2. Case FactsCase Facts
MGCC is marred by Losses
A new Chairman is Landed from Germany to Run
the show at Malaysia
The new Chairman has an autocratic Behavior
He wins new business But losses on to the team
There is widespread Resentment in Team
Chairman is ultimately made to Resigns
4. Leadership StylesLeadership Styles
• Autocratic:
– Leader makes decisions without reference to anyone
else
– High degree of dependency on the leader
– Can create de-motivation and alienation
of staff
– May be valuable in some types of business where
decisions need to be made quickly and decisively
5. Leadership StylesLeadership Styles
• Democratic:
• Encourages decision making
from different perspectives – leadership may be
emphasised throughout
the organisation
– Consultative: process of consultation before decisions
are taken
– Persuasive: Leader takes decision and seeks to
persuade others that the decision
is correct
6. Leadership StylesLeadership Styles
• Laissez-Faire:
– ‘Let it be’ – the leadership responsibilities
are shared by all
– Can be very useful in businesses
where creative ideas are important
– Can be highly motivational,
as people have control over their working life
– Can make coordination and decision making
time-consuming and lacking in overall direction
– Relies on good team work
– Relies on good interpersonal relations
7. Leadership StylesLeadership Styles
• Paternalistic:
• Leader acts as a ‘father figure’
• Paternalistic leader makes decision but may
consult
• Believes in the need to support staff
8. The Management GridThe Management Grid
9.11.1
5.5
9.91.9High
Low 1
1
2
3
4
5
6
7
8
9
2 3 4 5 6 7 8 9
Country Club
management
Team
management
Middle-of-the-road
management
Impoverished
management
Authoritarian
management
Concern for Output
P
e
o
p
l
e
C
o
n
c
e
r
n
9. Situational Approach to MGTSituational Approach to MGT
1 Hi. task
Provide specific Lo. rel.
instructions and
closely supervise
performance…
Lo. task
Lo. rel.
4 Turn over responsibility for
decisions and
implementation…
2
Explain your decisions and
provide opportunity for
clarification
Hi. task
Hi. rel.
3
Share ideas
and facilitate in making
decisions…
Hi task
Lo. rel.
Leader Behavior
Low
High
High
RelationshipBehavior
Supportivebehavior
R
Delegating
Participating Selling
Telling
Task Behavior
Directive behavior
10. Way forwardWay forward
Identify two cultures that need to collaborate: In many industries the world is the market, but it is
not flat in the cultural sense and potential gaps between the “home” and “target” cultures should be
identified.
Identify leaders and leadership talent from each culture: Make a thorough judgment which leaders
are sufficiently culturally intelligent to develop for cross-cultural integration and collaboration.
Identify appropriate pairs of co-leaders: Look for a past track record in multicultural environments,
a willingness to become team-players, high growth potential and an open-minded, empathetic
nature.
Identify real projects: Use real business projects which enhance the learning experience during an
intercultural program.
Identify a realistic time frame: A minimum of three to six months is a reasonable time-frame for
start-up activities, content delivery and evaluation. Often more time is needed.
Share practices: Sharing of both “good” and “bad” practices, working closely together and adopting
an enquiring rather than judgmental mindset.
Adapt for the next cross-cultural challenge: Cultural programs should not be replicated in their
entirety because markets and cultures differ.
