Question:
A critical evaluation of leadership theories and cross cultural factors which exist (or not) in power relations within organizations.
The nature of strategy impacts vertical fit. This relationship is because different strategies have unique implications of diverse HR practices, and will influence the achievement of vertical fit. HR practices are designed and arranged to reinforce functional implications of the various generic strategies. We can take an instance of an organization which is using the strategy of cost leadership in order to make a uniform as well as an objective standard for the criteria for assessment of the performance. The clear goal of cost leadership strategy (minimizing production costs) adds to the explanation, compared with the complexity and uncertainty of the objectives of differentiation strategies. There is empirical evidence to support these perspectives.
By getting deep into the projected assignment, you’ll get more about what is cross-cultural leadership? And the ideas that drive it, its confusion which may lead to leadership failure, more about leadership and culture, the project management and project based establishment.
Leadership is a quality of one which drives the whole society. The leadership is necessary for a proper flow of action in every field. The leadership in organization comprises the entire task, including task orientation, obedience to the higher orders and rules and top to down approach of management control to fulfil the need of teamwork in an organization. It helps to build stronger relationship among the staff of the organization. The relationship- oriented workplace is a fruit of good leadership that empowers the employee and focuses on their development.
The topic of Leadership has been and continues as a considerable interest in the management courses or in management literature. There is no any all-inclusive meaning of leadership, however there is a concession to the way that a leader influences the others by their personality and behaviour. A good leader is like not shouting or forcing other, but it involves the influencing process between leader and followers. In the earlier studies of leadership, the focus was mainly on the hopes of identifying the personality, character that will become an ideal leader. An ideal leadership should ensure the achievement of organisational goals. Contingency theories of leadership depend on the situation, the followers and the leaders. The most recent study of leadership theory is the cross cultural leadership (Grisham & Walker, 2008).
The cross-cultural leadership has created in such an approach to comprehend leaders who work in the recently settled worldwide business. Culturally diverse Leadership is a general marvel that the wherever there are gatherings of individuals, there are leaders moreover. These leaders drive the whole group and conclude the individual decision in a common decision for the global market. But the question is not about that fact that whether an ideal leadership exists across cultures, or does various leadership styles translates across cultures? The various leadership styles include paternalistic leadership, transformational leadership, and transactional leadership.
The word “cross” and culture is now included in leadership which refers to the leader’s (also known as influencer) society being not quite the same as the devotee’s (focus of influencer) society. By consolidating the diverse topical meanings of the statement “initiative” and “society” with the new qualifier “cross,” we all characterize multifaceted authority as “the capacity of an individual (the pioneer) of distinctive society which is deliberately and unequally impact or persuade the parts or devotees of a socially diverse gathering at the objective of accomplishment which brings about an esteemed result by applying the imparted learning and significance frameworks of the gathering that fits in with diverse society bunch.” In the investigation of this definition, it gets to be clear that the words ‘‘socially distinctive’’ differentiate the multifaceted authority from the straightforward administration. The culturally diverse pioneer boat is important for pioneers to consider the ramifications of contrasts in significance frameworks and information of the devotees and join these distinctions in learning into an affected methodology (Grisham & Walker, 2008).
It gives a solid establishment to noting a few sets of the inquiries. One of them ”Is an exile pioneer dependably a diverse pioneer?” now the right answer is yes just if there are critical contrasts in the significance frameworks and information of the pioneer and the supporters of the association. An alternate inquiry is ”Does an individual must be overseeing crosswise over different nations to be a multifaceted pioneer?” The definition has officially addressed this question that working crosswise over numerous nations is not needed in a diverse initiative. Truth be told, a few nations may have diverse societies widely with in-nation. The Studies of multifaceted authority is taken after two fundamental methodologies. One of them is known as the Emic approach that looks to research on one society at once furthermore to focus those administration practices that have all the earmarks of being connected to the viable accomplishment of gathering objectives. The second approach of Cross Cultural initiative is known as the Etic methodology which tries to explore various societies all the while and to focus those authority practices which seem, by all accounts, to be connected to the successful accomplishment of gathering of influencer’s objectives crosswise over a large portion of them. A study may endeavour to figure out whether a pioneer commend on supporters is decidedly connected to social order’s which results in many societies or if the influencers or workers is contrarily connected with pioneer adequacy in many societies. Finishes of these sorts of studies would be to realize that how pioneers ought to act to be successful in most distinctive societies. Etic studies portray the society contrasts (House & Aditya, 1997).
The touchstone for most endeavours to lead the investigations of diverse authority research has been the spearheading work of hierarchical researcher focused around the accompanying four
a) High Power Distance–low Power Distance: The extent to which parts of a general public including the pioneers and influencers are relied upon force to be imparted similarly among the general public.
b)High Uncertainty Avoidancelow Uncertainty Avoidance: The extent to which parts of a general public feel uncomfortable in circumstances, for example, unstructured, equivocal, and indeterminate and make convictions and establishments that are expected to minimize the event of such circumstances.
c) Individualism–collectivism: The extent to which people work autonomously of each other or are coordinated into gatherings. The concentrate is on the individual quality and aggregate quality of Leaders and also the influencers of these pioneers.
There are different issues associated with the failure of many prominent organizations nowadays. If the analysis is done in the business standpoint, then the fact that comes to the front is about various factors that are attached with the cultural influence as well as culture more than that of economy. This thinking has changed the concept of competitive advantages among different organizations and the success of a company depends on the development as well as the human capital. Thus, leaders are required for the proper management of different functions that are essential to run an organization. In this modern era, leaders are selected not only for the management works but also many top class companies look for leaders who can work with the employees in an effective manner to accomplish the company objective which is common both for the employees as well as for the managers. Failure in leadership has huge impact on the global market along with the cross-cultural market across the globe. Therefore, leaders should be appointed effectively by taking certain imperative points into consideration and those are associated with the cultural differences. It is because, this factor either positively or negatively affects the development of a company and it sets the organizational effectiveness in case of an organization. Cultural differences determine this effectiveness, because it is the leaders who are connected with the customers or clients of a country with the help of cultural aspects and that are why it controls all the activities of the organization.
KeepWell plc is a UK based company who is famous for its top ranking in the market of production as well as distribution of marketing materials especially for the services that are finance related. By thinking about its expansion, the company has looked forward to the high demand of the multi-media advertising services that the organization is offering to the client companies. With the help of this, the crowd of potential clients was extended and the popularity has gone to a greater extent in the past five years. The BODs of KeepWell want to expand the company to the international market especially towards the Market of North America and that of South America as in South America the people know less about multi-media advertising which will be like a new concept with ultramodern technology and from this the lucrative viewpoint can be perceived.
Regarding the evaluation of different types of factors that should be taken into consideration before taking the decision of appointing a local manager or an existing manager of KeepWell by relocating for taking over the leadership of the new site, there are some points that provide broad-spectrum view to this particular organizational function.
The following points are taken from the concept of authentic leadership.
Core competencies. Source: (Consulting, 2015)
The mission of the company shouldn’t be compromised whether it is about the local manager or the current manager of KeepWell. Therefore, transformational leaders are selected by the visionaries by means of different significant criteria which never hamper the mission and objective of an organization. Strong judgment quality towards the appointment of manager leads sustainable development of this organization which can be managed with the help of this particular factor (Grisham & Walker, 2008). It helps to build more confidence among the employees as they get the right kind of manager who has trust as well as reliance on the members of the staff of KeepWell plc.
This factor helps to take the appropriate decision about local manager or that of relocating the present manager to the leadership level of the new place. For example- When the current manager goes to the new site, it will be a completely new place with new cultural environment and it creates cultural differences which have influential aspects towards the development and success of the company. Therefore, it will take some time to adjust with the socio-cultural surroundings of the new site where the company is willing to expand its branch. However, if a local manager is appointed in this circumstance, it would be great because he is an inhabitant of that place and very much comfortable with the culture of that place. Thus, the local manager will understand his responsibility very quickly and work for the goals of the organization by which faster development can be possible in case of KeepWell (House & Aditya, 1997).
There are some other approaches that should be taken into consideration before reaching at a point of conclusion related to the manager post of the new branch. These factors are linked with the management as well as staffing.
The practices of the home country get succeeded with this particular style of approach and the key judgments of decisions along with the importance of different jobs as well as the functions of the subsidiaries depends on this factor principally. This factor is always taken into consideration as the futuristic developmental approach of the organization towards key management of selecting whether the manager should be a local or the existing one rely on it (House & Aditya, 1997).
The management of subsidiary part of KeepWell plc is organized on a local basis. It is because the managers who sit at the main headquarter may not have ample amount of knowledge regarding the localities. A local manager can work from the root level for the prospective progress of the company.
Appointing or relocating a manager in a global basis comes under the strategy of sustainable development which includes HRM practices. E.g. – Electrolux is an international organization that has developed a group of managers in a globalized manner so that they can work for the development of the company based on the concept of cross cultural leadership. KeepWell should go for this kind of strategy which will act like a mobile base of leaders.
There are also numerous factors that play vital role in the key decision of recruiting a manager in terms of individual type, experience, proficiency and capability as well as skill and knowledge for the new sites of KeepWell plc. The factors comprise
This factor is classified into several subcategories like-
KeepWell plc can’t function properly by ignoring any of the fact as recruitment as well as selection procedures of managers involve both in the level of headquarters as well as the subsidiary.
High skilled trained manager should be the first priority of Human Resource Development programs at an international level in KeepWell. It includes
The HRM strategies of the cross cultural leadership should include the performance evaluation at KeepWell plc. Equity here is one of the obligatory approaches for the right kind of performance evaluation at headquarters as well as at the subsidiary level. In case of many of the managers it has been observed that some of them learn or try to learn the local languages very quickly whereas some of them use the original language in all places which shows the inadaptable nature towards cultural differences. Here polycentric approach defines the local styles and the geocentric approach illustrates the international style of cross cultural activities towards leadership abilities.
This factor will attract more employees towards the new sites of KeepWell plc as it is important to know about the employee satisfaction points. Remuneration is the basic approach here and other benefits such as- healthcare benefits, holiday spending at different places with the facilities provided by the organization and other encouragement aspects. The decision regarding the payrolls of employees has positive impact on the competitive market sector which has advantageous effect on the international market of KeepWell plc. Rewards to the employees have proved to be the best encouragement strategies which maintain the interest of work for the progress of the organization (House & Aditya, 1997).
The relationship of the workers with the management is defined by this factor of labour relations. It varies according to the different locations across the globe, e.g. – In Japan there is a cooperative labour relationship that can be observed between the workers and the management while in the US sometimes there are antagonistic situations which can be observed among the workers and the management.
There are also several cultural issues which should be evaluated for the identification of different types of leadership. These points should be taken into consideration by the new managers.
This issue should be given emphasis by which the organization depends on some established standards, practices, norms etc to avoid any kind of ambiguity. Therefore, KeepWell should establish some rules and regulation for the sustainability of these norms.
The power among different employees should be different according to their competence and this factor must match the cultural aspects. It creates levels among different employees in terms of status, wealth, power, prestige etc.
Combined activities in KeepWell plc are encouraged by the leaders so that identification of the social as well as institutional interests about different cultures will be possible. The attachment and loyalty of the employees is also included with this factor.
This factor supports the gender equity for the ultimate purpose of lessening the gender difference in KeepWell plc.
The determined cultural actions which define the social relationship of the people come under this aspect.
Prospective orientation, Performance and Humanitarian orientations come under this particular aspect. It is about the different types of cross cultural behaviours that define the various planning as well as investment related to the development of KeepWell plc. Rewards as well as caring nature is associated with the performance and humane orientation respectively which states the social support along with values linked with the communities.
Conclusion
After the 2nd World War, these theories of leadership and cross cultural development have taken place due to the growing internationalization all over the world. This globalization created many new leaders who had greater perceptive knowledge towards the cultural differences as well as the improved ability in the sector of cross cultural communication and its execution. Therefore, all the above-mentioned factors will be helpful in case of the improvement of leadership qualities and cross cultural activities of the firm KeepWell plc. It is because an ineffective leader can take an organization to a deprived condition with a behaviour which is not social and self-focused in nature.
There are some of the questionnaires that have significant effects on the cross cultural factors and leadership theories which should be implemented by the managing directors. That are- self-awareness- It provides the correct measurement regarding the strengths as well as limitations of KeepWell plc. This concept helps to understand the role of leaders and what are the impacts of leaders in the organizational development. Transparency is one of the recommended aspects provided by the experts to present a certain level of openness to the workers. It offers a broad platform which encourages the employees to come up with their ideas and views openly in KeepWell. Ethics presents the moral standards in case of the leaders which maintain the organizational behaviour to an impressive level. The cross cultural activities of KeepWell should support all types of issues that indicate cultural differences and their importance in an organization. Headquarter along with the branches of the new sites after the expansion of the company should be considered under full equity regarding all the mentioned approaches because of their significance towards cross cultural aspects and different leadership styles (House & Aditya, 1997).
This particular theory originates from the humanistic point of view. Organizational culture in case of a company like KeepWell plc, has high value and deep description about this culture lies which is found in corporate experience.
There are some crucial focus points of KeepWell plc which are based on Organizational culture:
This approach comprises of some significant points about the organizational culture theory like:
There are some misunderstandings about this theory that can put negative effects on the management system of an organization. As the reputation of KeepWell plc is at zenith, so it always puts its focus on these things given below:
According to various researches it has been come to see that, there is a significant cost to the poor communication that is universal in many of the work groups, teams, and organizations. And it can be rectified by taking proper steps for it. Some of the steps are mentioned below in which, if an organization works can get success in the corporate world.
Due to the changes made in the work place in society and among human specialists, human resource managers and their associations have begun to see themselves as a part of the unique profession. One of the characteristics of the profession is the development through the research and experimentation of an organized body language. This knowledge can generally share at conferences, seminars and workshops that are being sponsored by the professional associations. By successfully implementing these factors and strictly pursues of it, and then it will never organize down in the competitive world. The recommendations here are all effective ones for the improvement of organization and the cultural issues with leadership. The enhancements will be short lived, however, if old habits are permitted to return and are deeply ingrained in the organizational culture.
References & Bibliography
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House, R. J., Wright, N. S., & Aditya, R. N. (1997). Cross-cultural research on organizational leadership: A critical analysis and a proposed theory.
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Appendix II
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