Leader&cultural diversity

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  • 1. Leadership and Cultural Diversity 17 November 2012
  • 2. Managing DiversityAny organisation that embraces diversity could be considered to be behaving in a socially responsible mannerSocial responsibility is considered to be a broader concept that relates to an organisation’s impact on society
  • 3. Management of Cultural Diversity Organisational culture - valuing differences & practicing cultural inclusiveness Some of the factors that cultural diversity can promote/assist:  Can offer a marketing advantage  Recruiting and retaining talented people  Unlocks the potential for excellence  Offers a creative advantage
  • 4. Key dimensions of differences in cultural values 1. Individualism vs collectivism 2. High power distance vs low power distance 3. High uncertainty avoidance vs low uncertainty avoidance 4. Long term orientation vs short term orientation 5. Masculinity vs femininity 6. Informality vs formality 7. Urgent time orientation vs casual time orientation
  • 5. Individualism vs Collectivism Individualism is a mental set in which people see themselves first as individuals and believe their own interests and values take priority Collectivism is a feeling that group and society should be given the highest priority Australia, New Zealand, USA, Canada, German and the UK are individualistic cultures Japan, Indonesia, Korea, South American and Middle countries tend to be collectivist in their culture
  • 6. Power Distance This refers to the idea that different members of an organisation have different levels of power. High power culture - leaders make decisions and group members comply Low power culture - employees do not recognise the power of leaders as readily High power culture - France, Korea, Spain, Japan and Mexico Low power culture - USA, Australia, NZ, Canada and Scandinavian countries
  • 7. Uncertainty avoidance People who accept the unknown, tolerate risk and unconventional behaviour are said to have low uncertainty avoidance- they are not afraid to face the unknown High uncertainty avoidance means that people want predictable and certain futures Low uncertainty avoidance countries include: USA, Australia, Scandinavia and India High uncertainty avoidance countries include Japan, Italy, Argentina and most of Europe
  • 8. Masculinity vs Femininity Masculinity refers to an emphasis on assertiveness, success and competition Femininity refers to an emphasis on relationships, caring for others and a high quality of life Masculine countries include: USA, Japan, Italy, Italy and India Feminine countries include: Sweden, Denmark, Korea, France and Spain
  • 9. Long term vs short term orientatation Long-term cultures take the long-range perspective, are more thrifty and look at investments in the long term Short-term cultures take a short term perspective, not thrifty and expect immediate returns China and Japan take long term view USA, France and West Africa tend to be short term
  • 10. Formality vs Informality Formality attaches importance to tradition, ceremony, social rules and tank Informality places lower importance on these Latin and South America are very formal USA, Australia and New Zealand are much less formal (UK much more formal than Australia)
  • 11. Urgent time orientation vs casual time orientation Urgent time orientation is where time is perceived as a scarce resource people tend to be impatient Casual time orientation is where time is not perceived as being as important and people tend to be patient USA, Germany etc tend to be urgent time orientation South Sea islands tend to be more casual with time as do Latin American cultures
  • 12. How these effect leadership These impact on leaders-followers in many ways:  Rewards and recognition  Power relationships  Formality of dealings  Time orientation  Casual relationships