Lmx Theory

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In recent years the concept of Leader-Member Exchange theory has gained greater prominence in the field of contemporary management practices. Using evidence from management research consider the extent to which LMX theory may be useful when applied to the role of the Manager of the Student Center.

Although Leader-member exchange (LMX) has its limitations, when applied to the role of the Student Centre Manager it is extremely useful. LMX is a relationship based theory of leadership based on the interactions between a supervisor and an employee. It recognizes the ability of high quality relationships to create job satisfaction, commitment and innovation. In the case of the Student Centre Manager, the role requires that staff are satisfied, effective relationships are built between staff, students and academics, and that the Student Centre offers the highest and latest quality service. To analyze how LMX can aid the role of Student Centre Manager, the position will be examined from three areas most vital to performing the role successfully. These are stakeholder management, performance management and innovation.

Background
Firstly, LMX and the role of the Student Center Manager will be explained. LMX theory has evolved over the last 25 years. It was first introduced by George Graen and his colleagues, as Vertical Dyad Linkage (Dansereau, Graen, & Haga, 1975), where leaders were discovered to develop differentiated relationships with their direct reports. According to Graen and Ulh-Bien (1995), today LMX theory states that effective leadership processes occur when leaders (managers) and followers (employees) are able to develop mature relationships. Leaders and followers engage in a role-mak ...
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