What is Leader-Member Exchange Theory? And Should You Use LMX Theory?

The video discusses Leader-Member Exchange (LMX) theory, which describes how leaders form unique relationships with their followers. It outlines the stages of LMX: role taking, role making, and role committing, highlighting both positive outcomes like increased loyalty and negative aspects such as bias and discrimination. The video also provides steps to mitigate these negative effects by identifying out-group members, re-establishing relationships, and offering development opportunities.

What is the primary focus of Leader Member Exchange (LMX) theory?

Describe the three stages of the LMX process.

What are some positive outcomes of being part of the in-group in LMX?

What are the potential negative consequences of LMX, particularly regarding in-groups and out-groups?

How can leaders avoid the negative repercussions of LMX?

What steps should a leader take to rebuild relationships with out-group members?

Explain the importance of trust in the context of LMX.