Developing global leadership skills
Sheila Madden
Strong leadership is an undeniable "must have" for organizations to
execute goals and stay competitive.
Companies are growing globally at a faster pace over the past two
decades than most organizations are prepared to handle, and many
organizations already are behind the curve in global leadership
infrastructure.
Your C-level executives may be global-business savvy, but are your
mid-level and front-line managers developing skill sets that will ensure
they can handle the future demands of a globally integrated enterprise?
According to a 2009 Center for Creative Leadership (CCL) research
study, 86 percent of senior executives say it is "extremely important"
for them to work effectively across boundaries-including geographic
boundaries-in their leadership role, but only seven percent think they
are "very effective" at doing so.
Only half feel their peers are effective in this area, and their
faith in middle and entry-level managers is even lower (19 and eight
percent respectively).
The development of global leadership skills across all management
levels is not just a personal development training initiative; it's a
key business strategy in today's marketplace that directly impacts an
organization's success.
A recent study by the Aberdeen Group suggests learning and
development initiatives that help leaders achieve both business results
and people results can have a huge organizational impact.
The study applied three key performance criteria to differentiate the
"Best-in-class" from "Industry Average" and "Laggard" companies
regarding efforts to develop front-line and mid-level managers.
"Best-in-class" companies generated 35 percent year-over-year
improvements in manager ratings and 27 percent improvement in key
employee turnover, and 69 percent of their employees rated themselves as
"highly engaged."
In contrast, "Laggard" companies generated only two percent
improvement in manager ratings and saw key employee turnover worsen by
six percent each year; only 22 percent of their employees considered
themselves highly engaged. (Learning and Development: Arming Front-line
and Mid-level Manager to Deliver People and Performance by Mollie
Lombardi, Oct. 2009).
Helping leaders to think and act globally
CCL suggests there are five development needs for strong global
leadership (Developing a Leadership Strategy: A Critical Ingredient for
Organizational Success, Global Organizational Leadership Development
White Paper, May 2009). I'd like to build on each of these areas with
some strategic and tactical approaches to strengthening your global
leadership base:
1. Promote greater cultural intelligence among leadership ranks.
Cultural "sensitivity" is visible in most of today's globally operating
companies, but to have a business impact, it must take place within the
greater context of maximizing individual potential and achieving
business goals.
The broader goal for effective leadership is cultural intelligence,
which calls for empathy, insight and responsiveness to cultural
differences while preserving curiosity, proactivity, and candor.
Equipping your leaders with an understanding of varying cultural
business practices will enable them to effectively lead and interact
with diverse teams.
Begin cultural training early in leadership development so cultural
intelligence will be intuitive for leaders as they reach more seasoned
positions.
2. Enhance the representation of different cultures at top
organizational levels. To strategize and execute business goals
globally, a company must build a leadership infrastructure that can
understand cultural obstacles and develop collaborative solutions.
Cultural diversity within management assures those areas of pain will
be identified and resolved more quickly so teams can continue to operate
at the high level of productivity necessary to sustain a competitive
foothold.
Management models that reflect the diversity of your cross-cultural
workforce will empower your leadership to turn cultural differences into
business solutions.
3. Enhance language skills in leadership roles to facilitate
communication and increase productivity. To execute business strategies
across borders, companies must use a common language. The most common
adopted language of international business today is English, but studies
suggest as few as seven percent of employees in global corporations
possess sufficient business English proficiency.
Global communication requires leaders on both sides of the English
skills gap to expand their skills to overcome language barriers and
other communication challenges: non-native speakers must improve their
English, while native speakers must learn how to adapt their use of
English so they can be more easily understood by non-native speakers.
Implementing a global language development program for all levels of
management will help teams operate more productively and efficiently.
Companies that are highly effective communicators delivered 47
percent higher total returns to shareholders over the last five years
than the least effective communicators (2009/2010 Communication ROI
Study Report: Capitalizing on Effective Communication).
4. Encourage foreign assignments for future leaders. Immersion is the
fastest route to understanding a different culture quickly, and
organizations can build global strength by employing it as a leadership
development strategy.
Consider fast-tracking the development of cultural awareness and
advanced global business skills among your young leaders by relocating
them globally early in their management careers.
A culturally diverse perspective fosters more effective
collaboration, innovation, decision making, goal setting, and project
execution.
5. Develop a greater understanding of local laws and business
arrangements. International legal expertise can no longer be left in the
hands of lawyers and outside consultants; today's companies must develop
that expertise in their own executive leaders.
Globally positioned executives should be fluent in the business law
practices and local variations of the geographic areas where they
execute strategies to ensure alignment with local precedents and enhance
your organization's competitive edge.
Invest in tomorrow's leaders today
Organizations must expand their leadership strategies to include the
critical skills demanded by today's global business climate.
The learning focus should be on developing globally savvy leaders who
can make a direct impact on your financial bottom line and competitive
market presence.
Expanded development strategies cost money and require commitment
from both the organization and the workforce to realize long-term ROI -
but the investment pays off in a more qualified, effective global
leadership team that drives expansion and revenue.
To gain executive support for that investment, learning and
development management must present these initiatives not just as talent
management solutions, but as critical business strategies to meet the
increasing demands on current and future global leaders.
Only by committing to the right global development tools and training
will your organization be positioned to continually produce the
competitive business minds necessary for global success. sales and
marketing.
(Sheila Madden is the senior vice-president of Talent Management
at Global English, Inc. She has worked in the areas of talent
management, executive leadership development and organization
effectiveness for over 20 years.) |