The impact of team leader behavior on team effectiveness : a leader-member exchange theoretic perspective

The purpose of this study was to investigate the effects of the over all level of leader-member exchanges and the degree of member status differentiation by the leader on aspects of team effectiveness including team processes, viability, and performance. The present study was a field study in which 106 teams of manufacturing employees participated. Employees were given a survey to complete providing perceptual data on measures of leader-member exchange, the internal dynamics of the team, viability, and performance. The premise of this research is that team leaders must develop an overall high quality of exchange with the team, as well as reduce status differentiation within the group for the team to have effective internal team dynamics, viability, and performance. The survey participants completed contained several measures. The measure of leader- member exchange contained the scale used in previous LMX research. Viability of the team (satisfaction with working in the team, willingness to continue working with the team, and willingness to participate in the team) was measured to detect possible dysfunctional effects from low quality and high status differentiation leader-member exchanges within the team. The cohesiveness of the team was also measured to detect negative consequences of low quality, high status differentiation in the team. Team performance was measured by a self rating of the percent of team goals met in the month prior. The results of the study suggested that the premise of the study that high quality LMX and low degrees of status differentiation were related to team process and outcome variables. In addition, the two parts of the path analyses revealed sparse and tentative evidence that the relationship between LMX and status differentiation and the criterion variables are mediated by communication, cohesion, and coordination. These results are discussed in terms of theoretical and practical contributions to the leader/member exchange and work team effectiveness literature.