Globalisation, Leadership and Performance - Literature review Example

Globalisation, Leadership and Performance 4 Name Course Tutor Unit Code Date Introduction Globalisation is a term that originated from the economic spheres. However, today globalisation has turned out to be a household term in virtually all aspects of the human’s global existence. Today, globalisation deeply involves the economic, political, social-cultural as well as the technological fields of the new global societal order. Globalisation has mainly been propelled by developments in the infrastructural and communication sectors of the world economy. This include improvements on transportation systems, technology and communication principally through the introduction of the internet (World Wide Web). The public use of the internet has offered an incredibly powerful tool that has brought together a host of people in the world into close vicinity and availability. As a result, the technological advances plus the developments in transport and communication have supported societies to nippily and without difficulty learn about and from others (House et al., 2002). The rise in globalisation has also risen the need for leaders with the global outlook and intercultural capability to encounter the growing challenges and opportunities of globalisation. Given these developments, this paper focuses on the effect of globalisation on leadership and performance. Also, the paper assesses the leadership qualities of Bill Gates, the co-founder, first CEO and chairman of the Microsoft Corporation. Globalisation and Leadership In recent times, the term globalisation been a charm used to identify with and express the changes observed in virtually all aspects of humanity; from economics to politics, religion, sports along with other socio-cultural fields. Therefore, there a various approaches to globalisation with each field putting forward various definitions based on the understanding. There is no positive agreement on globalisation among experts as the political, socio-cultural and economic effects of globalisation blowout all through the world, it gains support as well as opposition. Globalisation has moved from the economic spheres to what people see today as a process of the world growing to be more and more intersected. Today, people perceive globalisation as an accord in which values growing to be gradually more slanted towards to global setting and international institutions engage a more dominant role further than the economic processes. Even though the process of globalisation appears to be essentially sensational, it has had great impact. In plain terms, globalisation is basically a process of being borderless to create value for the general public by exchanging cash, product, thoughts, and knowledge and so on. It is no longer some form of new economic concept talked over in the developed world, but a new-fangled system of culture that knows no borders and is blow-out worldwide. Globalisation implicates the multi-national interconnectedness in the exchange of thoughts and merchandises and includes the multinational corporations as well as western administrations that drive economic globalisation; along with the worldwide anti-capitalism activities that are pitted against it. As soon as thoughts get to their different destination they are not taken in as they are; rather, they are modified to fit the indigenous state of affairs. Marquardt and Horvath (2001) argue that global leaders at the present are aware of the critical standing of global teams as vital to imminent competitiveness and efficiency in today’s innovative networked-style international organisation. The necessity for globally inclined and inter-culturally proficient leaders is not merely a certainty in effective global teams; it is obligatory in the culturally diverse environment of local teams as well as organisations. Given that global cultures around and even within native terms of organisations, quite a few authors have started to employ the ingenious language of “glocalization” to put emphasis on that global effect is at this time a local certainty (Eoyang, 2005; Roberts, 2007). Ciulla (2004) notes that globalisation has brought in a multitude of fresh challenges that call for an equally fresh kind of leadership, that is, particularly, cooperative. Leadership that lacks the capacity to deal with the environment shaped by the process of globalisation, at that juncture it will produce a damaging impact on the people. For that reason, globalisation demands several leaders who have the ability to handle the whole thing of globalisation to generate worthy feats to the general public over diverse kinds of culture and societal alignment. In the past few decades, the process of globalisation has frolicked an inordinate part in fostering and shaping the modern global leadership. According to Javidan (2008) global leadership is the process of persuading people, groups, and societies within and out of the precincts of the global association, in lieu of the varied cultural/political/institutional systems to back the attainment of the organisation’s goals. In a few words, global leadership is the process of talking into socially divergent people and groups. According to Coleman (2005), globalisation is likely to result in negative effects such as the coldness to human pain. Therefore, a model of ethical leadership that is aimed at addressing these pressing and universal problems is required. Isaak (2005) indicates that we live in a universal economy that is duty-bound to form a moral conduct besides viable economic growth that take along sense of worth to the givers and receivers as well. So, this globalisation requires several leaders who will deal with each and every one aspect of globalisation to produce good conducts to the general public over diverse kinds of culture and societal alignment. Salih (2001) found that socio-cultural marginalisation is one of the concerns of neoliberal globalisation. It has carried greater speed than before and the query modelled in the study refers to those who are not able to accommodate with this rapidity. If the principle of distributive justice is applied to this aspect of globalisation, the market forces of the international economy cannot guarantee social justice, and this results in freezing out lots of people causing inequity. If each and every one person is keen to play a part to the welfare of the people through an ethical leadership then and there, this side-lining effects that globalisation has had on much of the entire global population, mainly owing to prejudicial economic structures, is well documented. Without a doubt the impact of globalisation cannot be avoided as a result of the alteration of economy and society from national protection to liberalisation as well as deregulation. With the few challenges to hasten globalisation in favour to the ethical values may well have an effect on the development of ethical leadership. However, globalisation impacts organisational leadership to be operational and principled (Ford & Ismail, 2006). Globalisation also has the capacity to even out or single out moral values of the human society (Bhawuk, 2008). Majority of the organisations that have global networks or work with organisations internationally are likely to chip in managerialism and ethical leadership that rise above through the transactional linkages. Voegtlin et al., (2012) argue that the landscape of ethical leadership practise is results from calculated practices and expansive conflict resolution that take account of the “macro-view” of the corporate firm as a civil actor with the “micro-view” of leadership. Beheshtifar et al. (2011) state that managers need to create and buoy up norms, roles, as well as rules for proficient use to well-known tasks. However, they too should be thoughtful and respond quickly to changes by taking on sympathy, problem solving and decision-making strategies that permit adaptation. Poff (2010) vies that fundamental concerns to ethical leadership are still present in social and distributive justice issues, on the whole in the global capitalism perspective. However, Harris (2010) argues that ethical values as well as leadership designs linger in the global capitalism age. Globalisation has also affected transformational leadership. According to Black and Porter (2000), transformational leadership is the leadership that inspires supporters to pay no attention to self-centredness and toil for the superior worthy of the organisation to realise substantial undertakings. They put emphasis on pronouncing a vision that will persuade juniors to make key modifications. Transformational leaders have a philosophical upshot on their supporters’ views vis-à-vis what the organisation would come to be and correspondingly on their juniors’ values. They too guide their supporters for them to have the capacity to attain their goals. There are quite a few examples of individuals who are well thought-out as transformational leaders. They include Bill Gates (Microsoft Corporation), Michael Dell (Dell Computer Corporation), Steve Jobs (Apple Inc), Jeff Bezos (Amazon.com), Jack Welch (General Electric), and Lou Gerstner (IBM). In the field of leadership studies, it is cool to appreciate the focus on intercultural competence as a necessity for efficacious resourcefulness in the global environment. According to Klenke (2008), leadership is for all intents and purposes an interpersonal exercise. Stone and Patterson (2006) lay further emphasis on the interactive facet of leadership, in their synopsis and account of leadership studies’ crusade in the direction of follower-focused positioning. As follower-orientation in leadership grows into more of a principal leadership standard (together with the spreading cultural continuum of cliques and organisational districts), the necessity for intercultural fitness grows radically. As a relationally-focused enterprise, leadership then leaders ought to appreciate and commendably connect with those of their specific and different cultural upbringings. Intercultural competence is not merely desired for organisational leaders who substantially tour foreign sites, it is also important to appreciate that there growing cultural diversification inside and around organisations. With the introduction of virtual as well as transnational teams, organisational members should basically swiftly pick up a different set of aptitudes in how leadership contained by such teams is effectually carried out. Furthermore, globalisation offers remarkable openings along with growing involvedness for organisations globally. Steering multifaceted systems, handling detached and varied teams, and regularly executing a global company strategy is a test. Navigating such an energetic surrounding requires reliable leadership to effectively implement the company strategy. Notwithstanding the recent upsurge in leadership development funds, multinational corporations are bound to move past the old-fashioned style (piecing together locally arrayed courses by means of nonspecific lecture and case study techniques) to make the most of influence. Additional top organisations are seeing the worth of positioning reliable, high-impact leadership development on a global basis. With the increase in the pace of globalisation, the prominence of global leadership development will turn out to be more critical to an organisation’s goal achievement than ever. Today, human capital is regarded as one of the top tasks for organisations globally, based on the findings in The Conference Board’s 2012 CEO Challenge Report. In upcoming times, talent acquisition in the external market is likely to be constrained. CEOs are dedicated on growing talent within through leadership-and employee-development courses. Uniform global leadership development is required to successfully countenance the challenges of the present global environment. High-performing organisations are not surprised by this reality. In 2012, 63 per cent of the high-performing organisations studied were found to have brought together dependable leadership courses for all regions, compared to 58 per cent reported in 2011. For instance, five years ago, Unilever, an international fast moving consumer goods (FCMG) company, progressed from a confined leadership development style to a continuous, global and central leadership development package set up for all regions. Nonetheless, effecting global leadership development brings about a distinctive set of encounters. Each geographical region has its peculiar and exceptional cultural rules and nuances. All approaches may not link with all addressees. Detached locations defy configuration and synchronisation. Bill Gates Early Life Bill Gates was born on October 28, 1955, in Seattle, Washington to William Henry Gates II (an attorney) and Mary Maxwell (a school teacher). He was named William Henry Gates III at birth. Bill was raised in the well-off neighbourhood of Seattle, Washington, with his parents alongside his two other sisters. He started his early education at a public grade school, afterwards, he joined a privately-owned preparatory school (the Lakeside School). While at Lakeside, Gates discovered quite a new interest in the fresh computer programming field. At a tender age of 13, in 1968, Gates together with his acquaintance and imminent business partner, Paul Allen, established the first computer software program that was intended to serve the rising needs computer software at the school. In 1970, Gates and Allen formed their first computer program company, Traf-o-Data. Notwithstanding his interest in computers, after successfully completing his studies at Lakeside in 1973, Gates registered at Harvard University to study Law following the demand from his parents. However, in 1976, while still he was a sophomore, Gates opted to drop out of the prestigious Harvard University to pursue his growing interest in computers. I admire his courage and pioneering attitude to drop out of school to follow an interest he was not certain about. Gate’s Journey to Success with Microsoft Armed with the first computer program for personal computers, Gates and Allen set up the Microsoft Corporation in 1975. The name "Microsoft" was derived from two computer related terms, "microcomputer" and "software." After dropping out of Harvard University in 1976, Gates diverted his full attention to establishing the new venture. Gates was an intelligent person, he studied the market and he could establish that there was a rapidly growing market for computer software as computer companies such as IBM (that he had developed the MS-DOS computer program for) continued to develop affordable personal computers. Gates managed Microsoft through turbulent moments and used his earnings to see the company succeed. Gates was willing to take risks but he was driven by his passion, vision and hard work. His immature management style earned him the name "boy wonder" in the computer as well as corporate world. He was recognised for his antagonistic business manoeuvres and challenging style of management. He was also regarded as a charismatic leader inside his company, but Gates was as well very harsh as manifest by his decision to fire Microsoft's first president after a bare 11 months on the job. Gates was serious and resolute about executing his vision, he could usually work for 16-hours a day. In fact, he took just two three-day breaks in the initial five years after founding Microsoft. Gates believed in shared authority and participation in decision making. People who worked around him noted that he did not hang around with yes-sayers, he was exceedingly ready to modify his decision if anyone persuaded him of a superior alternative. Gates's success was enabled by his knack to pay attention on the business fundamentals while shunning office politics and not allowing his ego control him. He was a transformational leader who allowed others to work directly for him. Gates earned immense respect from his associates and scared away most of his competitors. He had a strange ability to confront the administrative as well as the technical aspects of Microsoft's processes. He had peculiar marketing strategies. The manner in which he priced his products was not only for the rich to afford the services but also for the poor to be able to buy. He targeted the global mass market through what was referred to as creative capitalism. This earned him recognition in 1999 as one of few the most influential persons of the 20th century in business strategy by the Journal of Business Strategy. Gates also faced criticism for various actions. He has mainly been accused of destructive and perhaps unlawful business practices. As a result, Gates faced a lengthy legal battle against the United States government of his alleged uncompetitive practices. However, the case was closed with no clear accusations. Quite a few analysts argue that Gates did not actually nurture in-house product development but had a tendency of obstructive advances against other companies. Also, even though Gates was recognised as a visionary leader, he did not all the time break through. His major regret was the failure to pay necessary attention to the commercial latent of the Internet, particularly on Microsoft's competencies for e-mail and networking. However, in 1995, he opted to pay more attention to this area and was able to successfully develop Microsoft's Internet Explorer Web browser that had come to be the industry front runner by 2000. In a nutshell, his knack in developing a modest Internet browser and leading the desktop-database as well as office-suite combats of the 1990s, attested to the fact that he had shaped a company agile enough to penetrate a market that others and take the lead away from the rivalry. However, in 2000 Bill Gates stepped-down from the everyday running of Microsoft. His job was taken over by his university comrade Steve Ballmer who had been with Microsoft ever since 1980. Gates became the chief software architect a position that enabled him to pay close attention to his more passionate aspect of the business. He retained his role of the chairman to the company’s board. His wife Melinda Gates had influenced him to consider filling his mother's heroine as a community leader. This sparked his realisation that he was obligated to give part of his riches to aid. In 1994, having considered the charitable work of wealthy people such as Andrew Carnegie and John D. Rockefeller, who were giants of the American industrial uprising, Gates and his wife set up the William H. Gates Foundation. The foundation mainly support education, world health, and investment in low-income communities. In 2000, the Gates and Melinda brought together their various family foundations to set up the Bill and Melinda Gates Foundation at an initial contribution of $28 billion. In the following few years, gates became more involved in charity work and developed great interest in it. In 2006, he pronounced his desire to transition himself from full-time involvement in Microsoft, to dedicate more worthy time to the Foundation. He finally stepped down on June 27, 2008. Gates has won many accolades in his life. He has been one of the most successful and wealthiest businessmen in the world. Gates has also received many honours including U.S. National Medal of Technology (1993); Chief Executive of the Year, Chief Executive (1994); President's Medal of Leadership Award, New York Institute of Technology (1995); Louis Braille Gold Medal, Canadian National Institute for the Blind (2002); and Knight Commander of the Order of the British Empire (2004), among others. He has also written two key books: The Road Ahead (with Nathan Myhrvold and Peter Rinearson), 1995; Business at the Speed of Thought, 1999. Conclusion Globalisation along the economic, political besides regulatory uncertainty, plus an irresistible flow of data and information has pressed new demands for the present day. For organisations to be able to drive growth and stand a competitive advantage, they ought to tactically boost investments in leadership development and set up global courses across the varied industry sectors and cultural settings. Bill Gates is such one leader who co-founded the Microsoft Corporation. He managed the company through humble and shaky beginnings to be among the top multinationals it is today. His leadership at Microsoft was diverse. References Harris, P. (2010). Machiavelli and the global compass: ends and means in ethics and leadership. Journal of Business Ethics, 93 (1): 131-138. Manes, S., and Paul, A. (1993). Gates: How Microsoft's Mogul Reinvented an Industry and Made Himself The Richest Man in America. Touchstone. Microsoft PressPass. "Microsoft Announces Plans for July 2008 Transition for Bill Gates", Microsoft PressPass, June 15, 2006. Poff, D.C. (2010). Ethical leadership and global citizenship: considerations for a just and sustainable future. Journal of Business Ethics, 93 (1): 9-14. Read More