Developing a Global Mindset The Case for Global Leadership Competence

1. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Developing a Global Mindset
The Case for Global Leadership
Competence
Dr. Christine McCarthy
TEC Leadership Institute GmbH
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2. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Key Questions
Q1. What is Global Mindset (GM) and Global Leadership
Competence (GLC)?
Q2. What are the KSAs required to lead in the volatile,
uncertain, complex, ambiguous (VUCA) global economy of
the 21st century?
Q3. How do individuals, institutions and organizations develop
global leadership competence/capacity?
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3. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Q1: Global Leadership Defined
„Successful global leaders must be able to lead with their heads (to manage
complexity), with their hearts (to manage diversity) and with their guts (to manage
uncertainty)“ Wyman, 2013
„Global leaders act as bridge builders, connectors of resources and talent across
cultural and political boundaries - dedicated to finding new ways of creating value“
Harvard, 2012
“Global Leaders exist on the basis of their interpersonal relationships, behavior and
flexibility, as opposed to what they know... It puts more focus on an individual’s
ability to shape things in a way that fits with different scenarios and organizational
circumstances“ Financial Times, 2013
“Global leaders are the glue that binds dispersed teams together and harmonize
local and global goals. They connect disjointed dots, link markets, combine skills,
and form constellations to build momentum. They build requisite synergies by
sustaining commitment to global business objectives while retaining local relevance
and engagement.” McCarthy, 2015
Some definitions
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4. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Q2: What are the KSA´s of GLC?
Complete the list .... pre-requistes/ attributes
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Source:GlobalLeadershipSurvey2011,Mannaz

5. © Dr. Christine McCarthy
www.tec-leadership-institute.com
KSA´s of Global Leadership
Handbook of Global Management
Blackwell
Business
Expertise
Organizing
Expertise
Cross-cultural
Relationship
Skills
Traits and
Values
Inquisitiveness /
curiosity
Resourceful
Optimistic
Character/Integrity
Energetic
Emotional
intelligence
Resilience to stress
Tenacious
Stable personal life
Life balance
Personal literacy
Cultural sensitivity
Appreciate diversity
Constructive dialogue
Motivate/reward
others
Develop others
Empowering others
Share leadership
Social literacy
Cultural literacy
Global business savvy
Technologically savvy
Business literacy
Customer orientation
External orientation
Results orientation
Maintain competitive
advantage
Cognitive
Orientation
Global mindset
Open-minded
Thinking agility
Cognitive complexity
Managing uncertainty
Behavioral flexibility
Team Building
Builds partnership
Architecting
/designing
Visioning
Articulates a tangible
vision and strategy
Envisioning
Articulated values
Catalyst for cultural
change
Catalyst for strategic
change
Global leadership is
situational, culturally
sensitive, relational and
spans boundaries
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6. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Global Mindset Inventory
Source:GlobalMindsetInventory,Thunderbird

7. © Dr. Christine McCarthy
www.tec-leadership-institute.com
5 Planet Model of GLC
Source: Christine McCarthy PhD 2010
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8. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Challenges in the 21st Century which require
Adaptable Leadership
Source: „How companies act on global
trends“, McKinsey Quarterly, 2011
Current Trends
1 Shift of economic activity between and within regions
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Growing number of consumers in emerging economies
/changing consumer tastes (Asia, LatAm, MENA)
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Development of technologies that empower
consumers and communities
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Competition of talent has intensified and become
more global
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Adoption of increasingly data-driven management
techniques
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Shifting industry structures/emerging forms of
organization
7 Organizations are becoming larger and more complex
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Increasing and faster availability of knowledge to
exploit
9 An aging population in developed economies
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Geopolitical instability and increasing
interdependencies across regions
11 A faster pace of innovation
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9. © Dr. Christine McCarthy
www.tec-leadership-institute.com
International Current Status
“...85 percent of Fortune 500 firms believe they lack an adequate
number of global leaders to sustain their multinational
operations.“
Gregersen, Morrison and Black 2012
„76 percent believe their organizations need to develop global-
leadership capabilities, but only 7 percent think they are currently
doing so very effectively.“
McKinsey 2012
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10. © Dr. Christine McCarthy
www.tec-leadership-institute.com
GLOBE Research Project Leadership Profiles
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Compared to 60 Countries world wide
Source:GLOBEresearchproject

11. © Dr. Christine McCarthy
www.tec-leadership-institute.com
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GLOBE Research Project Leadership Profiles

12. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Attributes for leading in a VUCA environment
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Volatile Uncertain Complex Ambiguous
Tolerance for ambiguity
Flexibility /Adaptability
Cultural intelligence / Intercultural competence
Communication at the meta level
Interest in people
Bridge builder: linking markets, forming alliances, harmonizing local
and global objectives and realities, combining skills, joining the dots
Balance task/ results / relationships focus

13. © Dr. Christine McCarthy
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Task & Relationship Focus to Grow Performance
Asia Relationship & Task – Group Orientation – Patriarchical Leadership
Lead/ Deliver through social obligation and mutual loyalties
MENA Relationship & Task – Group Orientation – Patriarchical Leadership
Lead/ Deliver through social obligation and mutual loyalties
LatAm Relationship & Task – Group Orientation – Patriarchical Leadership
Lead/ Deliver through social obligation and mutual loyalties
Southern & Eastern Europe Relationship & Task – Group Orientation – Patriarchical Leadership
Lead/ Deliver through hierarchical obligation and mutual loyalties
Anglos Task & Relationship – Individual Orientation – Transformational Leadership
Deliver through vision and individual accountability / people
Germanic Europe Task & Relationship – Transactional Leadership
Deliver through procedures and specialization of task
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14. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Four Essential Aspects of Global Leadership
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Source:GlobalLeadershipSurvey2011,Mannaz

15. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Q3: Developing GLC
Urgent Business Strategic Issues - 3 of importance to GMI & GLC
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Source:GlobalLeadershipSurvey2011,Mannaz

16. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Q3: Developing GM & GLC
Most impactful GM & GLC development
Leadership profile which embraces diversity, including cultural contingency
Leadership competency architecture which embeds GM in talent management and
succession planning
Culturally diverse leadership role models who demonstrate value to the business
Include GM in high potential development programs and succession planning
Regionally appropriate leadership development programs
Rotational projects and work assignments
Boundary spanning assignments
Virtual roles
Integration of GM development in change initiatives and corporate culture programs
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17. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Q3: Developing GM & GLC
Most impactful GM & GLC development
Networking activities and cross-cultural collaboration with other leaders to address
global business challenges
Joint company GM learning initiatives to foster greater awareness
Cross-border networks for GM development and mobility
Experience-based leadership programs taking executives to the regional fields
Coaching & mentoring focusing on GM
Corporate events and talks on GM
Next generation assessment centers
Blended learning; F2F & Virtual connections & interactions
Etc.
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18. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Q3: Developing GM & GLC
Barriers to meet the demands for GLC
Lack of available talent mobility
Lack of global mindset and experience
Lack of impats on long-term assignments
Lack of flexibility in orgs. / matrix structures / Leading without line authority
Lack of top management support
Occupying senior leadership roles with Western leaders in regional offices
Developing an ethnocentric culture – from HQ to regional offices
Lack of information exchange and networking between the organization HQ and
regional offices
Problems with repatriation
Lack of non Western leaders in senior positions
Reluctance to build virtual roles / organizations
Etc.
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19. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Current leadership capabilities not aligned with
current or emerging business requirements
Type of leadership that drove past success is no longer sufficient
No clear view of leadership skills or roles critical for business success in emerging markets
No clear view of fit between requirements and current bench strength
Low number of key leaders who are non-Western
Few non-Western successors identified and ready to fill mission- critical roles
Limited line of sight to next generation leadership talent
Leaders unprepared to drive business strategy/ growth in VUCA environment
Failure to retain expat leaders in key roles
Talent data is not sufficiently accurate, accessible and/or actionable
Talent management activities are disconnected and under-delivering
Etc.
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Key Learnings

20. © Dr. Christine McCarthy
www.tec-leadership-institute.com
Checking Out