QUESTION
Your company has offered you a promotion as head of a division in a country that has very different culture from that of your native country. While you are excited by the new challenge, you are also aware that you need to consider whether your leadership style will be effective or appropriate for the new location. Using two countries of your choice ( your native country and one with a different culture), critically evaluate the most important factors relating to the style of leadership you should adopt when considering the offer of promotion into the new culture. My native country is INDIA and other country is Germany.
Briefly describe the leadership traits of Germany and India with Case Studies
SOLUTION
INTODUCTION
Every business requires effective leadership. Leadership is one of the important and crucial ways that affect the behavior and values of people in the organization.
International business consists of all the aspects from internal to external aspects of the particular country. It is necessary to meet the expectations of the particular country and the particular customers of the country. They need to keep on changing the whole cultural aspects as per the need and requirement of the particular country. Cultural aspect is the most important and crucial aspects that may work as an advantage if taken care in an effective manner and may hamper if not being taken care in an integrated manner. Surface culture and deep culture commonly forms the whole cultural aspect of the particular environment. So, to make the whole system effective and efficient International business people must include both the cultural aspects in an integrated manner. That will work as a competitive advantage for the business to grow and to achieve the sustainable development for the long term aspects. It will also help in customer attraction and to catch the consumer perception.
Discussion and Analysis
Culture in any organization is very important to encourage leadership and motivate the people to give their best in their performance.Culture in the organization defines the relationship between the people, their nature, and how they respond to each, any goal can be reached only byte collective effort of people. Environment focuses here the completive environ mint a, company has to determine how their competitor are doing, what are their strtegies how it will fact their and accordingly they should prepare their own plan. The contribution of the management, their leadership play an important role in encouraging such leadership environment, because, they will be responsible for motivating the people, divison of work, allocation and effective utilization of all resources in the organization, leaders and senior executives are involved in the decision making process.
In such organization team leader shold be very supportive, .Juniors a should be involve din the decision making process, which has made coomunication free ta aal levels.this is a motivating factor for as everybody’s opinions are given recognition.If the management is so supportive and co opertive, employees at junior level would never have been motivated, and the company would not have received to such heights.
According to Ken Blanchard*, four leadership styles and approaches growing out of combinations of directive and supportive behavior: coaching style, directing styles, supporting style and at last but not least delegating style. In all the leading approach and style, the emphasis is on effective supervision and control over the employees and workers. Situational leaders are able to adapt their leadership skills and style to fit their followers and according to situations in which they are working. Transactional leadership is a style that leads to the creating a new and clear structure that makes some differentiation on the strategies from others.The transactional leader works through creating transparent and clear structures.The transactional leader uses management by exception, according to which, working on the particular principle that if something is operating to defined performance then it does not require much attention.
Transformational leadership is a type of leadership style that actually leads to the positive changes in the followers.Transformational Leader seeks the way to transform the organization. They work as a catalyst of change for the betterment of the organization to get the core competency and sustainable evelopment of the organization. The most critical part for global business management is the effectiveness and efficiency to work properly with people of diversified cultures, education, interest and skills, from employees to employers to government officers, with both the home country and the host country in hand on hand, and across industrial and national borders.
Diversity plays an important role in the global business expansion for any organization. After the globalization the expansion of organizations and business to the diverse countries has increased. So to meet these needs the organization should also take some vital steps such as the environmental scanning and analysis to adopt the new cultural diversity to sustain and compete in the new market with diverse team and diverse consumers. It is very much required to understand the cultural diversity to that particular country i.e. the host country where we are going to expand our business. For the organization and product or services in which we are dealing, it is essential to mould these in an effective and integrated way that will satisfy and meet the market demands of that particular country or economy. Here in case of Germany we need to understand their culture and environment to sustain and compete in an effective and efficient manner for the long run of business.
Issues related to the cultural diversity
Culture is an important and vital aspect and it may have an advantage if being handled with care and proper planning but on the other hand if not being taken extreme care then may have adverse effect on our business. If we are going to expand our business to Germany, it is quite essential to first analyze and understand the environmental considering micro and macro environment. Then only we should make strategies as per that analysis and need to make a competitive strategy for the effective and competition expansion in the market of Germany.
The same happens with the organization in terms of employees expectation and considerations. The employees should also be trained and developed to support the cultural aspects of the business in Germany. Like how the business meetings take place and what are the effective tools to meet with the customers and clients while the product promotion and how to maintain a better and professional relationship with the buyers, suppliers and other stakeholders. These aspects shall be taken extreme care before moving to the new country. Since, we are moving to Germany, we should develop the diverse team to make an effective move to the market of Germany. Then only we can think of synergy in the team of diverse members and diverse consumers.
Every business project has some problems incorporated and being a business head, I have to face all the consequences of such critical situation. The organizational concern was the most important things that motivated me to be engaged in this project. Culure of Germany I stotaly different from culture of India,and this is one of the biggest challenge faced by me.Because we can survive in nay culure if we know people from that place nad for knowing people,language nad communication is important.
Being a leader in the organization, I incorporated all the people in my business decisions and tried to get their opinions which helped me to build up relationships. So, it was not a big deal .I could see the great need of initiative and I did the same by taking initiative to take an integrated step for the future aspects of the organization. Trust and respect are two most important aspects to make a team and even organization ffective and efficient. These two makes us motivated and gives us the way to move ahead in life and work both. These transparency and motivation is the most important aspect of the leadership that really makes an integrated effect on the thinking of people. The leadership aspects and style is really helpful in getting things done by the team effort. This requires all the aspects and approaches to be utilized and used in an effective and efficient manner to make an effective and integrated step towards the solution of a critical issue before it goes wrong.
Everybody has great responsibilities in their personal and professional life. There is a great need to make a differentiation among the competitors. As per the leadership styles and aspects, all the organization should follow the transparency and follow some values and beliefs. These are the most important andcrucial pillars for the growth and sustainability of the organization. These are thevalues that made me forced to make a move and take an initiative to remove the crisis in an integrated manner for the beneficiary of the consumers and the employees both.
Case Study:
I would like to describe my real life experience as a leader when I was working with XYX Corporation as a senior manager (Production). Our main product was beverages. We were well known bran in beverages segment. We used to produce soft drinks. We were having a large product segment like Bull’s eye drink, untapped sports drink and many more. It’s the instance of last year, when a well know NGO came up with breaking news that our product contains pesticides more than the permissible limits. This was just shocking for the common people and so called customers. It was just like a kind of inevitable situation for the company. As I was the production manager, so it was the most critical situation for me. I had to handle it as per the situation. Due to this news most of the states people opposed and even stopped to use our brand and products. We thought the people will not take it so negatively. Since, the NGO people were not able to produce any kind of research report. But as the time went on the product sells were also decreasing in a great manner. Total sells came down to 28% from 78%. So, it was like one of the most critical and bad time for the company and employee as well. Then I thought to take the initiative and first went for the product lab research report and the report were not showing anywhere that our product is using the pesticides in more then the permissible limit. It was the most powerful strength for us to regain the customer loyalty and satisfaction. After that, I also concerned with the senior heads of the other departments to make a campaign and to spread the transparency we have with our customers. We invited the customers to see the whole process of manufacturing at our cost. It worked a lot and at last the whole scenario could change and we could come out from the difficult situation. That has been put as a fake blame on us.
This shows the situation can make a positive as well as negative impact within a short span of
Time and that could lead to a drastic as well as fruitful scenario for the organization and
People both.
It was a kind of situational deficiency that could have affected more than that to our brand Image and the customers as well. But with the help of our team and with senior management,
I could take initiative the leaded as the most effective and efficient step to make the whole
Scenario under control without lacking of time and before the more problem could have been
Aroused we could stop the crisis. And this is an effective and learning example of
Situational analysis and that is also containing the transformational and transactional styles of
The leadership. I approached to the senior management to take the initiative to make a
Campaign and research report of our product and manufacturing plant. This was a kind of
Transformational style to move ahead and take an initiative for the sake of organization proud
And image. If we talk about the transactional style of leadership here in this example, we can
Talk about the saving of money and taking back our name and brand image in the market.
That is indirectly a reward for all the employees and the organization. This is the most effective example of transactional style of leadership. In a leadership trait, there is always a combination of all these styles and approach inclusively. Since the leadership is itself the combination all these aspects, approaches, styles and traits. That makes a differentiation in the leadership aspects and effectiveness. As we all know that the leadership is an integrated aspect of the management. For the best and optimal output we need to show all these aspects in front of all people.
This really shown a great relationship and bonding between the common people and the leadership traits, style and approaches. May be the same kindof values and beliefs would have encouraged the other team members, who all were helping me out.This was an integrated and combined effort of mine and the team members from Germany. It was not the matter of setting the example but although we made an effort to show thestrength of unity and combined effort. I just tried to solve out the problem with the help of available resources to me. I used them in an integrated and optimal way to get the most effective and efficient solution out of it.I just wanted to show the transparent and clear view of in front of the eyes ofthe consumers and the common people. And I could do the same thing. So, it was really a win-win situation for me and my team of the organization.I started from the analysis of the root cause of the problem and that was overcoming the cultural barriers and then made thestrategies to reach an integrated solution without wasting time. Since it was affecting he market share like anything. That was really a big concern for the organizationalpoint of view. This way it was an integrated application of all the aspects ofleadership skills and knowledge that commonly helped in reaching to the effectiveand efficient decision making and as a result I could reach to the solution of the crisis.
The problem could be solved irrespective all of those evens and odds. This was like a big challenge in front of me and the organization people as well. We all together were thinking to come out from this critical situation of crisis to make the whole scenario again normal and in favor of us. But it was not an easy task to be done so easily. There were a lot of challenges and difficulties that came while coming out from this situation. But also I continued to move ahead with all my efforts and dedication to come out from this odd situation. Challenges are always there when we take any initiative. That is not important. The more important part is how you are considering that challenges and handling it in an effective and efficient manner to come over it. Since, all the challenges are made to make us stronger at each stage. They just like our examination and as we cross our examination we get our result and being promoted to new class. Challenges are like the same as examination in our life. That plays an important role and helps us in getting new lessons and learning. Learning make us more experienced and effective in taking decision at any point of time and in response to any kind of situation.
CONCLUSION
My leader ship style in Germany in order to survive and mark the growth of company in foreign land will include following factors:
1) Building a co operative and friendly environment among people –This will me to to the know the diversity, as well as promote interculture unity which will inspire team spirit.
2) Promote Team effort: Team spirit is the most important aspect of leadership: Team is the always required to let the strategy work effectively. Without team, no work could be done effectively.Team effort is an integrated and combined characteristic that make a positive effect and lead towards the success of the strategy.
3) Use of analytical skill: Use analytical skills to know the business of the organization in Germany. There is a great requirement of analytical skills that could help us more effectively with facts and figures. That would be an authentic work out to comeup to a solution of the problem. This will help to become leader and help in the growth of the organization.
4) Promote Motivation: As a leader,I should try to motivate all my employess so that they can perform in a much better way.At any difficult situation we should not lose our motivation as it is one of the most important and effective tools to overcome from a difficult situation.
5) Working with cultural diversity: A leaders should always be able to encourage his/her team to work in a diverse team to gain the synergy in the team and organization. This is not only fruitful for the team or the manager but it will have advantage for the whole team and organization as well.
6) Training and Development: To work with all these cultural and team diversity while global operations we should also provide an intensive and effective training to encourage the team to work in an effective and efficient manner irrespective of the global diversity and this will also help in adaptation of the new culture of the particular nation, here we can take Germany as the new and diverse country while working globally. So as an effective leader, I should first implement the training and development session for the team who all are going to become a part of the global operations in Germany.
7) Feedback and Review for employee satisfaction: Employee satisfaction is again one of the most critical and important factor for the effective leadership trait. An effective leader should keep on taking feedback from the team who all are working globally to understanding the working condition and environment. This will help the leaders to encourage more team members to work globally in different countries without any hesitation and resistance.
The overall conclusion can be seen as the leadership capabilities should always encourage the team to become new and evolutionary leaders rather than just keep on working under the team leader or manager. An effective leader should encourage the leadership capabilities and skills to his/her team members. This will help in leadership development and encourage more and more leaders within the organization itself.
References:
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Graen, G. B., Hui, C., Wakabayashi, M. , Wang, Z. (1997), “Crosscultural research alliances in organizational research”.
Hofstede, G. , Peterson, M (2000), “Culture: national values and organizational practices, Handbook of organizational culture and climate”, pp. 401-416
Mayntz, M (1997), “Executive Leadership in Germany”, p144
Thoms, P. and Greenberger, D. B. (1998) ‘A test of vision training and potential antecedents to leaders’ visioning ability’, Human Resource Development Quarterly 9(1): 3–20.
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Chattopadhyaya, G. P. (1975), Dependence in Indian Culture – From Mud Huts to Company Boardrooms, Economic and Political Weekly, Review of Management, May, 30-39.
Foti, R.J. and Hauenstein, N.M.A. (2007), Pattern and variable approaches in leadership emergence and effectiveness, Journal of Applied Psychology, p. 347-355.
Exploring Corporate Leadership in India, online available at
http://www.cpmr.org.in/opinion/vol1/issue1/Articles/11.pdf [accessed on 29 Mar 2012]
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