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Culture and Leadership Elena Tecchiati [email protected]

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Culture and Leadership

Elena Tecchiati

[email protected]

Culture as a Main Effect on Leaders and Followers

Cultural variation in research

¤  Most influential investigation of cultural variation in perceptions of what traits are effective ¤  By the Global Leadership and Organizational Behavior

Effectiveness Project (House et al. 2004)

¤  Relationships between ¤  societal culture ¤  organizational culture ¤  leadership prototypes

¤  62 culturar societies

¤  appr. 17,000 middle managers

Results

¤  Two leadership attributes were universally endorsed: a- Charismatic Leadership

b- Team-oriented leadership

¤  Organizational and societal values (rather than values) were significantly related to a and b

¤  Power distance ¤  positive associated with self-protective leadership

¤  Negative associated with charismatic and participative leadership

Variations in leadership prototypes

¤  Significant variations in leadership prototypes or behavioral manifestations of the prototypes were found ¤  Across and within cultural clusters

¤  Across hierarchical positions

¤  Example: Attributes of an effective leader ¤  According to top managers:

¤  Innovative, visionary, courageous

¤  According to lower-level managers:

¤  Attention to subordinates, team building, participation

In individualistic cultures

¤  Perception of charisma based on recognition-based perceptions ¤  i.e. leadership effectiveness is a perception that is based on

how well a person fits the characteristics of a „good“ or „effective“ leader

¤  Japanes employees follow a „logic of approapriateness“ model (ehat is appropriate in a specific circumstance)

In collectivistic cultures

¤  Perception of charisma based on inference-based perceptions ¤  i.e. leadership effectiveness is an inference based on group/

organizational performance outcomes

¤  U.S. employees follow a „logic consequence“ model (what should be the consequence of a specific behavior)

Variance

¤  Across-country variance accounts for more variance in leadership preferences than

¤  Within-country variance (e.g. across demographics and occupational grouping)

Culture‘s influence on leadership prototypes

¤  Cross-cultural differences in leadership behaviors and practices

¤  Study of how middle managers in 47 countries handle work events (Smith et al. 2002) showed that ¤  Cultural values (e.g. high collectivism, power distance,

conservatism, and loyal involvement) are related to

¤  Reliance on vertical sources of guidance (i.e., formal rules and superiors), rather than

¤  Reliance on peers or tacit sources of guidance

Strategic orientation

¤  Comparison of executive‘s strategic orientation (Geletkanycz, 1997) ¤  In 20 countries

¤  Results: ¤  Individualism

¤  Low uncertainty avoidance

¤  Low power distance

¤  Short-term orientation

¤  Associated with executive‘s adherence to existing strategy

Study Hofstede et al. 2002

¤  Individualism and long-term orientation ¤  correlated positively with

¤  importance of profits in upcoming years

¤  Power distance ¤  correlated negatively with

¤  staying with the law

Culture‘s influences

¤  Culture affects ¤  the use of power

¤  influence tactics

¤  Individualistic cultures put emphasis on ¤  Coercive power

¤  Collectivistic cultures put more emphasis on ¤  Expert power

Study Rao et al. 1997

¤  Japanese managers were similar to U.S. managers in their use of ¤  Assertiveness

¤  Sanctions

¤  Appeals to third parties

¤  Japanese mangers used culture specific influence strategies (i.e. appeals to firm‘s authority, personal development)

Study of Fu et al. 2004

¤  Perceived effectiveness of influence strategies is influenced by ¤  individual-level variables (e.g., beliefs) and ¤  macro-level variables (e.g., national culture values)

¤  For example: individuals who believed in fate control are ¤  more likely to use assertive and relationship-based influence

strategies ¤  Particularly in societies high on

¤  future orientation ¤  In-group collectivism ¤  Uncertainty avoidance

Transformational and transactional leadership

¤  Bass (1997) argued that they are ¤  Universal dimensions ¤  Tranformational more effective than transactional

¤  Yet: evidence for culture specific enactment of these dimensions

¤  And additional dimensions in other cultures

Svadharma

¤  Indian svadharma orientation (following one‘s duty)

¤  As important component for transformational leaders in India

Predictors of charismatic leadership

¤  Collectivism

¤  Organic organizational structures

¤  Manifestation of charisma vary across cultures!!!

Discourse analysis of speeches of global leaders

¤  A strong voice with ups and downs was associated with ¤  perception of enthusiasm ¤  in Latin American cultures

¤  A monotonous tone of voice associated with ¤  perception of respect and self-control ¤  in Asian cultures

Culture as a Moderator of Leadership

Culture

¤  Moderates relationship between ¤  leadership and

¤  employee‘s outcomes

Transformational leadership in collectivistic cultures

¤  Collectivism strengthens the effect of transformational leadership on ¤  employees‘ job satisfaction

¤  Organizational attitudes

¤  Turnover attention

¤  Transformational leadership enhanced creativity in followers with ¤  High conservatism values in Korea

Participative leadership

¤  Improved profitability of work units in countries with relatively low power distance

¤  but did not affect profitability in high-power-distance ones

Leadership behavior

¤  Positive impact on employee outcomes across five countries if ¤  Leader supportivness

¤  Contingent reward

¤  Charismatic leadership

¤  Differential impact if ¤  Participation

¤  Direcitve leadership (positive only in Taiwan and Mexico)

¤  Contingent punishment (positive only in U.S.)

Level of innovation

¤  In Russian culture facilitated by ¤  Charisma

¤  Demosntration of confidence

¤  Idealized influence

¤  Active/passive management by exception

¤  In Sweden facilitated by ¤  Inspirational motivation

¤  Intellectual stimulation

Role stress and ambiguity

¤  Initiating structure decreased role stress and ambiguity ¤  in the U.S. but not in India

¤  Consideration ¤  decreased these negative experiences and

¤  enhanced organizational commitment in both cultures

Emic Dimensions of Leadership and Leadership in a Multicultural Context

Paternalistic leadership

¤  Scales developed and validated by Aycan and colleagues (Aycan et al. 2000, Aycan 2006)

¤  Paternalistic leadership has a positive impact on ¤  employee attitudes in

¤  collectivistic and

¤  high-power-distance cultures

Guanxi

¤  In the Chinese culture the social connections between people that are based implicitly on mutual interest and benefits.

¤  When guanxi is established, people can ask a favor from each other with the expectation that the debt incurred will be repaid sometime in the future (Yang 1994, pp. 1-2)

¤  For further information ¤  http://chinese-school.netfirms.com/guanxi.html

Guanxi and leadership

¤  Distinct concept from leadership member exchange (LMX) and from commitment to the supervisor

¤  Has explanatory power for supervisory decisions on promotion and ¤  reward allocation after controlling for performance

Positive leadership outcomes

¤  In multicultural work settings if ¤  Setting cooperative goals

¤  Using cooperative conflict management strategies

¤  Having a leader-follower match in ethnicity

Source: „Cross-Cultural Organizational Behavior“

¤  Gelfand, M.J., Erez, M., & Aycan, Z. (2007)

¤  The Annual Review of Psychology

¤  Pp. 492-494