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The Leader-Member Exchange (LMX) Influence at Organizations: The Moderating Role of Person- Organization (P-O) Fit

The Leader-Member Exchange (LMX) Influence at Organizations: The Moderating Role of Person- Organization (P-O) Fit

Omer Faruk Derindag, Ozgur Demirtas & Ali Bayram

Journal Title:Review of Business: Interdisciplinary Journal on Risk and Society

Motivation: In recent years, leader-member exchange (LMX) has become a widely utilized concept in business management and leadership literature. Ad- ditionally, business professionals and practitioners have been adopting this idea in their day-to-day management practices to ensure the effective performance of their teams.  Premise: This study investigates the influence of LMX on burnout, turnover in- tention, and organizational citizenship behaviors (OCB). In addition, we exam- ined the moderating role of person-organization fit on these LMX influences.  Approach: To address the moderating role of person-organization (P-O) fit on the relationships between the leader-member exchange (LMX) and burnout, LMX and turnover intention, and LMX and organizational citizenship behavior (OCB), a survey was conducted in Kayseri, Turkey’s manufacturing region. The sample consists of 903 employees who have direct relationships with their lead- ers. Frequency analysis, reliability analysis, confirmatory factor analysis, and hierarchical regression analysis were employed in the interpretation of the data obtained.  Results: The results of the study reveal that leader-member interaction has a negative effect on burnout and intention to quit and has a positive effect on organizational citizenship behavior. In addition, person-organizational fit was found to have a moderating role in these relations.  Conclusion: The studies on LMX theory revealed that leaders have the pro- pensity to trust their followers who displayed enthusiasm, and leaders pay less attention to other team members. The LMX theory kept evolving into a new structure concentrating more on the leader–team member relationship. There- fore, leader-member interaction influences burnout, turnover intention, empow- erment, employee performance, and organizational behavior.  Consistency: Regardless of the type of industry, the quality of the relationship and interaction between managers and employees is directly reflected in work out- comes. In this context, especially in risk management and in times of uncertainty, it is vital that the entire team can act in a coordinated and consistent manner. In professional life, stakeholders can adopt LMX as an effective tool for alleviating burnout and turnover intention and increasing OCB in their organizations.