Northouse, Leadership: Theory and Practice, Seventh Edition: Instructor Resource
Case 7.1: His Team Gets the Best Assignments
Case synopsis and analysis
Carly Peters directs the creative department of an advertising agency. Four leaders, Jack, Terri,
Julie, and Sarah report to Carly.
Jack and his team excel at their work, are given extra resources and better assignments. Jack’s
group is often selected to produce the best product for the agency. Terri’s team performs well,
but Terri feels that Jack is in a favored group and given additional resources and better
assignments. Julie also feels that her team is not in the inner circle and wishes that Carly valued
Learning objectives:
1. Students should be able to determine what group is in the “in–group.”
Answers to questions in the text:
1. Based on the principles of LMX theory, what observations would you make about Carly’s
leadership at Mills, Smith, & Peters?
2. Is there an in-group and out-group, and, if so, which are they?
3. In what way is Carly’s relationship with the four groups productive or counterproductive to
the overall goals of the agency?