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Mansour Javidan, Ph.D. Garvin Distinguished Professor and Director of Najafi Global Mindset Institute Global Mindset ® is a registered trademark of Thunderbird.

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Presentation on theme: "Mansour Javidan, Ph.D. Garvin Distinguished Professor and Director of Najafi Global Mindset Institute Global Mindset ® is a registered trademark of Thunderbird."— Presentation transcript:

1 Mansour Javidan, Ph.D. Garvin Distinguished Professor and Director of Najafi Global Mindset Institute Global Mindset ® is a registered trademark of Thunderbird School of Global Management. All rights reserved.

2 Corporations Global Ambitions

3 We also continue to focus on growing market share and expanding our business in key geographic markets, with a special emphasis on Brazil, Russia, India, China, South Korea, and Mexico. William D. Green Former Chairman & CEO, Accenture

4 Our Current StrategyOur Future Growth Global Growth Empowered New Markets

5 The Primary Challenge in Expanding Globally Global Executives: Readiness of the business unit/ company to expand from local to global business. HR/Executive Development Professionals (EDP): Shortage of global executive talent. Smith, Caver, Saslow, Thomas, Developing the Global Executive, 2009.

6 Global Leaders Need To Manage Across… Diverse cultural systems Diverse political and institutional systems Time and geographic distance

7 In a Recent Survey of CEOs: Mobilizing teams and working across cultures were the top 2 critical leadership competencies. Howard and Wellins, 2008.

8 The major challenge in establishing overseas business Cultural differences Survey of 1000 internationally oriented Chinese companies (China Daily, April 27, 2012)

9 The Challenge to Global Leaders How to influence individuals, groups, and organizations inside and outside their firm representing diverse cultural/political/ institutional systems under conditions of rapid change and high uncertainty

10 What Does It Take To Be Successful as a Multinational Leader? Decision making in complex environments and ability to read cultural nuances and adapt leadership style accordingly. Howard and Wellins, 2008.

11 Most Important Areas of Knowledge for Global Executives 1.Understanding of government and political issues in key areas 2.Knowledge of local markets and consumer preferences 3.Knowledge of local business practices Smith, Caver, Saslow, Thomas, Developing the Global Executive, 2010.

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13 What Do Global leaders Need to Succeed? Global Leaders Need a Global Mindset

14 Global Mindset Project (GMP) at Thunderbird Define Global Mindset ® Identify the antecedents and consequences of Global Mindset ® Develop metrics for measuring Global Mindset ® Design scientifically based assessment tools for Global Mindset ® Conduct large-scale studies of executives in large multinational corporations Examine the impact of Thunderbirds programs on the Global Mindset of students Offer a suite of solutions to enhance the Global Mindset of leader and executives

15 C OMPANIES R EPRESENTED IN THE G LOBAL M INDSET S URVEYS Accenture Aditya Birla Amex Amsted Rail Amway Astellas Pharma BAE Becton Dickinson BNY Mellon Bank CH2M Hill Cisco CLO Coach A Coach Salon Cochlear CTCI CTCI Group Cummins Dell Dover Dow E&Y EcoLab EMC Foton Motors GE Healthcare GNext Goodyear Grupo Alfa GAP Henkel Hershey's Hydro Infinity IBM Intel China Intuit J&J Dubai J&J Ethicon JGC J& J JSC Plant Solutions LGE Maersk MILE Newmont Mining Nippon Sheet Glass NZTE Oliver Wyman Orient Pharma Peakinsight PERMATA Petronas Raytheon Recruit Rich Products Right Management SABIC SCT Saudi Arabia Shiseido Co Smith International Statoil Summit Group Telstra Test Research Inc. Thomson Reuters TNB TRI Vale Varian Medical Walmart Watson Wyatt World Action Teams WWL

16 GMI used by Business Schools 1 Athens University, Greece 17 Simmons School of Management 2 Appleby College, Costa Rica 18 Temple University, Japan 3 Baylor University 19 Tiffin University 4 Boston College 20 Thunderbird School of Global Management 5 Eastern University 21 University of Chicago 6 FIA, Brasil 22 University of Denver 7 Florida International University 23 University of Maryland 8 George Washington University 24 University of Minnesota 9 Georgetown University 25 University of Oxford, UK 10 Indiana Tech 26 University of Pittsburgh 11 ITESM, Mexico 27 University of Southern California 12 Lipscomb University 28 University of Texas-San Antonio 13 Macquarie Graduate School of Management, Australia 29 University of Victoria, Canada 14 University of Notre Dame 30 University of Wisconsin 15 Purdue 31 Zayed University, UAE 16 Rice University

17 Global Mindset The ability to influence individuals, groups, organizations, and systems that are unlike the leaders.

18 Global Mindset Global mindset to me means that the individual has a global passport, but in their head. Its the ability to understand the similarities and differences among cultures and their reasons. I think its a natural curiosity to learn more about other cultures.

19 Global Mindset Rather than being frustrated and intimidated by the differences, enjoying them and seeking them out because you find them fascinating. Being comfortable with being uncomfortable in uncomfortable environments.

20 A Global Mindset To succeed in this complex business environment, leaders will need to adopt a set of characteristics and traits that enables them to move fluidly across different cultures. Source: James S. Turley, Chairman and CEO, Ernest & Young, Fast Forward: Strategies for Success in Tomorrows Hot New Markets.

21 Individuals who possess the behavioral flexibility and discipline to act appropriately Individuals who are capable of perceiving, analyzing, and decoding the global operating environment Individuals who can accurately identify effective managerial action in the global operating environment Global Leaders who are effective in influencing people from different socio-cultural systems Corporations ambition to be successful in global markets What is the game? What are the rules? How do we win? Behavioral Repertoire Individuals Who Have a Global Mindset Intellectual Capital PsychologicalCapitalPsychologicalCapital SocialCapitalSocialCapital Beechler, S.,and Javidan, M. (2007). Leading with a Global Mindset. In Javidan, M., Hitt, M. A., and Steers, R. M. (eds.), 2007, Advances in International Management, Vol. 19: The Global Mindset. Elsevier. Global Mindset and Effective Global Leadership

22 Quest for Adventure Self-AssuranceSelf-Assurance Passion for Diversity Cosmopolitan Outlook Cognitive Complexity Psychological Capital Psychological Capital Global Business Savvy Intellectual Capital Interpersonal Impact DiplomacyDiplomacy Intercultural Empathy Social Capital GLOBAL MINDSET

23 Intellectual Capital (IC) Global Business Savvy Knowledge of global industry Knowledge of global competitive business and marketing strategies Knowledge of how to transact business and manage risk in other countries risk in other countries Knowledge of how to transact business and manage risk in other countries risk in other countries Knowledge of supplier options in other parts of the world Knowledge of supplier options in other parts of the world Cosmopolitan Outlook Knowledge of cultures in different parts of the world Knowledge of cultures in different parts of the world Knowledge of geography, History, and important persons of several countries Knowledge of geography, History, and important persons of several countries Up-to-date knowledge of important world events Up-to-date knowledge of important world events Knowledge of economic and political issues, concerns, hot topics, etc., of major regions of the world Cognitive Complexity Ability to grasp complex concepts quickly Ability to grasp complex concepts quickly Strong analytical and problem-solving skills Strong analytical and problem-solving skills Ability to understand abstract ideas Ability to understand abstract ideas Ability to take complex issues and explain the main points simply and understandably

24 Psychological Capital (PC) Passion for Diversity Interest in exploring other parts of the world Interest in exploring other parts of the world Interest in getting to know people from other parts of the world Interest in living in another country Interest in living in another country Interest in variety Quest for Adventure Interest in dealing with challenging situations Interest in dealing with challenging situations Willingness to take risks Willingness to test ones abilities Willingness to test ones abilities Interest in dealing with unpredictable situations Interest in dealing with unpredictable situations Self-AssuranceSelf-Assurance EnergeticEnergetic Self-confidentSelf-confident Comfortable in uncomfortable situations Comfortable in uncomfortable situations Witty in tough situations

25 Social Capital (SC) Intercultural Empathy Ability to work well with people from other parts of the world Ability to work well with people from other parts of the world Ability to emotionally connect to people from other cultures Ability to understand nonverbal expression of people from other cultures Ability to engage people from other parts of the world to work together Interpersonal Impact Experience in negotiating contracts in other cultures Experience in negotiating contracts in other cultures Strong networks with people from other cultures and with influential people Reputation as a leader CredibilityCredibility DiplomacyDiplomacy Ease of starting a conversation with a stranger Ease of starting a conversation with a stranger Ability to integrate diverse perspectives Ability to listen to what others have to say Ability to listen to what others have to say Willingness to collaborate

26 Global Mindset The ability to influence individuals, groups, organizations, and systems that are unlike the leaders.

27 Global Mindset Intellectual Capital Social Capital Psychological Capital

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