On the same side of the faultline: Inclusion in the leader’s subgroup and employee performance
Publication typeFT ranked journal article
JournalJournal of Management Studies
Publication Begin page354
Publication End page380
MetadataShow full item record
AbstractExtending theory on faultlines and subgroups, we argue that faultlines splitting a team into homogeneous subgroups can have different effects on team members' individual performance, depending on different intra-subgroup processes. Specifically, we propose that the effect of faultline strength on individual performance depends on whether a team member's subgroup includes the team leader. Building on the notion of faultline triggers, we further propose that organizational crises exacerbate this interaction because they make social support by the team leader especially important. We tested these assumptions with objective performance data collected over a period of four years from 3263 financial consultants (325 teams) while controlling for the effects of relational demography. Results showed that in teams with strong faultlines, consultants' performance decreased to a lesser extent in crisis years if the consultants shared a subgroup with their team leader. Thus, faultlines had different effects on team members from different subgroups.
KeywordPerformance Standards, Job Performance, Performance Management, Teams in the Workplace, Subgroup analysis (Experimental design), Faultlines, Leadership, Performance, Subgroups, Teams
Knowledge Domain/IndustryPeople Management & Leadership
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Linking Belgian employee performance management system characteristics with performance management system effectiveness: exploring the mediating role of fairnessDewettinck, Koen; van Dijk, Hans (International Journal of Human Resource Management, 2013)Based on expectancy theory, goal-setting theory and control theory, we propose a model in which perceived fairness mediates the relationship between characteristics of employee performance management (PM) systems and their perceived effectiveness by employees. PM system characteristics we propose are the frequency and length of formal reviews, the frequency of informal reviews and feedback, whether the formal conversation focused on evaluation or development and finally the degree of participation. The model was tested on a cross-industry sample of 3192 employees in Belgium. The measurement and structural models were simultaneously tested using structural equation modeling, and we used a bootstrapping approach to test the mediation hypothesis. Our findings indicate that performance review focus and employee participation strongly relate to perceptions of appraisal fairness and PM system effectiveness and that the frequency of informal performance reviews is stronger related to PM system effectiveness than the frequency of formal performance reviews. This suggests that the manifest expressions of PM have more impact on PM system effectiveness rather than the more latent characteristics of PM systems. The findings advance research to the role and functionality of PM systems by showing that (a) the manner in which PM systems are shaped and executed is of fundamental importance for their effectiveness, (b) fairness partially mediates the relationship between PM system characteristics and their effectiveness and (c) the three motivational theories appear useful for understanding the consequences of PM practices on individual employees.