Explains how the relationships with various members can develop in very different ways. It provides a way to understand these processes. Leaders develop relationships with each member of the group they lead. There is an important distinction between leadership and authority is and the theory suggests that successful leadership is characterised by 'high LMX'. It is an interesting perspective that emphasises the role of communication and relationships between the leader and members of the group .
Leaders develop different relationships with each member of their work group.
They will have more responsibility, decision influence, higher satisfaction and access to valuable resources. There is trust and support, shared goals and initiative beyond the everyday job. They are the in-group. The leader offering low levels of support to the member, and the person has less responsibility and less ability to influence decisions. Lack of trust, few shared goals, few rewards.