Contingency Theory and Global Leadership
JUST HOW APT
Contingency Theory Emphasizes
Problems and Issues in Global Situations
The contingency theory of leadership fits the leader to the situation (Northouse, 2012). It tests his effectiveness on the basis of his style, hence, the term "contingency." Three factors characterize the theory, namely leader-member relations, task structure, and position power (Northouse). This current environment of globalization endows leaders with a host of benefits (Cantoria, 2012). Among these are the means for empowerment, implementing peace-keeping activities, humanitarian missions, socio-economic initiatives and expanded foreign trade. These are enhanced and supported by advances in communication technology and easy accessibility to information, which are advantageous to the world markets. The introduction of global virtual teams is another boon in reducing costs of travel and relocation. In addition, such teams enable an exchange of insights into responses and behaviors in cross-cultures. Observing the laws of other countries also allows leaders and other people to better understand the meaning and significance of these laws in relation to theirs (Cantoria).
Two leadership styles are inferred within the Contingency Theory, namely the task-motivated and relationship-motivated styles (Northhouse, 2013 as qtd by PSU, 2014). Task-motivated leaders are in pursuit of a goal, while relationship-motivated leaders prioritize the formation and maintenance of relationships. The situations they deal with focus on leader-member relations, task structure, and position power. In sum, the theory seeks a leader who can effectively handle specific situations (PSU).
Problems, Issues
These exceed the traditional and routine boundaries of onsite settings that a leader and his team are accustomed to (Cantoria, 2012). The application of the theory in global situations, however, confronts a new set of problems and issues. The situation demands that the leader should possess the competence of a universal thinker and performer who must consider the loss of boundaries in analyzing the problem or issue. These main problems and issues are cultural differences, communication gaps, diverse goals, absence of trust, and lack of training disciplines for team work (Cantoria).
Cultural differences require that a leader who applies the contingency theory should be knowledgeable in other cultures and their influences (Cantoria, 2012). He should also be able to discern and distinguish acquired personality traits from those developed from upbringing. Findings of studies conducted by Evka Razvigorova and Gottfried Wolf-Lauden found that 70% of cross-cultural business failures was due to cultural differences, mainly the behavior patterns of managers or business leaders. These behavior patterns are mainly extroversion and introversion. Some cultural differences he must deal with are family values of trust in a relationship, body language, and attitude towards time and time pressure. Communication gaps consist in a leader's lack of skill in determining the right communication style and technological tools needed for it. This deficiency can be a strong deterrent to productive and cooperative networking and other processes. Team members judge the competence of their leader through his communication method and means. The lack of a shared or unified goal often leads to differences in perception because of diverse cultures. The only approach to this is to motivate all the team members to take on a participative perspective. The absence of trust can be addressed by imparting the value and culture of team work online in order to build trust among members. And the lack of training disciplines for team work is slowly getting overcome by actually working as a team and relying on their separate cross-cultural competencies (Cantoria).
II. Approaches/Solutions
Cultural differences may be addressed by recognizing and respecting family values of other countries in order to win their trust and build a harmonious relationship with them (Cantoria, 2012). A leader should be sensitive to the body language of peoples of other cultures in order to show and gain their respect. A global leader should also understand other cultures' attitude towards time and punctuality and their tendency to mix work with fun. Tardiness is not necessarily a personal trait in other cultures. It may be the consequence of a collective cultural habit and tendency to come late to official events. A leader should be able to discern this. Communication gaps may be closed if the global team leader by collecting and collating divergent competencies in order to bridge cultural barriers, time and distance. He should be able to discern the correct communication style and technology in order to win or retain the trust of global tea members. Trust is inherent in productive networking and in implementing other development processes. His communication skills and style also contribute a great deal to closing the communication gap. He should be well-motivated or charismatic, exude moral values, emotionally intelligent towards cultural differences, and sensitive to their voice intonation, volume and even silence. The lack or absence of a shared goal can be managed if the global leader overcomes...
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