chapter 11 motivating and leading across cultures

Chapter 11

Motivating and Leading Across Cultures

11-2Copyright © Houghton Mifflin Company. All rights reserved.

Overview

• Motivating and leading abroad

• Motivation theories and cultural implications

• Effective Leadership in an international context


Motivating Across Cultures

• Cultural differences add complexity

• Applicability of American approaches?

• Culture-specific approaches

• Differences within a country

• Few universal principles


Motivation Theories

• Context theories– Maslow’s hierarchy of needs– Herzberg’s two-factor theory

• Process theories– Equity theory– Reinforcement theory– Goal theory– Expectancy theory


Maslow’s Hierarchy of Needs

►Self-actualization—maximum potential►Esteem needs—self respect & confidence

►Social needs—feeling of belonging►Safety needs—satisfy security concerns

►Physiological—food and shelter

• Hierarchical needs

• Lower order needs dominate behavior until met


Cross-Cultural Applicability of Maslow’s Hierarchy of Needs

• Some applicability across cultures

• Hierarchy scheme doesn’t fit every culture

• Cooperative/social needs may be most important in collectivist cultures

• Some argue that hierarchy reflects American values


Herzberg’s Two-Factor Theory

• Hygiene factors—needs to be satisfied– i.e., good working conditions– If satisfied, does not guarantee motivation

• Motivators—needs to be motivated– i.e., job enrichment– Must have both hygiene factors and

motivators to be motivated


Cross-Cultural Applicability of Herzberg’s Two-Factor Theory

• Some applicability

• Doesn’t fit every culture

• Motivators vary across cultures– Collectivist / individualist – Power distance– Uncertainty avoidance– Masculine / feminist


Where Are the (un)Happiest Employees?


Equity Theory

• Motivation linked to perceptions of being treated fairly in terms of– Job outcomes—pay, benefits– Job inputs—effort, skills

• Employees compare outcome/input ratio against others

• Balanced ratio = satisfied employee


Cross-Cultural Applicability of Equity Theory

• Individualistic cultures embrace equity theory

• Collectivist cultures more likely to prefer equal distribution of outcomes

• Differences in equity standards

• Social changes impact view of equity

• Managers must consider reactions to reward allocation system


Reinforcement Theory

• Consequences associated with behavior

• Positive reinforcers—improve performance– i.e., Bonuses

• Punishment—eliminate poor performance– i.e., Pay cut


Cross-Cultural Applicability of Reinforcement Theory

• Need to determine what employees value to use positive reinforcers

• Cultural differences of meaning of rewards– Positive vs. critical feedback– Praise– Performance-based, merit pay vs.

seniority


Goal Theory

• Establishing performance targets

• Specific and challenging goals as motivators

• Employee involvement in goal-setting


Cross-Cultural Applicability of Goal Theory

• Assumes: – Low power distance– Low uncertainty avoidance– High performance is valued

• Variations in approaches to goal setting


Expectancy Theory

• Assumes three employees believe:1. Hard work will result in good

performance

2. Rewards associated with good performance

3. Rewards are important to them

• If not, motivation suffers


Cross-Cultural Applicability of Expectancy Theory

• Emphasizes individualism

• Masculine orientation– Task versus relationship focus

• Locust of control– Internal versus external

• Reward system must be designed with cultural considerations


Developing a Motivation Strategy

• Take cultural variables into account

• Cultural values change and evolve

• Managers should be aware of own biases

• Any strategy should be…– Culturally synergistic—complement

various cultures involved


Steps to Developing a Motivation Strategy

1.Describe motivation situation

2.Identify cultural assumptions about motivation

3.Generate culturally synergistic alternatives

4.Select and implement a synergistic strategy


Leader Behavior Across Cultures

• Constantly changing and evolving

• U.S. research reveals two basic types:– Task-oriented behavior

• Providing clear expectations

– Relationship-oriented behavior• Showing personal concern

– This simple dichotomy not appropriate in all cultures


Likert’s System 4 Theory

• Argues all companies should move toward systems 3 and 4 for higher performance and moral

• May work best in low power distance cultures

• Managers should adjust leadership style to the cultural environment


Likert’s System 4 Theory (cont’d)

System 1 - Exploitive authoritativeTop downPunishment used to motivate

System 2 - Benevolent authoritativeAutocraticPaternalistic

System 3 - ConsultativeEmployees involvedManagement final say

System 4 - DemocrativeEmployee part of decision makingLateral and verticalTeam approach


Leadership and Power

• Perspectives on power differ between cultures

• Position power

• Personal power

• Social influence tactics

Ranking the Importance of Leader Influence Tactics Across Countries


Transformational Leadership

• Ability to influence – Poor to exceptional performance

• Creates emotional bond that results in loyalty and performance– Charisma– Use of inspirational appeals– Intellectual stimulation– Individualized consideration

• Less effective in collectivist cultures


Path-Goal Theory

• Model that includes cultural variables

• Four basic styles– Directive– Supportive– Participative– Achievement-oriented

• Contingency factors shape style

Introducing Cultural Contingencies Into Path-goal Theory: Identifying Compatible Leadership Styles


Leadership Challenges for MNCs

• Diversity of contexts

• Macro-level and micro-level factors

• National and corporate values

Comparing Transnational and Traditional Skills for International Managers


Suggestions for Developing Leaders With Transnational Skills

chapter 11 motivating and leading across cultures

Documents

maslows hierarchy of

equity theorymotivation

othersbalanced ratio

outcomeinput ratio

culturecooperativesocial

employees value

unhappiest employees

culturescultural differences