Leader Follower Relationship

6383 WordsDec 20, 201226 Pages
COURSE: BUS 6030 COURSE DESCRIPTION: LEADERSHIP AND MANAGEMENT OF CHANGE LECTURER: PROF. C. GETECHA SEMESTER: FALL YEAR: 2012 TERM PAPER: LEADER FOLLOWER RELATIONSHIPS GROUP 4 MEMBERS NAMES: STUDENT ID No: 1. Stephen Omuga 637854 2. Daisy Oria 623319 3. Fredrick Njokih 636057 Table of Contents 1. DYADIC THEORY 4 1.1. Introduction 4 1.2. Evolution of the Dyadic theory 4 1.2.1. Vertical Dyad Linkage (VDL) Theory 5 1.2.2. Leader–Member Exchange (LMX) Theory 6 1.2.3. Team Building 6 1.2.4. Systems and Networks 6 1.3. An in-depth look at the theory as a whole 7 1.3.1. The Influence of LMX on Follower Behavior 8 1.3.2. The Three-Stage Process for Developing Positive LMX…show more content…
Leaders primarily use expert, referent, and reward power to influence members of the in-group. The out-group includes followers with few or no social ties to their leader, in a strictly task-centered relationship characterized by low exchange and top-down influence. Leaders mostly use reward, as well as legitimate and coercive power, to influence out-group members. Members of the in-group are invited to participate in important decision making, are given added responsibility, and have greater access to the leader. Members of the out-group are managed according to the requirements of the employment contract. They receive little inspiration, encouragement, or recognition. In terms of influence and support, in-group members experience greater support and positive influence from the leader, while out-group members tend not to experience positive relationships and influence. The in-group versus out-group status also reveals an element of reciprocity or exchange in the relationship. The leader grants special favors to in-group members in exchange for their loyalty, commitment, and outstanding performance. This creates mutual reinforcement based on common needs and interests. Leader–Member Exchange (LMX) Theory The underlying assumption of LMX theory is that leaders or superiors have limited amounts of social, personal, and
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