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Organisational relationship quality and service employee acceptance of change in SMEs: A social exchange perspective

Published online by Cambridge University Press:  02 February 2015

Rod Farr-Wharton  and
Yvonne Brunetto
Rod Farr-Wharton
Affiliation:
University of the Sunshine Coast, Maroochydore QLD, Australia
Yvonne Brunetto
Affiliation:
School of Management, Griffith University - Gold Coast campus, Southport QLD, Australia
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Abstract

The paper used a social exchange lens to explore the impact of the quality of the relationship between supervisors and service employees on individual and organisational outcomes. The findings provide further evidence that the quality of the relationship between supervisors and service employees is a significant factor - in this case explaining almost half of the reasons as to why employees accepted or rejected organisational changes. Using the social exchange lens, the theory argues that the same characteristics evident in high quality leader–member exchange (LMX) relationships (effective levels of information, feedback and respect) are also likely to provide the ideal conditions for employees' to address their fears and answer their questions about potential organisational changes. As a result, service employees are more likely to accept the organisational changes. In addition, this study suggests that approximately half of job productivity and satisfaction is affected by the way LMX firstly affects employees' satisfaction with organisational communication processes, and secondly, their acceptance of organisational changes within SMEs.

Keywords

leader–member exchangeorganisational changeemployee's acceptance of changesocial exchange theorySME
Type
Research Article
Information
Journal of Management & Organization , Volume 13 , Issue 2 , June 2007 , pp. 114 - 125
Copyright
Copyright © Cambridge University Press and Australian and New Zealand Academy of Management 2007

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