatively in terms of the mentoring than did the less benevolent supervisors. Implications for future research are offered. Copyright © 2007 John Wiley & Sons, Ltd.     

Conflict,justice, and inequality: Why perceptions of leader–member exchange differentiation hurt performance in teams

To better understand why leader–member exchange (LMX) differentiation in teams may be detrimental to individual and team performance, we propose that team members' perception of LMX differentiation (PLMXD) is more important than statistical measures of LMX differentiation. Specifically, we hypothesize a multilevel model in which relationship conflict and procedural justice (climate) mediate the relationships of individual and collective PLMXDs with individual and team performance, respectively. Using a sample of 235 individuals in 53 teams, we found that individual PLMXD was negatively related to individual performance through relationship conflict perceptions, controlling for LMX. At the team level, collective PLMXD was negatively related to team performance through procedural justice climate and relationship conflict, controlling for a statistical measure of LMXD. Theoretical implications and directions for future research are explored.     

A new look at the psychological contract during organizational socialization: The role of newcomers' obligations at entry

Previous studies have demonstrated that the psychological contract is largely shaped during socialization. This study adopts a complementary perspective and analyzes how the psychological contract at the start of employment shapes the subsequent socialization process. Drawing upon social exchange theory, we propose that newcomers with a higher sense of their personal obligations at entry will perceive orientation training as more useful and develop better relationships with their supervisors and peers, which in turn will facilitate their work adjustment. Results of a longitudinal survey on a sample of 144 recruits from a European Army show that newcomers with a higher initial sense of their employee obligations toward their employer report higher perceived training utility, higher leader–member exchange (LMX) with their instructors, and higher team–member exchange (TMX) with their platoon peers. Moreover, perceived training utility and LMX predict the fulfillment of employers' obligations; and training utility predicts the level of newcomers' employee obligations. Finally, training utility, LMX, and TMX predict some of three indicators of newcomers' adjustment, namely, role clarity (training utility and LMX), group integration (TMX), and organizational values understanding (training utility). These results highlight how newcomers' obligations at the start of employment contribute to the social exchange dynamic underlying organizational socialization. Copyright © 2015 John Wiley & Sons, Ltd.     

Examining the interpersonal process and consequence of leader–member exchange comparison: The role of procedural justice climate

Individuals are always sensitive to their relative standing in interpersonal comparison processes of leader–member exchanges (LMXs) in teams. Little research, however, has investigated whether coworkers with a higher LMX influence the emotional and behavioral reactions of individuals with a lower LMX in different dyads. Drawing on social comparison theory and the symbolic model of procedural justice (PJ) climate, we conducted 2 independent studies—an experimental study focusing on the self‐perceived upward LMX comparison (i.e., an individual perceives that a coworker's LMX is higher than the LMX that he or she has with the supervisor; N = 203; Study 1: American working adults) and a field survey study focusing on the other‐perceived downward LMX comparison (i.e., a coworker perceives that his or her own LMX is higher than the LMX that the individual has with the supervisor; N = 177; Study 2: Chinese software engineers). Results from these studies consistently revealed that a coworker's higher LMX elicits an individual's hostile emotions when the PJ climate is low but that this relationship is buffered when the PJ climate is high. Results of both studies also showed that the coworker's higher LMX arouses the individual to direct harmful behavior toward that coworker (via the individual's feelings of hostility) when the PJ climate is low but not when it is high.     

The missing link? Implications of internal,external, and relational attribution combinations for leader–member exchange,relationship work,self‐work,and conflict

Attributions are causal explanations made by individuals in response to important, novel, and/or unexpected events. Numerous attribution theories have examined how people use information to make attributions and how attributions impact an individual's subsequent emotions and outcomes. However, this research has only recently considered the implications of dyadic‐level attributions (i.e., relational attributions), particularly in the context of leader–follower relationships in organizations. Therefore, the purpose of this theoretical paper is threefold. First, we integrate research on attributional biases into the research on relational attributions. Second, we integrate and extend attribution theory to consider the implications of convergent and divergent internal, external‐person, external‐situational, and relational attributions for leader–member exchange (LMX) quality, relationship work, self‐work, and conflict. Third, we make the implicit ranking of attribution combinations and the resultant levels of relationship work explicit. In doing so, we contribute to attribution theory and research by proposing how attribution combinations produce positive and negative outcomes that are both intrapersonal and interpersonal. Further, we contribute to the LMX literature by explicating how leader–follower attribution combinations influence relationship quality.