The Global Need
In the new era of business, many companies have gone global for resources. This presents a unique series of problems that firms must overcome to remain successful. Planning, organizing, staffing, leading or controlling are all important principles that have been developed over many years and now with the scarcity of resources and profit driving the business sector, managers are having to become more savvy to remain competitive. By design the best management theory to train new managers in a global market would be the contingency management theory. As it is stated in Contemporary Management by George and Jones, "According to contingency theory, the characteristics of the environment affect an organization's ability to obtain resources; and to maximize the likelihood of gaining access to resources, managers must allow an organization's departments to organize and control their activities in ways most likely to allow them to obtain resources, given the constraints of the particular environment they face.This ideal fits for the global design. There are many cultural differences and global diversity that must be taken into account when companies expect to be competitive. Americans have a reputation f
Does the company design free communication up and down the structure or is more directional? Can supervision be limited to a hands-off approach? Does the company change its image to reflect differing markets? All are tough questions and as an organization goes global these must be answered. Could anyone imagine this setting at GM or IBM? As George Patton once said, "Don't tell people how to do things, tell them what to do and let them surprise you with their results. Unfortunately, this rule leaves allot of grey area subject to interpretation. This is the daunting task of a leader. It is also possibly that some of those recent managerial hires have taken residence in other nations thru and exchange program under study. It can turn bad morals to good; it can destroy bad principles and recreate good ones; it can lift men to angelship. For example, a top level manager probably does not know of all the cultural differences and nuisances between the Americans and the French. Take for instance Exide one of this nation's largest battery manufactures who went global and realized that individual managers in various regions were in direct competition with each other. " To succeed in the global market an effective and efficient leader will need to distinguish the different motivators in each manager and plan a course to succeed. To see the success of a subordinate is to relish in the fact that the manager performed equally well. Just as each subordinate has a different name it would be safe to say they also have different motivational characteristics. One manager may need significant coaching, while another may simply need direction and requires minimal supervision.
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