TOWARDS EXPLORING PROTAGONIST OF LMX THEORY OF LEADERSHIP IN AUGMENTING EMPLOYEE PERFORMANCE AND LEADER-MEMBER RELATIONS

Abstract

This review paper is an endeavor to find out the degree of applicability and influence of Leader Member Exchange (LMX) theory in refining individual performance and leader-member relations in organizations. The retrospective approach and looking at the contemporary face of LMX theory in literature with the review of relevant research papers was espoused. The adopted methodology was helpful with respect to building a comprehensive and an in-depth understanding of this important theory which embraces both leader and follower perspectives in defining the leadership phenomena. It can be construed as per the findings of existing literature and chronological developments in the past few decades in organizational and management sciences that LMX theory is connected with two important constructs i.e. employee performance and leader member relation. The theory also augments employee performance and relation with the leader in organizational settings. There is a need to empirically investigate the relationship of constructs under the umbrella of LMX theory in different contexts with a view to enhance theory’s generalizability.