1. Paternalistic Leadership: Exploring the unexplored elements of GLOBE research AOM 2015 Vancouver Tara Wernsing - IE Business School, Madrid Spain Mary Sully de Luque - Garvin Center for Cultures and Language at Thunderbird School of Global Management at Arizona State Enrique Ogliastri – INCAE Costa Rica, IE Business School Nathalie Castaño – NASA, Wayne State

2. Paternalism – why should you care? What is it? A form of leadership that blends – authoritarianism and benevolence (Cheng, Chou, Wu, Huang, & Farh, 2004; Farh & Cheng, 2000; Martinez, 2005) – hierarchy and relationalism (Chen, Eberly, Chiang, Farh, Cheng, 2014) Is it “bad” leadership? Perceived by other cultures as an outdated or low-quality mode of leadership – Mafia examples, family loyalty to autocratic decision-maker, nepotism

3. Research Hypotheses H1: Three dimensions to paternalistic leadership authoritarian decision-making collectivist group climate high quality relationship H2: Power-distance and collectivism are positively related to paternalistic leadership style.

4. Method & Measures GLOBE database: survey of about 15,440 middle managers from within three industries (i.e., food, telecommunications, and banking industries) from 62 societies (House et al., 2004) – Data collection began in 1995 and continued with adding Peru in 2012 Paternalistic leadership measure – Began examining 25 items from the original 112 behavioral and attribute descriptors that contribute to outstanding leadership (Dorfman et al., 2004) on a 7-point Likert scale. – 5 items authoritarian decision-making – 4 items high quality relationship – 4 items collective group climate 3 Cultural dimensions (Power distance and Collectivism in-group and institutional) – Measured as current practices (as is) and ideal values (should be) in society

6. EFA using SEM close fit indices modeldfCFIRMSEASRMR 1 factor65.68.10.08 2 factor53.93.05.03 3 factor42.97.04.02 Multilevel 3 factor 107.97.03.02

7. CFA analysis – SEM close fit indices multi-level <.08 >.90 <.05

8. Dimensions and Items for Paternalistic Leadership Trustworthy Just Decisive Loyal Authoritarian Decision-Making (50%) Autocratic Ruler Dictatorial Autonomous Bossy Quality Relationship (25%) Collective Group Climate (25%) Group-oriented Self-sacrificial Intra-group face-saver Fraternal α =.78 α =.87 α =.54

9. Participating GLOBE Countries clustered into culturally similar groups Cluster=0 Cluster=1 Cluster=2 Cluster=3 Cluster=4 Cluster=5 Cluster=6 Cluster=7 Cluster=8 Cluster=9

10. Paternalistic Leadership Means by Cultural Cluster nordic anglo germanic latin eu africa est eu mid east c asia s asia latin am

11. Does Power Distance & Collectivism predict Paternalistic Leadership? At societal level of analysis, collectivism cultural factors significantly predict paternalism. Unstandardized CoefficientsStandardized t Sig. BStd. ErrorBeta (Constant)2.574.4166.181.000 power d-.046.067-.088-.691.492 in-group col.205.038.6535.342.000 inst col.184.057.3323.245.002 Unstandardized CoefficientsStandardized t Sig. BStd. ErrorBeta (Constant)2.29.6504.503.000 power d.127.083.2161.490.142 in-group col.173.068.2972.070.043 inst col ss-.020.057-.041-.294.770 n=61 As Is Practices Should be Values

12. Conclusions Paternalistic leadership is alive and well - consistently associated with cultural values and practices of in-group (“family”) collectivism. Future research to compare other measures of paternalism to confirm convergent validity and other leadership styles for discriminant. Will paternalism fade away as cultures evolve toward more individualism? Each variation of paternalism will continue to evolve based on region and events – chinese versus latin american vs middle east vs african – public vs private voice and feedback, direct vs indirect forms of communication, levels of participation in decision-making In reality, the tensions inherent in leadership never go away: – between one decision-maker and consensus 100% agreement. – between task-focus and relational-focus. – between individual and collective needs, values, goals. – The move from patriarch to expert d-m to more democratic and collaborative decision-making takes more time, energy, and upgrading the skills all participants (x-communication and conflict capacities). – What we really need is wider skillset - use many forms of leading that are quickly adjustable to the situation.

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