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Business Leadership-a Country Comparison
In this assessment, two major cultural and economic powers—Australia and India—will be examined in terms of leadership. It will analyse the leadership philosophies of these countries in order to uncover their distinctive commercial practises.
In a world when cross-cultural encounters are commonplace and successful leadership often requires navigating and integrating multiple cultural ideas and practises, this comparative research will be essential.
This paper will present the case that while the cultural, economic, and historical settings of Australia and India have an impact on leadership styles, there are certain key parallels and distinctions between the two that may be learnt from.
In the globally integrated and rapidly evolving commercial world of today, global and cross-cultural leadership is essential (Osland et al., 2020). To thrive in a global corporate context, leaders need a certain set of abilities. This article examines the critical components of cross-cultural and global leadership that make them indispensable in today's corporate environment.
Global leadership means managing groups and organisations across national boundaries and cultural differences. Leaders need to go outside the box in an increasingly connected world where businesses serve clients worldwide and operate in a variety of marketplaces. They need to be aware of various markets, cultures, and business practises in order to secure the long-term prosperity of their firms.
Maintaining a cohesive vision and plan that advances the organization's global objectives while acknowledging and appreciating cultural diversity is a prerequisite for global leadership. Global CEOs need to be both culturally sensitive and adept business thinkers (Tuleja, 2021). Leaders with cultural intelligence are able to connect to and work across cultural boundaries in order to create high-performing multinational teams, trust, and collaboration.
Global leaders also lead efforts to address economic volatility, political uncertainty, and technological disruptions. Their ability to anticipate and adapt to these challenges while maintaining a global perspective is crucial to their organisations' growth and sustainability. To stay competitive in a fast-changing world, businesses must integrate global trends into their strategies, make agile decisions, and encourage innovation.
Cross-cultural leadership complicates leadership (Ly, 2020). Leadership styles that work in one culture may not in another. Direct and assertive leadership, valued in Western cultures, may be seen as confrontational or disrespectful in cultures that value indirect communication and hierarchy. Different cultures make decisions differently, from Asian consensus to Western decisiveness.
Leadership styles across cultures greatly impact business and employee management. Leaders must adapt their style to their team's culture. This adaptation may involve changing communication styles, understanding cultural motivational drivers, and respecting cultural norms and practises. Team-oriented goals and collaboration may work better in collectivist cultures, while personal achievement and autonomy may work better in individualistic cultures.
Cross-cultural leaders must also be aware of and mitigate cultural misunderstandings, which can cause conflicts, team disintegration, and inefficiencies. Leaders who can navigate these cultural differences can create an inclusive environment that maximises a diverse team's strengths, fostering innovation, creativity, and problem-solving.
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Egalitarianism, direct communication, and pragmatic problem-solving have shaped Australian business leadership styles. Australian leadership traits, characteristics, and human resource management practises are shaped by these elements.
Democratic and participative Australian leaders emphasise collaboration and team decision-making (Wilson, 2020). Egalitarianism, where leaders see themselves as part of the team rather than superior, inspired this approach. They use a 'flat' organisational structure to reduce hierarchies and encourage communication. Approachability, fairness, and merit and competence define this leadership style.
Australian leaders tend to be pragmatic and results-oriented, prioritising practical solutions over bureaucratic procedures. They demand business transparency and honesty. A hallmark of their communication style is straightforward, no-nonsense conversations with a distinct Australian humour. Leadership in Australia is shaped by its indigenous heritage and immigrant cultures (Liang et al., 2021).
Workplaces reflect the Australian culture of'mateship,' which values loyalty and support. Leaders create a respectful, supportive workplace by fostering camaraderie and belonging. Indigenous knowledge and beliefs influence Australian leadership, especially in environmental and community engagement. Aboriginal and Torres Strait Islander leadership, which emphasises land, community, and holistic decision-making, is becoming more valued.
Australian leaders prioritise professional and personal development for talent development. Training and development, mentoring and coaching, and work-life balance help achieve this. Australian leaders prioritise employee skills and competencies. They often lead by coaching team members to identify their strengths and weaknesses and achieve their career goals. This approach boosts individual and organisational performance.
Australian leaders also value workplace diversity and inclusivity (Ferdman et al., 2020). They aim to foster an inclusive and respectful workplace for diverse employees. Diversity and inclusion are moral imperatives and strategic drivers of innovation and competitive advantage in the global market.
Egalitarianism, pragmatism, and inclusivity define Australian business leadership. Australian leaders promote collaboration, fairness, and transparency through participatory and democratic leadership. Practical solutions and direct communication are their priorities. Indigenous culture and the ethos of 'mateship' shape leadership practises in the country, fostering workplace belonging and support.
Australian leaders coach talent to improve individual and organisational performance. Their commitment to diversity and inclusivity emphasises the importance of diverse perspectives for innovation and competitiveness. Australian leadership draws strength from its cultural heritage and embraces modern values and practises to thrive in this ever-changing global business landscape.
Indian business leadership is shaped by its rich culture, diverse society, and ever-changing economy. Understanding these dynamics is crucial to understanding leadership in Indian business.
Indian culture values hierarchy, authority, and relationships (Verma, 2020). Leadership styles in Indian organisations reflect the hierarchical nature of traditional society. Leaders are revered and distinguished from subordinates. In India's history and culture, caste and family values have shaped this hierarchical structure.
Leaders in hierarchical organisations are expected to guide, protect, and make decisions for their subordinates, like a family patriarch (Abalkhail, 2020). Leaders make decisions top-down, and employees expect clear instructions. However, as global influences and a younger, more globally aware generation enter the Indian workforce, this traditional leadership style is evolving.
Indian leaders are known for their relationship-building. They value personal relationships and trust with employees, often across professional boundaries. Relationships and trust-building are central to Indian people management. Leaders mentor and advise their teams, providing both professional and personal support.
Indian leaders' flexible organisational behaviour shows their ability to navigate the market and societal norms. They excel at adapting to diverse and sometimes difficult business environments. Indian leadership is known for 'Jugaad,' a creative, resource-constrained approach to problem-solving (Shepherd et al., 2020). The Indian leader's creativity and resourcefulness often lead to innovative solutions to complex problems. Resourcefulness is ingrained in Indian culture and leadership styles.
Business leadership in India will evolve as it becomes a global economic powerhouse. Traditional hierarchical structures and paternalistic leadership styles are shifting to more participatory, global-influenced approaches. Relationship-building and adaptability remain central to Indian leadership, shaping the country's business management style. In the changing Indian business landscape, leaders must balance tradition with innovation and relationships with results.
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Australian and Indian cultures value hard work, integrity, and professional excellence. Both countries recognise that success requires dedication and excellence.
Australian and Indian leaders are adaptable and innovative (Chowdhary et al., 2022). Australians are pragmatic problem-solvers and adaptable to changing business environments. In India, 'Jugaad' is a creative way to solve problems with limited resources. Leaders in both countries are ready for complex and fast-changing business environments.
Australian and Indian business cultures value relationships. Australian democratic and participative leadership promotes teamwork. India emphasises personal connections and trust, which are essential in a hierarchical and relationship-oriented business environment. Both cultures value strong relationships for professional success.
Australians prefer direct, assertive communication in business. No-nonsense discussions are their speciality. Indians use nonverbal cues, gestures, and context to communicate indirectly. In multicultural settings, indirect communication may be difficult for direct communicators to understand.
Australian workplaces have flatter organisational structures, reflecting egalitarianism and casual authority. Leadership values all perspectives and is approachable. In contrast, Indian workplaces respect authority and have clear hierarchies. This delineation affects organisational communication, decision-making, and professional formality.
India emphasises long hours and prioritises work over personal life. Work culture values dedication and long hours as proof of commitment. This contrasts with the Australian emphasis on work-life balance (Akkam Overseas Services Pvt Ltd, 2023). Australians value personal time and hobbies for work-life balance.
Thus, Australia and India share values like hard work, adaptability, and business relationships, but they differ in communication styles, organisational structures, and work-life balance. These differences can make cross-cultural business interactions difficult but also educational. Successful collaboration between Australian and Indian professionals requires understanding and appreciating these similarities and differences and a willingness to adapt and bridge cultural expectations and practises.
Understanding business leadership in Australia and India has revealed cultural and organisational differences. Egalitarian, direct, and collaborative Australian leadership promotes innovation and open communication. Despite being influenced by global practises, Indian leadership still emphasises hierarchy and community.
These different styles show how cultural sensitivity and adaptability are crucial in global business leadership. Understanding and navigating these diverse leadership styles is crucial as business becomes more interconnected. Blending these styles allows leaders to use their strengths for more effective and inclusive global leadership.
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Akkam Overseas Services Pvt Ltd (2023) Working in Australia as an Indian: Overcoming cultural differences in the workplace. Available at: https://akkam.in/working-in-australia-as-an-indian-overcoming-cultural-differences-in-the-workplace/ (Accessed: 03 December 2023).
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Shepherd, D.A., Parida, V. and Wincent, J., 2020. The surprising duality of jugaad: Low firm growth and high inclusive growth. Journal of Management Studies, 57(1), pp.87-128.
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