Q: On the LPI Online website and in other related materials, you claim that the instrument is a "valid and reliable measure of a leader's effectiveness." Can you please explain how LPI results indicate leaders' effectiveness in terms of personal credibility, high motivation levels, and overall success in effectively meeting job-related demands?
A: First of all, most of these measures are subjective, as in:
- Item #11 - Follows through on promises and commitments he/she makes. (personal credibility)
- Item #3 - Seeks out challenging opportunities that test his/her own skills and abilities (motivation)
- Item #1 - Sets a personal example of what he/she expects from others. (meets job-related demands)
Leaders' scores can range from almost never (1) or rarely (2) to very frequently (9) or almost always (10), and they are dependent upon the Observers' subjective opinion.
Through the years, LPI research has also proven a correlation to effectiveness. For example, as the frequency of leader's behavior goes up from constituent's perspective, so does their perception of the leader's credibility, effectiveness, and the like.
In some studies, as reported on the Research area, researchers have also used objective measures, like store performance (sales), hotel occupancy, financial contributions to the church, rates of turnover, stock price, student's test scores, and the like. Sometimes, the assessment is between similar or equivalent organizations who are recognized for high achievement versus those who are not (as in the case of "blue-ribbon" or distinguished schools).
All in all, the statements you refer to are based upon meta-studies—that is, not just a single study but the accumulation of results from a number of studies over a number of different industries, functions, and contexts.
Hope this helps!