“Research has consistently shown that diverse teams produce better results, provided they are well led. The ability to bring together people from different backgrounds, disciplines, cultures, and generations and leverage all they have to offer, therefore, is a must-have for leaders” (Ibarra and Hansen 2011: 71).
Introduction:
The team composition in today’s global organisations consists of team members who come from various cultural backgrounds and disciplines posing a challenge to the leaders in these organisations. This blog evaluates whether diverse teams produce better results and also observes the skills that the leaders display and the role they play leaders in ensuring that such teams deliver.
Discussion: Rapid organisational globalisation has taken place in the recent past due to increased competition amongst organisations. Leaders today are not only facing challenges relating to ascertain organisations survive the financial crisis but also with respect to managing diverse teams.
Firstly, it is important to understand what is leadership? According to Alan Keith “Leadership is ultimately about creating a way for people to contribute to making something extraordinary happen.” (Kouzes and Posner 2007:3). Alan Keith in his definition for leadership mentioned the words “creating a way for people” by this he means that leaders are involved in leading team members by motivating, making them understand the processes, communicate and explain to them the tasks they are involved in, address issues and appreciate performances. Though the above sounds very simplified, leaders play a crucial role in organisations by leading people and by creating a way for people to achieve their organisational goals.
The leaders need to change their leadership approach based on various factors such as the team composition, the complexity of the tasks they are involved and the country they are operating within. The team composition plays a crucial role in the leadership approach of the team leaders as the leaders need to ensure that they are not perceived as an authoritative or inflexible by the team members. This could happen due to the cultural differences within the team members or their educational backgrounds etc. For instance, if the team comprises of individuals from across from China, India, UK, USA and Russia, the team would certain perform well due to the inclusive meritocracy however the team leaders need to ensure that they are taking into consideration the cultural differences of the individuals in the team so that the performances are not impacted. The Chinese team members for instance would follow their leaders instructions and would like the leader to guide them through their tasks whereas the UK or USA are most individualistic in nature and any more than required involvement from the leader to achieve a task could actually let their performance go down. Hence displaying flexibility in their leadership approach could help the leaders achieve followers trust as Tannenbaum and Schmidt cited in Mullins (2010:383). For example, the leaders could adapt to transformational or inspirational leadership style when the team members need motivation and take active participation the team activities or tasks as a participative or functional leader in order to achieve team members trust or decision making (Mullins 2010:401).
Further, the leaders also need to pay attention to various other elements within the organisation as John Adair suggests leaders are more effective if they are able to meet or address the requirements of three areas, the needs of the team members, the task and the individuals. He mentions that “The effectiveness of the leader is dependent upon meeting three areas of need with the work group: the need to achieve a common task, the need for team maintenance and the individual needs of group members.”
The below figure illustrates the same:
Conclusion: Leaders are facing various tasks these days due to increased globalisation of organisations. Diverse teams as suggested by Ibarra and Hansen do provide a competitive advantage to the organisation but throw challenges at the team leaders who need to ensure that they are flexible in their approach towards team management. Further, team leaders are also required to address the needs and pay attention to other elements within the organisation in order to be able to achieve the organisational, team and individual goals.