dec 1, 1975 - Leader-member Exchange (LMX) Theory

Description:

(5) Relational Theories. George Graen and Cashman wrote a paper called A Role-Making Model of Leadership in Formal Organizations. They came up with something called Vertical Dyad Linkage, which they later called LMX. This was to explain how some people form groups or "in-groups" while others are not part of these close groups or "out-groups". The idea was that these "in-groups" and "out-groups" form naturally. George Graen and Cashman were trying to show how leaders interact with their team members in ways. They found that leaders often have a relationship with some team members, which are the "in-groups". The other team members are not as close, to the leader which're the "out-groups". George Graen and Cashman thought that this was a part of leadership which is why they introduced the idea of Vertical Dyad Linkage or LMX.

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