Developing Culturally Developing Culturally Intelligent LeadersIntelligent Leaders

Silvia LorenteHuman Capital Management Director

IATA

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IATAIATA

1500 employees in 65 countries120 nationalities representedIn Geneva, 350 employees of 30 nationalities (none > 12 % )

Middle classes drive travelMiddle classes drive travelGlobal middle class in 2009 and prediction for 2030

North America

Central & South America

Europe

Middle East &North Africa

Sub Saharan Africa

Asia Pacific

100mn500mn

1bn 20092030

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70% of cross-national business ventures fail due to cultural clashes

Source: International Labor Organization

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Research shows that:

45 % of US expatriates fail in their first international assignment

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A common misunderstanding…

The difference between an expatriate and a global manager (camaléon):

Expatriates are defined by locationGlobal Managers are defined by their state of mind

Power Distance vs. IndividualismPower Distance vs. Individualism5

15

25

35

45

55

65

75

85

9510 30 50 70 90 110

Small LargePower Distance (PDI)

Col

lect

ivis

tIn

divi

dual

ist

Indi

vidu

alis

m(ID

V)

• Guatemala• Costa Rica • Pakistan

• Ecuador• Venezuela

• Indonesia•Singapore • China•Thailand

• Hong Kong• Romania• Mexico • Philippines

• Russia• Arabs• Turkey• Iran• Japan • India

• Switzerland FR• France

• Belgium FR• Canada Quebec

• Israel

• Finland• Germany

• Norway• Sweden

• Denmark• New Zealand

United States • UK

• Brazil

Australia

• Spain

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CQCQCultural Intelligence is the capability to function effectively across national, ethnic and organizational cultures

Four Dimensional ModelA Set of Skills

Earley, P. C., & Ang, S. (2003). Cultural intelligence: Individual interactions across cultures. CA: Stanford U Press.

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Drive IntrinsicExtrinsicSelf-Efficacy

ActionSpeech ActsVerbal BehaviorsNon-Verbal Behaviors

KnowledgeBusinessInterpersonal Socio-linguistics

StrategyAwarenessPlanning Checking

Cultural IntelligenceCultural Intelligence

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A partnership for research and Leadership Development

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IINTERCULTURALLLEADERSHIPEENGAGEMENTAANDDDEVELOPMENT

Drive organizational and cultural changeCommunicate actively across geographical and organizational boundariesBring added value to the business by working together

Developing a new generation of IATA leaders able to:

II--LEADLEAD

Career Success

Job PerformanceInterculturalNegotiation

Team Effectiveness

Social Capital

Leader Effectiveness & Emergence

Innovation

CQCQ

RETURN OF INVESTMENTRETURN OF INVESTMENT

Cultural Adaptability

CQ Training

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78

Impact of IImpact of I--LEAD on CQLEAD on CQ

Source: Research conducted by Guido Gianasso

QUESTIONS???QUESTIONS???