How does a positive Leader-Member Exchange benefit an organization?

A positive Leader-Member Exchange (LMX) benefits an organization primarily by enhancing employee motivation and commitment. This approach fosters a strong, trusting, and supportive relationship between leaders and their team members. When leaders invest time and effort in building high-quality exchanges with employees, it leads to increased job satisfaction, higher levels of engagement, and greater willingness to go above and beyond in their roles.

In a strong LMX environment, employees feel valued and recognized for their contributions, which directly correlates to enhanced motivation. They are more likely to feel a sense of loyalty to the organization and align their personal goals with those of the team and the broader organization. This alignment can lead to improved performance outcomes, higher retention rates, and a more positive workplace culture.

The other choices do not align with the primary benefits of a positive LMX. For instance, while reducing the need for organizational structure or ensuring top-down task assignment may be appealing in some contexts, these do not inherently foster the mutual respect and motivation that characterize strong leader-member relationships. Similarly, increasing bureaucratic processes generally stifles creativity and motivation, opposing the principles of LMX. Thus, option B is the clear choice as it accurately reflects the positive impact of effective leader-member relationships on employee motivation and