Conflict, justice, and inequality: Why perceptions of leader–member exchange differentiation hurt performance in teams

Summary To better understand why leader–member exchange (LMX) differentiation in teams may be detrimental to individual and team performance, we propose that team members' perception of LMX differentiation (PLMXD) is more important than statistical measures of LMX differentiation. Specifically,...

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Bibliographic Details
Published in:Journal of organizational behavior 2020-07, Vol.41 (6), p.567-586
Main Authors: Choi, Daejeong, Kraimer, Maria L., Seibert, Scott E.
Format: Article
Language:English
Subjects:
Conflict
Differentiation
Group performance
Inequality
justice
Leader-member exchange
multilevel model
Organizational behavior
Organizational change
Perceptions
Procedural justice
Teams
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Summary:Summary To better understand why leader–member exchange (LMX) differentiation in teams may be detrimental to individual and team performance, we propose that team members' perception of LMX differentiation (PLMXD) is more important than statistical measures of LMX differentiation. Specifically, we hypothesize a multilevel model in which relationship conflict and procedural justice (climate) mediate the relationships of individual and collective PLMXDs with individual and team performance, respectively. Using a sample of 235 individuals in 53 teams, we found that individual PLMXD was negatively related to individual performance through relationship conflict perceptions, controlling for LMX. At the team level, collective PLMXD was negatively related to team performance through procedural justice climate and relationship conflict, controlling for a statistical measure of LMXD. Theoretical implications and directions for future research are explored.
ISSN:0894-3796
1099-1379
DOI:10.1002/job.2451