How did the in-group and out-group dynamics impact the organization?
Assignment 1: Discussion 1
In this module, you explored the difference between Transformational and Leader-Member Exchange Theories. In this assignment, you will examine the connections between the Leader-Member Exchange Theory and in-group and out-group linkages. You will analyze how the linkages and leadership style impact each other. Lastly, you will provide examples of two kinds of linkages from your current work environment.
Based on the readings and your research, in a minimum of 400 words, respond to the following points:
- Using the Leader-Member Exchange Theory, discuss the dynamics between the leader and the in-group and out-group members. How does the in-group and out-group concept impact the leader-subordinate relationship?
- Identify and describe examples of in-group and out-group roles within your current or previous organizations. How did the in-group and out-group dynamics impact the organization?
- Den, H., Deanne. N., & Belschak, F. D. (2012). When does transformational leadership enhance employee proactive behavior? The role of autonomy and role breadth self-efficacy. Journal of Applied Psychology, 97(1), 194–202. doi: 10.1037/a0024903. (ProQuest document ID) Retrieved from http://search.proquest.com.libproxy.edmc.edu/docview/884117273?accountid=34899
- de Poel, F. M., Stoker, J. I., & van der Zee, K. I. (2012). Climate control? The relationship between leadership, climate for change, and work outcomes. International Journal Of Human Resource Management, 23(3), 694-713. doi:10.1080/09585192.2011.561228. Retrieved from http://www.thecampuscommon.com/library/ezproxy/ticketdemocs.asp?sch=auo&turl= http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=70230606&site=ehost-live
- Rode, J. & Wang, P. (2010). Transformational leadership and follower creativity: The moderating effects of identification with leader and org
9 Transformational Leadership
One of the current and most popular approaches to leadership that has been the focus of much research since the early 1980s is the transformational approach. Transformational leadership is part of the “New Leadership” paradigm (Bryman, 1992), which gives more attention to the charismatic and affective elements of leadership. In a content analysis of articles published in Leadership Quarterly, Lowe and Gardner (2001) found that one third of the research was about transformational or charismatic leadership. Similarly, Antonakis (2012) found that the number of papers and citations in the field have grown at an increasing rate, not only in traditional fields like management and social psychology, but in other disciplines such as nursing, education, and industrial engineering. Bass and Riggio (2006) suggested that transformational leadership’s popularity might be due to its emphasis on intrinsic motivation and follower development, which fits the needs of today’s work groups, who want to be inspired and empowered to succeed in times of uncertainty. Clearly, many scholars are studying transformational leadership, and it occupies a central place in leadership research.
As its name implies, transformational leadership is a process that changes and transforms people. It is concerned with emotions, values, ethics, standards, and long-term goals. It includes assessing followers” motives, satisfying their needs, and treating them as full human beings. Transformational leadership involves an exceptional form of influence that moves followers to accomplish more than what is usually expected of them. It is a process that often incorporates charismatic and visionary leadership.
- 9.1 Transformational Leadership
An encompassing approach, transformational leadership can be used to describe a wide range of leadership, from very specific attempts to influence followers on a one-to-one level, to very broad attempts to influence whole organizations and even entire cultures. Although the transformational leader plays a pivotal role in precipitating change, followers and leaders are inextricably bound together in the transformation process.
Transformational Leadership Defined
The term transformational leadership was first coined by Downton (1973). Its emergence as an important approach to leadership began with a classic work by political sociologist James MacGregor Burns titled Leadership (1978). In his work, Burns attempted to link the roles of leadership and followership. He wrote of leaders as people who tap the motives of followers in order to better reach the goals of leaders and followers (p. 18). For Burns, leadership is quite different from power because it is inseparable from followers” needs.
Burns distinguished between two types of leadership: transactional and transformational. Transactional leadership refers to the bulk of leadership models, which focus on the exchanges that occur between leaders and their followers. Politicians who win votes by promising “no new taxes” are demonstrating transactional leadership. Similarly, managers who offer promotions to employees who surpass their goals are exhibiting transactional leadership. In the classroom, teachers are being transactional when they give students a grade for work completed. The exchange dimension of transactional leadership is very common and can be observed at many levels throughout all types of organizations.
In contrast to transactional leadership, transformational leadership is the process whereby a person engages with others and creates a connection that raises the level of motivation and morality in both the leader and the follower. This type of leader is attentive to the needs and motives of followers and tries to help followers reach their fullest potential. Burns points to Mohandas Gandhi as a classic example of transformational leadership. Gandhi raised the hopes and demands of millions of his people, and, in the process, was changed himself.
Another good example of transformational leadership can be observed in the life of Ryan White. This teenager raised the American people’s awareness about AIDS and in the process became a spokesperson for increasing government support of AIDS research. In the organizational world, an example of transformational leadership would be a manager who attempts to change his or her company’s corporate values to reflect a more humane standard of fairness and justice. In the process, both the manager and the followers may emerge with a stronger and higher set of moral values.
- 9.1 James MacGregor Burns
Because the conceptualization of transformational leadership set forth by Burns (1978) includes raising the level of morality in others, it is difficult to use this term when describing leaders such as Adolf Hitler and Saddam Hussein, who were transforming but in a negative way. To deal with this problem Bass (1998) coined the term pseudotransformational leadership. This term refers to leaders who are self-consumed, exploitive, and power oriented, with warped moral values (Bass & Riggio, 2006). Pseudotransformational leadership is considered personalized leadership, which focuses on the leader’s own interests rather than on the interests of others (Bass & Steidlmeier, 1999). Authentic transformational leadership is socialized leadership, which is concerned with the collective good. Socialized transformational leaders transcend their own interests for the sake of others (Howell & Avolio, 1993).
To sort out the complexities related to the “moral uplifting” component of authentic transformational leadership, Zhu, Avolio, Riggio, and Sosik (2011) proposed a theoretical model examining how authentic transformational leadership influences the ethics of individual followers and groups. The authors hypothesize that authentic transformational leadership positively affects followers” moral identities and moral emotions (e.g., empathy and guilt) and this, in turn, leads to moral decision making and moral action by the followers. Furthermore, the authors theorize that authentic transformational leadership is positively associated with group ethical climate, decision making, and moral action. In the future, research is needed to test the validity of the assumptions laid out in this model.
Leader–Member Exchange Theory
Most of the leadership theories discussed thus far in this book have emphasized leadership from the point of view of the leader (e.g., trait approach, skills approach, and style approach) or the follower and the context (e.g., situational leadership, contingency theory, and path–goal theory). Leader–member exchange (LMX) theory takes still another approach and conceptualizes leadership as a process that is centered on the interactions between leaders and followers. As Figure 8.1 illustrates, LMX theory makes the dyadic relationship between leaders and followers the focal point of the leadership process.
Before LMX theory, researchers treated leadership as something leaders did toward all of their followers. This assumption implied that leaders treated followers in a collective way, as a group, using an average leadership style. LMX theory challenged this assumption and directed researchers” attention to the differences that might exist between the leader and each of the leader’s followers.
In the first studies of exchange theory, which was then called vertical dyad linkage (VDL) theory, researchers focused on the nature of the vertical linkages leaders formed with each of their followers (Figure 8.2). A leader’s relationship to the work unit as a whole was viewed as a series of vertical dyads (Figure 8.3). In assessing the characteristics of these vertical dyads, researchers found two general types of linkages (or relationships): those that were based on expanded and negotiated role responsibilities (extra-roles), which were called the in-group, and those that were based on the formal employment contract (defined roles), which were called the out-group (Figure 8.4).