Right Fit Leading: Leader-member exchange is key

LMX theory can help in creating effective relationships with your team. LMX is leader-member exchange and it tells us that even in a team situation, leaders who master individual relationships build trust and support. LMX theory is a relationship-based approach to leadership with a central concept focusing on the processes that occur when leaders and followers benefit from mature relationships or partnerships, generating incremental influence for the leader (Graen & Uhl-Bien, 1995, p. 225).

The relationship should be based on at least two fundamental things: treating people like people and setting specific expectations. Treating people like people requires that the leader keep the employee’s personal goals and dignity in mind.

Setting specific expectations empowers people for success. Once you have done that, simply hold people accountable. In this way you give them freedom to work the activities they are charged with.

Relationships based on proper treatment and shared understanding of expectations give the leader a structured way to provide support when there are issues. It also gives the leader chances to offer praise and encouragement when employees are doing the right things right. Accountability is not easy, but it can work with shared commitment to the mission.

Graen, G. B., & Uhl-Bien, M. (1995). Relationship-based approach to leadership: Development of leader-member exchange (LMX) theory of leadership over 25 years: Applying a multi-level multi-domain perspective. The Leadership Quarterly, 6(2), 219-247. doi:https://doi.org/10.1016/1048-9843(95)90036-5

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