1. The Global and Cultural Contexts
Chapter 2
The Global and Cultural Contexts
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

2. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Learning Objectives
Understand the role culture can play in leadership
Describe the three levels of culture
Discuss the models of national culture
Identify the impact of gender on leadership
Address how organizations and leader can develop a cultural mindset
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

3. Defining Elements of Culture
Values shared by group members
Set of norms, customs, values, and assumptions
Guides behavior
Makes a group unique
Makes one group different from other groups
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

4. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Levels of Culture
National Culture
Group Culture
Group Culture
Organizational
Culture
Organizational
Culture
Organizational
Culture
Group Culture
Group Culture
Organizational
Culture
Group Culture
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

5. Hall’s Cultural Context
High Context Cultures
Rely on environmental cues and context
Subtle cues convey message
Trust is more important than legal and formal contract
Indirect communication
Low Context Cultures
Rely on explicit verbal and written messages
Specific and clear words convey message
Formal and legal contracts guide action
Direct communication and specific instructions
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

6. High and Low Context Cultures
High Context
Japanese
Chinese
Koreans
African Americans
Native Americans
Arabs
Greeks
Latin cultures
Italians
English
French
European North Americans
Scandinavians
Germans
Swiss Germans
Low Context
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

7. Hofstede’s Cultural Dimensions
Individualism-Collectivism
Power distance
Uncertainty avoidance
Masculinity
Time orientation
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

8. Individualism-Collectivism
In individualistic cultures:
Individual is autonomous from the group
Personal goals have priority over group goals
Individual attitudes determine behavior
Relationships are based on exchange
Others are far and not part of self
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

9. Individualism-Collectivism
In collectivistic cultures
Individual is dependent on in-group
Group goals have priority over individual goals
Social norms determine behavior
Relationships are based on communal terms
In-group members are close
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

10. Individualism-Collectivism
Vertical – Emphasis on hierarchy
Horizontal – Emphasis on equality
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

11. Individualism-Collectivism
Vertical Collectivist (VC)
Rank and status among members
Obedience to authority
Sacrifice of self
Horizontal Collectivist (HC)
Members are equal
No hierarchy
Decisions based on consensus
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

12. Individualism-Collectivism
Vertical Individualist (VI)
Each individual considered unique
Each individual is to others
Horizontal Individualist (HI)
Each individual considered unique
All members are equal
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

13. Trompenaar’s Cross-Cultural Organizational Cultures
Egalitarian
Incubator
Individual-oriented
Leader removes obstacles
Focus on individual growth
Guided Missile
Performance-oriented
Leader as a guide
Focus on achieving common goal
Person
Task
Family
Power-oriented
Leader is a strong, caring parent
Focus on building
relationships
Eiffel Tower
Rigid and robust
Leader is undisputed
legitimate boss
Focus on rational performance
Hierarchical
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

14. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
GLOBE Dimensions
Power distance: Degree to which power is distributed equally
Uncertainty avoidance: Extent of reliance on norms and rules
Human orientation: Degree to which fairness and kindness are valued
Collectivism I (Institutional): Degree to which collective action and distribution of resources is valued
Collectivism II (in-group): Degree to which individual are close to their family or organization
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

15. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
GLOBE Dimensions
Assertiveness: Degree of directness and confrontation
Gender egalitarianism: Extent of gender differentiation
Future orientation: Extent of investment in the future rather than the past or present
Performance orientation: Degree to which performance is valued
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

16. Dimensions of Diversity
Secondary Dimensions
Marital
Status
Primary Dimensions
Education
Gender
Ethnicity
Income
Occupation
Person
Sexual
Orientation
Disability
Religion
Socio-economic
background
Age
Other group
memberships
Race
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

17. Gender and Leadership: Current State
Women make up 49.5% of the workforce in the U.S.
Women are 50.8% of management and professional ranks in the U.S.
Women hold 15.2% of corporate officer positions
Only 3% of CEOs of Fortune 500 companies are female
On the average, women earn 70% of their male counterparts
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

18. Gender and Leadership: Current State
In 2009, women made up 14% of U.S. House of Representative members
Only 6 of president Obama’s cabinet are female
The number of female superintendent of schools dropped since 1910 from 9.4% to 4.6% in 1990
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

19. Suggested Causes of Gender Differences in Leadership
Leadership style
Balancing work and home
Women are less committed to their work and career
Women have less experience in organizations
Women quit their jobs more often
Women are less educated
Blatant and subtle discrimination
Persistent gender stereotypes
Glass ceiling
Cultural factors
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

20. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Cultural Mindset
A cultural mindset is a way of thinking that takes culture into consideration in deliberation, decision-making and behaviors. Culture is integral to all thoughts, decisions, and actions--not an afterthought.
Having a cultural mindset goes beyond a simple set of skills.
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

21. Elements of a Cultural Mindset
Open to and aware of cultural differences and their impact on perceptions and behaviors
Inquisitive about how others do things
Appreciate and respect cultural diversity
Aware of your own cultural values
Willing to share and exchange cultural information
Willing to learn and expand
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

22. Elements of a Cultural Mindset
See yourself as part of the world
Use culture as one of the bases for understanding problems
Proactive in addressing cultural situations
Skilled in interacting with those from different cultures
Sort through cultural differences and find opportunities to innovate
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

23. Factors in Becoming a Multicultural Organization
Organizational
culture
Similar role
models
Education and
training
Leadership
Organizational
policies
Research and
measurement
Accountability
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

24. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Leading Diversity
Focus on common vision and purpose
Celebrate all cultures
Provide the “soft tools”: vision and purpose
Allow others to develop the “hard tools”: strategy, structure, systems
Place diverse people in leadership positions
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

25. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Leading Diversity
Emphasize learning and challenging existing assumptions
Equalize power
Provide team training to improve interpersonal trust
Increase trust through integrity, contact and transparency
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

26. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
Leadership Challenge
Women play almost no role in public life in Saudi Arabia
Western women are often treated as a “3rd sex”; neither male, nor female
U.S. laws prohibit any discrimination based on sex (even in a foreign assignment)
Objectively, the best choice is the female executive
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

27. Leading Change: Deloitte
Named one of the best companies to start a career
CEO, Salzberg, committed to diversity
Recruit in wider group of colleges
Mass Career Customization:
Create better fit between life and work
All employees are eligible
Develop a unique path to success
Tailor career with help of manager
Key role of leadership in diversity
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

28. Leadership in Action: Nooyi
One of two female CEOs in a Fortune 100 company
Strong focus on being herself and authentic
Brilliant, talented, irreverent
Believes women have to work harder than men to succeed
Her 5 Cs:
Competence
Confidence
Communication
Moral compass
Being the conscience of the company
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

29. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America.
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall