CHAPTER 14
International and Culturally Diverse Aspects of
Leadership
The purpose of this chapter is to help the reader understand the leadership challenges stemming from
working in international and culturally diverse environments. In addition, the reader is given many
specific suggestions for leading effectively in such an environment. The underlying theme to the chapter
is that effective leadership of diverse people requires a sensitivity to and enjoyment of cultural
differences.
CHAPTER OUTLINE AND LECTURE NOTES
Sensitivity to and an appreciation of cultural diversity improves working relationships. The modern leader
must be multicultural because corporate success, profit, and growth depend increasingly on the
organizations focus on valuing equality.
I. THE ADVANTAGES OF MANAGING FOR DIVERSITY
The ethical and social responsibility goals of leaders and their organizations support the importance
of providing adequately for members of the diverse workforce. Ethical leaders feel compelled to
use merit as a basis for making human resource decisions. A firm that embraces diversity is also
behaving in a socially responsible manner. Managing for diversity brings a competitive advantage
to the firm in the following ways:
1. Managing diversity well offers a marketing advantage. For example, a multicultural group of
2. Companies with a favorable record in managing diversity are at a distinct advantage in
recruiting and retaining talented people.
3. Heterogeneity in the workforce may offer the company a creativity advantage, plus improved
problem solving and decision making.
Diversity can be a double-edge sword: it increases both the opportunity for creativity and the
likelihood that group members will be dissatisfied and fail to identify with the group.
Chapter 14: International and Culturally Diverse
Aspects of Leadership
II. CULTURAL FACTORS INFLUENCING LEADERSHIP PRACTICE
A multicultural leader is a leader with the skills and attitudes to relate effectively to and motivate
people across race, gender, age, social attitudes, and lifestyles. To influence, motivate, and inspire
A. Key Dimensions of Differences in Cultural Values
One way of understanding how national cultures differ is to examine their standing on
selected values, ten of which are described here.
1. Performance orientation is the degree to which a society encourages (or should
encourage) and rewards group members for performance improvement and excellence.
2. Assertiveness is the degree to which individuals are (and should be) assertive,
confrontational, and aggressive in their relationships with one another.
5. Humane orientation is the degree to which a society encourages and rewards, and
should encourage and reward, individuals for being fair, altruistic, and caring to others.
6. In-group collectivism is the degree to which individuals express, and should express,
pride, loyalty, and cohesiveness in their organizations and families.
9. Uncertainty avoidance is the extent to which members of a society rely, and should
rely, on social norms, rules, and procedures to lessen the unpredictability of future
events.
10. Work orientation is the number of hours per week and weeks per year people expect
to invest in work versus leisure or other nonwork activities.
Chapter 14: International and Culturally Diverse
Aspects of Leadership
B. Cultural Values and Leadership Style
Relationships between people in a society are affected by the values programmed in the
minds of these people. Because management deals heavily with interpersonal relationships,
management and leadership are affected by cultural values.
1. French Managers. In France, which is a class society, French managers are part of an
elite class and behave in a superior, authoritarian manner.
4. Northern U. S. versus Southern U. S. Managers. An example of a cross-regional
stereotype is that managers in the southern United States are lower key and more
III. CULTURAL SENSITIVITY AND CULTURAL INTELLIGENCE
The traits and behaviors described in Chapters 2, 3, and 4 should equip a person to lead diverse
groups. In addition, cultural sensitivity and cultural intelligence, and certain specific global
leadership skills are essential for inspiring people from cultures other than one’s own.
A. Cultural Sensitivity
A cross-cultural leader must also be patient, adaptable, flexible, and willing to listen and
learn. These characteristics are part of cultural sensitivity, an awareness of and a willingness
to investigate the reasons why people of another culture act as they do. Six aspects of cultural
sensitivity are described next.
1. Recognition of nuances in customs. A person with cultural sensitivity will recognize
2. Being a multicultural worker. Cultural sensitivity is also important because it helps a
person become a multicultural worker—one who is convinced that all cultures are
Chapter 14: International and Culturally Diverse
Aspects of Leadership
Sensitivity is the most important characteristic for leading people from other cultures
because cultural stereotypes rarely provide reliable guides.
3. Recognizing potential problems of cultural misunderstanding. Problems of cultural
misunderstanding that leaders should be aware of cluster in five areas: (1) language
well as flexible scheduling.
4. Transgender employees. The reality of a greater number of transgender employees in
the workplace requires considerable sensitivity on the part of the leader or manager. A
5. Flexibility in dealing with others. Cultural sensitivity is enhanced by diversity training
6. Eliciting ideas and giving critical feedback. Cultural norms about expressing ideas vary
across cultures. Team members from relatively egalitarian cultures, such as the United
States might be more candid in voicing their opinions. In contrast, team members from
more hierarchical cultures such as Japan and China tend to speak up only after more
senior colleagues have provided their input.
feedback, particularly in a group setting.
B. The English Only Policy and Cultural Sensitivity
To facilitate communication in international enterprise, a growing number of companies have
declared English as the official language for conducting business. A key argument for the
C. Cultural Intelligence
Chapter 14: International and Culturally Diverse
Aspects of Leadership
A refinement and expansion of cultural sensitivity is cultural intelligence (CQ): an
outsider’s ability to interpret someone’s unfamiliar and ambiguous gestures the way that
IV. GLOBAL LEADERSHIP SKILLS
Global leadership skills refer to the ability to exercise effective leadership in a variety of
countries. The essence of global leadership is the ability to influence people who are dissimilar to
the leader and stem from different cultural backgrounds.
A. General Model of Global Leadership Skills.
Global leadership skills improve a company’s reputation and contribute to a sustainable
competitive advantage. Excellent global leaders have a leadership style that generates
meaningful work
B. Success Factors in International Management Positions
Effective global leaders also exhibit leadership skills necessary for dealing with day-by-day
interactions. As revealed by a study, two success factors are sensitivity to cultural differences
and being culturally adventurous. A study demonstrated that deficits in emotional intelligence
contributed to executive failure on assignments in Latin America, Europe, and Japan.
C. Motivating and Inspiring Workers in Other Cultures
Chapter 14: International and Culturally Diverse
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Expectancy theory provides the best general clue to motivating people in other cultures—
D. Understanding which Leadership; and Management Practices Function Well in a Specific
Culture
A general challenge confronting the global leader is that techniques that work well in one
culture many not necessarily work well in another culture. For example, in a culture that
V. LEADERSHIP INITIATIVES FOR ACHIEVING CULTURAL DIVERSITY
For organizations to value diversity, top management must also be committed to embedding
diversity in company strategy. The commitment is clearest when it is embedded in organizational
strategy, as well as in the life and culture of the organization. Diversity initiatives should be deep
rather than superficial.
A. Hold Managers Accountable for Achieving Diversity
If managers are held accountable for behavior and business changes in the diversity arena, an
B. Establish Minority Recruitment, Retention, and Mentoring Programs
An essential initiative for building a diverse work force is to recruit and retain members of
Chapter 14: International and Culturally Diverse
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Mentoring is a key initiative for retaining minority group members, as well as facilitating
their advancement. Successful minorities with supportive managers and coworkers have
faster compensation growth and progress more rapidly in their firms.
C. Conduct Diversity Training
Diversity training has become a widely used, though controversial, method for enhancing
diversity within organizations. The purpose of diversity training is to bring about workplace
harmony by teaching people how to get along better with diverse work associates. Training
sessions in valuing differences focus on the ways in which men and women and people of
different races reflect different values, attitudes, and cultural backgrounds. Sometimes these
programs are confrontational, sometimes not. An essential part of relating more effectively to
diverse groups is to empathize with their point of view.
more effective than making such training mandatory.
D. Conduct Anti-Bias Training
Closely related to diversity training are programs to help encourage employees to discover
their unconscious biases that may adversely affect certain demographic and cultural groups.
E. Conduct Cross-Cultural Training
The method frequently chosen for overseas assignments is cross-cultural training, a set of
learning experiences designed to help employees understand the customs, traditions, and
Chapter 14: International and Culturally Diverse
Aspects of Leadership
F. Avoid Group Characteristics When Hiring for Person-Organization Fit
Person-organization fit centers around the extent to which a person’s major work-related
values and personality traits fit major elements of the organization culture. Selecting for
person-organization fit can lead to a cohesive and strong organizational culture. The danger,
G. Attain Diversity among Organizational Leaders
To achieve a multicultural organization, firms must also practice leadership diversity, the
VI. GUIDELINES FOR ACTION AND SKILL DEVELOPMENT
Focusing on differences among workers is insufficient for building connections. A recommended
approach for building connections is to focus on similarities. Casual conversation will often reveal
similarities, such as a sports or cultural interest.
development as part of performance evaluation.
COMMENTS ON EXPERIENTIAL EXERCISES
Leadership Skill–Building Exercise 14–1: Pinpointing a Diversity
Advantage
An important feature of this exercise is that it provides an opportunity to attempt to obtain original data on
a highly relevant leadership topic—identifying a tangible advantage of being a diverse organization. The
Chapter 14: International and Culturally Diverse
Aspects of Leadership
Leadership Self–Assessment Quiz 14–1: Charting Your Cultural Value
Profile
In addition to plotting their own cultural profiles, students are asked to speculate on the impact of the
Leadership Self–Assessment Quiz 14–2: My Tolerance for Cultural
Differences
Leadership Skill–Building Exercise 14–2: Positive Cross–Cultural
Experiences in the Workplace
It might prove helpful to pool information on positive cross-cultural experiences in the workplace.
Leadership Skill–Building Exercise 14-3: Gaining International and
Cross-Cultural Experience Inexpensively
The purpose of this exercise is to sensitize students to the possibility of gaining cross–
Leadership Skill–Building Exercise 14–4: The Diversity Circle
The diversity circle is a powerful exercise in demonstrating how some people feel about being diverse.
Chapter 14: International and Culturally Diverse
Aspects of Leadership
Leadership Skill-Building Exercise 14-5: My Leadership Portfolio
This portfolio entry is yet another opportunity for the student to reach out into everyday life to
different from them. Others may have to reach out, which is a major point of the exercise.
COMMENTS ON DISCUSSION QUESTIONS AND ACTIVITIES
1. A wheelchair user is conducting a job search to land a middle-management position. Given that so
many companies are attempting to build a more culturally diverse group of managers, should this
job hunter include a photo of himself in a wheelchair on his job résumé? Explain your reasoning.
Many students will think that the man should include a photo of himself in a wheelchair because it
makes sense to give oneself any possible edge in a competitive job hunt. Furthermore, because
2. With so much business being conducted over the Internet, including email, why is it important to
understand cross-cultural differences in values?
Although a considerable amount of business is conducted electronically, values can be incorporated
3. Suppose an American manager is assigned to be the general manager of a division in Sweden.
During the first week in her position she is confronted by a group of workers who say that because
they are Swedish they do not respect rank and status. They insist that she should share her executive
salary with the production and clerical staff. If you were the American manager, how would you
respond?
The general manager might respond that although she and her company respect Swedish national
4. If a business leader is regarded as charismatic by many people in one culture, to what extent do you
think the leader would be perceived as charismatic in many other cultures?
Chapter 14: International and Culturally Diverse
Aspects of Leadership
5. What actions might a leader take to demonstrate that his or her interest in diversity goes beyond
rhetoric?
An obvious step to show that a leader has a genuine interest in diversity would be to promote
demonstrating that the leader values diversity.
6. Assume that a manager becomes the leader of a division in which the vast majority of the workers
are under twenty-five, such as a restaurant chain. Would you recommend that the leader get some
body piercing to help establish rapport with the division workforce? Explain your reasoning.
A danger point in attempting to establish rapport with another group is to duplicate certain aspects
7. Walmart (the well-known store that is part of Wal-Mart Inc.) has such a diverse workforce that it
appears the majority of workers are minority-group members. Why do you think that Walmart
receives such little publicity for being culturally diverse?
The problem could be that the anti-Walmart groups and individuals capture more attention. These
people complain about the low wages to workers and the preference of Walmart leadership to be
members advance their careers at the company.
8. Should a company such as McDonald’s Restaurants that already has a high diverse workforce and
customer base require managers and franchise owners to att4end diversity training? Explain your
reasoning.
The major goal of diversity training is to teach people how to get along with culturally diverse
9. Suppose you are a team leader and one of your team members has a strong work ethic, based on his
or her cultural values. Is it fair to assign this member much more work just because he or she is
willing to work longer and harder than other team members?
Chapter 14: International and Culturally Diverse
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10. What can you do this week to help prepare yourself to become a multicultural leader?
Action steps this week to prepare for multicultural leadership would include many of the
PLAUSIBLE RESPONSES TO CASE QUESTIONS
Leadership Case Problem A: Cultural Sensitivity at Pacific Pods
The major theme this case illustrates is how far a leader/manager should go in attempting to
demonstrate cultural sensitivity. A second theme is whether it is better for the leader/manager to
focus on similarities or point out differences in an attempt to build good workplace relationships.
1. What is your evaluation of the apprpriateness and effectivenss of Ava’s cultural sensitivity
initiatives?
Ava may be well intended, but she might be making her staff feel uncomfortable in her obvious
2. What suggestions can you offer Ava to be even more effective in displaying cultural
sensitivity?
Ava might comment on cultural and demographic differences only when the subject arises
naturally. For example, if Deon introduces the topic of Kwanza, she could then make a couple
3. Explain if you found any one of Ava’s four cultural sensitivity initiatives to be offensive.
A cultural sensitivity is more likely to be perceived as offensive when it makes an assumption
Associated Role Play
Chapter 14: International and Culturally Diverse
Aspects of Leadership
Leadership Case Problem B: Curses, An Affinity Group for Workers 60
and Over?
This case illustrates that challenges may sometimes arise when company leadership takes initiatives to be
embrace diversity, but attempts to set limits on these initiatives for a given demographic group. .
1. What do you recommend that Penelope do with the request to form a company-sponsored affinity
group?
Although Penelope appears to be skeptical of the legitimacy of an employee affinity group for
seniors, she must take the proposal seriously to avoid appearing insensitive to the demands of the
2. What concerns, if any, do you have about Penelope’s commitment to demographic and
cultural diversity at Power Energy?
Penelope is thinking critically in terms of exercising caution about the company sponsoring the
Splendid Seniors. Her observation is valid that an affinity group is usually reserved for EEOC
Associated Role Play
This role play might be regarded as an opportunity to practice conflict resolution and negotiation. As
exist, Penelope might be more inclined to think his demands are legitimate.