Does Leader-Member Exchange (LMX) Quality Always Yield Positive Outcomes for Organizations? LMX as the Moderating Variable of the Formation of Counter-productive Work Behavior’s Ripple Effect

By Hastuti Naibaho and Joseph Meloche.

Published by Organizational Cultures: An International Journal

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Studies toward Leader-Member Exchange (LMX) show that quality LMX tends to produce positive results for organizations. This article argues that LMX quality could also have a negative influence on an organization when the leader of the organization or a unit within the organization has negative perceptions and negative behaviors toward the organization. Thus Counter-Productive Work Behavior (CWB) displayed by the leader will negatively affect subordinates’ work behavior, which is moderated by the LMX quality. This is an inverse effect as the stronger quality LMX will have an increased negative impact effecting increased CWB among the subordinates of a leader who has high quality LMX and displays negative perceptions and negative behaviors toward the organization (CWB) in his or her workplace activities. This negative impact amplifies due to the ripple effect in organizations that have several levels of management.

Keywords: Counter-productive Work Behavior, Leader-Member Exchange, Ripple Effect

Organizational Cultures: An International Journal, Volume 16, Issue 4, December 2016, pp.1-11. Article: Print (Spiral Bound). Article: Electronic (PDF File; 853.866KB).

Hastuti Naibaho

Management Lecturer, Business School Department , Research and Community Development Department, Pelita Harapan Surabaya University, Surabaya, East Java, Indonesia

Dr. Joseph Meloche

Assistant Professor, Department of Library and Information Studies, North Carolina Central University, Durham, NC, USA

Dr. Meloche is an active researcher who applies Q Methodology and Activity Theory predominantly in the conduct of his research. In addition to his own research, Dr. Meloche has supervised several PhD Students while at the University of Wollongong, (UOW). Dr. Meloche worked with the Schools’ of Information Systems, Management & Marketing, at UOW. One of his PhD students achieved a University award for her work using play as a metaphor to support collaboration. His scholarship has been recognized with a best paper award from the IEEE, UBICOMM 2008 conference for his paper; ICT devices as Ubiquitous Tools for Information Seeking Activity, València Spain. His service activities have included being the President 2010-2011S to the International Society for the Scientific Study of Subjectivity (ISSSS ). In 2007, for his research, he received a New Researcher Award from UOW. Dr. Meloche has considerable, international experience having worked in Canada and Australia. He has also been a visiting Scholar at Kansai University in Japan (2007) and he has had an ongoing research relationship with the Department of Library and Information Studies at Peking University in Beijing, China since 1997. His research has extended to Europe, Russia, Asia, North America, and Oceania