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.     

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.     

How do I like thee? Let me appraise the ways

This study examined the effect of leader-member exchange (LMX) on the relationship between employee performance (measured objectively) and the supervisor's rating of that performance. To date, no field study has tested whether high and low LMX members receive differential ratings based on their LMX relationship, beyond their actual performance. Data were collected from employees (directory assistants, cable technicians, and dispatch clerks) and their supervisors in a telephone company. The objective measures of performance which were available for these jobs were related to supervisory ratings of performance for high and low LMX employees. The results showed that poorly performing high LMX employees were given high performance ratings, regardless of their actual performance. The ratings of low LMX employees were consistent with their actual performance. The effect of LMX was more pronounced with more general task and relationship rating categories. Alternative explanations of the results, as well as the theoretical and practical implications for performance appraisal and LMX research, were discussed.     

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.     

Differential effects of strain on two forms of work performance: individual employee sales and creativity

In this research, we develop and test a model of the links between psychological strain (subjective experiences of feeling conflict and tension) and work performance. Our model includes two types of strain (work strain and home strain) and two forms of work performance (quantity of individual sales performance and creativity). Thus we acknowledge the importance of work and non‐work sources of strain as well as the multidimensional nature of work performance. We test the proposed relationships with data collected over six months from a field sample of 195 hair salon stylists (personal service workers who interact directly with customers and provide services directly to individuals and not to other firms). Results demonstrate a positive relation between work strain and individual employee sales performance and a negative relation between home strain and employee creativity at work. Leader–member exchange moderated the effects of work strain and home strain on creativity. We discuss findings and implications, emphasizing multiple roles, the importance of differentiating types of strain, and the multidimensionality of work performance. We conclude by suggesting that strain may be particularly relevant to work performance of employees in jobs like those in our sample which are characterized by high social interdependence and low task interdependence. Copyright © 2001 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.     

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.     

Incentives and cooperation: the joint effects of task and reward interdependence on group performance

We examine the joint effects of task interdependence and reward interdependence on group behavior and performance. We develop a model that predicts that task and reward interdependence will interact to increase performance, and present results of a laboratory experiment that confirms our prediction. We explore the efficacy of group reward systems for different task designs, and the relationship between cooperation and performance. We confirm earlier results on the weakness of the free-rider effect in small face-to-face groups. We also find, surprisingly, that while reward interdependence is important to performance, task interdependence, but not reward interdependence, drives observed cooperative behavior. This last result suggests caution in interpreting the efficacy of changes in the design of work. Such changes, if unaccompanied by changes in the design of the reward system, are likely to appear successful in terms of observed cooperation, but may not enhance performance. © 1997 by John Wiley & Sons, Ltd.     

Interactional justice,leader–member exchange,and employee performance: Examining the moderating role of justice differentiation

Past research suggests that interactional justice plays a pivotal role in facilitating high‐quality leader–member exchange (LMX), with downstream implications for employee performance. However, the broader context in which these effects unfold has received scarce attention. Drawing from deontic justice and social exchange theories, we suggest that interactional justice differentiation is an important contextual moderator of the link between interactional justice and LMX. Specifically, we argue that high interactional justice differentiation attenuates the link between interactional justice and LMX, in turn influencing the effects of interactional justice on employee task and creative performance. Results from two studies employing both experimental and multisource, multilevel survey designs provide convergent support for the hypothesized model. We conclude by highlighting several key theoretical and practical implications of our findings. Copyright © 2016 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.     

Leader–member exchange,organizational identification,and knowledge hiding: The moderating role of relative leader–member exchange

In this article, we sought to identify a new interpersonal antecedent of knowledge hiding, namely, leader–member exchange (LMX). Drawing on the group engagement model (an extension of social identity theory within the group/organization context), we built a theoretical model linking LMX and knowledge hiding. This model focuses on the mediating role of organizational identification and the moderating role of relative LMX in influencing the mediation. Using two time‐lagged studies (Study 1: n = 317; Study 2: n = 248) conducted in China, we examined our research model. Study 1 provided support for the proposed hypotheses for evasive hiding and playing dumb but not for rationalized hiding. Study 2 replicated and extended our findings. Results revealed that (a) LMX was negatively related to evasive hiding and playing dumb but not to rationalized hiding; (b) organizational identification mediated the influence of LMX on evasive hiding and playing dumb but not on rationalized hiding; and (c) relative LMX not only moderated the relationship between LMX and organizational identification but also reinforced the indirect effect of LMX on evasive hiding and playing dumb but not on rationalized hiding (via organizational identification). The implications, limitations, and future research directions are also discussed.     

Deciding on equity or parity: a test of situational,cultural, and individual factors

Previous cross-cultural research in distributive justice has neglected the situational and individual determinants of allocation preferences. This study incorporated the cultural value of Individualism–Collectivism (I–C), situational demands of task interdependence and system goals, and individual achievement motivation to examine their effects on the allocation decisions made by U.S. Americans and Hong Kong Chinese. It was found that the Americans and the Chinese in the study responded to situational demands in a similar fashion, i.e. equity was preferred under circumstances of low interdependence and the productivity goal whereas parity was preferred under circumstances of high interdependence and the solidarity goal. It was also found that in the U.S., I–C had no significant relation with the allocation differential (between the bonus amounts for the highest and the lowest performer), and the achievement motivation interacts with levels of interdependence and with goal priorities; in Hong Kong, both I–C and the achievement motivation related negatively to the allocation differential. Research and managerial implications for international management were discussed. © 1998 John Wiley & Sons, Ltd.     

Differential treatment within sports teams,leader–member (coach–player) exchange quality,team atmosphere,and team performance

Using the leader–member exchange (LMX) theory as a theoretical framework, the present study focused on the occurrence of differential treatment by leaders on social and task‐related issues within teams. It was investigated whether team members' perceptions of the frequency and degree of social and task‐related differential treatment by the leader were associated with their evaluation of team atmosphere and team performance, in addition to the effects of the quality of their own working relationship with the leader (LMX quality). The context of this study consisted of interdependent sports teams. The participants were 605 players belonging to 69 amateur sports teams playing various team sports such as soccer, hockey, and basketball. Social differential treatment was negatively associated with team atmosphere and unrelated to team performance. In addition, it was found that the two forms of task‐related differential treatment included in this study were unrelated to team atmosphere and were differently associated with team performance. The results are discussed with reference to the existing leadership literature. Copyright © 2010 John Wiley & Sons, Ltd.     

Team conflict management and team effectiveness: the effects of task interdependence and team identification

The present study explores the dynamics of conflict management as a team phenomenon. The study examines how the input variable of task structure (task interdependence) is related to team conflict management style (cooperative versus competitive) and to team performance, and how team identity moderates these relationships. Seventy‐seven intact work teams from high‐technology companies participated in the study. Results revealed that at high levels of team identity, task interdependence was positively associated with the cooperative style of conflict management, which in turn fostered team performance. Although a negative association was found between competitive style and team performance, this style of team conflict management did not mediate between the interactive effect of task interdependence and team identity on team performance. Copyright © 2008 John Wiley & Sons, Ltd.     

Attributional conflict between managers and subordinates: An investigation of leader-member exchange effects

The present study investigated the discrepancies, or conflict, between the attributions of leaders and members as a function of LMX quality and explored the relation between attributional conflict and subordinate job satisfaction, perceptions of equity, and turnover intentions. Data for the study were provided by 141 supervisor-subordinate dyads from the managerial ranks of a large manufacturing organization. Both parties of the dyad made attributions for subordinate loyalty, affect, and contributions, member behaviors identified as critical in previous LMX research. Limited support emerged for the hypothesis that attributional conflict would be greater in dyads where subordinates reported lower rather than higher LMX quality. Findings suggested that attributional discrepencies are due, in part, to the tendency of leaders to make more favorable attributions for subordinates reporting higher LMX quality than for subordinates reporting lower LMX quality. Results also revealed that, while attributional conflict was negatively related to subordinate satisfaction and perceptions of equity and positively related to turnover intentions, attributional conflict did not predict subordinate work outcomes when the effects of LMX quality were controlled. Implications of these findings were discussed.     

No person is an island: The effects of group characteristics on individual trait expression

Although most researchers now espouse a person‐by‐situation interactionist approach, there remains much work to be carried out to fully understand how different features of the environment interact with personality to influence behavior. Thus, this study sought to examine the moderating effects of three group‐level constructs on the relationships between two personality traits (conscientiousness and extraversion) and individual performance and counterproductive behaviors. Specifically, using trait activation theory as an organizing framework, we considered the moderating effects of the following: (i) a previously unexamined construct called core group evaluations (CGEs); (ii) group conscientiousness composition; and (iii) group extraversion composition. Data were obtained from a sample of university football players (N = 225–252 from 40 groups). The results indicated that CGEs moderated the relationships between individual conscientiousness and both performance (subjective) and counterproductive behaviors. Group conscientiousness composition also moderated the relationships between individual conscientiousness and both performance (objective and subjective) and counterproductive behaviors. Lastly, group extraversion composition moderated the relationship between individual extraversion and counterproductive behaviors. These findings highlight the importance of considering a team's CGEs, as well as the personality composition of team members when investigating the effects of conscientiousness and extraversion on individual performance and counterproductive behaviors. Copyright © 2011 John Wiley & Sons, Ltd.     

Collectivism as a moderator of responses to organizational justice: implications for leader‐member exchange and ingratiation

Previous research indicates that employee justice perceptions are positively related to leader‐member exchange (LMX). We examined collectivism as a moderator of this relationship. We hypothesized that because maintaining harmonious relationships is important for collectivists, and because protecting their individual identities is not a priority, there is a weaker relationship between interactional and distributive justice perceptions and LMX for individuals high in collectivism. Instead of engaging in behaviors that would lower the quality of their LMX relationships, collectivists are more likely to use soft influence tactics, specifically ingratiation, as a response to perceived unfairness. Thus, we expected a stronger relationship between justice perceptions and ingratiation for those high in collectivism. In a sample of textile‐manufacturing employees in Istanbul, Turkey, we found that interactional justice had a weaker positive relationship with LMX for individuals high in collectivism. In addition, distributive justice had a nonsignificant relationship with LMX for those high in collectivism, whereas there was a positive relationship for those low in collectivism. Finally, for collectivists there was a negative relationship between interactional justice perceptions and frequency of ingratiation, suggesting that collectivists may use more subtle mechanisms when responding to interactional unfairness. Copyright © 2006 John Wiley & Sons, Ltd.     

A multilevel perspective of interpersonal trust: Individual,dyadic, and cross‐level predictors of performance

While it is generally known that interpersonal trust facilitates individual functioning, few studies have examined the role of specific features of the interpersonal trust network — individual, dyadic, third‐party, and network‐level features — on individual performance. We adopt a multilevel perspective of interpersonal trust to examine how individuals' performance is not only predicted by their individual‐level centrality in the interpersonal trust network but also moderated, at the network level, by the overall centralized nature of that network. Further, we examine whether mutual trust relationships at the dyadic level, as well as shared trust ties to common third parties, can predict individuals' performance. We test our hypotheses with 206 members in 15 professional networking groups and find that interpersonal trust operates at multiple levels to predict members' performance in terms of generating income from business referrals. These findings provide theoretical and practical implications on how interpersonal trust relationships operate and can be managed for performance gains. Copyright © 2016 John Wiley & Sons, Ltd.     

Self‐efficacy changes in groups: effects of diversity,leadership, and group climate

Self‐efficacy belief is a significant predictor of behavioral choices in terms of goal setting, the amount of effort devoted to a particular task, and actual performance. This study conceives of formation and change of self‐efficacy as a social and context‐dependent process. We hypothesized that different group factors (discretionary and ambient group stimuli) influence changes in members' self‐efficacy through differing routes (individual‐level and cross‐level processes). We tested our hypotheses using data from individuals in 169 training groups who attended a 5‐day workshop designed to increase participants' job‐search skills and efficacy. Specifically, we examined the degree of change in participants' job‐search efficacy before and after the workshop. The results showed that (a) membership diversity in education was positively related to increases in job‐search efficacy, (b) supportive leadership contributed to job‐search efficacy at the individual level of analysis with no cross‐level effects, and (c) open group climate contributed to job‐search efficacy through both individual‐level and cross‐level processes. Limitations and directions for future research are discussed. Copyright © 2003 John Wiley & Sons, Ltd.     

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.