Investigating the impact of strengths use on well-being : the mediating role of leader-member exchange
Abstract
Financial institutions are faced with many changes and challenges, especially after the global financial crisis; and look to their human capital to provide their competitive advantage. It is therefore important to investigate effective means of managing employees in a way that could foster work engagement. Strengths use and leader-member exchange (LMX) quality create an opportunity for organisations to manage and utilise their employees more effectively and finally promote work engagement. The objective of this research study was to investigate the mediating effects of LMX quality in the relationship between strengths use and work engagement. A questionnaire was compiled, utilising the Strengths-based Leadership Questionnaire, the LMX-7 and the Utrecht Work Engagement Scale. These measuring instruments were administered to a total of 213 (N = 213) individuals employed in the financial services industry. For the purpose of this research study the quality of the LMX relationship was measured from the perspective of the subordinates. Strengths use was positively related to LMX quality and LMX quality was positively related to work engagement. Additionally, LMX quality played a mediating role in the relationship between strengths use and work engagement. Therefore, organisations can, by promoting strengths use and high quality LMX, achieve higher levels of employee work engagement. This research study is the first to include strengths use, LMX quality and work engagement in one mediating model.