Define the terms in-group and out-group. In your opinion, can a leader maintain a personal friendship with some members of his/her work group or team without creating the perception of in-groups and out-groups?

 Introduction

A good leader must have a favorable relationship with their followers/employees, however not all follower/employee relationships are created equal. A follower is often referred to as a “dyad” which is based on the Dyadic Theory. The meaning of dyadic is ‘two way” and implies that there is a two-way relationship between leader and follower, whether this is positive or negative. The theory is an approach to leadership that attempts to provide an explanation why leaders will vary their behaviors with different followers. There are two groups leaders interact with: In-Group: followers that have strong social ties and a supportive relationship with the leader. The relationship consists of trust, respect, loyalty and influence. Out-Group: includes followers who have few or no social ties to the leader and interactions are limited to being task-oriented.

There is a second stage of the dyadic relationship, Leader-Member Exchange Theory (LMX). The theory is a relationship approach to leadership. The focus is on the two-way (dyadic) exchange between leaders/supervisors/managers and followers/employees in their group or in their team. The LMX theory recognizes that in each group, some belong to the in-group and some to the out-group; and that there must be effective leader-follower feedback. The three factors in a high quality LMX relationship include: follower attributes; leader’s perception and behaviors; and situational factors. The quality in LMX relationships is considered flawed in its inability to measure success adequately for the out-group, and unintended high performance ratings for the in-group. It’s important to understand the dynamics of which group you might be in at your place of business and whether or not it fits your future career plans. If you are in a position of leadership, understanding the LMX theory and in-groups and out-groups, may help evaluate the followers in your group and understand how they are performing and your range of influence.

Initial Post Instructions
Choose one of the following two topics to address:

Define the terms in-group and out-group. In your opinion, can a leader maintain a personal friendship with some members of his/her work group or team without creating the perception of in-groups and out-groups?
Very briefly define the Leader-Member Exchange Theory. Discuss drawbacks, factors of high quality LMX relationships, and how they can lead to unintended bias in HR.

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