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T H U N D E R B I R D
Global Mindset®:
Why is it important for Global Leaders?
Mansour Javidan, Ph.D.Dean of Research and Garvin Distinguished Professor
Global Mindset ® is a registered trademark of Thunderbird School of Global Management. All rights reserved.
Samuel J. Palmisano, the Chair of the
Board, President, and CEO of IBM:
• “Today’s global corporations are shifting their focus from products to production-from what things companies choose to make to how they choose to make them, from what services they offer to how they choose to deliver them. Simply put, the emerging globally integrated enterprise is a company that fashions its strategy, its management, and its operations in pursuit of a new goal: the integration of production and value delivery worldwide. ”
The Challenge to
Global LeadersHow to influence individuals, groups, and organizations inside and outside their own organizationrepresenting diverse cultural/political/institutional systems to help achieve their corporation’s global ambitions.
The ability to influence individuals, groups, organizations, and
systems that are unlike the leader’s.
Global Mindset
Global Mindset Project (GMP) at Thunderbird
• Define Global Mindset ®
• Identify the antecedents and consequences of Global Mindset®
• Develop metrics for measuring Global Mindset®
• Design scientifically based assessment tools for Global Mindset®
• Conduct large scale studies of executives in large multinational corporations
• Assess Thunderbird’s impact on students’ Global Mindset- Pre and post test
• Offer a suite of solutions to enhance the Global Mindset of managers and executives
reviseas needed
reviseas needed
educationeducation management,org studies
management,org studies
language/x-cult
language/x-cult international
relationsinternational
relations
training/HRtraining/HR
Review literatures, formulate research frame
n=8 global scholars
Review literatures, formulate research frame
n=8 global scholars
create/refineresearch questions
create/refineresearch questions
Obj. #1investigate the
nature and relevanceof “globalmindset"
Obj. #1investigate the
nature and relevanceof “globalmindset"
#1sampling plan:
interviews, focusgroups w/int’l scholars
sr. acad.n-30
#1sampling plan:
interviews, focusgroups w/int’l scholars
sr. acad.n-30
#3sampling plan:
expert informantconference
n=44
#3sampling plan:
expert informantconference
n=44
createGlobal Mindset Inventory
draft
createGlobal Mindset Inventory
draft
#6pilot test:
int’l MBA’sn-,207
#6pilot test:
int’l MBA’sn-,207
revise Items to assure
psychometricsoundness
revise Items to assure
psychometricsoundness
#7pilot test #2
int’l managersn/800
#7pilot test #2
int’l managersn/800
The Global Mindset Inventory
The Global Mindset Inventory
analyze data, observations,participant discussions
analyze data, observations,participant discussions
#2sampling plan:
interviews and smallgroup discussionswith international
managers,execs, scholars
n=200
#2sampling plan:
interviews and smallgroup discussionswith international
managers,execs, scholars
n=200
critique internallycritique internally
categorize perceptions/experiences/observations of “global
mindset”+
categorize perceptions/experiences/observations of “global
mindset”+
focused group discussionsw/participants
focused group discussionsw/participants
-Obj. #2validate construct,
revise to state-of-artscholarly
perspective
-Obj. #2validate construct,
revise to state-of-artscholarly
perspective
reviseas needed
reviseas needed
drill int’l leaders experiences/insightsre:invid/org gl mindset successes
drill int’l leaders experiences/insightsre:invid/org gl mindset successes
final ‘reality’ check, including emergentfactors of GI Mindset
final ‘reality’ check, including emergentfactors of GI Mindset
feed back toparticipantsfeed back toparticipants
validate viaexpert judgesvalidate via
expert judges
differentiate anddefine “global mindset”
differentiate anddefine “global mindset”
#5generate items re:
Intel/Psych/Soc capitaln-100 int’l MBA’s
+ psychometricians
#5generate items re:
Intel/Psych/Soc capitaln-100 int’l MBA’s
+ psychometricians
collect additional data,consolidate into
emergent themes
collect additional data,consolidate into
emergent themes
reviseas needed
reviseas needed
#4sampling plan:interviews w/
sr. exec. expertsn=17
#4sampling plan:interviews w/
sr. exec. expertsn=17
identity antecedents, consequences,and applications contingencies
of “global mindset”
identity antecedents, consequences,and applications contingencies
of “global mindset”Obj. #3
validate construct,revise to state-of-art
practitionerperspective
Obj. #3validate construct,
revise to state-of-artpractitionerperspective
The ability to influence individuals, groups, organizations, and systems that are
unlike the leader’s.
Global Mindset
Global Mindset
• “Global mindset to me means that the individual has a global passport, but in their head.”
• “It’s the ability to understand the similarities and differences among cultures and their reasons.”
Global Mindset
• “understanding and respecting other cultures rather than judging them.”
• “The ability to avoid the simplicity of assuming all cultures are the same, and at the same time, not being paralyzed by the complexity of the differences.”
Global Mindset
• “I think it’s a natural curiosity to learn more about other cultures.”
• “Rather than being frustrated and intimidated by the differences, enjoying them and seeking them out because you find them fascinating.”
Survey of 100 Global Companies
How often are cultural implications of business decisions considered in making business plans in your company?
Sometimes or Always 80%
Survey of 100 Global Companies
How important a role do you believe culture plays in the success of your business mission?
Important or Very Important 95%
Global Mindset
• “Being comfortable with being uncomfortable in uncomfortable environments.”
• “It’s like a bug. Once you have it, you can’t get rid of it.”
Gerald Schafer is a Swiss national who has never really lived in Switzerland. He was born in Budapest to a Swiss foreign-service officer and his Hungarian wife. Mr. Schafer grew up in Africa and South America and studied in the United States. He speaks Portuguese (at home with his Brazilian wife), Spanish, French, German, English and Hungarian.
Psychological Capital
Psychological Capital
What is the game?What is
the game?
Individuals who are
capable of perceiving,
analyzing and decoding the
global operating
environment
Individuals who are
capable of perceiving,
analyzing and decoding the
global operating
environment
Intellectual Capital
Intellectual Capital
Individuals who have a
global mindset
Individuals who have a
global mindset
Global Leaders who are
effective in influencing
people from
different socio-
cultural systems
Global Leaders who are
effective in influencing
people from
different socio-
cultural systems
What are the rules?What are the rules?
How do we win?How do we win?
The The Corporation’s Corporation’s ambition to be ambition to be
successful successful in globalin globalmarketsmarkets
The The Corporation’s Corporation’s ambition to be ambition to be
successful successful in globalin globalmarketsmarkets
Beh
avio
ral
Rep
erto
ire
Social CapitalSocial Capital
Global Mindset and Effective Global Leadership
Individuals who possess the behavioral flexibility and discipline to
act appropriately
Individuals who can accurately
identify effective managerial action
in the global operating
environment
Quest for AdventureQuest for Adventure
Self-AssuranceSelf-Assurance
Passion for Diversity
Passion for Diversity
Cosmopolitan Outlook
Cosmopolitan Outlook
Cognitive ComplexityCognitive Complexity
Psychological Psychological CapitalCapital
Global Business Savvy
Global Business Savvy
Intellectual Intellectual CapitalCapital
Interpersonal Impact
Interpersonal Impact
DiplomacyDiplomacy
Intercultural Empathy
Intercultural Empathy
Social Social CapitalCapital
GLOBAL MINDSETGLOBAL MINDSET
Intellectual Capital (IC)Intellectual Capital (IC)
Global BusinessGlobal BusinessSavvySavvy
Global BusinessGlobal BusinessSavvySavvy
CosmopolitanCosmopolitanOutlookOutlook
CosmopolitanCosmopolitanOutlookOutlook Cognitive ComplexityCognitive ComplexityCognitive ComplexityCognitive Complexity
Knowledge of global industry
Knowledge of global industry
Knowledge of global competitive business &marketing strategies
Knowledge of global competitive business &marketing strategies
Knowledge of how to transact business & manage
risk in other countries
Knowledge of how to transact business & manage
risk in other countries
Knowledge of supplieroptions in other parts
of the world
Knowledge of supplieroptions in other parts
of the world
Knowledge of cultures indifferent parts of
the world
Knowledge of cultures indifferent parts of
the world
Knowledge of geography,history and important
persons of several countries
Knowledge of geography,history and important
persons of several countries
Up-to-date knowledge of important world events
Up-to-date knowledge of important world events
Knowledge of economic and political issues, concerns,
hot topics, etc. of majorregions of the world
Knowledge of economic and political issues, concerns,
hot topics, etc. of majorregions of the world
Ability to grasp complexconcepts quickly
Ability to grasp complexconcepts quickly
Strong analytical andproblem solving skills Strong analytical and
problem solving skills
Ability to understand abstract ideas
Ability to understand abstract ideas
Ability to take complexissues & explain the main
points simply &understandably
Ability to take complexissues & explain the main
points simply &understandably
Psychological Capital (PC)Psychological Capital (PC)
Passion for DiversityPassion for DiversityPassion for DiversityPassion for Diversity Quest for AdventureQuest for AdventureQuest for AdventureQuest for Adventure Self-AssuranceSelf-AssuranceSelf-AssuranceSelf-Assurance
Interest in exploringother parts of the world
Interest in exploringother parts of the world
Interest in getting to knowpeople from other parts
of the world
Interest in getting to knowpeople from other parts
of the world
Interest in varietyInterest in variety
Interest in dealing withchallenging situationsInterest in dealing withchallenging situations
Willingness to test one’sabilities
Willingness to test one’sabilities
EnergeticEnergetic
Self-confident Self-confident
Comfortable in uncomfortable situations
Comfortable in uncomfortable situations
Witty in tough situationsWitty in tough situations
Interest in living in another country
Interest in living in another country
Willingness to take risksWillingness to take risks
Interest in dealing withunpredictable situationsInterest in dealing with
unpredictable situations
Social Capital (SC)Social Capital (SC)
Intercultural EmpathyIntercultural EmpathyIntercultural EmpathyIntercultural Empathy Interpersonal ImpactInterpersonal ImpactInterpersonal ImpactInterpersonal Impact DiplomacyDiplomacyDiplomacyDiplomacy
Ability to work well withpeople from other parts
of the world
Ability to work well withpeople from other parts
of the world
Ability to understandnon-verbal expression of
people from other cultures
Ability to understandnon-verbal expression of
people from other cultures
Ability to engage peoplefrom other parts of theworld to work together
Ability to engage peoplefrom other parts of theworld to work together
Experience in negotiatingcontracts in other culturesExperience in negotiatingcontracts in other cultures
Reputation as a leaderReputation as a leader
Ease of starting aconversation with a stranger
Ease of starting aconversation with a stranger
Ability to integrate diverseperspectives
Ability to integrate diverseperspectives
Ability to listen to whatothers have to say
Ability to listen to whatothers have to say
Willingness to collaborate
Willingness to collaborate
Ability to emotionallyconnect to people from
other cultures
Ability to emotionallyconnect to people from
other cultures
Strong networks withpeople from other culturesand with influential people
Strong networks withpeople from other culturesand with influential people
CredibilityCredibility
Thunderbird Global Mindset Inventory (TGMI)
• A scientific instrument with strong psychometric properties
• 91 items• Internet based• Over 5000 individuals have completed
the survey in many parts of the world• Available in self-assessment and 360
version
Companies Represented in the Global Mindset Surveys
• Amway• Baker Hughes• Delphi• Dow Agro Sciences, LLC• Dow Chemical Company• DTCC• Eaton Corporation• EDS Corporation• EMC• Fluor Corporation• Henkel• Hydro• Intel China• Johnson & Johnson• Legrand• LG Electronics
• Lincoln Electronic Holdings, Inc.• McDonald’s Corporation• Medtronic• Raytheon• Rich Products Corporation• SK Academy• Smith International• Solar Turbines, Inc.• State Farm Insurance Company• Swanson• The Standard Bank• Thunderbird School of Global Management (Faculty, Students,
Alumni & Staff)• Vitro• Wal-Mart
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