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Globalization is expected to have a few impacts on leadership. There are two different perspectives on this, however. The first of these is that some of the basic principles of leadership are timeless, and they cut across geography (Campbell, 2005). Thus, leadership is something that does not have to change much in principle, in terms of leaders having the ability to communicate, to formulate a vision, to marshal resources and to inspire and motivate their followers. Campbell is right in that leaders anywhere in the world need to have these skills, but the way in which a leader to exercise his or her leadership is going to be affected, in some cases strongly, by globalization.
Jokinen (2004) notes that complexity and diversity are much higher in the globalized business environment and that this should have significant impacts on the role of leadership. Leaders need to be able to translate message across cultures and around the world in a multinational organization. In some senses, they need to create a persona larger than life in order to remain visible to employees on the other side of the planet. Communication mechanisms are likewise going to be very different,...
Pucik (1996) identified human resources as a significant obstacle to globalization, in that people from different cultures will bring those cultures into the workplace. Creating a coherent corporate culture to supersede this is a significant leadership challenge. While leaders always need to create a corporate culture, they also must recognize that it can be a challenge to do this when there is no unifying common culture or frames of references within the organization. This is especially challenging for leaders in multinational that were multinational before the new era of globalization, because those subsidiaries might have developed their own cultures already -- it might actually be easier for companies that have only undertaken globalization recently.
As a leader in an organization that is undergoing organizational change, one of the things that I want to do…
References
Campbell, D. (2005). Globalization: The principles of leadership are universal and timeless. Volume Advances in Global Leadership. Vol. 4, 143-158.
Jokinen, T. (2004). Global leadership competencies: A review and discussion. Journal of European Industrial Training. Vol. 29 (3) 199-216
Pucik, V. (1996). Human resources in the future: An obstacle or a champion of globalization? Cornell University ILR School Working Paper. Retrieved May 10, 2014 from http://digitalcommons.ilr.cornell.edu/cgi/viewcontent.cgi?article=1180&context=cahrswp
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