Management Style

Assignment: Management Style

 

To be successful leaders in the global business world of the 21st century, managers must put into place processes and procedures that will ensure that their company is both cost-effective and efficient. Such decisions allow them to increase the productivity and competitiveness of their organizations. Managers must balance the pressures to improve both production and delivery—with the relative costs and profit margins related to each.

 

With this in mind, reflect on the theories, concepts, and strategies presented in this course.

 

Post by Sunday January 10, 2015 a 250-word paper that summarizes the following reflections:

 

  • Describe how your attitude about business management has been impacted by the information you gained in this course.
  • Consider what you have learned in this course about management theories, concepts, and strategies. Identify the knowledge and insights you think will be most useful in developing your own management style. Be specific.

    Ensure that your paper is formatted per APA guidelines and include a “References†list at the end of your paper. Keep track of all references and quotes, and cite them following APA guidelines.

Schroeder, R. G., Goldstein, S. M., & Rungusanatham, M. J. (2013). Operations management in the supply chain: Decisions and Cases (6th ed.). New York, NY: McGraw-Hill/Irwin.

Chapter 11, “Forecasting†(pp. 251–284) This chapter introduces you to a number of forecasting models that deal with long-range planning. These models have been developed to provide a more scientific approach to the forecasting process. Both qualitative and quantitative models of forecasting are covered in this chapter, along with the advantages and recommended use of each forecasting model. Focus on the definitions provided throughout the chapter. Review and think about the examples and anecdotes provided in the chapters that illustrate the major ideas being conveyed. Consider the recommended use of each of the forecasting models. Ask yourself what factors need to be considered when selecting which forecasting model to use.

Chapter 12, “Capacity Planning†(pp. 285–319) Chapter 12 continues the discussion on decision-making for the future needs of an organization. This chapter describes facilities planning and facilities strategy. Aggregate planning is also discussed, along with the options and strategies for performing aggregate planning. Finally, level and chase strategies for meeting fluctuating demands in the market are presented. Focus on the definitions provided throughout the chapter. Review and think about the examples and anecdotes provided in the chapters that illustrate the major ideas being conveyed. Consider the options and strategies that are presented for performing aggregate planning. In particular, ask yourself how the

 
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2a Business Operations

Assignment: Refer to case study that is attached. Reference attachment and may use additional cites. (This a continuous weekly assignment. Will need the same person each week and will pay each week.) 

Write a 250- to 350-word response that addresses the following:

  • What are the internal strengths and weaknesses of BYD along with the external opportunities and threats (SWOT analysis)?
  • Given a business strategy of being the word leader in manufacturing electric cars with innovative technology, what operations and supply chain strategy do you think BYD should pursue? Identify what operations and supply chain should do to help BYD compete including a mission, objectives, distinctive competence and key decisions.Case Study Operations Strategy at BYD of China, Electrifying the World’s Automotive Market

    The Chinese company BYD is pursuing electric cars and hopes to become the world’s largest car company. With the financial support of American Warren Buffett, the company, which has only been in existence for a few years mostly making batteries, has caught the attention of not only Mr. Buffett but also many in the auto industry. This case examines the favorable conditions, technology and the operations strategy that are propelling this Chinese company to the forefront of the not so distant future of the auto industry. Many Americans and Europeans have never heard of the Chinese firm called BYD. In fact, it isn’t really clear what the letters representing the company’s name stand for, although some joke that recently it has meant “Bring Your Dollars.†The company’s latest PR message states that BYD stands for “Build Your Dreams.†BYD is a public company which started making batteries in 1995. Although Chinese-made batteries were already available, they were of poor quality. Imports of higher quality batteries were available in China mostly from Japan, but they were quite expensive. To satisfy the need for high quality and low cost batteries, Wang Chuan-Fu started BYD. Wang, who was a graduate of the Beijing Non-Ferrous Institute, found his competitive advantage by studying Japanese batteries and finding creative ways of making similar batteries at a lower cost. Wang had been fascinated with batteries as a graduate student at the Institute and now seeks to take that passion to the global automobile market.

    ELECTRIC AND HYBRID CARS

    Electric cars (also known as electric vehicles or EVs) rely exclusively on battery power. With an all-electric EV there is no internal combustion engine, muffler, gasoline tank, air and fuel filters, and other parts needed to run a gasoline powered system. The vehicle itself also produces no tailpipe emissions, and by getting its power from an efficient utility company, overall it produces fewer greenhouse gases. This is especially true if the electricity is produced with nuclear power, clean coal or natural gas. EVs are also less expensive to fuel on a per mile basis. Electric cars, however, have a shorter driving range and are difficult to operate with long distance travel (Exhibit 1). There are also some safety concerns associated with using a lithium ion battery, as lithium is a highly reactive material prone to explosion. EXHIBIT 1 Source: www.hybridcars.com.This case was prepared by Charles A. Rarick, Kasia Firlej, and Arifin Angriawan of Purdue University Calumet and was published in the Journal of the International Academy for Case Studies 17, no. 1 (January 2011), pp. 19–28. It was prepared solely to provide materials for class discussion. The authors do not intend to illustrate either effective or ineffective handling of a managerial situation. It has been revised by Roger G. Schroeder, 2016 and is reprinted with permission. Hybrid vehicles run on battery power until the battery reaches exhaustion and then a gas-powered engine Page 411 kicks in to power the vehicle and to recharge the battery. Given the relatively short driving range of EV vehicles, hybrid vehicles have been the logical first step towards all electric cars and the replacement of the internal combustion engine. Hybrid cars became hot selling items when the price of gasoline soared in 2008, and then fell back sharply as the price of gasoline fell. Some have proposed that electric vehicles can save the U.S. auto industry. According to Andy Grove (of Intel fame), “batteries will become a competitive advantage for the automakers of the future.†He supports a position whereby the government takes a more active role in promoting and protecting an “infant industry†in new battery technology. The Obama administration took steps in 2009 to provide significant funding of battery research and the production of environmentally friendly automobiles. New mileage standards were also proposed that will make electric vehicles more attractive to consumers. Since about 2009 many companies have begun to think electric automobiles will have a promising future. In addition to the world’s largest automakers that begun to develop electrical cars, some upstarts were established. Ford, Nissan, Chevrolet, Toyota, Daimler Benz, and Volkswagen all moved into the EV or hybrid market. The success or failure of electric cars and the companies that enter this market is strongly related to the batteries that will power the vehicles. Sales growth of hybrid and all electric vehicles is slow due to the high price tags, low battery mileage on a single charge and the relatively low price of gasoline, particularly in the U.S.

    IT’S ALL ABOUT THE BATTERY

    Lithium ion is the current choice for batteries to power electric cars. Lithium ion batteries are lighter and more powerful than traditional batteries. Lithium, a metal compound, can be found in large quantities in South America, especially in Bolivia, Chile, and Argentina. Chile is currently the world’s largest producer of lithium; however, Bolivia has the largest known deposits of lithium in the Salar de Uyuni region. It is estimated that the lithium supply in Bolivia is somewhere around 5.4 billion tons. Significant deposits of lithium can also be found in China. The Chinese government has declared the lithium battery industry to be a “strategic industry†and will likely support its development. While lithium batteries are currently the most popular option for automobiles, they are still heavy and expensive. For example, the Chevy Volt, a hybrid car, has a battery that is six feet long and weighs around 400 pounds. The cost of an electric car battery is in the range of $10,000–$20,000 each. Lithium batteries can store up to three times the power of nickel-metal hydride batteries. They are clearly superior to conventional batteries. Further advances in lithium battery production may be able to produce smaller, lighter, and faster charging batteries. At least one reported research study shows this promising development. BYD’s advantage in this technology is the production of ferrous lithium ion batteries, which are safer and cost about half of those of the competition, according to BYD’s general manager of its Export Trade Division, Henry Z. Li. The United States is still behind Asia in battery production and research. Sanyo, NEC, BYD and LG created core competencies in batteries and achieved economies of scale that will require the Americans some time to catch up with. U.S. firms in the industry are relatively small upstarts such as EnrDel. Even the Chevy Volt is powered by a Korean company, Compact Power, with a plant in Michigan. Serious movement into electric vehicles will require investment money, long term commitment and strategic alliances. Nissan has partnered with NEC to allocate $1B towards battery development. Toyota-controlled Panasonic EV Energy recently bought Sanyo for its battery making ability. Recently, promising U.S. companies have arisen to research and develop batteries needed to fuel electric cars. EnrDel already operates two factories in Indiana and one in Korea. In 2016 Tesla opened a gigifactory battery plant in Utah that can eventually supply 500,000 batteries per year. The Big Three: General Motors, Chrysler and Ford, have been considering alternative vehicles since the 70s, however among the Big Three there is still a lack of momentum about this technology and its useful application in the U.S. automotive market, particularity for all electric vehicles. EXHIBIT 2 Key players in the electric auto battery industry, 2009. A123 (USA) M.I.T. spin-off with $250M in venture capital AESC (Japan) Joint venture between Nissan and NEC BYD (China) Largest battery producer in China ENERDEL (USA) Once part of Delphi. Invested $200M in Indiana plant Johnson Controls/SAFT (USA/France) Joint venture with plant in France LG (Korea) Leading producer of lithium ion batteries for cell phones Panasonic (Japan) Owns Sanyo Electric, the largest producer of rechargeable batteries. Source: P. Engardio, K. Hall, I. Rowley, D. Welch, and F. Balfour, “The Electric Car Battery War,†BusinessWeek, February 23, 2009, pp. 52–54. Page 412 It seems that BYD is moving much faster and much more aggressively in the direction of introducing electric vehicles. Its all electric e6 model was released at the end of 2009 and is much more competitively priced than the offerings of its Western competitors. Furthermore, BYD has tapped into a cost innovation strategy by reducing manufacturing costs through reverse engineering the expensive Japanese battery models and substituting the expensive raw materials with cheaper substitutes. The e6 is a big seller in Europe with its innovative iron-phosphate battery, zero emissions and the ability to go 300 km on a single charge.

    BYD

    BYD captured international attention when Berkshire Hathaway bought a 10 percent interest in the company. Warren Buffett wanted to buy 25 percent of the company, but BYD refused the offer. A company known for being cost-conscious and frugal, BYD has consistently been profitable. Located in Shenzhen, a manufacturing megacity better known for electronics, the company gained a competitive advantage by finding creative and innovative ways to manufacture batteries of high quality at costs lower than rival Japanese and American brands. The founder of the firm bet on the substitution of low-cost labor for expensive machinery, and attention to detail, and these strategies have proven to be successful. By 2000, BYD had become the biggest producer of cell phone batteries. BYD raised capital through a public stock offering on the Hong Kong Stock Exchange in order to increase the size of its battery business. In 2003 company founder, Wang had the opportunity to purchase a failing state-owned automobile manufacturer. He thought that the company could leverage its battery competence in the auto industry by producing electric cars. While many thought that BYD was making a mistake in moving into automobiles, others thought differently. As Joann Muller of Forbes magazine stated in 2004: “In the vast and looming Chinese automobile market now dominated by foreigners, a small Chinese company called BYD is barely noticeable . . . Amateur hour maybe, yet it would be foolhardy for General Motors, Volkswagen and other foreign makers to ignore Chinese companies like BYD.†(Muller p.76). It appears that she was right. With the capital injection from Berkshire Hathaway and a focus on an increasing share of the auto market, BYD has positioned itself well to compete internationally. BYD seeks to position itself as an innovator and to tap into the growing green business by not only producing electric automobiles, but also making its batteries environmentally friendly. BYD is producing batteries that contain nontoxic fluids and thus do less harm to the environment, if the battery is discarded instead of being recycled. In addition to being environmentally friendly, BYD believes that it has made a major breakthrough in battery technology which will produce a longer lasting charge and allow the battery to be recharged numerous times, at the same time keeping the costs significantly lower than those of its competition. The U.S. Department of Energy is studying the claim made by BYD concerning its new battery technology. In 2009 BYD operated eleven factories and employed 130,000, with most production facilities in China, but also operated factories in India, Hungary, and Romania. BYD employees, including engineers and scientists typically live on the company grounds with BYD providing housing and other living expenses. The labor cost is a fraction of the costs found in the United States or Europe. BYD has two offices in the United States, both close to important customers. BYD offices can be found in Elk Grove, Illinois and San Francisco, California, based on the location of its two major U.S. customers, Motorola and Apple. Most of the firm’s revenue comes from cell phones, components, and batteries, but automobile sales have been playing an increasingly significant role (Exhibit 3). EXHIBIT 3 BYD revenue by segment, 2008. Source: A. Grove, “Andy Grove on Battery Power,†Fortune 62, April 27, 2009. Revenue has increased consistently, and with the exception of 2005, BYD has had consistent profitability (Exhibits 4 and 5). BYD has achieved an impressive record in its short life utilizing low labor costs, little outsourcing, and successful innovation. The company is transferring its cutting edge technology innovation to the automotive market and at the same time closely following the global trends in green marketing that focus on a higher level of cost consciousness. BYD was named the second most innovative company in China in 2009 by Fast Company magazine. EXHIBIT 4 BYD revenue. Source: A. Grove, “Andy Grove on Battery Power,†Fortune 62, April 27, 2009. EXHIBIT 5 BYD net profit. Source: A. Grove, “Andy Grove on Battery Power,†Fortune 62, April 27, 2009. In 2009 BYD produced a number of vehicles including the F3DM—DM stands for dual mode, which means Page 413 that the car can run on dual energy sources. The environment-friendly battery can be fully charged in as little as an hour. This model sold in China for around US$22,000. This hybrid car can travel 62 miles on a single charge and is the first mass produced plugin hybrid in the world. The difference between it and the Toyota Prius is that it is less expensive, has a very small engine and relies significantly on battery power, cutting down the costs of utilization and its carbon footprint. Update to 2015. BYD is the largest EV manufacturer worldwide1 For the month of October, 2015 BYD had the largest sales of all-electric EV vehicles in the world with total sales of 6,099 EV units. October capped a yearlong increase in sales for 2015 making BYD the world leader in units sold of 43,069 from January to October 2015. This represents a 22 percent increase compared to the same period last year. BYD had an 11 percent share of the global market as shown in the following chart. Global Sales of EV (all-electric) Vehicles Ranking Manufacturer October 2015 YTD Market Share Position in 2014 1 BYD 6,099 43,069 11 7 2 Nissan 3,115 42,012 11 1 3 Mitsubishi 4,144 36,623 9 2 4 Tesla 3,349 36,312 9 3 5 VW 3,774 27,755 7 11 6 BMW 2,937 25,470 7 9 7 Renault 2,568 20,136 5 8 8 Kendi 5,081 17,201 4 10 9 Ford 1,776 17,117 4 5 10 Zotye 2,609 15,384 4 13 Note: Toyota Prius and Chevy Volt are not listed; they are hybrid cars and not EVs. BYD climbed from seventh to first place in the world due to a carefully planned strategy of new model introductions. The launch of a sedan, the Qin, gave BYD a competitive passenger model first introduced in 2013. They also launched a new hybrid SUV model, the Tang, in June 2015 to meet the company’s 542 performance claims: “5†means reaching 100 km/h in 5 seconds, “4†means four wheel drive and “2†means fuel efficiency of 100 km with less than 2 liters of gasoline. Next, BYD plans to introduce the Song and Yuan models to its lineup. Page 414 BYD Tang SUV© Imagine china via AP Images In all of 2015 BYD delivered 62,000 EV vehicles, almost entirely in China. The company projects it could sell nearly two to three times this number in 2016. Vehicles with combustion engines are being penalized by the Chinese government through taxes, rebates, and registration privileges. Incentives in China for electric cars are being fueled by government efforts to reduce greenhouse gases and hazardous air pollution in Chinese cities. Globally, BYD will deliver nearly 6000 electric buses in 2016, with about 300 zero-emission electric buses scheduled to be built in 2016 from BYD’s North American factory—the Bus & Coach Factory in Lancaster, California. These numbers alone (6000 in one year) make BYD the largest manufacturer of electric buses worldwide and surpassed the entire U.S. 2015 bus market volumes. In 2015 BYD corporate sales totaled US$12 billion and net income was 423 million. Electric vehicles were approximately 25 percent of the sales.

    CONCLUSION

    BYD is attempting to leverage its core competencies in battery production and development to meet the future needs of the driving public. It believes that the future of the auto industry will be in electric vehicles. In order for electric cars to replace gasoline powered ones, infrastructural changes will have to be made to quickly charge depleted batteries, much like present day gasoline stations. Another possibility would be a battery replacement station in which a depleted battery is quickly replaced with a fully charged one. Such battery changing stations are currently being developed in Japan, Denmark, U.S., and Israel. While Mr. Buffet may agree with BYD’s vision of the future, the company faces many challenges as it attempts to compete with the world’s largest automakers. Operations and supply chain managers wondered what the high growth and innovative technology business strategy meant for them. They needed to develop an operations and supply chain strategy that was consistent with this business strategy. It would start with a mission and objectives, along with major decisions to keep up with the growth and technology changes. This would require systems and processes that could be scalable for high-volume production. Capacity would have to be managed and located to support business growth. Perhaps short supply chains with local suppliers are needed. The challenges facing operations and supply chain strategy were indeed considerable.

     

    Schroeder, R. G., Goldstein, S. M., & Rungusanatham, M. J. (2018). Operations management in the supply chain: Decisions and cases (7th ed.). New York, NY: McGraw-Hill/Irwin.

 
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Transportation Logistics Management 351

Read about Walmart’s packaging and sustainability objectives by clicking here.

According to this website, one of Walmart’s goals is “Be packaging neutral globally by 2025”. What do you think it means to become packaging neutral? According to their website, what challenges are they facing in becoming packaging neutral?

Watch this video by clicking here.

Secret Life of Walmart’s Deli Pizza Box. Does this box meet your definition of packaging neutral?

Respond to each post(3) with 100 words minimum and please answer each post in order

Andrew1

Good evening and Aloha class. This week’s topic is interesting to me because since I’ve been in Hawaii I’ve noticed the importance of recycling materials in order to increase sustainability on the island. One of the small changes I’ve made is returning the mountain of plastic grocery bags I’ve amassed to the grocery store and invested in a few reusable bags.

In terms of Walmart’s efforts to become packaging neutral, my personal definition would be: To implement a process that creates durable packaging from recycled materials, using environmentally-sound methods. This can include a closed loop recycling system or reusing packaging materials that would otherwise be discarded in landfills by the organization, customers, or even the suppliers and distributors.

Walmart’s biggest challenge to utilize neutral packaging is the contributions from related–yet external–entities. These entities include the consumer and the links along the Walmart supply chain. Walmart does not operate with 100% vertical integration in their supply chain, so they must source products responsibly, by implementing contractual clauses that specify the mandatory use of neutral packaging. Another challenge pinpointed by Walmart’s website is the lack of infrastructure that supports recycling (“Eliminating Waste,” 2017, para. 4).

In viewing the provided video, I would say that this method of packaging is neutral, and is leading Walmart to a successful path of sustainable operations. But once again, the video pertains to Walmart’s deli pizza–something they have implemented vertical integration to create, package, ship and sell. It is Walmart’s challenge to ensure that suppliers are using the same methods to achieve sustainability.

Corey2

I think that packaging neutral means that a company will have zero impact on the emissions of Green House Gasses (GHG) along with creating zero waste, and using renewable energy.   There are a few things that are challenging when dealing with becoming packaging neutral.  One of the things is getting more awareness of customers.  Walmart wants customers to ask two questions when picking up a product from the store.  The first is “what’s in it†and the other is “will it do what I need it to do†(Bedore, 2017).  They want people to be more aware of the impact products have on the environment.  Walmart is also struggling with finding companies that want to go green.  This can be due to the costs of transferring a company’s equipment into becoming more environmental friendly.

Walmart packaging neutral pizza boxes is a step in the right direction but it is not fully packaging neutral.  Because of the emissions of GHG during the transportation and manufacturing of the packaging, the deli pizza boxes fail to be 100% packaging neutral.  I do believe that it is a step in the right direction and that it is cutting a lot of emissions of GHG related to Walmart.  If they can lead the way and have all of their packages used by this material and set the example for other companies, then more companies will be willing to follow.  This will result in a drastic decline in GHG emitted into the environment.  It will also aid in a decrease in costs for companies to transfer into an environmental friendly company.

Kurt3

This week, we read about Walmart’s packaging and sustainability objectives and saw a video called “Secret Life of Walmart’s Deli Pizza Box.†The video explains how Walmart plans on taking an existing product like their used cardboard boxes and turn them into a new packaging product for their pizza. One of Walmart’s goals is to “Be packaging neutral globally by 2025.†The video explains how Walmart wants to achieve this goal and it makes sense. For a company like Walmart to be packaging neutral by 2025, they need to figure out how they can store all over their current products in reusable packages. I feel that this can be achieved, but will require a lot of logistical work on Walmart’s part. I think the effort is worth it and might draw in more customers. Hopefully, this trend will continue to grow among other major corporations to become packaging neutral. The most difficult thing I see that the company is facing in becoming packaging neutral deals with the harmful chemicals that the packages contain that make them difficult to recycle. Another difficulty that Walmart may currently be dealing with is finding providers for the different packaging items. We saw the video for making the boxes for the pizza containers and it said they make other packages as well, but who will convert their plastics and other containers? I am sure they will figure it out and there are recycling corporations out there that can do it, but a lot of research needs to be done in a short period of time to pull it off by 2025. Honestly, I think it would be great if Walmart could pull it off and would set the tone for other to follow.

 
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Can Business Schools Make Students Culturally Competent?

Can Business Schools Make Students Culturally

Competent? Effects of Cross- Cultural Management Courses

on Cultural Intelligence JACOB EISENBERG

University College Dublin (UCD)

HYUN-JUNG LEE London School of Economics

FRANK BRÜCK Bocconi University

BARBARA BRENNER Danube University Krems

MARIE-THERESE CLAES Louvain School of Management

JACEK MIRONSKI Warsaw School of Economics (SGH)

ROGER BELL ESADE Business School

The rapid increase in courses dealing with cross-cultural management (CCM), brought about by economies’ globalization and increased workforce mobility motivated us to examine the impact of cross-cultural management courses on cultural intelligence. Cultural intelligence (CQ) refers to individual’s abilities and skills to effectively manage interactions in cross-cultural situations. It includes four dimensions: metacognitive, cognitive, motivational and behavioral. In two multinational longitudinal studies using matched samples and pre- postintervention measures, we assessed the effects of academic CCM courses on students’ CQ. We found that after the courses, students’ overall CQ was significantly higher than at Time 1. No effects on CQ were detected in the control group, where students worked in multicultural settings but did not take a CCM course. Cross-cultural management courses had stronger effects on metacognitive and cognitive CQ than on motivational and behavioral CQ. We found an interesting pattern regarding students’ international experience: While international experience in Time 1 positively related to students’ CQ, at Time 2, this relationship became nonsignificant (Study 1). These findings contribute to understanding the antecedents of cultural intelligence and how educational interventions affect it, with practical implications for designing and developing international management education and training programs.

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� Academy of Management Learning & Education, 2013, Vol. 12, No. 4, 603–621. http://dx.doi.org/10.5465/amle.2012.0022

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603 Copyright of the Academy of Management, all rights reserved. Contents may not be copied, emailed, posted to a listserv, or otherwise transmitted without the copyright holder’s express written permission. Users may print, download, or email articles for individual use only.

 

 

The rapid increase of globalization processes in many aspects of social and work life in the last 2 decades of the 20th century resulted in record num- bers of individuals who, on a daily basis, interact and work with individuals who have been social- ized in significantly different cultures. This situa- tion created an acute need to understand the role of national culture in management and organiza- tional dynamics and has led to an urgent need for employees, managers, and indeed, organizations, to become cross-culturally competent.

Practitioners and academics alike broadly agree that for today’s international managers, cross- cultural competence and skills are not only desir- able, but rather necessary (Chao & Moon, 2005; Ng, Van Dyne, & Ang, 2009). Several studies demon- strated that cross-cultural experiences and cross- cultural competence are either direct predictors, or mediators of managerial performance while work- ing overseas or when working extensively with culturally diverse populations (e.g., Earley & Peter- son, 2004; Kim & Van Dyne, 2012).

The acute necessity of having cross-cultural management competencies in the workplace is vividly reflected in the Association to Advance Collegiate Schools of Business’ ( AACSB) accredi- tation process. In its recent publication, Eligibility Procedures and Accreditation Standards (July, 2009: 4), the AACSB stated: “Complex demands on man- agement and accounting education mirror the de- mands on organizations and managers†and listed four main challenges. Two of these challenges are directly related to cross-cultural management ed- ucation: “Differences in organizational and cul- tural values†and “cultural diversity among em- ployees and customers†(AACSB, 2009: 4). Thus, the AACSB explicitly expects that as part of an accred- ited business university program these challenges should be addressed through programmatic ele- ments in undergraduate and graduate business degree programs.

The importance of effective cross-cultural inter- actions has encouraged researchers to identify rel-

evant competencies in the disciplines of cross- cultural psychology (e.g., Smith & Bond, 1999); cross-cultural communication (e.g., Ting-Toomey, 1999); and, more recently, international manage- ment and HRM (e.g., Thomas & Fitzsimmons, 2008). Studies indicated that certain individual charac- teristics are positively related to effective cross- cultural interactions. For instance, Gelfand, Erez, and Aycan (2007) found that expatriate managers’ effectiveness and adjustment were predicted by both stable factors, such as the personality traits of openness to experience, conscientiousness and self-monitoring, and more malleable factors, such as attitudes.

Although the number and variety of cross- cultural management courses offered by academia and industry grew dramatically, little systematic research exists on the effects of specific academic programs on students’ cross-cultural competence. Our study aims to contribute to the debate on the effects of educational interventions on students’ cultural competencies, namely, the effect of univer- sity management courses on four cultural intelli- gence (CQ) dimensions.

In the next sections we review the CQ concept and its four dimensions. We then describe several types of academic cross-cultural training ap- proaches and the characteristics of university courses that aim to increase students’ knowledge of cross-cultural issues in management. We pres- ent our study hypotheses while discussing the con- text and scope of the educational environment where our work took place.

LITERATURE REVIEW

Cultural Intelligence: Nature and Conceptualization

During the last 5 years, research on cross-cultural competencies has become more sophisticated as the concept of cultural intelligence (often known as CQ) gained increased interest among manage- ment researchers. Described by Earley and Ang in their 2003 book, as well as in Thomas and Inkson’s (2004) book, cultural intelligence (CQ) is a construct that seeks to integrate several existing concepts and frameworks revolving on people’s abilities and skills to effectively manage themselves and to interact with others in cross-cultural situations and environments. Cultural intelligence has been defined as individuals’ capabilities to function and

Correspondence concerning this article should be addressed to: Jacob Eisenberg, UCD School of Business, U College Dublin, Belfield, Dublin 4. Ireland. E-mail: [email protected]

We wish to thank Associate Editor Alvin Hwang and two anonymous reviewers for their helpful comments and sugges- tions in developing this manuscript. This work was partially supported by a Seed Funding scheme grant from U College Dublin and by a RDI grant from the Irish Research Council for the Humanities and Social Sciences, both awarded to Jacob Eisenberg.

604 DecemberAcademy of Management Learning & Education

 

 

manage effectively in culturally diverse settings (Earley & Ang, 2003).

Recent developments contributed to both theo- retical and empirical progress in this new area, as evidenced by a special issue of a leading journal dedicated to CQ (Earley & Ng, 2006) and by system- atic empirical operationalization and validation of the CQ construct (e.g., Ang et al., 2007; Van Dyne, Ang, & Koh, 2008). The CQ is positioned as related to, but essentially different from more stable indi- vidual differences, such as personality traits. Thus, while certain personality characteristics (e.g., Openness to Experience from the Big Five model) predict CQ levels to some degree (e.g., Ang, Van Dyne, & Koh, 2006), CQ explains variance in cross-cultural competence above and beyond sta- ble individual differences.

The concept originates in Sternberg and Detter- man’s (1986) multiple intelligences framework, which put forward the concept that there are dif- ferent ways to conceptualize and assess intelli- gence, beyond the traditional exclusive focus on cognitive elements. Cultural intelligence is a spe- cific form of intelligence focused on capabilities to grasp, reason, and behave effectively in culturally diverse situations (Ang et al., 2007). It is a multidi- mensional construct that follows Sternberg’s (1986) framework, where he proposed different aspects of intelligence. Three of the four dimensions, meta- cognition, cognition, and motivation, are seen as mental capabilities residing in internal affective and cognitive systems, while the fourth dimension, behavioral capabilities, captures the overt action domain.

According to Earley and Ang (2003), cognitive CQ focuses on explicit knowledge of values, norms, and practices in different cultures, including knowledge of social, economic, and legal systems in various cultures. Individuals with high cogni- tive CQ are able to analyze and understand simi- larities and differences across cultural contexts. Therefore, they can form more accurate expecta- tions and are less likely to make inaccurate inter- pretations of cultural interactions (Triandis, 1995). Metacognitive CQ focuses on higher order cogni- tive processes, those that individuals use to orga- nize and comprehend cultural knowledge. Related capabilities include observing and revising men- tal models of cultural norms and behaviors. Meta- cognitive CQ helps individuals to be better aware of others’ cultural preferences and intentions be- fore and during intercultural interactions.

Motivational CQ reflects individuals’ ability to initiate, maintain, and sustain learning and other functional behaviors in culturally unfamiliar or di- verse situations. Individuals with higher motiva- tional CQ are capable of coping better, affectively and cognitively, in demanding multicultural con- ditions. Those with high motivational CQ tend to be inherently interested in learning about and ap- proaching new cultural phenomena, and they are likely to be more confident when they find them- selves in culturally diverse situations.

The fourth dimension is behavioral CQ, which reflects individuals’ ability to employ the appropri- ate verbal and nonverbal actions when interacting with people from different cultures. Such behavior includes actions related to tone, gestures, physical space, and touching rules, dress codes, and the practice of appropriate time management norms. Those with high behavioral CQ have a flexible enough repertoire of culturally diverse behaviors and are able to display and change them accord- ing to the cultural demands of the situation.

The four CQ dimensions are qualitatively differ- ent, and each contributes in its own fashion to cul- turally savvy and competent interactions. While the four CQ facets are considered as conceptually independent of each other, they tend to be moder- ately and positively correlated (e.g., Ang et al., 2007; Van Dyne et al., 2008). To sum, CQ is an aggregate multidimensional construct where the four dimensions represent different capabilities that combine to make up the overall construct.

Following the conceptual model developed by Earley and Ang (2003); Ang, Van Dyne, Koh, and Ng (2004) developed and validated the Cultural Intel- ligence scale (CQS) as a measure for the four- factor CQ construct. The final version of the CQS (Ang et al., 2007) was found to be valid and reliable across samples, time, countries (e.g., Singapore and the United States) and methods (self- and peer ratings). Furthermore, the results of their six stud- ies, conducted across different cultural, educa- tional, and work settings, demonstrated that systematic relationships exist between CQ dimen- sions and specific intercultural effectiveness out- comes (Van Dyne et al., 2008). They found that CQ has unique explanatory power in predicting sev- eral aspects of intercultural effectiveness (cultural judgment and decision making, interactional ad- justment, mental well-being, and task perfor- mance) above and beyond general mental ability, emotional intelligence, and individual character- istics, such as personality, age, and sex.

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These results are especially important in the context of our longitudinal studies here, where we examined the effects of university courses on the CQ of an international sample of university stu- dents. Since we argue that systematic training as well as exposure to cross-cultural and interna- tional experiences can enhance individuals’ cul- tural competence, the CQS instrument, which assesses ability rather than stable inherent capac- ities, serves as a suitable variable for the purpose of this study (see also MacNab, 2012). We now out- line and explain our main hypothesis, which deals with the expected effects of cross-cultural manage- ment education on CQ.

THEORETICAL BACKGROUND AND HYPOTHESES DEVELOPMENT

Affecting Cross-Cultural Competence Through Training and Education

Following global trends of increased workforce im- migration and mobility, many private- and public- sector organizations and, especially, multinational corporations (MNCs) have responded to the grow- ing need for a cross-culturally competent work- force by seeking to train their expatriate or sojourner personnel through specially designed training programs (Earley & Peterson, 2004). At the same time, business schools around the world re- sponded to these needs by preparing their stu- dents with enhanced cross-cultural skills and com- petencies. This led to a proliferation of teaching and educational activities designed to equip stu- dents with the necessary cross-cultural competen- cies and, in many business school’s programs, the rapid growth of cross-cultural management (CCM) courses and modules at both undergraduate and postgraduate levels.

Often, advanced CCM classes aim not only to increase students’ knowledge of cross-cultural management topics, but also to help them become more effective in cross-cultural encounters, espe- cially in their future international management ca- reers (MacNab, 2012). It is important, therefore, to find out whether and to what degree CCM academic training achieves these aims. Our study tackles this challenge and, building on the argument that CQ is malleable to learning and experience, we propose that professionally designed cross-cultural manage- ment courses, delivered by business schools, in- crease students’ cultural intelligence.

While several studies looked at training meth- ods of expatriates and their relative effectiveness (e.g., see meta-analyses by Deshpande & Viswes- varan, 1992; Morris & Robie, 2001), very few pub- lished studies empirically examined the impact of academic interventions on students’ cross-cultural skills and abilities. Among the few exceptions, Gannon and Poon (1997), for instance, examined the effectiveness of cross-cultural training on cul- tural awareness and whether integrative (includ- ing a lecture, video, and exercises), video-based, and experiential (role-play) methods had differing effects on MBA students’ cultural awareness. Using a pretest–postest experimental design, they found that all three training methods had significant posi- tive effects on perceived cultural awareness; how- ever, they did not find any significant differences among the three delivery methods. Their sample was mainly U.S. nationals, and the training sessions lasted 3 hr. The Intercultural Awareness Self-Report measure was developed by the authors for the pur- pose of their study, but it did not undergo extensive reliability and validity tests.

More recently, Sizoo, Serrie, and Shapero (2007) used a pretest–postest design with a control group to examine the effects of a combination of in-class and at-home exercises on intercultural sensitivity (ICSI; Bhawuk & Brislin, 1992). Participants in the treatment group were undergraduate business stu- dents in a U.S. university who were tested on ICSI before and after taking a semester-long course, Culture and International Business, containing culture-focused activities. The control group, on the other hand, took Introduction to International Business, which did not have the culture-focused activities. The authors found that the treatment group’s ICSI improved significantly after the course, but the control group’s ICSI did not. Of three control groups included in the study, how- ever, only one group was demographically and educationally comparable to the treatment group’s profile. Also, the statistical analysis did not in- volve matched samples.

The most relevant study for our context was re- ported in a very recent paper by MacNab (2012), who was the first to assess the impact of manage- ment education on CQ, using a pre- and posttest design. While the sample was drawn from a multi- cultural university student population, over 60% of participants were Chinese. MacNab found that an 8 week long educational process, which was de- signed specifically to enhance students’ CQ using experiential learning methods, increased partici-

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pants’ metacognitive, motivational, and behavioral CQ. The exact procedure is not clear, but the samples were not matched and no control group was used.

Thus far, only a limited number of published studies have tested the effects of management courses on students’ cultural skills and compe- tence. While the studies above suggest that both short-term educational interventions as well as semester-long courses have significant impact on students’ cultural attitudes, we believe that it is important to replicate and extend these effects by using a culturally diverse population (i.e., not only U.S.-based students); by using a more rigorous de- sign of matched samples; and by using a different criterion variable for cultural skills such as CQ. Echoing MacNab’s (2012) call for giving CQ more attention in management education, we believe that using CQ as the criterion variable would allow the field to move from assessing courses’ impacts on attitudes to assessing their impact on capabilities.

Although the number of empirical studies look- ing at the effects and correlates of CQ with a host of attitudinal and behavioral outcomes has been steadily increasing, MacNab’s (2012) study was the only published empirical study we found that tested the effects of targeted educational interven- tions on learners’ CQ. Thus, our study aims to fill two gaps in the field: one, which exists in the management education literature, where there is a need for rigorous longitudinal studies testing the effectiveness of cross-cultural management cours- es; and a second gap, which exists in the cultural intelligence research stream, where there is a need to examine how and whether CQ can be improved by academic management education in- terventions. We pursue these aims through speci- fying several hypotheses and conducting two sep- arate studies to test them. In the following section, we present our hypotheses and their rationale. We then present Study 1, which was conducted in a single country location. After presenting the re- sults for that, we describe Study 2, which took place in several locations and also included a con- trol group. After presenting the results for Study 2, we integrate insights from both studies and dis- cuss our findings and their implications.

Building on the works of Gannon and Poon (1997); MacNab (2012); and Sizoo et al. (2007); our first hypothesis deals with the effects of cross- cultural (or intercultural) management courses: Hypothesis 1: Academic training, in the form of

cross-cultural management courses,

affects CQ, so that students’ CQ at Time 2 is higher than their CQ in Time 1.

While we hold that overall CCM academic training (in the form of university courses) in- creases students’ cross-cultural competence as re- flected by CQ scores, we believe that certain types of courses would affect certain elements of CQ more than others. We have analyzed the CCM courses in our two studies on the basis of cross- cultural training classifications arrived at by Tung (1981) and Gudykunst and Hammer (1983). For our purposes, the relevant dimension is the relative emphasis on intellectual versus experiential learn- ing. Intellectual-centered learning is sometimes referred to as a traditional academic approach, where lectures and readings are used as the main means of learning or study. Experiential learning places more emphasis on emotional and behav- ioral elements through sending students to field visits, using simulations, interactive exercises, and case studies (e.g., Kolb & Kolb, 2005; Ng et al., 2009).

Although the CCM courses examined in our studies have attempted to include experiential ele- ments as well, overall, both Study 1 and Study 2 programs were embedded in a traditional aca- demic environment and delivered by cross-cultural management professors, leading to a predomi- nantly intellectual style courses. At the same time, Study 1 and Study 2 courses differed in few minor ways. While the Study 1 course was shorter and more intensive, placing relatively more emphasis on aspects pertaining to several national cultures due to its more specific training goals, Study 2’s courses had less nation-specific focus, using a more general, comparative approach to teach- ing CCM.

Following Earley and Peterson (2004), who sug- gested that the main impact of academic courses is on cognitive and meta-cognitive dimensions of CQ (referred to as “mental dimensionsâ€), we believe that the impact of our educational training inter- ventions will differ in magnitude across the four CQ dimensions. Moreover, Van Dyne et al. (2008; Study 3) report that during their tests of whether the CQS instrument is generalizable across time, they found that undergraduate students in Singa- pore, who completed the survey in two different times, reported higher scores on the cognitive and behavioral CQ dimensions 4 months later, in Time 2. Their explanation for these results was that stu- dents’ increase in cognitive CQ was due to their

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study of cultural values, and the change in behav- ioral CQ was due to students’ participation in ex- periential role-playing exercises during the man- agement course.1 Altogether, this leads us to offer the next hypothesis: Hypothesis 2: Intellectually oriented CCM courses

more strongly affect the meta- cognitive and cognitive dimensions of CQ than the motivational and be- havioral dimensions.

In addition to the effects of CCM education, we also examined the effects of a more distal cross- cultural factor on CQ: the experience of living abroad. Following others (e.g., Earley & Peterson, 2004; Shannon & Begley, 2008), we suggest that international experience (i.e., living in foreign countries) increases one’s cultural knowledge, pro- vides opportunities to develop self-efficacy to man- age culturally diverse environments, and makes students feel more at ease in culturally diverse environments.

While several studies suggested that this indeed may be the case, not many studies actually exam- ined the effects of living abroad on cultural com- petence. The majority that empirically examined these effects reported that international experi- ences of working and living in a foreign culture positively impact various aspects of expatriates’ cross-cultural skills (e.g., Gudykunst & Ting- Toomey, 1988; Mendenhall & Oddou, 1985). Sizoo et al. (2007) found that years lived abroad predicted students’ intercultural sensitivity. Piaskowska and Trojanowski (in press) found that executives’ inter- national experiences during their formative years (early 20s), was a significant predictor of effective decisions made by their teams on international business aspects several years later.

Finally, there have been a few recent studies that specifically examined the effects of interna- tional experience on CQ (see Ang, Van Dyne, & Tan, 20112 for a recent review). Our conclusion is similar to that of Ang et al. (2011), who note that there are substantial inconsistencies among stud- ies. For example, a series of studies by Ang et al. (2007) reported contradictory results regarding the relationship between international experience and CQ scores. In two of their studies, they found that international experience of both U.S. and Singa-

pore undergraduates correlated with cognitive, metacognitive, and motivational CQ. In another study, they found that international managers’ in- ternational experience (number of countries an ex- patriate worked in) correlated positively and sig- nificantly with all four dimensions of expats’ CQ. However, a fourth study, conducted with midcareer foreign professionals, found that international ex- perience (number of countries lived in) did not cor- relate with any CQ dimension (Ang et al., 2007).

We also observed that not only were the effects of international experience on CQ inconsistent, the operationalization of “international experi- ence†differed from study to study: While some studies used “length of stay†to assess interna- tional experience (e.g., Tay, Westman, & Chia, 2008), others used “the total number of countries visited†to tap international experience (e.g., Crowne, 2008).

We reasoned that one of the possible explana- tions for the inconsistencies reported is using inadequate metrics for assessing international ex- perience. For example, some of the studies opera- tionalized international experience as number of countries lived in, without indicating any minimal length of stay as a qualifying criterion. Thus, some participants may report a country they lived in for a month in the summer as a place they lived in while others may consider that only longer periods of residence abroad merit mentioning.

We agree with Ang et al. (2011) that not all inter- national experiences are equal and that the in- ternational experience needs to be substantial enough to bring about impact. Given our partici- pants’ age group and based on our familiarity with the sample, we reasoned that a substantial inter- national experience should be operationalized as the number of countries where students lived for at least 6 months prior to taking the cross-cultural management courses. Given the all-round experi- ential nature of living abroad, we expected that all four CQ dimensions would be affected by this ex- perience and that international experience would enhance CQ. Hypothesis 3a: International experience is posi-

tively related to students’ CQ at Time 1.

While we propose that CCM courses would in- crease all students’ CQ, we reason that this learn- ing experience may be especially important for those students with little or no international expe- rience. That is, we suggest that CCM courses help minimize the gap between the more and less inter-

1 We thank one of the anonymous reviewers who brought this study to our attention. 2 We thank one of the anonymous reviewers who brought this source to our attention.

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nationally experienced students by providing the latter with knowledge and learning experiences that are comparable to those gained by students who did have the opportunity to acquire them through living abroad.

While some evidence from other training do- mains supports our reasoning (e.g., Ilkiw-Lavalle, Grenyer, & Graham, 2009, found that following a 2-day intensive aggression management training, staff with prior learning experience benefited less in knowledge acquisition than inexperienced staff), we did not find studies testing such differ- ential effects in cross-cultural management educa- tion and learning literature. For our study, we pro- posed that the correlation between international experience and CQ would be stronger in Time 1 (prior to taking the CCM courses) than in Time 2 (measured after courses’ completion) because CCM courses partially act as relative “equalizers†of differences in cultural intelligence between the more internationally experienced and the less ex- perienced. In accordance with our reasoning in support of Hypothesis 2 above, we expect that these effects would be more pronounced for the two cognitive dimensions: cognitive and meta- cognitive CQ. Hypothesis 3b: Following cross-cultural manage-

ment courses, the relationship be- tween students’ international expe- rience and CQ at Time 2 is weaker than this relationship at Time 1.

Our last hypothesis is an extension of Hypothe- sis 1 above but pertains only to Study 2, which included a control group in its design: Hypothesis 4: Cross-cultural management courses

affect CQ, so that students’ CQ at Time 2 is higher than their CQ in Time 1. No such effect is expected in the control group, where students took part in an international busi- ness program and had cross-cultural field experiences but did not take a CCM course.

STUDY 1 METHOD

Sample and Data Collection Procedures

Study 1 was conducted in a single location at a large research university in Austria and is based on a relatively culturally homogenous sample, comprised of mainly Austrian students who have a moderate level of prior international experience.

The CCM course focuses on preparing mostly un- dergraduate students enrolled in an international management program to effectively cope with cultural challenges during their study abroad semester.

The aim of the Study Abroad program, which typically runs for 4 months (a full semester) is to (a) increase students’ language knowledge, (b) pre- pare them for international job placements by in- creasing their intercultural competencies, and (c) enhance their intellectual capacity by exposing them to different study programs and teaching methods. The CCM course has been taught for several years in that program and is delivered as an intensive block period of 2 1/2 days. The content of these courses consists of about 60% academic based activities, such as lectures on cultural di- mensions and definitions of culture, and about 40% experiential content, such as simulation games, interaction with nationals from the target culture, and cultural self-awareness exercises. Each course is divided into two parts: The first is comprised of a common general cultural element and the second of region-specific cultural elements corresponding to where the students in that group are going to study (e.g., North-East Asia).

The final sample consisted of 289 respondents who completed both Time 1 (in the first minutes of the course) and Time 2 (as the concluding activity of the course) surveys, which gives a response rate of 90%. The respondents in Study 1 consisted of 80% Austrian nationals with the remaining 20% being German (5.1%), Slovak (2.7%), Hungarian (1.8%), Italian (1.5%), Polish (1.5%) and Bosnian nationals (1.2%); 3% of the total sample was dual-nationals. Average age was (22.81 SD: 2.17), and 59% were females. The average number of countries that these students had lived in for 6 months or longer prior to taking the course is 1.94. The average num- ber of languages the students reported speaking proficiently was 2.74 (SD: 0.95).

Measures

Cultural Intelligence

Ang et al.’s (2007) CQS questionnaire was used to measure students’ cultural intelligence. The CQS is comprised of 20 items and uses a 7-point Likert- scale for response (7 corresponding to “Strongly Agreeâ€). We chose this instrument since it gives a holistic measure of CQ as well as producing four distinct components, namely the metacognitive,

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cognitive, motivational, and behavioral facets of CQ, which correspond to our conceptual interests. The following are sample items for each of these dimensions:

Metacognitive: “I am conscious of the cultural knowledge I apply to cross-cultural interactions.â€

Cognitive: “I know the cultural values and reli- gious beliefs of other cultures.â€

Motivational: “I enjoy interacting with people from different cultures.â€

Behavioral: “I change my nonverbal behavior when a cross-cultural situation requires it.â€

Cultural intelligence was measured twice: first, at the beginning of the CCM course (Time 1); sec- ond, at the end of the CCM course, before the students go abroad (Time 2). Cronbach’s alpha re- liabilities of the each CQ dimension ranged be- tween .75 and .82, which are similar in terms of the magnitude in various studies reported in Van Dyne et al. (2008).

International Experience

Students’ international experience prior to the CCM course was measured by the number of coun- tries in which students lived, worked, or were ed- ucated for at least 6 months.

Demographic Variables

Consistent with previous research linking cultural intelligence to demographic variables (e.g., Earley

& Ng, 2006), we asked each respondent to report their sex, age, and the number of languages they speak proficiently.

RESULTS STUDY 1

The means, standard deviations, correlations, and reliabilities are shown in Table 1. The magnitude of intercorrelations among the four CQ dimensions ranged from low to moderate, which is comparable to correlation magnitudes reported in recent stud- ies using the CQS (e.g., Ang et al., 2007; Van Dyne et al., 2008).

Hypotheses testing results are presented in Ta- bles 2 and 3. Our Hypothesis 1 posits that CCM training affects CQ in that students’ CQ at Time 2 is higher than their CQ at Time 1. In order to test if there was an increase in students’ CQ scores, we conducted a t test for the pretest and posttest scores of overall CQ. As shown in Table 2, the difference in mean overall CQ scores between Time 2 and Time1 was positive and significant (t � 4.33, p � .001, d � .28); therefore, our Hypothesis 1 is supported. Our Hypothesis 2 posits that the CCM course affects more strongly the metacogni- tive and cognitive dimensions of CQ than the mo- tivational and behavioral dimensions. The pre- and posttest paired sample t tests results indicated that the improvement from Time 1 to Time 2 was sizeable for metacognitive CQ (t � 6.54, p � .001, d � .43) and cognitive CQ (t � 6.53, p � .001, d � .43). The motivational and behavioral dimen- sions of CQ, however, did not improve. In fact, contrary to our expectations, motivational CQ in

TABLE 1 Means, Standard Deviations, Correlations, and Reliabilities: Study 1 (N � 289)

Variables M SD 1 2 3 4 5 6 7 8 9 10 11 12

1. Age 22.81 2.17 — 2. Sex (1: male, 2: female) 1.41 0.50 �.19 — 3. Language 2.74 0.95 .02 .11 — 4. International experience 1.94 1.29 .17 .02 .25 — 5. MC T1 4.72 0.95 .14 .03 .06 .18 (.78) 6. COG T1 4.18 0.92 .10 �.01 .08 .20 .37 (.78) 7. MOT T1 5.71 0.84 �.01 �.01 �.01 .20 .38 .43 (.80) 8. BEH T1 4.81 1.03 .12 �.02 �.04 .14 .38 .28 .56 (.82) 9. MC T2 5.11 0.88 �.01 .10 .03 .01 .38 .16 .20 .30 (.78)

10. COG T2 4.56 0.85 .09 .00 .08 .02 .18 .39 .16 .06 .46 (.76) 11. MOT T2 5.56 0.81 �.05 .10 .06 .13 .19 .25 .53 .25 .56 .35 (.75) 12. BEH T2 4.93 0.95 .06 .04 .04 .02 .27 .07 .11 .35 .64 .31 .40 (.79)

Note. Correlations equal to or bigger than .12 are significant at p � .05; figures in bracket on main diagonal are Cronbach’s alpha reliabilities. International experience � no. of countries lived in; Language � no. of languages proficiently spoken; MC � metacog- nitive CQ; COG � Cognitive CQ; MOT � Motivational CQ; BEH � Behavioral CQ; T1 � Time 1; T2 � Time 2.

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Time 2 has decreased (t � �3.64, p � .001, d � �.21), while behavioral CQ did not change significantly (t � 1.58, ns). This provides support for our Hypoth- esis 2, which states that the CCM course affects more strongly the metacognitive and cognitive di- mensions than the motivational and behavioral dimensions of CQ.

Our Hypotheses 3a and 3b concern the relation- ship between international experience and CQ. We proposed in Hypothesis 3a that the interna- tional experience relates positively to the students’ CQ at Time 1. In order to test this hypothesis, we ran hierarchical regression analyses of CQ scores at both Times 1 and 2 on international experience prior to the CCM course. In Step 1, we controlled for age, sex, and the number of languages that stu- dents speak fluently, then entered international experience in Step 2. Table 3 presents the results of hierarchical regression analyses on the interna- tional experience.

International experience was positively and sig- nificantly associated with metacognitive CQ (� � .18, p � .01), cognitive CQ (� � .16, p � .01), and motivational CQ (� � .26, p � .001) at Time 1, although its relationship with behavioral CQ at Time 1 was positive but not significant. Our Hy- pothesis 3a is, therefore, mostly supported.

Our Hypothesis 3b posits that the relationship between international experience and CQ be- comes weaker at Time 2 than it was at Time 1. The regression results in Table 3, with Time 2 CQ scores as the predicted variable, show that except for motivational CQ, which decreased in strength but remained significant (� � .15, p � .05), interna- tional experience was not significantly associated with the other three facets of CQ. In order to deter- mine the statistical significance of the differential association of international experience with CQ at Time 1 and Time 2, we applied Fisher’s r to z transformation of correlation coefficients, then ran

TABLE 2 Average CQ Scores on Pre- and Posttests and Improvement: Study 1 (N � 289)

Pretest (Time 1) Posttest (Time 2) Improvement:

posttest–pretest t value Effect size: Cohen’s d

Overall CQ 4.83 5.01 0.18 4.33*** .28 Metacognitive CQ 4.71 5.12 0.39 6.54*** .43 Cognitive CQ 4.18 4.55 0.37 6.53*** .43 Motivational CQ 5.74 5.56 �0.18 �3.64*** �.21 Behavioral CQ 4.83 4.93 0.10 1.58 ns .11

Note. CQ: Cultural Intelligence. ***p � .001, **p � .01, *p � .05.

TABLE 3 Hierarchical Regression of CQ Scores at Time 1 and Time 2: Study 1 (N � 284)

Dependent variables

Predictors

Metacognitive CQ Cognitive CQ Motivational CQ Behavioral CQ

Time 1 Time 2 Time 1 Time 2 Time 1 Time 2 Time 1 Time 2

Step 1 Age .15* .04 .14* .08 .04 �.03 .14* .09 Sex (1: male, 2: female) .03 .07 .04 .02 .06 .06 �.00 .04 Language .02 .03 .03 .06 �.12 .03 �.05 .05

Step 2 International experience .18** .04 .16** .02 .26*** .15* .09 .04 R2 .07 .01 .06 .01 .07 .03 .03 .02 �R2 from Step 1 to Step 2 .03** .00 .02** .00 .06*** .02* .01 .00 F 4.86*** .58 4.15** .90 5.28** 2.10 2.17 1.18

Note. International experience � no. of countries lived in; Language � no. of languages proficiently spoken. Coefficients are the standardized beta obtained from the final regression equation with all variables entered.

***p � .001, **p � .01, *p � .05.

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a z test between Time 1 and Time 2 scores (Cohen & Cohen, 1983). Results show that the difference between Time 1 and Time 2 for metacognitive CQ (z � 2.05, p � .02) and cognitive CQ (z � 2.40, p � .008) were statistically significant. The differ- ences for motivational and behavioral CQ, how- ever, were not significant; therefore, our Hypothe- sis 3b is partially supported.

STUDY 2

We designed Study 2 to replicate findings from Study 1 in a different educational setting and to extend them under a more demanding context and design. A main limitation of Study 1 was the ab- sence of a control group, which was not feasible given that the intensive CCM course was tailor- made for the student population involved in order to prepare them for their study abroad semester. While using a control group when assessing the impact of educational interventions is often diffi- cult on both practical as well as ethical grounds, it is desirable, as it allows researchers to minimize the threat of “third variables†having an unknown impact on the outcome measures. For Study 2, we were able to utilize a design that included a treat- ment group (CCM) and a control group, thus allow- ing us to test Hypothesis 4.

In addition, due to the different nature of the students and programs in both studies, in many ways Study 2 represents a much tougher test of the impact of CCM courses on CQ. Treatment group participants in Study 2 were drawn from an elite Master’s in International Management program, which has high candidate selectivity and is char- acterized by a multitude of nationalities and a requirement to master two foreign languages upon graduation. Moreover, since the CCM courses al- ways take place in the second semester, by the time the second semester started (at which point we took our Time 1 CQ measure), students had already engaged in a full semester of international and cross-cultural experiences through studying in a foreign country or through working in culturally diverse classes. Compared to Study 1 CCM courses, those in Study 2 were somewhat more theoretically oriented, employed a comparative approach rather than region-specific, were set at a higher academic level, were longer in duration, and accounted for a larger amount of academic credits. We used the same measures and data col- lection procedures as in Study 1.

METHODS

Sample and Data Collection Procedures

Study 2 was conducted with postgraduate students who were enrolled in two business school master’s programs. The treatment group was enrolled in the Masters in International Management (MIM) pro- gram, which is part of a global alliance for man- agement education (referred to here as GAME), comprised of 28 leading business schools located in 27 countries. As part of the MIM program, stu- dents study in at least two countries. While most of the students still come from Europe, an increasing number comes from other continents. The core el- ements of the MIM include the course Global Strat- egy in the first semester, a CCM course in the second semester, and an internship at the end of the program. The CCM core courses are delivered during the second semester in all GAME schools. While the courses differ in their focus and cover- age and are taught by different faculty, they share common themes and are positioned as advanced master’s courses. Their content and format are re- viewed on an annual basis by the GAME CCM Faculty Group, which is comprised of members from the alliance’s business schools (see Appendix 1 for a list of core themes and approaches included in these CCM courses based on the Faculty Group’s recommendation).

Data were collected by CCM course lecturers at two times: The Time 1 survey took place at the be- ginning of the CCM course (typically during the first day), and the Time 2 survey took place at the end of the course (or within 2 weeks of finishing the course). The duration of classes varied be- tween 1 and 12 weeks, with the majority taking place over at least 8 weeks and accounting for 7– 8 internationally standardized European Credit Transfer & Accumulation System (ECTS), which re- flect the time and effort demanded from students taking a certain course.

Treatment group participants were 230 graduate students who took the CCM core course at six part- ner universities of the GAME network during the 2008 –2009 academic year. The sample included students belonging to over 15 institutions, who studied the CCM course in large universities and business schools in one of the following countries: Ireland (12), Spain (42), Finland (13), U.K. (46), Po- land (20), and Austria (17). The numbers in brackets indicate the subsamples of total usable, matching N of Time 1 and Time 2 data. Class sizes varied between 25 and 60 students, and the response rate

612 DecemberAcademy of Management Learning & Education

 

 

for Time 1 was 80%. Due to the longitudinal nature of the study design, as well as some students drop- ping out or missing classes, the total usable num- ber of the matched sample was 150, representing over 65% of the total sample. The students in the treatment group were from 46 nationalities with the great majority (87.6%) being Europeans. The average age of the 150 students who participated in Study 2 was 23.7 (SD: 2.25), and 36% of the sample were male. The students had lived, on average, in about three countries for a period of at least 6 months in each (M: 2.89, SD: 1.27) before the start of their CCM course. The students spoke, on aver- age, three languages at a proficient level (M: 3.07, SD: 0.85).

The control group consisted of 40 students (35 students completed both Time 1 and Time 2 ques- tionnaires, resulting in an 87.5% response rate) en- rolled in the Master of International Business Ad- ministration (MIBA) program with half coming from a major research university in Vienna, Austria, and half from a major research business school in St. Petersburg, Russia. This control group participated in an intensive 3-week summer school interna- tional marketing program worth 10 ECTS, which took place in St. Petersburg. After morning lectures from 8 a.m.–2 p.m., students worked intensively on a competitive project in culturally diverse teams consisting of 4 –5 members for another 4 hr during the afternoons. Cross-cultural management issues were not included in the course curriculum. The survey at Time 1 was taken at the beginning of the course in September 2009; the Time 2 survey was taken at the end of the program 3 weeks later. Participants comprised nationalities with the ma- jority (62.8%) being Europeans and the rest consist- ing of 12 Russian and 1 Chinese student. Their average age was 22.71 (SD: 2.55), and 40% of the sample were male. On average, the students had lived in about two countries for a period of at least 6 months in each (M: 1.92, SD: 1.04) before the start of their summer school course. On average, each student spoke three languages at a proficient level (M: 3.03, SD: 0.92).

RESULTS STUDY 2

Means, standard deviations, correlations, and reli- abilities of the study variables are reported in Ta- ble 4. We report separately results for the control group and the treatment group. Cronbach’s alpha reliabilities for the each of the four CQ dimensions were satisfactory, ranging between .71 and .83,

which are similar to those reported in Van Dyne et al. (2008).

Hypothesis 4 posits that academic CCM courses affect CQ, so that students’ CQ at Time 2 is higher than their CQ at Time1. However, no such effect was expected in the control group, where students were exposed to international and cross-cultural field experiences but did not take a CCM course. Table 5 shows the results of pre- and posttest scores comparison of the treatment group and the control group. To assess practical impact, we also report effect sizes (using Cohen’s d) for the treat- ment group’s CQ improvement. The change in overall CQ scores from Time 1 to Time 2 (i.e., post- test score–pretest score) was positive and signifi- cant, indicating a medium effect size (t � 4.55, p � .001, Cohen’s d � .35) for the treatment group, but it was not significant for the control group. The improvements in metacognitive CQ (t � 4.39, p � .001, Cohen’s d � .44); cognitive CQ (t � 3.01, p � .01, Cohen’s d � .26); and motivational CQ (t � 2.92, p � .01, Cohen’s d � .25) were all positive and significant for the treatment group. The im- provement in behavioral CQ for the treatment group was positive but not statistically significant. As shown in Table 5, no significant effect was found in any facets of CQ change in control group. Our Hypothesis 4 is therefore supported. The pat- tern of Study 2 results (see Table 5) partially sup- ports Hypothesis 2, which predicted stronger changes for the two cognitive CQ facets than for motivational and behavioral CQ. Students’ metacog- nitive CQ at Time 2 showed the strongest improve- ment; cognitive and motivational CQ showed similar improvement indicated by a medium effect size, while behavioral CQ did not improve significantly.

As for the relationship between international ex- perience and CQ at Time 1 (H3a), the beta coeffi- cients of multiple regression analyses are reported in Table 6. The beta coefficients of international experience in the equations were positive and sig- nificant for metacognitive, motivational, and be- havioral CQ. It was only marginally significant (p � .10) for cognitive CQ. The results, therefore, generally support our hypothesis predicting a pos- itive relationship between students’ prior interna- tional experience and their Time 1 CQ scores, with the exception of cognitive CQ, where the relation- ship was in the right direction but only marginally significant.

Our Hypothesis H3b concerns decreased associ- ation of international experience and CQ mea- sured at Time 2, compared to Time 1. As in Study 1,

2013 613Eisenberg, Lee, Brück, Brenner, Claes, Mironski, and Bell

 

 

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