Intercultural Leadership Global Success and the Key Role of Training. ATD SF East Bay May 19, 2015
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1 Intercultural Leadership Global Success and the Key Role of Training ATD SF East Bay May 19, 2015
2 Who We Are Center for Intercultural Leadership Mindful engagement with the world 1
3 By the end you will have: Outcomes 1. Increased understanding of the link between intercultural leadership and global success 2. Knowledge of best practices for increasing intercultural leadership in your organization 3. Specific strategies for impacting intercultural leadership through training and development 2
4 From the Standpoint of Talent This is about creating and sustaining a capable, aware, creative, adaptable and effective global workforce for the accomplishment of business goals. The research shows that there is real business value in employing staff who have the ability to work effectively with individuals and organisations from cultural backgrounds different from their own. The British Council, Culture at Work, 2012, p. 3 3
5 Poll 1: Intercultural Skills! Please choose one. In my organization s workforce, intercultural skills overall are. a) very important for a large portion of the workforce b) very important for a small portion of the workforce c) a nice add-on for most everyone d) a nice add-on for a few e) not really needed f) other 4
6 What is Culture? 5
7 Startling? Ranked value of technical and soft skills tested (globally) MOST VALUED Demonstrates respect for others Builds trust Works effectively in diverse teams Qualifications related to job Expertise related to field Open to new ideas/ways of thinking Collaborative Self motivated Time management Analytical thinking Seeks opportunities for continuous learning Listens/observes to deepen understanding Strong leadership skills 6
8 The Need is clear Chart 5: The importance of intercultural skills to organisations (by country, ranked by very important) 100% Very important 95% 70% 70% 63% 60% 58% 57% 25% 42% 80% 45% Fairly important Neutral/ unimportant 60% 47% 40% 25% 33% 30% 34% 30% 23% 31% 20% 0% 5% Jordan Indonesia 8% UK 13% South Africa 8% India 13% US 9% UAE 10% Brazil China Source: Telephone/face-to-face surveys of public sector, private sector and NGO employers responsible for employment decisions. Base: Brazil (n=43), China (n=40), India (n=40), Indonesia (n=40), Jordan (n=40), South Africa (n=40), UAE (n=44), UK (n=40), US (n=40) Note: Because of rounding and/or exclusion of don t know responses, percentages may not add up to 100%. 7
9 Business Benefits Chart 8: The business benefits of employees having intercultural skills (showing top benefits by sector) Outward effects Inward effects 50% NGO 40% Public Private 30% 20% 10% 0% Good for reputation Bringing in new clients Build trust with clients Communicate with overseas partners Able to work with diverse colleagues Keep teams running efficiently Source: Telephone/face-to-face surveys of public sector, private sector and NGO employers responsible for employment decisions. Base: Private (n=198), Public (n=86), NGO (n=83) 8
10 Business Risks Chart 9: The business risks associated with not having employees with intercultural skills (showing top risks by sector) Outward effects Inward effects 50% NGO 40% Public Private 30% 20% 10% 0% Global reputational damage Loss of clients Cultural insensitivity to clients/ partners overseas Conflict within teams Source: Telephone/face-to-face surveys of public sector, private sector and NGO employers responsible for employment decisions. Base: Private (n=198), Public (n=86), NGO (n=83) 9
11 Poll 2: Hiring and Promotion! Please choose one. In hiring and promotion, my organization considers intercultural skills and competencies. a) always b) very often c) often d) sometimes e) seldom f) never g) don t know 10
12 Economist Intelligence Unit! Global survey, 572 executives! Conducted in February and March, 2012! 47% C-level or board-level executives! 53% from companies with > US$500MM in revenue! Also in-depth interviews with eight independent experts and senior executives 11
13 Key Findings EIU Report! Rapid internationalization continues! Effective cross-border communication and collaboration are becoming critical to the financial success of companies with international aspirations.! Misunderstandings rooted in cultural differences present the greatest obstacle to productive cross-border collaboration. 12
14 Key Findings EIU Report Chart 3 Overall, how important would you say cross-border collaboration is in the following environments? (% respondents) Very important Somewhat important Not important at all 59% 38% 56% 52% 38% 5% 3% 43% 4% Within your organisation generally Within your business unit or division With external partners, suppliers or outsourcers in other countries 13
15 Key Findings EIU Report Chart 4 To what extent can better cross-border communications improve the following at your company? (% respondents) Improve significantly Improve somewhat Not at all Profit Revenue Market share 33% 35% 35% 55% 54% 51% 8% 7% 8% 14
16 No Problem, Right?! Not so fast! About 1/3 say they re not doing enough. In light of the fact that in the same survey most executives admit to a strong correlation between cross-border communication and the financial performance of their organisation, it is remarkable that such a large percentage of companies appear to be taking an avoidable risk with such a key determinant of their competitiveness. 15
17 Mistaken Mindsets Why the Disconnect? 1. Missing the reality of cultural difference (as a factor in business) 2. We re right, they re wrong 3. We re all the same (smoothing over difference) 16
18 What to Do? Remember that this is about creating and sustaining a capable, aware, creative, adaptable and effective global workforce for the accomplishment of business goals. 17
19 What to Do? This requires the intentional development of a mindset that values, fosters and strengthens intercultural skills which will position organizations for success in the 21 st Century. This, in turn, can be supported by 5 best practices. 18
20 Top 5 Intercultural Best Practices 1. Accept cultural difference as reality 2. Leverage cultural difference as an asset 3. Study yourself doggedly 4. Learn about others compassionately 5. Take action, repeat 19
21 #1: Accept Cultural Difference as Reality 20
22 #2: Leverage cultural difference as an asset 21
23 #3: Study Yourself Doggedly 22
24 #4: Learn about others compassionately 23
25 #5: Take action, repeat Assess Apply Train Coach 24
26 Assessment! Intercultural Development Inventory (IDI) 25
27 Assessment! Global Competencies Inventory (GCI) Global Competencies Perception management Relationship management Selfmanagement 26
28 The Bootstrap Model Experience Experiment Reflect Extract principles 27
29 Center for Intercultural Leadership (CIL)! Get Global Ready workshop (half day): Basics of intercultural leadership! Effective Global Teams workshop (full day): Intensive work with global teams on bridging and leveraging difference! Ongoing leadership development / coaching: Measuring progress with the Intercultural Development Inventory (IDI)! Custom solutions 28
30 By the end you will have: Outcomes 1. Increased understanding of the link between intercultural leadership and global success 2. Knowledge of best practices for increasing intercultural leadership in your organization 3. Specific strategies for impacting intercultural leadership through training and development Center for Intercultural Leadership 29
31 Who We Are Center for Intercultural Leadership Mindful engagement with the world 30
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