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Management and Leadership Across Cultures

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Index

Leadership Leadership theories and styles Leadership styles followed by McDonalds Comparison of leadership styles across different culturesMotivational theories Motivational theories adopted by McDonalds Comparison of Motivational technique across different culture Recommendation of leadership strategies for McDonalds

operating across different culture

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Leadership

It is a process of influencing/guiding/motivating others to achieve organizational goals.

Activity as well as ability to guide people or organization is called leadership.

Key’s to become a effective leader:Put people firstEncourage risk taking and innovationBe a team builderFoster a learning environmentEmphasize honesty and integrityEstablish open communicationsEmbrace change

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Leadership Theories

Various Leadership theories and styles which are being followed by leaders across different cultures. Some of these theories are –

Trait theory Behavioral theory Contingency theory Transformational theory Transactional theory

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Styles

Leadership can also be categorized into various styles. The various types of leadership styles are:

• Autocratic leadership• Bureaucratic Leadership• Democratic or Participative Leadership• Free-Rein or Laissez faire Leadership

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Leadership style followed by McDonalds

McDonalds follows combination of four different styles:

Task Oriented

Transactional leadership

Charismatic Leadership

Democratic Leadership

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Comparison of leadership style across different cultures

In cultural point of view Autocratic leadership is not highly appreciated, where close coordination with employees is required like in Asia.

Perspective leadership is more effective in Asia as here culture values strong interpersonal relationship between the workforce. At the same time, participative leaders also believe in sharing strong bonds with employees.

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In cultures like Central American countries and in Panama, employees prefer to have a strong relationship with each other. The people of this culture highly emphasize on skills and expect for rewards for the quality of work.

In Japan, male employees are given more importance as compared to female employees. At the same time, in some cultures both male and female are treated equally. In Sweden, both males and females are given equal importance in the organization.

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Motivational Theories

Motivation is necessary for employees as it inspire them to achieve personal as well as organizational goals.

Maslow’s hierarchy needs

Herzberg's Two Factor Theory

Taylor scientific management

Alderfer’s ERG Theory

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Motivational Theories Adopted by McDonalds

Maslow’s hierarchy needs

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Theory X and Y

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Comparison of motivational techniques across different cultures

In western culture need for rewards and recognition highly motivates employees. Thus, the leaders and management in western countries can motivate their subordinates by offering them incentives and other rewards for high performance.

Employees in Asian countries are more liable towards their social needs. So they can be motivated by providing social needs. They look for strong interpersonal relations in organization.

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Recommendations of Leadership strategies

Require greater cultural sensitivity.

Enhanced language skills.

Democratic leadership styles.

Understanding of local laws.

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References

Cox, T., 1993. Cultural Diversity in Organizations: Theory, Research and Practice. San Francisco: BerrettKoehler.

Maier, C., 2002. Leading Diversity – A Conceptual Framework. St Gallen: Institute for Leadership and HR Management.

About McDonalds, 2013. Inclusion and Diversity. [Online] Available through:< http://www.aboutmcdonalds.com/mcd/our_company/inclusion_and_diversity.html> [Accessed on 19th February, 2013].

Bized, 2012. How are McDonald's employees motivated? [Online] Available through:< http://www.bized.co.uk/compfact/mcdonalds/mcindex.htm?page=20> [Accessed on 19th February, 2013].

Fatima, A. 2011. HR Guide to Workplace Diversity. [Online] Available through: < http://www.brighthub.com/office/human-resources/articles/124441.aspx> [Accessed on 19th February, 2013].

Hunt, 2013. Performance and Motivation in McDonalds. [Online] Available through: < http://www.streetdirectory.com/travel_guide/184092/human_resources/performance_and_motivation_in_mcdonalds.html> [Accessed on 19 th February, 2013].

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Bibliography

Francesco, A. M. and Gold, B. A., 2005. International Organizational Behaviour. 2nd ed. Upper Saddle River, NJ: Pearson Prentice Hall.

Deresky, H., 2003. International Management: Managing Across Borders and Cultures. 3rd ed. London: Prentice Hall.

Johann, R., 2010. Cross Cultural Management. Germany: Grin Verlag. Luger, E., 2009. Hofstede’s Cultural Dimensions. Germany: Grin Verlag. Frabotta, D., 2001. Overcoming cultural and social challenges requires

accepting different points of view. Hotel & Motel Management, 216(1), p.46. Baum, T., Devine, F. and Hearns, N., 2007. The implications of contemporary

cultural diversity for the hospitality curriculum. Education +Training, 49(5). pp.350-363.