Positive Leadership and Employee Psychological Capital

Positive Leadership

Contents
Introduction......................................................................................................................................3
Literature review..............................................................................................................................3
Relationship between authentic leadership, Leader-Member Exchange (LMX) and employees’
Psychological Capital...................................................................................................................3
Build the Psychological Capital of some different types of employees......................................5
Impact of emotions of employee performance............................................................................5
Conclusion.......................................................................................................................................7
References........................................................................................................................................8

Introduction
This assignment helps to develop the cultural competence learning result and graduate attribute
by developing the knowledge and awareness regarding how effective Leader-Member Exchange
(LMX), authentic leadership and management support communicate on employee results. The
literature review section includes the bonding between authentic leadership, LMX and
employee’s Psychological Capital by taking consideration of many journal articles, books and
online resources.
Literature review
It has been found that this kind of process is made probably through the leaders who use their
leadership skills as well as knowledge. Along with that, it shall be noticed that each leader of the
organization is in practice of becoming the authentic leader in order to be more capable of
attracting the positive psychological capital. After involving into authentic leadership they
amplify the trust to overcome in the company where the trust of the employees over the
organization is increased. Along with that, it facilitates to provide their appropriate contributions
that can be effective in the attainment of the objectives of the company. Tepper, (2007) elaborated
that a leader can become the leader if they have the readiness to become an effective leader. A
leader with optimistic psychology capital can enhance slowly by a non-ending process that
includes self-study, training and education.
Authentic leadership
According to Wang, Sui, Luthans, Wang, and Wu, (2014), authentic leadership develops the
core of positive organizational behaviour which is hard to amplifying the PsyCap

(Psychological Capital) and developing the climate related to the psychological. It is related to
the prototype of leader behaviour that brings upon and develops optimistic capacities of
psychological and a positive climate of working. Authentic leadership has the ability to foster
the self-awareness and balance the process of information and connect simplicity on the level of
the leaders working with followers and encouraging self-development for both subordinates as
well as leaders. Authentic leaders can enhance the productivity of the employees and support
team members to work in coordination.
It has been found that the authentic leadership has the great style of leader that encourages many
employees to perform in well efficient manner. It enhances the trust of the employee which in
turn affects their citizenship behaviour (Walumbwa, Luthans, Avey, and Oke, 2011). There is
another factor of PsyCap (Psychological Capital) that shows the connection with
transformational and authenticity leadership. These factors evidence the positive bonding
between authenticity and transformational leadership. It has been found that gathered evidence
shows PsyCap of employees which are considered to their attitudes and beliefs in the strength
and direction usually referred as desirable the aims for efficient human resource performance in
today’s organization challenges.
Leader-Member Exchange (LMX)
It has been found that the feature of Leader-Member Exchange reflects the authentic and
interactive bonding that improves the relationship between leaders and followers. This bonding
can nourish the social exchanges in a positive manner through virtue of developing credibility
and winning the trust of followers. It can be seemed by the relationships that result in successful
follower performance. It has been found that authentic leadership can be able to attract the