Leader-Member Exchange
LMX theory explains that leaders cannot give equal attention to all
their subordinates (Buengeler et al., 2020; Graen & Uhl-Bien, 1995).
For this reason, the LMX relationship is very likely to be explained by
Social Exchange Theory which emphasizes the reciprocal relationship of
individuals with other individuals. (Eichenseer et al., 2020; Jong &
Ford, 2020; Thompson et al., 2018). LMX is defined as the quality of the
exchange relationship between leaders and members (Graen & Uhl-Bien,
1995; Haggard & Park, 2018; Young et al., 2020). Leaders who treat
their subordinates well will be rewarded by their subordinates by
increasing their performance and dedicating themselves to work. Lee et
al. (2019) explain that the LMX relationship is not only a determinant
of employee behavior but also affects followers’ perceptions of the
leader and the organization. Leaders foster relationships characterized
by trust, liking, respect, and social exchange with several subordinates
in their workgroups (Liden & Maslyn, 1998). The LMX relationship is
also a more proximal determinant of employee behavior than a measure of
leadership style (Lee et al., 2019). In addition, leader support can
strengthen subordinates’ commitment to the organization (Audenaert et
al., 2020; Khalid, 2020), OCB (Jong & Ford, 2020; Lloyd et al., 2015)
psychological safety (Xu et al., 2019), work engagement (Decuypere &
Schaufeli, 2020; Rofcanin et al., 2019).