The concept of leader–member exchange (LMX) is well accepted in the service industry. This study examines how the quality of LMX helps hotels to achieve desirable outcomes, such as innovative behavior and job performance. The model was developed based on the LMX theory, and considers the relationship among the quality of LMX, employee engagement, innovative behavior and job performance.
The model was tested on employees of hotels in South Korea using a survey method. Data were analyzed using frequency, reliability, confirmatory factor, correlation and structural equation modeling analyses.
LMX significantly influenced job engagement and innovative behavior but did not significantly affect organization engagement. Job engagement significantly affected organization engagement and innovative behavior but did not significantly influence job performance. Organization engagement significantly influenced job performance but did not significantly affect innovative behavior. Job performance was significantly influenced by innovative behavior.
The findings of this study suggest that an immediate leader plays a critical role in fostering engagement, behavior and performance.
The current study is the first to use the LMX theory to develop and test a research model that accounts for the antecedents and desired outcomes (i.e. innovative behavior and job performance) of two types of employee engagement in the hotel context.
