Leader–Follower Relations Chapter 7 Leader–Follower Relations Copyright © 2010 by South-Western/Cengage Learning All rights reserved. PowerPoint Presentation by Rhonda S. Palladi Georgia State University

Chapter 7 Learning Outcomes List the four stages of development of the dyadic approach. Define the two kinds of relationships that can occur among leaders and followers under the vertical linkage model. Describe the main focus of team building from a Leader–Follower perspective. Discuss the focus of the systems and networks approach from a Leader–Follower perspective. Describe three determining factors of high-quality LMX relationships. Discuss the key limitation or drawback with LMX application. Explain the cycle that leads to the Pygmalion effect. Explain how LMX relationships can lead to unintended bias in HR practices. Discuss the three follower influencing characteristics. List five things a leader should delegate. Define the key terms listed at the end of the chapter 2

Evolution of the Dyadic Theory Refers to the individualized relationship between a leader and each follower in a work unit Dyadic theory Is an approach to leadership that attempts to explain why leaders vary their behavior with different followers Dyadic theorists focus on the development and effects of separate dyadic relationships between leaders and followers 3

The Dyadic Approach Concentrates on the heterogeneity of dyadic relationships Argues that a single leader will form different relationships with different followers Leaders provide support for self-worth A leader’s support for a follower’s actions and ideas A leader building follower’s confidence in his or her ability, integrity, and motivation A leader paying attention to the follower’s feelings and needs 4

Dyadic Approach: Stages of Development Vertical Dyadic Linkage (VDL) Theory Use this space for overall reminders or special tips linked to the slide or occasion. Simply select this text and replace it with your own reminders. Leader–Member Exchange (LMX) Individualized leader–follower interactions creating in-groups and out-groups Team Building Focus is on the quality of each dyad and its effects on organizational outcomes over time Summary Heading. Text. Systems and Networks Leaders can aspire to build positive relationships with all followers, not just a few special individuals Creating positive dyadic relationships across traditional boundaries to include a larger network of participants 5

Vertical Dyadic Linkage (VDL) Theory Examines how leaders form one-on-one relationships with followers, and how these often create in-groups and out-groups within the leader’s work unit In-group Includes followers with strong social ties to their leader in a supportive relationship characterized by high mutual trust, respect, loyalty, and influence Out-group Influences followers with few or no social ties to their leader, in a strictly task-centered relationship characterized by low exchange and top-down influence 6

Characteristics of In-Groups Participate in important decision making Are given added responsibility Have greater access to the leader Experience greater support and positive influence from the leader Reciprocity High exchange Granted special favors from the leader Mutual reinforcement based on common needs and interests More likely to share with own group members than with members of other groups 7

Characteristics of Out-Groups Are managed according to the employment contract requirements Receive little inspiration, encouragement, or recognition Do not experience positive relationships and influence 8

Discussion Question #1 In your opinion, can a leader maintain a personal friendship with some members of his or her work group or team without creating the perception of in-groups (those in his or her social circle) and out-groups (those outside his or her social circle)? 9

Discussion Question #2 What should a leader do to dispel any notion or misperception that there are in-groups and out-groups in his or her work unit? 10

Leader–Member Exchange (LMX) Theory Is the quality of the exchange relationship between an employee and his or her superior Face-to-face leader–member interaction is critical in organizations Assumes that leaders have limited amounts of social, personal, and organizational resources, and tend to distribute them among followers selectively Leaders do not interact with all followers equally, which ultimately results in the formation of LMXs that vary in quality 11

High-Quality LMX Relationships vs. Low-Quality LMX Relationships High-quality LMX relationships are characterized by: Better social support More resources More guidance for career development Greater follower input in decision making Greater negotiating latitude Low-quality LMX relationships are characterized by: Less support More formal supervision Little or no involvement in decision making 12

Team Building Involves a primary concern to motivate a group of individuals to work together to achieve a common objective, while alleviating any conflicts or obstacles that may arise while striving toward that objective The emphasis is on forming relationships with all group members, not just with a few special individuals 13

Team Building (cont.) It is not possible to treat all followers exactly the same Each person must perceive that he or she is an important and respected member of the team rather than a non-entity Workplace social exchanges between individual employees, work groups, and managers are critical to team building 14

Systems and Networks There is a noticeable trend of organizations seeking and getting involved in a variety of collaborative agreements for the purposes of entering new markets and gaining innovations or new products By collaborating, organizations hope to exchange strengths with others, which will allow all partners to develop timely, innovative, synergistic solutions to complex problems they could not address on their own 15

Systems and Networks (cont.) From a network perspective, the focus is on relations among actors, whether they are individuals, work units, or organizations, who are embedded within networks of interconnected relationships that provide opportunities and constraints on behavior A systems-oriented prospective focuses on how the quality of the LMX relationship affects followers at the interpersonal, group, and organizational levels 16

Systems and Networks (cont.) Proponents of the systems and networks view contend that leader relationships are not limited to followers, but include peers, customers, suppliers, and other relevant stakeholders in the collectives of workgroups and organization-wide networks The organization is viewed as a system of interrelated parts To be effective, groups need to manage “boundary-spanning” relationships with other groups and external members in their organization in order to gain access to information and resources 17

Leader–Member Exchange Theory Leaders form high-quality social exchanges (based on trust and liking) with some members and low-quality economic exchanges with others that do not extend beyond the employment contract The quality of LMX affects employees’ work ethics, productivity, satisfaction, and perceptions There is a sense among followers in the exchange relationship to reciprocate their leader’s trust and liking through “citizenship behaviors” and excellent performance 18

The Influence of LMX on Follower Behavior The special relationship with in-group followers creates certain obligations and constraints for the leader To maintain the relationship, the leader must: Pay attention to in-group members Remain responsive to their needs and feelings Rely more on time-consuming influence methods such as persuasion and consultation Not resort to coercion or heavy-handed use of authority The followers are therefore said to have developed social capital The set of resources that inheres in the structure of relations between members of the group, which helps them get ahead 19

The Influence of LMX on Follower Behavior (cont.) The basis for establishing a deeper exchange relationship with in-group members is the leader’s control over outcomes that are desirable to the followers, which include: Helping with a follower’s career Giving special favors Allowing participation in decision making Delegating greater responsibility and authority Sharing more information Assigning interesting and desirable tasks Giving tangible rewards 20

The Influence of LMX on Follower Behavior (cont.) In return for these benefits, in-group members are expected to: Be loyal to the leader Be more committed to task objectives Work harder Share some of the leader’s administrative duties To the leader this also represents social capital that gives him or her power and influence over followers Unless this cycle of behavior is interrupted, the relationship is likely to develop to a point where there is a high degree of mutual dependence, support, and loyalty 21

The Influence of LMX on Follower Behavior (cont.) The quality of LMX is central in influencing followers’: Affective, cognitive, and behavioral experiences Roles Fate in their organizations 22

The Three-Stage Process for Developing Positive LMX Relations The leader and follower conduct themselves as strangers The leader and follower test each other to identify what kinds of behavior are acceptable Each relationship is negotiated informally between each follower and the leader 23

The Three-Stage Process for Developing Positive LMX Relations (cont.) Stage 1 (cont.) Involves: Impressions management Is a follower’s effort to project a favorable image in order to gain an immediate benefit or improve a long-term relationship with the leader Ingratiation Is the effort to appear supportive, appreciative, and respectful Self-promotion Is the effort to appear competent and dependable 24

Discussion Question #3 What do you say to those who argue that tactics used by followers to get noticed by their leader (such as impressions management, ingratiation, and self-promotion) are shameful and self-serving and should be avoided? 25

The Three-Stage Process for Developing Positive LMX Relations (cont.) The leader and follower become acquainted They further refine the roles they will play together Mutual trust, loyalty, and respect develop between leader and follower Relationships that do not move beyond Stage 1 may deteriorate and remain at the level of an out-group 26

The Three-Stage Process for Developing Positive LMX Relations (cont.) The roles reach maturity Exchange based on self-interest is transformed into mutual commitment to the mission and objectives of the work unit The end result of the life cycle model of LMX relationships is the creation of actual and perceived differences between in-group and out-group members 27

Factors that Determine LMX Quality Followers’ attributes Proactive followers: Show initiative even in areas outside their immediate responsibility Possess a strong sense of commitment to work unit goals Show a stronger sense of responsibility for unit success These follower attributes influence leaders to: Show support Delegate more Allow greater discretion Engage in open communication Encourage mutual influence between themselves and their followers 28

Factors that Determine LMX Quality (cont.) Leader–follower perceptions of each other The leader’s first impressions of the follower can influence the leader’s behavior toward the follower A positive relationship is more likely when: The follower is perceived to be competent and dependable The follower’s values and attitudes are similar to those of the leader 29

Factors that Determine LMX Quality (cont.) Leader–follower perceptions of each other (cont.) A favorable exchange relationship is said to correlate with: More supportive behavior by the leader toward the follower Less close monitoring More mentoring More involvement and delegation From the follower’s perspective, leaders that are perceived to be competent, experienced, fair, and honest are more likely to be supported 30

Factors that Determine LMX Quality (cont.) Situational factors Refer to random or planned events that provide the opportunity for leaders to evaluate a follower’s work ethic or character “Tryouts” (or “role episodes”) Give leaders clues about employees 31

Effective Leader–Follower Feedback Many leaders avoid confronting below-average performing followers Can degenerate into personal conflict May fail to deal with the underlying problem Correcting deficiencies can help the follower improve Must be done so that the leader–follower relationship is preserved 32

Guidelines for Effective Leader Feedback Pre-feedback—Leader should: Remind self to stay calm and professional Gather accurate facts on follower performance Remind self to avoid rush to judgment 33

Guidelines for Effective Leader Feedback (cont.) During feedback session—Leader should: Be specific in stating performance deficiency Explain negative impact of ineffective behavior Help follower identify reasons for poor performance Ask follower to suggest remedies Arrive at mutual agreement on specific action steps 34

Guidelines for Effective Leader Feedback (cont.) Post-feedback session—Leader should: Follow up to ensure implementation of action steps Show desire to be of help to follower Build follower’s self-confidence 35

Limitations of LMX Theory Application A major limitation of LMX is measurement difficulty LMX-7 scale Is the most commonly used instrument for defining and measuring the quality of relationships Measures vertical dyad linkages and not social exchanges 10 20 30 40 50 High-quality LMX relationship Low-quality LMX relationship 36

Bias in LMX: Employee Career Implications Pygmalion effect Occurs when selected group members demonstrate loyalty, commitment, dedication, and trust, and as a result, win the liking of leaders who subsequently give them higher performance ratings These ratings, which may or may not be tied to actual performance, then influence the member’s reputation, often become a matter of record, and may ultimately be used in future selection, development, and promotion decisions 37

Bias in LMX: Employee Career Implications (cont.) This may have possible adverse implications for the development and career advancement of group members who (regardless of their work performance) are not similar to, familiar to, and well liked by their leader Leaders, managers, and human resource management specialists need to be aware of the potential bias associated with high-quality LMX relationships 38

Bias in LMX: Employee Career Implications (cont.) These relationships could result in negative consequences and discrimination against out-group followers One possible approach to minimizing this type of bias is simply to train and encourage leaders to maintain high-quality LMX relationships with all followers, not just a few 39

Followership and Followers Refers to the behavior of followers that results from the leader–follower influence relationship Follower Is a person who is being influenced by a leader 40

Followership and Followers (cont.) Effective leadership requires effective followers There are no leaders without followers The influencing process of leaders and followers is a two-way street, with followers also influencing leaders 41

Followership Types Effective follower Conformist Alienated Passive High Pragmatic follower Level of Involvement Low Low Critical Thinking 42 High

Followership Types (cont.) Alienated followers Are low on involvement yet are high on critical thinking Feel cheated or unappreciated Are capable but unwilling to participate in developing solutions to problems Conformist followers Are the “yes” people of the organization Carry out all orders without considering the consequences Avoid conflict 43

Followership Types (cont.) Passive followers Are neither high on critical thinking nor involvement Look to the leader or others to do all the thinking Require constant supervision Never go beyond the job description 44

Followership Types (cont.) Effective followers Are high on critical thinking and involvement Are not risk-averse nor do they shy from conflict Have the courage to initiate change Serve the best interest of the organization Tend to function very well in self-managed teams Complement the leader’s efforts and can be relied upon the relieve the leader of many tasks 45

Followership Types (cont.) Pragmatic followers Exhibit a little of all four styles—depending on which style fits the prevailing situation Present an ambiguous image, with positive and negative sides On the positive side, when an organization is going through desperate times, the pragmatic follower knows how to “work the system to get things done” On the negative side, this same behavior can be interpreted as “playing political games,” or adjusting to maximize self-interest 46

Guidelines to Becoming an Effective Follower Offer support to leader Take initiative Play counseling and coaching roles to leader when appropriate Raise issues and/or concerns when necessary Seek and encourage honest feedback from the leader Clarify your role and expectations Show appreciation Keep the leader informed Resist inappropriate influence of leader 47

Factors that Determine Follower Influence Power Position Education and Experience Locus of Control 48

Follower Relative Power Position Leaders need to realize that they are no longer the sole possessors of power and influence in their work units Some followers may have personal, referent, expert, information, and connection-based sources of power that can be used to boost upward influence As more and more employees come to rely on a particular follower for information, expertise, or simply because of his or her personality, the follower’s relative power position increases 49

Follower Locus of Control Followers with an internal locus of control prefer a work environment that facilitates: Communication with leaders Participation in decision making Opportunities to be creative Followers with an internal locus of control prefer a participative style of leadership Followers with an external locus of control prefer a directive style of leadership Followers with an internal locus of control are more likely to be more influential with other followers than those with an external locus of control 50

Follower Education and Experience Followers with less education and experience need more guidance, coaching, and feedback To improve their performance, inexperienced employees often seek the assistance of experienced employees Today’s workers are far more educated, mobile, diverse, and younger than the workforce of 20 years ago 51

Follower Education and Experience (cont.) The need for continuing education and training on the job is increasing Leaders have to shift away from the top-down directive style of leading where tasks are highly structured and power tends to be centralized They need to move toward a more decentralized, participative style of managing 52

Dual Role of Being a Leader and a Follower Good leadership is found in highly effective followers A person can be a leader and also a follower The roles can change back and forth throughout the course of a work day Self-managed teams require members to alternate between playing leadership and followership roles To execute both roles effectively is a challenge, given the high potential for role conflicts and ambiguities 53

Delegation Is the process of assigning the responsibility and authority for accomplishing objectives Refers to giving employees new tasks Success depends on a manager’s ability to know what to delegate and what not to delegate 54

Delegating The leader should consider the following factors when delegating: Task Time required Follower characteristics 55

Benefits of Delegation Gives managers more time to perform high-priority tasks Gets tasks accomplished and increases productivity Enables leaders to mobilize resources and secure better results than they could have got alone Trains employees and improves their self-esteem Eases the stress and burden on managers Enriches followers’ jobs 56

Obstacles to Delegation Some managers want to do it all themselves because of: Habit Fear That employees will fail 57

Signs of Delegating Too Little Taking work home Performing employee tasks Being behind in work A continual feeling of pressure Stress Rushing to meet deadlines Requiring that employees seek approval before acting 58

Delegation Decisions Successful delegation is based on: Selecting what task(s) to delegate Selecting who to delegate the task(s) to 59

What to Delegate What to Delegate Paperwork Solving employees’ This slide relates to XX-XX. Paperwork Solving employees’ problems Routine tasks Summary Overview XXXX Major Title Heading. What to Delegate Tasks with developmental potential Technical matters 60

Confidential activities Activities delegated to you personally What Not to Delegate This slide relates to XX-XX. Personnel matters Confidential activities Summary Overview XXXX Major Title Heading. What Not to Delegate Crises Activities delegated to you personally 61

The Delegation Model Step 1 Explain the need for delegating and the reasons for selecting the employee. Step 2 Set objectives that define responsibility, level of authority, and deadline. Step 3 Develop a plan. Step 4 Establish control checkpoints and hold employees accountable. 62