THE ASSESSMENT OF BUSINESS
COMPETENCY NEEDS: US BUSINESS
MANAGERS’ SUGGESTIONS FOR BUSINESS
EDUCATORS TO PREPARE FUTURE GLOBAL
LEADERS
2014 IACBE ANNUAL CONFERENCE
SAN DIEGO, CALIFORNIA
APRIL 10, 2014
Gertrude I. Hewapathirana (PhD)
N. Jonas Ohrberg (PhD)
Forbes School of Business
Ashford University
Purpose:
 Outline trends in global leadership research
 Identify the specific skill set required for global business
managers
 Discuss the possible use of US business leaders as a
resource in preparing entry level global managers
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Questions:
 How can US international business managers
contribute to preparing entry level managers?
 What new competencies are in demand?
 What is the research telling us about global
management practices and skills?
3
Outline:
 Trends in Academic Research
 Cultural Intelligence
 Cross Border Leadership
 Global Mindset
 Global Leadership
4
Outline:
 Global Leadership Focus - Discussion
 Bayer Corporation
 IKEA
 Toys R Us
5
Global management equation:
S + E + GBM = PS
S= Student
E= Educator
GBL = Global Business Managers
PS = Prepared Student
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Trends in Academic Research
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CULTURAL INTELLIGENCE
Cultural Intelligence (CQ):
“Multifaceted competency consisting of cultural knowledge, the
practice of mindfulness, and the repertoire of behavior skills”
(Thomas & Inkson, 2004, pp. 182-183).
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Cultural Intelligence
Elements of CQ:

Meta-cognition: Ability and knowledge related to processing information

Cognition: Self-awareness, external social elements, processing of information.

Motivation: Interest and intent in learning and functioning

Behavior: Verbal and non-verbal behavior in cultural context
(Crowne, 2008, p. 392)
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Cross-Border Leadership
Cross-Border Leadership Effectiveness:
“Thus, we define cross-border effectiveness as the effectiveness of
observable actions that managers take to accomplish their goals in
situations characterized by cross-border cultural diversity”
(Rockstuhl et al, 2011, p. 826).
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Cross-Border Leadership
Cross-Border Leadership Effectiveness:

Multicultural Perspective: Avoid country specific perspective

Local and Global Balance: Importance of demands and issues

Multiple Cultures: Ability to relate to, understand and work with

EQ and CQ important elements of effective cross-border leadership effectiveness
(Rockstuhl et al, 2011, p. 826, 834).
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Global Mindset
Global Mindset:
“…set of attributes that help a manager influence individuals, groups and
organizations from diverse, cultural, political, and institutional
backgrounds” (Javidan & Walker, 2012, p. 38).
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Global Mindset
Global Mindset:
 Intellectual Capital
 Global Business Savvy
 Psychological Capital
 Passion for Diversity
 Social Capital
 Interpersonal Impact (Javidan & Walker, 2012, p. 38).
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Global Leadership
Global Leadership:
“Individuals who effect significant positive change in organizations by
building communities through the development of trust and the
arrangement of organizational structures and processes in a context
involving multiple cross boundary stakeholders…and multiple
cultures…”
(Mendenhall, 2008, p. 17).
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Global Leadership
 Project Ulysses:
 Responsible Leadership Competencies
 Ethical Literacy
 Self-Development
 Community Building
 Cultural Intelligence
 Global Mind-set (Pless, Maak, & Stahl, 2011)
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Global Leadership - Discussion
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GLOBAL LEADERSHIP - DISCUSSION
Bayer Corporation

Global mindset

Cultural Sensitivity

GlobeSmart
 Leadership development – Global Mindset
 Online database: content, topics, assessment tool
 Cultural awareness, diversity
 Support and knowledge sharing (Smith & Victorson, 2012).
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Global Leadership – Discussion
IKEA

Summit Consulting - Consulting Firm
 Challenges in opening stores internationally
 Issues: Trust, communication, values, culture, and
mindset
 Solutions:
 Understanding and knowledge of different cultures
 Clear and distinct roles and responsibilities
(Jorgensen, 2014)
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Global Leadership – Discussion
Toys R Us
•
England – Lack of basic knowledge and understanding of local market
•
Sweden – Conflict with Labor Unions and Swedish government
•
Japan – Japanese Law and approval process for foreign corporations
• Toy industry and vendors actively worked against entry
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Global Soup:
Cultural Intelligence
Cross Border Leadership
Global Mindset
People
&
Culture
Global Leadership
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Global Leadership Equation:
S + E + GBL = PS
S= Student
E= Educator
GBL = Business Leaders
PS = Prepared Student
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References
Crowne, K. (2008). What leads to cultural intelligence? Business Horizons, 51, 391-399.
Javidan, M., & Walker, J. (2012). A whole new global mindset for leadership. People & Strategy, 35(2), 37-41.
Jorgenson, A. (2014). Global growth through leadership. Retrieved on March 25, 2014 from http://www.summitconsulting.dk/en-GB/Solutions/Organisational-Robustness.aspx
Mendenhall, M. E. 2008. Leadership and the birth of global leadership. In M. E. Mendenhall, J. S. Osland, A.
Bird, G. R. Oddou, & M. L. Maznevski, (Eds.), Global leadership: Research, practice, and
developement: 1–17. London, New York: Routledge.
Rockstuhl, T., Seiler, S., Ang, S., Van Dyne, L. & Annen, H. (2011). Beyond general intelligence (IQ) and
emotional intelligence (EQ): The role of cultural intelligence (CQ) on cross-border leadership
effectiveness in a globalized world. Journal of Social Issues, 67(4), 825-840.
Thomas, D., & Inkson, K. (2004). Cultural intelligence: People skills for global business. San Fransico, CA:
Berrett-Koehler
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