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Do inclusive leaders help to reduce turnover in diverse groups? The moderating role of leader–member exchange in the diversity to turnover relationship.
Abstract
This research examines leader-member exchange (LMX) at the group level as a moderator of the relationships between demographic (i.e., race, age, gender) and tenure diversity and group turnover. Drawing primarily from LMX, social categorization, and expectation states theories, we hypothesized that through the pattern of LMX relationships that they develop with followers, group managers influence inclusion and status differentials within groups such that the positive relationship between diversity and group turnover will be weaker when the group mean on LMX is high or when group differentiation on LMX is low. Results from a sample of supermarket departments (N = 348) yielded general support for the study hypotheses. We also found evidence for a 3-way interaction involving demographic diversity, LMX mean, and LMX differentiation such that the interaction between demographic diversity and LMX differentiation was only significant when LMX mean was high. These findings highlight the important role that leaders play in influencing the relationship between diversity and turnover through the patterns of inclusion that they create in their units.
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“As a result, academics and practitioners alike continue to face the challenge of understanding why certain types of leadership facilitate the performance of diverse teams in some cases and frustrate performance in others (Homan & Greer, 2013;Klein, Knight, Ziegert, Lim, & Saltz, 2011;Nishii & Mayer, 2009;Stewart & Johnson, 2009).”
From Leading diversity: Towards a theory of functional leadership in diverse teams. (2020) · cites this paper as Nishii & Mayer, 2009
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“When leaders demonstrate inclusiveness by acknowledging and appreciating team members’ unique perspectives, they reinforce the value of individual uniqueness.”
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Heavey, A. L., Holwerda, J. A., & Hausknecht, J. P. (2013) · Journal of Applied Psychology · doi:10.1037/a0032380 · Cited by 380
“In terms of supervisory relations, Nishii and Mayer (2009) studied leadermember exchange (LMX) and argued that high-LMX-mean units signal a higher proportion of employees feeling validated and supported by leaders, greater power sharing between leaders and employees, and a heightened sense of…”
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“Likewise, Nishii and Mayer (2009) operationalized inclusive leadership at a group level as involving a high group mean on leader–member exchange (LMX) and low LMX differentiation (low variability).”
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Searching for Outcomes of Leadership: A 25-Year Review
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“Examples of self-reported behaviors are compliance (e.g., Rahim, 1989), upward influence tactics (Cable & Judge, 2003), and turnover intentions and behavior (e.g., Bauer et al., 2006; Nishii & Mayer, 2009).”
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“Leader inclusiveness has been established as a critical leadership behavior in teams (Carmeli et al., 2010), and is particularly relevant in diverse teams (Nishii & Mayer, 2009), however the mechanisms explaining its impact have yet to be fully explored.”
BackgroundInclusive Leadership in Thought and Action: A Thematic Analysis
Roberson, Q. M., & Perry, J. L. (2021) · Group & Organization Management · doi:10.1177/10596011211013161 · Cited by 291
“Accordingly, high-quality relationships between leaders and their followers signal norms of equality and power sharing and subsequently inclusiveness (Hollander, 2009; Nishii & Mayer, 2009).”
A Multi-Level Process Model for Understanding Diversity Practice Effectiveness
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Self-citationWork Group Inclusion: Test of a Scale and Model
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“Finally, leadership behavior should play an important role in increasing inclusion as leaders model and reward desired behaviors (Nishii & Mayer, 2009).”
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“LMX research would similarly benefit from exploring the effects of patterns of LMX relationships on group and unit-level outcomes (Nishii & Mayer, 2009).”
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Diversity Management in Public Organizations and Its Effect on Employees’ Affective Commitment
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“Recent studies on diversity management also suggest the importance of leadership style in influencing the relationship linking diversity, diversity management, and positive outcomes (Ashikali, 2011; Celik et al., 2011; Choi & Rainey, 2010; Kearney & Gebert, 2009; Nishii & Mayer, 2009).”
BackgroundInclusive leadership and innovative work behavior: The role of psychological empowerment
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“So, the feelings of empowerment emerged among them (Liden, Wayne, & Sparrowe, 2000; Nishii & Mayer, 2009).”
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“…(DiTomaso & Hooijberg, 1996, p. 170) for that employee by triggering workgroup members to comply with leader- established norms about their value, thereby enhancing others’ perceptions of the employee as a member of the ingroup (Elsass & Graves, 1997; Nishii & Mayer, 2009; Scandura, 1999).”
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“Identifying moderators is valuable for interprofessional research because it enables researchers and clinician managers to understand the situations under which professional diversity is more or less likely to generate positive effects (Nishii and Mayer, 2009).”
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“…leader cultural intelligence (e.g., Rosenauer, Homan, Horstmeier, & Voelpel, 2016), leader emotion management (e.g., Ayoko & Konrad, 2012), as well as leader behaviors that contribute to positive leader-member exchange (LMX) patterns in diverse teams (Nishii & Mayer, 2009; Stewart & Johnson, 2009).”
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“Given the link between moral development and diversity (see Demuijnck 2009; DiTomaso and Hooijberg 1996; Wilson 2009), we anticipate that transformational leaders will take actions more consistent with the spirit of inclusivity and social responsibility (Nishii and Mayer 2009).”
BackgroundBenevolent leadership and follower performance: The mediating role of leader–member exchange (LMX)
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“Leaders, including principal investigators of major fieldsites and those in positions of power in professional societies, can affect culture change by prioritizing equal opportunity and inclusion as explicit values for the field sciences (Pless and Maak 2004; Nishii 2013; Nishii and Mayer 2009).”
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Leader inclusiveness, psychological diversity climate, and helping behaviors
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“More recently, Nishii and Mayer (2009) discussed the role of leader inclusiveness in their study of the relationship between group diversity and turnover moderated by leader-member exchange.”
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Interprofessional practice and professional identity threat
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“…& Cummings, 2012; Ernst & Chrobot-Mason, 2011; Fairhurst, 2009; Gover & Duxbury, 2012; Kaczmarek, Kimino, & Pye, 2012; Mitchell et al., 2011; Nishii & Mayer, 2009; Nkomo & Kriek, 2011; Rico, tensions, provided that the individual social or professional identities are respected and preserved…”
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“…(Chatman & Flynn, 2001; Chatman, Polzer, Barsade, & Neale, 1998; Jackson, May, & Whitney, 1995; Jehn, Northcraft, & Neale, 1999; Joshi & Roh, 2009; Nishii & Mayer, 2009; Pelled, 1996; Polzer, Milton, & Swann, 2002; Schippers, Den Hartog, Koopman, & Wienk, 2003; Van der Vegt & Janssen, 2003;…”
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Working below and above the line: the research–practice gap in diversity management
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“…Wesselius, & Hoes, 2012: 47) that “violates the rule of justice” (Chen, He, & Weng, in press: 6), whereas “employees are more accepting of differentiation when the pattern of differentiation can easily be attributed to differential employee ability or performance” (Nishii & Mayer, 2009: 1421).”
BackgroundA Diversity Mindset Perspective on Inclusive Leadership
van Knippenberg, D., & van Ginkel, W. V. (2021) · Group & Organization Management · doi:10.1177/1059601121997229 · Cited by 101
“There is for instance research on the benefits for diverse teams of participative leadership (Somech, 2006), transformational leadership (Kearney & Gebert, 2009; Shin & Zhou, 2007), and high-quality leader–member exchange relationships (Nishii & Mayer, 2009).”
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“Previous research on HRM outcomes has been based on social exchange theory which argues that the organization’s and management’s investments in HR practices and the organizational environment will elicit positive work attitudes and behaviour (Gould-Williams, 2007; Gould-Williams and Davies, 2005; McClean and Collins,…”
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“Managers displaying an IL style can encourage employees’ IWB via a quality relationship, specifically, through LMX. Inclusive leaders enhance LMX by empowering employees through delegating authority and control (Nishii & Mayer, 2009).”
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“According to Nishii and Mayer (2009), inclusive leaders may promote employees’ skills, autonomy, and responsibility.”
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“Moreover, Nishii and Mayer (2009) have suggested that an individual feels self-identity and psychological empowerment when s/he perceives inclusion in a diverse group.”
BackgroundMohammed, S., & Nadkarni, S. (2014) · Journal of Applied Psychology · doi:10.1037/a0035640 · Cited by 113
“…surface-level and other types of job-related diversity, we controlled for gender, age, and organizational tenure diversity, as prior research has noted their effects on team process and outcomes (e.g., Harrison, Price, Gavin, & Florey, 2002; Nishii & Mayer, 2009; Shin & Zhou, 2007; Somech, 2006).”
Positive Leadership: Relationships with Employee Inclusion, Discrimination, and Well‐Being
Adams, B. G., Meyers, M. C., & Sekaja, L. (2019) · Applied Psychology · doi:10.1111/apps.12230 · Cited by 145
“On the other hand, receiving support and attention from the leader consolidates an employee’s status in the group (Nishii & Mayer, 2009), which, in turn, influences how other members of the group will treat him/her.”
BackgroundInfluentialLeroy, H., Buengeler, C., Veestraeten, M., Shemla, M., & Hoever, I. J. (2021) · Group & Organization Management · doi:10.1177/10596011211009683 · Cited by 147
“…their creative ideas (Nembhard & Edmondson, 2006; Randel, Dean, Ehrhart, Chung, & Shore, 2016) or on preventing exclusionary environments with high within-team variability in the quality of Leader–Member-Exchange (LMX) relationships (Buengeler, Piccolo, & Locklear, 2021; Nishii & Mayer, 2009).”
BackgroundInclusion and inclusion management in the Chinese context: an exploratory study
Tang, N., Jiang, Y., Chen, C., Zhou, Z., Chen, C. C., & Yu, Z. (2014) · The International Journal of Human Resource Management · doi:10.1080/09585192.2014.985326 · Cited by 111
Sui, Y., Wang, H., Kirkman, B. L., & Li, N. (2015) · Personnel Psychology · doi:10.1111/peps.12115 · Cited by 115
Davies, S. E., Stoermer, S., & Froese, F. J. (2019) · The International Journal of Human Resource Management · doi:10.1080/09585192.2018.1528558 · Cited by 120
“…high (Hofstede, 2001), and where cultural tightness is pronounced (Gelfand et al., 2011), organizational efforts to promote inclusion might depend substantially on managers’ endorsement of practices fostering inclusion and their engagement in an inclusive leadership style (Nishii & Mayer, 2009).”
BackgroundSynergy from diversity: Managing team diversity to enhance performance
van Knippenberg, D., Nishii, L. H., & Dwertmann, D. J. G. (2020) · Behavioral Science & Policy · doi:10.1177/237946152000600108 · Cited by 133
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Inclusive leadership and voice behavior: The role of psychological empowerment
Younas, A., Wang, D., Javed, B., & Haque, A. U. (2022) · The Journal of Social Psychology · doi:10.1080/00224545.2022.2026283 · Cited by 114
“Further, inclusive leaders delegate authority and let employees initiate and implement changes at work (Nishii & Mayer, 2009).”
BackgroundSuzuki, K., & Hur, H. (2019) · Public Management Review · doi:10.1080/14719037.2019.1619813 · Cited by 102
“Specifically, we employ social exchange theory as a theoretical framework (Gould-Williams and Davies 2005; Gould-Williams 2007; McClean and Collins 2011; Nishii and Mayer 2009; Wayne, Shore, and Liden 1997; Van De Voorde, Paauwe, and Marc 2012).”
MethodThe role of spiritual leadership in fostering inclusive workplaces
Gotsis, G. N., & Grimani, A. (2017) · Personnel Review · doi:10.1108/pr-11-2015-0286 · Cited by 101
Considering diversity: The positive effects of considerate leadership in diverse teams
Homan, A. C., & Greer, L. L. (2013) · Group Processes & Intergroup Relations · doi:10.1177/1368430212437798 · Cited by 100
“In two studies, teams that were diverse in terms of gender, race, age, and tenure exhibited lower turnover and higher performance with higher aggregate LMX as well as lower LMX differentiation (Nishii & Mayer, 2009; Stewart & Johnson, 2009).”
Increasing Workplace Inclusion: The Promise of Leader-Member Exchange
Brimhall, K. C., Barak, M. E. M., Hurlburt, M. S., McArdle, J. J., Palinkas, L. A., & Henwood, B. F. (2016) · Human Services Organizations Management Leadership & Governance · doi:10.1080/23303131.2016.1251522 · Cited by 113
“…with varying samples (Aarons & Sommerfeld, 2012; Downey, Werf, Thomas, & Plaut, 2014; Gellert & Schalk, 2011; Hwang & Hopkins, 2012; Nishii, 2013; Nishii & Mayer, 2009; O’Donnell & Kirkner, 2009; Volmer et al., 2012) and the retention rates (59% completing at least two time points) are…”
BackgroundMethodInfluentialEpitropaki, O., Kapoutsis, I., Ellen, B. P., Ferris, G. R., Drivas, K., & Ntotsi, A. (2016) · Journal of Organizational Behavior · doi:10.1002/job.2100 · Cited by 103
“Prior research has shown GLMX to have positive effects on group outcomes such as cohesiveness (Cogliser & Schriesheim, 2000) and group potency (Boies & Howell, 2006), and Nishii and Mayer (2009) further argued that GLMX influences the perception of psychological safety in the environment.”
MethodResultInclusion in the Workplace: A Review and Research Agenda
Randel, A. E. (2023) · Group & Organization Management · doi:10.1177/10596011231175578 · Cited by 116
“…is evidence that leaders create signals about inclusion via the quality of the relationships they build with members of their work group (e.g., Nishii & Mayer, 2009) and through humor (Tremblay, 2017), there may be other related ways that leaders can provide signaling about inclusion to…”
Jin, M. H., Lee, J., & Lee, M. (2017) · Leadership & Organization Development Journal · doi:10.1108/lodj-07-2015-0151 · Cited by 117
A Multilevel Investigation of Leadership and Turnover Behavior
Waldman, D. A., Carter, M. Z., & Hom, P. W. (2012) · Journal of Management · doi:10.1177/0149206312460679 · Cited by 136
“To illustrate, Nishii and Mayer (2009) found that age diversity within departments still increased group turnover, although the average LMX within departments lessened turnover.”
Chen, X., Liu, J., Zhang, H., & Kwan, H. K. (2019) · Journal of Occupational and Organizational Psychology · doi:10.1111/joop.12259 · Cited by 99
LMX Differentiation and Group Outcomes: A Framework and Review Drawing on Group Diversity Insights
Buengeler, C., Piccolo, R. F., & Locklear, L. R. (2020) · Journal of Management · doi:10.1177/0149206320930813 · Cited by 113
“…with all members (i.e., low LMXD; e.g., newer formulations of LMX theory; Graen & Uhl-Bien, 1995), as LMXD may incite competition (e.g., Hooper & Martin, 2008), encourage subgroups, compromise cohesion (e.g., Stewart & Johnson, 2009), and reduce fairness perceptions (Nishii & Mayer, 2009).”
BackgroundInfluentialBiemann, T., Kearney, E., & Marggraf, K. (2015) · The Leadership Quarterly · doi:10.1016/j.leaqua.2015.03.003 · Cited by 105
Buengeler, C., Homan, A. C., & Voelpel, S. C. (2016) · Journal of Organizational Behavior · doi:10.1002/job.2101 · Cited by 115
“Including both ends of the continuum represents meaningful variance that is also in line with turnover established in other team research (e.g., Nishii & Mayer, 2009).”
InfluentialMoon, K.-K., & Christensen, R. K. (2019) · Public Personnel Management · doi:10.1177/0091026019848458 · Cited by 93
“In a similar way, it is plausible that members with job-related diversity are more likely to conduct information exchange and knowledge sharing that enhance organizational performance when they have a collective sense of inclusion (Nishii & Mayer, 2009).”
BackgroundChen, X.-P., He, W., & Weng, L. (2015) · Journal of Management · doi:10.1177/0149206315598372 · Cited by 98
“…of this view, empirical findings have shown that high LMX differentiation is associated with high relationship conflict and low job satisfaction (Hooper & Martin, 2008), low within-group agreement regarding the group climate (Ford & Seers, 2006), and high group turnover (Nishii & Mayer, 2009).”
BackgroundInfluentialWhen People Do Allyship: A Typology of Allyship Action
Souza, L. D., & Schmader, T. (2024) · Personality and Social Psychology Review · doi:10.1177/10888683241232732 · Cited by 104
“Precise definitions of inclusive leadership vary, but predominately center on how individuals,’ particularly those in positions of power, can embrace and value different perspectives (e.g., Nembhard & Edmondson, 2006; Nishii & Mayer, 2009; Randel et al., 2018; Shore et al., 2011).”
Lin, Q. (2023) · International Journal of Hospitality Management · doi:10.1016/j.ijhm.2023.103521 · Cited by 130
Srikanth, K., Harvey, S., & Peterson, R. S. (2015) · Academy of Management Annals · doi:10.1080/19416520.2016.1120973 · Cited by 85
Diversity as an aspect of effective leadership: integrating and moving forward
Gotsis, G. N., & Grimani, A. (2016) · Leadership & Organization Development Journal · doi:10.1108/lodj-06-2014-0107 · Cited by 88
“In their study of a sample of supermarket departments Nishii and Mayer (2009) explored the critical role that leaders play in influencing the relationship between diversity and turnover through the patterns of inclusion they created in their units.”
BackgroundEmbedding social networks: How guanxi ties reinforce Chinese employees’ retention
Hom, P. W., & Xiao, Z. (2011) · Organizational Behavior and Human Decision Processes · doi:10.1016/j.obhdp.2011.06.001 · Cited by 87
Ayoko, O. B., & Konrad, A. M. (2012) · Equality Diversity and Inclusion An International Journal · doi:10.1108/02610151211277581 · Cited by 82
Lam, L. W., Peng, K. Z., Wong, C., & Lau, D. C.-S. (2015) · Journal of Management · doi:10.1177/0149206315581661 · Cited by 84
“Following Liden et al. and Nishii and Mayer (2009), we used the within-group variance in the individual LMX scores to measure the LMX differentiation.”
BackgroundMethodFrequent CEO Turnover and Firm Performance: The Resilience Effect of Workforce Diversity
Kim, Y., Jeong, S. S., Yiu, D. W., & Moon, J. (2020) · Journal of Business Ethics · doi:10.1007/s10551-020-04534-0 · Cited by 80
It’s self defense: How perceived discrimination promotes employee withdrawal.
Volpone, S. D., & Avery, D. R. (2013) · Journal of Occupational Health Psychology · doi:10.1037/a0034016 · Cited by 77
Byza, O. A. U., Dörr, S. L., Schuh, S. C., & Maier, G. W. (2017) · Journal of Business Ethics · doi:10.1007/s10551-017-3748-3 · Cited by 76
“For example, previous studies suggest that differentiation within teams (such as LMX differentiation) may be related to lower team performance and/or higher turnover (Nishii and Mayer 2009; Henderson et al.”
Hur, H. (2019) · Journal of Management & Organization · doi:10.1017/jmo.2019.3 · Cited by 84
Seo, J. (., Nahrgang, J. D., Carter, M. Z., & Hom, P. W. (2018) · Journal of Applied Psychology · doi:10.1037/apl0000262 · Cited by 75
Hsu, J. S., Li, Y., & Sun, H. F. (2017) · International Journal of Project Management · doi:10.1016/j.ijproman.2017.08.009 · Cited by 76
“Nishii and Mayer (2009) have pointed out that, though team diversity reduces member satisfaction and viability, strong leadership can suppress this effect.”
BackgroundErdoğan, B., & Bauer, T. N. (2015) · Elsevier eBooks · doi:10.1016/b978-0-08-097086-8.22010-2 · Cited by 110
Hebl, M. R., & Avery, D. R. (2012) · Wiley eBooks · doi:10.1002/9781118133880.hop212025 · Cited by 72
Metadata
- Authors
- Nishii, L. H., & Mayer, D. M.
- Affiliations
- Cornell University (US)
- University of Michigan (US)
- ORCID
- Mayer, David M.
- Venue
- Journal of Applied Psychology
- Published
- 2009
- Volume
- 94
- Issue
- 6
- Pages
- 1412-1426
- ISSN
- 0021-9010 (ISSN-L)
- 1939-1854
- OpenAlex
- W2142896423
- Cited by
- 689
- References
- 122
- Citations by year
- 2026: 54 · 2025: 79 · 2024: 67 · 2023: 56 · 2022: 44 · 2021: 62 · 2020: 54 · 2019: 38 · 2018: 32 · 2017: 44 · 2016: 38 · 2015: 32 · 2014: 20 · 2013: 20 · 2012: 18
- FWCI
- 28.37
- Type
- journal article
- Language
- en
- Open access
- closed
- Locations
- Journal of Applied Psychology (publishedVersion)
- PubMed (publishedVersion)
- Funders
- National Science Foundation
- Topics
- Social Sciences › Business, Management and Accounting › Organizational Behavior and Human Resource Management › Job Satisfaction and Organizational Behavior
- Social Sciences › Gender Studies › Gender Diversity and Inequality
- Social Sciences › Psychology › Social Psychology › Team Dynamics and Performance
- Keywords
- leader-member exchange, demographic diversity, tenure diversity, inclusive leadership, status differentials, social categorization theory, expectation states theory, LMX differentiation
- MeSH terms
- Workforce, Adolescent, Adult, Female, Humans, Interpersonal Relations, Job Satisfaction, Leadership, Male, Personnel Turnover, Regression Analysis, Workplace, Cultural Diversity, Food Industry, Young Adult
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